Changes from plenary report to adopted text

RemovedDRAFT EUROPEAN PARLIAMENT LEGISLATIVE RESOLUTION

AddedP9_TA(2024)0343

Changedon the proposal for a regulation of the European Parliament and of the Council on establishingEstablishing the Reform and Growth Facility for the Western Balkans

Removed(COM(2023)0692 – C90408/2023 – 2023/0397(COD))

AddedCommittee on Foreign Affairs, Committee on Budgets

AddedPE758.888

AddedEuropean Parliament legislative resolution of 24 April 2024 on the proposal for a regulation of the European Parliament and of the Council on establishing the Reform and Growth Facility for the Western Balkans (COM(2023)0692 – C9-0408/2023 – 2023/0397(COD))

▸5 unchanged paragraphs

(Ordinary legislative procedure: first reading)

The European Parliament,

– having regard to the Commission proposal to Parliament and the Council (COM(2023)0692),

– having regard to Article 294(2) and Articles 212 and 322(1) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C90408/2023),

– having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

Added– having regard to the opinion of the Court of Auditors of 30 January 2024,

Added– having regard to the provisional agreement approved by the committees responsible under Rule 74(4) of its Rules of Procedure and the undertaking given by the Council representative by letter of 8 April 2024 to approve Parliament’s position, in accordance with Article 294(4) of the Treaty on the Functioning of the European Union,

– having regard to Rule 59 of its Rules of Procedure,

Added– having regard to the joint deliberations of the Committee on Foreign Affairs and the Committee on Budgets under Rule 58 of the Rules of Procedure,

– having regard to the opinions of the Committee on International Trade and the Committee on Regional Development;

Changed– having regard to the letter from the Committee on Budgetary Control;Control,

– having regard to the report of the Committee on Foreign Affairs and the Committee on Budgets (A9-0085/2024),

1. Adopts its position at first reading hereinafter set out;

Change 1

Added2. Approves the joint statement by Parliament and the Council annexed to this resolution, which will be published in the C series of the Official Journal of the European Union;

3. Calls on the Commission to refer the matter to Parliament again if it replaces, substantially amends or intends to substantially amend its proposal;

4. Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Change 2

RemovedAMENDMENTS BY THE EUROPEAN PARLIAMENT*

AddedP9_TC1-COD(2023)0397

Removedto the Commission proposal

AddedPosition of the European Parliament adopted at first reading on 24 April 2024 with a view to the adoption of Regulation (EU) 2024/… of the European Parliament and of the Council on establishing the Reform and Growth Facility for the Western Balkans

Removed---------------------------------------------------------

Added(As an agreement was reached between Parliament and Council, Parliament's position corresponds to the final legislative act, Regulation (EU) 2024/1449.)

Removed2023/0397 (COD)

AddedANNEX TO THE LEGISLATIVE RESOLUTION

RemovedProposal for a

AddedJoint statement by the European Parliament and the Council on the appropriate budgetary nomenclature for the Western Balkans Facility

RemovedREGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

AddedThe European Parliament and the Council take note of the declaration of the European Commission on reporting. Without prejudice to the prerogatives of the budgetary authority under the Treaties, the European Parliament and the Council intend to review the nomenclature of the Facility, for instance on appropriations per beneficiary, to ensure appropriate political and budgetary scrutiny. The European Parliament and the Council invite the European Commission to give this statement due consideration, as appropriate, in the preparation of the Draft Budget 2025.

Removedon establishing the Reform and Growth Facility for the Western Balkans

RemovedTHE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

RemovedHaving regard to the Treaty on the Functioning of the European Union, and in particular Article 212 and Article 322(1) thereof,

RemovedHaving regard to the proposal from the European Commission,

RemovedHaving regard to the opinion of the Court of Auditors,

RemovedHaving regard to the Joint declaration of the European Parliament, the Council and the Commission relating to the exceptional nature of the Ukraine Facility,

RemovedActing in accordance with the ordinary legislative procedure,

RemovedWhereas:

Removed(-1) The Union is founded on the values of democracy, the rule of law and respect for human rights, which are part of the Copenhagen criteria, which are the key set of criteria for EU membership.

Removed(-1a) The enlargement process is built on established criteria and fair and rigorous conditionality. Each Beneficiary should be assessed on its own merits. For the prospect of enlargement to become a reality, a firm commitment to ‘fundamentals first’ remains essential. The ‘fundamentals first’ approach links the rule of law and fundamental rights with the two other crucial areas of the accession process: economic governance - strengthened focus on economic development and improved competitiveness - and the strengthening of democratic institutions and public administration reform. Progress towards accession depends on each applicant’s respect for the Union’s values and its capacity to undertake and implement the necessary reforms to align its political, institutional, legal, administrative and economic systems with the rules, standards, policies and practices of the Union, while promoting good neighbourly relations.

Removed(-1b) Enlargement policy towards the Western Balkans has a geostrategic importance for security, peace and stability in light of dynamic changes in the international environment, specifically following Russia’s war of aggression against Ukraine, which has given a new meaning and impetus to enlargement. Nonetheless, the path of the Western Balkan countries towards EU membership needs to be firmly anchored in tangible and concrete progress on reforms. To guarantee the success of enlargement, genuine political will is needed in both the EU Member States and in enlargement countries. Twenty years after the Thessaloniki Summit, Western Balkan countries are in different stages of the accession process, upholding different dynamics in fulfilling negotiating chapters.

Removed(-1c) The Instrument for Pre-Accession assistance (IPA) is the main financial mechanism to prepare accession countries for their future membership of the Union.

Removed(1) It is in the common interest of the Union and its Western Balkans countries▌to advance the efforts to reform political, legal and economic systems of the latter with a view to their future Union membership. The prospect of Union membership has a powerful transformative effect, embedding positive democratic, political, economic and societal change.

Removed(2) There is a need to work towards the adoption and implementation of the EU acquis as soon as possible, as well as bring forward some of the advantages of Union membership before accession. Alongside democratic transition and respect for fundamental rights and values, economic convergence is at the heart of these benefits. Currently, the convergence of Western Balkans in terms of GDP per capita expressed in purchasing power standards remains low at between 30% and 50% of the Union average and is not progressing fast enough.

Removed(3) To reduce this disparity, the European Commission adopted a Communication on a Growth Plan for the Western Balkans based on four pillars: (a) increasing integration with the EU’s Single Market; (b) boosting regional economic integration, based on EU rules and standards, by fully implementing the existing Common Regional Market Action Plan; (c) deepening reforms aiming at accelerating development in the region inclusive and sustainable, promoting economic growth based on green and digital transitions, economic convergence and strengthening regional stability; and (d) establishing a new Financing Instrument: the Reform and Growth Facility for the Western Balkans.

Removed(4) The implementation of that Growth Plan requires increased funding under a dedicated new Financing Instrument, the Reform and Growth Facility, to assist the region in implementing ▌reforms for inclusive and sustainable development, facilitating a stable investment environment, regional integration and Common Regional Market.

Removed(5) To achieve these goals, special emphasis with respect to investment areas should be placed on sectors that are likely to function as key drivers for social and economic development and decarbonisation of economies, in order to also reduce strategic dependencies: MSMEs, health, connectivity, including transport, energy, green and digital transitions, research and innovation, education and skills development, with a particular attention to youth, and investing in human capital.

Removed(6) Sustainable transport infrastructure is essential to improve connectivity between the Western Balkan partners and with the EU Member States, especially those with a direct border. It should contribute to integrate the region in the Union. In its proposal revising the trans-European transport framework (TEN-T), the Commission included a new Corridor crossing the Western Balkan region (Western-East Mediterranean corridor). The TEN-T network should be the reference for funding transport infrastructure in the region, especially those already existing or having started the building process, with a view to completing existing projects before starting new ones. Priority should be given to environmentally-friendly means of transportation such as railways and decarbonisation of transport.

Removed(7) The Facility should support investment and reforms that promote the beneficiaries’ path to the digital transformation of the economy and society in line with the EU vision for 2030 presented in the Commission communication ‘2030 Digital Compass: the European way for the Digital Decade’ , fostering an inclusive digital economy that benefits all citizens. The Facility should strive to facilitate the achievement of the general objectives and digital targets with regard to the Union, prioritising investment that not only advance the digital transformation, but ensure that these efforts are rooted in the principles of security, resilience and integrity. As outlined by the Commission in its communication of 15 June 2023, the 5G cybersecurity Toolbox should be the reference for EU funding to ensure security, resilience and protection of integrity of digital infrastructure projects in the region.

Removed(8) Union support under the Facility should reinforce not replace the bilateral and regional support provided under Regulation (EU) 2021/1529 of the European Parliament and of the Council, focussing on preparing the Beneficiaries for Union membership,▌while using already existing mechanisms and structures where possible and maximising synergies. The Instrument for Pre-Accession assistance (IPA) remains the main financial mechanism for merit-based, conditional pre-accession assistance. The approach should build on the existing enlargement methodology, notably the 2020 Revised Methodology, and the Economic and Investment Plan from the same year.

Removed(9) The support under the Facility should be provided to meet general and specific objectives, based on established impartial criteria in order to avoid any political misuses, and with clear payment conditions based on fulfilling key milestones and targets and conditionality. The general objectives of the Facility should be to accelerate regional economic integration and social and territorial cohesion and resilience, progressive integration with the Union single market, upward socio-economic convergence of Western Balkans economies and alignment with Union values laws, rules, standards, policies and practices with a view to Union membership. The Facility should also help accelerate reforms related to fundamentals of the enlargement process as enshrined in the Copenhagen criteria, including rule of law, democracy, independence of the judiciary, human rights, fundamental rights public procurement and State aid control, public finance management, anti-money laundering, tax avoidance, tax evasion, tax fraud, and fight against all kinds of corruption and organised crime, the fight against disinformation, as well as the region’s green transition to climate neutrality by 2050, climate change mitigation measures, as well as environmental and biodiversity protection, and foster good neighbourly relations, and the settlement of disputes in the Western Balkans.. These objectives should be pursued in a mutually reinforcing manner and with regular monitoring of the evolving social and economic situations in the Western Balkans. Support under the Facility should also enhance twinning and partnership development initiatives with European peers aiming at enhancing expertise and capacity in the Western Balkans.

Removed(10) The Facility should respect the additional support provided under other Union programmes and existing enlargement support instruments. The Commission should prevent duplication between assistance under this Regulation and other assistance provided by the Union, the Member States, third countries, multilateral and regional organisations and entities.

Removed(11) The Facility should ensure consistency with, and support to the general objectives of Union external action as laid down in Article 21 of the Treaty on European Union, including the respect for fundamental rights as enshrined in the EU Charter of Fundamental Rights. It will notably ensure the protection and promotion of human rights, including the rights of all minorities, including ethnic and religious minorities, the LGBTI community, and people belonging to other vulnerable groups, democracy and the rule of law, which are fundamental to the EU accession process.

Removed(11a) The Facility should place a special emphasis on locally based small and medium enterprises to ensure that sustainable development is directly interlinked with local businesses and entrepreneurs.

Removed(11b) This Facility shall not support any activities or measure of those beneficiaries who act contrary to the aims of strengthening regional security and stability.