What changed

BUDGETARY ASSESSMENT

SHORT JUSTIFICATION

forThe theFisheries CommitteePartnership onAgreement Fisheriesbetween onthe European Community and the proposalRepublic forof aCabo CouncilVerde decision(FPA) onentered theinto conclusion,force on behalf30 ofMarch the2007 Union,for a period of the5 Protocolyears, (2024-2029)being implementingtacitly therenewable. FisheriesA Partnershipprevious Agreement5-year betweenProtocol to the EuropeanFPA Communityentered into force on 20 May 2019 and theexpired Republicon of19 CaboMay Verde2024.

(COM(2024)0236 – C10-0087/2024 – 2024/0133(NLE))

With a view to adopt a new Protocol to the FPA, the European Commission conducted negotiations with the Republic of Cabo Verde. Following these negotiations, a new Protocol was initialled on 15 April 2024. This new Protocol covers a period of five years, allowing Union vessels to access Cabo Verde’s fishing zone and to fish for tuna and associated species there, in compliance with the measures adopted by the International Commission for the Conservation of Atlantic Tunas (ICCAT). The aim is also to enhance cooperation between the EU and Cabo Verde, thereby creating a partnership framework within which to develop a sustainable fisheries policy and the responsible exploitation of fishery resources in Cabo Verde’s waters, in the interest of both Parties.

The Committee on Budgets has carried out a budgetary assessment of the proposal under Rule 58 of the Rules of Procedure and has reached the following conclusions:

The EU’s financial contribution allocated to the Protocol is EUR 780 000 per year. This total is broken down into an annual amount of EUR 350 000 for access to fishery resources and another EUR 430 000 for the development of Cabo Verde’s sectoral fisheries policy, which represents an increase for sectoral support in comparison with the previous protocol.

– having regard to Regulation (EU, Euratom) 2024/2509 of the European Parliament and of the Council of 23 September 2024 on the financial rules applicable to the general budget of the Union,

Cabo Verde’s economy heavily relies on fisheries, which plays a crucial role in food security and employment for local communities. Artisanal fishing is vital for the livelihoods of many coastal communities. However, commercial fishing operations are also prominent targeting high-value species like tuna, which can affect local resources. Challenges such as overfishing, illegal fishing and climate change pose significant threats to fish stocks, marine ecosystems, and the livelihoods of local communities that depend on fishing. Furthermore, while women play a vital role in the fisheries sector of Cabo Verde, social norms and institutional barriers reinforce their marginalisation especially in rural areas. Overall, fisheries in Cabo Verde are a vital part of the economy and culture, and, therefore, there is a pressing need for sustainable management to ensure the long-term health of marine ecosystems and the communities that depend on them.

– having regard to the Interinstitutional Agreement (IIA) of 16 December 2020 between the European Parliament, the Council of the European Union and the European Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management, as well as on new own resources, including a roadmap towards the introduction of new own resources, and in particular point 20 thereof,

Your rapporteur takes the view that the Protocol promotes the responsible and sustainable exploitation of fisheries resources and the development of the national fisheries policy in Cabo Verde and is in the interest of both Parties. For this reason, your rapporteur is proposing that the protocol be approved.

A. whereas the financial contribution for the entire duration of the Protocol is EUR 3 900 000 (i.e. EUR 780 000 per year), based on:

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(a) a reference tonnage of 7 000 tonnes, for which an annual amount linked to access has been set at EUR 350 000;

The Committee on Development calls on the Committee on Fisheries, as the committee responsible, to recommend approval of the draft Council decision on the conclusion, on behalf of the Union, of the Protocol implementing the Fisheries Partnership Agreement between the European Community and the Republic of Cabo Verde (2024-2029).

(b) support for developing Cabo Verde’s sectoral fisheries policy, amounting to EUR 430 000 per year;

B. whereas the implementation of the Protocol requires the use of operational appropriations, as explained below:

EUR million (to three decimal places)

C. whereas the annual amount for commitment and payment appropriations is established during the annual budgetary procedure, including for the reserve line for protocols not yet having entered into force at the beginning of the year;

1. Notes that the support allocated to the Protocol should meet the objectives of cooperation in the fields of sustainable exploitation of fishery resources, aquaculture, sustainable development of the oceans, protection of the marine environment, and the blue economy; considers that this should be thoroughly scrutinised to ensure that this is done effectively during the implementation of the Protocol; notes that the support has a direct link to the principles of the Samoa Agreement reinforcing the Union’s external action towards African, Caribbean and Pacific (ACP) countries and taking account, in particular, of the Union’s objectives with regard to democratic principles and human rights, strengthening EU presence in the region and the cooperation with an important strategic partner;

2. Recommends that, for future agreements, an impact assessment of the added value and socio-economic benefits derived from the previous agreement be taken into account; considers that this assessment should guide the negotiation and renewal of subsequent agreements to ensure that they align with the objectives of sustainable development and efficient use of the EU’s financial resources;

3. Notes that the Protocol implementing the Fisheries Partnership Agreement with Cabo Verde had not yet entered into force at the beginning of this year;

4. Recalls that the IIA requires that amounts provided for in the budget for the renewal of fisheries agreements that enter into force after 1 January of the financial year concerned be put in the reserve;

5. Recalls that the use of the appropriations in the reserve requires a transfer in accordance with Article 31 of the Financial Regulation for the amount concerned from reserve line 30 02 02 to operational line 08 05 01;

6. Recalls that the Financial Regulation requires the Commission to only sign a protocol with financial implications when appropriations are available on the operational line;

7. Notes that the Protocol with Cabo Verde was signed on 23 July 2024;

8. Expresses its concern that no request for a transfer was submitted to the Committee on Budgets before the signing of the Protocol;

9. Takes note of the information from the Commission that for 2024 part of the unused appropriations for the implementation of the fisheries agreement with Greenland was available on operational line 08 05 01 and would be used for the implementation of the Protocol with Cabo Verde;

10. Considers that this practice does not respect the provisions of the IIA; furthermore, maintains that appropriations are to be used for the purpose for which they have been entered into the budget;

11. Notes the relatively small amount linked to the implementation of the Protocol with Cabo Verde, which might explain why the Commission has deviated from the required procedure; considers this to be a special situation that can be accepted by way of an exception;

12. Demands that the Commission act in compliance with the provisions of the IIA for any future fisheries agreement regardless of the amount involved;

13. Stresses that the financial programming of line 08 05 01 needs to be enough to cater for the financial obligations for 2025-2027, subject to the decision of the budgetary authority in the annual budgetary procedures; in this regard, notes that line 08 05 01 in the 2025 Draft Budget and in the Council Position on the 2025 Draft Budget includes an amount of EUR 150 560 000 in commitment appropriations and EUR 135 275 000 in payment appropriations; calls for scrutiny regarding the financial programming of line 08 05 01 in the annual budgets of 2026 and 2027;

14. Concludes that the Committee on Budgets is in a position to advise the Committee on Fisheries, as the committee responsible, to recommend approval of the proposal for a Council decision on the conclusion, on behalf of the Union, of the Protocol (2024-2029) implementing the Fisheries Partnership Agreement between the European Community and the Republic of Cabo Verde.

ANNEX: ENTITIES OR PERSONS FROM WHOM THE RAPPORTEUR FOR BUDGETARY ASSESSMENT HAS RECEIVED INPUT

The rapporteur for budgetary assessment declares under his exclusive responsibility that he did not receive input from any entity or person to be mentioned in this Annex pursuant to Article 8 of Annex I to the Rules of Procedure.

PROCEDURE – COMMITTEE ASKED FOR BUDGETARY ASSESSMENT

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