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DRAFT REPORT (2023/2161(DEC))

On discharge in respect of the implementation of the budget of the Euratom Supply Agency for the financial year 2022

CONT-PR-753529

Committee on Budgetary Control · Rapporteur: Petri Sarvamaa

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This is a draft report by the Committee on Budgetary Control on granting discharge to the Euratom Supply Agency for the 2022 financial year. It proposes to grant the Director General discharge and to approve the closure of the accounts, and sets out observations in a resolution. The resolution notes the Agency's budget of EUR 167 000, its commitment and payment execution rates, and the Court of Auditors' assurance that the accounts are reliable and the transactions legal and regular. It reviews the Agency's work on security of nuclear supply after the Russian invasion of Ukraine, its market monitoring, medical radioisotope supply, IT system NOEMI, staff policy and procurement. It calls on the Agency to improve its public procurement procedures and to report on its climate, energy and environmental performance and implement EMAS.

Committee position. The rapporteur proposes that Parliament grant the Director General of the Euratom Supply Agency discharge for the 2022 financial year and approve the closure of the Agency's accounts, with observations set out in the accompanying resolution.

Key points

  1. Parliament grants the Director General of the Euratom Supply Agency discharge for the 2022 budget, or postpones that decision, and sets out its observations in the resolution.
  2. Parliament approves the closure of the Agency's 2022 accounts, or postpones it.
  3. The Agency's final 2022 budget was EUR 167 000, down 20,48 % from EUR 210 000 in 2021, and derives entirely from the Union budget.
  4. The Court of Auditors obtained reasonable assurance that the Agency's annual accounts are reliable and the underlying transactions legal and regular.
  5. No internal control issues requiring corrective action were reported for 2022, and no corrective actions from previous audits are outstanding.
  6. The 2022 commitment appropriation rate was 96,88 %, down 2,88 % from 2021, and the payment appropriation rate was 34,81 %, down 16,4 %.
  7. Most Agency expenses are covered by the Commission, including salaries of EUR 1 937 817, premises and IT of EUR 467 708, and the NOEMI IT system of EUR 84 644.
  8. The Agency reviewed contracts with risks of dependence on Russia, simplified contract submission while keeping security, and increased electronically signed acts.
  9. The Agency monitors the nuclear market, published a market analysis, and led actions on medical radioisotope supply and the European Observatory on the supply of Medical Radioisotopes.
  10. The establishment plan was 100 % filled with 17 permanent posts; the Agency recruited 2 temporary agents on permanent posts in 2022; the gender ratio was 59 % women and 41 % men.
  11. The Court found the Agency systematically awarded low-value contracts below EUR 15 000 without evaluation reports and award decisions; Parliament calls on the Agency to improve its procurement procedures.
  12. The Agency reinforced premises access security, had the NOEMI system undergo a vulnerability assessment, and participated in nuclear industry events; Parliament encourages it to report on environmental performance and implement EMAS.

Who is affected

  • The Euratom Supply Agency and its Director General, who would receive discharge and whose accounts would be closed.
  • The Agency's staff and external contractors, who hold security clearance for access to premises.
  • The Agency's procurement and financial management staff, who must follow improved procurement procedures.

Figures and deadlines

  • EUR 167 000 — the Agency's final budget for 2022.
  • 20,48 % — decrease in the 2022 budget compared to 2021.
  • EUR 210 000 — the Agency's budget for 2021.
  • 96,88 % — implementation of the current year commitment appropriation rate in 2022.
  • 34,81 % — execution of the current year payment appropriation rate in 2022.
  • EUR 1 937 817 — salaries covered by the European Commission.
  • EUR 467 708 — premises and IT expenses covered by the European Commission.
  • EUR 84 644 — NOEMI IT system costs covered by the European Commission.

Legal basis: Article 319 of the Treaty on the Functioning of the European Union and Article 106a of the Treaty establishing the European Atomic Energy Community.