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OPINION (2024/2019(DEC))

On discharge in respect of the implementation of the general budget of the European Union for the financial year 2023, Section III - Commission, executive agencies and the ninth, tenth and eleventh European Development Funds

ENVI-AD-764980

Committee on the Environment, Climate and Food Safety · Rapporteur: Antonio Decaro

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The Committee on the Environment, Climate and Food Safety gives its opinion on the 2023 budget discharge for the Commission, covering environment, climate, public health and food safety. It is satisfied with implementation but raises concerns about RRF climate spending, cyber risks, and health budget cuts.

Committee position. The committee proposes that discharge be granted to the Commission for 2023 expenditure in its areas of responsibility, while calling for corrective actions on identified shortcomings.

Key points

  1. Is satisfied with the Commission's overall budget implementation in environment, climate, public health and food safety in 2023, and with the work of five decentralised agencies under its remit.
  2. Stresses the need for adequate funding and staffing for agencies and Commission Directorates-General, and explores innovative funding mechanisms like collaborative co-financing.
  3. Notes that about EUR 160 billion (38% of the Union budget) was dedicated to climate mainstreaming in 2023, with largest contributions from RRF, CAP, and cohesion policy; Innovation Fund provided EUR 6.5 billion in grants.
  4. Concerned about Court of Auditors findings on RRF: weaknesses in design, vaguely defined milestones, reporting problems, and overestimation of climate coefficients by at least €430 million.
  5. Deplores that over a third of audited adaptation projects had little or no impact; calls on the Commission to ensure EU-funded projects are climate-adapted.
  6. Regrets findings that RRF performance indicators focus on outputs not results and cannot track climate impacts; calls for robust methodology and better reporting.
  7. Notes the gap between Member States in administrative capacity for RRF absorption; acknowledges responsibility lies with each Member State.
  8. Reiterates concern about cyberattack risks to the EU emissions trading registry, unresolved since 2010 and highlighted in 2023 AAR.
  9. Notes about EUR 20 billion (5% of the Union budget) for biodiversity mainstreaming; urges maintaining efforts to meet 7.5% for 2024 and 10% for 2026-2027 targets.
  10. Regrets the EUR 1 billion cut to EU4Health in 2023, leading to downsized future health actions; notes its 2023 budget was EUR 735 million.
  11. Welcomes HERA's progress but recalls the Commission's commitment to review its operations by 2025, possibly transforming it into an agency with autonomous budget.
  12. Calls on the Commission to take corrective action on shortcomings identified by the Court and Parliament; concludes discharge can be granted.

Who is affected

  • The Commission and its Directorates-General for environment, climate, health, and food safety.
  • Five decentralised agencies under the committee's remit, which need adequate funding and staffing.
  • Member States, which are responsible for administrative capacity to absorb RRF funds.
  • The EU emissions trading registry, which faces unresolved cyberattack risks.
  • EU4Health programme and HERA, affected by budget cuts and operational reviews.

Figures and deadlines

  • EUR 160 billion, approximately 38% of the Union budget, for climate mainstreaming in 2023.
  • EUR 6.5 billion in grants from the Innovation Fund for low-carbon technologies.
  • At least €430 million overestimation of climate coefficients in RRF measures.
  • EUR 20 billion, approximately 5% of the Union budget, for biodiversity mainstreaming.
  • 7.5% biodiversity mainstreaming target for 2024 and 10% for 2026 and 2027.
  • EUR 1 billion cut to EU4Health in 2023.
  • EUR 735 million budget for EU4Health in 2023.