On discharge in respect of the implementation of the general budget of the European Union for the financial year 2024: Section III – Commission

OPINION

The Committee on Regional Development calls on the Committee on Budgetary Control, as the committee responsible, to incorporate the following suggestions into its motion for a resolution:

1. Notes that, according to the Court of Auditors annual report for 2024, the estimated level of error in spending in the area of ‘Cohesion, resilience and values’ amounts to 5,7 %, down from 9.3 % in 2023; notes that the Commission estimates the risk at payment for this spending area at 2.9 %; acknowledges the different methodologies of each of the institutions and the conclusion of a recent study that the error rate and risk at payment are not directly comparable; notes that both institutions agree that spending in this area is materially affected by errors;

2. Notes that both the Commission and the Court of Auditors have repeatedly stated that the complexity of the rules governing cohesion policy is responsible for a large share of the errors in this spending area; reiterates its previous calls for further simplification, which would reduce the risk of errors and, at the same time, ease beneficiaries’ access to funding; reiterates that the partnership principle, shared management and decentralisation must be at the heart of any future simplification of the policy;

3. Recalls that in 2024, several amendments to the cohesion policy framework, namely STEP and RESTORE, entered into force; highlights the importance of these instruments to enhance EU competitiveness and addressing the consequences of natural disasters; reiterates, nevertheless, that constant amendments to the cohesion policy framework lead to legal uncertainty and instability, and could undermine the long-term structural cohesion objectives of reducing disparities across the EU;

4. Highlights the role of the European Anti-Fraud Office and the European Public Prosecutor’s Office in protecting the financial interests of the Union and defending the rule of law; reiterates the need to provide these EU bodies with sufficient resources.

5. Is deeply concerned about the current EU budget proposals for 2028-2034, which intend to deliver cohesion policy through 27 separate national and regional plans and to apply a cash for reforms approach; rejects the proposed merging of cohesion, agricultural and fisheries funds, as it would put in a direct competition both local and regional authorities and all the sectoral policies covered by the fund; firmly rejects any attempt to nationalise cohesion policy planning; is concerned about the impact of the proposed model on the placed-based approach and multilevel governance of cohesion policy; stresses that the involvement of local and regional authorities in the design and implementation of cohesion policy should be mandatory.

ANNEX: DECLARATION OF INPUT

The rapporteur for opinion declares under her exclusive responsibility that she did not include in her opinion input from interest representatives falling within the scope of the Interinstitutional Agreement on a mandatory transparency register, or from representatives of public authorities of third countries, including their diplomatic missions and embassies, to be listed in this Annex pursuant to Article 8 of Annex I to the Rules of Procedure.