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Mobilisation of the European Globalisation Adjustment Fund: technical assistance by the Commission in 2018

2018/2048(BUD)

PURPOSE: to mobilise the European Globalisation Adjustment Fund (EGF/2018/000 TA 2018 - Technical assistance at the initiative of the Commission).

CONTENT: the rules applicable to financial contributions from the European Globalisation Adjustment Fund (EGF) are laid down in Regulation (EU) No 1309/2013 of the European Parliament and of the Council of 17 December 2013 on the European Globalisation Adjustment Fund (2014-2020) and repealing Regulation (EC) 1927/2006 (the ‘EGF Regulation’).

In accordance with Article 11(1) of the EGF Regulation, a maximum of 0.5 % of the annual maximum amount of the EGF may be made available each year for technical assistance at the initiative of the Commission.

In this context, technical assistance to be funded and a break-down of its estimated costs are as follows (total estimated costs EUR 345 000):

  • Monitoring and data gathering: the Commission will collect data on applications received, paid and wound up, and measures proposed and implemented. This data will be made available on the web site and compiled in appropriate form for the Biennial Reports of 2019 and 2021. Building on the work of recent years, costs for this activity will be EUR 20 000.
  • Information: the web site on the EGF, which the Commission has set up within its Employment, Social Affairs and Inclusion area, and which it is maintaining, will be regularly updated and expanded, with each new element also being translated into all EU languages. General awareness of the EGF will be increased and its visibility promoted including a small print run of the EGF mid-term evaluation and an online publication. Costs of all these items are estimated at EUR 20 000 in 2018.
  • Creation of a knowledge base: the Commission is continuing its work on standardised procedures for EGF applications and management. This allows applications under the EGF Regulation to be simplified, their processing to be speeded up and reports to be more easily extracted for varying needs. As most of the programming has been done in the past years, only further fine-tuning and adjustments to possible changes are needed. Due to the lower programming costs and equal maintenance costs, the funds needed are lower than in the past years. The cost of these items is estimated at EUR 80 000.
  • Administrative and technical support: the Expert Group of Contact Persons of the EGF, with one member from each Member State, will be holding three meetings (second half of 2018 / first half of 2019). The total costs of these three meetings are estimated at EUR 105 000. In addition, in order to promote networking among the Member States, the Commission will organise two seminars with the participation of EGF implementing bodies and social partners. The cost of these items is estimated at EUR 120 000.

Financing: the maximum annual budget available for the EGF in 2018 is EUR 150 million in 2011 prices (EUR 172 303 000 in 2018 prices). Article 11(1) of the EGF Regulation states that 0.5 % of this amount (i.e. EUR 861 515 in 2018) can be made available for technical assistance at the initiative of the Commission. Currently, the entire amount for 2018 remains available; nothing has yet been allocated to technical assistance. The proposed amount corresponds to about 0.2 % of the maximum annual budget available for the EGF in 2018.

The proposed decision to mobilise the EGF will be taken jointly by the European Parliament and the Council, as laid down in point 13 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management.

At the same time as it presents this proposal for a decision to mobilise the EGF, the Commission will present to the European Parliament and to the Council a proposal for a transfer to the relevant budgetary line for the amount of EUR 345 000. Appropriations from the EGF budget line will be used to cover the amount of EUR 345 000 needed for technical assistance.