Local and regional leaders put forward their key requests on how to make EU's regional policy more flexible, robust and for all territories in the coming decade.

On the eve of the adoption by Member States of their conclusions on the future of Cohesion Policy, regions and cities have urged EU governments and the European Commission to recognise the paramount importance of this policy to tackle territorial disparities, promote the digital and green transition, and defend European democratic values in all regions. Proposals to reform Cohesion Policy after 2027 are included in an opinion adopted by unanimity on 29 November at the plenary of the European Committee of the Regions (CoR). The opinion was drafted by the president of the assembly, Vasco Alves Cordeiro, and by Emil Boc, chair of the CoR's Commission for Territorial Cohesion Policy and EU Budget.

The debate on how Cohesion Policy should be reformed after the current EU budgetary period 2021-27 is taking off. EU institutions are assessing the impact and the performance of Cohesion Policy in dealing with recent crises and boosting the green and digital transition. The CoR, which represents over 1 million elected local and regional politicians, puts forward crucial requests to reshape a policy that represents one-third of the EU budget and should continue to be prioritised as a cornerstone of economic, social, and territorial development in all European territories.

Emil Boc (RO/EPP) Chair of the CoR commission responsible for Territorial Cohesion Policy and EU Budget (COTER), Major of Cluj-Napoca, former Prime Minister of Romania and co-rapporteur of the opinion, stated: "Regions and cities are the barometer of people needs, and our citizens want a new way of living that is cleaner, inclusive, served by technology advancements and, most important of all, happy and fulfilled. The future of Cohesion Policy is the key for a better Europe. The success of the future of Cohesion Policy relies on a multi-level governance and shared management, the strengthening of the partnership principle and the need to implement the 'do no harm to cohesion' principle across the entire EU budget and policies."

In order to tackle exceptional crises and climate disasters, such as floods and wildfires, local and regional leaders propose the creation of a mechanism that can be activated at territorial level. On the one hand, this would allow the flexible use of funds in such circumstances. On the other hand, the new mechanism would avoid constant revisions of operational programmes, as occurred several times during the 2014-20 period, therefore safeguarding long-term investments.

"Cohesion policy should remain a structural policy, a long term investment with the main aim of reducing the disparities in our European Union: for a strong territorial, economic and social cohesion of our Europe! Europe cannot leave any region and any economic potential untapped. Cohesion Policy is the best instrument to mobilise the whole development potential of the EU and generating greater opportunities and well-being for Europeans regardless of where they live." Underlined Emil Boc, Mayor of Cluj Napoca

Regions and cities call also for a "European Partnership Pact", which would define a single set of rules and goals for all shared management funds, while ensuring consistency and simplification. The Pact would include also the European Agriculture Fund for Rural Development (EAFRD) as well as new instruments under hybrid forms of management, such as the – yet to be launched – Social Climate Fund.

 

Other key political requests

•           all European regions should remain eligible for funding in the future;

•           the shared-management model, multi-level governance and the partnership principle should be kept as guiding principles of Cohesion Policy post-2027;

•           the suspension of Cohesion Policy funds as a consequence of national governments' breaches of the EU fiscal rules (macroeconomic conditionality) should be eliminated. Long-term investments cannot be held hostage to national decisions;

•           national and regional investments required for EU Cohesion Policy co-funded projects should be excluded from the spending – and therefore from the debt - calculation within EU fiscal rules;

•           the objective of territorial cohesion must be binding for all European policies ('do no harm to cohesion' principle);

•           the overall funding architecture should be simplified to avoid a proliferation of investment tools directly or indirectly intended for cohesion.

 

Next steps

The opinion will now be published on the Official Journal of the European Union and sent to members of the European Parliament, relevant European Commissioners and representative from the 27 Member States.

On 4 December, the European Parliament's committee responsible for Economic and Monetary Affairs (ECON) is expected to vote a draft report which, if backed by MEPs, will be aligned with the CoR's request to exclude the investments in Cohesion Policy co-funded projects from spending calculations within the reform of the Stability and Growth Pact.

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