Select Committee on European Scrutiny Thirty-Sixth Report


22 Extension of the PEACE II Programme

(26033)

13571/04

COM(04)631

Draft Council Regulation amending Regulation (EC) No. 1260/1999 laying down general provisions on the Structural Funds concerning the extension of the duration of the PEACE programme and the granting of new commitment appropriations

Legal baseArticle 161 EC; assent; unanimity
Document originated13 October 2004
Deposited in Parliament21 October 2004
DepartmentNorthern Ireland Office
Basis of considerationEM of 3 November 2004
Previous Committee ReportNone
To be discussed in CouncilNo date set
Committee's assessmentPolitically important
Committee's decisionCleared

Legal background

22.1 Article 158 of the Treaty establishing the European Community (the EC Treaty) provides that, in order to strengthen economic and social cohesion, "the Community shall aim at reducing disparities between the levels of development of the various regions and the backwardness of the least favoured regions or islands, including rural areas". Article 159 of the Treaty says that the Community is to support the achievement of these objectives through, among other things, the Structural Funds. Article 161 requires the Council to define the tasks, priorities and organisation of the Structural Funds.

22.2 In 1999, the Council adopted a Regulation making general provisions for the operation of the Structural Funds.[54] Article 7(4) of the Regulation establishes the PEACE programme for the years 2000-04 for the benefit of Northern Ireland and the border areas of Ireland.

The PEACE programmes

22.3 Following the paramilitary ceasefires of 1994, the Community established the Special Programme for Peace and Reconciliation (PEACE I). It covered the period 1995-99. In the light of the Belfast Agreement of 1998 and the establishment of devolved institutions and cross-border cooperation, the Council decided to extend the programme for a further four years, ending in December 2004 (the PEACE II programme).

22.4 The estimated total expenditure of the PEACE II programme for 2000-04 is €708 million. It provides support for projects in Northern Ireland and the border areas of the Republic of Ireland in aid of the peace process and to promote reconciliation.

Request for extension of the PEACE II programme

22.5 In May 2004, the Prime Minister and the Taoiseach wrote to the President of the European Commission, noting the achievements of the PEACE I and II programmes and the contributions they have made to the Northern Ireland peace process and requesting the extension of the PEACE II programme until December 2006. The Commission's President replied that the Commission was keen to maintain these efforts. In June, the European Council confirmed its support for the efforts of the two Governments to re-establish the devolved institutions and invited the Commission to examine how the extension of the programme might be provided.

The document

22.6 The draft Regulation proposes the amendment of Article 7(4) of the Regulation of 1999 to extend the PEACE II programme until December 2006 and to provide total appropriations of nearly €60 million for the two years.

The Government's view

22.7 The Parliamentary Under-Secretary of State at the Northern Ireland Office (Mr Ian Pearson) tells us that the European identity of the PEACE programmes has ensured that, especially in Northern Ireland, the programmes have been seen as neutral in terms of local community divisions. This has enabled the programmes to work on a cross-community and cross-border basis in a way that would not have been possible otherwise.

22.8 The draft Regulation provides for the European Community to supply nearly €30 million a year in 2005 and 2006. The Governments would provide matching funds. Roughly two-thirds of the money would be spent on Northern Ireland projects and the rest on projects in the border areas of the Republic of Ireland. This is in line with the request made by the two Governments. The financial contribution from the Community would come from the Structural Funds and would be found from a transfer from the Cohesion Fund (on which we are reporting separately).[55]

Conclusion

22.9 We welcome the proposal for the extension of the PEACE II programme. We are satisfied that the draft Regulation is proportionate, founded on an appropriate legal base and does not conflict with the principle of subsidiarity. Accordingly, we clear the document from scrutiny.


54   Regulation (EC) No. 1260/1999, OJ No. L 161, 26.6.99, p. 1. Back

55   See (26029) 13515/04 para 21 of this Report. Back


 
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