Documents considered by the Committee on 5 February 2014 - European Scrutiny Committee Contents


12 Trans-European Transport Network

(a)

(35722)

5166/14

+ ADD 1

COM(13) 940

(b)

(35725)

5162/14

+ ADD 1

C(13) 9690

(c)

(35745)

5528/14

+ ADDs 1-3

C(14) 95


Commission Communication: Building the transport core network: core network corridors and Connecting Europe Facility



Commission Delegated Regulation (EU) No. .../... of 7.1.2014 amending Annex I to Regulation (EU) No. 1316/2013 of the European Parliament and of the Council establishing the Connecting Europe Facility

Commission Delegated Regulation (EU) No. .../... of 17.1.2014 amending Regulation (EU) No. 1315/2013 of the European Parliament and of the Council as regards supplementing Annex III thereto with new indicative maps

Legal base (a) —

(b) and (c) Article 172 TFEU; co-decision; QMV

Documents originated (a) and (b) 7 January 2014

(c) 17 January 2014

Deposited in Parliament (a) 14 January 2014

(b) 16 January 2014

(c) 24 January 2014

Department Transport
Basis of consideration EM of 30 January 2014
Previous Committee Report None
Discussion in Council (a) Not known

(b) The period for Council scrutiny ends on 7 March 2014

(c) The period for Council scrutiny ends on 17 March 2014

Committee's assessment Politically important
Committee's decision Cleared

Background

12.1 The Trans-European Transport Network (TEN-T) programme finances infrastructure projects and studies for roads, railways, inland waterways, airports, ports, satellite navigation and traffic management systems lying on the designated TEN-T network. Following a policy review, which began in 2010, new Regulations were adopted in 2013: Regulation (EU) No. 1315/2013 and Regulation (EU) No. 1316/2013.

12.2 Regulation (EU) No. 1315/2013, the Connecting Europe Facility (CEF) Regulation, established the CEF, bringing together the three Trans-European Networks (transport, telecommunications and energy) infrastructure funding programmes into one package, for the period 2014-20 and set out the conditions, methods and procedures for providing funding. The Regulation provided for €33.24 billion (£27.70 billion), at current prices, of which €26.25 billion (£21.88 billion) is for the TEN-T and within which is €11.31 billion (£9.43 billion) from the Cohesion Fund provision for the period 2014-20.

12.3 Regulation (EU) No. 1316/2013 established new guidelines for the TEN-T. It describes a Comprehensive Network, of which it says Member States "shall make all possible efforts with the aim of completing" the network by 31 December 2050, and, within that, a higher priority Core Network, of which it says "Member States shall take the appropriate measures" for completion by 31 December 2030.

12.4 Both Regulations provide for the Commission to make delegated acts in relation to some defined matters. The Regulations say of such acts that they:

"shall enter into force only if no objection has been expressed either by the European Parliament or by the Council within a period of two months of the notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or of the Council."

The documents

12.5 The Commission has published:

·  a proposed delegated act to supplement the CEF Regulation in order to list the funding priorities to be reflected in the annual and multiannual work programmes, document (b);

·  an accompanying Communication, document (a); and

·  a proposed delegated act to amend Annex III of the TEN-T Regulation to include maps defining the connections of the TEN-T to the transport networks of neighbouring countries, document (c).

12.6 The CEF Regulation requires the Commission to implement a delegated act detailing the "funding priorities to be reflected in the work programmes". The delegated act proposed, document (b), will insert an Annex into the CEF Regulation to provide clarity on the actions which will be eligible for funding under the facility by bringing together the different priorities expressed in the Regulation into one place. The structure of the delegated act reflects the multiannual and annual work programmes and the different modal objectives expressed in the CEF Regulation.

12.7 In the Communication which accompanies the delegated act to supplement the CEF Regulation the Commission:

·  gives information on the indicative budget for the different priorities and the instruments available, providing a guide to potential applicants on the management of programme funds;

·  provides information on the main aspects of the management of the CEF; and

·  outlines how the Commission will support the creation and functioning of the Core Network Corridors.

12.8 The Core Network Corridors are defined in Annex I of the CEF Regulation and are intended to be an implementation tool for the Core Network. The Commission says that:

·  it will appoint European Coordinators to facilitate the implementation of the corridors;

·  each Coordinator will be assisted by a Corridor Forum set up with the agreement of Member States, which may be supported by working groups if required;

·  in collaboration with Member States each Coordinator will produce a work plan which will identify the bottlenecks and interoperability issues for the corridor;

·  the work plan must be agreed with Member States and put in place by December 2014;

·  the Commission may, with the agreement of Member States, adopt the work plan as an implementing act;

·  Coordinators will also be appointed for Motorways of the Sea and the European Rail Traffic Management System (ERTMS), the horizontal objectives of the TEN-T;

·  the programme will be managed in the same way as the 2007-13 TEN-T programme;

·  the Commission will directly manage the programme assisted by the Innovation and Networks Executive Agency;

·  work programmes defining the competitive calls for funding and subsequent awards will be adopted after the approval of the CEF Committee (composed of representatives from all the Member States);

·  evaluation of applications will remain the same — a technical evaluation by independent experts, moderated by Innovation and Networks Executive Agency panels of experts and followed by an internal evaluation by the Commission;

·  the Commission aims to coordinate TEN-T funding from the CEF more effectively with other EU funding programmes than has been done in the past, to ensure better EU added value; and

·  the Cohesion Fund element of the CEF will be managed differently, with more active involvement of the Member States qualifying for Cohesion Funds (the UK does not qualify for this element of the CEF).

12.9 The Communication is accompanied by a Staff Working Document which sets out the Commission's planning methodology for defining the TEN-T Core and Comprehensive Networks, including the different thresholds for inclusion of ports airports and other nodes.

12.10 The TEN-T Regulation allows the Commission to adopt a delegated act amending Annex III to include indicative maps which define the connections of the TEN-T to the transport networks of neighbouring countries. The proposed delegated act, document (c), will include in Annex III maps for the Eastern Partnership Transport Network — Armenia, Azerbaijan and Georgia, maps for the Eastern Partnership Transport Network — Belarus, Moldova and Ukraine, and maps for the Northern Dimension Partnership on Transport and Logistics — Belarus and the Russian Federation. The inclusion of these maps is to allow a more targeted EU co-operation with the countries concerned and enable limited co-financing of cross-border projects from the annual work programme of the CEF. Further maps will be added as agreements are put in place with other relevant neighbourhood countries.

The Government's view

12.11 The Parliamentary Under-Secretary of State, Department for Transport (Mr Robert Goodwill), saying that there are no significant policy implications or impacts arising from these documents, tells us that the Government does not intend to delay the commencement of the TEN-T programme by objecting to the delegated acts during the Council's two-month scrutiny period.

12.12 The Minister then comments on the context of the proposals, saying that:

·  the UK has been supportive of an EU role in transport infrastructure, especially where this concerns routes that are essential for movement of goods and people within the single market;

·  the TEN-T and CEF Regulations focus on improving cross-border sections, removing bottlenecks and facilitating interoperability and inter-modality will help to do this;

·  the TEN-T Regulation should encourage a more efficient and economic network;

·  in negotiating the TEN-T and CEF Regulations the Government's aim was to minimise the impact of additional financial or administrative burdens on the UK from the technical standards and infrastructure developments contained in the new legislation; and

·  the Government believes that the final Regulations contain sufficient flexibility to address its original concerns, particularly in relation to technical standards and deadlines, by recognising the need to take account of Member States' finances and to consider the economic viability of projects.

12.13 Turning to the documents themselves the Minister says that:

·  one of the Government's key concerns during the negotiation was the potential for the corridor management process to have an impact on Member States' ability to decide on which projects they should develop and invest in for national networks and the potential for additional bureaucracy and programme management costs;

·  the Government will work with the Corridor Coordinator and Forum to ensure that administrative costs and information obligations are kept to a minimum;

·  the Communication is unclear about funding for the Core Network;

·  the CEF delegated act itself, which is the legal basis for the programme priorities, and Annex I of the CEF Regulation are, however, both clear that Core Network projects are eligible for funding;

·  the Government does not foresee any barriers to UK projects on the Core Network seeking funding from the programme (subject to the provisions of the TEN-T and CEF Regulations);

·  it should be noted that the process for managing the CEF will be broadly the same as for the 2007-13 TEN-T programme — funding will be allocated through competitive calls and projects seeking TEN-T support should be mature, with a financing package in place and should meet the specific criteria and timescales set by the Commission;

·  the Government will continue to engage with the Devolved Administrations to consider the appropriate level of UK representation on the Corridor Forum;

·  these documents place no direct burdens or obligations on business or the third sector;

·  the Government will work with the Commission and Corridor Coordinator to ensure that any administrative costs or information obligations arising from corridor coordination are kept to a minimum, in line with the EU's commitment to reduce the burdens of regulation and the UK's Better Regulation agenda;

·  there are no direct financial burdens on Member States arising from the delegated acts;

·  there will be very minor costs to the Department for Transport, which will be associated with participation in the Corridor Forums and engagement with the Corridor Coordinator — the Government expects that these will be absorbed within current administrative budgets; and

·  the Government will work to ensure that the coordination process and any associated reporting requirements impose the minimum burden on participants.

Conclusion

12.14 The proper management of the funding for Trans-European Transport Network projects is important. However, we are content that these documents do not require further scrutiny and accordingly clear them.


 
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Prepared 18 February 2014