Documents considered by the Committee on 19 March 2014 - European Scrutiny Committee Contents


12   Environmental impact assessments

(34379)

15627/12

+ ADDs 1-2

COM(12) 628

Draft Directive amending Directive 2011/92/EU of the assessment of the effects of certain public and private projects on the environment

Legal baseArticle 192(1) TFEU; co-decision; QMV
DepartmentCommunities and Local Government
Basis of considerationMinister's letter of 10 February 2014
Previous Committee ReportsHC 86-xxv (2012-13), chapter 4 (19 December 2012) and HC 86-xxxiii (2012-13), chapter 9 (27 February 2013)
Discussion in CouncilSee para 11.7 below
Committee's assessmentLegally and politically important
Committee's decisionCleared

Background

12.1  As we noted in our Report of 19 December 2012, Directive 2011/92/EU[33] establishes a procedure for identifying whether or not a project is likely to have a significant environmental effect (and hence be subject to an impact assessment), and how that assessment should be conducted, including the information to be provided by developers, and the procedures for consulting authorities with environmental responsibilities and the public. We also noted that, because a number of shortcomings had been identified in the Directive, the Commission had put forward in October 2012 this proposal, which sought to focus assessments on a smaller number of projects with significant environmental effects; to improve their quality; and to ensure that the Directive is applied consistently.

12.2  We were told that the Government supported the Commission's intention to streamline the environmental impact assessment process, but that it was important to achieve an appropriate balance between protecting the environment and imposing burdens on developers and competent national authorities, its initial view being that the proposal did not achieve this. It also suggested that, although the EU and Member States share competence in this field, some of the changes should be left to Member States, and that it was important to avoid disproportionate impacts on small and medium-sized enterprises (SMEs).

12.3  We commented that it was evident this proposal raised a number of concerns, with clearly significant differences between the view taken by the Commission on many issues and that of the Government. We added that, although the changes proposed seemed to us to give rise more to issues of proportionality than of subsidiarity, it would be helpful if the Assessment which the Government had said it would be providing could explicitly address that issue. In the meantime, we also said that we were drawing the proposal to the attention of the House, whilst holding it under scrutiny.

12.4  Our Report also dealt at some length with the fact that, if subsidiarity issues had arisen, the late submission of the Explanatory Memorandum would have made it difficult, if not impossible, for the House to submit a Reasoned Opinion under Article 6 of Protocol (No. 2) TFEU on the Application of the Principles of Subsidiarity and Proportionality within the deadline for doing so. We therefore asked for an explanation why the Memorandum could not have been supplied earlier, the Government's (somewhat unconvincing) response to this question being the main focus of our subsequent Report of 27 February 2013.

Minister's letter of 10 February 2014

12.5  We have now received from the Secretary of State for Communities and Local Government (Mr Eric Pickles) a letter of 10 February 2014, in which he says that the Government had been very clear that many of the Commission's proposals would be unacceptable to the United Kingdom, and that, as its concerns were largely shared by other Member States, these had been addressed in the Council's position. However, the European Parliament had voted in plenary on 9 October 2013 on amendments which broadly supported the original Commission text, but which had also made additional proposals which would have increased burdens, added further complexity to the existing environmental impact assessment procedure, and would in particular have made all activities associated with shale gas exploration and extraction subject to mandatory assessment.

12.6  The Minister adds that, as securing changes on shale gas had been the Parliament's key objective, it seemed unlikely that the negotiations would be successful. However, because of its elections this year, its Rapporteur had been keen to secure a quick agreement, and the Parliament had therefore delayed its first reading and had instead agreed to enter into trilogue discussions with the Council, for which the Presidency had been given a mandate to take a strong line, and not accept amendments which could unnecessarily add to business costs. In particular, the UK had played a leading part in a blocking minority of Member States which had made it clear that the Parliament's proposed changes relating to shale gas were completely unacceptable.

12.7  The Minister says that, contrary to earlier indications, agreement was unexpectedly reached in principle in the run up to Christmas, and that, although the text had still to be voted on by the European Parliament, this was expected in March or April. He adds that, if the Parliament does vote to accept it, the formal agreement of the Council will then be required, but his expectation is that this will be forthcoming. He says that, given the UK's long-standing domestic environmental safeguards, there really is no need for European legislation in this area, but he believes that, despite pressure from the European Parliament, the agreed text — though not perfect — is a significant improvement on the Commission's original proposal. He therefore asks if we would be able to provide the necessary scrutiny clearance for this concluding stage.

12.8  The Minister's letter is accompanied by an Impact Assessment analysing the effect of each of the elements of the Commission's original proposal, and, although this notes the difficulty of making any precise estimate, it suggests that the costs to the UK would have been about £25 million a year for competent authorities and £45 million for developers. He says that it is not possible at present to assess the equivalent costs of the compromise text, but he does not anticipate that these will be significant as all the provisions which would have been costly have either been deleted or made voluntary. These include the pre-screening of projects to assess whether an environmental impact assessment is needed, the mandatory "scoping" of proposals, the use of accredited experts to prepare and verify environmental reports, and the introduction of a one-stop consenting process for projects requiring environmental assessments under more than one EU Directive. Also, the timeframes in the negotiated text are now broadly in line with practice in the UK.

Conclusion

12.9  As we commented in our initial Report on this document, it deals with a detailed and complex area, making it difficult to form a clear picture of the changes proposed and their precise implications. However, it would appear from what the Minister has said that, contrary to earlier indications last autumn, it has been possible to reach agreement with the European Parliament on a text which omits the most undesirable and burdensome elements, including those which the Parliament had been keen to see on shale gas. Consequently, although we are using this further Report to draw the most recent developments to the attention of the House, we are now willing to clear the document.



33   OJ No. L 26, 28.1.12, p.1. Back


 
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Prepared 28 March 2014