27 dead in 24 hours – and a quick ceasefire. That was the situation one day after Azerbaijani army soldiers entered Nagorno-Karabakh. Whether the guns really fell silent overnight, as agreed by both sides, is unclear at the moment.
The government in Baku has offered the ethnic Armenian fighters, who are being persecuted as separatists, free passage in exchange forthe voluntary surrender of heavy weapons. 5,000 men are said to be entrenched in the villages and communities around Stepanakert.
The escalation in the enclave, which is not recognized under international law, was months in the making – and yet Olaf Scholz and Emmanuel Macron were unable to exert their influence over Azerbaijan’s ruler Ilham Aliyev. A weakness of the EU.
There can only be a diplomatic solution, demanded German Foreign Minister Annalena Baerbock on the sidelines of the UN General Assembly. The EU and the German government also advocated this in New York. “There will only be a peaceful solution to this conflict if military action is stopped immediately”, Baerbock added.
The European Commission yesterday (Wednesday) proposed to EU member states to extend the approval of glyphosate in the European Union by ten years. In doing so, the EU executive recognizes the risks and uncertainties identified by the European Public Health Agency (ECDC) and leaves it up to the states to “pay close attention” to the side effects of glyphosate.
Ten years is more than the last authorization, which was granted for five years, but less than the maximum of 15 years provided for in EU law. “If within those 10 years information emerges that calls into question EFSA’s conclusions or what we have concluded based on our analysis, we can always reconsider the authorization“, a senior EU official added.
In July, the European Food Safety Authority (EFSA) had assessed a renewed approval of the controversial weedkiller in the European Union as non-critical. However, EFSA pointed to data gaps that left risks to consumers and aquatic plants inadequately assessed. In addition, the authority admitted that information on the toxicity of so-called “cocktail effects” was lacking – this refers to the interaction of glyphosate and active substances that are components of other pesticides.
Member states to be responsible
Based on the evaluations of the European Chemicals Agency (ECHA) and EFSA, the Commission judges that “it has been established that for one or more representative uses […] the criteria for authorization are met”. However, it then explains all the risks and uncertainties pointed out by EFSA in its evaluation, in particular with regard to co-formulants, residues in rotational crops, surface water or small herbivorous mammals.
On all these points, the Commission passes the ball back to the individual member states, which are then responsible for granting authorizations at the national level. It leaves them with the responsibility to “watch out” for possible side effects in their assessment procedures and to take adaptation measures if necessary.
However, the Commission has decided to ban one specific use of glyphosate: desiccation, the application of glyphosate to dry a crop before harvest. This practice, considered incompatible with EU law, may no longer be allowed by states from the entry into force of the text, which is scheduled for mid-December.
‘Environmental and health scandal’
“This is an environmental and health scandal, the factual situation on the safety of glyphosate is questionable”, said Martin Häusling, agricultural policy spokesman for the Greens in the European Parliament and member of the Environment and Health Committee. He underlines that EFSA itself stated in its assessment that there are still open questions and data gaps. In his view, the Commission is counteracting its own credibility and coherence with this submission. “You cannot continue to use the best-selling, highly toxic pesticide glyphosate when the declared EU goal is the sustainable use of pesticides (SUR) and the restoration of nature (Nature Restoration Law)”, Häusling said.
Norbert Lins (CDU), Chairman of the Committee on Agriculture and Rural Development, on the other hand, welcomes the Commission’s decision. “This is an important step for agriculture, because European farmers need planning security”, he said. “Rarely” has an active ingredient been studied “as closely” as glyphosate, he stressed, recalling the exchange at the beginning of August on the available studies with EFSA’s executive director. “Bernhard Url explained to us once again that EFSA did not identify any critical problem areas in its peer review of the risk assessment of the active ingredient glyphosate. Accordingly, there is nothing to prevent the re-approval from a scientific point of view”, said Lins.
Vote mid-October
“We have received comments from a total of 17 member states, mainly technical comments”, the EU official continued. “Several” member states have already “expressed support” for the renewal, he said, while others have not commented. “One member state has indicated that it will not support the renewal”, the official said, without naming it. Germany plans to ban glyphosate from the beginning of 2024.
The European Commission will present a draft implementing act to the 27 member states at the Standing Committee of EU Member States on Plants, Animals, Food and Feed (SCoPAFF) on Friday. States will be called to vote at SCoPAFF – scheduled so far for Oct. 13. That will require a qualified majority of 15 members representing at least 65 percent of the EU population.
A new vote could take place in November if the qualified majority was not reached, the EU official specified. “However, the Commission has the firm intention to complete this decision-making process before Dec. 15”, which is the expiration date of the current authorization. “Because any delay would lead to the current authorization having to be extended for a further period.”
Forza Italia: survival without Berlusconi
Silvio Berlusconi’s legacy has been distributed. At the beginning of the week, the five children of the Italian ex-prime minister signed a deed settling at least the economic estate of the Cavaliere. According to the newspaper Il Sole 24 ore, the estate amounts to €5 billion; in addition to shares in companies and investments in real estate, it is said to consist primarily of art, securities and cash.
But what will become of Berlusconi’s political legacy? What will become of his Forza Italia party? On the day after the inheritance regulation, it has once again reached a new low in the polls: It currently stands at 6.4 percent. A few days ago, the party’s youth organization held its meeting in Gaeta. Many wore T-shirts with Berlusconi’s likeness on them. Also present was the new party leader: Antonio Tajani. The 70-year-old will lead Forza Italia until the official party congress at the end of February 2024, a few weeks before the European elections in June.
That Berlusconi’s footstepsare actually too big for anyone to fill is shown just by looking at Tajani’s office. He is “Segretario” of Forza Italia and no longer “Presidente”. After all, “there could only be one president”, as Tajani said at the special party congress on July 15, when he was unanimously elected interim successor to the late party father.
New party profile 30 years after foundation
Until the party congress and the European elections, Tajani now has only a few months to give Forza Italia a profile again after the death of its founder. This is the party’s 30th birthday, as it were, since Berlusconi, a media entrepreneur, founded Forza Italia at the beginning of 1994. Ostensibly, to “save Italy from the Communists”. Behind the scenes, he wanted to further expand his empire and get rid of unpopular laws. Shortly before, the two popular parties Democrazia Cristiana and Partito Socialista Italiana had disappeared from the scene in Italy after far-reaching corruption scandals.
Berlusconi had the financial means and the media channels to fill the power vacuum that had arisen in Rome. He was elected prime minister for the first time in 1994. Berlusconi wasItaly’s head of government four times between 1994 and 2011. But long before his death on June 12 of this year, Forza Italia was already going downhill.
Forza Italia entered the current government still under its all-time president – but as the weakest force of the three coalition parties. Berlusconi’s party received only 8.1 percent of the vote in the early parliamentary elections last September. Shortly after the party leader’s death, approval rose briefly to 9.5 percent – probably out of nostalgic loyalty. It then plummeted to the current 6.4 percent.
Tajani stands for continuation of Berlusconism
Interim party leader Tajani was the only candidate at the special party conference – and the only option for the party at the moment. He stands for a continuation of Berlusconi’s political legacy, was part of Forza Italia from its inception and has always been loyal to the Cavaliere’s side. He was government spokesman in Berlusconi’s first cabinet.
Later, Tajani spent most of his political career in Brussels and Strasbourg – which could now be to his and his party’s advantage in Rome. As a former MEP (1994 to 2008 and 2014 to 2022), EU Commissioner (2008 to 2010 for Transport, 2010 to 2014 for Industry) and President of the European Parliament (2017 to 2019), he knows his way around Europe, is very well connected and enjoys a certain political respect. He is now foreign minister in the cabinet of Giorgia Meloni.
Both in Europe and at home, Meloni needs her weak coalition partner more than ever. While Lega leader Matteo Salvini is already flirting with the extreme right of France’s Marine Le Pen and Germany’s AfD at the EU level, Meloni’s partner of choice in the EU is Christian Democrat Manfred Weber and his EPP. Tajani is vice president of the group. And in Italy, the survival of the government depends on the survival of Forza Italia: If the party breaks up and the 63 deputies and senators look for a new political home, there is a high probability that some of them will turn toward Matteo Renzi. Renzi is currently working on his dream of a genuine center-right party.
So good chances for Tajani after all?
Voters are unlikely to care about these tactical considerations. Too close to Meloni or Salvini could bring Forza Italia too close to the right – and thus also pave the way for Renzi’s project. In addition to the party’s lineup in terms of content and personnel, its finances are also likely to determine its political survival. Berlusconi was, after all, a rich man. Of the party’s debts of almost €100 million, Berlusconi had guaranteed €90 million. So far, his children have said nothing about withdrawing this support. But it could still come.
Berlusconi was able to score points with voters primarily with his personality, charisma and nihilistic attitude. He could basically say and do whatever he wanted – people forgave him for it. The charisma of the 70-year-old Tajani, on the other hand, is rather soporific. At Forza Italia party events, the hymn “meno male che Silvio c’è” (“lucky Silvio exists!”) was regularly played. That a hymn with Tajani’s name would ever be fervently intoned – unthinkable. By Almut Siefert
Events
Sept. 25-26, 2023; León (Spain) ENISA, Conference21st CSIRTs Network Meeting The European Union Agency for Cybersecurity (ENISA) intends to contribute to developing confidence and trust between the Member States and to promote swift and effective operational cooperation.INFO & REGISTRATION
Sept. 26, 2023; 9 a.m.-5 p.m., Brussels (Belgium) ConferenceSmall-Scale, Big Impact: Innovative Approaches for Local Food Processing This conference provides insights into the benefits of 4 small-scale mild processing technologies and explores the relevance of the FOX approach for health and sustainability, short food supply chains and local production hubs, consumer engagement for sustainable consumption, and life cycle costs.INFO & REGISTRATION
Sept. 26, 2023; 3-5 p.m., Brussels (Belgium)/online ERCST, RoundtableThe Paths to Decarbonized and Sustainable Transport -outline of the second report The European Council on Climate Change and Sustainable Transition (ERCST) presents the outline of its report that assesses current legislative pathways to decarbonise heavy-duty transport and makes recommendations for new pathways complementary and/or alternative to the existing ones.INFO & REGISTRATION
News
Bundesbank Vice-President Buch clears hurdle
The Vice-President of the German Bundesbank, Claudia Buch, cleared a decisive hurdle on her way to the top of the banking supervision of the European Central Bank (ECB) on Wednesday. After a public hearing in the EU Parliament’s Economic and Monetary Affairs Committee (ECON), which was marked in part by very uncomfortable questions, 29 MEPs backed the German financial expert, 23 voted against her, and two abstained. The background for the extremely critical attitude of the Parliamentarians was that in an earlier secret ECON meeting, the coordinators of the political groups had spoken out in favor of Buch’s competitor Margarita Delgado, Vice President of the Bank of Spain.
The ECB Council, on the other hand, had overruled this in its vote and decided in favor of Buch. Following the ECON vote, the further steps to appoint Buch are nowconsidered a formality. Buch should thus be able to take over as head of the ECB’s banking supervision in early 2024. She succeeds Italy’s Andrea Enria, who steps down at the end of December. The ECB banking supervisor has been responsible for overseeing the largest financial institutions in the eurozone since the end of the financial crisis.
EP vote has repercussions for other EU personnel decisions
The decision in favor of Buch is also likely to have an impact on another personnel matter in the EU. Currently, Danish EU Competition Commissioner Margrethe Vestager and Spanish Finance Minister Nadia Calviño are considered favorites to succeed Werner Hoyer as head of the European Investment Bank(EIB). Informed circles see Calviño as the candidate with the slightly better cards. The Spaniard has the backing of the three large EU states Germany, France and Italy, and the German side in particular is now likely to make a strong case for Calviño after the Spaniard Delgado was defeated by Buch.
However, a decision is not yet foreseeable, they said. The Dane Vestager could count on a solid group of smaller states, it was said in the circles. The attempt by Belgian Finance Minister Vincent Van Peteghem, currently Chairman of the EIB Board of Governors, to reach a consensus solution has had little success so far. The goal of reaching a decision at the next regular meeting of EU finance ministers in October is therefore not a foregone conclusion. If it comes to a fight vote, Vestager or Calviño would have to unite 18 member states and 68 percent of the bank’s subscribed capital to succeed Hoyer, who is leaving the bank at the end of the year after 12 years. cr/rtr
Ukraine hopes for 12th sanctions package before year’s end
Ukraine is pushing for the EU to expandenergy sanctions against Moscow to include Russian LNG gas. Russia has been able to massively expand exports of liquefied natural gas to some EU states, Vladyslav Vlasyuk said. President Volodymyr Zelenskiy’s sanctions adviser was at a coordination meeting in Brussels this week, where he urged a ban on imports of Russian LNG. There is enough liquefied natural gas from other suppliers on the market, Vladyslav Vlasyuk said.
According to Ukraine’s ideas, the LNG ban should be part of a 12th sanctions package. Zelenskiy’s sanctions adviser hopes that the EU will agree on a new package before the end of the year. Vlasyuk does not expect nuclear sanctions to be included because they would be difficult to implement. In the case of Russian rough diamonds, he said, a technical solution is emerging with regard to traceability at the level of the G7 countries.
The good news is that the cap on Russian crude is working, Vladyslav Vlasyuk said, referring to existing energy sanctions. Moscow must sell to India under the $60-per-barrel cap, he said. However, the effectiveness is diminishing because Russia is switching to non-European shipping companies or insurance companies. A ban on the transit of tankers carrying Russian crude oil should therefore also be discussed. In Ukraine’s view, the cap should also be lowered in a next step to remain effective, namely to $30 per barrel.
Russia buys Western technology through workarounds
Ukraine also wants the focus to be on circumvention deals and violations of the sanctions regime. The new EU sanctions coordinator David O’Sullivan is doing a good job, says Vladyslav Vlasyuk. Since taking office in the spring, the former top EU diplomat has visited states such as Turkey, Azerbaijan, Armenia, Georgia and the United Arab Emirates, which have come under criticism as hubs and loopholes. But member states must now also use the new instruments to punish sanctions violations, Vlasyuk said.
Another topic of the meeting was Western technology and dual-use goods: missiles and Iranian drones of the Shahed type are now all produced in Russia, the sanctions coordinator said. Parts from Western manufacturers are regularly found in the projectiles, he added. In the first months after the invasion, Moscow had admittedly struggled to obtain key components. In the meantime, however, Russia’s access to critical components has returned to pre-aggression war levels, he said. According to President Zelenskiy’s adviser, Russia was able to import key components for weapons worth €5.6 billion in the first half of the year. Russia would have to spend more, but would still be able to obtain the sought-after technology in a roundabout way. sti
Security policy
China: Chamber of Commerce positions itself ahead of Dombrovskis visit
The European Chamber of Commerce in China hopes for clear words during the upcoming visit of EU Trade Commissioner Valdis Dombrovskis. “My expectation would be that the historically very high trade imbalance between Europe and China would be brought up”, Chamber President Jens Eskelund said at the presentation of its latest position paper in Beijing on Wednesday, according to DPA. Dombrovskis is scheduled to be in Beijing from Sept. 23-26 to meet China’s Vice Premier He Lifeng, among others.
Eskelund expects that the announced EU investigation into Chinese subsidies for electric car manufacturers will also be discussed. “I am sure the Chinese side will also have a number of questions for Europe.” The investigation was announced by EU Commission President Ursula von der Leyen last week in her State of the European Union address.
According to Eskelund, experts recognize that production capacities in China are higher than demand. Overcapacity has a significant impact on the auto market, he said. The Chamber hopes that the investigation will be used to address any imbalances or shortcomings in fair competition. ari
China
Trade
Municipal wastewater: ENVI wants weaker polluter-pays principle
The members of the Environment Committee in the EU Parliament (ENVI) have agreed by a large majority on a weakened polluter-pays principle in the revision of the directive on the treatment of urban wastewater. According to the compromise, industry – in particular manufacturers of pharmaceutical products and cosmetics – is to share 80 percent of the costs for recycling polluted water, rather than 100 percent as the Commission had proposed.
Although the German municipal water industry welcomes the decision in favor of a polluter-pays principle, it would like to see a full-cost approach without 20 percent co-financing from national funds. “In order for the polluter pays principle to actually have its guiding effect, we believe this should be implemented consistently”, explained Ulrike Franzke and Bernd Fuchs, both members of the VKU Steering Committee Water/Wastewater.
Nevertheless, they believe the fundamental approach of industry sharing responsibility is an “overdue paradigm shift”. If implemented correctly, this will ensure that manufacturers use products that are less harmful to water bodies, Franzke and Fuchs told Table.Media. On the other hand, producer responsibility also ensures that companies whose products pollute waters are asked to pay to finance the implementation of new specifications and requirements for wastewater treatment plants.
More water recycling
The ENVI report also calls for increased reuse of treated wastewater. MEPs call for EU countries to draw up “water saving and reuse plans” if they are not already part of national water strategies. They also call for better monitoring of wastewater content. For example, member states should step up testing for numerous pollutants at the inflows and outflows of municipal wastewater treatment plants, including microplastics and so-called eternity chemicals (Per- and Polyfluoroalkyl Substances/PFAS).
The plenum is scheduled to vote on the report in the first week of October. The Council also has yet to decide on its General Approach. cst
Climate & Environment
Industrial policy
ENVI votes against nuclear power in NZIA
The Environment Committee (ENVI) has removed nuclear power from the list of net-zero technologies in its opinion on the Net-Zero Industry Act (NZIA). A narrow majority of committee members voted Wednesday against a motion by EPP, Renew and EKR to keep nuclear energy on the list. However, the Industry Committee (ITRE) is the lead committee, and ENVI is associated.
The text promotes key green technologies, shifts into an even higher gear in planning acceleration compared to the Commission proposal, and at the same time maintains environmental protection, especially in nature conservation areas, commented rapporteur Tiemo Wölken (S&D) on the ENVI result.
A planned prioritization of CO2 storage (CCS) is significant for industry. According to the ENVI opinion, unavoidable process emissions from industry are to be given priority. The Commission is also to define a list of sectors with unavoidable process emissions in a delegated act, which can be updated every five years. To be considered unavoidable, the best available abatement technologies are to be exhausted beforehand and demand reduction measures are to be taken into account. ber
CCS
Industrial policy
Net Zero Industry Act
Nuclear power
EU ambassadors postpone Euro 7 vote
The decision on the Euro 7 pollutant standard in COREPER I was postponed until Friday. The Spanish Council Presidency had announced a new compromise proposal for Wednesday evening, which should take into account the demands of the member states. It is reported that there is no support for the demand from Germany to regulate e-fuels in Euro 7. The German government also wants to make its approval conditional on member states returning to the Commission’s proposal on test conditions for commercial vehicles. Spain is targeting the general direction at the Competitiveness Council next Monday. mgr
Autoindustrie
Automotive Industry
Euro 7
Transport policy
Ethics panel: Metsola names three negotiators
The negotiations on the EU’s inter-institutional ethics body are to be led on the Parliament’s side by MEPs Salvatore De Meo (EPP), Katarina Barley (S&D) and Daniel Freund (Greens). According to information from Table.Media, this was decided by Parliament President Roberta Metsola. Metsola had led the first round of talks herself. De Meo is chairman of the AFET Constitutional Committee, Barley is the EP Vice-President responsible for ethics issues, and Freund is rapporteur for the ethics body. mgr
European Commission
Greenwashing: EU bans false environmental claims on products
On Wednesday night, the EU Commission, Council and Parliament reached agreement on the Consumer Empowerment for Environmental Change Directive. The legislative package, part of the Circular Economy Action Plan, aims to empower consumers to make informed purchasing decisions and contribute to more sustainable consumption. They are to be given better information about the durability and reparability of products before they buy them.
In the future, a harmonized label will remind consumers of the statutory warranty of two years and indicate a voluntary extension of the warranty. Unfair practices that prevent sustainable purchases will be prohibited. In the future, these will include:
Generic environmental claims such as “eco-friendly”, “natural”, “biodegradable”, “carbon-neutral”, or “eco”, without evidence of a recognized corresponding environmental performance that justifies the claim;
Claims that a product has a neutral, reduced or positive impact on the environment if based onoffsetting emissions;
Sustainability labels that are not based on recognized certification schemes or established by public authorities;
Information on durability in terms of useful life or intensity under normal conditions, unless proven;
Asking consumers to replaceconsumables, such as printer cartridges, sooner than absolutely necessary;
Software updates presented as necessary, if they only improve functionality;
Representing goods as repairable when they are not.
End of unfounded advertising with ‘climate neutrality’
“Today marks the end of hair-raising and unsubstantiated advertising that fools European consumers into thinking they can fly carbon neutral, wear carbon neutral clothes and eat carbon neutral food”, said Lindsay Otis of the NGO Carbon Market Watch.“In the future, consumers will be able to compare and trust product sustainability claims more easily”, said Anna Cavazzini (Greens), chair of the Internal Market Committee (IMCO) in the EU Parliament.
The Council and Parliament must now formally adopt the outcome of the negotiations. The member states have 24 months after entry into force to transpose the directive into national law. Negotiations are also currently underway at EU level on the directive containing rules to promote the repair of goods (Right to Repair) and the Green Claims Directive. leo
Advertising
Circular Economy
Climate & Environment
Economists: EU review inhibits transformation of automotive industry
Germany must become independent of raw materials from China as quickly as possible, according to the expert group on the transformation of the automotive industry. In a paper published on Wednesday, the experts advocated long-term strategies that would have to be developed by politicians and companies. New trade agreements, raw materials partnerships with other countries and guarantees and loans for raw materials projects are needed, they said. The experts also see a raw materials fund, as advocated by Minister for Economic Affairs Robert Habeck (Greens), as appropriate.
However, economist Monika Schnitzer, who is the chairwoman of the expert commission, stated: “We won’t get away from China that quickly.” What is needed, therefore, are measures with a long-term impact. “Investments must be made now.” Then Germany could benefit in ten years. The group of experts also referred to the importance of semiconductors, which accounted for an increasing share of the value added in vehicles. The goal here would have to be robust supply chains with acceptable risks.
Clear opinion on punitive tariffs
On the other hand, Schnitzer does not think it would be a good ideato examine punitive tariffs on Chinese electric car imports, as announced by the EU Commission and met with sharp criticism from Beijing. This would delay adjustments in the industry. “It’s more important to look at getting into gear faster to make your own products more competitive”, the expert said.
It is always a mistake to think that you can save one side with protective measures. The industry has to go on the offensive and see how it can do better, he said. “At this point, it’s primarily about the smaller EVs, which would be kept out of our market that way. For smaller cars, the only way we’re going to get that volume on the road is to import them.” Schnitzer said it would be even better if the cars were produced in Germany, referring to BYD’s consideration of setting up production facilities in Germany. rtr
EU Court: Belgian tax break for corporations unlawful
International groups with branches in Belgium are threatened with back tax payments following a court ruling. Since 2005, Belgium has guaranteed tax relief for Belgian companies belonging to multinationals if, for example, they create jobs there. However, this is illegal aid, as the EU court ruled in Luxembourg on Wednesday.
The background to this is a decision by the EU Commission’s competition watchdogs. They ruled in 2016 that systematic tax exemptions for so-called profit surpluses are illegal subsidies and demanded repayments. Profit surpluses are additional profits made by international companies that an independent company could not have made under the same circumstances.
Belgium and several companies took legal action against this before the EU Court of Justice. The court initially ruled in their favor and declared the Commission’s decision null and void. However, this ruling was overturned by the EU’s highest court, the European Court of Justice (ECJ), and referred back in 2021.
Now the EU court had to rule again and decided that the Belgian tax breaks are illegal. This is because companies are treated differently, even though they are in a comparable situation. The decision can still be appealed to the ECJ. dpa
Energy ministers discuss electricity market reform
Energy ministers are scheduled to meet on Oct. 17 for an extraordinary meeting, a spokesman for the Spanish Presidency confirmed Wednesday. The topic will be electricity market reform, a Brussels observer said. However, no official decision has yet been made on the agenda.
Negotiations are deadlocked because France wants to modernizeits nuclear power plants via Contracts for Difference (CfD) and promote their entire power generation via such CfDs. Germany, in particular, is resisting this because the government in Paris could then collect billions and distribute them to domestic industry. In an interview with Table.Media earlier this week, Leonhard Birnbaum, president of Eurelectric, had called on Paris and Berlin to reach an agreement quickly and warned against a breakdown of the negotiations.
As a “last resort”, the article on CfDscould be excluded from the negotiations, an EU official said. However, not all possible compromises have been discussed yet. ber
Electricity market
Nuclear power
Opinion
Sustainable Food Systems: Green Deal flagship to be scrapped
By Elisa Kollenda
Elisa Kollenda is a sustainable nutrition and ecological footprint officer at the World Wide Fund For Nature (WWF).
EU Commission President Ursula von der Leyen did address the issue of food security in her State of the European Union address (SOTEU) this year. However, she did not mention the central role of our diet in the fight against the global climate and biodiversity crisis. The Sustainable Food System Law (SFS) is also absent from the Letter of Intent for 2024 published in parallel. An astonishing development for a legislative project that was intended to be the flagship of the European Green Deal.
History: In May 2020, the Commission published its roadmap for a sustainable food and farming system with the Farm-to-Fork Strategy. At its core was a framework for a sustainable EU food system. New principles and targets were to steer in a sustainable direction in the future. Reform of the long-stalled EU agricultural policy thus seemed possible.
Our consumption patterns harm biodiversity
What we eat and how we produce food is destroying our own livelihoods. Food production and nutrition are responsible for 70 percent of theworld’s biodiversity loss, 80 percent of deforestation, and 70 percent of global water withdrawals. Around 30 percent of global greenhouse gas emissions are attributable to our food. At the same time, food production is directly affected by the impacts of the climate and biodiversity crisis. It is high time for a systematic approach to our consumption patterns and their ecological impact.
In early 2023, the framework for the design of the SFS leaked out. Overarching goals were to ensure coherence and sustainability of legislation in the food and agriculture sector. This would have meant revising key legislation, such as the Common Agricultural Policy (CAP). At the same time, insufficiently sustainable farms and their products were to be excluded from the European internal market by means of defined minimum requirements. Criteria in mass catering and a harmonized EU label should promote demand for sustainably produced food.
Bill has been significantly defused
A bloodletting in the draft legislation followed, coinciding with the populist tone that took hold in Brussels and Strasbourg in 2023. The EPP group now criticized the Commission proposals drafted under the leadership of its own party. More conservation would jeopardize food security, according to the fact-less narrative. In June 2023, a significantly trimmed SFS draft was presented at an association hearing – without minimum sustainability requirements along the supply chain for companies. Instead, “food security” appeared at the top of the list of cross-sectoral goals.
The fact that Ursula von der Leyen no longer addresses the central role of our diet in the fight against the global climate and biodiversity crises makes her alignable with the EPP political camp. She is opting for electioneering instead of shaping policy. If the Sustainable Food System Law is missing from the work program for 2024, which the Commission will present in October, Ursula von der Leyen is putting the food sovereignty of future generations at risk. In doing so, she should do everything she can to ensure that a strong Commission proposal for the SFS is forthcoming. We can only secure the harvests of the future with more climate and biodiversity action from the field to the plate.
27 dead in 24 hours – and a quick ceasefire. That was the situation one day after Azerbaijani army soldiers entered Nagorno-Karabakh. Whether the guns really fell silent overnight, as agreed by both sides, is unclear at the moment.
The government in Baku has offered the ethnic Armenian fighters, who are being persecuted as separatists, free passage in exchange forthe voluntary surrender of heavy weapons. 5,000 men are said to be entrenched in the villages and communities around Stepanakert.
The escalation in the enclave, which is not recognized under international law, was months in the making – and yet Olaf Scholz and Emmanuel Macron were unable to exert their influence over Azerbaijan’s ruler Ilham Aliyev. A weakness of the EU.
There can only be a diplomatic solution, demanded German Foreign Minister Annalena Baerbock on the sidelines of the UN General Assembly. The EU and the German government also advocated this in New York. “There will only be a peaceful solution to this conflict if military action is stopped immediately”, Baerbock added.
The European Commission yesterday (Wednesday) proposed to EU member states to extend the approval of glyphosate in the European Union by ten years. In doing so, the EU executive recognizes the risks and uncertainties identified by the European Public Health Agency (ECDC) and leaves it up to the states to “pay close attention” to the side effects of glyphosate.
Ten years is more than the last authorization, which was granted for five years, but less than the maximum of 15 years provided for in EU law. “If within those 10 years information emerges that calls into question EFSA’s conclusions or what we have concluded based on our analysis, we can always reconsider the authorization“, a senior EU official added.
In July, the European Food Safety Authority (EFSA) had assessed a renewed approval of the controversial weedkiller in the European Union as non-critical. However, EFSA pointed to data gaps that left risks to consumers and aquatic plants inadequately assessed. In addition, the authority admitted that information on the toxicity of so-called “cocktail effects” was lacking – this refers to the interaction of glyphosate and active substances that are components of other pesticides.
Member states to be responsible
Based on the evaluations of the European Chemicals Agency (ECHA) and EFSA, the Commission judges that “it has been established that for one or more representative uses […] the criteria for authorization are met”. However, it then explains all the risks and uncertainties pointed out by EFSA in its evaluation, in particular with regard to co-formulants, residues in rotational crops, surface water or small herbivorous mammals.
On all these points, the Commission passes the ball back to the individual member states, which are then responsible for granting authorizations at the national level. It leaves them with the responsibility to “watch out” for possible side effects in their assessment procedures and to take adaptation measures if necessary.
However, the Commission has decided to ban one specific use of glyphosate: desiccation, the application of glyphosate to dry a crop before harvest. This practice, considered incompatible with EU law, may no longer be allowed by states from the entry into force of the text, which is scheduled for mid-December.
‘Environmental and health scandal’
“This is an environmental and health scandal, the factual situation on the safety of glyphosate is questionable”, said Martin Häusling, agricultural policy spokesman for the Greens in the European Parliament and member of the Environment and Health Committee. He underlines that EFSA itself stated in its assessment that there are still open questions and data gaps. In his view, the Commission is counteracting its own credibility and coherence with this submission. “You cannot continue to use the best-selling, highly toxic pesticide glyphosate when the declared EU goal is the sustainable use of pesticides (SUR) and the restoration of nature (Nature Restoration Law)”, Häusling said.
Norbert Lins (CDU), Chairman of the Committee on Agriculture and Rural Development, on the other hand, welcomes the Commission’s decision. “This is an important step for agriculture, because European farmers need planning security”, he said. “Rarely” has an active ingredient been studied “as closely” as glyphosate, he stressed, recalling the exchange at the beginning of August on the available studies with EFSA’s executive director. “Bernhard Url explained to us once again that EFSA did not identify any critical problem areas in its peer review of the risk assessment of the active ingredient glyphosate. Accordingly, there is nothing to prevent the re-approval from a scientific point of view”, said Lins.
Vote mid-October
“We have received comments from a total of 17 member states, mainly technical comments”, the EU official continued. “Several” member states have already “expressed support” for the renewal, he said, while others have not commented. “One member state has indicated that it will not support the renewal”, the official said, without naming it. Germany plans to ban glyphosate from the beginning of 2024.
The European Commission will present a draft implementing act to the 27 member states at the Standing Committee of EU Member States on Plants, Animals, Food and Feed (SCoPAFF) on Friday. States will be called to vote at SCoPAFF – scheduled so far for Oct. 13. That will require a qualified majority of 15 members representing at least 65 percent of the EU population.
A new vote could take place in November if the qualified majority was not reached, the EU official specified. “However, the Commission has the firm intention to complete this decision-making process before Dec. 15”, which is the expiration date of the current authorization. “Because any delay would lead to the current authorization having to be extended for a further period.”
Forza Italia: survival without Berlusconi
Silvio Berlusconi’s legacy has been distributed. At the beginning of the week, the five children of the Italian ex-prime minister signed a deed settling at least the economic estate of the Cavaliere. According to the newspaper Il Sole 24 ore, the estate amounts to €5 billion; in addition to shares in companies and investments in real estate, it is said to consist primarily of art, securities and cash.
But what will become of Berlusconi’s political legacy? What will become of his Forza Italia party? On the day after the inheritance regulation, it has once again reached a new low in the polls: It currently stands at 6.4 percent. A few days ago, the party’s youth organization held its meeting in Gaeta. Many wore T-shirts with Berlusconi’s likeness on them. Also present was the new party leader: Antonio Tajani. The 70-year-old will lead Forza Italia until the official party congress at the end of February 2024, a few weeks before the European elections in June.
That Berlusconi’s footstepsare actually too big for anyone to fill is shown just by looking at Tajani’s office. He is “Segretario” of Forza Italia and no longer “Presidente”. After all, “there could only be one president”, as Tajani said at the special party congress on July 15, when he was unanimously elected interim successor to the late party father.
New party profile 30 years after foundation
Until the party congress and the European elections, Tajani now has only a few months to give Forza Italia a profile again after the death of its founder. This is the party’s 30th birthday, as it were, since Berlusconi, a media entrepreneur, founded Forza Italia at the beginning of 1994. Ostensibly, to “save Italy from the Communists”. Behind the scenes, he wanted to further expand his empire and get rid of unpopular laws. Shortly before, the two popular parties Democrazia Cristiana and Partito Socialista Italiana had disappeared from the scene in Italy after far-reaching corruption scandals.
Berlusconi had the financial means and the media channels to fill the power vacuum that had arisen in Rome. He was elected prime minister for the first time in 1994. Berlusconi wasItaly’s head of government four times between 1994 and 2011. But long before his death on June 12 of this year, Forza Italia was already going downhill.
Forza Italia entered the current government still under its all-time president – but as the weakest force of the three coalition parties. Berlusconi’s party received only 8.1 percent of the vote in the early parliamentary elections last September. Shortly after the party leader’s death, approval rose briefly to 9.5 percent – probably out of nostalgic loyalty. It then plummeted to the current 6.4 percent.
Tajani stands for continuation of Berlusconism
Interim party leader Tajani was the only candidate at the special party conference – and the only option for the party at the moment. He stands for a continuation of Berlusconi’s political legacy, was part of Forza Italia from its inception and has always been loyal to the Cavaliere’s side. He was government spokesman in Berlusconi’s first cabinet.
Later, Tajani spent most of his political career in Brussels and Strasbourg – which could now be to his and his party’s advantage in Rome. As a former MEP (1994 to 2008 and 2014 to 2022), EU Commissioner (2008 to 2010 for Transport, 2010 to 2014 for Industry) and President of the European Parliament (2017 to 2019), he knows his way around Europe, is very well connected and enjoys a certain political respect. He is now foreign minister in the cabinet of Giorgia Meloni.
Both in Europe and at home, Meloni needs her weak coalition partner more than ever. While Lega leader Matteo Salvini is already flirting with the extreme right of France’s Marine Le Pen and Germany’s AfD at the EU level, Meloni’s partner of choice in the EU is Christian Democrat Manfred Weber and his EPP. Tajani is vice president of the group. And in Italy, the survival of the government depends on the survival of Forza Italia: If the party breaks up and the 63 deputies and senators look for a new political home, there is a high probability that some of them will turn toward Matteo Renzi. Renzi is currently working on his dream of a genuine center-right party.
So good chances for Tajani after all?
Voters are unlikely to care about these tactical considerations. Too close to Meloni or Salvini could bring Forza Italia too close to the right – and thus also pave the way for Renzi’s project. In addition to the party’s lineup in terms of content and personnel, its finances are also likely to determine its political survival. Berlusconi was, after all, a rich man. Of the party’s debts of almost €100 million, Berlusconi had guaranteed €90 million. So far, his children have said nothing about withdrawing this support. But it could still come.
Berlusconi was able to score points with voters primarily with his personality, charisma and nihilistic attitude. He could basically say and do whatever he wanted – people forgave him for it. The charisma of the 70-year-old Tajani, on the other hand, is rather soporific. At Forza Italia party events, the hymn “meno male che Silvio c’è” (“lucky Silvio exists!”) was regularly played. That a hymn with Tajani’s name would ever be fervently intoned – unthinkable. By Almut Siefert
Events
Sept. 25-26, 2023; León (Spain) ENISA, Conference21st CSIRTs Network Meeting The European Union Agency for Cybersecurity (ENISA) intends to contribute to developing confidence and trust between the Member States and to promote swift and effective operational cooperation.INFO & REGISTRATION
Sept. 26, 2023; 9 a.m.-5 p.m., Brussels (Belgium) ConferenceSmall-Scale, Big Impact: Innovative Approaches for Local Food Processing This conference provides insights into the benefits of 4 small-scale mild processing technologies and explores the relevance of the FOX approach for health and sustainability, short food supply chains and local production hubs, consumer engagement for sustainable consumption, and life cycle costs.INFO & REGISTRATION
Sept. 26, 2023; 3-5 p.m., Brussels (Belgium)/online ERCST, RoundtableThe Paths to Decarbonized and Sustainable Transport -outline of the second report The European Council on Climate Change and Sustainable Transition (ERCST) presents the outline of its report that assesses current legislative pathways to decarbonise heavy-duty transport and makes recommendations for new pathways complementary and/or alternative to the existing ones.INFO & REGISTRATION
News
Bundesbank Vice-President Buch clears hurdle
The Vice-President of the German Bundesbank, Claudia Buch, cleared a decisive hurdle on her way to the top of the banking supervision of the European Central Bank (ECB) on Wednesday. After a public hearing in the EU Parliament’s Economic and Monetary Affairs Committee (ECON), which was marked in part by very uncomfortable questions, 29 MEPs backed the German financial expert, 23 voted against her, and two abstained. The background for the extremely critical attitude of the Parliamentarians was that in an earlier secret ECON meeting, the coordinators of the political groups had spoken out in favor of Buch’s competitor Margarita Delgado, Vice President of the Bank of Spain.
The ECB Council, on the other hand, had overruled this in its vote and decided in favor of Buch. Following the ECON vote, the further steps to appoint Buch are nowconsidered a formality. Buch should thus be able to take over as head of the ECB’s banking supervision in early 2024. She succeeds Italy’s Andrea Enria, who steps down at the end of December. The ECB banking supervisor has been responsible for overseeing the largest financial institutions in the eurozone since the end of the financial crisis.
EP vote has repercussions for other EU personnel decisions
The decision in favor of Buch is also likely to have an impact on another personnel matter in the EU. Currently, Danish EU Competition Commissioner Margrethe Vestager and Spanish Finance Minister Nadia Calviño are considered favorites to succeed Werner Hoyer as head of the European Investment Bank(EIB). Informed circles see Calviño as the candidate with the slightly better cards. The Spaniard has the backing of the three large EU states Germany, France and Italy, and the German side in particular is now likely to make a strong case for Calviño after the Spaniard Delgado was defeated by Buch.
However, a decision is not yet foreseeable, they said. The Dane Vestager could count on a solid group of smaller states, it was said in the circles. The attempt by Belgian Finance Minister Vincent Van Peteghem, currently Chairman of the EIB Board of Governors, to reach a consensus solution has had little success so far. The goal of reaching a decision at the next regular meeting of EU finance ministers in October is therefore not a foregone conclusion. If it comes to a fight vote, Vestager or Calviño would have to unite 18 member states and 68 percent of the bank’s subscribed capital to succeed Hoyer, who is leaving the bank at the end of the year after 12 years. cr/rtr
Ukraine hopes for 12th sanctions package before year’s end
Ukraine is pushing for the EU to expandenergy sanctions against Moscow to include Russian LNG gas. Russia has been able to massively expand exports of liquefied natural gas to some EU states, Vladyslav Vlasyuk said. President Volodymyr Zelenskiy’s sanctions adviser was at a coordination meeting in Brussels this week, where he urged a ban on imports of Russian LNG. There is enough liquefied natural gas from other suppliers on the market, Vladyslav Vlasyuk said.
According to Ukraine’s ideas, the LNG ban should be part of a 12th sanctions package. Zelenskiy’s sanctions adviser hopes that the EU will agree on a new package before the end of the year. Vlasyuk does not expect nuclear sanctions to be included because they would be difficult to implement. In the case of Russian rough diamonds, he said, a technical solution is emerging with regard to traceability at the level of the G7 countries.
The good news is that the cap on Russian crude is working, Vladyslav Vlasyuk said, referring to existing energy sanctions. Moscow must sell to India under the $60-per-barrel cap, he said. However, the effectiveness is diminishing because Russia is switching to non-European shipping companies or insurance companies. A ban on the transit of tankers carrying Russian crude oil should therefore also be discussed. In Ukraine’s view, the cap should also be lowered in a next step to remain effective, namely to $30 per barrel.
Russia buys Western technology through workarounds
Ukraine also wants the focus to be on circumvention deals and violations of the sanctions regime. The new EU sanctions coordinator David O’Sullivan is doing a good job, says Vladyslav Vlasyuk. Since taking office in the spring, the former top EU diplomat has visited states such as Turkey, Azerbaijan, Armenia, Georgia and the United Arab Emirates, which have come under criticism as hubs and loopholes. But member states must now also use the new instruments to punish sanctions violations, Vlasyuk said.
Another topic of the meeting was Western technology and dual-use goods: missiles and Iranian drones of the Shahed type are now all produced in Russia, the sanctions coordinator said. Parts from Western manufacturers are regularly found in the projectiles, he added. In the first months after the invasion, Moscow had admittedly struggled to obtain key components. In the meantime, however, Russia’s access to critical components has returned to pre-aggression war levels, he said. According to President Zelenskiy’s adviser, Russia was able to import key components for weapons worth €5.6 billion in the first half of the year. Russia would have to spend more, but would still be able to obtain the sought-after technology in a roundabout way. sti
Security policy
China: Chamber of Commerce positions itself ahead of Dombrovskis visit
The European Chamber of Commerce in China hopes for clear words during the upcoming visit of EU Trade Commissioner Valdis Dombrovskis. “My expectation would be that the historically very high trade imbalance between Europe and China would be brought up”, Chamber President Jens Eskelund said at the presentation of its latest position paper in Beijing on Wednesday, according to DPA. Dombrovskis is scheduled to be in Beijing from Sept. 23-26 to meet China’s Vice Premier He Lifeng, among others.
Eskelund expects that the announced EU investigation into Chinese subsidies for electric car manufacturers will also be discussed. “I am sure the Chinese side will also have a number of questions for Europe.” The investigation was announced by EU Commission President Ursula von der Leyen last week in her State of the European Union address.
According to Eskelund, experts recognize that production capacities in China are higher than demand. Overcapacity has a significant impact on the auto market, he said. The Chamber hopes that the investigation will be used to address any imbalances or shortcomings in fair competition. ari
China
Trade
Municipal wastewater: ENVI wants weaker polluter-pays principle
The members of the Environment Committee in the EU Parliament (ENVI) have agreed by a large majority on a weakened polluter-pays principle in the revision of the directive on the treatment of urban wastewater. According to the compromise, industry – in particular manufacturers of pharmaceutical products and cosmetics – is to share 80 percent of the costs for recycling polluted water, rather than 100 percent as the Commission had proposed.
Although the German municipal water industry welcomes the decision in favor of a polluter-pays principle, it would like to see a full-cost approach without 20 percent co-financing from national funds. “In order for the polluter pays principle to actually have its guiding effect, we believe this should be implemented consistently”, explained Ulrike Franzke and Bernd Fuchs, both members of the VKU Steering Committee Water/Wastewater.
Nevertheless, they believe the fundamental approach of industry sharing responsibility is an “overdue paradigm shift”. If implemented correctly, this will ensure that manufacturers use products that are less harmful to water bodies, Franzke and Fuchs told Table.Media. On the other hand, producer responsibility also ensures that companies whose products pollute waters are asked to pay to finance the implementation of new specifications and requirements for wastewater treatment plants.
More water recycling
The ENVI report also calls for increased reuse of treated wastewater. MEPs call for EU countries to draw up “water saving and reuse plans” if they are not already part of national water strategies. They also call for better monitoring of wastewater content. For example, member states should step up testing for numerous pollutants at the inflows and outflows of municipal wastewater treatment plants, including microplastics and so-called eternity chemicals (Per- and Polyfluoroalkyl Substances/PFAS).
The plenum is scheduled to vote on the report in the first week of October. The Council also has yet to decide on its General Approach. cst
Climate & Environment
Industrial policy
ENVI votes against nuclear power in NZIA
The Environment Committee (ENVI) has removed nuclear power from the list of net-zero technologies in its opinion on the Net-Zero Industry Act (NZIA). A narrow majority of committee members voted Wednesday against a motion by EPP, Renew and EKR to keep nuclear energy on the list. However, the Industry Committee (ITRE) is the lead committee, and ENVI is associated.
The text promotes key green technologies, shifts into an even higher gear in planning acceleration compared to the Commission proposal, and at the same time maintains environmental protection, especially in nature conservation areas, commented rapporteur Tiemo Wölken (S&D) on the ENVI result.
A planned prioritization of CO2 storage (CCS) is significant for industry. According to the ENVI opinion, unavoidable process emissions from industry are to be given priority. The Commission is also to define a list of sectors with unavoidable process emissions in a delegated act, which can be updated every five years. To be considered unavoidable, the best available abatement technologies are to be exhausted beforehand and demand reduction measures are to be taken into account. ber
CCS
Industrial policy
Net Zero Industry Act
Nuclear power
EU ambassadors postpone Euro 7 vote
The decision on the Euro 7 pollutant standard in COREPER I was postponed until Friday. The Spanish Council Presidency had announced a new compromise proposal for Wednesday evening, which should take into account the demands of the member states. It is reported that there is no support for the demand from Germany to regulate e-fuels in Euro 7. The German government also wants to make its approval conditional on member states returning to the Commission’s proposal on test conditions for commercial vehicles. Spain is targeting the general direction at the Competitiveness Council next Monday. mgr
Autoindustrie
Automotive Industry
Euro 7
Transport policy
Ethics panel: Metsola names three negotiators
The negotiations on the EU’s inter-institutional ethics body are to be led on the Parliament’s side by MEPs Salvatore De Meo (EPP), Katarina Barley (S&D) and Daniel Freund (Greens). According to information from Table.Media, this was decided by Parliament President Roberta Metsola. Metsola had led the first round of talks herself. De Meo is chairman of the AFET Constitutional Committee, Barley is the EP Vice-President responsible for ethics issues, and Freund is rapporteur for the ethics body. mgr
European Commission
Greenwashing: EU bans false environmental claims on products
On Wednesday night, the EU Commission, Council and Parliament reached agreement on the Consumer Empowerment for Environmental Change Directive. The legislative package, part of the Circular Economy Action Plan, aims to empower consumers to make informed purchasing decisions and contribute to more sustainable consumption. They are to be given better information about the durability and reparability of products before they buy them.
In the future, a harmonized label will remind consumers of the statutory warranty of two years and indicate a voluntary extension of the warranty. Unfair practices that prevent sustainable purchases will be prohibited. In the future, these will include:
Generic environmental claims such as “eco-friendly”, “natural”, “biodegradable”, “carbon-neutral”, or “eco”, without evidence of a recognized corresponding environmental performance that justifies the claim;
Claims that a product has a neutral, reduced or positive impact on the environment if based onoffsetting emissions;
Sustainability labels that are not based on recognized certification schemes or established by public authorities;
Information on durability in terms of useful life or intensity under normal conditions, unless proven;
Asking consumers to replaceconsumables, such as printer cartridges, sooner than absolutely necessary;
Software updates presented as necessary, if they only improve functionality;
Representing goods as repairable when they are not.
End of unfounded advertising with ‘climate neutrality’
“Today marks the end of hair-raising and unsubstantiated advertising that fools European consumers into thinking they can fly carbon neutral, wear carbon neutral clothes and eat carbon neutral food”, said Lindsay Otis of the NGO Carbon Market Watch.“In the future, consumers will be able to compare and trust product sustainability claims more easily”, said Anna Cavazzini (Greens), chair of the Internal Market Committee (IMCO) in the EU Parliament.
The Council and Parliament must now formally adopt the outcome of the negotiations. The member states have 24 months after entry into force to transpose the directive into national law. Negotiations are also currently underway at EU level on the directive containing rules to promote the repair of goods (Right to Repair) and the Green Claims Directive. leo
Advertising
Circular Economy
Climate & Environment
Economists: EU review inhibits transformation of automotive industry
Germany must become independent of raw materials from China as quickly as possible, according to the expert group on the transformation of the automotive industry. In a paper published on Wednesday, the experts advocated long-term strategies that would have to be developed by politicians and companies. New trade agreements, raw materials partnerships with other countries and guarantees and loans for raw materials projects are needed, they said. The experts also see a raw materials fund, as advocated by Minister for Economic Affairs Robert Habeck (Greens), as appropriate.
However, economist Monika Schnitzer, who is the chairwoman of the expert commission, stated: “We won’t get away from China that quickly.” What is needed, therefore, are measures with a long-term impact. “Investments must be made now.” Then Germany could benefit in ten years. The group of experts also referred to the importance of semiconductors, which accounted for an increasing share of the value added in vehicles. The goal here would have to be robust supply chains with acceptable risks.
Clear opinion on punitive tariffs
On the other hand, Schnitzer does not think it would be a good ideato examine punitive tariffs on Chinese electric car imports, as announced by the EU Commission and met with sharp criticism from Beijing. This would delay adjustments in the industry. “It’s more important to look at getting into gear faster to make your own products more competitive”, the expert said.
It is always a mistake to think that you can save one side with protective measures. The industry has to go on the offensive and see how it can do better, he said. “At this point, it’s primarily about the smaller EVs, which would be kept out of our market that way. For smaller cars, the only way we’re going to get that volume on the road is to import them.” Schnitzer said it would be even better if the cars were produced in Germany, referring to BYD’s consideration of setting up production facilities in Germany. rtr
EU Court: Belgian tax break for corporations unlawful
International groups with branches in Belgium are threatened with back tax payments following a court ruling. Since 2005, Belgium has guaranteed tax relief for Belgian companies belonging to multinationals if, for example, they create jobs there. However, this is illegal aid, as the EU court ruled in Luxembourg on Wednesday.
The background to this is a decision by the EU Commission’s competition watchdogs. They ruled in 2016 that systematic tax exemptions for so-called profit surpluses are illegal subsidies and demanded repayments. Profit surpluses are additional profits made by international companies that an independent company could not have made under the same circumstances.
Belgium and several companies took legal action against this before the EU Court of Justice. The court initially ruled in their favor and declared the Commission’s decision null and void. However, this ruling was overturned by the EU’s highest court, the European Court of Justice (ECJ), and referred back in 2021.
Now the EU court had to rule again and decided that the Belgian tax breaks are illegal. This is because companies are treated differently, even though they are in a comparable situation. The decision can still be appealed to the ECJ. dpa
Energy ministers discuss electricity market reform
Energy ministers are scheduled to meet on Oct. 17 for an extraordinary meeting, a spokesman for the Spanish Presidency confirmed Wednesday. The topic will be electricity market reform, a Brussels observer said. However, no official decision has yet been made on the agenda.
Negotiations are deadlocked because France wants to modernizeits nuclear power plants via Contracts for Difference (CfD) and promote their entire power generation via such CfDs. Germany, in particular, is resisting this because the government in Paris could then collect billions and distribute them to domestic industry. In an interview with Table.Media earlier this week, Leonhard Birnbaum, president of Eurelectric, had called on Paris and Berlin to reach an agreement quickly and warned against a breakdown of the negotiations.
As a “last resort”, the article on CfDscould be excluded from the negotiations, an EU official said. However, not all possible compromises have been discussed yet. ber
Electricity market
Nuclear power
Opinion
Sustainable Food Systems: Green Deal flagship to be scrapped
By Elisa Kollenda
Elisa Kollenda is a sustainable nutrition and ecological footprint officer at the World Wide Fund For Nature (WWF).
EU Commission President Ursula von der Leyen did address the issue of food security in her State of the European Union address (SOTEU) this year. However, she did not mention the central role of our diet in the fight against the global climate and biodiversity crisis. The Sustainable Food System Law (SFS) is also absent from the Letter of Intent for 2024 published in parallel. An astonishing development for a legislative project that was intended to be the flagship of the European Green Deal.
History: In May 2020, the Commission published its roadmap for a sustainable food and farming system with the Farm-to-Fork Strategy. At its core was a framework for a sustainable EU food system. New principles and targets were to steer in a sustainable direction in the future. Reform of the long-stalled EU agricultural policy thus seemed possible.
Our consumption patterns harm biodiversity
What we eat and how we produce food is destroying our own livelihoods. Food production and nutrition are responsible for 70 percent of theworld’s biodiversity loss, 80 percent of deforestation, and 70 percent of global water withdrawals. Around 30 percent of global greenhouse gas emissions are attributable to our food. At the same time, food production is directly affected by the impacts of the climate and biodiversity crisis. It is high time for a systematic approach to our consumption patterns and their ecological impact.
In early 2023, the framework for the design of the SFS leaked out. Overarching goals were to ensure coherence and sustainability of legislation in the food and agriculture sector. This would have meant revising key legislation, such as the Common Agricultural Policy (CAP). At the same time, insufficiently sustainable farms and their products were to be excluded from the European internal market by means of defined minimum requirements. Criteria in mass catering and a harmonized EU label should promote demand for sustainably produced food.
Bill has been significantly defused
A bloodletting in the draft legislation followed, coinciding with the populist tone that took hold in Brussels and Strasbourg in 2023. The EPP group now criticized the Commission proposals drafted under the leadership of its own party. More conservation would jeopardize food security, according to the fact-less narrative. In June 2023, a significantly trimmed SFS draft was presented at an association hearing – without minimum sustainability requirements along the supply chain for companies. Instead, “food security” appeared at the top of the list of cross-sectoral goals.
The fact that Ursula von der Leyen no longer addresses the central role of our diet in the fight against the global climate and biodiversity crises makes her alignable with the EPP political camp. She is opting for electioneering instead of shaping policy. If the Sustainable Food System Law is missing from the work program for 2024, which the Commission will present in October, Ursula von der Leyen is putting the food sovereignty of future generations at risk. In doing so, she should do everything she can to ensure that a strong Commission proposal for the SFS is forthcoming. We can only secure the harvests of the future with more climate and biodiversity action from the field to the plate.
