Dear reader,
The Netherlands faces a challenging government formation after Wednesday’s parliamentary elections. According to the latest forecasts this morning, the right-wing populist Geert Wilders and his Freedom Party (PVV) won 37 of a total of 150 seats, making him by far the strongest force in the second chamber. There was talk of a Trump moment in The Hague this evening: Observers had not seen Wilders’ triumph coming either, at least not to this extent.
In second place, Frans Timmermans, heading the new party merger of the social democratic PvdA and Groenlinks, made significant gains with 25 new seats. However, in view of the right-wing populist tsunami, the former EU Commission vice-chairman could now face a seat on the opposition bench despite his gains.
In the evening, Geert Wilders clearly laid claim to forming the next government. The Islam critic scored particularly well on the issue of migration, which had caused the previous coalition to collapse. The right-wing populist called on the other right-wing parties to “jump over their shadows.” Wilders has his sights set on the right-wing liberal VVD party of former Prime Minister Mark Rutte, which suffered significant losses under the new lead candidate Dilan Yesilgöz with 24 seats left. Although Yesilgöz had not ruled out cooperation with the PVV during the election campaign, she described Geert Wilders as unsuitable for the post of prime minister.
Wilders also wants to bring the party rebel Pieter Omtzigt on board, who has won 20 seats with his party “New Social Contract” (NSC). However, the former Christian Democrat has so far also refused to cooperate with Geert Wilders because his call to close mosques and ban the Koran violates the constitution. In the evening, however, he indicated a willingness to talk: “We will take responsibility.”
The impending uncertainty is bad news for the EU partners. Previously, Wilders has also campaigned for a referendum on leaving the EU. Coalition consultations can take many months in the Netherlands. If Wilders fails at some point next year, Frans Timmermans could still get his chance. The Social Democrat appealed on election night that it was now a matter of standing shoulder to shoulder in defense of democracy and the rule of law.
Have a good start to the day.
- Frans Timmermans
- Netherlands
Feature
EU Parliament buries pesticide regulation
“A black day for the environment and farmers.” The Green rapporteur on the pesticide regulation, Sarah Wiener, was crestfallen in the European Parliament’s plenary chamber. After a fierce battle over amendments, the Commission’s proposal on the Sustainable Use of Pesticides Regulation (SUR) was rejected at first reading by 299 votes to 207, with 121 abstentions.
Numerous amendments were part of a concerted push by the Conservatives (EPP) and other political groups, which led to a significant watering down of the Commission’s original proposal and the compromises worked out in the Environment Committee (ENVI). This led to the Greens, Social Democrats and the Left voting against the proposal in a surprise U-turn.
Revision? Rejected!
The rapporteur, Sarah Wiener, requested that the text be sent back to the Environment Committee (ENVI) for revision. However, the motion was rejected by 324 votes to 292. This means that there will be no new regulation on the sustainable use of pesticides in the foreseeable future. Even if the Council decides on its position in the coming weeks. Without Parliament, the trilogue negotiations cannot begin.
The European Commission must now decide whether to present a new version of the text. However, this is unlikely just a few months before the European elections in June 2024. It is much more likely that the legislative process will be postponed until the next term of office. Which is tantamount to the political death of the project.
Controversial ban on pesticides in sensitive areas
The conservatives in the EPP are satisfied that a text on a ban on pesticides was rejected. Norbert Lins (CDU), Chairman of the Committee on Agriculture and Rural Development, criticized the fact that rapporteur Wiener had tried to obtain “a ban” on pesticides in agriculturally sensitive areas. “That was unacceptable to me and the majority of the European Parliament”, he said.
The draft law proposed by the Commission in July 2022 aimed to halve the use of chemical pesticides in the EU by 2030. The Parliament’s Environment Committee also wanted to ensure that the use of the pesticides classified as the most hazardous and the associated risks in the EU should be reduced by at least 65% by 2030 compared to the period 2013 to 2017.
The ENVI Committee also proposed a ban on the use of chemical pesticides in so-called ecologically sensitive areas. These were public areas such as parks, playgrounds, recreational areas, public footpaths, and Natura 2000 sites. It was precisely this article that generated the most amendments and the most opposition.
Agriculture as bone of contention
The result of the vote not only shows the fragmentation of the Parliament, but also the lines of conflict within the political groups. Christian Democrats, ECR, and MEPs further to the right as well as some members of Renew and S&D voted against the compromises worked out in the Environment Committee. Renew and S&D are divided on agricultural policy. Reducing the use of pesticides is one of the pillars of the Green Deal, as part of the Commission’s biodiversity agenda and the “farm to fork” strategy, the agricultural offshoot of the Green Deal.
The rejection comes just days after the European Commission’s decision to approve glyphosate for another ten years, as there was no qualified majority of member states for or against re-approval.
- Agricultural Policy
- Environmental policy
- European Parliament
Amnesty in Spain: emotional debate in Parliament
Non-attached MEP Carles Puigdemont followed the debate in the European Parliament on the rule of law following the parliamentary elections in Spain attentively from his seat in the back row. The debate focused on the controversial amnesty law, which is intended to allow the leader of Junts to return to Spain from exile in Belgium and PSOE leader Pedro Sánchez to form a coalition and continue to govern.
In a highly emotional debate, EPP group leader Manfred Weber criticized the fact that social democrats, the Greens, and the left had tried to prevent the debate in the European Parliament on the rule of law in Spain. He quoted the former Spanish Prime Minister and ex-PSOE leader Felipe Gonzáles. The now 80-year-old said: “An amnesty destroys society.” Weber criticized the fact that Sánchez had ruled out an amnesty just a few days before the election: “Sánchez has put his personal egoism first and broken the rule of law.”
Spanish MEPs divided over plans
Iratxe García Peréz, the leader of the Socialist Group S&D from Spain, responded to Weber. “It is not Pedro Sánchez who is endangering Spain’s democracy, but the Spanish People’s Party (PP), which does not recognize the result of the election on 23 July.” She then cited examples from Spanish politics where the conservative party had been guilty of something. “The Partido Popular has used the police to destroy evidence of corruption within its own ranks.”
Spain’s Adrián Vázquez Lázara from Renew said: “We have rightly spoken here about the violations of the rule of law in Hungary and Poland, and we will also talk about Spain.” Spain’s socialists wanted to secure power by “collaborating with fugitives of justice”. And further with regard to Pigdemont: “This is an attempt to make a politician legally untouchable.”
Numerous complaints to the Commission
Justice Commissioner Didier Reynders began by pointing out that the Commission had received numerous complaints from citizens and parliamentary questions from MEPs about the planned amnesty law. He explained the criticism that the Commission had already made of the Spanish justice system in its Rule of Law Report.
However, the Commission’s position on the secession of a region in Spain remains unchanged: “Catalonia remains an internal Spanish issue in which the Commission does not interfere.” However, he reiterated his commitment to a thorough analysis of the amnesty law: “We will examine the law very carefully, independently and objectively and check whether it violates the European treaties.” However, it will take some time before the results are available: The Commission will only examine the law once it has been legally passed and is in force.
Sánchez forges super ministry
Meanwhile, the cabinet of the new government under Sánchez is emerging in Spain. As in the previous legislative period, there will be 22 ministries. Five portfolios will go to Sánchez’s most important alliance partner, the left-wing platform Sumar. Podemos politicians, without whose support Sánchez would not have come to power four years ago, are no longer part of the cabinet.
Sánchez joins forces in a super ministry. Félix Bolaños, Sánchez’s closest confidant, becomes Minister for the Presidency, Justice and Relations with the Upper and Lower Houses. Bolaños is one of the architects of the controversial amnesty law. At the head of the superministry, Bolaños will oversee the adoption of the amnesty law. As the Spanish daily newspaper El Mundo reports, the appointment of Bolaños has raised concerns among some judges. They warn of the judiciary being hijacked by the executive.
Women are in the majority in the cabinet
The Junts and Esquerra Republicana de Catalunya parties had made the amnesty law a condition for a coalition. The amnesty law aims to amnesty all crimes committed by those involved in the separatist trials since 2014 and to overturn the sentences handed down. Junts leader Puigdemont would also benefit from this.
In Sánchez’s new cabinet, twelve women have a majority compared to ten men. Nadia Calviñó (Minister of Economy), Yolanda Díaz (Minister of Labor and head of Sumar) and Teresa Ribera (Minister of Ecological Transition) will become first, second and third Vice-Presidents of the government. María Jesús Montero, who will continue to be responsible for the finance portfolio, is to become fourth Vice-President.
Sumar retains the Ministries of Labor and Social Rights (Pablo Bustinduy), but loses the Ministries of Gender Equality, Consumer Protection and Higher Education. Ernest Urtasun, the former deputy group leader of the Greens in the European Parliament, becomes Minister of Culture. Mónica García takes over the health portfolio. with Markus Grabitz
Scholz and Meloni: Is harmonious the same as historical?
When she says during the press conference on Wednesday evening that she took part in the video conference of the G20 countries side by side with Chancellor Olaf Scholz, a smile flits across Giorgia Meloni’s face. It could be interpreted as pride. After all, her election as Italy’s head of government around a year ago was viewed rather skeptically, especially in Germany.
However, the G20 only plays a subordinate role in this joint press conference. This Wednesday, the German-Italian intergovernmental consultations were held in Berlin. The last talks in this format took place in 2016. It was Meloni’s second visit to the German capital as Italy’s head of government following her inaugural visit at the beginning of February.
Agreement on action plan
Meloni has nothing but words of praise and praise this Wednesday. “It works between us because we are used to speaking clearly with each other”, says the 46-year-old about the cooperation with her German counterpart. “I find Chancellor Scholz to be a very reliable person.” The head of the Fratelli d’Italia party, which many consider to be post-fascist, describes the day as “historic in some respects”.
But despite all the euphoria, this evening in Berlin is rather sober. While the signing of the Italian-French Quirinal Treaty at the end of 2021 was celebrated with pomp and circumstance in Rome, the agreement between Italy and Germany was only celebrated with a press conference that did not really stand out from the many others. And yet: signatures were signed. Under an action plan that was launched in December 2021 under the previous government of Mario Draghi.
A historical document?
A lot has happened in the meantime: In Europe’s neighborhood, two new wars have broken out in Ukraine and Israel, inflation is keeping countries on tenterhooks – and Italy has a new government. Since October 2022, Rome has been governed by a far-right coalition consisting of the ultra-right Fratelli d’Italia, Matteo Salvini’s Lega, and the Forza Italia of former prime minister Silvio Berlusconi, who died this summer. Meloni is the first woman in the history of the Italian Republic to head the government.
The harmony demonstrated to the press on Wednesday evening is also reflected in the action plan, which is not supposed to be called a treaty. “Our countries are united by shared values and common interests”, reads the 25-page document right at the beginning, and they want to take their bilateral partnership to a “new level”. It also states: “Both sides regard the action plan and its annex as living documents.” You could also call them declarations of intent. This means that there is probably a question mark or two behind the word “historic” in Meloni’s mouth.
Closer cooperation on migration
The intention is to “continue” or even “strengthen” existing cooperation in numerous areas. In terms of migration, the intention is to “continue the dialog”. There had recently been diplomatic disagreements in this area after the Bundestag decided to financially support private sea rescuers. According to the new action plan, a “structured dialog” will also be conducted on international and security policy issues.
They also want to “exchange views” on a number of issues, such as the implementation of strategies to protect people of all sexual orientations. The fact that the views on this could not be more different should not stand in the way of the exchange.
Only a few tangible points can be found in the paper: in the future, there is to be an annual ministerial forum between the Italian Minister for Enterprise and Made in Italy and the German Federal Minister for Economic Affairs and Climate Protection. And in addition to the “strategic dialogues” between the Ministries of Foreign Affairs and Defence, a mechanism for joint consultations between the Ministers of Defense and Foreign Affairs (“2+2”) is to be established.
Scholz takes a pragmatic approach to Meloni
There is also talk of new cooperation projects and new formats for cooperation, particularly in the areas of energy, climate protection, security, and defense. On Wednesday, Scholz and Meloni demonstratively showed agreement on the wars in Ukraine and Israel.
Not everyone in Berlin was as enthusiastic about the European dream couple that Scholz and Meloni presented themselves as. “The Italian Prime Minister is not a state guest who should be rolled out the red carpet“, Left Party leader Janine Wissler told the German Press Agency. She spoke of a dangerous normalization and a courting of Meloni and her right-wing government by the traffic light government.
Chancellor Scholz has developed a pragmatic working relationship with Meloni, as have most of his colleagues in the European Council. When the right-wing politician was elected in the fall of 2022, many politicians from the Social Democrats and Greens warned of the “post-fascist” in shrill tones, and leading SPD members of the Bundestag have even dubbed Meloni a fascist to this day. From the point of view of the Chancellery, however, the warnings have hardly materialized so far, and they don’t know what to do with vague terms like “post-fascist” anyway. By Almut Siefert with Till Hoppe
- Germany
- giorgia meloni
- Italy
- Olaf Scholz
European Parliament sums up Brexit: new constructive cooperation
The Trade and Cooperation Agreement between the EU and the UK (TCA) has been instrumental in limiting the negative consequences of Brexit. This is the conclusion of the report on the implementation of the TCA, which will be voted on in the European Parliament today. The TCA came into force on Jan. 1, 2021, a few days after the withdrawal agreement between the EU and the government in London was signed on Christmas Eve 2020.
Almost three years after the UK’s withdrawal, the European Parliament is taking stock of relations for the first time with this report. In particular, since the agreement on the Windsor Framework in March 2023, mutual relations have been characterized by a new constructive cooperation. The Windsor Framework sets out solutions to permanently solve problems that arise in practice in Northern Ireland and to protect the integrity of the single market. The report was prepared jointly by the Foreign Affairs Committee (AFET) and the Trade Committee (INTA) and adopted in a joint meeting of the two committees with 71 votes in favor, three abstentions, and only one vote against.
Extensive agreements
The trade and cooperation agreement between London and Brussels has a special status, the report states. No agreement that the EU has ever concluded with a third country is more far-reaching. It covers almost all relevant policy areas, from trade to energy, fisheries, cooperation in criminal matters and law enforcement, transport, and the coordination of social security. There is also a dispute settlement mechanism. There is no agreement on foreign, security, and defense policy alone. The UK had strictly rejected agreements with the EU on foreign policy. As a result, there has been no institutionalized framework for this since the withdrawal.
In terms of trade policy, Parliament states that the exchange of goods and services has suffered as expected as a result of Brexit. Between 2016 and 2022, trade relations developed worse than the EU’s relations with other international partners. The TCA is unique in that it does not provide for any tariffs or quotas for goods that comply with the rules of origin. However, the agreement is by no means a substitute for EU membership and access to the EU single market.
Quick agreement needed on EVs
The problem was that Brexit created new non-tariff trade barriers. This created new cost factors on both sides. There were implementation problems, especially at the beginning. There are still problems today, for example with the entry and temporary stay of business people and the verification of rules of origin.
The report calls for an agreement between Brussels and London on the rules of origin for electric vehicles. As the added value of EVs in the EU and the UK falls short of the targets set, there is a threat of tariffs of ten percent at the beginning of the year. A solution must be found urgently, as European manufacturers are having difficulties sourcing batteries, especially from the EU. Parliament is calling on the Commission to push for a simplification of customs clearance procedures.
Foreign policy: unfortunately no agreements
The report expressly regrets that the United Kingdom is not prepared to reach agreements on foreign, defense, and security policy. Parliament is very much in favor of formally agreeing on foreign and security policy cooperation in the future. Nevertheless, Parliament draws a positive conclusion on cooperation in this area. The coordinated approach in supporting Ukraine was exemplary and showed the potential of a successful partnership. The United Kingdom is helping to improve Euro-Atlantic security with arms deliveries and the expansion of intelligence capacities.
If an agreement is reached, Brussels and London could, for example, jointly monitor the implementation of sanctions against Russia and other third countries. The fact that the United Kingdom wants to participate in the PESCO project on military mobility is also welcomed. There is a positive trend in military cooperation. However, financial resources are not being used efficiently if, for example, combat air systems are being developed in parallel on both sides, according to the annual report on the Common Security and Defense Policy.
Environment and energy: hoping for more cooperation
In terms of environmental and climate policy, the report calls on the Commission to monitor the UK’s emissions trading system. There should be equal standards for environmental protection and competition. The Commission should examine whether cooperation between the EU and the United Kingdom on the ETS is possible. The Commission should also ensure that the REACH chemicals regulation remains comparable in the UK and the EU.
In terms of energy policy, Parliament is calling for greater cooperation. There is currently no long-term agreement on mutual electricity trade. There is great potential, for example with electricity from renewable sources from the British coast. With regard to fisheries policy, the report points out that a multi-year agreement is needed for the period after 2026. Otherwise, fishing quotas would have to be negotiated every year.
Students and young people are the losers
In the area of financial services, London was prepared to make few agreements. Plans for a financial regulatory forum between London and Brussels are to be welcomed. However, it would not be part of the TCA and would therefore not grant the same access to the European market as a comprehensive financial services agreement.
Parliament also notes that young people, students, athletes, and artists are among the biggest losers of Brexit. There are virtually no follow-up programs for Erasmus Plus and the European Solidarity Corps. Students from the EU would only be able to study at British universities for a semester if they paid the high tuition fees. There are massive obstacles for touring artists. The free movement of athletes, including in professional sport, is also restricted.
News
Packaging Regulation: Parliament approves numerous exemptions
Yesterday in Strasbourg, the EU Parliament adopted its mandate for the negotiations on the Packaging and Packaging Waste Regulation (PPWR), with which the EU intends to take action against the increasing volume of packaging waste. After the highly controversial positions of the committees and political groups involved became clear once again in yesterday’s debate, 426 MEPs voted in favor of the report yesterday, with 125 votes against and 74 abstentions. However, the report by Frédérique Ries (Renew) was significantly weakened by numerous amendments.
Parliament was at least able to agree on reduction targets: Packaging is to be reduced by five percent by 2030, ten percent by 2035, and 15 percent by 2040. More ambitious targets are to be set for plastic packaging: 10 percent by 2030, 15 percent by 2035, and 20 percent by 2040.
Exemptions for food packaging made of wood and wax
Furthermore, 90 percent of the materials contained in packaging, i.e. plastic, wood, ferrous metals, aluminum, glass, paper, and cardboard, are to be collected separately by 2029.
All packaging must be recyclable by 2030; temporary exemptions are provided for food packaging made of wood and wax, for example. This was prompted by amendments tabled by French MEPs, among others, who were concerned about the non-recyclable wooden packaging used for Camembert cheese.
Parliament has decided to ban very lightweight plastic carrier bags (less than 15 microns) unless they are required for hygiene reasons or are used as primary packaging to prevent food waste.
The use of certain single-use packaging, such as for small toiletries in hotels or shrink-wrap for suitcases at airports, is to be severely restricted. However, several bans contained in the Commission’s draft were prevented yesterday by amendments, including the ban on small disposable packaging for sugar, pepper, salt, and sweeteners in the catering trade.
Burkhardt: ‘Field day for the packaging lobby’
The proposed reusable targets were also deleted by a majority; instead, MEPs want to clarify the requirements for the reuse and refilling of packaging. Retailers of drinks and takeaway food should only allow customers to use their own containers for takeaway food and drinks. By 2030, a tenth of shipping packaging for parcels should be reusable, with the exception of packaging that can be at least 85% recycled.
“We need a strong internal market for recycled raw materials to build our circular economy, but we don’t need an orgy of bans,” said Peter Liese (EPP) after the vote. “Paper is a sustainable material and we really have other things to worry about in Europe at the moment than dealing with paper bags.”
Delara Burkhardt, shadow rapporteur for the S&D Group, sees the result as an expression of the success of the massive lobbying campaigns: “Unfortunately, the vote became a wishful thinking exercise for the packaging lobby“, she commented on X. She wonders how the agreed packaging reduction targets are to be achieved without the specific measures that were deleted or watered down. She hopes that the Council will show more ambition in its position and “plug the big loopholes” in the parliamentary report. leo
- Environmental policy
- Sustainability
- Umweltpolitik
- Verpackungen
Commission wants to standardize forest monitoring
Yesterday, Environment Commissioner Virginijus Sinkevičius and Climate Action Commissioner Wopke Hoekstra presented a new legislative proposal on forest monitoring. The proposal is intended to create the framework for a comprehensive knowledge base on forests. This should enable member states, forest owners, and forest managers to respond better to the growing challenges posed by climate change impacts.
Specifically, the law on forest monitoring is intended to create the following:
- Harmonized data, most of which originate from the national forest inventories and are comparable throughout Europe;
- a system for mapping and localizing forest units;
- a framework for the collection of forest data. The Commission intends to take the lead in this and use the Copernicus service;
- a framework for sharing forest data: both the Commission and the Member States will publish this data, inter alia in the Forest Information System for Europe (FISE).
Opening up new markets
The proposal also aims to support the creation of a new market for digital monitoring service providers, including SMEs and start-ups. Finally, the proposal will support the implementation of other important legislation such as the LULUCF Regulation, the Habitats and Birds Directives, the Deforestation Regulation, as well as the Certification of Carbon Removal, and the Nature Restoration Act, once adopted by the co-legislators.
The proposal was due to be published in May of this year. At a press conference in Brussels, Environment Commissioner Sinkevičius did not elaborate on the reasons for the delay. He said that finalizing the proposal had been “a sensitive steering exercise” due to the need to talk to a wide range of stakeholders. He added that “careful impact assessments” had also been carried out to avoid unnecessary administrative burden.
Fragmentation of data collection
The proposal comes against a backdrop of fragmented data collection on the state of forests in the EU, explains the Commission. The data on the ecological, social, and economic value of forests, the pressures they are exposed to, and the ecosystem services they provide are largely heterogeneous and contradictory. This leads to gaps and overlaps in the data provided to the Commission by member states, often with considerable delay. In other words, the EU lacks a common system for collecting long-term, accurate, and comparable forest data, the Commission summarizes.
Forests are crucial in the fight against climate change and for the preservation of biodiversity. The impact of climate change on European forests is increasing, as the number of forest fires in Spain, France, and Greece, for example, shows. In 2022, almost 900,000 hectares of land and forest burned in the EU. This is equivalent to the size of Corsica, according to the Commission. cst
€4.8 billion for hydrogen and decarbonization
The EU is providing a further €4.8 billion from the Innovation Fund to promote hydrogen and the decarbonization of industry. A new round of calls for proposals for the fund begins today, according to a Commission website. For the first time, the EU is making €800 million available from the Innovation Fund for developers of hydrogen projects as part of a call for proposals.
The lion’s share of €4 billion is available for several sectors, including decarbonization projects, clean-tech production sites, and the maritime industry. The deadline for applications is the beginning of April 2024. The Commission will be offering information events on the calls for proposals in the coming weeks. ber
Finland closes further border crossings to Russia
Finland wants to close all but one border crossing to Russia from midnight on Friday. “There are increasing signs that the situation on the eastern border is deteriorating”, said Prime Minister Petteri Orpo on Wednesday. This means that three of the four remaining crossings will be closed and only the northernmost, Raja-Jooseppi, will be left open. This is so far north that “it takes a real effort to get there”. Since the beginning of the month, more than 600 people have arrived in Finland via Russia without valid papers.
There is also increasing tension on the border with Russia in Finland’s neighboring country Estonia. Estonia’s Interior Minister Lauri Läänemets accused Russia on Wednesday of being involved in a “hybrid attack operation” to bring migrants to the Estonian border with the aim of undermining security and unsettling the population of the Baltic state. A total of 75 migrants, mainly from Somalia and Syria, have attempted to enter Estonia from Russia via the Narva border crossing since Thursday, Estonian public broadcaster ERR reported.
Signs of Russian interference?
Estonia is also prepared to close border crossings if “migration pressure from Russia escalates”, Läänemets told Reuters via a spokesperson. “Unfortunately, there are many indications that Russian border officials and possibly other authorities are involved“, the minister said. Russian officials could not immediately be reached for comment.
On Monday, the Kremlin denied that Russia was deliberately pushing illegal migrants to the Finnish border and said Russian border guards were carrying out their duties in accordance with regulations. rtr
ECB Director: Making bank loans ‘greener’
In the view of its central bank director Frank Elderson, the ECB should take climate policy aspects into account if it were to launch a new round of targeted credit injections for banks. “Whenever there is a future monetary policy need to reconsider targeted longer-term refinancing operations for banks, there are compelling reasons to make them greener“, said the member of the six-member governing body of the European Central Bank (ECB) at an event in Berlin on Wednesday. With its large credit salvos for banks, known in the trade as “TLTRO”, the ECB wanted to support the flow of credit to the economy.
The ECB has already incorporated financial stability considerations into the design of its instruments, said Elderson. The Dutchman added that it could take a similar approach when it comes to making its tools greener. For example, in the third series of TLTRO loans launched in 2019, the ECB set a lending target that excluded housing loans. At the time, the bank wanted to avoid contributing to the formation of real estate bubbles. In Elderson’s view, similar strategies could be considered to support “green” loans or exclude “non-green” loans in the future. rtr
Free trade agreement with New Zealand
The European Parliament approved the European Union’s free trade agreement with New Zealand on Wednesday. EU lawmakers voted in favor of the agreement by 524 votes to 85. It is due to enter into force at the beginning of 2024. It is the first new free trade agreement in more than three years. It is also the first in the EU to provide for possible sanctions for violations of environmental or labor standards.
The hope is to increase trade by up to 30 percent. The agreement with New Zealand will eliminate annual tariffs of around €140 million on EU exports such as clothing, chemicals, pharmaceuticals, and cars as well as wine and confectionery. The EU will increase its quota for New Zealand beef by 10,000 tons and increase the quantities of lamb, butter, and cheese. Farmers have expressed their disappointment.
Daniel Caspary, responsible EPP rapporteur, said the vote was “overdue” as the last trade agreement to be approved was concluded with Vietnam in February 2020.
Negotiations on the agreement were already concluded in June 2022. The agreement also has a geostrategic dimension. Europe is looking for alternatives to Russia and China as trading partners. Other agreements are currently stalling due to national concerns. France in particular is reluctant to approve agreements that lead to more agricultural imports. rtr
Europe.Table editorial team
Dear reader,
The Netherlands faces a challenging government formation after Wednesday’s parliamentary elections. According to the latest forecasts this morning, the right-wing populist Geert Wilders and his Freedom Party (PVV) won 37 of a total of 150 seats, making him by far the strongest force in the second chamber. There was talk of a Trump moment in The Hague this evening: Observers had not seen Wilders’ triumph coming either, at least not to this extent.
In second place, Frans Timmermans, heading the new party merger of the social democratic PvdA and Groenlinks, made significant gains with 25 new seats. However, in view of the right-wing populist tsunami, the former EU Commission vice-chairman could now face a seat on the opposition bench despite his gains.
In the evening, Geert Wilders clearly laid claim to forming the next government. The Islam critic scored particularly well on the issue of migration, which had caused the previous coalition to collapse. The right-wing populist called on the other right-wing parties to “jump over their shadows.” Wilders has his sights set on the right-wing liberal VVD party of former Prime Minister Mark Rutte, which suffered significant losses under the new lead candidate Dilan Yesilgöz with 24 seats left. Although Yesilgöz had not ruled out cooperation with the PVV during the election campaign, she described Geert Wilders as unsuitable for the post of prime minister.
Wilders also wants to bring the party rebel Pieter Omtzigt on board, who has won 20 seats with his party “New Social Contract” (NSC). However, the former Christian Democrat has so far also refused to cooperate with Geert Wilders because his call to close mosques and ban the Koran violates the constitution. In the evening, however, he indicated a willingness to talk: “We will take responsibility.”
The impending uncertainty is bad news for the EU partners. Previously, Wilders has also campaigned for a referendum on leaving the EU. Coalition consultations can take many months in the Netherlands. If Wilders fails at some point next year, Frans Timmermans could still get his chance. The Social Democrat appealed on election night that it was now a matter of standing shoulder to shoulder in defense of democracy and the rule of law.
Have a good start to the day.
- Frans Timmermans
- Netherlands
Feature
EU Parliament buries pesticide regulation
“A black day for the environment and farmers.” The Green rapporteur on the pesticide regulation, Sarah Wiener, was crestfallen in the European Parliament’s plenary chamber. After a fierce battle over amendments, the Commission’s proposal on the Sustainable Use of Pesticides Regulation (SUR) was rejected at first reading by 299 votes to 207, with 121 abstentions.
Numerous amendments were part of a concerted push by the Conservatives (EPP) and other political groups, which led to a significant watering down of the Commission’s original proposal and the compromises worked out in the Environment Committee (ENVI). This led to the Greens, Social Democrats and the Left voting against the proposal in a surprise U-turn.
Revision? Rejected!
The rapporteur, Sarah Wiener, requested that the text be sent back to the Environment Committee (ENVI) for revision. However, the motion was rejected by 324 votes to 292. This means that there will be no new regulation on the sustainable use of pesticides in the foreseeable future. Even if the Council decides on its position in the coming weeks. Without Parliament, the trilogue negotiations cannot begin.
The European Commission must now decide whether to present a new version of the text. However, this is unlikely just a few months before the European elections in June 2024. It is much more likely that the legislative process will be postponed until the next term of office. Which is tantamount to the political death of the project.
Controversial ban on pesticides in sensitive areas
The conservatives in the EPP are satisfied that a text on a ban on pesticides was rejected. Norbert Lins (CDU), Chairman of the Committee on Agriculture and Rural Development, criticized the fact that rapporteur Wiener had tried to obtain “a ban” on pesticides in agriculturally sensitive areas. “That was unacceptable to me and the majority of the European Parliament”, he said.
The draft law proposed by the Commission in July 2022 aimed to halve the use of chemical pesticides in the EU by 2030. The Parliament’s Environment Committee also wanted to ensure that the use of the pesticides classified as the most hazardous and the associated risks in the EU should be reduced by at least 65% by 2030 compared to the period 2013 to 2017.
The ENVI Committee also proposed a ban on the use of chemical pesticides in so-called ecologically sensitive areas. These were public areas such as parks, playgrounds, recreational areas, public footpaths, and Natura 2000 sites. It was precisely this article that generated the most amendments and the most opposition.
Agriculture as bone of contention
The result of the vote not only shows the fragmentation of the Parliament, but also the lines of conflict within the political groups. Christian Democrats, ECR, and MEPs further to the right as well as some members of Renew and S&D voted against the compromises worked out in the Environment Committee. Renew and S&D are divided on agricultural policy. Reducing the use of pesticides is one of the pillars of the Green Deal, as part of the Commission’s biodiversity agenda and the “farm to fork” strategy, the agricultural offshoot of the Green Deal.
The rejection comes just days after the European Commission’s decision to approve glyphosate for another ten years, as there was no qualified majority of member states for or against re-approval.
- Agricultural Policy
- Environmental policy
- European Parliament
Amnesty in Spain: emotional debate in Parliament
Non-attached MEP Carles Puigdemont followed the debate in the European Parliament on the rule of law following the parliamentary elections in Spain attentively from his seat in the back row. The debate focused on the controversial amnesty law, which is intended to allow the leader of Junts to return to Spain from exile in Belgium and PSOE leader Pedro Sánchez to form a coalition and continue to govern.
In a highly emotional debate, EPP group leader Manfred Weber criticized the fact that social democrats, the Greens, and the left had tried to prevent the debate in the European Parliament on the rule of law in Spain. He quoted the former Spanish Prime Minister and ex-PSOE leader Felipe Gonzáles. The now 80-year-old said: “An amnesty destroys society.” Weber criticized the fact that Sánchez had ruled out an amnesty just a few days before the election: “Sánchez has put his personal egoism first and broken the rule of law.”
Spanish MEPs divided over plans
Iratxe García Peréz, the leader of the Socialist Group S&D from Spain, responded to Weber. “It is not Pedro Sánchez who is endangering Spain’s democracy, but the Spanish People’s Party (PP), which does not recognize the result of the election on 23 July.” She then cited examples from Spanish politics where the conservative party had been guilty of something. “The Partido Popular has used the police to destroy evidence of corruption within its own ranks.”
Spain’s Adrián Vázquez Lázara from Renew said: “We have rightly spoken here about the violations of the rule of law in Hungary and Poland, and we will also talk about Spain.” Spain’s socialists wanted to secure power by “collaborating with fugitives of justice”. And further with regard to Pigdemont: “This is an attempt to make a politician legally untouchable.”
Numerous complaints to the Commission
Justice Commissioner Didier Reynders began by pointing out that the Commission had received numerous complaints from citizens and parliamentary questions from MEPs about the planned amnesty law. He explained the criticism that the Commission had already made of the Spanish justice system in its Rule of Law Report.
However, the Commission’s position on the secession of a region in Spain remains unchanged: “Catalonia remains an internal Spanish issue in which the Commission does not interfere.” However, he reiterated his commitment to a thorough analysis of the amnesty law: “We will examine the law very carefully, independently and objectively and check whether it violates the European treaties.” However, it will take some time before the results are available: The Commission will only examine the law once it has been legally passed and is in force.
Sánchez forges super ministry
Meanwhile, the cabinet of the new government under Sánchez is emerging in Spain. As in the previous legislative period, there will be 22 ministries. Five portfolios will go to Sánchez’s most important alliance partner, the left-wing platform Sumar. Podemos politicians, without whose support Sánchez would not have come to power four years ago, are no longer part of the cabinet.
Sánchez joins forces in a super ministry. Félix Bolaños, Sánchez’s closest confidant, becomes Minister for the Presidency, Justice and Relations with the Upper and Lower Houses. Bolaños is one of the architects of the controversial amnesty law. At the head of the superministry, Bolaños will oversee the adoption of the amnesty law. As the Spanish daily newspaper El Mundo reports, the appointment of Bolaños has raised concerns among some judges. They warn of the judiciary being hijacked by the executive.
Women are in the majority in the cabinet
The Junts and Esquerra Republicana de Catalunya parties had made the amnesty law a condition for a coalition. The amnesty law aims to amnesty all crimes committed by those involved in the separatist trials since 2014 and to overturn the sentences handed down. Junts leader Puigdemont would also benefit from this.
In Sánchez’s new cabinet, twelve women have a majority compared to ten men. Nadia Calviñó (Minister of Economy), Yolanda Díaz (Minister of Labor and head of Sumar) and Teresa Ribera (Minister of Ecological Transition) will become first, second and third Vice-Presidents of the government. María Jesús Montero, who will continue to be responsible for the finance portfolio, is to become fourth Vice-President.
Sumar retains the Ministries of Labor and Social Rights (Pablo Bustinduy), but loses the Ministries of Gender Equality, Consumer Protection and Higher Education. Ernest Urtasun, the former deputy group leader of the Greens in the European Parliament, becomes Minister of Culture. Mónica García takes over the health portfolio. with Markus Grabitz
Scholz and Meloni: Is harmonious the same as historical?
When she says during the press conference on Wednesday evening that she took part in the video conference of the G20 countries side by side with Chancellor Olaf Scholz, a smile flits across Giorgia Meloni’s face. It could be interpreted as pride. After all, her election as Italy’s head of government around a year ago was viewed rather skeptically, especially in Germany.
However, the G20 only plays a subordinate role in this joint press conference. This Wednesday, the German-Italian intergovernmental consultations were held in Berlin. The last talks in this format took place in 2016. It was Meloni’s second visit to the German capital as Italy’s head of government following her inaugural visit at the beginning of February.
Agreement on action plan
Meloni has nothing but words of praise and praise this Wednesday. “It works between us because we are used to speaking clearly with each other”, says the 46-year-old about the cooperation with her German counterpart. “I find Chancellor Scholz to be a very reliable person.” The head of the Fratelli d’Italia party, which many consider to be post-fascist, describes the day as “historic in some respects”.
But despite all the euphoria, this evening in Berlin is rather sober. While the signing of the Italian-French Quirinal Treaty at the end of 2021 was celebrated with pomp and circumstance in Rome, the agreement between Italy and Germany was only celebrated with a press conference that did not really stand out from the many others. And yet: signatures were signed. Under an action plan that was launched in December 2021 under the previous government of Mario Draghi.
A historical document?
A lot has happened in the meantime: In Europe’s neighborhood, two new wars have broken out in Ukraine and Israel, inflation is keeping countries on tenterhooks – and Italy has a new government. Since October 2022, Rome has been governed by a far-right coalition consisting of the ultra-right Fratelli d’Italia, Matteo Salvini’s Lega, and the Forza Italia of former prime minister Silvio Berlusconi, who died this summer. Meloni is the first woman in the history of the Italian Republic to head the government.
The harmony demonstrated to the press on Wednesday evening is also reflected in the action plan, which is not supposed to be called a treaty. “Our countries are united by shared values and common interests”, reads the 25-page document right at the beginning, and they want to take their bilateral partnership to a “new level”. It also states: “Both sides regard the action plan and its annex as living documents.” You could also call them declarations of intent. This means that there is probably a question mark or two behind the word “historic” in Meloni’s mouth.
Closer cooperation on migration
The intention is to “continue” or even “strengthen” existing cooperation in numerous areas. In terms of migration, the intention is to “continue the dialog”. There had recently been diplomatic disagreements in this area after the Bundestag decided to financially support private sea rescuers. According to the new action plan, a “structured dialog” will also be conducted on international and security policy issues.
They also want to “exchange views” on a number of issues, such as the implementation of strategies to protect people of all sexual orientations. The fact that the views on this could not be more different should not stand in the way of the exchange.
Only a few tangible points can be found in the paper: in the future, there is to be an annual ministerial forum between the Italian Minister for Enterprise and Made in Italy and the German Federal Minister for Economic Affairs and Climate Protection. And in addition to the “strategic dialogues” between the Ministries of Foreign Affairs and Defence, a mechanism for joint consultations between the Ministers of Defense and Foreign Affairs (“2+2”) is to be established.
Scholz takes a pragmatic approach to Meloni
There is also talk of new cooperation projects and new formats for cooperation, particularly in the areas of energy, climate protection, security, and defense. On Wednesday, Scholz and Meloni demonstratively showed agreement on the wars in Ukraine and Israel.
Not everyone in Berlin was as enthusiastic about the European dream couple that Scholz and Meloni presented themselves as. “The Italian Prime Minister is not a state guest who should be rolled out the red carpet“, Left Party leader Janine Wissler told the German Press Agency. She spoke of a dangerous normalization and a courting of Meloni and her right-wing government by the traffic light government.
Chancellor Scholz has developed a pragmatic working relationship with Meloni, as have most of his colleagues in the European Council. When the right-wing politician was elected in the fall of 2022, many politicians from the Social Democrats and Greens warned of the “post-fascist” in shrill tones, and leading SPD members of the Bundestag have even dubbed Meloni a fascist to this day. From the point of view of the Chancellery, however, the warnings have hardly materialized so far, and they don’t know what to do with vague terms like “post-fascist” anyway. By Almut Siefert with Till Hoppe
- Germany
- giorgia meloni
- Italy
- Olaf Scholz
European Parliament sums up Brexit: new constructive cooperation
The Trade and Cooperation Agreement between the EU and the UK (TCA) has been instrumental in limiting the negative consequences of Brexit. This is the conclusion of the report on the implementation of the TCA, which will be voted on in the European Parliament today. The TCA came into force on Jan. 1, 2021, a few days after the withdrawal agreement between the EU and the government in London was signed on Christmas Eve 2020.
Almost three years after the UK’s withdrawal, the European Parliament is taking stock of relations for the first time with this report. In particular, since the agreement on the Windsor Framework in March 2023, mutual relations have been characterized by a new constructive cooperation. The Windsor Framework sets out solutions to permanently solve problems that arise in practice in Northern Ireland and to protect the integrity of the single market. The report was prepared jointly by the Foreign Affairs Committee (AFET) and the Trade Committee (INTA) and adopted in a joint meeting of the two committees with 71 votes in favor, three abstentions, and only one vote against.
Extensive agreements
The trade and cooperation agreement between London and Brussels has a special status, the report states. No agreement that the EU has ever concluded with a third country is more far-reaching. It covers almost all relevant policy areas, from trade to energy, fisheries, cooperation in criminal matters and law enforcement, transport, and the coordination of social security. There is also a dispute settlement mechanism. There is no agreement on foreign, security, and defense policy alone. The UK had strictly rejected agreements with the EU on foreign policy. As a result, there has been no institutionalized framework for this since the withdrawal.
In terms of trade policy, Parliament states that the exchange of goods and services has suffered as expected as a result of Brexit. Between 2016 and 2022, trade relations developed worse than the EU’s relations with other international partners. The TCA is unique in that it does not provide for any tariffs or quotas for goods that comply with the rules of origin. However, the agreement is by no means a substitute for EU membership and access to the EU single market.
Quick agreement needed on EVs
The problem was that Brexit created new non-tariff trade barriers. This created new cost factors on both sides. There were implementation problems, especially at the beginning. There are still problems today, for example with the entry and temporary stay of business people and the verification of rules of origin.
The report calls for an agreement between Brussels and London on the rules of origin for electric vehicles. As the added value of EVs in the EU and the UK falls short of the targets set, there is a threat of tariffs of ten percent at the beginning of the year. A solution must be found urgently, as European manufacturers are having difficulties sourcing batteries, especially from the EU. Parliament is calling on the Commission to push for a simplification of customs clearance procedures.
Foreign policy: unfortunately no agreements
The report expressly regrets that the United Kingdom is not prepared to reach agreements on foreign, defense, and security policy. Parliament is very much in favor of formally agreeing on foreign and security policy cooperation in the future. Nevertheless, Parliament draws a positive conclusion on cooperation in this area. The coordinated approach in supporting Ukraine was exemplary and showed the potential of a successful partnership. The United Kingdom is helping to improve Euro-Atlantic security with arms deliveries and the expansion of intelligence capacities.
If an agreement is reached, Brussels and London could, for example, jointly monitor the implementation of sanctions against Russia and other third countries. The fact that the United Kingdom wants to participate in the PESCO project on military mobility is also welcomed. There is a positive trend in military cooperation. However, financial resources are not being used efficiently if, for example, combat air systems are being developed in parallel on both sides, according to the annual report on the Common Security and Defense Policy.
Environment and energy: hoping for more cooperation
In terms of environmental and climate policy, the report calls on the Commission to monitor the UK’s emissions trading system. There should be equal standards for environmental protection and competition. The Commission should examine whether cooperation between the EU and the United Kingdom on the ETS is possible. The Commission should also ensure that the REACH chemicals regulation remains comparable in the UK and the EU.
In terms of energy policy, Parliament is calling for greater cooperation. There is currently no long-term agreement on mutual electricity trade. There is great potential, for example with electricity from renewable sources from the British coast. With regard to fisheries policy, the report points out that a multi-year agreement is needed for the period after 2026. Otherwise, fishing quotas would have to be negotiated every year.
Students and young people are the losers
In the area of financial services, London was prepared to make few agreements. Plans for a financial regulatory forum between London and Brussels are to be welcomed. However, it would not be part of the TCA and would therefore not grant the same access to the European market as a comprehensive financial services agreement.
Parliament also notes that young people, students, athletes, and artists are among the biggest losers of Brexit. There are virtually no follow-up programs for Erasmus Plus and the European Solidarity Corps. Students from the EU would only be able to study at British universities for a semester if they paid the high tuition fees. There are massive obstacles for touring artists. The free movement of athletes, including in professional sport, is also restricted.
News
Packaging Regulation: Parliament approves numerous exemptions
Yesterday in Strasbourg, the EU Parliament adopted its mandate for the negotiations on the Packaging and Packaging Waste Regulation (PPWR), with which the EU intends to take action against the increasing volume of packaging waste. After the highly controversial positions of the committees and political groups involved became clear once again in yesterday’s debate, 426 MEPs voted in favor of the report yesterday, with 125 votes against and 74 abstentions. However, the report by Frédérique Ries (Renew) was significantly weakened by numerous amendments.
Parliament was at least able to agree on reduction targets: Packaging is to be reduced by five percent by 2030, ten percent by 2035, and 15 percent by 2040. More ambitious targets are to be set for plastic packaging: 10 percent by 2030, 15 percent by 2035, and 20 percent by 2040.
Exemptions for food packaging made of wood and wax
Furthermore, 90 percent of the materials contained in packaging, i.e. plastic, wood, ferrous metals, aluminum, glass, paper, and cardboard, are to be collected separately by 2029.
All packaging must be recyclable by 2030; temporary exemptions are provided for food packaging made of wood and wax, for example. This was prompted by amendments tabled by French MEPs, among others, who were concerned about the non-recyclable wooden packaging used for Camembert cheese.
Parliament has decided to ban very lightweight plastic carrier bags (less than 15 microns) unless they are required for hygiene reasons or are used as primary packaging to prevent food waste.
The use of certain single-use packaging, such as for small toiletries in hotels or shrink-wrap for suitcases at airports, is to be severely restricted. However, several bans contained in the Commission’s draft were prevented yesterday by amendments, including the ban on small disposable packaging for sugar, pepper, salt, and sweeteners in the catering trade.
Burkhardt: ‘Field day for the packaging lobby’
The proposed reusable targets were also deleted by a majority; instead, MEPs want to clarify the requirements for the reuse and refilling of packaging. Retailers of drinks and takeaway food should only allow customers to use their own containers for takeaway food and drinks. By 2030, a tenth of shipping packaging for parcels should be reusable, with the exception of packaging that can be at least 85% recycled.
“We need a strong internal market for recycled raw materials to build our circular economy, but we don’t need an orgy of bans,” said Peter Liese (EPP) after the vote. “Paper is a sustainable material and we really have other things to worry about in Europe at the moment than dealing with paper bags.”
Delara Burkhardt, shadow rapporteur for the S&D Group, sees the result as an expression of the success of the massive lobbying campaigns: “Unfortunately, the vote became a wishful thinking exercise for the packaging lobby“, she commented on X. She wonders how the agreed packaging reduction targets are to be achieved without the specific measures that were deleted or watered down. She hopes that the Council will show more ambition in its position and “plug the big loopholes” in the parliamentary report. leo
- Environmental policy
- Sustainability
- Umweltpolitik
- Verpackungen
Commission wants to standardize forest monitoring
Yesterday, Environment Commissioner Virginijus Sinkevičius and Climate Action Commissioner Wopke Hoekstra presented a new legislative proposal on forest monitoring. The proposal is intended to create the framework for a comprehensive knowledge base on forests. This should enable member states, forest owners, and forest managers to respond better to the growing challenges posed by climate change impacts.
Specifically, the law on forest monitoring is intended to create the following:
- Harmonized data, most of which originate from the national forest inventories and are comparable throughout Europe;
- a system for mapping and localizing forest units;
- a framework for the collection of forest data. The Commission intends to take the lead in this and use the Copernicus service;
- a framework for sharing forest data: both the Commission and the Member States will publish this data, inter alia in the Forest Information System for Europe (FISE).
Opening up new markets
The proposal also aims to support the creation of a new market for digital monitoring service providers, including SMEs and start-ups. Finally, the proposal will support the implementation of other important legislation such as the LULUCF Regulation, the Habitats and Birds Directives, the Deforestation Regulation, as well as the Certification of Carbon Removal, and the Nature Restoration Act, once adopted by the co-legislators.
The proposal was due to be published in May of this year. At a press conference in Brussels, Environment Commissioner Sinkevičius did not elaborate on the reasons for the delay. He said that finalizing the proposal had been “a sensitive steering exercise” due to the need to talk to a wide range of stakeholders. He added that “careful impact assessments” had also been carried out to avoid unnecessary administrative burden.
Fragmentation of data collection
The proposal comes against a backdrop of fragmented data collection on the state of forests in the EU, explains the Commission. The data on the ecological, social, and economic value of forests, the pressures they are exposed to, and the ecosystem services they provide are largely heterogeneous and contradictory. This leads to gaps and overlaps in the data provided to the Commission by member states, often with considerable delay. In other words, the EU lacks a common system for collecting long-term, accurate, and comparable forest data, the Commission summarizes.
Forests are crucial in the fight against climate change and for the preservation of biodiversity. The impact of climate change on European forests is increasing, as the number of forest fires in Spain, France, and Greece, for example, shows. In 2022, almost 900,000 hectares of land and forest burned in the EU. This is equivalent to the size of Corsica, according to the Commission. cst
€4.8 billion for hydrogen and decarbonization
The EU is providing a further €4.8 billion from the Innovation Fund to promote hydrogen and the decarbonization of industry. A new round of calls for proposals for the fund begins today, according to a Commission website. For the first time, the EU is making €800 million available from the Innovation Fund for developers of hydrogen projects as part of a call for proposals.
The lion’s share of €4 billion is available for several sectors, including decarbonization projects, clean-tech production sites, and the maritime industry. The deadline for applications is the beginning of April 2024. The Commission will be offering information events on the calls for proposals in the coming weeks. ber
Finland closes further border crossings to Russia
Finland wants to close all but one border crossing to Russia from midnight on Friday. “There are increasing signs that the situation on the eastern border is deteriorating”, said Prime Minister Petteri Orpo on Wednesday. This means that three of the four remaining crossings will be closed and only the northernmost, Raja-Jooseppi, will be left open. This is so far north that “it takes a real effort to get there”. Since the beginning of the month, more than 600 people have arrived in Finland via Russia without valid papers.
There is also increasing tension on the border with Russia in Finland’s neighboring country Estonia. Estonia’s Interior Minister Lauri Läänemets accused Russia on Wednesday of being involved in a “hybrid attack operation” to bring migrants to the Estonian border with the aim of undermining security and unsettling the population of the Baltic state. A total of 75 migrants, mainly from Somalia and Syria, have attempted to enter Estonia from Russia via the Narva border crossing since Thursday, Estonian public broadcaster ERR reported.
Signs of Russian interference?
Estonia is also prepared to close border crossings if “migration pressure from Russia escalates”, Läänemets told Reuters via a spokesperson. “Unfortunately, there are many indications that Russian border officials and possibly other authorities are involved“, the minister said. Russian officials could not immediately be reached for comment.
On Monday, the Kremlin denied that Russia was deliberately pushing illegal migrants to the Finnish border and said Russian border guards were carrying out their duties in accordance with regulations. rtr
ECB Director: Making bank loans ‘greener’
In the view of its central bank director Frank Elderson, the ECB should take climate policy aspects into account if it were to launch a new round of targeted credit injections for banks. “Whenever there is a future monetary policy need to reconsider targeted longer-term refinancing operations for banks, there are compelling reasons to make them greener“, said the member of the six-member governing body of the European Central Bank (ECB) at an event in Berlin on Wednesday. With its large credit salvos for banks, known in the trade as “TLTRO”, the ECB wanted to support the flow of credit to the economy.
The ECB has already incorporated financial stability considerations into the design of its instruments, said Elderson. The Dutchman added that it could take a similar approach when it comes to making its tools greener. For example, in the third series of TLTRO loans launched in 2019, the ECB set a lending target that excluded housing loans. At the time, the bank wanted to avoid contributing to the formation of real estate bubbles. In Elderson’s view, similar strategies could be considered to support “green” loans or exclude “non-green” loans in the future. rtr
Free trade agreement with New Zealand
The European Parliament approved the European Union’s free trade agreement with New Zealand on Wednesday. EU lawmakers voted in favor of the agreement by 524 votes to 85. It is due to enter into force at the beginning of 2024. It is the first new free trade agreement in more than three years. It is also the first in the EU to provide for possible sanctions for violations of environmental or labor standards.
The hope is to increase trade by up to 30 percent. The agreement with New Zealand will eliminate annual tariffs of around €140 million on EU exports such as clothing, chemicals, pharmaceuticals, and cars as well as wine and confectionery. The EU will increase its quota for New Zealand beef by 10,000 tons and increase the quantities of lamb, butter, and cheese. Farmers have expressed their disappointment.
Daniel Caspary, responsible EPP rapporteur, said the vote was “overdue” as the last trade agreement to be approved was concluded with Vietnam in February 2020.
Negotiations on the agreement were already concluded in June 2022. The agreement also has a geostrategic dimension. Europe is looking for alternatives to Russia and China as trading partners. Other agreements are currently stalling due to national concerns. France in particular is reluctant to approve agreements that lead to more agricultural imports. rtr
Europe.Table editorial team
