Poland’s priorities + Berlin on merger control + Hoekstra on cars

Dear reader,

António Costa will chair his first summits next week. The meeting with the heads of state and government of the Western Balkan states is still to come before the European Council on Thursday. According to EU diplomats, preparations have gone remarkably smoothly so far. They are still on their honeymoon with the new Council President, they say in Brussels.

The former Portuguese Prime Minister is doing many things differently from his predecessor Charles Michel, above all in a clearer and more structured way. The EU summit is only scheduled for one day instead of the usual Thursday and half of Friday. Costa already listed which topics he would like to discuss and in what order in his invitation letter to his colleagues on Dec. 7 – with Michel, the letter often only arrived one or two days before the meeting.

The heads of state and government should also be able to concentrate on strategic discussions without wasting their precious time discussing the wording of the conclusions. The EU ambassadors should therefore be given a little more legroom to largely complete the text work by the start of the summit.

So far, they are on the right track, according to Brussels. Discussions are still focusing on the wording regarding the current situation in Syria and possible consequences for refugees. There is still a gap in the current draft. The Middle East is expected to be one of the main topics of the summit.

Costa has also invited Ukrainian President Volodymyr Zelenskiy to Brussels to discuss support for Kyiv with the EU heads of state and government. Over lunch, the leaders are to discuss how the EU can assert itself in a conflict-ridden world. The name Donald Trump is likely to be mentioned frequently.

I wish you a wonderful weekend!

Your
Till Hoppe

Poland: Council Presidency warns of extreme challenges

State Secretaries Magdalena Sobkowiak-Czarnezka and Ignacy Niemczycki presented the priorities of the Polish Council Presidency in Warsaw.

By

Eric Bonse

“We have never had such extreme challenges,” said Polish EU Ambassador Agnieszka Bartol in Brussels on Thursday. And State Secretary Paweł Karbownik explained in an interview with Table.Briefings: “These are probably the most difficult months in the history of European integration.”

In just under three weeks, Poland will take over the Council Presidency amid geopolitical crises and great economic uncertainty. “20 days later, Donald Trump will take over the White House and that will be an additional factor in which we as Europeans must remain united,” warned Karbownik.

Finance ministers to deal with energy policy

In Karbownik’s view, Europe’s core problem lies in the fact that the integration process has stalled: “Financial market integration, energy, telecommunications, banking – we are stuck in all these areas,” lamented the State Secretary in the Polish Ministry of Finance.

In order to make progress on the two priority topics of the Polish Council Presidency – defense and energy – the Poles want to shake up the responsibility for these topics in the Council. Instead of just the energy and defense ministers, as has been the case up to now, the finance ministers in particular should also deal with the topics of energy and defense.

Poland’s concept of the Energy Union

This is intended to highlight the potential efficiency gains and cost savings of closer integration. “Several tens of billions of euros could be saved annually if we had the necessary energy networks,” said Karbownik.

Polish Prime Minister Donald Tusk first brought up the concept of the Energy Union in 2014 after the first Russian invasion of Ukraine. Ten years later, this idea should finally be implemented, said Karbownik.

More cautious choice of words for defense financing

Alongside energy, defense – and defense funding in particular – is a priority for the Polish presidency. After speaking openly about a fund of up to one trillion euros at an event in Brussels last week, Karbownik did not want to go into more detail about the figures and financing in an interview with Table.Briefings.

The first step would be to determine how much money is needed for what purpose. This also brings him closer to the position of the German government, which first wants to talk about concrete defense cooperation before getting involved in financing discussions. In April, the EU finance ministers will discuss defense financing at the informal Council meeting in Warsaw.

Security as a motto in uncertain times

Ambassador Bartol also provided little concrete information. “We will devote ourselves to security in all its dimensions,” she explained. External security, internal security, disinformation, the economy, energy, food and health – these are the topics that characterize the Polish work program entitled “Security, Europe.” However, concrete plans or even new initiatives are nowhere to be found.

In terms of defense policy, we will try to work together with as many partners as possible, Bartol announced. This would also include the UK. However, there will be no decisions on the future EU budget in the first half of 2024. “We are not yet expecting a proposal from the EU Commission during our Presidency.”

MFR will already be discussed in March

Nevertheless, Poland will endeavor to stimulate the debate on the future multiannual financial framework as much as possible. An initial debate is planned at the EU summit in March; there will also be a meeting of experts on budget policy in Warsaw.

Poland apparently wants to keep all options open in its Ukraine policy. Head of government Tusk will “continue to play an active role”, said Bartol, referring to the consultations with French head of state Emmanuel Macron on Thursday in Warsaw. However, she did not give any details. Instead, she emphasized a principle: “There will be no talks on Ukraine without Ukraine.”

EU enlargement also possible without EU reforms

The Polish EU Presidency wants to take a “balanced approach” to enlargement, which relates to the concrete progress made by the candidate countries (“merit-based approach”). Ukraine can expect the opening of the first negotiation chapters. This was not yet an issue under the Hungarian EU Presidency. She also expects progress with Serbia and Montenegro, said Bartol.

However, the Polish Presidency does not see a need to work on internal EU reforms or even treaty changes at the same time. “The Lisbon Treaty is enlargement-proof,” said the ambassador. It provides sufficient flexibility for the admission of new members. It is true that the EU must also introduce reforms. However, a first report is not planned until June.

There are no signs of movement on the topics of Mercosur and migration. Bartol confirmed that Poland rejects the free trade agreement negotiated by EU Commission President Ursula von der Leyen with the Mercosur states. However, the EU is not expected to enter into discussions on the text in the first six months. “We are not expecting any decisions,” said Bartol.

More speed with the Return Directive

In terms of migration policy, the Permanent Representative reiterated Poland’s rejection of the CEAS reform. The EU decision goes back to a proposal from 2016 and no longer meets today’s challenges, which are characterized by the instrumentalization of migrants, especially at the EU’s eastern borders. Warsaw will therefore only push ahead with the migration pact at a technical level.

The Polish government is promising more speed on the Return Directive: “As soon as the Commission presents a proposal, we will put it on the agenda,” the ambassador announced. Warsaw, together with 14 other EU states, had put pressure on Brussels in this area.

Merger control: Berlin calls for higher turnover thresholds

The German government is calling for concrete changes to European competition law. In particular, merger control must be modernized in light of the fundamental changes of the past decades, according to a position paper distributed by the coalition in Brussels this week. Commission President Ursula von der Leyen had announced her intention to reform EU competition supervision in her new term of office.

Specifically, the federal government is calling for

to raise the thresholds above which the EU Commission assesses the impact of planned mergers on competition. The turnover thresholds have remained unchanged for 35 years, which in view of inflation has led to a real increase in the scope of application and is tying up more and more resources in the Directorate-General for Competition.
introduce the purchase price of a takeover as an additional criterion in order to be able to take legally secure action against killer acquisitions. So far, only the turnover of the companies involved has determined whether the Commission investigates. Takeovers of young and innovative rivals by large corporations, especially in the high-tech sector, can therefore slip through the net. The Commission also saw a need for action after the ECJ declared its previous practice to be unlawful in the summer.
Takeovers of companies with sensitive key technologies or in the defense industry should not be assessed solely on the basis of competition criteria.
The Commission is to propose a ” New Competition Tool” to ensure more competition in markets that are dominated by a few large companies. “There is currently a significant gap in the toolbox,” the paper states.
faster and leaner procedures: In merger control, the phases prior to official notification are often too long and market abuse proceedings drag on for many years, complains Berlin. In order to have more resources available, the Commission should consider a supervisory fee for gatekeepers in the Digital Markets Act, as already provided for in the Digital Services Act. tho

Cohesion policy: Federal government sees ‘fundamental need for reform’

The red-green federal government is in favor of a far-reaching restructuring of European cohesion policy. There is a “fundamental need for reform”, according to a statement on cohesion policy after 2027, which the Federal Ministry of Economics sent to the EU Commission on Thursday. The existing system for promoting structurally weak regions suffers from slow absorption of funds and complex administrative procedures, while success in harmonizing living conditions in the EU is also inconsistent.

In its statement, the German government therefore advocates a “more long-term and forward-looking orientation of regional investments towards transformation, competitiveness and resilience“. In principle, it supports Commission President Ursula von der Leyen’s plan to link the disbursement of structural funds more closely to targets and reform measures agreed with the member states. Cohesion funds account for around a third of the entire EU budget.

However, the claims are also controversial in Germany: The federal states are warning against taking away their power of disposal over the funds. The joint statement by the federal and state governments states that the regions “will continue to play a central role in the development and implementation of the programs and in the selection of projects”. At the same time, however, “a reformed governance framework should ensure that this provides effective incentives for national reforms”. The paper was agreed at yesterday’s Conference of Minister Presidents. tho

Insolvency law: Council agrees on minor reform

At today’s Council meeting in Brussels, the justice ministers will adopt a partial general approach to the harmonization of insolvency law. In December 2022, the Commission proposed a directive “on the harmonization of certain aspects of insolvency law”. A more uniform insolvency law is intended to simplify cross-border investments and is therefore an important part of the Capital Markets Union.

Due to national resistance, negotiations on the directive in the Council progressed very slowly. After the European Council defined the harmonization of insolvency law as a priority for the Capital Markets Union in the spring of this year, the negotiations regained some momentum.

Agreement applies to the ‘simple part’ of the directive

However, even with today’s decision in the Council, the resistance has not yet been resolved. The partial general approach concerns Titles I (General provisions), II (Avoidance actions), III (Tracing of assets forming part of the insolvency estate), V (Obligations of directors) and VIII (Measures to increase the transparency of national insolvency law) of the Directive. The member states were able to agree on a common text for these parts of the directive, mainly because they give the member states more leeway. Among EU diplomats, these parts of the directive are considered the “easy part”.

The Member States were unable to reach agreement on Titles IV (pre-pack procedure), VI (winding-up of insolvent micro-entities), VII (creditors’ committee) and IX (final provisions). This also means that the Council cannot yet enter into trilogue negotiations with the Parliament. In diplomatic circles, there is a suspicion that the Hungarian Presidency’s main aim with the partial general approach is to achieve a quick success before the end of the Presidency. jaa

Car industry: Hoekstra against weaker climate targets

The European Commission is not considering changing European measures to cut CO2 emissions from cars, despite pressure from the EU’s largest political group to weaken the laws, Climate Commissioner Wopke Hoekstra told Reuters on Thursday.

The EPP has this week launched a campaign to weaken climate regulations, increasing pressure on Brussels from car manufacturers and national governments to help the flagging European automotive sector. Asked if he was now considering changing CO2 regulations for cars, Hoekstra said on the sidelines of an industry event in Brussels: “No. The answer is no.”

Brussels has declared that the climate rules are necessary to achieve Europe’s legally binding emissions targets. They would also create a predictable investment environment for European companies. The EPP’s main demand is that car manufacturers are relieved of the CO2 limits for 2025, which many of them are expected to miss. rtr

Gas storage levy: Abolition also possible retroactively according to BMWK

The energy ministers will once again discuss the German gas storage levy at their meeting on Monday. “In view of the current political developments in Germany […] we once again appeal to Germany to pass the amendment to the Energy Industry Act in the Bundestag as soon as possible and to abolish the application of the gas storage levy at the borders with neighboring countries as of Jan. 1, 2025,” write Austria, the Czech Republic and Slovakia in a non-paper for the Council published by Contexte.

In response to a request from Table.Briefings, the Federal Ministry for Economic Affairs announced on Thursday that the market area manager THE had already announced that the levy would no longer be charged at border crossing points from the turn of the year. The Energy Industry Act (EnWG) could also be amended retroactively – for example at the beginning of 2025 – according to ministry sources.

The Greens’ energy policy spokesperson in the Bundestag, Ingrid Nestle, explained on request: “We support the changes to the EnWG and are aiming for them to be passed next week. Whether there is a majority for this will only become clear after the vote of confidence.” The Bundestag is still in session this year from December 16 to 20, on the 16th Chancellor Olaf Scholz intends to call a vote of confidence. The gas storage levy makes exporting gas from Germany more expensive. According to the network operator AGGM, this favors withdrawals from Austrian storage facilities. ber

Peacekeepers: Tusk and Macron emphasize European autonomy

Polish Prime Minister Donald Tusk emphasized on Thursday that there are currently no plans to deploy foreign troops in Ukraine to secure a ceasefire. And if a decision on the deployment of Polish troops were to be made, then “in Warsaw and only in Warsaw”, Tusk said at a meeting with French President Emmanuel Macron in Poland. Together with France, however, Poland wanted to work on a solution that could protect Europe and Ukraine from a renewed outbreak of war as soon as an agreement had been reached. Earlier this week, Tusk had said that negotiations on an end to the war in Ukraine could still take place “this winter”.

Because the USA would take on a new role “in the coming weeks and months”, Macron said, it was necessary to work together with the Americans and Ukraine to find a way forward that takes into account the security interests and sovereignty of Ukraine and the Europeans. US President-elect Donald Trump should push for a ceasefire in Ukraine along the front line.

At almost the same time, German Foreign Minister Annalena Baerbock held talks in Berlin with EU counterparts, Ukrainian Foreign Minister Andrij Sybiha and EU High Representative for Foreign Affairs Kaja Kallas. Baerbock had not ruled out German participation in peacekeeping troops. When asked about this, she said that “different elements of peace” were needed and that these talks would be intensified in Berlin. The meeting between Tusk and Macron was about the same things.

On Wednesday, the Polish daily Rzeczpospolita reported that Macron had traveled to Poland with the proposal to discuss the deployment of peacekeeping troops in the event of an end to the war. According to Politico, an EU diplomat confirmed that there was talk of around 40,000 soldiers who could secure a ceasefire line. bub

Schengen: The way is clear for Romania and Bulgaria

Romania and Bulgaria will become full members of the borderless Schengen area on Jan. 1. The member states agreed to this on Thursday, as announced by the Hungarian EU Council Presidency. This became possible after Austria gave up its veto on Monday. “This step will not only benefit the people of Bulgaria and Romania, but the EU as a whole,” explained Hungary’s Interior Minister Sandor Pinter. The Schengen area now includes 29 countries.

The two EU and NATO members Romania and Bulgaria had already partially joined the Schengen area in March. Since then, people have been able to enter by air from both countries without checks. From Jan. 1, this will now also apply to land travel. Austria had blocked the move for a long time due to what the Viennese government considered to be too much irregular migration. However, the Austrian government justified its change of course by saying that decisive progress had now been made in protecting the external borders. rtr

Recycling: How Europe can become less dependent on batteries for EVs

Europe could obtain a significant proportion of the metals and minerals for the production of car batteries from the recycling of old batteries and waste from battery factories. According to a study published on Thursday by the European mobility association Transport & Environment (T&E), European battery production could be almost self-sufficient in cobalt in fifteen years’ time.

A Europe with a closed value chain for batteries is possible, says Sebastian Bock, Managing Director of T&E Germany. “Through recycling, we can not only end our dependence on critical imports,” says Bock, “but also create a basis for building millions of electric cars sustainably in Europe.”

Circular Economy Act to promote recycling

T&E is calling for the EU Commission’s planned Circular Economy Act:

supports the expansion of local recycling factories,
and restricts the export of battery waste.

The recycling of used battery materials within the EU must also be simplified.

According to the calculations, between 14 and 25 percent of the raw materials lithium, nickel, manganese and cobalt required for electric vehicles could be generated through recycling in 2030. If recycling potential were to be used consistently, Europe would be able to achieve this by 2040 despite continuously increasing electric car sales:

94 percent of the cobalt required from recycling.
Recycled nickel would cost just under half as much,
Lithium for about one third,
and manganese are sufficient for around a quarter of new cars.

Recycling factories in crisis

However, according to the study, the future of almost half of the recycling plants announced in the EU and the UK is currently uncertain. Only twelve percent of the projects are already working or are currently under construction. “It is incomprehensible that battery recycling is not being treated as a key technology for the future of the industry,” said Bock. A lack of support measures and high energy costs are jeopardizing ecological and economic opportunities. ch/av

On a 600-kilometer donation tour for Ukraine

CDU MEP Jens Gieseke cycles from his constituency in Lower Saxony to the European Parliament in Strasbourg.

Jens Gieseke gets back on his bike. He is starting his fundraising tour for Ukraine for the third time. Cycling in pleasant weather conditions or with the support of an electric motor are out of the question for the CDU MP from Emsland. He loves a tough ride. Once again, he is cycling to Parliament in December, under muscle power, in the rain and against the wind, for the last week of the parliamentary session.

The first time was in 2022, from his home in Sögel to Brussels. The second and much tougher trip in 2023 went from Brussels via the Ardennes and Vosges mountains to the Parliament’s headquarters in Strasbourg. This year, he has to cover the 607 kilometers from Salzbergen in Emsland to Strasbourg. It has been on the road since yesterday. Five stages are planned. He is on the road on his KTM bike with 30 gears.

#cycleforUkraine 3.0

The first two donation tours raised a total of €75,000. The MP has passed this on to the aid organization Helping Hands. Companies and citizens are invited to support the campaign with monetary donations per kilometer driven.

“The war in Ukraine has been raging for 1,000 days now and continues to cause great suffering, hunger, fear and existential worries for the people,” says Giesecke. Europeans must continue to show solidarity. “We continue to stand firmly by the side of our Ukrainian friends.”

This time, Gieseke wants to break the €100,000 mark. If everything goes smoothly, he will arrive in Strasbourg on Monday at 3 p.m. Parliament President Roberta Metsola wants to receive him again this time and welcome him with a cup of hot tea.

Information about the tour and for all those who would like to donate can be found here and here. #cycleforUkraine 3.0 mgr

EUROPE.TABLE EDITORIAL OFFICE

Till
Hoppe

Sarah
Schaefer

Lukas
Knigge

Corinna
Visser

Markus
Grabitz

Alina
Leimbach

Eric
Bonse

Manuel
Berkel

Stephan
Israel

Claire
Stam

János
Allenbach-Ammann

Dear reader,

António Costa will chair his first summits next week. The meeting with the heads of state and government of the Western Balkan states is still to come before the European Council on Thursday. According to EU diplomats, preparations have gone remarkably smoothly so far. They are still on their honeymoon with the new Council President, they say in Brussels.

The former Portuguese Prime Minister is doing many things differently from his predecessor Charles Michel, above all in a clearer and more structured way. The EU summit is only scheduled for one day instead of the usual Thursday and half of Friday. Costa already listed which topics he would like to discuss and in what order in his invitation letter to his colleagues on Dec. 7 – with Michel, the letter often only arrived one or two days before the meeting.

The heads of state and government should also be able to concentrate on strategic discussions without wasting their precious time discussing the wording of the conclusions. The EU ambassadors should therefore be given a little more legroom to largely complete the text work by the start of the summit.

So far, they are on the right track, according to Brussels. Discussions are still focusing on the wording regarding the current situation in Syria and possible consequences for refugees. There is still a gap in the current draft. The Middle East is expected to be one of the main topics of the summit.

Costa has also invited Ukrainian President Volodymyr Zelenskiy to Brussels to discuss support for Kyiv with the EU heads of state and government. Over lunch, the leaders are to discuss how the EU can assert itself in a conflict-ridden world. The name Donald Trump is likely to be mentioned frequently.

I wish you a wonderful weekend!

Your
Till Hoppe

Poland: Council Presidency warns of extreme challenges

By

Eric Bonse

“We have never had such extreme challenges,” said Polish EU Ambassador Agnieszka Bartol in Brussels on Thursday. And State Secretary Paweł Karbownik explained in an interview with Table.Briefings: “These are probably the most difficult months in the history of European integration.”

In just under three weeks, Poland will take over the Council Presidency amid geopolitical crises and great economic uncertainty. “20 days later, Donald Trump will take over the White House and that will be an additional factor in which we as Europeans must remain united,” warned Karbownik.

Finance ministers to deal with energy policy

In Karbownik’s view, Europe’s core problem lies in the fact that the integration process has stalled: “Financial market integration, energy, telecommunications, banking – we are stuck in all these areas,” lamented the State Secretary in the Polish Ministry of Finance.

In order to make progress on the two priority topics of the Polish Council Presidency – defense and energy – the Poles want to shake up the responsibility for these topics in the Council. Instead of just the energy and defense ministers, as has been the case up to now, the finance ministers in particular should also deal with the topics of energy and defense.

Poland’s concept of the Energy Union

This is intended to highlight the potential efficiency gains and cost savings of closer integration. “Several tens of billions of euros could be saved annually if we had the necessary energy networks,” said Karbownik.

Polish Prime Minister Donald Tusk first brought up the concept of the Energy Union in 2014 after the first Russian invasion of Ukraine. Ten years later, this idea should finally be implemented, said Karbownik.

More cautious choice of words for defense financing

Alongside energy, defense – and defense funding in particular – is a priority for the Polish presidency. After speaking openly about a fund of up to one trillion euros at an event in Brussels last week, Karbownik did not want to go into more detail about the figures and financing in an interview with Table.Briefings.

The first step would be to determine how much money is needed for what purpose. This also brings him closer to the position of the German government, which first wants to talk about concrete defense cooperation before getting involved in financing discussions. In April, the EU finance ministers will discuss defense financing at the informal Council meeting in Warsaw.

Security as a motto in uncertain times

Ambassador Bartol also provided little concrete information. “We will devote ourselves to security in all its dimensions,” she explained. External security, internal security, disinformation, the economy, energy, food and health – these are the topics that characterize the Polish work program entitled “Security, Europe.” However, concrete plans or even new initiatives are nowhere to be found.

In terms of defense policy, we will try to work together with as many partners as possible, Bartol announced. This would also include the UK. However, there will be no decisions on the future EU budget in the first half of 2024. “We are not yet expecting a proposal from the EU Commission during our Presidency.”

MFR will already be discussed in March

Nevertheless, Poland will endeavor to stimulate the debate on the future multiannual financial framework as much as possible. An initial debate is planned at the EU summit in March; there will also be a meeting of experts on budget policy in Warsaw.

Poland apparently wants to keep all options open in its Ukraine policy. Head of government Tusk will “continue to play an active role”, said Bartol, referring to the consultations with French head of state Emmanuel Macron on Thursday in Warsaw. However, she did not give any details. Instead, she emphasized a principle: “There will be no talks on Ukraine without Ukraine.”

EU enlargement also possible without EU reforms

The Polish EU Presidency wants to take a “balanced approach” to enlargement, which relates to the concrete progress made by the candidate countries (“merit-based approach”). Ukraine can expect the opening of the first negotiation chapters. This was not yet an issue under the Hungarian EU Presidency. She also expects progress with Serbia and Montenegro, said Bartol.

However, the Polish Presidency does not see a need to work on internal EU reforms or even treaty changes at the same time. “The Lisbon Treaty is enlargement-proof,” said the ambassador. It provides sufficient flexibility for the admission of new members. It is true that the EU must also introduce reforms. However, a first report is not planned until June.

There are no signs of movement on the topics of Mercosur and migration. Bartol confirmed that Poland rejects the free trade agreement negotiated by EU Commission President Ursula von der Leyen with the Mercosur states. However, the EU is not expected to enter into discussions on the text in the first six months. “We are not expecting any decisions,” said Bartol.

More speed with the Return Directive

In terms of migration policy, the Permanent Representative reiterated Poland’s rejection of the CEAS reform. The EU decision goes back to a proposal from 2016 and no longer meets today’s challenges, which are characterized by the instrumentalization of migrants, especially at the EU’s eastern borders. Warsaw will therefore only push ahead with the migration pact at a technical level.

The Polish government is promising more speed on the Return Directive: “As soon as the Commission presents a proposal, we will put it on the agenda,” the ambassador announced. Warsaw, together with 14 other EU states, had put pressure on Brussels in this area.

Merger control: Berlin calls for higher turnover thresholds

The German government is calling for concrete changes to European competition law. In particular, merger control must be modernized in light of the fundamental changes of the past decades, according to a position paper distributed by the coalition in Brussels this week. Commission President Ursula von der Leyen had announced her intention to reform EU competition supervision in her new term of office.

Specifically, the federal government is calling for

to raise the thresholds above which the EU Commission assesses the impact of planned mergers on competition. The turnover thresholds have remained unchanged for 35 years, which in view of inflation has led to a real increase in the scope of application and is tying up more and more resources in the Directorate-General for Competition.
introduce the purchase price of a takeover as an additional criterion in order to be able to take legally secure action against killer acquisitions. So far, only the turnover of the companies involved has determined whether the Commission investigates. Takeovers of young and innovative rivals by large corporations, especially in the high-tech sector, can therefore slip through the net. The Commission also saw a need for action after the ECJ declared its previous practice to be unlawful in the summer.
Takeovers of companies with sensitive key technologies or in the defense industry should not be assessed solely on the basis of competition criteria.
The Commission is to propose a ” New Competition Tool” to ensure more competition in markets that are dominated by a few large companies. “There is currently a significant gap in the toolbox,” the paper states.
faster and leaner procedures: In merger control, the phases prior to official notification are often too long and market abuse proceedings drag on for many years, complains Berlin. In order to have more resources available, the Commission should consider a supervisory fee for gatekeepers in the Digital Markets Act, as already provided for in the Digital Services Act. tho

Cohesion policy: Federal government sees ‘fundamental need for reform’

The red-green federal government is in favor of a far-reaching restructuring of European cohesion policy. There is a “fundamental need for reform”, according to a statement on cohesion policy after 2027, which the Federal Ministry of Economics sent to the EU Commission on Thursday. The existing system for promoting structurally weak regions suffers from slow absorption of funds and complex administrative procedures, while success in harmonizing living conditions in the EU is also inconsistent.

In its statement, the German government therefore advocates a “more long-term and forward-looking orientation of regional investments towards transformation, competitiveness and resilience“. In principle, it supports Commission President Ursula von der Leyen’s plan to link the disbursement of structural funds more closely to targets and reform measures agreed with the member states. Cohesion funds account for around a third of the entire EU budget.

However, the claims are also controversial in Germany: The federal states are warning against taking away their power of disposal over the funds. The joint statement by the federal and state governments states that the regions “will continue to play a central role in the development and implementation of the programs and in the selection of projects”. At the same time, however, “a reformed governance framework should ensure that this provides effective incentives for national reforms”. The paper was agreed at yesterday’s Conference of Minister Presidents. tho

Insolvency law: Council agrees on minor reform

At today’s Council meeting in Brussels, the justice ministers will adopt a partial general approach to the harmonization of insolvency law. In December 2022, the Commission proposed a directive “on the harmonization of certain aspects of insolvency law”. A more uniform insolvency law is intended to simplify cross-border investments and is therefore an important part of the Capital Markets Union.

Due to national resistance, negotiations on the directive in the Council progressed very slowly. After the European Council defined the harmonization of insolvency law as a priority for the Capital Markets Union in the spring of this year, the negotiations regained some momentum.

Agreement applies to the ‘simple part’ of the directive

However, even with today’s decision in the Council, the resistance has not yet been resolved. The partial general approach concerns Titles I (General provisions), II (Avoidance actions), III (Tracing of assets forming part of the insolvency estate), V (Obligations of directors) and VIII (Measures to increase the transparency of national insolvency law) of the Directive. The member states were able to agree on a common text for these parts of the directive, mainly because they give the member states more leeway. Among EU diplomats, these parts of the directive are considered the “easy part”.

The Member States were unable to reach agreement on Titles IV (pre-pack procedure), VI (winding-up of insolvent micro-entities), VII (creditors’ committee) and IX (final provisions). This also means that the Council cannot yet enter into trilogue negotiations with the Parliament. In diplomatic circles, there is a suspicion that the Hungarian Presidency’s main aim with the partial general approach is to achieve a quick success before the end of the Presidency. jaa

Car industry: Hoekstra against weaker climate targets

The European Commission is not considering changing European measures to cut CO2 emissions from cars, despite pressure from the EU’s largest political group to weaken the laws, Climate Commissioner Wopke Hoekstra told Reuters on Thursday.

The EPP has this week launched a campaign to weaken climate regulations, increasing pressure on Brussels from car manufacturers and national governments to help the flagging European automotive sector. Asked if he was now considering changing CO2 regulations for cars, Hoekstra said on the sidelines of an industry event in Brussels: “No. The answer is no.”

Brussels has declared that the climate rules are necessary to achieve Europe’s legally binding emissions targets. They would also create a predictable investment environment for European companies. The EPP’s main demand is that car manufacturers are relieved of the CO2 limits for 2025, which many of them are expected to miss. rtr

Gas storage levy: Abolition also possible retroactively according to BMWK

The energy ministers will once again discuss the German gas storage levy at their meeting on Monday. “In view of the current political developments in Germany […] we once again appeal to Germany to pass the amendment to the Energy Industry Act in the Bundestag as soon as possible and to abolish the application of the gas storage levy at the borders with neighboring countries as of Jan. 1, 2025,” write Austria, the Czech Republic and Slovakia in a non-paper for the Council published by Contexte.

In response to a request from Table.Briefings, the Federal Ministry for Economic Affairs announced on Thursday that the market area manager THE had already announced that the levy would no longer be charged at border crossing points from the turn of the year. The Energy Industry Act (EnWG) could also be amended retroactively – for example at the beginning of 2025 – according to ministry sources.

The Greens’ energy policy spokesperson in the Bundestag, Ingrid Nestle, explained on request: “We support the changes to the EnWG and are aiming for them to be passed next week. Whether there is a majority for this will only become clear after the vote of confidence.” The Bundestag is still in session this year from December 16 to 20, on the 16th Chancellor Olaf Scholz intends to call a vote of confidence. The gas storage levy makes exporting gas from Germany more expensive. According to the network operator AGGM, this favors withdrawals from Austrian storage facilities. ber

Peacekeepers: Tusk and Macron emphasize European autonomy

Polish Prime Minister Donald Tusk emphasized on Thursday that there are currently no plans to deploy foreign troops in Ukraine to secure a ceasefire. And if a decision on the deployment of Polish troops were to be made, then “in Warsaw and only in Warsaw”, Tusk said at a meeting with French President Emmanuel Macron in Poland. Together with France, however, Poland wanted to work on a solution that could protect Europe and Ukraine from a renewed outbreak of war as soon as an agreement had been reached. Earlier this week, Tusk had said that negotiations on an end to the war in Ukraine could still take place “this winter”.

Because the USA would take on a new role “in the coming weeks and months”, Macron said, it was necessary to work together with the Americans and Ukraine to find a way forward that takes into account the security interests and sovereignty of Ukraine and the Europeans. US President-elect Donald Trump should push for a ceasefire in Ukraine along the front line.

At almost the same time, German Foreign Minister Annalena Baerbock held talks in Berlin with EU counterparts, Ukrainian Foreign Minister Andrij Sybiha and EU High Representative for Foreign Affairs Kaja Kallas. Baerbock had not ruled out German participation in peacekeeping troops. When asked about this, she said that “different elements of peace” were needed and that these talks would be intensified in Berlin. The meeting between Tusk and Macron was about the same things.

On Wednesday, the Polish daily Rzeczpospolita reported that Macron had traveled to Poland with the proposal to discuss the deployment of peacekeeping troops in the event of an end to the war. According to Politico, an EU diplomat confirmed that there was talk of around 40,000 soldiers who could secure a ceasefire line. bub

Schengen: The way is clear for Romania and Bulgaria

Romania and Bulgaria will become full members of the borderless Schengen area on Jan. 1. The member states agreed to this on Thursday, as announced by the Hungarian EU Council Presidency. This became possible after Austria gave up its veto on Monday. “This step will not only benefit the people of Bulgaria and Romania, but the EU as a whole,” explained Hungary’s Interior Minister Sandor Pinter. The Schengen area now includes 29 countries.

The two EU and NATO members Romania and Bulgaria had already partially joined the Schengen area in March. Since then, people have been able to enter by air from both countries without checks. From Jan. 1, this will now also apply to land travel. Austria had blocked the move for a long time due to what the Viennese government considered to be too much irregular migration. However, the Austrian government justified its change of course by saying that decisive progress had now been made in protecting the external borders. rtr

Recycling: How Europe can become less dependent on batteries for EVs

Europe could obtain a significant proportion of the metals and minerals for the production of car batteries from the recycling of old batteries and waste from battery factories. According to a study published on Thursday by the European mobility association Transport & Environment (T&E), European battery production could be almost self-sufficient in cobalt in fifteen years’ time.

A Europe with a closed value chain for batteries is possible, says Sebastian Bock, Managing Director of T&E Germany. “Through recycling, we can not only end our dependence on critical imports,” says Bock, “but also create a basis for building millions of electric cars sustainably in Europe.”

Circular Economy Act to promote recycling

T&E is calling for the EU Commission’s planned Circular Economy Act:

supports the expansion of local recycling factories,
and restricts the export of battery waste.

The recycling of used battery materials within the EU must also be simplified.

According to the calculations, between 14 and 25 percent of the raw materials lithium, nickel, manganese and cobalt required for electric vehicles could be generated through recycling in 2030. If recycling potential were to be used consistently, Europe would be able to achieve this by 2040 despite continuously increasing electric car sales:

94 percent of the cobalt required from recycling.
Recycled nickel would cost just under half as much,
Lithium for about one third,
and manganese are sufficient for around a quarter of new cars.

Recycling factories in crisis

However, according to the study, the future of almost half of the recycling plants announced in the EU and the UK is currently uncertain. Only twelve percent of the projects are already working or are currently under construction. “It is incomprehensible that battery recycling is not being treated as a key technology for the future of the industry,” said Bock. A lack of support measures and high energy costs are jeopardizing ecological and economic opportunities. ch/av

On a 600-kilometer donation tour for Ukraine

Jens Gieseke gets back on his bike. He is starting his fundraising tour for Ukraine for the third time. Cycling in pleasant weather conditions or with the support of an electric motor are out of the question for the CDU MP from Emsland. He loves a tough ride. Once again, he is cycling to Parliament in December, under muscle power, in the rain and against the wind, for the last week of the parliamentary session.

The first time was in 2022, from his home in Sögel to Brussels. The second and much tougher trip in 2023 went from Brussels via the Ardennes and Vosges mountains to the Parliament’s headquarters in Strasbourg. This year, he has to cover the 607 kilometers from Salzbergen in Emsland to Strasbourg. It has been on the road since yesterday. Five stages are planned. He is on the road on his KTM bike with 30 gears.

#cycleforUkraine 3.0

The first two donation tours raised a total of €75,000. The MP has passed this on to the aid organization Helping Hands. Companies and citizens are invited to support the campaign with monetary donations per kilometer driven.

“The war in Ukraine has been raging for 1,000 days now and continues to cause great suffering, hunger, fear and existential worries for the people,” says Giesecke. Europeans must continue to show solidarity. “We continue to stand firmly by the side of our Ukrainian friends.”

This time, Gieseke wants to break the €100,000 mark. If everything goes smoothly, he will arrive in Strasbourg on Monday at 3 p.m. Parliament President Roberta Metsola wants to receive him again this time and welcome him with a cup of hot tea.

Information about the tour and for all those who would like to donate can be found here and here. #cycleforUkraine 3.0 mgr

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Till
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Sarah
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Lukas
Knigge

Corinna
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Markus
Grabitz

Alina
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Eric
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Manuel
Berkel

Stephan
Israel

Claire
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János
Allenbach-Ammann

Poland&#8217;s priorities + Berlin on merger control + Hoekstra on cars

Feature

Poland: Council Presidency warns of extreme challenges

Finance ministers to deal with energy policy

Poland’s concept of the Energy Union

More cautious choice of words for defense financing

Security as a motto in uncertain times

MFR will already be discussed in March

EU enlargement also possible without EU reforms

More speed with the Return Directive

EU-Monitoring

News

Merger control: Berlin calls for higher turnover thresholds

Cohesion policy: Federal government sees ‘fundamental need for reform’

Insolvency law: Council agrees on minor reform

Agreement applies to the ‘simple part’ of the directive

Car industry: Hoekstra against weaker climate targets

Gas storage levy: Abolition also possible retroactively according to BMWK

Peacekeepers: Tusk and Macron emphasize European autonomy

Schengen: The way is clear for Romania and Bulgaria

Recycling: How Europe can become less dependent on batteries for EVs

Circular Economy Act to promote recycling

Recycling factories in crisis

Dessert

On a 600-kilometer donation tour for Ukraine

#cycleforUkraine 3.0

Europe.Table Editorial Team

EUROPE.TABLE EDITORIAL OFFICE

Feature

Poland: Council Presidency warns of extreme challenges

Finance ministers to deal with energy policy

Poland’s concept of the Energy Union

More cautious choice of words for defense financing

Security as a motto in uncertain times

MFR will already be discussed in March

EU enlargement also possible without EU reforms

More speed with the Return Directive

EU-Monitoring

News

Merger control: Berlin calls for higher turnover thresholds

Cohesion policy: Federal government sees ‘fundamental need for reform’

Insolvency law: Council agrees on minor reform

Agreement applies to the ‘simple part’ of the directive

Car industry: Hoekstra against weaker climate targets

Gas storage levy: Abolition also possible retroactively according to BMWK

Peacekeepers: Tusk and Macron emphasize European autonomy

Schengen: The way is clear for Romania and Bulgaria

Recycling: How Europe can become less dependent on batteries for EVs

Circular Economy Act to promote recycling

Recycling factories in crisis

Dessert

On a 600-kilometer donation tour for Ukraine

#cycleforUkraine 3.0

Europe.Table Editorial Team

EUROPE.TABLE EDITORIAL OFFICE

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