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Newsletter of th e European So ci al i st s in the C ommi tte e of the Re g i ons

NEWS OF THE PES GROUP IN THE COMMITTEE OF THE REGIONS

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FEATURES

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M ay 2013

PLENARY SESSION OF THE COMMITTEE OF THE REGIONS (30 MAY 2013) 4 COR COMMISSIONS: WHAT'S NEW?

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AND NOW OVER TO PES MEMBERS

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NEWS OF THE PARTY OF EUROPEAN SOCIALISTS

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A LOOK AT SOME RECENT LOCAL AND REGIONAL ELECTIONS

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w w w. p e s . co r. e u ro p a . e u Published by | PES Group Secretariat Rue Belliard 101 | 1040 Brussels +32.2.282.22.23 | pes-group@cor.europa.eu

Dear Friends,

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ooking at the news these days, you could get the impression that there are only two categories of countries in the EU: Germany – and the rest. Not only because of all the talk about the economic and the Euro crisis, where Germany is in a very different situation from the rest of Europe – but now also because of the football, which at European level has turned out to be an all-German affair. And I can tell you, as with the football, even more in European integration politics, it is true that this is not a good state of affairs – and most of our German friends would be the first to admit this. I full heartedly will congratulate whichever team will win the Champions' League final – but it is a bit boring if they are from the same country and have already met in their national league. In European politics, it is also crucially important to involve everybody and to make sure that all have the same opportunities. Moreover, and even more seriously than in the sporting world, European integration is about teamspirit, mutual trust and working on new solutions together, which needs the input of all, large and small, old and new members of the club. We are seeing more and more divisions emerging in the EU, but also within our countries, and for us as social democrats, this is a particular challenge. We have to fight the social divisions between rich and poor, between those with fewer opportunities

and those with better chances, and in particular we have to make sure that such divisions do not become permanent. We also have to be wary of any kind of ideology or political movement that offers excessively easy explanations by stigmatising some groups or other countries as the 'reason for all problems'. This is happening all over the EU, and was also part of our discussions during our seminar on regional separatism: the strong message which we took from those interesting discussions is that solutions to our problems must be found together, not by exacerbating the divisions. A strong, federal framework in the European Union is still the best chance to achieve a fair balancing of different interests, of preserving diversity but also the ability to think and act jointly in order to improve the lives of all our citizens. Within this framework, we can then have competitive games and enjoy the differences – ideally with teams representing more than one country! With social democratic greetings,

Karl-Heinz Lambertz President of the PES Group in the CoR


NEWS OF THE PES GROUP IN THE COMMITTEE OF THE REGIONS

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iven the topicality of the issue and its potential consequences for the EU and its regions, the PES Group dedicated its annual seminar to held in Brussels on 14 May, to The EU and regional separatism: Federalist solutions. Key questions that were debated included: Is the European Union currently in a position to integrate different kinds of power-sharing, such as devolved, de-centralised, or federalised lower levels of governance? How would the

EU be able to provide a stable environment for future decision-making? Which elements of the European Union need to be strengthened to make sure that solutions are not imposed from above, but could be negotiated bottom-up? How can this crucial problem be addressed with a view to achieving a 'Europe with the regions', rather than a 'Europe of regional nations'? Bruno Tobback, Leader of the Flemish socialdemocratic party (Sp.a), former PES Group

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members Anna Terron I Cusi from Catalonia and Irene Oldfather from Scotland, Yves Bertoncini, Director of the European thinktank Notre Europe, Paul Nemitz, Director for Fundamental Rights and Union Citizenship of the European Commission, Mercedes Bresso, First Vice-President of the CoR and PES Group President Karl-Heinz Lambertz were among the panellists.

t the invitation of mayor Ahmed Aboutaleb, CoR rapporteur on the Social Investment Package, the PES Group will organise its annual seminar on 10th June 2013 in Rotterdam (Netherlands) on A social way out of the crisis. Given the increasing number of social challenges that local and regional European authorities currently face, the seminar aims at addressing through an open debate the current EU social policy framework and at putting on the table concrete progressive measures for improving social investment in our cities and regions. The key outcomes of the debate will also feed into the Manifesto of the Party of European Socialists for the 2014 European Parliament elections. Key speakers include Ad Melkert, Chair of the PvdA commission on overcoming the crisis, Laurette Onkelinx, Belgian Minister for Social Affairs, Frans Timmermans, Dutch Minister for Foreign Affairs, Michiel Servaes, Member of the Dutch Parliament in charge of European Affairs, Stephen Hughes MEP, Fintan Farrell, Director of the European anti-poverty network (EAPN), Josef Weidenholzer MEP, President of SOLIDAR, as well as PES Group members Hella Dunger-Loeper and Catiuscia Marini.

The PES Group in the Committee of the Regions has firmly anchored youth employment into its political priorities, and believes that local and regional authorities play a pivotal role in accurately identifying challenges and opportunities, and effectively implementing measures that foster youth employment. Learning from one another and 'comparing notes' on bad or good experiences is a part and parcel of the exercise. However, we also need European initiatives to help us create jobs to tackle youth unemployment. The Group's publication Youth Employment: Making it Happen!, which is will be published today in the framework of the PES campaign on a European Youth Guarantee, brings together facts, figures, best practices from across the EU mainly provided by Group members, as well as concrete policy proposals of the European Socialist family for boosting youth employment. The theme had been extensively discussed during the Group's 2012 Open Days seminar. Free copies of the publication (in English, French and German) can be ordered on the PES Group website: http://pes.cor.europa.eu

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FEATURES A progressive agenda for industrial renewal in Europe Last month, the Committee of the Regions agreed unanimously that 'industrial policy needs to be one of the pillars of the European venture, treated as a genuine political priority on the same political footing as cohesion, infrastructure and agriculture'. This was a short excerpt from the CoR opinion on European Industry, elaborated by Socialist member Claude Gewerc, President of Picardy Regional Council (France). The text is branded with a strong progressive hallmark since it reflects extensive debates on the renewal of industrial policy held within the PES Group in the CoR, the S&D Group in the European Parliament and the Party of European Socialists. The economic and financial crisis, leaving behind mass unemployment, economic decline and increasing inequalities, has made it clear that we need to move away from a purely national vision of industrial policy towards a revitalised European industrial base, which relies on strong investment, quality employment and social dialogue.

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A progressive territorial perspective The PES Group in the CoR has always insisted sted that regions can play a pioneering role ole l in n olicyy implementing European industrial policy and should be encouraged to invest more in this role. It has also elaborated a 10-point agenda for the industrial renewal in Europe: 1. Any agenda for growth in the European n al al Union cannot be limited to structural al reform and the reallocation of structural h funds. A European agenda for growth must be based on the goal of establishing a real strategy for industrial renewal in Europe, with the active involvement of public authorities at all levels. 2. Thee PESS G Group oup p calls ca s on o the t e European u op opea Commission to exploit the full potential of the Lisbon Treaty where industrial policy is concerned, concerne erned r d pursuing p the option of taking "any useful initiative to

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promote such coordination [between Member States in the field of industrial policy], in particular initiatives aiming at the establishment of guidelines and indicators, the organisation of exchange of best practice, and the preparation of the necessary elements for periodic monitoring and evaluation" (Article 173 TFEU). This call has been reiterated in the Gewerc opinion. The Group also calls on the European Commission and the European Council to integrate industrial policy more fully into the Europe 2020 strategy by developing a tool for monitoring the various measures that are planned, to which the CoR could contribute through its Europe 2020 Monitoring Platform, and by taking account of industrial policy in the European Semester, as is the case for employment. We also urge for the optimal use of tthe synergies between industry and th sservices, which are the drivers of the real rrea re eeaaal economy, so that production is both upstream and ccomplemented co om mpl downstream do d own ow wnsttre by services and vice-versa. Th The hee P PES ES G Group firmly believes that thee main issue maai m ain issu ssue u in terms of European business competitiveness is increasing ine ness ess es ss ccom ompe pet productivity uct ctivi ivit iity t y through ty throug th ug efficiency in the sustainable management ab bllee m ble ma nag ag m me of resources also bringing learning, ging gin in ng to to bear ear life-long ea ife feleearn ea ni innovation and sharing an nd d ssh sha ha ng g off responsibility re pon po onsib on nssib nsibilit nsib ibility bility b ilittyy and profits with wit ith employees ith emp emp em mp ees es – rather raat a er than an cutting labourr costs, ccost ost sts, s which w h account a cou for ac fo o only 16% of businesses' in ssse sees es' s' operating o atting ing g costs. co cost cos stss. The Group is fully aware aaw war a e of o the tth he factt that tthaat the Structural Fundss w play rolee willl p pla pl layy a keyy rol lay in Europe's reindustrialisation ria saattio ion on process. cesss. To ensure that their leverage evera v ag gee effect effect fff cctt is is fully exploited, we advocate cate a flexible f bl interpretation of the provisions provisio p ov sio ons on thematic focus, in particular lar ar w with h a view to enhancing integrated tr transnational tra ttransn ransnational rans aattional ona approaches and to promoting ng n g the t e transition to a low-carbon on o n ec economy conom n my going beyond the single gle issue issu ssue ue off reducing carbon emissions. The PES Group urges the European opean Commission to shift the focus of its it policy on state aid towards a more economics-based approach that takes into account the real level of risk off state st e aid affecting intra-Community trad trade rraade ade de and the real distortion of competition peettitio pe peti titi tition tti tit itttiio io on in the internal market. We also argue rg rg gu ue for u f greater openness sector-specific ness to se sector specific ecific ific iifi fic state aid where this is intended to encourage a change in approach to innovation and production and/or where it targets competitive and skills-intensive sectors.

This shift in EU state aid policy goes hand in hand with the need to take greater account of the quality of public spending and, in particular, for European rules on macroeconomic surveillance to include a specific category for public investment in infrastructure and innovation in relation to public administrative expenditure. 8. Socialists, Social Democrats and Progressives in the CoR affirm their support for involving the social partners more closely in industrial policy and specifically for the European Parliament's January 2013 resolution urging the European Commission to propose a legal act to improve the information and consultation of workers, anticipation and management of restructuring. 9. Against a backdrop of budgetary constraints and lower lending capacity in the private sector, the Group supports the option of the greater use of innovative financial instruments, including the issuance of project bonds to finance SMEs, channelling regional investment funds towards SMEs and intermediate-sized enterprises and bolstering a European venture capital industry based on the regions. The PES Group in the CoR also proposes that a sub-category be envisaged within the framework of the Basel II agreements, to force banks to invest in the low-carbon economy, sustainable development and other socially responsible investments. 10. 0. Last Laast but not least, the PES Group is La con co onvvi on vin convinced of the need for public au auth tho th ho ori o ritt authorities, especially local and regional aautho uth authorities, to assert greater economic iin inf nfflu n f lu fl uence since sub-national direct uence influence, invest me accounts for two thirds of investment Europe ean public investment. This would European allow loc local and regional authorities to require re q ire co om compensatory measures in terms off social sociaal d dialogue, environmental quality and d corporate social responsibility. La Las Lastly, the Group emphasises the crucial role of local and regional authorities in improving factors of production such as local infrastructure, working conditions, training, research and innovation, which are all means of securing competitive advantages in order to equip regions to deal with relocation by means of a policy based on preparing for sudden changes. p g extend Europe's future depends to a large on its capacity itt to o revitalise revitali italis ttaa i industrial i ussstrial policy ind policcy cy with the active involvement m of all levels of governance. We no longer g have the luxury of time, time this is why swift swifftt and and resolute rreso s action is the only viable option. 03


Plenary session of the Committee of the Regions (30 May 2013) The May plenary session will examine 8 draft opinions, 2 of which by PES rapporteurs. Johannes Hahn, European Commissioner in charge of Regional Policy, will intervene in relation to the state of play of the trilogue on the structural fund regulations and the negotiations on the Multi-annual Financial Framework.

OPINIONS IN BRIEF:

Youth Employment Package: Enrico Rossi (PES/Italy)

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he draft opinion of the President of the Tuscany Region responds to two of the three components of the Youth Employment Package, adopted by the European Commission in December 2012. The CoR already responded to the proposal for a Council Recommendation referring to Youth Guarantees in the form of a resolution adopted in January 2013. The Rossi opinion covers the remaining two parts: the general communication 'Moving Youth into Employment' and the secondstage consultation of the social partners on a Quality Framework on Traineeships. The rapporteur notes that the best results in terms of youth employment are seen in countries where young people have the chance to take part in high-quality traineeships and where well-established apprenticeship schemes form an integral part of the training and work placement system. He acknowledges the role of apprenticeship programmes in facilitating the school-work transition and is in favour of dual or twin-track apprenticeships, also during higher education. He also calls on the Commission to adopt minimum quality standards for apprenticeships at European level, so that the skills acquired can be recognised throughout Europe. Enrico Rossi criticises the misuse and even abuse of traineeships in many Member States and urges for the adoption of a European Quality Framework for Traineeships, containing

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minimum standards. Such standards should inter alia provide for a written contract and a personal supervisor with appropriate professional skills, specify the vocational and training objectives, the duration, the traineeship timetable and details of social insurance and reimbursement of expenses or allowances. Several amendments tabled by EPP members and aimed at putting into question the necessity for action at European level in order to establish minimum quality standards both for traineeships and apprenticeships were defeated and the opinion was adopted quasi-unanimously. However, some amendments in the same direction are to be expected in plenary (Read more under Interviews, p.10).

Smoothly phasing out the milk quota system: René Souchon (PES/France)

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Souchon also advocates public regulation of milk production and markets, and stresses that, instead of exclusively focusing on the some 10% of milk products exported, the sustainability of the European Union's internal markets and the production of high quality milk must be made a priority. The PES rapporteur is also concerned about the lack of funding under the second pillar, which does not sufficiently compensate farmers for the damaging impact of price instability of milk, discouraging them from starting up a business that requires heavy long-term investment. Last but not least, he calls on the Commission to redefine a coherent rural and milk development project for mountain areas, for disadvantaged milk production areas and for Member States where most of the milk is produced by very small farms and cooperatives. In addition to the political recommendations of the draft opinion, the rapporteur puts forward a technical report, in the form of an annex, which brings in complementary analysis to the EC the report. In the NAT commission, the draft opinion was adopted by overwhelming majority.

Improving the gender balance among non-executive directors of companies listed on stock exchanges and related measures: Andreja Potočnik (ALDE/Slovenia)

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he draft opinion stresses that the market reform process needs to better take account of regional and structural differences in milk farming and the milk industry, and, in particular, of the role of small and mediumsized family farms. The rapporteur and NAT Chair is very sceptical about the findings of the relevant European Commission's report, which is based on a purely macroeconomic assessment of the milk market, and calls for qualitative and comparative studies which take account of the territorial impact of quota abolition by groups of countries, regions and soil and climate zones. René

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he draft opinion of the Deputy Mayor of Tržič (ALDE/Slovenia) responds to


a European Commission's proposal for a directive aimed at ensuring that by 2020, 40% of the non-executive directors of listed companies are women, and thereby promoting greater transparency in selection procedures and overall gender equality in economic decision-making. The CoR rapporteur generally welcomes the legislative proposal and stresses the need for a clear European regulatory framework, in particular regarding the adoption of sanctions by Member States. ECOS members adopted a series of amendments tabled by PES shadow-rapporteur Louisa Mavrommati (Cyprus) and PES/ECOS coordinator Mia De Vits aimed at strengthening the substance of the text by clarifying which companies fall within the scope of the directive, and by proposing to integrate into the text also rules for procedures applied to the election/ designation of trade union representatives. Most EPP amendments opposing EU action were defeated, and the opinion was adopted by majority. The PES Group is expected to table few amendments in support of the European Commission's approach, whereby it proposes to harmonise legislation and to apply the directive, in a first stage, to nonexecutive directors only.

7th Environment Action Programme: José Macário Correia (EPP/Portugal)

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he draft opinion of the Mayor of Faro responds to the European Commission's proposal for the 7th Environment Action Programme (EAP), which will guide EU environment policy up to 2020. The Commission had originally been reluctant to propose a new EAP following the one that ended in 2012, and argued that the Europe 2020 strategy already incorporates strong environmental commitments. The CoR has now joined the European Parliament in welcoming the proposal, stressing that a separate environmental action programme is important as a political signal, in particular in times of crisis when the risk is that environmental concerns become secondary to other demands for public attention and public funds. The CoR supports in its opinion the nine priority objectives, including:

protecting nature and strengthening ecological resilience, boosting sustainable, resource-efficient, low-carbon growth, and effectively addressing environment-related threats to health. Involving local and regional authorities throughout the whole process of formulating, transposing and evaluating EU policy and legislation is of course crucial to ensuring effective implementation. The ENVE commission adopted amendments tabled by PES members Nilgun Canver, André Van De Nadort and Corrie McChord, stressing the need for concrete quantifiable targets for the environment, supporting the European Parliament's call for tripartite partnership implementation agreements between the European Commission, the Member States and local and regional authorities, and underlining the importance of the territorial dimension of exante assessment. The opinion was adopted by majority. Some further amendments can be expected for the plenary session.

Revision of the Environmental Impact Assessment (EIA) Directive: Marek Sowa (EPP/Poland))

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he draft opinion of the Marshal of the Małopolska Voivodship takes as its basis a proposal for a directive which aims at improving the procedures for the assessment of projects which are likely to have a significant effect on the environment before they are approved. The CoR rapporteur had originally adopted a rather critical position vis-à-vis the Commission's proposals, mainly because of fears that the new provisions could lead to increased administrative burden for local and regional authorities. The opinion stresses the need to find a balance between the different interests of developers on the one hand, and the larger public on the other. The rapporteur also calls for sufficient financial resources and further capacity building in local and regional authorities. The ENVE commission adopted amendments tabled by PES members André Van De Nadort and Hermann Kuhn, addressing the issue of legal clarity and of public participation at an early stage of the process, and underlining that the proposals to 'shorten' consultation procedures may be at first sight in the interest of local businesses, but this could have long-term damaging consequences for the legitimacy of local authorisation procedures .The opinion was adopted by majority. Further amendments in plenary are likely, since the opinion as it stands takes a rather different (and more positive attitude) towards the Commission's proposals, than the rapporteur had originally proposed.

EU Regulatory Fitness (REFIT): Lord Graham Tope (ALDE/UK)

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he draft opinion of the Member of the London Borough of Sutton and CoR representative in the European Commission's High Level Group on the Reduction for Administrative Burden (Stoiber Group) responds to the European Commission's proposal for a new Regulatory Fitness and Performance Programme (REFIT), which aims at systematically identifying and transparently carrying out initiatives to reduce regulatory cost and simplify administrative procedures. The rapporteur stresses that better regulation must be based on a multilevel governance approach, and should involve regional and local authorities. He sets out a couple of concrete suggestions on the issue of simplification, on the socalled 'goldplating' (i.e. when member states, while transposing EU legislation into national law, add additional requirements), as well as on impact assessment, evaluation and consultations. At CIVEX commission level, amendments tabled by PES/CIVEX coordinator Lotta Hakansson Harju strengthening the substance of the text, were accepted and the opinion was adopted by majority. No major controversy is foreseen in plenary.

Closing the Innovation Divide: Markku Markkula (EPP/Finland) The draft opinion of the Member of Espoo City Council was adopted unanimously by the EDUC commission and will be presented in plenary under the simplified procedure (Read more under EDUC, p.7).

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Cultural and Creative Sectors for Growth and Jobs: Anton Rombouts (EPP/Netherlands)

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he draft opinion of the EDUC President and Mayor of the city of ‘s Hertogenbosch was adopted unanimously by the EDUC commission on 25

February and will be presented to the plenary under the simplified procedure. It responds to a European Commission proposal for a new strategy aimed at increasing the competitiveness and export potential of the cultural and creative sectors (CCS), as well as at maximising their spill over benefits for other areas such as ICT and innovation. However, this soft-law Commission document lacks

ambition and does not bring many new elements. The rapporteur underlines the role of LRAs when it comes to CCS and reiterates the intrinsic value of culture while highlighting its potential for economic growth and social cohesion. The vote in plenary is expected to be uncontroversial.

CoR commissions: What's new? CIVEX (Brussels, 22 April 2013)

COTER seminar (Porto, Portugal, 19 April 2013)

The CIVEX commission adopted by majority the draft opinion on EU Regulatory Fitness (REFIT), by Lord Graham Tope (ALDE/UK) (Read more under Plenary, p. 5). CIVEX members also held an exchange of views with the chair persons of the Joint Consultative Committee with Iceland, CoR 1st Vice President Mercedes Bresso (PES/ Italy), the chairperson of the CoR Working Group on the Western Balkans Mia De Vits (PES/Belgium) and the chairperson of the CoR Working Group with Turkey Heinz Lehmann (EPP/Germany).

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PES member Theodoros Gkotsopoulos, Municipal Councillor of Pallini, Attica (Greece) was appointed rapporteur on the 2013 EU citizenship report. In his capacity as CIVEX Chair, Antonio Costa will take over the rapporteurship on the so-called 'Smart border package', which consists of legislative proposals on setting up a "Registered Traveller Programme" and an "Exit-Entry System", as well as a proposal to adapt the existing regulation on the "Schengen Border Code" to these two new instruments.

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Kaarlr Heinz Lambertz

At the invitation of PES member José Luís Carneiro, Mayor of Baião (Portugal), the COTER commission held a seminar in Porto on European territorial cooperation as a driver of regional development. Ahead of the seminar, a delegation of PES Group members had an exchange of views with members of the Portuguese Socialist Party (PS), including João Ribeiro, PS Spokesman and International Secretary, and Manuel Pizarro, currently running for the mayorship of Porto. Topics for discussion included the economic and political situation in Portugal, as well as the management by the local and regional authorities of the employment crisis in the EU. Participants stressed the need for concrete tools to enhance investment, in particular in social policy and job creation..

ECOS (Brussels, 23 April 2013) ECOS members adopted the draft owninitiative opinion on Frontier workers, by Karl-Heinz Lambertz, Minister-President of the German-speaking Community of Belgium (PES/Belgium) unanimously. While

welcoming in general the progress made on worker mobility since the creation of the internal market, the draft opinion calls for the removal of a series of remaining obstacles, namely by: establishing concrete tax measures for cross-border workers; coordinating Member States' social security systems more efficiently; addressing social and wage dumping; enhancing the protection of the rights of posted workers; improving recognition of professional qualifications; and facilitating access to reliable information networks and counselling services. Referring to his expertise as president of the Association of European Border Regions and of the Meuse–Rhine Euregion, the rapporteur also highlights the fact that overall systematic cooperation between regional and local authorities - for example through innovative instruments such as the European Grouping for Territorial Cooperation (EGTC) - is decisive in achieving a true European labour market. Karl-Heinz Lambertz's viewpoint was particularly welcomed by Jutta Steinruck MEP (S&D/Germany), who spoke at the meeting in her capacity as European Parliament rapporteur on the EURES (European Employment Services) network for labour mobility. Adoption of the opinion is scheduled for the CoR plenary of 3 - 4 July 2013 and is expected to run smoothly.


ECOS members also adopted by majority the draft opinion on Improving the gender balance among non-executive directors of companies listed on stock exchanges and related measures, by Andreja Potoฤ nik (ALDE/Slovenia). (Read more under Plenary, p.4).

Employment and a Quality Framework on Traineeships (Read more under Plenary, p.4, and Interviews, p.10).

for early warning, and the definition of the circumstances in which market operators and public administrations are required to notify incidents. Finally, he calls for the introduction of harmonised standards at European level harmonised standards relevant to networks and information security. All these points were made in the form of concrete legislative amendments to the European Commission proposal for a directive. The draft opinion is due for adoption by the July CoR plenary.

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PES member Ahmed Aboutaleb, Mayor of Rotterdam (Netherlands), presented his working document on the Social investment package for growth and cohesion, a key political dossier. The rapporteur stresses that because of its stabilisation effect, longterm social investment is key to recovering from the crisis. He also calls for the role of local and regional authorities, who are the main pillar of social security and social inclusion structures and services, to be duly recognised in the European semester and in negotiations about national reform plans and their implementation. Building on Ahmed Aboutaleb's work, the PES Group will hold its external seminar on A Social Way out of the Crisis on 10 June in Rotterdam. (Read more under News of the PES Group in the CoR, p. 2). Last but not least, ECOS members had an exchange of views on the working documents on the Action Plan for a competitive and sustainable automotive industry in Europe and on the Entrepreneurship 2020 Action Plan, by Christian Buchmann (EPP/Austria) and Pawel Adamowicz (EPP/ Poland), respectively.

EDUC (Espoo, Finland, 25 April 2013) This year's external meeting of the EDUC commission took place in Espoo, at the invitation of Markku Markkula, Member of Espoo City Council. The meeting was chaired by EDUC 1st Vice-President JeanFranรงois Istasse, member of Parliament of the French-speaking Community of Belgium. The commission adopted by overwhelming majority the draft opinion by Enrico Rossi (PES/Italy) on Youth

EDUC members adopted unanimously the draft opinion of Bob Bright, Leader of Newport City Council (PES/UK), on a Cybersecurity Strategy. The draft CoR opinion responds to a communication published jointly by the European Commission and the EU's High Representative for Foreign Affairs and Security Policy and to a proposal for a directive on network and information security (NIS). The strategy focuses on five priorities: achieving cyber resilience; reducing cybercrime; developing cyber defence policy and capabilities related to the Common Security and Defence Policy (CSDP); developing the industrial and technological resources for cyber-security; and last but not least, establishing a coherent international cyberspace policy for the EU. The proposed directive requires all Member States to adopt a NIS strategy. Furthermore, it creates a cooperation mechanism among Member States and the Commission to share early warnings on risks and incidents through a secure infrastructure. Finally, it asks operators of critical infrastructures, internet enablers and public administrations to adopt risk management practices and report major security incidents on their core services. The rapporteur welcomes overall the measures proposed by the directive but insists that, in order to achieve better lawmaking, LRAs should be systematically consulted by the EU institutions and Member States both in the conception and implementation of measures designed to put the European Digital Agenda into effect. Moreover, he voices concerns over the lack of clarity on three key issues: the definition of the criteria to be fulfilled by a Member State so that it is authorised to participate to the secure information-sharing system, the further specification of the triggering events

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EDUC members also adopted unanimously the draft opinion of Markku Markkula (EPP/Finland) on Closing the Innovation Divide, drafted at the request of the Irish presidency. The rapporteur makes a series of proposals that can contribute towards narrowing innovation gaps, namely: continued investment in education and training; a balance between technological, design and social innovation; societal innovation, and its integration into regional innovation policy-making; integration of higher education, research and business at local and regional level; greater synergies between research, education and innovation; active use of innovative public procurement, combined with simplification of procedures; Europewide and transnational cooperation projects between regions; and last but not least, cross-border cooperation, including inward inves tment to and outward investment from the EU. Furthermore, Markku Markkula calls for the creation of a circular economy for knowledge while pointing out that there is an urgent need to optimise the use of research output. The rapporteur accepted all the amendments tabled by EDUC/PES Coordinator Yoomi Renstrรถm as well as further oral compromises, all of which aimed at improving the opinion overall. The conference held on 26 April focused on Smart Cities and their contribution to the attainment of the Europe 2020 objectives. Key aspects discussed were 07


smart specialisation, the creation of an urban environment conducive to innovation and instruments for benchlearning.

Macário Correia (EPP/Portugal), and Marek Sowa (EPP/Poland) respectively. (Read more y p.5). p under Plenary,

ENVE (Brussels, 24 May 2013)

Her H errmann Kuhn

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The ENVE commission adopted by an overwhelming majority the draft opinion on Smart cities and communities (SCS) – European innovation partnership, by Ilmar Reepalu, Mayor of Malmö (PES/Sweden). The European Commission communication on this topic proposes to launch a European innovation partnership with a view to developing and integrating energy, transport, information and communication technologies in urban areas. The idea is to concentrate on a small number of lighthouse projects, which should help to serve as inspiration and mobilise both private and public investments in other cities and regions. While generally welcoming the communication, the rapporteur criticises that it is too much centred on innovative-driven businesses, and does not sufficiently recognise the role and expertise of cities, which play a decisive role in identifying projects that respond best to the needs and demands of citizens and local stakeholders. He also stresses the need to take greater account of the diversity of the EU’s urban fabric, and to include other policy areas that contribute to sustainable urban development, such as water, waste and strategic land-use planning, when developing and implementing projects and solutions. Last but not least, regarding the implementation phase, the rapporteur asks for sufficient financial resources to be earmarked at EU and Member State level for innovative projects developed within the SCC framework and to ensure that successful experiences can be shared widely after the pilot project phase. The adoption of the opinion is scheduled for the CoR plenary of 3-4 July 2013. Moreover, CIVEX members adopted by majority the draft opinions on the 7th Environment Action Programme, and on the Revision of the EIA Directive by José 08

They also adopted by majority the draft opinion on Making the internal energy market work, by Piet de Vey Mestdagh, Member of the Executive Council of the Province of Groningen (ALDE/Netherlands). The European Commission communication seeks to achieve a truly common European energy market by focussing on the implementation of the existing EU market rules aimed at tackling market failures and empowering consumers. The rapporteur agrees with the approach based on a more competitive market, but also stresses the need to supplement and, where necessary, regulate markets through specific policy measures. He calls for the development of specific Regional Energy Plans, which should include projects for energy generation, storage and distribution, the realisation of necessary infrastructure and regional schemes for energy efficiency and saving. He also stresses

and amendments can be expected, given the high political salience of energy issues and prices in all Member States. The draft outlook opinion on the Review of key EU waste targets, by Michel Lebrun, Member of the Parliament of the French Community (EPP/Belgium), was also adopted by majority. Responding to a request for CoR input by the European Commission for the revision of key waste legislation in 2014, the opinion emphasises that waste management is one of the biggest challenges facing local and regional authorities, who, consequently, should be involved at all stages of policy-making for the policies to be adopted in this field. The rapporteur also stresses the need for more effective waste prevention, which would clearly limit the financial and organisational burden of waste collection, recycling and disposal on local and regional authorities. The draft opinion also contains a call for Member States to be given binding, minimum targets for re-use of waste and for raising the current mandatory target for the recycling of solid municipal waste. This sparked a lively debate on the best way forward in overall waste management. Similarly, the opinion supports the ban on the incineration of recyclable and biowaste. The ENVE commission adopted amendments tabled by PES members Andre Van Den Nadort, Neil Swannick, Corrie McChord and Simon Strange arguing for a more ambitious European waste policy and for increased producer responsibility as well as special support for improving waste management in the less advanced Member States. The opinion is scheduled to be adopted at the July plenary session. ENVE members held an exploratory debate on the working document on Local and Regional Authorities perspective on Shale/ Tight Gas and Oil, by Brian Meaney (EA/ Ireland).

Nei e l Swaannic icck,

the need for local energy solutions, based on decentralised energy generation, smart grid development and demand-side management. Last but not least, he emphasises the need to raise consumers' awareness of ways to control consumption, possibilities for energy savings and energy efficiency and small-scale production. ENVE members adopted a series of amendments tabled by PES Group members Neil Swannick and Hermann Kuhn, opposing the mere liberalisation of energy markets and calling for more effective coordination at EU level, a stronger emphasis on renewable energies and the active involvement of citizens. The opinion is scheduled to be adopted at the July plenary session and some further debates

PES member Neil Swannick, member of Manchester city Council (UK), was appointed rapporteur on Adaptation to Climate Change.

NAT (Brussels, 30 April 2013)

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The NAT commission adopted by overwhelming majority the draft opinion on Smoothly phasing out the milk quota system, by René Souchon, President of the Auvergne Region (PES/France). (Read more under plenary, p. 4, and Interviews, p. 9).

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Furthermore, the NAT commission adopted by unanimity the draft opinion on the eHealth Action Plan 2012-2020 by Johan Sauwens, Member of the Flemish Parliament (EPP/Belgium). The relevant European Commission communication outlines a strategy for eHealth in the EU and sets out the key steps to be taken in order to realise its full potential. These include empowering patients and healthcare workers, linking up devices and technologies, and investing in

research towards personalised medicine. The CoR rapporteur emphasises that regional and local authorities have a key role to play in communicating with and informing patients and the public, educating and training care professionals, establishing adequate local involvement in the development of eHealth, initiating eHealth pilot projects, and, in some regions, also legislating in the field. He also highlights the added value of EU action, in particular regarding cross-border healthcare, recognition of qualifications, and provision of standards and methodology for assessing the effectiveness of eHealth applications. Amendments tabled by PES member Tilman Tögel stressing that the development of eHealth services must benefit all EU citizens, including elderly or disabled people, and highlighting the importance of involving care workers and social workers, were adopted. The draft opinion is scheduled to be adopted at the July plenary session. Finally, NAT members adopted by majority draft opinion on the proposal for a Directive on Manufacture, presentation and sale of tobacco and related products, presented by José Antonio Monago Terraza, President of the Government of Extremadura (EPP/Spain). Responding to a European Commission proposal which aims at revising the Tobacco Products Directive currently in force, the rapporteur's positions are highly

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controversial and were particularly criticised by the European Parliament's rapporteur on the dossier, Linda McAvan (S&D/UK). While advocating an approach which mainly defends the economic interest of the regional industry on a dossier which has limited territorial relevance, the rapporteur overlooks the key concern, that is, the impact of tobacco on citizen's health. During the vote, the PES Group succeeded in defending a series of amendments tabled by PES shadowrapporteur Dave Wilcox, urging for a high level of health protection, health promotion and disease prevention. The draft opinion is scheduled to be adopted at the July plenary session. Considering the divergence between the NAT members and the rapporteur, further amendments are to be expected in plenary.

AND NOW OVER TO PES MEMBERS outlook within the EU, although the internal market absorbs 90% of European output!

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From the local and regional authority point of view, what are the areas that need to be more carefully framed in the European Commission report on the evolution of the market situation and conditions for smoothly phasing out the milk quota system?

The report comes out clearly in favour of deregulation, which seems to me to be a major strategic mistake; the major producing countries, such as the United States, are maintaining and bolstering their regulatory measures. What is all the more disappointing in the Commission report is that it gives no consideration to the territorial impact of dismantling the quotas. Yet two thirds of the EU's dairy farms are located in disadvantaged areas and the majority are small family businesses. In many regions, it is quotas that have enabled production to continue.

René Souchon, President of the Auvergne Region (France):

This is why in my draft opinion I am calling for additional studies to be carried out into the territorial impact of ending quotas. I believe that priority should be given to securing the EU's internal markets on the basis of a genuine milk production development strategy. Export markets should be reserved for products with a high value added.

The Commission's second progress report on the end of milk quotas is disappointing. It takes a macro-economic approach to the markets and no more. There is no analysis of the medium-term

As regards regulation, we should return to a public policy of stock management with mandatory production caps at times of crisis. Lastly, to safeguard producers' incomes,

production costs must be taken into account in negotiations on farm gate milk prices. With these measures I believe that it will be possible to maintain and develop production that is evenly distributed across all the EU's regions. 09


Enrico Rossi, President of the Tuscany Region (Italy): Enrico Rossi, President of the Tuscany Region (Italy): Working on the basis of the general observation that youth unemployment today is an issue affecting more and more young people, including graduates unable to find work having completed university, we firmly believe that it is essential to underline the importance of apprenticeships (and traineeships) as a key way of accessing work for various categories of young people (for various age groups and training levels). Enrico Enr ico co R Ro ossi s ss

In your report, you call for a European quality framework for traineeships. Do you consider this necessary for apprenticeships too? How could local and regional authorities help to achieve this goal?

It is crucially important therefore that, in addition to encouraging the exchange of best practice at European level, the EU do the following: - implement and develop the European Alliance for Apprenticeships, as an instrument that can respond to demand for skills and help to supply the right frame of reference for qualifications obtained;

- adopt Europe-wide common minimum standards for apprenticeships so that the skills acquired can be recognised throughout Europe; - encourage effective cooperation between schools, colleges and bodies that provide teaching and professional training, the business world and employment services, so as to generate the synergies needed for apprenticeships to succeed. The only way to achieve this is by means of measures of a cultural and structural nature and financial and fiscal incentives, to be put in place primarily by regional and local authorities. Given that regional authorities are best placed to assess regional needs and the conditions facing young people, and to enhance regional economic and productive potential, they should be fully involved, not least via the Committee of the Regions, in the definition and implementation at European level of new strategies and action plans, as well as in the adoption of common quality standards for all Member States, when it comes to promoting tools such as apprenticeships

News of the Party of European Socialists Together with the Socialist Party Albania (SPA), the Social Democratic Party (SDP) Montenegro and the Democratic Party of Socialists (DPS) Montenegro, the Party of European Socialists organised on 22-23 April a PES Balkan Conference, held in Shkodra (Albania) and then Budva (Montenegro). The theme of the two-day event was 'Progressive governments and parties in the Western Balkans: Keeping the promise for fairer societies and EU accession' and it was structured around two sessions discussing joint campaigns and strategies, and a progressive plan to bolster EU enlargement. The initiators of the conference signed a declaration, expressing their firm belief that the Western Balkan region belongs to the EU. Fostering social progress and economic development, promoting progressive societies and keeping up momentum for the enlargement perspective were the key commitments made by the signatories of the declaration. Chaired by Andreas Schieder, Secretary of State of the Austrian Ministry of Finance, the PES Financial and Economic Network met on 23 April in the Headquarters of 010

steps towards a Social Union, as well as the social and employment dimensions of the Fundamental Programme and next year's European elections. There followed a joint meeting of the two networks to discuss the draft PES paper on industrial policy. Representing the PES Group in the CoR, Claude Gewerc, CoR rapporteur on industrial policy, highlighted the strong territorial dimension of this policy since 66% of public investments are carried by local and regional authorities. On 19 April, the Secretaries General of PES member parties and organisations met at the invitation of the Spanish Socialist Party (PSOE) in Madrid to prepare a coordinated strategy for the 2014 European elections. Claude Cla ude d Ge Gewer wercc

the CoR to discuss ways to restore fiscal justice in Europe. The common economic and financial priorities of the draft PES Fundamental Programme and the 2014 European elections were also discussed. The PES Social Europe Network also met on the same day to discuss the next

The PES Presidency met in Lisbon on 25 April, at the invitation of the Portuguese Socialist Party. It adopted a Declaration on the Banking Union, formulating three main calls: a strong Banking Union, completed with a resolution fund, which will enable banks to absorb future financial shocks at their own capacity whilst reinforcing financial stability and credibility and ensuring depositors’ protection; the separation of


commercial from the investment banking activities; stronger regulation of the financial markets, accompanied by the regulation of the shadow banking system and stricter rules to tackle tax evasion and to fight tax heavens. The PES Presidency also confirmed the timetable of the selection procedure for the PES common candidate to the presidency of the next European Commission. The

candidate will be confirmed by the next PES Congress (February 2014). The PES Presidency accepted the proposal by Alain Hutchinson to involve the PES Group of the CoR in the works of the PES Working Group Candidate 2014, chaired by PES Treasurer Ruairi Quinn, Minister of Education and Skills, Ireland.

On the occasion of the 150th anniversary of the Social Democratic Party of Germany (SPD), PES Leaders met on 22 May in Leipzig (Germany) to discuss the challenges and opportunities shared by the PES political family.

A look at some recent local and regional elections Friuli-Venezia Giulia, Italy (21-22 April 2013) The Italian Democratic Party (Partito Democratico) emerged as the winner of the regional elections held in Friuli-Venezia Giulia, where the centre-left candidate Debora Serracchiani defeated the incumbent President of the centre-right coalition, obtaining 39.4% of the votes. Serracchiani will become the second woman to hold the office of president of the region. of cooperation, solidarity and competitiveness in Lombardy, and of commitment to the European integration process. Instead, the candidature of the centre–right had been openly backed by Silvio Berlusconi and defends anti-European populist and separatists positions.

Tyrol, Austria (28 April 2013)) y In the elections held in Tyrol, a region which has been under conservative leadership since 1945, the Austrian People's Party ÖVP obtained their historically worst result (39.6%). The Social Democratic Party SPÖ came second with 13.8%, followed by the Greens, who obtained 12.1%.

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POLITICAL OLITICAL BALANCE IN THE COR

Political Groups ■ ■ ■ ■ ■ ■ ■

Members (Full)

PES ...................................................................119 EPP ................................................................... 112 ALDE .................................................................. 48 EA ...................................................................... 16 ECR .................................................................... 13 NA ....................................................................... 8 To be appointed .................................................. 18

TOTAL CoR ..............................................................344

Fin d us o n Fa ceb o o k : w w w. f b. m e /p e s gro up co r

Fo ll o w us o n Tw i t ter : @ p e s g ro u p co r

w w w.p es.cor.europa.eu 011



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