,3 Brussels, 13 November 2002 6ROLGDULW\)XQG&RPPLVVLRQSURSRVHV¼PLOOLRQ IRU *HUPDQ $XVWULDQ &]HFK DQG )UHQFK UHJLRQV KLW E\IORRGLQJ 7KH (XURSHDQ &RPPLVVLRQ WRGD\ SURSRVHG WR JUDQW ¼ PLOOLRQ WR KHOS UHOLHYH GDPDJH FDXVHG E\ WKLV VXPPHUV KHDY\ IORRGV 7KH ILUVW XVH RI WKH QHZO\FUHDWHG(XURSHDQ8QLRQ6ROLGDULW\)XQGZRXOGIUHHXS¼PLOOLRQIRU *HUPDQ\¼PLOOLRQIRU$XVWULD¼PLOOLRQIRUWKH&]HFK5HSXEOLFDQG¼ PLOOLRQ IRU )UDQFH 7KH 6ROLGDULW\ )XQG ZDV VHW XS LQ WKH VSDFH RI WKUHH PRQWKVWRDOORZIRUUDSLGILQDQFLDODVVLVWDQFHLQWKHHYHQWRIDPDMRUGLVDVWHU DQG LV QRZ IXOO\ LQ SODFH 7KH )XQG FDQ EH XVHG DPRQJ RWKHU WKLQJV WR UHVWRUH YLWDO LQIUDVWUXFWXUH DQG HTXLSPHQW 7RGD\¶V SURSRVDOV UHTXLUH WKH DSSURYDO RI WKH (XURSHDQ 3DUOLDPHQW DQG WKH &RXQFLO LQ WKHLU UROH DV %XGJHWDU\ $XWKRULW\ WR DOORZ WKH &RPPLVVLRQ WR VWDUW WKH SD\PHQWV EHIRUH WKHHQGRIWKLV\HDU Budget Commissioner Michaele Schreyer commented on today´s first mobilisation of the Fund and the draft supplementary and amending budget: ³7KLVIXQGLVDWRWDOO\ QHZ SROLWLFDO LQVWUXPHQW RI (XURSHDQ VROLGDULW\ LQ FDVHV RI GDPDJH FDXVHG E\ VHULRXVQDWXUDOGLVDVWHUV,DPKDSS\WKDWZHVXFFHHGHGLQVHWWLQJXSWKLVLQVWUXPHQW VR TXLFNO\´ Regional Policy Commissioner Michel Barnier, who will manage the Fund, said: ³2YHU DQG DERYH WKHLU VLPSOH ILQDQFLDO LPSDFW , DP FRQYLQFHG WKDW WRGD\¶VSURSRVDOVVKRZZKDW(XURSHLVUHDOO\DERXWDVXSSRUWLYHFRPPXQLW\WKDWZLOO KHOSSXWEDFNLQWRZRUNLQJRUGHUKRVSLWDOVVFKRROVEULGJHVDQGURDGVLQWKHPHPEHU VWDWHV DQG WKH FDQGLGDWH FRXQWU\ DIIHFWHG E\ WKLV VXPPHU¶V WHUULEOH IORRGV´ Günter Verheugen, Commissioner responsible for Enlargement, commented 7KH FRQWULEXWLRQPDGHIURPWKLV)XQGWRUHOLHYHWKHGHVWUXFWLRQ,ZLWQHVVHGLQWKH&]HFK 5HSXEOLFLVDFOHDUGHPRQVWUDWLRQRIWKH VROLGDULW\ WKDW WKH FDQGLGDWH FRXQWULHV FDQ IXUWKHUH[SHFWZKHQWKH\EHFRPH(80HPEHU6WDWHV´. The latest information shows that estimates of the overall damage in Germany, Austria and the Czech Republic remain high, but less than initially estimated: total damage is now estimated at ¼PLOOLRQLQ*HUPDQ\DW¼PLOOLRQLQ$XVWULD and ¼ PLOOLRQ LQ WKH &]HFK 5HSXEOLF )UDQFH KDV VXEPLWWHG DQ DSSOLFDWLRQ estimating flood-related damage at ¼PLOOLRQ Based on these revised estimates of the damage, the Commission is proposing grants totalling ¼PLOOLRQLQFOXGLQJ¼PLOOLRQIRU*HUPDQ\¼PLOOLRQIRU Austria, ¼PLOOLRQIRUWKH&]HFK5HSXEOLFDQG¼PLOOLRQIRU)UDQFH The Fund, which has a total volume of ¼ELOOLRQDQQXDOO\FDQEHXVHGIRU - Restoration to working order of infrastructure and plant in the fields of energy, water and waste water, telecommunications, transport, health and education. - Provision of accommodation and funding rescue services to meet the needs of the population concerned. - Securing of preventive infrastructures and measures for immediate protection of the cultural heritage. - Cleaning up of disaster-stricken areas, including natural zones. 1RWHIRUHGLWRUV Following the floods that hit central Europe during August 2002, it was decided to set up a new EU financial instrument to grant emergency aid to Member States and candidate countries in the event of major disasters. The Commission proposed an Interinstitutional Agreement (between the European Parliament, the Council and the Commission), which would allow up to ¼ELOOLRQSHU annum to be made available over and above the appropriate headings of the financial perspective for emergency aid. It also proposed a Council Regulation establishing the European Union Solidarity Fund which contains the specific provisions and the conditions under which this Fund can be mobilised. Political agreement on the proposals was reached between the Parliament and Council in conciliation on 22 October 2002. The Inter-institutional Agreement was adopted on 7 November and the legal base on 11 November 2002. To qualify for funding, countries hit by a major disaster must give a precise appraisal of damage caused and fulfil specific criteria which ensure that EU funds are used where they are most needed. The Commission will be responsible for managing the Fund. A “major disaster” means any disaster resulting in damage estimated either at or above ¼ ELOOLRQ RU PRUH WKDQ RI WKH JURVV QDWLRQDO LQFRPH RI WKH VWDWH concerned. Under exceptional circumstances, a region could also benefit from assistance from the Fund, where it has been affected by an extraordinary disaster, affecting a major part of its population, with serious and lasting repercussions on living conditions and the economic stability of the region. In this case, total annual assistance shall be limited to no more than 7,5 % of the annual amount available to the Fund. Particular focus will be on remote or isolated regions such as the ultraperipherical regions. To ensure availability of the Fund at any time, at least one quarter of the annual amount should remain available on 1 October each year, in order to cover needs arising until the end of that year. The regulation allows the Fund to be used retroactively for disasters since August of this year. Member States, Parliament and the Commission have declared on several occasions that financial aid from the Fund should be made available to the countries concerned as a matter of urgency. 2