Europski odbor regija

According to Article 175 of the TFEU the Commission shall submit a report to the European Parliament, the Council, the Economic and Social Committee and the Committee of the Regions, every three years, on the progress towards achieving economic, social and territorial cohesion.

The 9th report which covers the first period (2021-2023) of the programming period 2021-2027 will include a record of progress made towards achieving economic, social and territorial cohesion, including the socio-economic situation of regions as well as the integration of EU priorities. It will also include, where appropriate, an indication of future EU measures and policies necessary to strengthen cohesion, as well as to deliver EU priorities.

This opinion focuses on the reform and investment measures in the Member States, in particular those based on the Country-Specific Recommendations 2023, and their implementation, in order to assess the effectiveness of these measures and the possibilities for better targeting of proposals, improved implementation and the monitoring and involvement of organised civil society in the procedures. This opinion also looks at issues concerning the ongoing reform of the EU’s economic governance rules, the central objective of which is to strengthen public debt sustainability while promoting sustainable and inclusive growth in all Member States through reforms and investment. Moreover, the opinion continues the previous consultation exercises by examining the state of the implementation of the reforms and investments provided for in the national Recovery and Resilience Plans and which are financially supported by RRF funds.

Already in 2018 the European Commission has proposed a Regulation on a mechanism to resolve legal and administrative obstacles in a cross-border context for the programming period 2021-2027. At the time, the EESC has adopted its opinion on 19 September 2018, and the European Parliament adopted its first-reading position on the proposal in February 2019. However, the Council's working party on structural measures decided to cease work on the proposal in May 2021. In October 2022, to break the impasse and take the lead on this issue, the EP's Committee on Regional Development started drawing up a legislative-initiative report, calling on the Commission to present a new legislative proposal. The EP voted the report at its September 2023 plenary session.

At the request of the Belgian Presidency of the Council of the EU, the EESC is drawing up this opinion to suggest recommendations on how to tackle inequalities, foster upwards social convergence and strengthen social security systems and ensure its long-term affordability, in an EU economic governance framework/European Semester defined around debt sustainability, productive investments and reforms. This opinion is also focusing on the implications of such a framework for the European Semester, and the further strengthening of the social pillar herein. Finally, the opinion also looks at ways of continuing to further develop fiscal instruments that have a stabilising role at the European level, based e.g. on the experience of SURE.

One of the main conclusions of the 8th Cohesion Report is that although cohesion and convergence among regions in the European Union has improved, there are still remaining gaps especially in less developed regions related with their territorial characteristics. EU islands, mountain areas and sparsely populated areas still face many challenges on their growth and income and disparities exist.

In these regions, there are still a lot of gaps in terms of employment and investment, social exclusion is evident and gender disparities have not diminished.

As committed during the negotiations on the long-term EU budget 2021-2027, the European Commission has on 20 June 2023 completed its proposal for a next generation of own resources. The package includes a new temporary statistical own resource based on company profits. The Commission  also proposes to adjust the own resources proposals based on the Emissions Trading System (ETS) and Carbon Border Adjustment Mechanism (CBAM) compared to the original proposals from December 2021.  

Every year in February, the EESC adopts an opinion on Annual Sustainable Growth Survey, which the Commission usually presents at the end of November in the year before. The Committee works under tight deadlines, in anticipation of the referral, to finalise the opinion before the March Council discussion on the topic. To reinforce the Committee's impact throughout the entire European Semester, an own-initiative opinion with additional considerations is regularly produced by October taking into account the overall European Semester, which plays a central role in implementing the Recovery and Resilience Facility and is vital in current discussions about the review of the EU macro-economic governance framework.

The EESC has issued key recommendations for the mid-term revision of the Multiannual Financial Framework (MFF) 2021-2027. The Committee calls for a prompt agreement on the MFF revision still this year, to guarantee continued financial backing of Ukraine and financing the EU´s evolving political priorities. However, the EESC criticizes the proposed changes as being too limited and lacking ambition, resembling mere patches. It advocates for long-term strategies centred on fiscal sustainability, efficient resource allocation, and measures to guard against unexpected events. Civil society should be engaged for effective planning and monitoring of MFF programmes.

Since 2016, as requested by the Council, every second year the Commission publishes a report on the implementation of the existing macro-regional strategies (MRS). This is the fourth report, covering the period from mid-2020 to mid-2022. It assesses the state of play and progress on implementing the MRS and examines ways forward especially in the context of the war in Ukraine and the COVID-19 crisis.