Explanatory Memorandum to COM(2011)913 - Exchange, assistance and training programme for the protection of the euro against counterfeiting (the 'Pericles 2020' programme) - Main contents
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| dossier | COM(2011)913 - Exchange, assistance and training programme for the protection of the euro against counterfeiting (the 'Pericles 2020' ... |
|---|---|
| source | COM(2011)913  |
| date | 19-12-2011 |
The Pericles programme is an exchange, assistance and training programme for the protection of the euro against counterfeiting. The programme was established by Council Decision 2001/923/EC of 17 December 2001 and its effects were extended to the EU Member States that had not adopted the euro as their currency by Council Decision 2001/924/EC of 17 December 2001. Subsequent amendments to these basic acts by Council Decisions 2006/75/EC, 2006/76/EC, 2006/849/EC and 2006/850/EC have extended the duration of the programme until 31 December 2013.
The Treaty reflects concerns about the protection of the euro by providing for the measures necessary for its use as a single currency (Article 133 TFEU).
As the legal basis for Pericles will expire at the end of 2013, its replacement should ensure the continuity of Union support for the activities carried out by the Commission and the Member States with the aim of improving exchanges of staff and information, carrying out studies and providing training or technical and scientific assistance in the protection of the euro against counterfeiting and related fraud.
The euro continues to be an attractive target for organised crime groups active in counterfeiting money, not only in Europe but also in other regions of the world. The international dimension of the threat with respect to euro counterfeiting calls for supranational coordination in facing it; through the Pericles programme, the Commission conducts such coordination by way of exchanges, training activities and technical assistance. In particular, by implementing a specific training and assistance strategy i agreed with Member States, the programme complements national training by adding a multidisciplinary and transnational dimension. It offers beneficiaries the opportunity to take part in international training, and raises the standard of cooperation outside the European Union by directly involving the most sensitive third countries in specific training activities.
The programme meets the need for the continuing vigilance, training and technical assistance necessary to sustain the protection of the euro against counterfeiting, by providing a stable framework for the planning of Member States’ programmes. This approach has yielded substantial results in terms of the number of staff trained, the standard of training, synergy, and operational results for the protection of the euro.
Contents
2.1. The Pericles programme includes a multi-disciplinary set of activities involving stakeholders who are all important in the fight against euro counterfeiting but whose contribution takes different forms technical, legal, financial and law-enforcement bodies.
The Commission has collected the opinions of Pericles programme stakeholders through (i) a mid-term evaluation conducted among the programme beneficiaries in early 2011; (ii) the evaluation forms that participants in Pericles activities fill in following each of the events; and (iii) the views expressed by the experts in the Euro Counterfeiting Experts Group (ECEG) i, where implementation of the Pericles programme is one of the standard items for discussion. The mid-term evaluation shows a high degree of satisfaction with the programme; all beneficiaries (100 %) were satisfied and recommended that the programme be extended beyond 2013. They also appreciated the programme’s management by the Commission: 98 % of participants in Pericles activities were satisfied with that aspect. Additionally, ECEG experts considered that their level of involvement in management of the programme was significant or very significant both multilateral and bilateral level.
The beneficiaries’ opinions and the experts’ views show that Pericles training activities (i) increase the number of people trained at national level and raise the standard of training by adding an international and multidisciplinary dimension; (ii) complement and are additional to national training; (iii) have a direct link with operational results (training of staff directly involved in the protection of the euro, such as police, judicial and financial staff); and (iv) are instrumental in enabling the beneficiaries to carry out their own training.
Based on the evaluation, a number of areas for improvement were identified. These involve among other things simplifying determination of the amount of the grant and clarifying the procedures. The Commission proposal takes these suggestions into account.
2.2. An impact assessment has been carried out by the Commission. Four options have been considered:
Option 1: Continue the programme with the same level of funding (baseline scenario).
Option 2: Renew the Pericles programme with improved objectives and methodology, including in particular an increased maximum rate of co-financing.
Option 3: Merge Pericles with other Commission programmes.
Option 4: Discontinue the Pericles programme, and leave it for Member States to organise activities at national level for protecting the euro.
In the light of past experience, which is closely linked to the activities of both the Member States and the Commission in protecting the euro currency, as well as the expected impact, including through developing activities, the option to renew the programme with improved objectives and methodology is preferred. This option has a budgetary allocation in real prices that remains similar to the current allocation (approximately one million euro per year). It adds flexibility in determining the amount of the grant by simplifying the determination of costs to be borne by Member States i; it broadens the range of eligible activities by making it possible to finance the purchase of equipment to be used by specialised anti-counterfeiting agencies in for protecting the euro against counterfeiting; and it increases the rate of co-financing up to a maximum of 90 % of eligible costs, in duly justified cases. This should provide a response to a trend that has emerged in recent years, whereby Member States are less able to co-finance projects due to the general lack of funds available to public administrations. The higher rate of co-financing will particularly facilitate a more balanced geographic distribution of activities by offering wider scope for Member States to apply.
In contrast, discontinuing the programme would reduce expenditure at EU level, but without generating real savings and offsetting resources at national level or in the framework of another EU programme, and would therefore put at risk the effective and uniform protection of the euro across the Member States and in third countries.
The European Union exercises exclusive competence in the area of monetary policy for the Member States whose currency is the euro (Article 3(1)(c) TFEU).
The Treaty provides that the European Parliament and the Council are to lay down the measures necessary for the use of the euro as a single currency (Article 133 TFEU). These measures also include protection of the euro against counterfeiting. Based on that Article, the protection of the euro as the single currency is under EU exclusive competence (Article 3(1)(c) TFEU). In parallel, the national authorities issue euro banknotes and coins, in accordance with Article 128 TFEU. Member States have adopted national legislation and established internal rules for protecting the euro.
The Pericles programme concerns this specific sphere of activity of the European Commission and its cooperation with Member States’ competent authorities, as well as with the other European institutions and bodies, more particularly through OLAF.
It is essential that there should continue to be an instrument specifically dedicated to protecting the euro against fraud and counterfeiting. Support from programmes designed to have a wider impact would be less effective in addressing such a specific issue and, in political terms, the EU institutions should demonstrate that they share a real determination to deal with this important aspect of EU policy and European identity. Accordingly, the Pericles programme will:
- target exclusively the protection of the euro, in the context of a long-term vision that is consistent with other EU objectives, on the basis of the priorities set each year for this specific field of expertise,
- allow the implementation of other EU programmes to focus on priorities other than the protection of the euro,
- fully take into account the results of the activities already co-financed in the past in this field, including in terms of targeted rules for beneficiaries and geographical balance;
- aim not only to have a direct impact on the situation of some Member States but to place strong emphasis on the EU dimension of the protection of Europe’s single currency.
A priority for the Commission in this programme, as in other programmes within the context of the Multiannual Financial Framework (MFF), is to simplify the regulatory environment and facilitate to the greatest possible extent access to this programme for the competent national authorities in the Member States and its utilisation in relevant third countries. This approach is applied in Pericles 2020 by providing a simpler, more coherent and standardised administrative procedure for the beneficiaries to access funding.
The programme proposal is fully consistent with the Financial Regulation and its implementing provisions. Grants and procurement are the main financial instruments used to implement the programme. Based on results of the mid-term evaluation, the programme will make it simpler for the competent national authorities to prepare applications. To simplify procedures and reduce the administrative burden, the calculation of the amounts to be granted will be made clearer and the programme will be made more user-friendly. The legislation will be amended to allow more flexibility in the use of the granted amount; this objective will be achieved by simplifying those financial provisions in the programme which define strictly the specific costs to be borne by the Member States and by the Commission.
Another simplification measure envisaged involves directly informing and consulting the Member States’ representatives in the Euro Counterfeiting Experts Group (ECEG) at different stages of implementation of the programme. Thus, improvements to implementation and procedures may be more directly included in the Annual Work programme based on the feedback received from the experts participating in this Group.
The Pericles programme relates in part to activities of the European Commission, and more particularly OLAF, and cooperation with the European institutions and bodies and with Member States. Therefore, by definition, the key objectives of the proposal cannot be attained by action at the national level alone.
The 2011 consultation of the main stakeholders concerned by implementation of the Pericles programme has also shown that the principle of proportionality is fully complied with.
The Commission initiates the Union’s annual and multiannual programming (Article 17 TEU). The Union may support the efforts of Member States to improve their administrative capacity to implement Union law. Such action may include facilitating the exchange of information and of civil servants as well as supporting training schemes. Expenditure at EU level on protection of the euro is therefore justified in terms of EU's exclusive competence. The added value of the Pericles programme is demonstrated mainly by the results deriving from the collective specialised training and assistance; such training, multi-disciplinary and international awareness-raising events and other specialised assistance only take place on the basis of the Pericles programme. In addition, exchanges of staff, one of the most successful features of the Pericles programme, contributing to closer cooperation and networking, would scarcely take place in the absence of the Pericles programme.
Pericles has been contributing to a high level of cooperation among Member States and with third countries, resulting in low levels of euro counterfeiting and regular discoveries of illegal print shops and mints with consequent arrests of counterfeiters. The Pericles 2020 programme will make a substantial contribution to maintaining and further improving the high level of protection of the euro associated with the intensification of cross-border cooperation, exchanges and assistance. At the same time, overall savings will be achieved from the collectively organised activities and procurement, as compared to potential individual national initiatives. Priorities and implementation strategies are regularly discussed at meetings of the Euro Counterfeiting Experts Group (ECEG). The ECEG coordinates and is associated with the implementation of Pericles activities.
In addition, the objectives have been renewed with special attention to setting Specific, Measurable, Attainable, Relevant and Time-bound (SMART) criteria. This will also help to ensure proper implementation and monitoring.
The legal basis for the proposal is Article 133 TFEU. The application of the Pericles programme will be extended to the Member States that have not adopted the euro as their single currency, through a proposal for a parallel Regulation based on Article 352 TFEU.
The programme will cover the period 2014-2020.
The overall budget is EUR 7 700 000 in current prices. This amount is in line with the Commission proposal for the next Multiannual Financial Framework for the period 2014-2020: ‘A Budget for Europe 2020’[4].
The legislative financial statement attached to this proposal for a Regulation sets out the budgetary implications and the human and administrative resources needed.