Oireachtas Joint Committee on Jobs, Enterprise and Innovation

Opening Statement by Mr John Murphy, Secretary General, Department of Jobs,

Enterprise and Innovation to the Joint Committee on (i) the Six Monthly Report

(Period July 2012 to December 2012) to the Oireachtas under Section 2(5) of the

European Union (Scrutiny) Act 2002 and (ii) EU Presidency outcomes

Thank you Chairman and Committee Members for this opportunity to discuss the

Department’s Six Monthly Report to the Oireachtas on EU Developments and also our EU

Presidency outcomes and achievements.

I am joined here today by my colleagues Mr Philip Kelly, Assistant Secretary Corporate

Services, EU Affairs and Trade Policy and Mr Tommy Murray, Principal Officer, EU Affairs

and Internal Market, Mr Gerry Monks, Principal Officer, Trade Unit, Mr Pat Kelly Assistant

Principal Officer, Office of Science and Technology and Mr Paul Cullen, Principal Officer,

Labour Affairs Unit.

Introductory remarks

Firstly, I wish to, for the record, acknowledge and comment on the Department’s significant

contribution to the recent successful EU Presidency. There were many notable achievements

under the remit of the Department of Jobs, Enterprise and Innovation in the jobs, enterprise,

trade, competitiveness and innovation area. Chiefly amongst these, for example, was the

consensus by EU Trade Ministers on the mandate to enable the Commission to begin talks on

an EU-US Transatlantic Trade and Investment Partnership, the agreement on the new

€70 Billion research and development Programme, Horizon 2020, the agreement on the

Accounting Directive, the signing of the agreement on a Unified Patent Court by 25

participating Member States as well as the agreement on the Commissions new State Aid

modernisation proposals.

I will come back to these and the other important Presidency outcomes in more detail but

suffice to say that overall the Irish Presidency has delivered significant long-term policy

objectives and concluded agreements on numerous decisions which will be vital for Europe’s

future. We should be proud of the reputational benefits flowing from what has been an

efficient, effective and value-added Presidency for Ireland and Europe. For reference

purposes, I have attached a comprehensive note (as an Appendix) for the Committee on the

Department’s outcomes and achievements.

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Six Monthly Report July 2012 to December 2012 Cypriot Presidency

I propose to focus first on the key legislative and policy developments that occurred in the

various EU Council formations during the six month period, July to December 2012.

The Report covers three Councils that fall within the remit of the Department, the

Competitiveness Council, the Employment Social Policy, Health and Consumer Affairs

Council (also known as EPSCO) and the Trade Council.

In relation to matters under the EPSCO Council, while the Department of Jobs, Enterprise

and Innovation is the lead coordinator, it should be noted that the Departments of Social

Protection and Education and Science take the lead responsibility for matters in their

respective social, youth and skills policy areas covered under this Council.

Furthermore, it is important to note that the Competitiveness Council has a broad cross

cutting remit which covers the Internal Market, Industry, Research and Space. Whilst the

Department takes the lead on this Council, given the wide sectoral issues involved, a

significant number of files fall under the remit of other Departments. During the period of

this Report the Council met on three occasions (twice formally) under the Cypriot

Presidency. A number of the dossiers discussed at the Councils during the period under

review are ongoing while many were finalised during our term of the EU Presidency.

I will now address the specific areas that were covered in our Six Monthly report through

each of the Council formations commencing with the Competitiveness Council:

Competitiveness Council (Internal Market and Industry Ministers)

Single Market Act I and Single Market Act II

The October Council examined the state of play of the twelve measures contained in Single

Market Act I and held a debate on the way forward. Ministers also welcomed the second

wave of the new twelve priority proposals presented by the Commission under Single Market

Act II and Council Conclusions were adopted.

Resolution System for Consumer Disputes

On the issue of consumer protection, the Cypriot Presidency successfully concluded

discussions with the European Parliament on the proposals relating to alternative dispute

resolution (ADR) and online dispute resolution (ODR).

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European Industrial Policy

The Cypriot Presidency provided for an exchange of views on European industrial policy and

its contribution to growth and economic recovery at the October Council. Measures in

support of the construction sector and the cultural and creative sectors were also considered.

In addition, Council Conclusions were adopted on key enabling technologies (KETS).

Unitary Patent System

Following significant progress under the Cypriot Presidency, broad agreement on the Patents

Package was secured at the December Council.

Public Procurement

The December Council held a debate on the three proposals contained in the package on the

modernisation of public procurement policy. Agreement on a general approach was reached

on all three proposals.

Professional Qualifications

In relation to Professional Qualifications, note was taken at the December Council of a report

drawn up by the Presidency on the progress made regarding a draft Directive aimed at

making the system of recognition of professional qualifications more efficient.

Accounting Rules for Companies

Also at the December Council delegations noted the progress made on the review and

simplification of the accounting rules applicable to EU companies.

State Aid

An exchange of views at the December Council on the future of state aid policy from the

point of view of industry resulted in delegations agreeing on the need to modernise state aid

policy by setting objectives that support growth, employment and EU competitiveness.

Customs Policy

A resolution approving the launch of an EU customs action plan to combat the intellectual

property rights infringements for the period 2013-2017 was adopted at the December

Council. A public debate on the Commission proposal for a modernised Union Customs Code

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took place at the December Council with a view to facilitating a first-reading agreement with

the European Parliament.

Competitiveness Council (Research and Development Ministers and Space issues)

In October, the Council agreed on the main elements of the rules of participation in projects

funded under "Horizon 2020", the next research and innovation framework programme for

the years 2014-2020. It also agreed on the arrangements for incorporating the European

Institute of Innovation and Technology (EIT) within the Horizon 2020 programme. The

Council held a policy debate on the next steps towards the completion and implementation of

the European Research Area (ERA). At the December Council Vice President Tajani

presented the EU-European Space Agency (ESA) Communication to the Council and also

informed Ministers that the Space Industry package would be adopted in January 2013.

EPSCO COUNCIL

Europe 2020 Strategy and European Semester

The Council held an exchange of views on economic governance in the field of employment

and social policy within the framework of the implementation of the Europe 2020 strategy.

Legislative Items under Cypriot Presidency

In October 2012, EPSCO Ministers agreed a general approach on the Electromagnetic

Magnetic Fields file. An orientation discussion on the Enforcement of the Posting of

Workers Directive took place at the December Council. The Proposals on the quotas for

women on boards was presented to the Council. The Council was also briefed on difficulties

that had arisen in negotiations with the European Parliament on negotiations for a Programme

for Social Change and Innovation.

TRADE COUNCIL

There was one Trade Council held during the Cypriot Presidency on the 29th November. The

main trade achievement was the agreement of Ministers on an EU-Japan Free Trade

Agreement Negotiating Mandate.

In addition, the Cypriot Presidency oversaw the conclusion of EU Free Trade Agreement

(FTA) negotiations with Singapore and progress on FTA negotiations with Canada, Vietnam,

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India, and the Southern and Eastern neighbourhood countries. A decision was made to enter

into negotiations to conclude a Comprehensive and Deep Free Trade Area with Morocco,

within the context of the Euro-Mediterranean partnership.

Ireland’s Presidency of the EU January 2013 to June 2013Turning to the Irish Presidency, the Department played a central role in driving the EU policy

agenda embodied in the overarching policy theme of “promoting sustainable economic

growth and jobs and building Europe’s competitive advantage”. As Presidency, Ireland

focussed on measures to promote growth and employment in accordance with the “Compact

for growth and jobs” as agreed by Heads of State and Government in June 2012. The

Presidency placed a strong emphasis on advancing proposals that can boost the EU’s

competitive edge globally and add greatest value to jobs, growth, competitiveness and

investment.

Within the various Council formations chaired by Ministers and officials of the Department

we also succeeded in attaining agreements on all of the significant funding Programmes

under the EU’s budget, the multi-annual financial framework (MFF) 2014-2020.

Trade (Trade Council)

As I indicated earlier, I supplied the Committee with a note of some of the Department’s

achievements and I will therefore touch lightly on some of the key highlights. Under

Ireland’s Presidency of the EU, we attached great importance to promoting the EU’s external

trade agenda for the benefit of Irish companies and for the wider EU economy and its

exporters. Trade is essential to job creation: 30 million jobs or 10% of the EU workforce

depend on exports. In June, we reached agreement among EU Trade Ministers on the

mandate in order for the Commission to start talks on an EU-US Transatlantic Trade and

Investment Partnership (TTIP). Reaching agreement among EU Trade Ministers on the

terms of the EU’s negotiating mandate was a top priority for the Irish Presidency and I am

happy to say that the trade negotiations commenced last week in Washington.

According to assessments made by the EU Commission and other European bodies, a

comprehensive Trade and Investment Partnership between the U.S and the EU could over

time boost EU GDP by 0.5% per annum and help create approximately 400,000 jobs in the

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EU. Based on those assessments, if Ireland simply benefitted in proportion to the size of our

economy, a comprehensive trade and investment partnership could over time provide gains to

Ireland in the order of €800 million per annum in increased GDP, and 4000 new jobs.

Horizon 2020 (Research Council)

On the agreement on the new €70 Billion research and development Programme, Horizon

2020, Ireland argued strongly, and successfully, in favour of a greater emphasis on the SME

sector. In addition to new specific supports, such as access to finance and debt and equity

facilities, for SMEs, it has now been agreed that the target for SME participation in relevant

areas of Horizon 2020 should be increased from 15% to 20%. This is a significant change

given the proposed scale of Horizon 2020. The programme will use a simplified funding

model which means that a greater number of businesses and research providers – small

medium and large - can access the programme with less bureaucracy.

In line with the Action Plan for Jobs we will pursue funding and other opportunities under

EU Horizon 2020 for specific sectoral activities of national importance and in line with our

national research priorities.

COSME (Competitiveness Council)

Furthermore, agreement was also achieved on the €2 Billion dedicated Programme for

Competitiveness and SMEs (COSME Programme) which will provide targeted financial

support for SMEs. In particular, the proposed equity facility for growth-phase investment will

support the development of the EU wide Venture Capital market, as well as the Loan Facility

which will provide direct or other risk sharing arrangements with financial intermediaries to

cover loans for SMEs.

Smart Regulation (Competitiveness Council)

We worked with the other Member States and the European Commission to agree an

approach to Smarter Regulation for the medium term, whereby all European regulation will

be assessed so as to remove unnecessary costs for business and all end-users. Council

Conclusions on Smart Regulation, in response to two Communications from the Commission

were approved by the Competitiveness Council on 29th May, setting out the next steps for the

simplification of EU regulation. The Conclusions focus largely on the manner in which

outputs will be delivered by the Commission from their various, overlapping programmes.

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Youth Guarantee (EPSCO)

In light of the adoption by the EPSCO Council of Ministers of a Recommendation on an EU-

wide Youth Guarantee, this Department is continuing to support the Department of Social

Protection in improving its services to unemployed young people with a particular focus on

optimising the benefits of the Youth Guarantee for Ireland.

The agreement reached by EPSCO Ministers in Brussels in February recommends that each

Member State should move quickly to implement Youth Guarantees in their respective

countries, taking into account existing national, regional and local policies and objectives.  At

EU level, we as Presidency had pushed strongly for early production of implementation plans

in all Member States. 

Arising from this agreement, the European Council has approved a Youth Employment

Initiative (YEI) amounting to €6 billion for the period 2014-2020 to support measures aimed

at addressing youth unemployment and in particular to support the Youth Guarantee for

regions with particularly high levels of youth unemployment. The June 2013 European

Council has decided that Member States seeking to benefit from the YEI should adopt a plan

to tackle youth unemployment, including through the implementation of the "Youth

Guarantee", before the end of 2013. Most funding of measures required to implement a

Youth Guarantee will nonetheless have to come from the national budget.

European Semester

The European Semester process was greatly improved this year under the stewardship of our

Presidency. The Presidency obtained agreement in Council on Council Conclusions on the

Commission’s Annual Growth Survey 2013 and adoption of the 2013 Joint Employment

Report and the adoption of a Decision approving the guidelines for the employment policies

of Member States for 2013.The majority of Member States supported the Country Specific

Recommendations (CSR) addressed to them on employment and social policy issues.

State Aid Modernisation (Competitiveness Council)

Proposals on State Aid Modernisation (SAM) were also agreed. These new State Aid

Regulations will take account of post-crisis structural reforms and industrial restructuring

which Member States are undergoing and the need for better alignment of State Aid with

Europe 2020 objectives.

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Single Market (Competitiveness Council)

Turning to the Single Market, a number of important files which were vital to completing and

integrating the EU Single Market were also agreed or significantly advanced, including those

on recognition of Professional Qualifications, Public Procurement, and the Accounting

Directive. With the agreement on these files, some long-standing barriers to completing and

integrating the internal market have now been removed and ultimately will make it easier to

move and work across all Member States and will lower transaction costs for SMEs. In terms

of the Accounting directive, it will provide for transparency on revenue streams which

Governments in resource-rich countries around the world are receiving from European

companies active in these industries and in the logging of primary forests. The Directive is

also important in that it updates the EUs accounting legislation, improves transparency and

red-tape reduction.

Unitary Patent Court Agreement (Competitiveness Council)

The signing of an International Agreement on a Unified Patent Court by 25 participating

Member States during the Competitiveness Council on 19th February last provides the

impetus for creating a genuine internal market for those seeking to protect and enforce their

patent rights at European level. It has been estimated that users of the Unified Patent Court

could save somewhere between €148 and €289 million per year, compared to the present

costs of €1.5 million in some Member States of such litigation.

Concluding remarks

Chairman, given the diverse range of dossiers covered by each of the Councils it is only

possible to provide a summary overview on the MAIN legislative and policy developments

covered by the Six Monthly Report. The Note on the Presidency which I have also submitted

to the Committee provides a more comprehensive debrief on Presidency outcomes and

achievements. During our Presidency we worked hard to progress these key dossiers with a

view to advancing and contributing to a pro-growth and pro-employment agenda across

Europe.

This concludes my comments and I will be pleased to respond to whatever questions or

observations that Members may have.

ENDS

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APPENDIX

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Attendance by Mr. John Murphy , Secretary General, Department of Jobs, Enterprise and Innvation

16th July 2013

Table of Contents

OVERVIEW 1

STARTEGIC PRESIDENCY ACHIEVEMENTS/OUTCOMES2

TRADE COUNCIL

EU/US Transatlantic Trade and Investment Partnership (TTIP) …………………………………………………………2 Omnibus I & II Dossiers………………………………………………………………………………………………………………………3

Other Free Trade/Market Access Agreements……………………………………………………………………………………3

EPSCO (Employment, Social Policy, Health and Consumer Affairs) Council

Youth Guarantee Scheme………………………………………………………………………………………………………………….4

Directive to Protect Workers in Contact with Electromagnetic Fields (EMF’s)……………………………………4

Agreement with the European Parliament on the Programme for Social Change and Innovation (PCSI) [Now titled EaSI] Employment and Social Innovation………………………………………………………………5

Proposal for a Directive of the European Parliament and of the Council on the enforcement of Directive 96/71/EC concerning the POSTING OF WORKERS in the Framework of the Provision of Services……………………………………………………………………………………………………………………………………………..5

Europe 2020 Strategy and European Semester………………………………………………………………………………….6

Chemicals Regulation ………………………………………………………………………………………………………………………..6

European Globalisation Adjustment Fund (EGF)………………………………………………………………………………..6

International Labour Organisation Coordination – Geneva……………………………………………………………….7

COMPETITIVENESS COUNCIL (Research, Development & Space Issues)

Horizon 2020 (€70.2 Billion Package)……………………………………………………………………………………………7/8

Council Conclusions Establishing Appropriate Relations Between the EU and the European Space Agency (ESA)……………………………………………………………………………………………………………………………………9

Council Conclusions on Industrial Policy for Space…………………………………………………………………………..9

COMPETITIVENESS COUNCIL (Internal Market, Industry, Consumer, Company Law and Intellectual Property)

COSME Programme (€2.03 Billion Package for SME’s Supports)..……………………………………………………9

State Aid Regulations……………………………………………………………………………………………………………………….10

Regional Aid Guidelines (RAG) – Adopted by the College of Commissioners……………………………………10

Entrepreneurship 2020 Action Plan………………………………………………………………………………………………….11

Council Conclusions on “Smart Regulation”……………………………………………………………………………………..11

Accounting Directive………………………………………………………………………………………………………………………..12

Audit Directive/Regulation………………………………………………………………………………………………………………12

EU Commission Action Plan for European Company Law and Corporate Governance…………………….13

IPR and the Collective Rights Directive ……………………………………………………………………………………………14

Unified Patent Court………………………………………………………………………………………………………………………..14

Regulations on Consumer Product Safety and Market Surveillance………………………………………………..15

New Legislative Framework (NLF) Alignment Package Agreement………………………………………………….15

Consumer Programme 2014-2020…………………………………………………………………………………………………..15

Integration of the Single Market ……………………………………………………………………………………………………..16

EU Industrial Policy………………………………………………………………………………………………………………………….16

Discussion at the Informal Competitiveness Council, Dublin Castle on May 3rd 2013 on completing EMU…………………………………………………………………………………………………………………………………………………16

Other Cross-Cutting/Inter Departmental Outcomes…………………………………………………………………………17

Agreement with the European Parliament on the Directive on Professional Qualifications (Single Market Act 1 File)…………………………………………………………………………………………………………………………….17

Provisional Agreement with the European Parliament on the Public Procurement Packages (Single Market Act 1 File)…………………………………………………………………………………………………………………………….17

Agreement on the Modernised Union Customs Code………………………………………………………………………18

Joint Committee on Jobs, Enterprise and Innovation

Attendance by Mr. John Murphy, Secretary General, Department of Jobs, Enterprise and Innovation

Tuesday, 16th July, 2013 at 1.30 p.m.

Background Briefing Note on EU Presidency Outcomes

Overview

1. The Department of Jobs, Enterprise and Innovation played a central role during the EU Presidency in driving the EU policy agenda embodied in the overarching policy theme of “promoting sustainable economic growth and jobs and building Europe’s competitive advantage”. As Presidency, Ireland focussed on measures to promote growth and employment in accordance with the “Compact for growth and jobs” as agreed by Heads of State and Government in June 2012. The Presidency placed a strong emphasis on advancing proposals that can boost the EU’s competitive edge globally and add greatest value to jobs, growth, competitiveness and investment.

2. Over 60 individual items in this Department’s policy and legislative areas were advanced during our Presidency. Our intensive interaction with the EU Institutions has been positive and was augmented by the added pressure to make progress given forthcoming European Parliament elections and the appointment of a new Commission in 2014. As a result, only a very few items were stalled.

3. The handling of negotiations with the European Parliament and within the various Working Groups and Committees and other Groups is a testament to the commitment and resilience to personnel working in all of the Department’s Divisions. The back-filling by staff not directly involved in Presidency business was equally commendable with all playing their part in the collective effort. Moreover, the leadership and personal commitment displayed by our Ministers was recognised. As the public face of the Presidency it fell to them to add the political clout in order to make the deals and compromises on which the Presidency will be ultimately judged. Ministers also attended 5 Committee meetings of the European Parliament (INTA, IMCO, JURI, ITRE and Employment Committees) to outline the Presidency’s Programme in January and to date one wrap up session (INTA) has also been held.

4. Logistically and operationally it was a major undertaking by the Department, involving over 300 meetings in Brussels and almost 900 meetings in Geneva and elsewhere including coordination over three weeks in June 2013 at the International Labour Conference in Geneva and attendance and chairing at WTO and WIPO meetings.

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5. The Department organised and held 5 formal Councils and 3 informal Councils in Brussels, Luxembourg and Dublin during our Presidency, as well as a number of pre-Presidency events in 2012. In addition, the Department and its Agencies held 27 separate events, a mixture of large Conferences (eg. EuroNanoForum 2013: 1,200 delegates in the National Convention Centre) and high level working party meetings and informal experts meetings in Dublin, Brussels and Geneva. The servicing of DJEI working groups and committee chairpersons and delegates involved over 40 individuals between Dublin, Brussels and Geneva.

6. The Department also played a central role in processing the European Semester and contributions to the Country Specific Recommendations in Council formations Competitiveness and EPSCO through those Councils advisory and preparatory Committees and Groups, in particular the Employment Committee and the High Level Group on Competitiveness. Council conclusions were also achieved on the Annual Growth Survey 2013 and the 2013 Joint Employment Report was adopted.

7. Through prudent management of the Presidency Budget, greater centralisation of services and strict adherence to Department of Public Expenditure and Reform guidelines, there will be substantial savings achieved by the Department against the Presidency allocation received.

8. Overall coordination of the Presidency was handled efficiently and effectively, in particular with regard to the Formal Councils, the organisation and operation of the Informal Councils in Dublin Castle and Ministers appearances before EP Committees and general interaction and coordination with the Council Secretariat and Commission and press functions

STRATEGIC PRESIDENCY ACHIEVEMENTS/OUTCOMES

A number of important strategic objectives were attained by the Department including the following illustrative examples:

TRADE COUNCIL

EU/US Transatlantic Trade and Investment Partnership (TTIP)

The primary goal of the Presidency in Trade was to advance the recommendations of the EU-US High Level Working Group on Jobs and Growth established in November 2011 and work towards agreement for a new generation Trade and Investment Agreement between the EU and the US. In March, both sides started internal procedures that would lead to the actual launch of negotiations at the earliest opportunity. The draft negotiating mandate from the European Commission was approved by the College of Commissioners and transmitted to the Council on 12

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March 2013. Member States outlined their preliminary views on the draft mandate at an Informal meeting of the Trade Policy Committee of the European Council (TPC) in Dublin on 15 March 2013. The negotiating Directives were also discussed at the highly successful Informal meeting of Trade Ministers meeting at Dublin Castle on 17-18 April 2013.

Ireland was the first country, since the Lisbon Treaty, to hold an Informal meeting of Trade Ministers during its Presidency. Considerable preparatory work by Irish Presidency and intensive discussions at the EU Trade Council on 14 June led to agreement on a mandate to formally launch negotiations on a Transatlantic Trade and Investment Partnership (TTIP) with the US. Securing this agreement provided a positive basis for the recent G8 Summit and the Taoiseach’s attendance at same.

The negotiating mandate is broad based and positions the Commission to enter talks with strong support from Council to negotiate a best possible deal for Europe. Audiovisual services are presently not in the mandate, but the mandate clearly indicates that the Commission has the possibility to come back to the Council with additional negotiating Directives on the basis of discussions with their US counterparts. The European Parliament’s resolution on trade and investment negotiations with US is also strongly supportive. The first round of negotiations commenced in Washington in the week beginning 8 July.

A comprehensive deal on areas such as common regulatory standards and investment rules holds massive potential for economic growth and jobs which could over time boost EU GDP by 0.5% per annum and help create approximately 400,000 jobs in the EU.

Omnibus I & II dossiers

The Presidency broke the log-jam in Council in respect of the Omnibus I & II dossiers. Early second reading agreement was reached with the European Parliament on the files which involve regulatory changes to EU decision-making procedures for trade policy. Agreement on the main political issues on both Omnibus I and II was reached at Trilogues on 5th June 2013. Essentially these are technical proposals aimed at aligning decision making procedures [i.e. “comitology”] to those introduced by the Lisbon Treaty.

Other Free Trade /Market Access Agreements

The Presidency commenced or advanced negotiations on other EU Free Trade Agreements such as the EU-Japan trade agreement and the EU-Canada Comprehensive Economic Trade Agreement and held a debate on trade and investment relations with China. The Presidency also secured a compromise on the Market Access Regulation in March 2013 which was endorsed by the Council and the

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European Parliament in May. The Market access Regulation governs trade conditions for certain developing countries that have negotiated Economic Partnership Agreements (EPAs) with the EU. EPAs are instruments for promoting regional integration and economic development in the African Caribbean and Pacific (ACP) countries. The Market Access Regulation will come into force on 1 October 2014.

EPSCO (Employment, Social Policy, Health and Consumer Affairs) COUNCIL

It should be noted that the lead responsibility for the EPSCO Council (and for the preparation of the Employment Chapter of Ireland's National reform Programme) lies with D/Jobs Enterprise and Innovation. The Minister for Jobs Enterprise and Innovation chaired the main European Semester debates and other key legislative deliberations of the EPSCO Council during the Irish Presidency. Where, however, EPSCO agenda items primarily concerned social protection and the role of public employment services, education/training or equality issues, the Minister for Social Protection or the Minister for State at the Department of Education and Skills or the Minister for State at the Department of Justice and Equality chaired the relevant proceedings.

Youth Guarantee Scheme

Minister Joan Burton has lead responsibility. Political Agreement was achieved at the February 2013 EPSCO Council on the Youth Guarantee. The aim is to ensure that young people who are not working or studying receive an offer of employment, continued education, an apprenticeship or traineeship within four months.

Implementation will of course need to have regard to the very different circumstances in different Member States. Implementation will need to be more gradual in countries with higher levels of youth unemployment and particularly severe budgetary problems. An important development in this regard is the €6 billion Youth Employment Initiative endorsed by the European Council as part of its agreement on a new MFF 2014-2020.

The new Youth Employment Initiative will be open to all regions where youth unemployment exceeds 25%. Therefore, the South and East Region (28%) and the BMW Region (33%) of Ireland are both eligible.

Directive to protect workers in contact with Electromagnetic Fields (EMFs)

Ministers at the June 2013 EPSCO adopted a Directive “on the minimum health and safety requirements regarding the exposure of workers to the risks arising from physical agents (electromagnetic fields)” as part of the overall framework workplace

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health & safety laws. The Presidency had secured agreement with the European Parliament on the detail of the Directive at the end of March 2013. This Directive is aimed at protecting workers from potential risks associated with exposure to electromagnetic fields in the workplace and its adoption was a high priority for the Irish Presidency in the area of labour law. The potential effects of electromagnetic fields on human health vary widely depending on the frequency and intensity of the fields.

Agreement with the European Parliament on the Programme for Social Change and Innovation (PSCI) [now titled EaSI] Employment and Social Innovation

Agreement was secured on this Programme with the European Parliament on 26 June 2013. PSCI, which in future will be known as the Employment and Social Innovation Programme, will be effective from 1 January 2014 until 31 December 2020 (7 years). It integrates and extends 3 existing programmes:

• Progress (Programme for Employment and Social Solidarity),

• EURES (European Employment Services) and

• the European Progress Microfinance Facility.

With an indicative budget of €815 million from 2014-2020, the Programme focuses on key social concerns of Governments to tackle high levels of unemployment, poverty, social exclusion and ageing populations. Programme activities under the EURES Network will support workers’ mobility, help companies recruit from abroad and develop targeted mobility schemes for workers moving from one Member State to another.

Proposal for a Directive of the European Parliament and of the Council on the enforcement of Directive 96/71/EC concerning the POSTING OF WORKERS in the framework of the provision of services

This proposal is one of the 12 Single Market Act I (SMA I) priorities and Ireland strongly supports any policy developments that develop and enhance the functioning of the Single Market. The Irish Presidency set an ambitious target of achieving agreement on a General Approach. Despite considerable effort, this did not prove possible, not least because of a range of domestic political sensitivities in larger member States. We can, nevertheless, point to progress made on particular

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aspects of the proposal, notably in the area of cross-border enforcement of fines and penalties.

Europe 2020 Strategy and European Semester

The Presidency engaged actively with Cyprus throughout the second half of 2012 in preparing the ground for the third European Semester. Ministers engaged in a review last year of lessons learned from the 2012 Semester process which, like the 2011 Semester, had been an arduous and intensive exercise. The European Semester process was greatly improved this year under the stewardship of our Presidency.

The Presidency obtained agreement in Council on Council Conclusions on the Commission’s Annual Growth Survey 2013 and adoption of the 2013 Joint Employment Report and the adoption of a Decision approving the guidelines for the employment policies of Member States for 2013.

The Council confirmed the general understanding that preparations laid in advance by the Irish Presidency for the 3rd semester helped to ensure greater co-ordination between the main preparatory committees and a re-balancing of the relationship between the EPSCO and ECOFIN Councils. The majority of Member States supported the Country Specific Recommendations (CSRs) addressed to them on employment and social policy issues. Ministers welcomed improved complementarities between the economic, labour market and social protection pillars of economic governance. Improvements in the focus and content of CSRs were considered to reflect increased engagement by the European Commission with Member States through the extended series of bilateral undertaken through the course of the third semester exercise.

Chemicals regulation

The EPSCO Council also held Council discussions on recent Chemicals Regulations publications relating to the REACH Review (Registration, Evaluation, Authorisation and Restriction of Chemicals), Second Regulatory Review on nano-materials and the Commission’s Roadmap for Substances of Very high Concern under REACH.

European Globalisation Adjustment Fund (EGF)

Primarily under the responsibility of the Department of Education and Science, and linked to the agreement on the MFF (EU Budget 2014-2020), the EPSCO Council, under the Chairmanship of Minster Bruton, agreed a general approach on the European Globalisation Adjustment Fund (EGF). The EGF provides co-financing support for approved programmes of guidance, training, education and enterprise

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supports for workers made redundant as a result of the adverse impacts of globalisation. This agreement now enables Council to enter into negotiations immediately with the European Parliament. If agreed with Parliament, the EGF is expected to fund approved labour market activation measures up to a maximum €1.05 billion in the period 2014 – 2020.

International Labour Organisation Coordination - Geneva

The Presidency carried out the following functions as part of this Department’s involvement with the International Labour Organisation in Geneva:

Coordination over three weeks in June at the International Labour Conference (ILC)

Council Agreement on Decision authorising Member States to ratify ILO (Chemicals) Convention 170

Council Agreement on Decision authorising Member States to ratify, in the interests of the European Union, Convention 189 concerning decent work for domestic workers, 2011, of the International Labour Organisation

The Presidency has successfully led negotiations for the EU in a number of areas, including at the ILO International Labour Conference, dealing with:

Employment and Social Protection in the New Demographic Context, Sustainable Development, Decent Work and Green Jobs Social Dialogue

and

at the European Regional meeting of 51 European and Central Asian ILO member States leading to the agreement of the Oslo Declaration: “Restoring Confidence in Jobs and Growth"

COMPETITIVENESS COUNCIL (Research, Development and Space issues)

HORIZON 2020 (€70.2 Billion Package)

The main priorities of the Irish Presidency in the area of research and innovation

were:

Achieving agreement on the HORIZON 2020 Programme, and

progressing the completion of European Research Area (ERA)

Obtaining agreement on this Programme was a central plank of the Irish Presidency’s designated theme of jobs and growth. Horizon 2020 is a key European instrument for jobs and growth and both the Council and Parliament had been working towards a first reading agreement by the end of June, 2013 to ensure there would be sufficient

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time to enable Horizon 2020 to commence on 1 January 2014. The European Council’s conclusions of 27/28 June welcomed the agreement reached on Horizon 2020 and called for its rapid implementation. The compromise agreed covers the entire Horizon 2020 package, including the Regulation of the Framework Programme, the Regulation on the Rules for participation and the Decision on the Specific Programme, as well as the two European institute of technology (EIT files: the Amending Regulation and the Strategic Innovation Agenda.

A key element for which Ireland strongly supported, is that it has now been agreed that the target for SME participation in relevant areas of Horizon 2020 should be increased from 15% to 20%. This is a significant change given the proposed scale of Horizon 2020. The package also contains new specific supports, such as access to finance and debt and equity facilities, for SMEs. The programme will use a simplified funding model which means that a greater number of businesses and research providers – small medium and large - can access the programme with less bureaucracy. This in turn means greater diversity in research, greater opportunities for business and greater benefits for the economy at large. In line with the Action Plan for Jobs we will pursue funding and other opportunities under EU Horizon 2020 for specific sectoral activities of national importance and in line with our national research priorities. In that regard, It was hugely important that the Irish Presidency secured continuity in funding for research and innovation, following on Framework Programme 7, under which Ireland is set to secure €600 million

The Presidency also focused on progressing the European Council’s objective of completing the European Research Area (ERA). Europe needs a unified research area to attract talent and investment. Remaining gaps must therefore be addressed rapidly to create a genuine single market for knowledge, research and innovation. Our aim was to focus attention on and secure substantial progress towards meeting the target set by the European Council to complete the European Research area by 2014. We paid particular attention to a number of the ERA priorities, namely:

coordinated public investment in research and innovation across Europe through Joint Programming

An open labour market for researchers Enhancing international cooperation

Council Conclusions establishing appropriate relations between the EU and the European Space Agency (ESA)

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The Commission’s Communication dated 14 November 2012 on establishing appropriate relations between the EU and the European Space Agency (ESA) set out a number of options which could be considered:-

Improved cooperation with ESA under the “status quo”, Bringing ESA under the authority of the EU or Transforming ESA into an Agency of the EU.

Council Conclusions on the Communication were adopted on 18 February 2013 by the Council and reflected the views of Member States and called on the Commission to work closely with ESA to carry out a comprehensive cost benefit analysis and impact assessment of a set of options, including those proposed in its Communication. The Commission has since commenced an in-depth study of these options and the first results are expected to be presented to Member States towards the end of 2013.

The Conclusions also directed the Commission to pursue a set of actions which will assist in developing coherence and complementarity between both bodies taking into consideration the Commission Communication and the corresponding actions agreed by the ESA Ministerial Council in Naples last November.

Council Conclusions on industrial Policy for Space

The Presidency also secured Council Conclusions on an EU Space Industrial Policy.Both of these Council Conclusions represent important steps in defining the future landscape of the European Space effort. They recognise the strategic importance of space for Europe, its growing role in modern society, the importance of the space industry and of the European Space Agency, and the contribution which these partners make to economic growth and competitiveness.

Progress was also made on the proposal for a Space Surveillance and Tracking (SST) support programme which will ensure the security of satellite data for all sectors and users of such services. Initial discussions also took place on a proposed Regulation on Copernicus – the European Union’s Flagship satellite-based earth monitoring programme. The work of the Irish Presidency in this area will contribute to the development of a strong and competitive European and Irish space industry.

COMPETITIVENESS COUNCIL (Internal Market, Industry, Consumer, Company Law and Intellectual Property)

COSME Programme (€2.03 Billion package for SMEs supports)The Presidency secured agreement with the European Parliament to improve access to finance for SMEs under the Programme for the Competitiveness of Enterprises and SMEs (COSME) 2014 – 2020. The new Programme for the Competitiveness of Enterprises and Small and Medium-sized Enterprises (COSME) will run from 2014 to 2020, with a budget of over €2 Billion. The general aim of this programme is to

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strengthen the competitiveness and sustainability of EU enterprises, and to encourage an entrepreneurial culture, promoting the creation and growth of SMEs.

We know that there are over 20 million SMEs in Europe, accounting for more than 98% of all enterprises. If we can just help each of the 23 million EU SMEs generate one additional job we will greatly help address the unemployment issue across Europe. That is why the COSME programme to strengthen the competitiveness and sustainability of the EU’s SMEs is so important. SMEs are the engines of growth and job creation in Europe, and achieving the agreement on COSME sends a strong positive signal to all European SMEs.

State Aid Regulations

Proposals on the State Aid Modernisation (SAM) have been a prominent issue on our Presidency agenda. The Presidency convened nine meetings of the Competition Working Party to discuss the Procedural Regulation and the Enabling Regulation. The primary issue of contention for Member States relates to the Procedural Regulation and specifically the Commission proposal for Market Information Tools (MIT); in essence the Commission has added the competence of requesting information directly from enterprises in relation to relevant market data.

Following a public debate the Presidency secured a General Approach on both Regulations at the Competitiveness Council on 29 May 2013.

The operation of a level playing pitch in the context of aid to industry is of major interest to Ireland. The State Aid Modernisation (SAM) initiative is timely in that State Aid policy now needs to look beyond the financial crisis and be more than ever supportive of the goal of achieving a strong, dynamic, integrated and contestable single market. We welcome the principle of a more proportionate and differentiated approach to application / enforcement of the state aid regime and we look forward to a reduction in regulatory burden for SMEs. This principle should also apply to the requirements placed on national administrations in responding to complaints.

Regional Aid Guidelines (RAG) – Adopted by the College of Commissioners

The Regional Aid Guidelines for the period 2014 to 2020 are currently being revised as part of the State Aid Modernisation (SAM) reform package. The revised proposal agreed by the College contains a compromise from Commissioner Almunia in relation to Regional Aid and specifically aid to large enterprises in 'c' regions.

The adopted RAG will allow regional investment aid for large companies in 'c' regions when the aid brings new activity to the region (aid for ‘new activities’ or the diversification of existing establishments into ‘new products’ or ‘new process innovations’).

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The final iteration of the Regional Aid Guidelines (2014-2020) was adopted at the College of Commissioners on 19 June 2013. The guidelines adopt a stricter approach on aid for investments made by large enterprises in the more developed assisted areas. The guidelines will enter into force on 01 July 2014.

Entrepreneurship 2020 Action Plan

The Presidency also scheduled a debate by Industry Ministers at the Council on 19 February 2013 on the Commission’s Entrepreneurship 2020 Action Plan, setting out a renewed vision to unleash Europe's entrepreneurial potential, overcome bottlenecks and remove existing obstacles. The Action Plan is based on three pillars:

o Developing entrepreneurial education and training

o Creating the right business environment

o Promoting role models and reaching out to specific groups

The Entrepreneurship 2020 Action Plan will be now progressed through the SME Envoy network (Irish SME Envoy is Minister John Perry TD) where the implementation and future reporting mechanisms will be discussed.

Entrepreneurship was also a central theme of the Informal Competitiveness Council held on 3 May 2013 in Dublin Castle. The Informal Competitiveness Council focussed on 'SMEs as a driver of European Growth' and addressed core issues for SMEs across Europe such as access to finance, regional entrepreneurship and global opportunities. This Informal Council was held back-to-back with the Commission’s SME Finance Forum organised by DG Enterprise and Industry and hosted by Vice-President Commissioner Tajani.

Council Conclusions on “Smart Regulation”The Presidency drafted Council Conclusions on Smart Regulation in response to two Communications from the Commission ("EU Regulatory Fitness" 12.12.12 and ("Smart Regulation - Responding to the needs of SMEs" 07.03.13). The draft Conclusions were broadly considered balanced from the outset. Due to preparatory groundwork in the working group, a consensus was reached on 29 May 2013 and the Competitiveness Council agreed the Conclusions with no discussion.

The Conclusions focus largely on the manner in which outputs will be delivered by the Commission from their various, overlapping programmes, with reports on "initial concrete proposals" for simplification now due in June and October this year. This dossier is now concluded. In parallel, the Mertens Group (COREPER advisory

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Committee) drafted a report on Impact Assessment at Council which was agreed by Coreper and subsequently by the Competitiveness Council on 29 May, as an A item. An action that arises from this is the piloting of proposed Impact Assessment Guidelines for WP Chairs on a small number of upcoming legislative dossiers. The Trio partners are currently in discussion about how this will be progressed. We expect that the Lithuanians will take this up during their Presidency.

Accounting Directive

Ireland secured a First Reading Agreement in April 2013 on the difficult Accounting Directive and having been adopted at Council on 20/21 June, the Directive now passes into EU law. At the point where Ireland took over this dossier, there was no agreement either on the accounting issues or the “Country by Country Reporting” Chapter directed at extractives industries which was subject to intensive lobbying and global interest

The extractives provision referred to above will provide for transparency on revenue streams which Governments in resource-rich countries around the world are receiving from European companies active in these industries and in the logging of primary forests. Their populations will, as a consequence, be informed of these income streams which constitutes an accountability mechanism vis-à-vis the Governments in question.

The Directive is also important in that it updates the EUs accounting legislation, improves transparency and comparability of accounts and provides for simplifications and administrative burden reductions, in particular for small and medium sized companies. The Directive is one of the outstanding parts remaining of the Single Market Act I legislation, the finalisation of which was prioritised by the Irish Presidency.

Audit Directive/Regulation

This sizeable audit dossier, comprising a draft Directive and Regulation, was progressed significantly under Ireland’s Presidency. This was assisted by being submitted to the Competitiveness Council meeting on 29 May 2013 on the basis of a Progress Report and an Orientation Debate on the three headline issues - mandatory auditor rotation, restriction on the provision of audit-related services and co-operation of national oversight bodies.

The political guidance received from Ministers on these three issues assisted greatly with informing the debate at the working group and enabling the Presidency to bring these central issues to a stage very close to agreement. That and the significant

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headway made by our Presidency on other aspects of the dossier has made it possible to pass along a well-advanced file to Lithuania which is already moving towards a process of early Council “General Approach” agreement with a view to Trilogue engagement with the European Parliament in early Autumn.

Officials of the Department made a submission/presentation to the Joint Oireachtas Committee on Jobs, Enterprise and Innovation, at the invitation of the latter, on these Audit Proposals on 16 October of last year. It was invited to return on 18 December, to deal with residual issues, along with the Irish Auditing and Accounting Supervisory Authority (IAASA). Following this, the Joint Committee wrote to the President of the European Parliament, the European Commission and the Minister for Jobs, Enterprise and Innovation with a report of its scrutiny of the EU Audit Proposals and a political contribution in the matter.

EU Commission Action Plan for European Company Law and Corporate Governance

Re-thinking EU company law has been identified by the Joint Committee as one of the topics of particular interest to it. Shortly before the Irish Presidency, on 12 December 2012, the Commission published its Action Plan for European company law and corporate governance (COM (2012) 740), which set out 16 different actions, ranging from information campaigns and public consultations through to proposals for legislation. The actions are designed to make progress in three particular areas, namely –

Increasing the level of transparency between companies and their shareholders in order to improve corporate governance (e.g. measures on reporting, board diversity, and shareholder identification)

Encouraging and facilitating long term shareholder engagement (e.g. measures on the role of shareholders in remuneration and oversight of related party transactions)

Company law (e.g. proposals to facilitate cross border transfers of registered offices, to clarify rules on cross border divisions and to enhance cross border opportunities for SMEs)

It was decided that Ireland, as a facet of its Presidency would facilitate discussion on key aspects of the Plan. To that end, the Presidency, in conjunction with Arthur Cox, PWC and the Irish Stock Exchange, organised the European Corporate Governance and Company Law Conference on the 16th and 17th of May last .

So far, one of the proposals for legislation under the Action Plan has emerged and that is the proposal for a Directive amending the Accounting Directives as regards disclosure of non-financial and diversity information by certain large companies and groups (COM (2013) 207). This was adopted by the Commission on 16 April 2013,

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but, due to pressure to make progress on the accounting and audit reviews, it did not prove possible for the Irish Presidency to open Council negotiations on this file.

Apart from this proposal, the Commission has made headway on several of the non-legislative actions in the Plan, such as on-line consultations on single member companies and transfer of registered office.

IPR and the Collective Rights Management Directive

The Department was extremely active in the field of copyright over the course of the Presidency and achieved the following:

Progressing the Collective Rights Management Directive, a complex and lengthy Directive that is an important step in the modernisation of copyright legislation to ensure that it is fit for purpose in the digital age, to the stage where a mandate to enter into the first informal trilogue with the European Parliament was obtained on 4th July 2013;

Ensuring that focus remained on the broader copyright modernisation agenda by raising the profile of issues such as the “licences for Europe” stakeholder dialogue and the recommendations of the “Vittorino Report” on copyright levies; and

Successfully concluding the “Marrakesh Treaty” to Facilitate Access to Published Works for Persons who are Blind, Visually Impaired, or otherwise Print Disabled”, a treaty which has the potential to improve the lives of millions of visually impaired persons across the globe by facilitating their access to suitably formatted books.

Unified Patent Court

The signing of the Agreement on a Unified Patent Court was one of the key achievements of Ireland’s EU Presidency. It goes to the heart of the role of the European Union; ensuring there is a genuine single market for those seeking to protect and enforce their Patent rights at European level. Ireland’s Presidency not only oversaw the formal signing of the Unified Patent Court agreement, but, just as importantly, put in place the structures for implementing the Agreement, with a view to the court becoming fully functional in 2015.

Ensuring final agreement on the legislative instruments was a milestone along a continuing journey. Participating Member States are now tacking the considerable outstanding issues to be faced during the implementation phase. Officials in the Department of Jobs Enterprise and Innovation are playing a full part in these implementing committees.

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In Ireland, we will have the additional task of a Constitutional referendum, to be held in 2014, before we can ratify this agreement. This arises as a result of this new court requiring a transfer of judicial jurisdiction currently resident in Irish courts.

Regulations on Consumer Product Safety and Market Surveillance

Both of these proposals formed integral parts of the Commission’s Single Market Act II package. The Presidency aim was to progress the proposals sufficiently to allow for agreement by spring 2014. The Commission adopted the proposals on 13 February 2013 and they were presented to the Competitiveness Council on 19 February 2013, with the first introductory Council Working Group on 26 February 2013. The Presidency succeeded in achieving a first read-through of both dossiers which will allow the incoming Lithuanian Presidency to advance them with the European Parliament to achieve agreement by spring 2014.

New Legislative Framework (NLF) Alignment Package Agreement

The Presidency also secured a first reading agreement with the European Parliament on on a Pyrotechnic Articles Directive which formed part of a package of nine measures of technical harmonisation Directives that make up the New Legislative Framework (NLF) Alignment Package. Agreement): work on the other eight proposals progressed to a point where full agreement is now only subject to one outstanding comitology issue being resolved.

This exercise saw proposals for nine technical measures to be harmonised and aligned with the New Legislative Framework (NLF) on product safety and market surveillance. The relevant products ranged from protective equipment to pyrotechnics to lifts and safety components for lifts. This agreement will go a long way towards simplifying procedures for all economic operators involved with those products and ultimately lead to greater safety for consumers and end-users.

Consumer Programme 2014-2020

The Consumer Programme became entwined with the overall negotiations on the Multi-annual Financial Framework. While the Irish Presidency succeeded in securing agreement on the MFF in late June, agreement with the European Parliament on the consumer programme was not possible in the last few days of the Presidency. It will now fall to the Lithuanian Presidency due to time constraints.

Integration of the Single Market

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The Presidency actively monitored the progress on all Single Market files and regularly reported to Coreper and Council. With this kind of active dossier management system, the Presidency was in a position to respond swiftly and efficiently to emerging problems which had to be addressed at political level.

With the agreement on the Internal Market files as referred to above, some long-standing barriers to completing and integrating the internal market have now been removed and ultimately will make it easier to move and work across all Member States and will lower transaction costs for SMEs.

During the Presidency, the Department played a central role in processing the European Semester and contributions to the Country Specific Recommendations in Council formations Competitiveness and EPSCO and through those Councils advisory and preparatory Committees and Groups, in particular the Employment Committee and the High Level Group on Competitiveness. In addition, for the first time, the Presidency included for discussion at Council, a Report on the integration of the Single Market. The discussion also enhanced the Competitiveness Council’s role in monitoring and providing political guidance on such measures.

EU Industrial PolicyA productive discussion was tabled by the Presidency on industrial policy within the EU, with a particular focus on increasing manufacturing activity and jobs in the context of the Commission’s proposed target of increasing manufacturing’s share of total EU GDP from 16% currently to 20% in 2020. The importance of Key Enabling Technologies (KETS) and Industry’s commitment to their development was emphasised in terms of their capacity to boost the Union’s innovation capacities. Minister Bruton subsequently furnished a Report to Council President Van Rompuy summarising the exchange of views at the Competitiveness Council formal lunchtime discussions on this topic. The Department also held a number of conferences during the Presidency aimed at supporting this objective. This work included the hosting of the EuroNano Forum on 18-20 June 2013 at the National convention Centre (up to 1,200 participants) with the assistance of our Agencies, in particular Science Foundation Ireland, which included a KETs Workshop.

Discussion at the Informal Competitiveness Council, Dublin Castle on 3 May 2013 on completing EMUAn extensive exchange of views took place at a restricted session during our Informal Competitiveness Council meeting on 3rd May 2013 at which Commission Vice-President Tajani also took part in these deliberations. This discussion was also informed by the range of options and implications which were set out in the two Communications from the Commission which were published in March 2013 regarding ex ante economic co-ordination and competitiveness and covergence

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instruments. Our discussion on the day mainly concerned the proposed mutually agreed contracts for competitiveness and growth but also addressed the related issue of solidarity mechanisms and instruments. Minister Bruton furnished Council President Van Rompuy with a letter summarising the views of the Member States on these proposals.

Other cross-cutting/inter-Departmental outcomes

It is important to note that the Competitiveness Council has a broad cross cutting remit which covers the Internal Market, Industry, Research and Space. Whilst the Department takes the lead on this Council, given the wide sectoral issues involved, a significant number of files fall under the remit of other Departments, including the Department of Public Expenditure and Reform, the Department of Education and Science and the Department of Finance. In that regards a number of important Internal Market files were agreed during the Presidency as follows:

Agreement with the European Parliament on the Directive on Professional Qualifications (Single Market Act I file)

The amended Directive improves the current system of qualifications recognition to facilitate greater labour mobility for skilled workers seeking employment in other Member States. The agreement also reduces the time and resources spent on bureaucracy for both workers and their prospective or new employers. This will be achieved in particular through the provision for a European Professional Card for suitable professions, the proposals for Common Training Frameworks and Tests which have the potential to extend ‘automatic recognition’ of qualifications to a wider range of professionals, and through the requirement for Member States to ensure that professionals can complete online all necessary steps when applying for recognition of their qualifications.

Provisional Agreement with the European Parliament on the Public Procurement Package (Single Market Act I file)

Provisional agreement was achieved on the Public Procurement Package (Classical Directive, Utilities Directive and Concessions Directive). These Directives will make it easier for businesses and SMEs to tender for procurement contracts. Administrative burdens will be reduced, procurement procedures simplified, and costs related to tendering lowered by making procurement systems more transparent. The use of e-procurement will also simplify the processes and foster greater cross-border competition. It will strengthen the generation of jobs and growth, given that public authorities across the European Union spend approximately €2 trillion per annum (some 19% of EU GDP) on the procurement of goods, services and works. This is the

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first time that a Directive on Concessions has been developed as until now regulation at European level has been only partially developed. The compromises, achieved as part of this overall package, will be examined in detail ahead of final approval at the Committee of Permanent Representatives, and the European Parliament.

Agreement on the modernised Union Customs Code

The Commission proposal for this important piece of legislation was submitted to the Council in February 2012 and, building on the excellent work done under the Cyprus Presidency, securing agreement with the European Parliament on this file was a priority for the Irish Presidency. The UCC modernises the EU’s customs regulations and further facilitates and supports intra-EU trade. It will advance the objective of maximising the efficient and effective functioning of the Customs Union and the EU’s Single Market. The Presidency reached agreement with the European Parliament on the new Code in May 2013. The draft Regulation will now go to the European Parliament and European Council for full adoption and will enter into force on the 1st

November 2013.

ENDS

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