EP News, September 30th, 2005 (No. 230)
Public hearings
Edited committee agenda below, with links to full agenda on www.europarl.eu.int, and working documents on the committees' websites:
| AFET - Foreign Affairs | 04-05 October 05 | full agenda | committee homepage |
| Non-Proliferation of Weapons of Mass Destruction: A role for the European Parliament | Girts Valdis Kristovskis (UEN) | Own initiative | Consideration of compromise amendments presented by the rapporteur - Vote and adoption of a draft report |
| Exchange of views with the UK Foreign Secretary, Mr Jack STRAW, President-in-office of Council, on General Affairs and External Relations Council (GAERC) meeting of 3 - 4 October 2005 and on other CFSP matters | - |
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| Sixth annual report on arms exports | Raül Romeva i Rueda (Verts/ALE) | Own initiative | Consideration of compromise amendments presented by the rapporteur - Vote and adoption of a draft report |
| JOINT MEETING OF THE COMMITTEES ON FOREIGN AFFAIRS AND DEFENCE POLICY OF THE PARLIAMENTS OF EU-MEMBER STATES AND THE EUROPEAN PARLIAMENT | - |
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| Common foreign and security policy 2004 | Elmar Brok (EPP-ED) | Own initiative | Exchange of views |
Exchange of views with Mrs FERRERO WALDNER, European Commissioner for External Relations and European Neighbourhood Policy |
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| Exchange of views with Mr SOLANA, EU High Representative for the Common Foreign and Security Policy | |||
| Hearing: The Dayton Agreement - Ten Years After (11 October) | Hearing Programme | ||
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| SEDE - Subcommittee on Security and Defence | 03 October 05 | full agenda | committee homepage |
| In the presence of the Council and the European Commission |
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| 7th European Interparliamentary Conference on Space (Paris - 16-18 June 2005) - Exchange of views with Mr Philippe BUSQUIN |
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Non-Proliferation of Weapons of Mass Destruction: A role for the European Parliament With the participation of:
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Girts Valdis Kristovskis (UEN) | Own initiative | Consideration of a draft report and amendments |
*** Common discussion *** - Sixth annual report on arms exports - with the participation of Mr Ian ANTHONY, Stockholm International Peace Research Institute (SIPRI) - United Nations Conference in New-York on Small Arms and Light Weapons (11-15 July 2005) |
Raül Romeva i Rueda (Verts/ALE) | Own initiative | Consideration of a draft report and amendments |
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| DROI - Subcommittee on Human Rights | 03 October 05 | committee homepage | |
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| BUDG - Budgets | 4-5-6 October 05 | committee homepage | |
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CONT - Budgetary Control |
03-04 October 05 | full agenda | committee homepage |
| Adoption of Coordinators' recommendations and information on the organisation of the hearing of the candidates for the post of OLAF Director - 11 October 2005, from 14:00 to 19:00, Brussels: hearing of the candidates for the post of OLAF Director, possibly followed by an evalution (in camera) of the candidates - if necessary, 13 October 2005, from 14:30 to 16:00, Brussels: continuation of the meeting of 11 October 2005 |
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| Minimising administrative costs imposed by legislation | Jan Mulder (ALDE) | Own initiative | 1st exchange of views (to be confirmed) |
| Presentation of the European Court of Auditors' Special Report 3/2005 on Rural Development: the Verification of Agri-Environment Expenditure, by the Member of the Court responsible for agricultural policies, Mr Bernicot - 14 November 2005, from 19:00 to 21:00, Strasbourg (pending authorisation from the |
Albert Jan Maat (EPP-ED) | - | - |
| Seminar on EU's financial management: fact, fiction and future (4 October) | - | - | |
| DEVE - Development | 4-5-6 October 05 | full agenda | committee homepage |
| Hearing: Women and Micro-Credit Day (11 October) | Hearing Poster | ||
| Hearing: Tourism and Development (6 October) | Hearing Programme | ||
| In the presence of the Council and Commission: | |||
| Human rights - Situation in Colombia - Member responsible: Luisa Morgantini - Speakers: . H.E. Mr Nicolas Echavarria Mesa, Ambassador of Colombia . Mrs Piedad Cordoba, opposition representative . Mr Dick Oosting (Amnesty International) |
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| Aceh - Ad hoc delegation to Indonesia, in particular the tsunami-hit province of Aceh | Presentation by members of the delegation - Exchange of views | ||
| Meeting with Louis Michel, Member of the Commission for development and humanitarian aid | Exchange of views | ||
| Effectiveness of aid and corruption in developing countries | Margrietus van den Berg (PSE) | Own initiative | Exchange of views |
| Additional protocol to the Agreement on Trade, Development and Cooperation between the European Community and the Republic of South Africa | Miguel Angel Martínez Martínez (PSE) | Assent | Exchange of views |
| A development strategy for Africa | Maria Martens (EPP-ED) | Own initiative | Consideration of draft report |
| Elections in Afghanistan - Oral report by members of the European Parliament observation team at the elections |
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| United Nations World Summit (New-York - 14/16 September 2005) - Report by members of the delegation |
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| Elections in Guinea-Bissau (July 2005) - Report by Johan Van Hecke, European Union Chief Observer |
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| Elections in Ethiopia - Review of the situation by Ana Gomes, European Union Chief Observer - Exchange of views |
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| Impact on development issues of economic partnership agreements | Luisa Morgantini (GUE/NGL) | Hearing of experts - Exchange of views | |
| ECON - Economic and Monetary Affairs | 05-06 October 05 | full agenda | committee homepage |
HEARING: Company taxation (5 October) |
Pier Luigi Bersani (PSE) |
Own initiative | |
| Amendment of the common system of VAT, with regard to the length of time during which the minimum standard rate is to be applied |
Zsolt László Becsey (EPP-ED) | Consultation | 1st exchange of views (Possibly) |
| Arrangements for the refund of VAT to taxable persons established in another Member State | Zsolt László Becsey (EPP-ED) | Consultation | 1st exchange of views (Possibly) |
| Better regulation for growth and jobs in the EU | Ieke van den Burg (PSE) | - | 1st exchange of views (Possibly) |
| Update on EU Competition Policy -
Exchange of views with Ms KROES, Commissioner for Competition |
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| The strategic review of the International Monetary Fund | Benoît Hamon (PSE) | Own initiative | Consideration of a working document (Possibly) |
| Markets in financial instruments with regard to certain deadlines | Piia-Noora Kauppi (EPP-ED) | Co-decision first reading | 1st exchange of views (Possibly) |
| Dialogue with the Economic Policy Committee Exchange of views with M GRICE, Chair of EPC. |
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| Statistics on the structure and activity of foreign affiliates | Enrico Letta (ALDE) | Co-decision first reading | Consideration of a draft report |
| EMPL - Employment and Social Affairs | 05 October 05 | full agenda | committee homepage |
| Social security schemes applicable to employed persons and members of their families moving within the Community |
Patrizia Toia (ALDE) | Co-decision first reading | Vote and adoption of a draft report |
| Restructuring and employment | Jean Louis Cottigny (PSE) | - | Consideration of a draft report |
| Exposure to chemical, physical and biological agents at work: establishment of indicative limit values | - | Exchange of views | |
| The social dimension of globalisation | Mihael Brejc (EPP-ED) | Own initiative | Consideration and adoption of a draft report |
| The European Social Model - Presentation by Mr. Vladimír SPIDLA, Member of the European Commission | - | - | - |
| ENVI - Environment, Public Health and Food Safety | 03-04 October 05 | full agenda | committee homepage |
| Announcement of new common position and timetable KORHOLA - Aarhus Convention |
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| Environmental aspects of sustainable development | Anne Ferreira (PSE) | own initiative | Consideration of a draft report |
| Batteries and accumulators and spent batteries and accumulators | Johannes Blokland (IND/DEM) | codecision second reading | Consideration of a draft recommendation |
| Oral Question to the Commission on Lack of Innovation and Priority Medicines | - | - | Adoption of an oral question |
| Shipments of waste | Johannes Blokland (IND/DEM) | codecision second reading | Adoption of a draft recommendation |
| Registration, evaluation, authorisation and restrictions of chemicals - REACH (amendment of Directive 67/548/EC) |
Guido Sacconi (PSE) | codecision first reading | Adoption of a draft report |
| Chemicals: REACH system and European Chemicals Agency, amending Directive 1999/45/EC and regulation on pollutants | Guido Sacconi (PSE) | codecision first reading | Adoption of a draft report |
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| ITRE - Industry, Research and Energy | 04-05 October 05 | full agenda | committee homepage |
| In the presence of the Council and the European Commission Visit of Mr. Janez POTOCNIK, Commissioner for Science and Research - Presentation on "The Specific Programmes". |
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| Visit of Mrs Renate HEINISCH, from ESC - Presentation of the Report on "Age and Research - Demographic changes" |
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| Joint debate: | - | - | - |
| Research, technological development and demonstration activities (seventh framework programme, 2007-2013) | Jerzy Buzek (EPP-ED) | Codecision first reading | Consideration of a working document |
| Nuclear research and training activities (2007-2011) | Jerzy Buzek (EPP-ED) | Consultation | Consideration of a working document |
| The term of office of the Executive Director of the European GNSS Supervisory Authority | Etelka Barsi-Pataky (EPP-ED) | Consultation | Exchange of views |
| Supervision and control of shipments of radioactive waste and spent fuel | Esko Seppänen (GUE/NGL) | Consultation | Adoption of a draft report |
| "Data Retention" - Presentation by the European Commission - Presentation | - | - | - |
| Oral Question on "Accelerating the transition from analogue to digital broadcasting" | Etelka Barsi-Pataky (EPP-ED) | - | Exchange of views |
| Implementation of the European Charter for Small Enterprises | Dominique Vlasto (EPP-ED) | Own initiative | Consideration of a draft report |
| IMCO - Internal Market and Consumer Protection | 04 October 05 | full agenda | committee homepage |
| In the presence of the Council and the European Commission | - | - | - |
| Services in the internal market | Evelyne Gebhardt (PSE) | Codecision first reading | Vote (decision) in committee |
| Machinery (amendment of Directive 95/16/EC) | Andreas Schwab (EPP-ED) | Codecision second reading | Consideration of a draft recommendation |
| Green Paper on defence procurement | Joachim Wuermeling (EPP-ED) | - | Consideration of amendments - Vote (decision) in committee |
| Rules on nominal quantities for pre-packed products | Jacques Toubon (EPP-ED) | Codecision first reading | Exchange of views |
| Oral question regarding SOLVIT | - | - | Adoption |
| Petition from Mme BRZEZINSKA - Concerning Polish nurses | - | - | Exchange of views with Commission [possibly] |
| HEARING: Parliamentary forum on CARS 21 (6 October) | Hearing programme | - | - |
| The effect of globalisation on the internal market - Hearing with experts held in public (6 October) |
Hearing programme | - | - |
| INTA - International Trade | 10-11 October 05 | committee homepage | |
| TRAN - Transport and Tourism | 10-11 October 05 | committee homepage | |
| REGI - Regional Development | 05-06 October 05 | full agenda | committee homepage |
| In the presence of the Council and the European Commission | - | - | - |
| Solidarity Fund | Rolf Berend (EPP-ED) | - | Exchange of views |
| The role of direct State aid as a tool of regional development - Exchange of views avec M. Vicente Alvarez Areces, rapporteur du Comité des régions - Exchange of views on further developments |
Milos Koterec (PSE) | - | - |
| Situation of negotiations on the legislative proposals Exchange of views with Mr Jean-Charles Leygues, Deputy Director-General of European Commission's Regional Policy DG |
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| The role of "Euroregions" in the development of regional policy | Kyriacos Triantaphyllides (GUE/NGL) | own initiative | Adoption of a draft report |
| AGRI - Agriculture and Rural Development | 10 October 05 | committee homepage | |
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| PECH - Fisheries | 03-04 October 05 | full agenda | committee homepage |
| Animal health requirements for aquaculture animals and products thereof | Heinz Kindermann (PSE) | Consultation | Presentation by the Commission |
| Expenditure in the veterinary field | Heinz Kindermann (PSE) | Consultation | Presentation by the Commission |
| Partnership Agreement between the European Community and Solomon Islands on fishing off Solomon Islands | Consultation | Presentation by the Commission | |
| Communication from the Commission to the Council, the European Parliament and the European Economic and Social Committee: launching a debate on a Community approach towards eco-labelling schemes for fisheries products | Carmen Fraga Estévez (EPP-ED) | - | Presentation by the Commission |
| More environmentally-friendly fishing methods | Seán O Neachtain (UEN) | Own initiative | second exchange of views |
| The management of Community eels: development of a Community action plan | Albert Jan Maat (EPP-ED) | Own initiative | Vote (decision) in committee |
| Proposal for a Council Regulation establishing Community financial measures for the implementation of the Common Fisheries Policy and in the area of the Law of the Sea | Catherine Stihler (PSE) | Consultation | Consideration of draft report and deadline for tabling amendments |
| Communication from the Commission to the Council and the European Parliament: review of certain access restrictions in the Common Fisheries Policy (Shetland Box and Plaice Box) | Catherine Stihler (PSE) | Consultation | Presentation by the Commission |
| Sustainable exploitation of Mediterranean fishery resources (amending Regulations 2847/93/EC and 973/2001/EC) | Carmen Fraga Estévez (EPP-ED) | Consultation | Exchange of views with the Commission |
| CULT - Culture and Education | 03-04 October 05 | full agenda | committee homepage |
| In the presence of the Council and Commission: | - | - | - |
| European cooperation in quality assurance in higher education | Ljudmila Novak (EPP-ED) | Codecision first reading | Consideration of compromise amendments - Vote on and adoption of compromise amendments |
| Motion for a resolution on the Olympic Truce - Turin Winter Olympics 2006, tabled by the Committee on Culture, pursuant to Rule 108(5) | - | - | Consideration of amendments; - Adoption of an oral question with motion for a resolution |
| Exchange of views with representatives of the present and future Capitals of Culture Capital of Culture 2005, Cork, Ireland - Mary McCarthy, Director of Programme Development Capital of Culture 2006, Patras, Greece - Christos Roilos, Coordinator of the Patras Executive Committee - Giorgios Panagiotopoulos, Communications Director and Spokesman - Antonia Kokovika, Assistant |
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| European Capitals of Culture (2007-2019) with invited experts: - Olaf Schwencke, Chairman of the German Association of the European Foundation for Culture (Deutsche Vereinigung der Europäischen Kulturstiftung E.V.) - Bert van Meggelen, member of the selection board for the 2009 Capital of Culture and director of Rotterdam 2001 |
Christa Prets (PSE) | Codecision first reading | - |
| Presentation of the study on student mobility in secondary, higher and vocational education by Prof. Dr. Ulrich TEICHLER and Dr. Ute LANZENDORF, Centre for Research on Higher Education and Work, University of Kassel, Germany | - | - | - |
| Exchange of views with Margot Wallström, Commissioner for information strategy | - | - | - |
| Citizens for Europe programme (2007-2013) | Hannu Takkula (ALDE) | Codecision first reading | Exchange of views |
| Exchange of views with Muriel Dunbar, Director; Mr Grootings, European Training Foundation, Italy - Presentation of the ETF's yearbook for 2005 - The role of teachers and trainers in reform of vocational teaching and training | - | - | - |
| JURI - Legal Affairs | 05-06 October 05 | full agenda | committee homepage |
| In the presence of the Council and the European Commission | - | - | - |
| Analysis of the impact of legislation in the EU as part of the better law-making strategy Exchange of views with Julian Priestley, Secretary General |
- | - | Consideration of a draft report |
| The term of office of the Executive Director and the Deputy Executive Director of the European Agency for the Management of Operational Cooperation at the External Borders of the Member States of the European Union | Giuseppe Gargani (EPP-ED) | Consultation | Consideration |
| The term of office of the Executive Director of the European Railway Agency | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Executive Director and the Directors of the European Aviation Safety Agency | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Executive Director of the European Maritime Safety Agency | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Director of the European Agency for Health and Safety at Work | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Executive Director of the European GNSS Supervisory Authority | Giuseppe Gargani (EPP-ED) | Consultation | Consideration |
| The term of office of the Executive Director of the European Medicines Agency | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Director of the European Centre for disease prevention and control | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Director of the European Monitoring Centre on Racism and Xenophobia | Giuseppe Gargani (EPP-ED) | Consultation | Consideration |
| The term of office of the Director of the Translation Centre for bodies of the European Union | Giuseppe Gargani (EPP-ED) | Consultation | Consideration |
| The term of office of the President of the Community Plant Variety Office | Giuseppe Gargani (EPP-ED) | Consultation | Consideration |
| The term of office of the President of the Office for Harmonisation in the Internal Market | Giuseppe Gargani (EPP-ED) | Consultation | Consideration |
| The term of office of the Director of the European Monitoring Centre for Drugs and Drug Addiction | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Director of the European Training Foundation | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Director and Deputy Director of the European Foundation for the improvement of living and working conditions | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Director of the European Centre for the Development of Vocational Training | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The term of office of the Executive Director of the European Environment Agency and the European Environment Information and Observation Network | Giuseppe Gargani (EPP-ED) | Codecision first reading | Consideration |
| The Hague Convention on Choice of Court -Presentation by Diana Wallis (ALDE) |
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| Request for the defence of Mr Giovanni Claudio Fava's parliamentary immunity | Klaus-Heiner Lehne (EPP-ED) | - | - |
| Request to defend the parliamentary immunity of Mr Tomczak | Diana Wallis (ALDE) | - | - |
| Request to defend Mr Gollnisch's parliamentary immunity | Diana Wallis (ALDE) | - | - |
| Request to defend the parliamentary immunity of Mr Peczak | Maria Berger (PSE) | - | - |
| -- | Maria Berger (PSE) | - | - |
| Request to defend the immunity of Mr Zelezny | Maria Berger (PSE) | - | - |
| Request that Mr Zelezny's immunity be waived (second request) | Maria Berger (PSE) | - | - |
| Request that Mr Zelezny's immunity be waived (third request) | Maria Berger (PSE) | - | - |
| EP-Litigation | - | - | - |
| Verification of credentials | - | - | - |
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| In the presence of the Council and the European Commission | - | - | - |
| Amendment concerning the annual accounts of certain types of companies and consolidated accounts | Klaus-Heiner Lehne (EPP-ED) | Codecision first reading | Adoption of a draft report |
| European Small Claims Procedure | Hans-Peter Mayer (EPP-ED) | Codecision first reading | Exchange of views |
| LIBE - Civil Liberties, Justice and Home Affairs | 04-05 October 05 | full agenda | committee homepage |
| FINANCIAL PERSPECTIVES : joint debate of the following 10 proposals In the presence of the respective rapporteurs of the Economic and Social Committee, Section for Employment, Social Affairs & Citizenship (SOC) |
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| Specific programme 'Fight against violence (Daphne) and drugs prevention and information' | Inger Segelström (PSE) | Codecision first reading | 1st exchange of views |
| Specific programme: Fundamental rights and citizenship (2007-2013) | Inger Segelström (PSE) | consultation | 1st exchange of views |
| Specific programme: Criminal justice (2007-2013) | Inger Segelström (PSE) | consultation | 1st exchange of views |
| Specific programme: Civil justice (2007-2013) | Inger Segelström (PSE) | Codecision first reading | 1st exchange of views |
| Specific programme: Prevention, preparedness and consequence management in the fight against terrorism (2007-2013) | Romano Maria La Russa (UEN) | consultation | 1st exchange of views |
| Specific programme to prevent and combat organised crime (2007-2013) | Romano Maria La Russa (UEN) | consultation | 1st exchange of views |
| Establishment of a European Refugee Fund (2008-2013) | Barbara Kudrycka (EPP-ED) | Codecision first reading | 1st exchange of views |
| Creation of the Fund for the External Borders (2007-2013) | Barbara Kudrycka (EPP-ED) | Codecision first reading | 1st exchange of views |
| Creation of the European Fund for the Integration of Nationals from Third Countries (2007-2013) | Barbara Kudrycka (EPP-ED) | consultation | 1st exchange of views |
| Creation of a European return fund (2008-2013) | Barbara Kudrycka (EPP-ED) | Codecision first reading | 1st exchange of views |
| European Year of Equal Opportunities for All (2007) - towards a just society | Martine Roure (PSE) | Codecision first reading | Consideration of a draft report |
| European Union Agency for Fundamental Rights | Kinga Gál (EPP-ED) | consultation | 1st exchange of views |
| Compliance with the Charter of Fundamental Rights in Commission legislative proposals: Methodology for systematic and rigorous monitoring |
Johannes Voggenhuber (Verts/ALE) | own initiative | 1st exchange of views |
| Joint review of passenger data accord implementation U.S. - EU | - | - | Presentation by the European Commission |
| An EU approach to managing economic migration | Ewa Klamt (EPP-ED) | own initiative | Adoption of a draft report |
| European enforcement order and the transfer of sentenced persons | Ioannis Varvitsiotis (EPP-ED) | consultation | 1st exchange of views |
| Visas for the 2006 Winter and/or Paralympic Games in Turin | - | Codecision first reading | Exchange of views |
| Invitation of the new Executive Director of the Frontex Agency, Mr. Ilkka LAITINEN | - | - | - |
Joint debate Agreement extending to Denmark the criteria for determining the state responsible for examining applications for asylum and establishment of the Eurodac system |
Martine Roure (PSE) | consultation | Consideration of a draft report |
| Protocol to the Agreement between the EC and Iceland and Norway establishing the State responsible for examining a request for asylum |
Martine Roure (PSE) | consultation | Consideration of a draft report |
| Agreement between the EC and Denmark on the service of judicial and extrajudicial documents in civil or commercial matters | Martine Roure (PSE) | consultation | 1st exchange of views |
| Access to the institutions' texts | Michael Cashman (PSE) | own initiative | Consideration of a draft report |
| European Monitoring Centre for Drugs and Drug Addiction - Presentation of the new directeur, Mr. Wolfgang GÖTZ | - | - | - |
| Joint debate on data protection and data retention |
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| Proposal for a Directive of the European Parliament and of the Council on the retention of data processed in connection with the provision of public electronic communication services and amending Directive 2002/58/EC | Alexander Nuno Alvaro (ALDE) | Codecision first reading | Commission presentation on the new draft framework decision on data protection |
| AFCO - Constitutional Affairs | 03-04 October 05 | full agenda | committee homepage |
| The period of reflection: the structure, subjects and context for an assessment of the debate on the European Union | Co-rapporteurs: Johannes Voggenhuber (Verts/ALE) Andrew Duff (ALDE) |
own initiative | Consideration of a draft report |
| Exchange of views with Mrs Wallström, Vice President of the European Commission, responsible for Constitutional Affairs | |||
| FEMM - Women's Rights and Gender Equality | 04-05 October 05 | full agenda in French | committee homepage |
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| PETI - Petitions | 10-11 October 05 | committee homepage | |
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[ MEPs vote on new EU rules for company audits and capital requirements in the banking sector ]
[ EU compensation for rail passengers ]
summary | debate | links | top | next story
The European Parliament today adopted new EU directives on company audits and on capital requirements for banks and credit institutions.
In backing what is known as the 8th Company Directive, MEPs overruled the Commission proposal that all publicly listed companies must have a separate audit committee to supervise financial reporting procedures. Amendments adopted give Member States the possibility to determine the way in which firms are to supervise their internal auditing.
Also controversial was the obligation for public interest companies to change auditors every five years and audit firms every seven, the so-called rotation. The approved amendment requires rotation, every seven years, only for key audit partners/statutory auditors, and not for the audit firms.
MEPs also adopted their 1st reading of the Capital Adequacy Directive, which aims to create a more flexible approach to capital requirements for banks and credit institutions. The new rules provide the EU's response to the Basel II agreement and should ensure a more efficient use of capital, better suited to today's complex financial markets.
Under one of the amendments adopted by Parliament today, banks will have to explain their rating decision to SMEs (small businesses) and other corporate applicants for loans - if a voluntary agreement does not achieve this, then national rules will have to be established.
Both directives have now received their 1st reading. Informal negotiations between the European Parliament and the Council of Ministers mean that the amendments adopted this week are likely to be accepted. Member States have two years to implement the Company Directive in domestic law; the first stage of the Capital Adequacy Directive implementation should be from 1 January 2007. Agreement has also been reached on the "comitology" system which, for a maximum of 2 further years, gives the European Commission authority to decide on the detailed implementation of EU law.
summary | debate | links | top | next story
On audits
Commissioner McCreevy: We must have proper auditors in the EU. This benefits everyone: the companies themselves, investors and savers, both large and small. Economic confidence will grow…
Arlene McCarthy MEP (Labour, North West): when we first discussed the issue of corporate governance it was in the context of Enron and the WorldCom scandals. Experts from the EU accounting industry said that ’it could never happen in Europe’, but then we had Parmalat, which had an audit committee - as did Enron - made up of eminent independent professors. The problem was that they did not show any independence of mind in challenging culpable business partners and the executive board.
Prescriptive audit committees were never the answer under this proposal, which is more about changing audit culture and practice… It was sensible to remove the prescriptive obligation for mandatory audit committees and replace it with a proposal to assign those functions to a body that meets audit standards and objectives and can implement the requirements in a transparent way. I also welcome compromises around the issue of audit partner rotation and the issue of non-audit work.
Commissioner McCreevy : At the outset I probably should have declared that in my past life I was an auditor and I still pay an annual subscription to the Irish Institute of Chartered Accountants… The question was also raised about audit committees. Audit committees are often necessary to help auditors keep their backs straight against possible pressure from management. The European Parliament and the Council support the view that as much leeway as possible should be left to the Member States of the EU to invent their own system for audit committees of listed companies as long as they perform all the functions listed in our Directive. We have been flexible here to accommodate these concerns as far as possible.
On capital requirements
Commissioner McCreevy: A state-of-the-art accepted supervisory framework for both credit institutions and investment firms is important for the financial stability of the European market and in creating a level playing field, not just within the European Union, but across the global financial community compared to those countries also following the Basel II process… By adopting this proposal, the EU will be the first international organization to implement the new Basel II framework. This will be a major step towards better banking supervision and will foster greater effectiveness of the European financial markets.
John Whittaker MEP (UKIP, North West): Mr President, capital requirements are regarded as useful in preventing bank failure because they make shareholders bear more of the cost of failure. The international Basel II proposals, which this directive implements, are designed to achieve a better match between capital and risk than the simple 8% capital asset ratio of Basel I. However, no amount of bank capital, short of 100% of risk assets, can safeguard against failure. The minimum amounts of capital specified in any regulatory scheme are arbitrary.
The rapporteur recommends that, owing to doubt, this directive should be reviewed in the future. The banking industry does not need that. Banks spend their time dealing with risk and uncertainty. Adding further uncertainty over future regulation will not help them to plan or look after our interests as customers and shareholders.
John Purvis MEP ( Conserva