Category: Environment

  • MIL-OSI United Kingdom: Milestone reached – £65 million invested in nature projects

    Source: Scottish Government

    Nature Restoration Fund extended following success.

    The Scottish Government has invested over £65 million in projects across Scotland through its groundbreaking Nature Restoration Fund. 

    Established in 2021, it has funded hundreds of projects helping Scotland’s species, woodlands, rivers and seas back on the road to recovery.

    This years’ Programme for Government has committed to extend the Nature Restoration Fund (NRF) in 2026-27 to enable funding of a further round of multi-year projects. The extension will help ensure the priorities set out in the Biodiversity Strategy are met.

    Among the already successful projects is Highland Amphibians Reptile Project (HARP) which has boosted the survival rate of the Highland Great Crested Newt from 2% to 13%. This breeding success enabled the translocation of the UK’s rarest newts, which is thought to be a first in Europe.

    Additionally, work is being carried out by Scottish Entanglement Alliance (SEA), to reduce the entanglement of whales and basking sharks in fishing equipment, preventing their death or unnecessary suffering. Solutions currently being trialled could see the entanglement of some species reduced by 80% while preserving low impact creel fishing which supports coastal communities and livelihoods.

    Announcing the achievement at the NRF-funded Brerachan Water Restoration Project near Pitlochry, Climate Action Minister Dr Alasdair Allan said:

    “With more than 250 projects benefitting from the Nature Restoration Fund so far and our commitment to extend again this year, there can be no denying how serious we are about protecting and restoring our planet for future generations.

    “This funding goes a long way in helping to tackle the twin nature-climate crises, working to restore Scotland’s biodiversity at the same time as increasing our resilience to climate change, all while improving the health and wellbeing of local communities.

    “It’s fantastic to see how the work that has been completed here at Brerachan not only enhances habitats by planting native riparian trees but also introduces meander bends to improve the river’s connectivity to its floodplain. The benefits of projects like this will have a profound immediate effect on the local community but will continue to be felt for years to come.”

    Richard Lockett, Director of Lockett Agri-Environmental who managed the Brerachan Water Restoration Project said:

    “The Nature Restoration Fund was the key to the success of the Brerachan Water Restoration Project. The NRF funding enabled work to re-connect the Brerachan Water to its floodplain, restoring 25 hectares of outstanding, wildlife rich floodplain habitat.

    “The design involved the creation of a chute channel which takes water from the river onto the floodplain. In addition, sections of the existing open drainage network were infilled to help hold water across the site.  A number of ponds and backwater features were also created to further enhance and diversify habitats and maximise benefits to wildlife. 

    “This work has been highly successful. It has restored a drained and degraded flood plain into a rich and varied wetland habitat which will also help store flood water and reduce downstream flood risk.”

    NatureScot Chair Professor Colin Galbraith said:

    “The Nature Restoration Fund has come at a critical time and made a real difference, supporting hundreds of projects to take positive action for nature. As a result of this funding, people have been restoring saltmarshes and wetlands, enhancing rivers, creating woodlands and removing invasive non-native species to help our plants and wildlife flourish.

    “The range of projects that have been completed is impressive. They have helped to protect sharks and whales, allowed the return of water voles to parts of our rivers, created new areas of Scotland’s rainforest, and established pollinator networks across our towns and cities.

    “Over the past four years much has been achieved, but with nature in crisis across Scotland there is still a great deal more to be done. We need to continue to invest in Scotland’s nature to halt and reverse its decline, to build resilience to future climate shocks and to give people the opportunity to enjoy the many benefits that nature brings us. Let’s make Scotland richer in nature by 2030.”

    Background

    In July 2021, the Scottish Government launched the Nature Restoration Fund, which provides additional funding for multi-year, multi-partner large scale nature restoration projects to deliver significant improvements in biodiversity.

    £19.55 million was invested in 2025-26.

    The Nature Restoration Fund makes grants available through two main strands:

    The open competitive strand, administered by NatureScot; and

    The Edinburgh Process strand, which provides direct allocations from the Scottish Government to Local Authorities and National Parks.

    The Fund’s priority themes are:

    1. Habitat and species restoration: Management for enhancement and connectivity
    2. Freshwater restoration, including restoration of natural flows in rural catchments
    3. Coastal and marine initiatives which promote restoration, recovery, enhancement or resilience
    4. Control of invasive non-native species (INNS) impacting on nature
    5. Urban: Enhancing and connecting nature across, and between, towns and cities.

    Climate change makes all factors more significant in impact. All project proposals must demonstrate how the project will help to address climate change and/or its impacts.

    Programme for Government 2025 to 2026 – gov.scot

    Scottish Government Nature Restoration Fund (NRF) | NatureScot

    MIL OSI United Kingdom

  • MIL-OSI United Kingdom: Urgent call to amend crab pot regulations

    Source: City of Plymouth

    The Leader of Plymouth City Council has issued an urgent appeal to the Devon and Severn Inshore Fisheries and Conservation Authority (IFCA) to address a critical issue threatening the livelihoods of the fishing community in Plymouth.

    Local fishermen in Devon are grappling with stringent regulations that mandate escape holes in crab pots. These escape holes are allowing octopus to enter, devour the crabs, and leave, resulting in empty pots and no catch for the day. This unique regulation to Devon is placing local fishermen at a significant disadvantage compared to their Cornish counterparts.

    The Leader of Plymouth City Council is advocating for an immediate, temporary amendment to remove the escape hole requirement in crab pots. This change would enable fishermen to catch and sell octopus, offering much-needed relief during these challenging times.

    Councillor Tudor Evans, who has written to IFCA, said: “Our local fishermen are facing an incredibly tough time. The current regulations are not just impractical; they are devastating. These escape holes are allowing octopus to feast on the crabs, leaving our hardworking fishermen with nothing to show for their efforts.

    “We urgently need IFCA to amend this directive and temporarily remove the escape hole requirement. This will allow our fishermen to catch and sell octopus, providing them with a crucial source of income. Once the octopus population stabilises, we can reinstate the escape hole requirement. But for now, this change is essential to support the livelihoods of our local fishing community and ensure they can continue to sustain their families.”

    MIL OSI United Kingdom

  • MIL-OSI USA: News Release – DOH Cites Petroleum Company for Hazardous Waste Violations

    Source: US State of Hawaii

    News Release – DOH Cites Petroleum Company for Hazardous Waste Violations

    Posted on May 12, 2025 in Latest Department News, Newsroom

    STATE OF HAWAIʻI

    KA MOKU ʻĀINA O HAWAIʻI

     

    DEPARTMENT OF HEALTH

    KA ʻOIHANA OLAKINO

    JOSH GREEN, M.D.
    GOVERNOR

    KE KIA‘ĀINA

    KENNETH S. FINK, M.D., MGA, MPH
    DIRECTOR

    KA LUNA HO‘OKELE

    DOH CITES PETROLEUM COMPANY FOR HAZARDOUS WASTE VIOLATIONS

    FOR IMMEDIATE RELEASE

    May 12, 2025                                                                                                            25-050

    HONOLULU — The Hawai‘i Department of Health (DOH) has issued a Notice of Violation and Order (NOVO) against Par Hawaii Refining (Par) for violating the state’s hazardous waste management laws. Par has been cited for the following:

    • Illegal disposal of hazardous waste at a facility not permitted to dispose of hazardous waste,
    • Failure to make a hazardous waste determination, and
    • Failure to use a uniform hazardous waste manifest for transportation of hazardous waste.

    The Utah Department of Environmental Quality (UDEQ) provided information to DOH from the receiving landfill located in Utah. The information indicates that Par shipped six drums of waste to the non-hazardous waste landfill as “Non-Department of Transportation (DOT)-Regulated (Neutralized Acid Solid)” and “Non-DOT Regulated (Acid Solid Residue).” However, analytical test results later revealed that the waste was hazardous waste due to the toxicity of its chromium content.

    The NOVO alleges that Par failed to make a proper hazardous waste determination because it shipped the waste before receiving analytical results that showed it was a hazardous waste. The regulations require hazardous waste to be shipped using a uniform hazardous waste manifest to facilities permitted to properly treat, store, or dispose of hazardous waste. The NOVO alleges that Par failed to ship the waste using the correct manifest and failed to properly dispose of the waste at a permitted hazardous waste facility.

    Par has been assessed a fine of $169,500 for the three violations. In addition to paying the penalty, Par has been ordered to undertake corrective actions, including but not limited to training its employees, to correct the violations. Par has 20 days to respond to the order.

    To protect Hawai‘i from pollutants that endanger people and the environment, the DOH regulates the generation, transportation, treatment, storage and disposal of hazardous waste. The DOH Solid & Hazardous Waste Branch promotes pollution prevention and waste minimization, develops partnerships with waste generators and the regulated community, guides the rehabilitation of contaminated lands and aggressively enforces environmental laws.

    # # #

    Media Contact:

    Kristen Wong

    Information Specialist

    Hawaiʻi State Department of Health

    Mobile: 808-953-9616

    MIL OSI USA News

  • MIL-OSI United Nations: Environmental Health (Springer)

    Source: UNISDR Disaster Risk Reduction

    Mission

    Environmental Health publishes manuscripts on important aspects of environmental and occupational medicine and related studies in toxicology and epidemiology that elucidate the human health implications of exposures to environmental hazards. Environmental Health articles are published with open access, and the journal operates a single-blind peer-review system.

    The journal is aimed at scientists and practitioners in all areas of environmental science in which human health and well-being are involved, either directly or indirectly, and with a view to improving the prevention of environmentally-related risks to human health. Environmental Health is a public health journal serving the public health community and scientists working on matters of public health interest and importance pertaining to the environment.

    MIL OSI United Nations News

  • MIL-OSI: JD.com Announces First Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    BEIJING, May 13, 2025 (GLOBE NEWSWIRE) — JD.com, Inc. (NASDAQ: JD and HKEX: 9618 (HKD counter) and 89618 (RMB counter), the “Company” or “JD.com”), a leading supply chain-based technology and service provider, today announced its unaudited financial results for the three months ended March 31, 2025.

    First Quarter 2025 Highlights

    • Net revenues were RMB301.1 billion (US$141.5 billion) for the first quarter of 2025, an increase of 15.8% from the first quarter of 2024.
    • Income from operations was RMB10.5 billion (US$1.5 billion) for the first quarter of 2025, compared to RMB7.7 billion for the first quarter of 2024. Operating margin was 3.5% for the first quarter of 2025, compared to 3.0% for the first quarter of 2024. Non-GAAP2income from operations was RMB11.7 billion (US$1.6 billion) for the first quarter of 2025, compared to RMB8.9 billion for the first quarter of 2024. Non-GAAP operating margin was 3.9% for the first quarter of 2025, compared to 3.4% for the first quarter of 2024. Operating margin of JD Retail before unallocated items was 4.9% for the first quarter of 2025, compared to 4.1% for the first quarter of 2024.
    • Net income attributable to the Company’s ordinary shareholders was RMB10.9 billion (US$1.5 billion) for the first quarter of 2025, compared to RMB7.1 billion for the first quarter of 2024. Net margin attributable to the Company’s ordinary shareholders was 3.6% for the first quarter of 2025, compared to 2.7% for the first quarter of 2024. Non-GAAP net income attributable to the Company’s ordinary shareholders was RMB12.8 billion (US$1.8 billion) for the first quarter of 2025, compared to RMB8.9 billion for the first quarter of 2024. Non-GAAP net margin attributable to the Company’s ordinary shareholders was 4.2% for the first quarter of 2025, compared to 3.4% for the first quarter of 2024.
    • Diluted net income per ADS was RMB7.19 (US$0.99) for the first quarter of 2025, compared to RMB4.53 for the first quarter of 2024. Non-GAAP diluted net income per ADS was RMB8.41 (US$1.16) for the first quarter of 2025, compared to RMB5.65 for the first quarter of 2024.

    “We saw a strong start to the year, with solid results on both the top and bottom lines in Q1,” said Sandy Xu, Chief Executive Officer of JD.com. “Our performance was supported by improving consumer sentiment and continued enhancements to JD’s supply chain capabilities and user experience. User growth was particularly strong during the quarter, reflecting the increasing trust and mindshare JD has earned from consumers and further strengthening our ecosystem. We are also seeing encouraging signs from new initiatives, and we believe these emerging opportunities will further position us for long-term, high-quality growth.”

    “In the first quarter, both our product and service revenues achieved double-digit growth year-on-year, further accelerating on a sequential basis, while bottom line also continued to expand steadily,” said Ian Su Shan, Chief Financial Officer of JD.com. “In particular, we maintained and further enhanced robust momentum of our core JD Retail business, while exploring exciting new opportunities for our long-term success. We also remained very committed to shareholder returns. We completed our annual dividend payout in April, and further executed upon our share repurchase program during the first quarter.”

    Updates of Share Repurchase Program

    Pursuant to the Company’s share repurchase program of up to US$5.0 billion adopted in August 2024 and effective through August 2027, the Company repurchased a total of approximately 80.7 million Class A ordinary shares (equivalent to 40.4 million ADSs) for a total of approximately US$1.5 billion from January 1, 2025 to the date of this announcement. The remaining amount under the share repurchase program was US$3.5 billion as of the date of this announcement.

    The total number of shares repurchased by the Company from January 1, 2025 to the date of this announcement amounted to approximately 2.8% of its ordinary shares outstanding as of December 31, 20243. All of these ordinary shares were repurchased from both Nasdaq and the Hong Kong Stock Exchange pursuant to the share repurchase program.

    Business Highlights

    • JD Retail:In the first quarter, JD.com deepened its strategic partnerships with leading digital product manufacturers such as Xiaomi. The collaborations focus on product innovation, marketing initiatives, and other key areas, aiming to capture the emerging market opportunities driven by consumption support policies and the rise of AI large language models. Together with its partners, JD.com is committed to providing its users with more intelligent and diverse product offerings, along with enhanced purchasing and service experience.

      In the first quarter, JD.com debuted a range of new products online from renowned fashion brands, such as La Prairie, Crocs, and Massimo Dutti. Leveraging its platform advantages and integrated supply chain capabilities, JD.com is dedicated to offering an enriched selection of fashionable products and superior shopping experience for a wide range of consumers.

      In April, JD.com announced the launch of an export-to-domestic sales program. JD.com aims to procure no less than RMB200 billion worth of export-oriented goods for domestic sales. Through this initiative, JD.com will work with Chinese manufactures to strengthen their presence in the domestic market and provide consumers with more better and cheaper products.

    • New Business:In February 2025, JD.com officially launched its food delivery business. Starting from core retail, JD is expanding into on-demand retail and food delivery, meeting users’ demands in various scenarios. Rooted in the Company’s ecosystem, JD Food Delivery is not a stand-alone business. It operates in a market with big opportunities and demands, such as users’ demand for quality meals, merchants’ need for reasonable commissions, and riders’ desire for better protections. JD has the right strength, culture and advantage to address such opportunities and demands, particularly with its “better and cheaper” user mindshare, the “thirty-five cents” principle that insists on only reasonable profit margins, and its strong logistics operation and management capabilities. JD Food Delivery is set to generate synergetic effects with the Company’s existing businesses, including enriching location-based product supplies, upgrading last mile fulfillment network, and contributing to user growth and engagement. JD Food Delivery has achieved substantial progress in a very brief time, a proof of the great potentials of the food delivery industry and JD’s precise grasp of the industry demands and strong execution capabilities.
    • JD Health:In the first quarter, JD Health further strengthened its position as the first online marketplace for new and specialty medicine launches. It debuted several innovative medicines online during the quarter from pharmaceutical companies including Pfizer, Esteve, Innogen, and others, broadening treatment options for patients. In addition, JD Health also deepened its collaborations with leading healthcare product companies, including By-Health, Yan Palace, and LifeStyles, driving synergies in product innovation, digitalization of supply chain, and precision marketing.

      In the first quarter, JD Health made significant progress in medical AI, continuously promoting the application of AI in healthcare services, specialized diagnosis and treatment, and health management. JD Health Online Hospital has seen over 80% of its medical consultation orders aided with AI services. Its AI nutritionist has also achieved a user satisfaction rate of 91%.

    • JD Logistics:In the first quarter, JD Logistics (“JDL”) continued to expand its global footprint. In January, JDL officially launched an international air cargo route between Shenzhen, China, and Bangkok, Thailand, enabling more efficient cross-border flow of goods. In March, JDL’s second warehouse in Warsaw, Poland commenced operations, offering integrated supply chain and logistics services to support both Chinese enterprises and local European businesses with streamlined and efficient logistics solutions.

      On March 24, 2025, JDL officially launched its operations center in Hong Kong, marking a significant step-up in expanding the coverage of its express delivery network and boosting service efficiency in the region. Since upgrading its services in Hong Kong in October 2023, JDL has been persistently deepening its footprint in the market. It has been providing premium express delivery services to consumers, and at the same time, cultivating a mutually beneficial ecosystem in collaboration with local businesses.

    Environment, Social and Governance

    • Starting from March 1, 2025, JD.com has begun to contribute the social insurances and the housing fund for its full-time food delivery riders, including both portions that are to be contributed by employers and individuals. In addition, JD.com will also provide accident and health insurances for its part-time food delivery riders. JD.com has become the first platform in China to provide such extensive social benefit coverage for full-time food delivery riders.
    • As a testament to JD.com’s unwavering commitment to creating more jobs and making contribution to the society, the total personnel under the JD Ecosystem4 was approximately 700,000 as of March 31, 2025, including the Company’s employees, part-time staff and interns, as well as the personnel of the Company’s affiliates in the JD Ecosystem. The total expenditure for such human resources, together with the expenditure for external personnel who work for the JD Ecosystem, amounted to RMB128.8 billion for the twelve months ended March 31, 2025.

    First Quarter 2025 Financial Results

    Net Revenues. Net revenues increased to RMB301.1 billion (US$41.5 billion) by 15.8% for the first quarter of 2025 from RMB260.0 billion for the first quarter of 2024. Net product revenues increased by 16.2%, while net service revenues increased by 14.0% for the first quarter of 2025, compared to the first quarter of 2024.

    Cost of Revenues. Cost of revenues increased to RMB253.2 billion (US$34.9 billion) by 15.0% for the first quarter of 2025 from RMB220.3 billion for the first quarter of 2024.

    Fulfillment Expenses. Fulfillment expenses, which primarily include procurement, warehousing, delivery, customer service and payment processing expenses, increased to RMB19.7 billion (US$2.7 billion) by 17.4% for the first quarter of 2025 from RMB16.8 billion for the first quarter of 2024. Fulfillment expenses as a percentage of net revenues was 6.6% for the first quarter of 2025, compared to 6.5% for the first quarter of 2024.

    Marketing Expenses. Marketing expenses increased to RMB10.5 billion (US$1.5 billion) by 13.9% for the first quarter of 2025 from RMB9.3 billion for the first quarter of 2024. Marketing expenses as a percentage of net revenues was 3.5% for the first quarter of 2025, compared to 3.6% for the first quarter of 2024.

    Research and Development Expenses. Research and development expenses increased to RMB4.6 billion (US$0.6 billion) by 14.6% for the first quarter of 2025 from RMB4.0 billion for the first quarter of 2024. Research and development expenses as a percentage of net revenues was 1.5% for the first quarter of 2025, compared to 1.6% for the first quarter of 2024.

    General and Administrative Expenses. General and administrative expenses increased to RMB2.4 billion (US$0.3 billion) by 22.2% for the first quarter of 2025 from RMB2.0 billion for the first quarter of 2024. General and administrative expenses as a percentage of net revenues remained stable at 0.8% for the first quarter of 2025 and 2024.

    Income from Operations and Non-GAAP Income from Operations. Income from operations increased to RMB10.5 billion (US$1.5 billion) by 36.8% for the first quarter of 2025 from RMB7.7 billion for the first quarter of 2024. Operating margin was 3.5% for the first quarter of 2025, compared to 3.0% for the first quarter of 2024. Non-GAAP income from operations increased to RMB11.7 billion (US$1.6 billion) by 31.4% for the first quarter of 2025 from RMB8.9 billion for the first quarter of 2024. Non-GAAP operating margin was 3.9% for the first quarter of 2025, compared to 3.4% for the first quarter of 2024. Operating margin of JD Retail before unallocated items for the first quarter of 2025 was 4.9%, compared to 4.1% for the first quarter of 2024.

    Non-GAAP EBITDA. Non-GAAP EBITDA increased to RMB13.7 billion (US$1.9 billion) by 27.0% for the first quarter of 2025 from RMB10.8 billion for the first quarter of 2024. Non-GAAP EBITDA margin was 4.6% for the first quarter of 2025, compared to 4.1% for the first quarter of 2024.

    Net Income Attributable to the Companys Ordinary Shareholders and Non-GAAP Net Income Attributable to the Companys Ordinary Shareholders. Net income attributable to the Company’s ordinary shareholders increased to RMB10.9 billion (US$1.5 billion) by 52.7% for the first quarter of 2025 from RMB7.1 billion for the first quarter of 2024. Net margin attributable to the Company’s ordinary shareholders was 3.6% for the first quarter of 2025, compared to 2.7% for the first quarter of 2024. Non-GAAP net income attributable to the Company’s ordinary shareholders increased to RMB12.8 billion (US$1.8 billion) by 43.4% for the first quarter of 2025 from RMB8.9 billion for the first quarter of 2024. Non-GAAP net margin attributable to the Company’s ordinary shareholders was 4.2% for the first quarter of 2025, compared to 3.4% for the first quarter of 2024.

    Diluted EPS and Non-GAAP Diluted EPS. Diluted net income per ADS increased to RMB7.19 (US$0.99) by 58.7% for the first quarter of 2025 from RMB4.53 for the first quarter of 2024. Non-GAAP diluted net income per ADS increased to RMB8.41 (US$1.16) by 48.8% for the first quarter of 2025 from RMB5.65 for the first quarter of 2024.

    Cash Flow and Working Capital

    As of March 31, 2025, the Company’s cash and cash equivalents, restricted cash and short-term investments totaled RMB203.4 billion (US$28.0 billion), compared to RMB241.4 billion as of December 31, 2024. For the first quarter of 2025, free cash flow of the Company was as follows:

        For the three months ended
        March 31,
    2024
        March 31,
    2025
        March 31,
    2025
        RMB RMB US$
        (In millions)
         
    Net cash used in operating activities   (11,315 )   (18,262 )   (2,517 )
    Less: Impact from consumer financing receivables included in the operating cash flow   (1,281 )   (1,018 )   (140 )
    Less: Capital expenditures, net of related sales proceeds   (2,880 )   (2,323 )   (320 )
    Capital expenditures for development properties   (1,360 )   (915 )   (126 )
    Other capital expenditures*   (1,520 )   (1,408 )   (194 )
    Free cash flow   (15,476 )   (21,603 )   (2,977 )
                       

    * Including capital expenditures related to the Company’s headquarters in Beijing and all other CAPEX.

    Net cash provided by investing activities was RMB16.2 billion (US$2.2 billion) for the first quarter of 2025, consisting primarily of net cash received from maturity of time deposits and wealth management products and cash received from disposal of equity investments and investment securities, partially offset by cash paid for capital expenditures.

    Net cash used in financing activities was RMB7.3 billion (US$1.0 billion) for the first quarter of 2025, consisting primarily of net cash paid for repayment of borrowings and cash paid for repurchase of ordinary shares.

    For the twelve months ended March 31, 2025, free cash flow of the Company was as follows:

        For the twelve months ended
        March 31,
    2024
        March 31,
    2025
        March 31,
    2025
        RMB RMB US$
        (In millions)
         
    Net cash provided by operating activities   69,813     51,148     7,048  
    (Less)/Add: Impact from consumer financing receivables included in the operating cash flow   (1,191 )   131     18  
    Less: Capital expenditures, net of related sales proceeds   (18,045 )   (13,666 )   (1,883 )
    Capital expenditures for development properties   (11,332 )   (6,841 )   (943 )
    Other capital expenditures   (6,713 )   (6,825 )   (940 )
    Free cash flow   50,577     37,613     5,183  
                       

    Supplemental Information

    The Company reports three reportable segments, JD Retail, JD Logistics, and New businesses. JD Retail, including JD Health and JD Industrials, among other operating segments, mainly engages in online retail, online marketplace and marketing services in China. JD Logistics includes both internal and external logistics businesses. New Businesses mainly include Dada, JD Property, Jingxi and overseas businesses.

      For the three months ended  
      March 31,
    2024 
      March 31,
    2025 
      March 31,
    2025
     
      RMB RMB US$  
      (In millions, except percentage data)  
    Net revenues:        
    JD Retail 226,835     263,845     36,359    
    JD Logistics 42,137     46,967     6,472    
    New Businesses 4,870     5,753     793    
    Inter-segment eliminations* (13,793 )   (15,483 )   (2,134 )  
    Total consolidated net revenues 260,049     301,082     41,490    
    Less: cost of revenues:        
    JD Retail (190,062 )   (219,395 )   (30,234 )  
    JD Logistics (39,052 )   (43,785 )   (6,034 )  
    New Businesses (4,031 )   (4,586 )   (632 )  
    Inter-segment eliminations* 12,892     14,539     2,004    
    Less: operating expenses:        
    JD Retail (27,448 )   (31,604 )   (4,355 )  
    JD Logistics (2,861 )   (3,037 )   (418 )  
    New Businesses (1,509 )   (2,494 )   (344 )  
    Inter-segment eliminations* 901     944     130    
    Income/(loss) from operations:        
    JD Retail 9,325     12,846     1,770    
    JD Logistics 224     145     20    
    New Businesses (670 )   (1,327 )   (183 )  
    Total segment income from operations 8,879     11,664     1,607    
    Unallocated items** (1,179 )   (1,131 )   (156 )  
    Total consolidated income from operations 7,700     10,533     1,451    
    Share of results of equity investees (730 )   1,330     183    
    Interest expense (601 )   (600 )   (82 )  
    Others, net 2,696     2,079     287    
    Total consolidated income before tax 9,065     13,342     1,839    
             
    YoY% change of net revenues:        
    JD Retail 6.8 %   16.3 %      
    JD Logistics 14.7 %   11.5 %      
    New Businesses (19.2 )%   18.1 %      
             
    Operating margin:        
    JD Retail 4.1 %   4.9 %      
    JD Logistics 0.5 %   0.3 %      
    New Businesses (13.8 )%   (23.1 )%      
                     

    * The inter-segment eliminations mainly consist of revenues from supply chain solutions and logistics services provided by JD Logistics to JD Retail, on-demand delivery and retail services provided by Dada to JD Retail and JD Logistics, and property leasing services provided by JD Property to JD Logistics.

    ** Unallocated items include share-based compensation, amortization of intangible assets resulting from assets and business acquisitions, effects of business cooperation arrangements, and impairment of goodwill and intangible assets, which are not allocated to segments.

    The table below sets forth the revenue information:

      For the three months ended  
      March 31,
    2024
      March 31,
    2025
      March 31,
    2025
    YoY%
    Change
      RMB   RMB   US$  
      (In millions, except percentage data)
    Electronics and home appliances revenues 123,212   144,295   19,884 17.1 %
    General merchandise revenues 85,296   98,014   13,507 14.9 %
    Net product revenues 208,508   242,309   33,391 16.2 %
    Marketplace and marketing revenues 19,289   22,320   3,076 15.7 %
    Logistics and other service revenues 32,252   36,453   5,023 13.0 %
    Net service revenues 51,541   58,773   8,099 14.0 %
    Total net revenues 260,049   301,082   41,490 15.8 %
                   


    Conference Call

    JD.com’s management will hold a conference call at 8:00 am, Eastern Time on May 13, 2025, (8:00 pm, Beijing/Hong Kong Time on May 13, 2025) to discuss the first quarter 2025 financial results.

    Please register in advance of the conference using the link provided below and dial in 15 minutes prior to the call, using participant dial-in numbers, the Passcode and unique access PIN which would be provided upon registering. You will be automatically linked to the live call after completion of this process, unless required to provide the conference ID below due to regional restrictions.

    PRE-REGISTER LINK: https://s1.c-conf.com/diamondpass/10046856-37hfgr.html

    CONFERENCE ID: 10046856

    A telephone replay will be available for one week until May 20, 2025. The dial-in details are as follows:

    US: +1-855-883-1031
    International: +61-7-3107-6325
    Hong Kong: 800-930-639
    Chinese Mainland: 400-120-9216
    Passcode: 10046856
       

    Additionally, a live and archived webcast of the conference call will also be available on the JD.com’s investor relations website at http://ir.jd.com.

    About JD.com

    JD.com is a leading supply chain-based technology and service provider. The Company’s cutting-edge retail infrastructure seeks to enable consumers to buy whatever they want, whenever and wherever they want it. The Company has opened its technology and infrastructure to partners, brands and other sectors, as part of its Retail as a Service offering to help drive productivity and innovation across a range of industries.

    Non-GAAP Measures

    In evaluating the business, the Company considers and uses non-GAAP measures, such as non-GAAP income/(loss) from operations, non-GAAP operating margin, non-GAAP net income/(loss) attributable to the Company’s ordinary shareholders, non-GAAP net margin attributable to the Company’s ordinary shareholders, free cash flow, non-GAAP EBITDA, non-GAAP EBITDA margin, non-GAAP net income/(loss) per share and non-GAAP net income/(loss) per ADS, as supplemental measures to review and assess operating performance. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The Company defines non-GAAP income/(loss) from operations as income/(loss) from operations excluding share-based compensation, amortization of intangible assets resulting from assets and business acquisitions, effects of business cooperation arrangements, gain on sale of development properties and impairment of goodwill and long-lived assets. The Company defines non-GAAP net income/(loss) attributable to the Company’s ordinary shareholders as net income/(loss) attributable to the Company’s ordinary shareholders excluding share-based compensation, amortization of intangible assets resulting from assets and business acquisitions, effects of business cooperation arrangements and non-compete agreements, gain/(loss) on disposals/deemed disposals of investments and others, reconciling items on the share of equity method investments, loss/(gain) from fair value change of long-term investments, impairment of goodwill, long-lived assets and investments, gain on sale of development properties and tax effects on non-GAAP adjustments. The Company defines free cash flow as operating cash flow adjusting the impact from consumer financing receivables included in the operating cash flow and capital expenditures, net of related sales proceeds. Capital expenditures include purchase of property, equipment and software, cash paid for construction in progress, purchase of intangible assets, land use rights and asset acquisitions. The Company defines non-GAAP EBITDA as non-GAAP income/(loss) from operations plus depreciation and amortization excluding amortization of intangible assets resulting from assets and business acquisitions. Non-GAAP basic net income/(loss) per share is calculated by dividing non-GAAP net income/(loss) attributable to the Company’s ordinary shareholders by the weighted average number of ordinary shares outstanding during the periods. Non-GAAP diluted net income/(loss) per share is calculated by dividing non-GAAP net income/(loss) attributable to the Company’s ordinary shareholders by the weighted average number of ordinary shares and dilutive potential ordinary shares outstanding during the periods, including the dilutive effects of share-based awards as determined under the treasury stock method and convertible senior notes. Non-GAAP net income/(loss) per ADS is equal to non-GAAP net income/(loss) per share multiplied by two.

    The Company presents these non-GAAP financial measures because they are used by management to evaluate operating performance and formulate business plans. Non-GAAP income/(loss) from operations, non-GAAP net income/(loss) attributable to the Company’s ordinary shareholders and non-GAAP EBITDA reflect the Company’s ongoing business operations in a manner that allows more meaningful period-to-period comparisons. Free cash flow enables management to assess liquidity and cash flow while taking into account the impact from consumer financing receivables included in the operating cash flow and the demands that the expansion of fulfillment infrastructure and technology platform has placed on financial resources. The Company believes that the use of the non-GAAP financial measures facilitates investors to understand and evaluate the Company’s current operating performance and future prospects in the same manner as management does, if they so choose. The Company also believes that the non-GAAP financial measures provide useful information to both management and investors by excluding certain expenses, gain/loss and other items that are not expected to result in future cash payments or that are non-recurring in nature or may not be indicative of the Company’s core operating results and business outlook.

    The non-GAAP financial measures have limitations as analytical tools. The Company’s non-GAAP financial measures do not reflect all items of income and expense that affect the Company’s operations or not represent the residual cash flow available for discretionary expenditures. Further, these non-GAAP measures may differ from the non-GAAP information used by other companies, including peer companies, and therefore their comparability may be limited. The Company compensates for these limitations by reconciling the non-GAAP financial measures to the nearest U.S. GAAP performance measure, all of which should be considered when evaluating performance. The Company encourages you to review the Company’s financial information in its entirety and not rely on a single financial measure.

    CONTACTS:

    Investor Relations
    Sean Zhang
    +86 (10) 8912-6804
    IR@JD.com

    Media Relations
    +86 (10) 8911-6155
    Press@JD.com

    Safe Harbor Statement

    This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident” and similar statements. Among other things, the business outlook and quotations from management in this announcement, as well as JD.com’s strategic and operational plans, contain forward-looking statements. JD.com may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in announcements made on the website of the Hong Kong Stock Exchange, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about JD.com’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: JD.com’s growth strategies; its future business development, results of operations and financial condition; its ability to attract and retain new customers and to increase revenues generated from repeat customers; its expectations regarding demand for and market acceptance of its products and services; trends and competition in China’s e-commerce market; changes in its revenues and certain cost or expense items; the expected growth of the Chinese e-commerce market; laws, regulations and governmental policies relating to the industries in which JD.com or its business partners operate; potential changes in laws, regulations and governmental policies or changes in the interpretation and implementation of laws, regulations and governmental policies that could adversely affect the industries in which JD.com or its business partners operate, including, among others, initiatives to enhance supervision of companies listed on an overseas exchange and tighten scrutiny over data privacy and data security; risks associated with JD.com’s acquisitions, investments and alliances, including fluctuation in the market value of JD.com’s investment portfolio; natural disasters and geopolitical events; change in tax rates and financial risks; intensity of competition; and general market and economic conditions in China and globally. Further information regarding these and other risks is included in JD.com’s filings with the SEC and the announcements on the website of the Hong Kong Stock Exchange. All information provided herein is as of the date of this announcement, and JD.com undertakes no obligation to update any forward-looking statement, except as required under applicable law.

    JD.com, Inc.
    Unaudited Interim Condensed Consolidated Balance Sheets
    (In millions, except otherwise noted)
         
        As of
        December 31,
    2024
      March 31,
    2025
      March 31,
    2025
        RMB   RMB   US$
    ASSETS            
    Current assets            
    Cash and cash equivalents   108,350   96,778   13,336
    Restricted cash   7,366   9,279   1,279
    Short-term investments   125,645   97,385   13,420
    Accounts receivable, net (including consumer financing receivables of RMB2.0 billion and RMB1.3 billion as of December 31, 2024 and March 31, 2025, respectively)(1)   25,596   31,380   4,324
    Advance to suppliers   7,619   6,140   846
    Inventories, net   89,326   95,434   13,151
    Prepayments and other current assets   15,951   15,712   2,165
    Amount due from related parties   4,805   3,344   461
    Assets held for sale   2,040   1,778   245
    Total current assets   386,698   357,230   49,227
    Non-current assets            
    Property, equipment and software, net   82,737   83,054   11,445
    Construction in progress   6,164   7,039   970
    Intangible assets, net   7,793   7,510   1,035
    Land use rights, net   36,833   36,820   5,074
    Operating lease right-of-use assets   24,532   25,621   3,531
    Goodwill   25,709   25,709   3,543
    Investment in equity investees   56,850   52,138   7,185
    Marketable securities and other investments   59,370   71,755   9,888
    Deferred tax assets   2,459   2,430   335
    Other non-current assets   9,089   8,556   1,179
    Total non-current assets   311,536   320,632   44,185
    Total assets   698,234   677,862   93,412
                 
    JD.com, Inc.
    Unaudited Interim Condensed Consolidated Balance Sheets
    (In millions, except otherwise noted)
         
        As of
        December 31,
    2024
      March 31,
    2025
      March 31,
    2025
        RMB   RMB   US$
    LIABILITIES            
    Current liabilities            
    Short-term debts   7,581   4,230   583
    Accounts payable   192,860   176,736   24,355
    Advance from customers   32,437   34,055   4,693
    Deferred revenues   2,097   2,166   299
    Taxes payable   9,487   5,496   757
    Amount due to related parties   1,367   2,954   407
    Accrued expenses and other current liabilities   45,985   50,626   6,976
    Operating lease liabilities   7,606   7,801   1,075
    Liabilities held for sale   101   65   9
    Total current liabilities   299,521   284,129   39,154
    Non-current liabilities            
    Deferred revenues   502   424   58
    Unsecured senior notes   24,770   24,758   3,412
    Deferred tax liabilities   9,498   8,440   1,163
    Long-term borrowings   31,705   31,492   4,340
    Operating lease liabilities   18,106   19,151   2,639
    Other non-current liabilities   835   797   110
    Total non-current liabilities   85,416   85,062   11,722
    Total liabilities   384,937   369,191   50,876
                 
    MEZZANINE EQUITY   484   263   36
                 
    SHAREHOLDERS’ EQUITY            
    Total JD.com, Inc. shareholders’ equity (US$0.00002 par value, 100,000 million shares authorized, 2,981 million shares issued and 2,883 million shares outstanding as of March 31, 2025)   239,347   234,322   32,291
    Non-controlling interests   73,466   74,086   10,209
    Total shareholders’ equity   312,813   308,408   42,500
                 
    Total liabilities, mezzanine equity and shareholders’ equity   698,234   677,862   93,412
                 
    (1)   JD Technology performs credit risk assessment services for consumer financing receivables business and absorbs the credit risk of the underlying consumer financing receivables. Facilitated by JD Technology, the Company periodically securitizes consumer financing receivables through the transfer of those assets to securitization plans and derecognizes the related consumer financing receivables through sales type arrangements.
     
    JD.com, Inc.  
    Unaudited Interim Condensed Consolidated Statements of Operations  
    (In millions, except per share data)  
       
      For the three months ended  
      March 31,
    2024
        March 31,
    2025
        March 31,
    2025
     
      RMB RMB US$  
    Net revenues        
    Net product revenues 208,508     242,309     33,391    
    Net service revenues 51,541     58,773     8,099    
    Total net revenues 260,049     301,082     41,490    
    Cost of revenues (220,279 )   (253,234 )   (34,897 )  
    Fulfillment (16,806 )   (19,737 )   (2,720 )  
    Marketing (9,254 )   (10,543 )   (1,453 )  
    Research and development (4,034 )   (4,621 )   (637 )  
    General and administrative (1,976 )   (2,414 )   (332 )  
    Income from operations(2)(3) 7,700     10,533     1,451    
    Other income/(expenses)        
    Share of results of equity investees (730 )   1,330     183    
    Interest expense (601 )   (600 )   (82 )  
    Others, net(4) 2,696     2,079     287    
    Income before tax 9,065     13,342     1,839    
    Income tax expenses (1,700 )   (2,063 )   (285 )  
    Net income 7,365     11,279     1,554    
    Net income attributable to non-controlling interests shareholders 235     389     53    
    Net income attributable to the Company’s ordinary shareholders 7,130     10,890     1,501    
             
    Net income per share:        
    Basic 2.28     3.76     0.52    
    Diluted 2.27     3.59     0.50    
    Net income per ADS:        
    Basic 4.56     7.51     1.04    
    Diluted 4.53     7.19     0.99    
                       
    JD.com, Inc.
    Unaudited Interim Condensed Consolidated Statements of Operations
    (In millions, except per share data)
     
        For the three months ended
        March 31,
    2024
      March 31,
    2025
      March 31,
    2025
        RMB   RMB   US$
                 
    (2) Includes share-based compensation as follows:
    Cost of revenues     (26 )     (7 )     (1 )
    Fulfillment     (110 )     (71 )     (10 )
    Marketing     (83 )     (62 )     (9 )
    Research and development     (175 )     (217 )     (30 )
    General and administrative     (365 )     (410 )     (56 )
    Total     (759 )     (767 )     (106 )
                             
    (3) Includes amortization of business cooperation arrangement and intangible assets resulting from assets and business acquisitions as follows:  
    Fulfillment     (103 )     (49 )     (7 )
    Marketing     (219 )     (279 )     (38 )
    Research and development     (66 )     (36 )     (5 )
    General and administrative     (32 )            
    Total     (420 )     (364 )     (50 )
                             
    (4) “Others, net” consists of interest income; gains/(losses) related to long-term investments without significant influence, including fair value changes, acquisitions or disposals gains/(losses), and impairments; government incentives; foreign exchange gains/(losses); and other non-operating income/(losses).  
    JD.com, Inc.  
    Unaudited Non-GAAP Net Income Per Share and Per ADS  
    (In millions, except per share data)  
       
      For the three months ended  
      March 31,
    2024
      March 31,
    2025
      March 31,
    2025
     
      RMB   RMB   US$  
                 
    Non-GAAP net income attributable to the Company’s ordinary shareholders 8,899   12,758   1,758  
                 
    Non-GAAP net income per share:  
    Basic 2.85   4.40   0.61  
    Diluted 2.83   4.21   0.58  
                 
    Non-GAAP net income per ADS:  
    Basic 5.69   8.80   1.21  
    Diluted 5.65   8.41   1.16  
                 
    Weighted average number of shares:            
    Basic 3,126   2,898      
    Diluted 3,144   3,035      
                 
    JD.com, Inc.    
    Unaudited Interim Condensed Consolidated Statements of Cash Flows and Free Cash Flow    
    (In millions)    
         
      For the three months ended  
      March 31,
    2024
        March 31,
    2025
        March 31,
    2025
     
      RMB RMB US$  
             
    Net cash used in operating activities (11,315 )   (18,262 )   (2,517 )  
    Net cash provided by investing activities 28,414     16,236     2,237    
    Net cash used in financing activities (7,445 )   (7,288 )   (1,004 )  
    Effect of exchange rate changes on cash, cash equivalents and restricted cash (130 )   (345 )   (47 )  
    Net increase/(decrease) in cash, cash equivalents and restricted cash 9,524     (9,659 )   (1,331 )  
    Cash, cash equivalents, and restricted cash at beginning of period, including cash and cash equivalents classified within assets held for sale 79,451     115,716     15,946    
    Less: Cash, cash equivalents, and restricted cash classified within assets held for sale at beginning of period (53 )   —*     —*    
    Cash, cash equivalents, and restricted cash at beginning of period 79,398     115,716     15,946    
    Cash, cash equivalents, and restricted cash at end of period, including cash and cash equivalents classified within assets held for sale 88,922     106,057     14,615    
    Less: Cash, cash equivalents, and restricted cash classified within assets held for sale at end of period (3 )   —*     —*    
    Cash, cash equivalents and restricted cash at end of period 88,919     106,057     14,615    
             
             
    Net cash used in operating activities (11,315 )   (18,262 )   (2,517 )  
    Less: Impact from consumer financing receivables included in the operating cash flow (1,281 )   (1,018 )   (140 )  
    Less: Capital expenditures, net of related sales proceeds (2,880 )   (2,323 )   (320 )  
    Capital expenditures for development properties (1,360 )   (915 )   (126 )  
    Other capital expenditures (1,520 )   (1,408 )   (194 )  
    Free cash flow (15,476 )   (21,603 )   (2,977 )  
                       

    *Absolute value is less than RMB1 million or US$1 million.

    JD.com, Inc.  
    Supplemental Financial Information and Business Metrics
    (In RMB billions, except turnover days data)
     
     
        Q1 2024   Q2 2024   Q3 2024   Q4 2024   Q1 2025
    Cash flow and turnover days                    
    Operating cash flow – trailing twelve months (“TTM”)   69.8   74.0   52.8   58.1   51.1
    Free cash flow – TTM   50.6   55.6   33.6   43.7   37.6
    Inventory turnover days(5) – TTM   29.0   29.8   30.4   31.5   32.8
    Accounts payable turnover days(6) – TTM   51.8   57.0   57.5   58.6   57.6
    Accounts receivable turnover days(7) – TTM   5.4   5.7   5.8   5.9   6.4
    (5) TTM inventory turnover days are the quotient of average inventory over the immediately preceding five quarters, up to and including the last quarter of the period, to cost of revenues of retail business for the last twelve months, and then multiplied by 360 days.

    (6) TTM accounts payable turnover days are the quotient of average accounts payable for retail business over the immediately preceding five quarters, up to and including the last quarter of the period, to cost of revenues of retail business for the last twelve months, and then multiplied by 360 days.

    (7) TTM accounts receivable turnover days are the quotient of average accounts receivable over the immediately preceding five quarters, up to and including the last quarter of the period, to total net revenues for the last twelve months and then multiplied by 360 days. Presented are the accounts receivable turnover days excluding the impact from consumer financing receivables.

     
    JD.com, Inc.  
    Unaudited Reconciliation of GAAP and Non-GAAP Results    
    (In millions, except percentage data)  
       
      For the three months ended
      March 31,
    2024
        March 31,
    2025
        March 31,
    2025
      RMB RMB US$
           
    Income from operations 7,700     10,533     1,451
    Add: Share-based compensation 759     767     106
    Add: Amortization of intangible assets resulting from assets and business acquisitions 309     252     35
    Add: Effects of business cooperation arrangements 111     112     15
    Non-GAAP income from operations 8,879     11,664     1,607
    Add: Depreciation and other amortization 1,908     2,038     281
    Non-GAAP EBITDA 10,787     13,702     1,888
           
    Total net revenues 260,049     301,082     41,490
           
    Non-GAAP operating margin 3.4 %   3.9 %    
           
    Non-GAAP EBITDA margin 4.1 %   4.6 %    
           
    JD.com, Inc.
    Unaudited Reconciliation of GAAP and Non-GAAP Results
    (In millions, except percentage data)
     
      For the three months ended
      March 31,
    2024
        March 31,
    2025
        March 31,
    2025
      RMB RMB US$
           
    Net income attributable to the Company’s ordinary shareholders 7,130     10,890     1,501  
    Add: Share-based compensation 592     650     90  
    Add: Amortization of intangible assets resulting from assets and business acquisitions 143     186     26  
    Add: Reconciling items on the share of equity method investments(8) 370     964     133  
    Add: Impairment of goodwill, long-lived assets, and investments 558     437     60  
    (Reversal of)/Add: (Gain)/Loss from fair value change of long-term investments (8 )   874     120  
    Reversal of: Gain on disposals/deemed disposals of investments and others (22 )   (1,172 )   (162 )
    Add: Effects of business cooperation arrangements 111     112     15  
    Add/(Reversal of): Tax effects on non-GAAP adjustments 25     (183 )   (25 )
    Non-GAAP net income attributable to the Company’s ordinary shareholders 8,899     12,758     1,758  
           
    Total net revenues 260,049     301,082     41,490  
           
    Non-GAAP net margin attributable to the Company’s ordinary shareholders 3.4 %   4.2 %    
           
    (8) To exclude the GAAP to non-GAAP reconciling items on the share of equity method investments and share of amortization of intangibles not on their books.
     

    __________________

    1   The U.S. dollar (US$) amounts disclosed in this announcement, except for those transaction amounts that were actually settled in U.S. dollars, are presented solely for the convenience of the readers. The conversion of Renminbi (RMB) into US$ in this announcement is based on the exchange rate set forth in the H.10 statistical release of the Board of Governors of the Federal Reserve System as of March 31, 2025, which was RMB7.2567 to US$1.00. The percentages stated in this announcement are calculated based on the RMB amounts.
    2   See the sections entitled “Non-GAAP Measures” and “Unaudited Reconciliation of GAAP and Non-GAAP Results” for more information about the non-GAAP measures referred to in this announcement.
    3   The number of ordinary shares outstanding as of December 31, 2024 was approximately 2,903 million shares.
    4   JD Ecosystem is a closely integrated business network providing comprehensive service for customers and comprises the Company and certain affiliates who share the “JD” brand name, currently including Jingdong Technology Holding Co., Ltd. and Allianz Jingdong General Insurance Company Ltd..

    The MIL Network

  • MIL-OSI Russia: Interaction between Polytechnic University and Russian-Armenian University: Digest of Events

    Translation. Region: Russian Federal

    Source: Peter the Great St Petersburg Polytechnic University – Peter the Great St Petersburg Polytechnic University –

    The Institute of Industrial Management, Economics and Trade of SPbPU and the Institute of Economics and Business of the Russian-Armenian University (RAU) have joined forces to conduct annual International Student Scientific Conference. This event, continuing the tradition cooperation, has become an important platform for discussing current scientific research by young people and strengthening academic ties between universities.

    On the first day of the conference, participants of the Higher School of Industrial Management (HSIM) of IPMEiT, together with the Department of Management and Business of the Russian Agrarian University, discussed interdisciplinary research issues covering such areas as management in conditions of uncertainty, sustainable urban development, digital marketing and logistics in business, and problems of decarbonization in industry.

    The participants were addressed with welcoming speeches by the Director of the Higher School of Industrial Management Olga Kalinina, the Head of the Department of Management and Business of the Russian Agrarian University Arzik Suvaryan and the Deputy Director for Research Work of Students of the Institute of Industrial Management and Technology Svetlana Shirokova.

    Arzik Suvaryan expressed confidence in the need to strengthen cooperation: We see how these events inspire students and teachers to new scientific achievements. I am sure that next year we will again surprise the participants with new achievements.

    The conference became a real platform for generating ideas. We were able not only to present our research, but also to receive valuable recommendations from colleagues. The discussion on the application of qualimetric models in risk management of real estate construction in the mountainous areas of the Republic of Armenia was especially useful, – shared his impressions 4th-year student of the HSE “Construction Management” program Artem Androsov.

    The Higher School of Public Administration (HSPA) of IPMEiT held a section on “Public Administration and Economic Security” jointly with the Department of Economics and Finance of the Russian-Armenian University. Participants discussed topics such as improving public administration in the field of environmental education, the impact of economic crime on regional security, as well as the balance of socio-economic development of regions and issues of IT audit and digital currencies.

    The speakers presented the results of their research, and we were able to discuss current topics in the field of public administration and economic security. The discussion on the influence of the shadow economy and environmental education was especially interesting, commented HSSU postgraduate student Natalia Kulkaeva.

    The section “Sustainable Development of Socioeconomic Systems in the Context of Digitalization”, organized by the Higher School of Engineering and Economics (HSE), featured more than fifteen scientific reports on the digitalization of the economy, innovative development of regions, greening of industry, as well as the introduction of digital solutions in logistics, trade and small business. Particular attention was drawn to the presentations of students, which examined the prospects for international trade, the internationalization of the yuan, cooperation between Russia and China, as well as the strategy for sustainable development of Egypt until 2030.

    The conference gave me inspiration and new ideas. It was very interesting to hear the presentations of colleagues and discuss current topics in economics. I recommend it to everyone! – noted VIES student Dong Yiqun, studying in the program “World Economy and International Economic Relations”.

    As part of the international annual student scientific conference of the Russian-Armenian University, Associate Professor of the Higher Engineering Physics School of SPbPU Maxim Vinnichenko gave a plenary report to postgraduate students, students and, importantly, schoolchildren of the RAU.

    In his report, he emphasized: By measuring the intensity of light passing through a sample, we can obtain important information about its optical properties. In this way, we can diagnose a wide variety of materials – both solids and liquids, including biological media such as blood or saliva. For example, studies have been conducted to determine the presence of COVID-19 by spectral characteristics. This is a clear example of the connection between science and medicine.

    The associate professor also noted that laser radiation can be used, for example, to assess blood flow velocity.

    In some areas of the body where there are no bones and the skin is thin enough – for example, on the wrist or palm – you can illuminate it with a powerful green or red laser and visually observe how much light passes through the tissue. This data allows you to roughly estimate the speed of blood flow in the veins, – said Vynnychenko.

    Also, at the site of the Armenian University, Maxim Vinnichenko held open lectures on the course “Optical properties of semiconductors and nanostructures”, which were listened to with great interest by senior and postgraduate students of the RAU in the field of “Electronics and Nanoelectronics”.

    Colleagues from RAU highly appreciated the quality of the students’ reports and came up with an initiative to develop cooperation aimed at popularizing science among students, publishing articles and holding joint youth events and conferences on a regular basis.

    The best reports were awarded with certificates of participation, and all submitted articles will be published in the conference collection. The joint conference of SPbPU and RAU continues to prove that science is not only research, but also a dialogue that unites minds and cultures for the sake of the future.

    Polytechnics also took part in the International scientific and practical conference “Current issues of personality psychology: identity and adaptation”. SPbPU was represented by the director of the Higher School of Social Sciences Anastasia Lisenkova, associate professor of the Higher School of Linguistics and Pedagogy Lyudmila Luchsheva, head of the educational and project art laboratory “ArtPolyLab” of the State Institute of Geography Maria Kukushkina.

    Anastasia Lisenkova presented a report entitled “Liquid Privacy: Forced Publicity of Digital Identity”, where she revealed the features of the digital era and their impact on self-identification. Lyudmila Luchsheva presented a report entitled “Dynamics of Attitudes and Motivation of Teachers’ Professional Activity”. Maria Kukushkina presented a study entitled “The Structure of Social Representations of Kindergarten Directors on the Psychological Safety of the Educational Environment”, emphasizing the role of management decisions in creating a comfortable environment for children, and held a master class entitled “My Professional Path” dedicated to career trajectories in psychology and pedagogy.

    Participation in the conference allowed us to exchange experiences in conducting current research and to outline new areas of cooperation in the fields of psychology, sociology and other humanities.

    Please note: This information is raw content directly from the source of the information. It is exactly what the source states and does not reflect the position of MIL-OSI or its clients.

    MIL OSI Russia News

  • MIL-Evening Report: It’s a hard job being environment minister. Here’s an insider’s view of the key challenges facing Murray Watt

    Source: The Conversation (Au and NZ) – By Peter Burnett, Honorary Associate Professor, ANU College of Law, Australian National University

    Australia’s new environment minister, Murray Watt, is reported to be a fixer. That’s good, because there’s a lot to fix.

    Being environment minister is a hard gig. It often requires difficult choices between environmental and economic priorities. In cabinet, the minister is often up against a phalanx of ministers with economic portfolios and overriding political imperatives such as jobs and growth. I saw this repeatedly over the 16 years when I held senior leadership roles in environment departments at territory and federal levels.

    In Labor’s first term, this tension played out again. Former environment minister Tanya Plibersek came to the role with big ideas. To that end, she tried to make Australia’s national environment laws fit for purpose and introduce a federal environmental protection agency (EPA).

    A cumbersome approach to consultation didn’t help, but ultimately it was development concerns led by big mining companies and West Australian Premier Roger Cook that saw the reform can kicked down the road. Perversely, the only legal reform we saw was an amendment to protect not a threatened species, but the salmon farms threatening it.

    Now it’s Watt’s turn. He has a reputation for getting things done and may drive a bargain to get some version of the EPA through. But that’s only one piece of the reform jigsaw and he’ll have to return to the mammoth task of reforming Australia’s national environment laws. He will have to push back against efforts by the Greens in the Senate to broaden the agenda to include climate and forests, and weather opposing pressures from industry and environment groups.

    Stalled reforms

    Watt’s largest challenge will be to revive the stalled Nature Positive Plan. This was the government’s response to the 2020 Samuel Review, which found Australia’s natural environment and iconic places were declining and under increasing threat, while national environmental laws were no longer fit for purpose.

    Samuel’s solution was groundbreaking: create new, legally enforceable national environmental standards to deliver better environmental protection. Last term, Labor committed to introducing the standards, reforming laws and introducing an EPA. Unfortunately, Plibersek ran out of time and most of the reforms were put on the backburner.

    Plibersek pitched an independent EPA as a tough cop on the beat, but it wasn’t independent enough for many environmentalists.

    Industry didn’t like it either. WA miners used their influence to attack the EPA for being unaccountable. Their lobbying worked and the EPA was pushed back. As one mining figure told the Australian Financial Review: “The heat [industry pressure] was no one’s first preference; it was just required because there was no other way to influence the actual policymaking.”

    Miners and other big businesses are likely worried the proposed independent EPA would reduce their influence. At present, the environment minister has near-complete discretion over approvals. Much of this discretion — and the political influence associated with it — would disappear with an independent EPA making decisions based on national environmental standards.

    More challenges are looming. Here are two:

    Gas extraction on the North West Shelf

    Watt will soon have to decide on Woodside’s application to expand gas extraction off Australia’s northwest coast. If approved, the North West Shelf Extension Project would be Australia’s largest resource project. Environmentalists hate it, describing it as a climate bomb. The WA government approved it last year.

    If Watt follows the pattern of his predecessors, we can expect to see the development approved subject to numerous conditions, pitched as strict environmental safeguards. Despite such safeguards applying to operations in Australia, the real damage done by the project will be global, not local, as the gas will be burned overseas.

    Murray-Darling Basin Plan

    The delayed ten-year review of the Murray-Darling basin plan is due in 2026. It will reopen old wounds. The basic problem is there’s not enough water for both the environment and irrigators.

    When the draft plan was first released in 2010, angry irrigators burned a copy of it. The government backpedalled furiously, eventually approving a plan with a lot less water returned to the environment. Experts say the plan hasn’t actually helped the environment.

    Watt is a former agriculture minister and will have insight into both sides. But he’ll need the wisdom of Solomon to come up with a successful approach.

    It’s hard to fix systems

    Making environmental headway is downright hard. The underlying problem is that politics is about trade-offs, but nature doesn’t negotiate. Nature is a system of systems, and if we take too much from it those systems begin to break down – usually irreversibly.

    In previous decades, governments often dealt with environmental problems by creating national parks and World Heritage areas. If only things were still that simple.

    Peter Burnett is affiliated with the Biodiversity Council, an independent expert group founded to provide evidence-based solutions to Australia’s biodiversity crisis.

    ref. It’s a hard job being environment minister. Here’s an insider’s view of the key challenges facing Murray Watt – https://theconversation.com/its-a-hard-job-being-environment-minister-heres-an-insiders-view-of-the-key-challenges-facing-murray-watt-256465

    MIL OSI AnalysisEveningReport.nz

  • MIL-Evening Report: The US and China have reached a temporary truce in the trade wars, but more turbulence lies ahead

    Source: The Conversation (Au and NZ) – By Peter Draper, Professor, and Executive Director: Institute for International Trade, and Jean Monnet Chair of Trade and Environment, University of Adelaide

    Defying expectations, the United States and China have announced an important agreement to de-escalate bilateral trade tensions after talks in Geneva, Switzerland.

    The good, the bad and the ugly

    The good news is their recent tariff increases will be slashed. The US has cut tariffs on Chinese imports from 145% to 30%, while China has reduced levies on US imports from 125% to 10%. This greatly eases major bilateral trade tensions, and explains why financial markets rallied.

    The bad news is twofold. First, the remaining tariffs are still high by modern standards. The US average trade-weighted tariff rate was 2.2% on January 1 2025, while it is now estimated to be up to 17.8%. This makes it the highest tariff wall since the 1930s.

    Overall, it is very likely a new baseline has been set. Bilateral tariff-free trade belongs to a bygone era.

    Second, these tariff reductions will be in place for 90 days, while negotiations continue. Talks will likely include a long list of difficult-to-resolve issues. China’s currency management policy and industrial subsidies system dominated by state-owned enterprises will be on the table. So will the many non-tariff barriers Beijing can turn on and off like a tap.

    China is offering to purchase unspecified quantities of US goods – in a repeat of a US-China “Phase 1 deal” from Trump’s first presidency that was not implemented. On his first day in office in January, amid a blizzard of executive orders, Trump ordered a review of that deal’s implementation. The review found China didn’t follow through on the agriculture, finance and intellectual property protection commitments it had made.

    Unless the US has now decided to capitulate to Beijing’s retaliatory actions, it is difficult to see the US being duped again.

    Failure to agree on these points would reveal the ugly truth that both countries continue to impose bilateral export controls on goods deemed sensitive, such as semiconductors (from the US to China) and processed critical minerals (from China to the US).

    Moreover, in its so-called “reciprocal” negotiations with other countries, the US is pressing trading partners to cut certain sensitive China-sourced goods from their exports destined for US markets. China is deeply unhappy about these US demands and has threatened to retaliate against trading partners that adopt them.

    A temporary truce

    Overall, the announcement is best viewed as a truce that does not shift the underlying structural reality that the US and China are locked into a long-term cycle of escalating strategic competition.




    Read more:
    Why Trump fails to understand China’s trade war tactics, and what his negotiators should be reading


    That cycle will have its ups (the latest announcement) and downs (the tariff wars that preceded it). For now, both sides have agreed to announce victory and focus on other matters.

    For the US, this means ensuring there will be consumer goods on the shelves in time for Halloween and Christmas, albeit at inflated prices. For China, it means restoring some export market access to take pressure off its increasingly ailing economy.

    As neither side can vanquish the other, the likely long-term result is a frozen conflict. This will be punctuated by attempts to achieve “escalation dominance”, as that will determine who emerges with better terms. Observers’ opinions on where the balance currently lies are divided.

    Along the way, and to use a quote widely attributed to Winston Churchill, to “jaw-jaw is better than to war-war”. Fasten your seat belts, there is more turbulence to come.

    Where does this leave the rest of us?

    Significantly, the US has not (so far) changed its basic goals for all its bilateral trade deals.

    Its overarching aim is to cut the goods trade deficit by reducing goods imports and eliminating non-tariff barriers it says are “unfairly” prohibiting US exports. The US also wants to remove barriers to digital trade and investments by tech giants and “derisk” certain imports that it deems sensitive for national security reasons.

    The agreement between the US and UK last week clearly reflects these goals in operation. While the UK received some concessions, the remaining tariffs are higher, at 10% overall, than on April 2 and subject to US-imposed import quotas. Furthermore, the UK must open its market for certain goods while removing China-originating content from steel and pharmaceutical products destined for the US.

    For Washington’s Pacific defence treaty allies, including Australia, nothing has changed. Potentially difficult negotiations with the Trump administration lie ahead, particularly if the US decides to use our security dependencies as leverage to wring concessions in trade. Japan has already disavowed linking security and trade, and their progress should be closely watched.

    The US has previously paused high tariffs on manufacturing nations in South-East Asia, particularly those used by other nations as export platforms to avoid China tariffs. Vietnam, Cambodia and others will face sustained uncertainty and increasingly difficult balancing acts. The economic stakes are higher for them.

    They, like the Japanese, are long-practised in the subtle arts of balancing the two giants. Still, juggling ties with both Washington and Beijing will become the act of an increasingly high-wire trapeze artist.

    The authors do not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.

    ref. The US and China have reached a temporary truce in the trade wars, but more turbulence lies ahead – https://theconversation.com/the-us-and-china-have-reached-a-temporary-truce-in-the-trade-wars-but-more-turbulence-lies-ahead-256448

    MIL OSI AnalysisEveningReport.nz

  • MIL-OSI NGOs: New Federal Environment Minister can define Labor’s legacy on nature and ocean protection

    Source: Greenpeace Statement –

    SYDNEY, Tuesday 13 May 2025 — In response to the appointment of Senator Murray Watt as the new Federal Federal Environment Minister, Dr Susie Byers, Head of Advocacy at Greenpeace Australia Pacific, said: 

    Greenpeace congratulates Senator Murray Watt on his appointment as the new Federal Environment Minister in the Albanese Government at this critical moment for our environment. 

    “There has never been a more important moment to lead this portfolio with grit and ambition, with the health of nature and oceans in sharp decline across the country. Minister Watt has no time to lose, and will be faced with potentially the most important decisions of his whole term within just a few weeks of starting the job.

    “First off the mark must be the rejection of Woodside’s unacceptable gas plans in Western Australia, including the North West Shelf extension, and Browse proposal which would see drilling for gas underneath the fragile and pristine Scott Reef, threatening species like the pygmy blue whale and green sea turtle.

    “We know the Albanese Government has unfinished business on both reforming our broken nature laws so they properly address the ongoing destruction of nature and wildlife; and on addressing dangerous fossil fuels. Australia is an aspiring host of COP31 and has a responsibility to meet its international obligations, including setting out its plan to “transition away from fossil fuels in energy systems’ as soon as possible.

    “Ahead of the UN Oceans Conference next month, Minister Watt has an opportunity to define Labor’s legacy on ocean protection by ratifying the Global Ocean Treaty with 100 days of government, and creating vast ocean sanctuaries where marine life can flourish and is protected from destructive industrial fishing.

    “Australians voted overwhelmingly for action to protect nature and climate — Minister Watt’s initial decisions will demonstrate what kind of government we’ll see this term. Greenpeace looks forward to working constructively with Minister Watt to deliver the bold action needed to protect our environment and iconic wildlife from destruction.

    “We also acknowledge the contribution of Tanya Plibersek in progressing ocean protection including the significant expansion of Macquarie Island Marine Park and Heard and McDonald Islands Marine Park, and laying the groundwork for nature law reform.”

    -ENDS-

    For more information or interviews contact Kate O’Callaghan on 0406 231 892 or [email protected]

    MIL OSI NGO

  • MIL-OSI USA: Senator Markey Blasts Proposed Ways and Means Committee Cuts That Would Raise Prices on Consumers and Businesses

    US Senate News:

    Source: United States Senator for Massachusetts Ed Markey

    Washington (May 12, 2025) – Senator Edward J. Markey (D-Mass.) a member of the Senate Environment and Public Works Committee, today released the following statement in response to the Republican majority of the House Ways and Means Committee’s plans to phase-out and terminate key clean energy tax incentives. Senator Markey’s Offshore Wind American Manufacturing Act, which provides tax incentives for offshore wind components and vessels, was included in the Inflation Reduction Act.  

    “Republicans are willing to throw $420 billion in clean energy investments and 400,000 jobs in red and blue states down the drain,” said Senator Markey. “Solar and wind are the cheapest forms of energy right now and are critical to meeting our energy demands. Yet, Republicans are terminating tax incentives that are supercharging deployment of solar, wind, and batteries, lowering the costs of clean vehicles, and improving energy efficiency in homes and businesses.

    “Republicans’ proposal to repeal federal clean energy incentives would be a disaster for our economy and good-paying jobs. Instead of the dawn of a clean energy future, this proposal sunsets my incentives for manufacturing wind energy components in America that would spur clean domestic manufacturing for industries such as offshore wind. Republicans seem committed to having America be the laggard, not the leader of the global clean energy economy, ceding jobs and progress to other countries like China. The Inflation Reduction Act is the single largest clean energy and climate investment in our history, and we will not let Trump, Big Oil, and Republicans roll back our gains and deny our communities and young people the chance at a livable future.”

    MIL OSI USA News

  • MIL-OSI USA: Senator Markey Statement on Trump’s War on America’s Kitchens

    US Senate News:

    Source: United States Senator for Massachusetts Ed Markey

    Washington (May 12, 2025) – Senator Edward J. Markey (D-Mass.), a member of the Senate Environment and Public Works Committee, today released the following statement after Trump’s Department of Energy (DOE) announced 47 deregulatory actions, including the rollback of dozens of appliance efficiency standards covering everything from refrigeration equipment to air conditioners. Senator Markey was the original author of the National Appliance Energy Conservation Act of 1987, which authorized the DOE to establish and update minimum efficiency standards for 13 original product categories. Today, the program has grown to include more than 60 categories.

    “With Trump causing massive economic anxiety for families around the country, he’s now declaring war on America’s kitchens,” said Senator Markey. “He is putting the deep freeze on dozens of updated appliance standards for refrigerators, stoves, washing machines, and dishwashers that are helping Americans save energy, save money, and save the planet. I passed the appliance efficiency standards nearly four decades ago, and they have become some of the most efficient and effective climate and cost savings provisions on the books today. These standards already save households an average of $500 a year on utility bills and are projected to save consumers $1.9 trillion by 2035. They’re also expected to reduce emissions by two billion metric tons over 30 years. We don’t need ridiculous Republican refrigerator freedom; we need freedom from polluting fossil fuels.” 

    The Biden administration’s updates to appliance standards alone were projected to save households an average of $107 on utility bills each year, and businesses more than $2 billion annually. The Trump administration’s announcement to dismantle them threatens that progress. Following the repeal of four updated appliance efficiency rules from Republicans’ use of the Congressional Review Act that Trump signed into law on Friday, today’s proposed regulatory rollbacks would either revert product standards to levels originally set in statute decades ago or eliminate the standards entirely.

    MIL OSI USA News

  • MIL-Evening Report: From nuclear to nature laws, here’s where new Liberal leader Sussan Ley stands on 4 energy and environment flashpoints

    Source: The Conversation (Au and NZ) – By Justine Bell-James, Professor, TC Beirne School of Law, The University of Queensland

    Sussan Ley has been elected Liberal leader after defeating rival Angus Taylor in a party room vote on Tuesday. Now the leadership question is settled, the hard work of rebuilding the party can begin.

    In the wake of its election loss, the Coalition has foreshadowed a sweeping policy review. Where the Coalition lands on the contentious nuclear energy policy will be keenly watched.

    The majority Labor government is likely to easily push legislation through the lower house. However, the Senate numbers mean Labor needs backing from either the Greens or the Coalition to pass bills into law.

    So where does Ley stand on nuclear energy and other pressure points across the environment and energy portfolios? Ley’s stance on four key issues, including during her time as environment minister in the Morrison government, provides important insights.

    1. Nuclear power and gas

    The resounding Coalition election defeat suggest the prospects for nuclear power in Australia are now poor. But the Coalition’s nuclear policy may yet resurface, given the Nationals still support it.

    During the election campaign, Ley backed the Liberals’ call for nuclear power in Australia, arguing nuclear can provide a zero-emissions option that’s needed in the shift to renewables.

    In a 2023 speech, Ley suggested nuclear power had a big future in Australia, saying:

    The fact is the latest technology reactors in nuclear-powered submarines in operation today don’t need to be refuelled for 30 years. And the money being invested into research and development is only going to make these new nuclear technologies even better.

    Ley has also argued Australia needs to keep gas in the system for longer, rather than “trying to do everything with renewables”.

    2. The energy transition

    A second-term Labor government will further progress its existing energy policies, including measures to reach its target of 82% renewable energy in the the National Electricity Market by 2030.

    Ley has accepted the need for a renewable energy transition, but says it should be led by nuclear power and gas.

    She has suggested enormous wind turbines and large-scale solar farms are dominating the landscape in rural areas. She also claims renewable energy projects generate insurance risks because battery storage increases fire risks.

    Ley has consistently voted against increasing investment in renewable energy, and is likely to seek to ensure policy addresses rising energy prices and reliability.

    3. Nature law reform

    The Albanese government intends to complete reform of Australia’s federal environment laws, known collectively as the Environment Protection and Biodiversity Conservation Act (or EPBC Act). Labor’s proposed reforms stalled in the Senate last term.

    The independent review that preceded the reform, led by Graeme Samuel, was initiated by the Morrison government under Ley, who served as environment minister from 2019 to 2022.

    An interim report from the Samuel review was released in July 2020. Ley seized on recommendations that suited her government’s agenda – notably, streamlining the environmental approvals process to speed up decisions on proposed developments. She vowed to start working on them even before the review was finalised, and before public comment on the draft was received.

    Ley put bills to parliament in August 2020 and February 2021 seeking to amend the laws. The first sought to hand powers for environmental approvals to the states. The proposal was criticised for lacking environmental safeguards.

    This prompted Ley to introduce a second bill which sought to ensure state agreements were monitored and audited. It also provided for new “national environmental standards” to guide approval decisions.

    But both bills lapsed before the 2022 election after failing to secure Senate support.

    National environmental standards were a key recommendation from the Samuel review, and also a centrepiece of Labor’s proposed reforms. However, Labor’s proposed standards were more robust and focused on outcomes.

    The bills Labor introduced to parliament in 2024 also sought establish Australia’s first national environment protection agency to carry out compliance and enforcement. This body would have had more power than Ley’s proposed commissioner.

    So while Labor’s proposed reform package was bolder, both Ley and her then Labor counterpart Tanya Plibersek’s proposals were comprised of similar ingredients. Given Ley has shown support for some elements of Labor’s reform package before, namely devolving powers to states and implementing standards, there may be some grounds for negotiation.

    4. Coal and climate change

    As environment minister, Ley welcomed the Coalition’s approval of the huge Adani coalmine in central Queensland. She also gave the green light to other coal projects. Plibersek took a similar approach to coal projects in her time as minister.

    In 2021, the Federal Court found Ley, as environment minister, owed a duty of care to future generations to avoid causing climate harm through her decisions. Ley successfully appealed the ruling.

    Separately, Ley has also claimed climate change is not part of the environment portfolio.

    When the Coalition reflects on the resounding defeat at the election, Ley’s hard stance on climate may soften.

    Finding common ground

    Ley brings a deeper understanding of nature law reform to the position of Liberal leader than her predecessor Peter Dutton. This raises the prospects for overhauling the EPBC Act this term.

    However, Ley’s priority is likely to be streamlining the environmental approval process rather than increasing protections afforded to threatened species and ecosystems.

    On the topic of gas playing a significant ongoing role in Australia’s energy mix, Ley will find many like minds in the Labor government.

    When it comes to the energy transition, much rests on the party room decision on whether to persist with a nuclear power policy. Nevertheless, with or without nuclear, Ley’s previous statements suggest she will continue to argue against wind and solar generation energy on cost and reliability grounds.

    Justine Bell-James receives funding from the Australian Research Council, the Great Barrier Reef Foundation, the Queensland Government, and the National Environmental Science Program. She is a Director of the National Environmental Law Association and a member of the Wentworth Group of Concerned Scientists.

    Samantha Hepburn does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    ref. From nuclear to nature laws, here’s where new Liberal leader Sussan Ley stands on 4 energy and environment flashpoints – https://theconversation.com/from-nuclear-to-nature-laws-heres-where-new-liberal-leader-sussan-ley-stands-on-4-energy-and-environment-flashpoints-256106

    MIL OSI AnalysisEveningReport.nz

  • MIL-Evening Report: The ‘extroverted’ north and ‘introverted’ south: how climate and culture influence Iranian architecture

    Source: The Conversation (Au and NZ) – By Mahsa Khanpoor Siahdarka, PhD Candidate in Built Environment, RMIT University

    Shutterstock

    The architecture of northern Iran exhibits an extroverted quality. Buildings are designed to let in the sounds of rain, birds and rustling trees, as well as scents of nature.

    Architecture in this region is characterised by open structures, deep eaves, elevated wooden houses and interconnected communal spaces that resemble traditional Japanese and Far Eastern designs.

    The built environment in the south is introverted. Central Iran, particularly cities like Yazd and Isfahan, is characterised by a harsh arid climate, where architecture has evolved to minimise exposure to extreme heat and sunlight.

    The Alborz Mountain range separates the humid subtropical north from the arid south.
    Yarr65/Shutterstock

    Buildings are oriented inward, centred around enclosed courtyards and largely closed off from the street. This prioritises privacy and thermal regulation.

    Throughout the country, the intricate relationship between climate and culture has shaped architectural forms in ways that make it difficult to delineate where one influence ends and the other begins.

    The houses don’t only reflect their environment – they also reflect the role of women in these communities.

    The extroverted north

    The north of Iran, between the the Alborz Mountain range and the Caspian Sea, enjoys a humid subtropical micro-climate with dense forests and abundant greenery.

    The mountains have historically served as both a climatic and cultural barrier, moderating external influences, including Arab conquests. This allowed the region to maintain unique social and architectural characteristics for centuries.

    A traditional wooden house in northern Iran.
    Sama.GH/Shutterstock

    In the north, nature has always been seen more as a friend than a threat.

    The architecture opens itself up with wide verandas, open corridors and spaces that blur the line between inside and out.

    With humid climates and communal living traditions, there are strong architectural similarities between northern Iran and East Asia. Both regions incorporate elevated wooden structures, deep eaves and open layouts to enhance airflow and prevent moisture-related decay.

    The separation of neighbouring households was traditionally achieved through Parchin (natural or woven enclosures), which functioned as permeable boundaries while maintaining visual and social connectivity.
    Mahsa Khanpoor Siahdarka

    The integration of nature into built spaces, seen in Iranian veranda-like ayvans and Japanese engawa, reflects a philosophical alignment that prioritises harmony between architecture and the environment.

    These similarities suggest a convergent evolution. Distinct cultures independently arrived at comparable architectural solutions in response to similar climates and societies.

    The emphasis on community-based living and social interaction also reflects the role of women in agricultural, economic and social activities in northern Iran.

    The openness of homes, markets and farms contributed to women being active participants in public life.

    An alley in the traditional village Masuleh in Gilan province of northern Iran.
    Matyas Rehak/Shutterstock

    In more conservative or arid regions, architectural boundaries enforce stricter gender divisions. But here, the architecture facilitated organic interactions across gender and age groups.

    Northern Iran’s humid climate, abundant rainfall and fertile land allowed for greater agricultural and pastoral productivity. With easier access to food, water and materials, the domestic burden was reduced. This enabled women to participate more actively in public and economic life, including market trade, rice farming and animal husbandry.

    The introverted south

    The harsh desert conditions in southern and central Iran were more like an opposing force or army. The climate was something to defend against, unlike the friendlier climate of the north.

    In response, the architecture became sheltered and self-contained. Architecture in southern and central Iran relies almost entirely on earth-based materials such as mud brick (khesht), adobe and fired brick.

    Building materials are drawn directly from the surrounding soil. The architecture is deeply rooted – both literally and culturally – in its environment.

    The architecture of central Iran, like the city of Yazd, is deeply rooted in its environment.
    Jakob Fischer/Shutterstock

    Domed roofs are not only structurally efficient but also thermally responsive. At any given time, one side of the dome is shaded by its own curve, creating a cooler surface that encourages air movement and passive cooling.

    Houses are centred around courtyards that create microclimates within enclosed spaces (Bagh-e-Khaneh). High walls, minimal external windows and windcatchers (badgirs) regulate airflow while limiting solar radiation.

    The inward-facing design of these buildings historically reinforced social norms that confined women to private domestic spheres, limiting their visibility in urban life.

    The harsh desert climate, combined with cultural norms around modest clothing, often confined women to the interior spaces of the home. Architectural features which were essential for passive cooling and privacy shaped a lifestyle centred around the domestic sphere.

    Houses in central Iran are centred around courtyards that create microclimates within enclosed spaces.
    MehmetO/Shutterstock

    The demanding nature of desert life meant basic tasks like securing water, preserving food and producing textiles required significant domestic labour.

    In many desert cities like Yazd or Kashan, domestic architecture was designed to protect not just from heat, but also from public view. This meant women’s daily lives were largely contained within high-walled courtyards, internal corridors, and roofscapes. Here, women could move freely but invisibly.

    Architecture built gender segregation into the physical fabric of the city, shaping women’s roles, routines and social interactions for generations.

    Climate and culture

    The way climate and culture shape Iranian architecture is complex.

    In both northern and central Iran, buildings adapt to the environment. The humid north features open, outward-facing structures. The arid central regions rely on enclosed courtyards to manage extreme heat.

    However, climate alone does not fully explain these differences.

    Much more of life in central Iran is centred around inside spaces, to protect from the harsh environment.
    muratart/Shutterstock

    Architect Amos Rapoport argues that, while climate sets limits, culture, social structures and history play a bigger role in shaping architecture.

    In Iran, architecture does not just reflect the climate. It also shapes social spaces and gender roles.

    Buildings are more than just shelters. They influence how people live, interact, and define their communities. Understanding this relationship can help us see architecture as an evolving part of society, shaped by both nature and human choices.

    Mahsa Khanpoor Siahdarka does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    ref. The ‘extroverted’ north and ‘introverted’ south: how climate and culture influence Iranian architecture – https://theconversation.com/the-extroverted-north-and-introverted-south-how-climate-and-culture-influence-iranian-architecture-251357

    MIL OSI AnalysisEveningReport.nz

  • MIL-OSI New Zealand: Marine Environment – Attenborough’s Ocean highlights horrors of bottom trawling – Greenpeace

    Source: Greenpeace

    Greenpeace is welcoming the release of David Attenborough’s latest documentary Ocean, which shines a spotlight on the scale of bottom trawling destruction, and issues an urgent message to turn the tide.
    The veteran broadcaster’s latest documentary turns its attention to the brutal realities of industrial fishing, and the damage it’s doing to the global oceans. With never before seen footage of trawling across the seabed, Attenborough attests:
    “The idea of bulldozing a rainforest causes outrage, yet we do the same underwater every day.
    “Surely you would argue it must be illegal.”
    Greenpeace Aotearoa and allies have been campaigning for decades to restrict this damaging fishing practice from where it does the most harm, but has faced continuous pushback from the NZ industry and a lack of ambition from successive governments.
    In the high seas of the South Pacific, New Zealand is the last country to be bottom trawling, and has blocked protections for vulnerable habitats from this method.
    Oceans campaigner Ellie Hooper says the writing is on the wall when it comes to bottom trawling, with the majority of New Zealanders supporting the method being banned on seamounts and similar features.
    “Despite the NZ fishing industry’s desperate attempts to greenwash itself and claim their activities are sustainable, there is no such thing as sustainable bottom trawling, especially when it happens on sensitive habitats.
    “Bottom trawling is destructive by nature. Dragging heavy nets across the seabed destroys coral and sponge habitats on seamount areas, and releases carbon stored in the seabed. It has huge biodiversity and climate impacts. This destructive method also catches and kills huge numbers of non-target species, with anything from dolphins, fur seals and seabirds becoming collateral damage.”
    A government report released in 2023 showed that 99% of coral bycatch was attributed to bottom trawling methods over a thirteen year period – 200 tonnes of it having been observed coming up in nets.
    “This is only the tip of the iceberg,” says Hooper, “given that most of the coral destroyed by trawlers does not come up in the net.”
    “Many fish stocks in New Zealand are also data deficient, meaning we actually don’t know how they’re doing. Signs from some orange roughy populations that have been assessed in recent years do not paint a good picture. They’re showing signs of decline, and breeding groups of fish have disappeared from where they once were.”
    The place where they were deemed to be doing better was on a seamount that has been closed to bottom trawling for years.
    “In the middle of an ocean and biodiversity crisis, bottom trawling is too destructive to continue. The industry can try to split the issue any way they want – but the writing is on the wall. And the footage from this documentary really says it all.”
    At the end of Ocean, Attenborough encourages world leaders to propose global ocean sanctuaries at the UN Ocean Conference in June.
    These sanctuaries, made possible under the hard-won Global Ocean Treaty, would be a critical part of protecting the world’s oceans, including in the Tasman Sea.

    MIL OSI New Zealand News

  • MIL-OSI USA: EPA Announces Proposed Approval of North Dakota Coal Combustion Residual Program

    US Senate News:

    Source: United States Senator Kevin Cramer (R-ND)
    ***Click here for audio.***
    WASHINGTON, D.C. – After two years of delay, the U.S. Environmental Protection Agency (EPA) announced the proposed approval of North Dakota’s Coal Combustion Residual (CCR) Permit Program. States are authorized to apply for primacy to operate their own permit programs as long as such programs meet federal baseline standards. CCRs consist of solid byproducts from coal-based power plants, including fly ash, bottom ash, boiler slag, and flue gas desulfurization solids like synthetic gypsum.
    U.S. Senator Kevin Cramer (R-ND), member of the Senate Environment and Public Works Committee, applauded the EPA’s announcement.
    “President Trump’s approval of North Dakota’s CCR Permit Program is a crystal-clear example of his commitment to American energy dominance,” said Cramer. “North Dakota’s application contained all of the required elements, yet the radical environmentalist embedded in the Biden administration sat on our program and our permit with the full intention to injure North Dakota’s coal industry because they hate coal. Our state really produces the nation’s lowest cost electricity because of that coal, and this approval will certainly ensure we remain leaders in energy production. Thank you to President Trump and EPA Administrator Zeldin for processing our state’s application and restoring sanity to the permit approval process!”
    In 2023, Cramer secured more than $600,000 from the EPA for North Dakota to create its CCR Program and finalize its application, ensuring adherence to federal standards and training for North Dakota program staff. Despite clear statutory language requiring a decision in less than 180 days, the EPA kept the application in limbo for more than two years. Only after direct involvement from President Trump and Administrator Zeldin did EPA reengage with North Dakota to announce the proposed approval of the application.
    Previously, then-Congressman Cramer supported the Water Infrastructure Improvements for the Nation (WIIN) Act to direct the EPA to approve state primacy programs regulating CCRs in states that choose to apply. The WIIN Act was signed into law on December 16, 2016.

    MIL OSI USA News

  • MIL-OSI NGOs: ‘Tinkering at the edges’: Woodside’s revised Browse plans fail to mitigate Scott Reef risk

    Source: Greenpeace Statement –

    SYDNEY/PERTH, Tuesday 13 May 2025 — Greenpeace Australia Pacific has welcomed the WA EPA’s rare decision to reopen public consultation for Woodside’s revised Browse offshore gas proposal submitted in March.

    The WA EPA assessed Woodside’s original proposal as “unacceptable”, citing concerns about serious potential impacts to the environmentally sensitive Scott Reef. This included risk of an oil spill, impacts on threatened species, and the subsidence of Sandy Islet, a vital rookery for the endangered green sea turtle.

    Over 20,000 public submissions were lodged in response to Woodside’s previous proposal. Woodside’s Browse plans would see drilling for gas directly underneath the Scott Reef. 

    Geoff Bice, WA Campaign Lead at Greenpeace Australia Pacific, said: “Greenpeace welcomes the rare decision by the WA EPA to reopen public consultation for Woodside’s disastrous Browse gas proposal, which threatens our oceans and marine life, and places communities across Australia at increased risk of climate harm.

    “Woodside’s revised plans are merely tinkering at the edges of what is a fundamentally problematic proposal, which fails to address the risk of subsidence at Sandy Islet, and hinges on a yet to be proven technology to mitigate the risk of a major oil spill — it is incompatible with the protection of the fragile Scott Reef. 

    “It’s unthinkable today that we would allow a multinational fossil fuel company to drill for gas on the Great Barrier Reef — we must not accept this at Scott Reef, home to vibrant coral, threatened species like pygmy blue whales and a critical green sea turtle rookery.

    “Time and time again, Woodside has demonstrated it can’t be trusted with our oceans. Community opposition to this project is growing stronger by the day and we expect to see a large number of submissions in response to these revised plans. 

    “Greenpeace and our supporters will be watching this closely — we urge the WA EPA and the new Federal Environment Minister Murray Watt to heed community concerns and reject Woodside’s reckless gas expansion plans once and for all.”

    -ENDS-

    For more information or interviews contact Kate O’Callaghan on 0406 231 892 or [email protected]

    MIL OSI NGO

  • MIL-Evening Report: Indigenous Kanaks support New Caledonia’s 50-year ban on seabed mining

    By Andrew Mathieson

    New Caledonia has imposed a 50-year ban on deep-sea mining across its entire maritime zone in a rare and sweeping move that places the French Pacific territory among the most restricted exploration areas on the planet’s waters.

    The law blocks commercial exploration, prospecting and mining of mineral resources that sits within Kanaky New Caledonia’s exclusive economic zone.

    Nauru and the Cook Islands have already publicly expressed support for seabed exploration.

    Sovereign island states discussed the issue earlier this year during last year’s Pacific Islands Forum, but no joint position has yet been agreed on.

    Only non-invasive, scientific research will be permitted across New Caledonia’s surrounding maritime zone that covers 1.3 million sq km.

    Lawmakers in the New Caledonian territorial Congress adopted a moratorium following broad support mostly from Kanak-aligned political parties.

    “Rather than giving in to the logic of immediate profit, New Caledonia can choose to be pioneers in ocean protection,” Jérémie Katidjo Monnier, the local government member responsible for the issue, told Congress.

    A ‘strategic lever’
    “It is a strategic lever to assert our environmental sovereignty in the face of the multinationals and a strong signal of commitment to future generations.”

    New Caledonia’s location has been a global hotspot for marine biodiversity.

    Its waters are home to nearly one-third of the world’s remaining pristine coral reefs that account for 1.5 percent of reefs worldwide.

    Environmental supporters of the new law argue that deep-sea mining could cause a serious and irreversible harm to its fragile marine ecosystems.

    But the pro-French, anti-independence parties, including Caledonian Republicans, Caledonian People’s Movement, Générations NC, Renaissance and the Caledonian Republican Movement all planned to abstain from the vote the politically conservative bloc knew they could not win.

    The Loyalists coalition argued that the decision clashed with the territory’s “broader economic goals” and the measure was “too rigid”, describing its legal basis as “largely disproportionate”.

    “All our political action on the nickel question is directed toward more exploitation and here we are presenting ourselves as defenders of the environment for deep-sea beds we’ve never even seen,” Renaissance MP Nicolas Metzdorf said.

    Ambassador’s support
    But France’s Ambassador for Maritime Affairs, Olivier Poivre d’Arvor, had already asserted “the deep sea is not for sale” and that the high seas “belong to no one”, appearing to back the policy led by pro-independence Kanak alliances.

    The vote in New Caledonia also coincided with US President Donald Trump signing a decree a week earlier authorising deep-sea mining in international waters.

    “No state has the right to unilaterally exploit the mineral resources of the area outside the legal framework established by UNCLOS,” said the head of the International Seabed Authority (ISA), Leticia Carvalho, in a statement referring back to the United Nations’ Convention on the Law of the Sea.

    Republished from the National Indigenous Times.

    MIL OSI AnalysisEveningReport.nz

  • MIL-OSI New Zealand: Awards – New crop of PINZ Award finalists named

    Source: Federated Farmers

    A Southlander who created edible bale netting and rural heroes who made their mark advocating for pragmatic regulation and supporting stressed-out farmers feature among PINZ 2025 finalists.
    The seventh annual Primary Industries NZ Awards are a highlight of the two-day PINZ Summit taking place at Te Pae Christchurch Convention Centre 24 and 25 June.
    “With tariff tit-for-tat sparking disruption and uncertainty in export markets, more than ever New Zealand needs the primary sector to be innovative and enterprising,” Federated Farmers Chief Executive Terry Copeland says.
    “The PINZ Awards celebrate our primary industry movers and shakers – the science and food production teams delivering a market edge for our exported goods, the leaders who go the extra mile.
    “Their efforts inspire others and lift the employment prospects and standard of living for fellow Kiwis,” Copeland says.
    Rural Hero finalists are (the late) Chris Allen, Neil Bateup and Ian Jury.
    Allen, who died in an accident on his Ashburton farm last December, gave 14 years’ service as an elected Federated Farmers leader, including eight years on the national board.
    A champion of rural causes, he steered a pragmatic and balanced approach on environment and water issues, earning respect not just from farmers but from those with opposing views.
    Neil Bateup helped set up the Waikato Hauraki Coromandel Rural Support Trust in 2004 and in 2017 became founding chair of the NZ RST. He’s given countless hours supporting farmers and rural families facing hard times.
    The third Rural Hero finalist is Ian Jury, an 85-year-old who for 20 years has been raising money for the Taranaki rescue helicopter by collecting batteries for recycling.
    Four young women selected as Emerging Leader Award finalists illustrate the depth of talent being fostered in our primary industries.
    Bridie Virbickas succeeded in her bid for one of the hotly-contested DairyNZ Associate director roles and followed that by joining waste recycling enterprise AgRecovery as a foundation trustee.
    A contract milker who has overseen expansion of her employing farm from 270 to 850 cows, she put up her hand to be Federated Farmers Bay of Plenty sharefarmer chair to ensure a voice for the district’s young farmers is at the decision-making table.
    The role has seen her help out in a number of cases where the relationship between a sharefarmer and farm owner had broken down.
    Imogen Brankin has only been with Silver Fern Farms for three years but the On-Farm Sustainability Advisor has organised 60 ‘Know Your Number’ climate change workshops.
    She was winner of the 2022 Polson Higgs and Young Farmers Innovation Competition, speaking on the topic “Can Farming Deliver a Sustainable Future for New Zealand”, and was part of a team of five who competed in the 2023 IFAMA Global Case Study Competition.
    Newly appointed Onions NZ general manager Kazi Talaska has served on the Food and Fibre Youth Council, latterly as chair, and champions the Vegetable Industry Centre of Excellence to support the vegetable industry research pipeline.
    Talaska worked with industry partners and growers to obtain $2 million in funding to set up a first-of-its-kind vegetable research farm, in Pukekohe.
    The fourth Emerging Leader Award finalist is agricultural sustainability coach Lucy Brown. Through her work with the MPI-funded Integrated Farm Planning project, and in other roles, she’s found ways to show farmers sustainability is not just a theoretical concept but something that is practical and achievable.
    Molesworth Station manager James (Jim) Ward is up against senior AgResearch scientists Dr Robyn Dynes and David Wheeler for the Champion Award.
    For nearly two decades, Ward has been a force on the Federated Farmers High Country committee and the Wilding Pine Network NZ, where he has tirelessly advocated for change, shaped policies, and driven meaningful improvements for New Zealand high-country farmers.
    Starting off as farm manager at Molesworth in 2001, Ward has faced and overcome countless challenges to ensure the station remains economically viable through a blend of pastoral farming, conservation, and recreation values – all under the microscope of the public eye.
    Wheeler has worked hard to bridge the gap between environmental stewardship and agricultural productivity, shaping and improving the farm management tool Overseer.
    Dynes, a Principal Scientist and Farmer Engagement Specialist in AgResearch, has had a highly regarded science career focused on farming systems at the interface between forage science and animal science.
    Southland farmer Grant Lightfoot is a finalist for the Food, Beverage and Fibre Producer Award after creating edible and biodegradable bale netting made from jute. It’s an environment-friendly alternative to plastic netting, which isn’t recyclable and is often ingested by livestock.
    The two other contenders in this category are Chia Sisters, who produce a gut health-supporting drink from a golden kiwifruit probiotic, kawakawa and hail-damaged cherries, and New Image International, which exports health and beauty products to millions of people around the world.
    The full list of 2025 Primary Industries NZ Award finalists is:
    Emerging Leader Award (sponsor Lincoln University)
    Bridie Virbickas, Federated Farmers Bay of Plenty Sharemilker Chair
    Imogen Brankin, On-Farm Sustainability Advisor, Silver Fern Farms
    Kazi Talaska, General Manager, Onions NZ
    Lucy Brown, The Whole Story
    Champion Award (sponsor BASF)
    David Wheeler, Senior Scientist, AgResearch
    James (Jim) Ward, Manager Molesworth Station
    Dr Robyn Dynes, Principal scientist and farmer engagement specialist, AgResearch
    Team & Collaboration Award (sponsor Overseer)
    nProve for Beef – online genetics tool, Beef + Lamb New Zealand
    Food System Integrity Team, AgResearch, led by Dr Gale Brightwell
    An open data sharing ecosystem: Fonterra, Ballance, Ravensdown, and LIC.
    Technology Innovation Award (sponsor AsureQuality Kaitiaki Kai)
    TEO for Ovitage®, the world’s most complete collagen
    FAR for Combine Workshops – increasing productivity on arable farms
    Alliance Group NZ for Meat Eating Quality (MEQ) technology
    Food, Beverage and Fibre Producer Award (sponsor Kotahi)
    Chia Sisters
    Kiwi Econet – founder, Grant Lightfoot
    New Image International
    Guardianship & Conservation/Kaitiakitanga Award (sponsor Rabobank)
    Pāua Dashboard – Pāua Industry Council
    The eDNA for water quality Team – led by Dr Adrian Cookson
    Pacificvet, co-founder Kent Deitemeyer
    Rural Hero of the Year (sponsor Fern Energy)
    Chris Allen (posthumous)
    Neil Bateup, Founder, Rural Support Trust
    Ian Jury, Taranaki grassroots good sort
    Outstanding Contribution to NZ’s Primary Industries Award (sponsor AgResearch)
    Winner to be announced on the night 

    MIL OSI New Zealand News

  • MIL-OSI Economics: Media release: Australian oil and gas sector welcomes new Albanese Ministry – Australian Energy Producers

    Source: Australian Petroleum Production & Exploration Association

    Headline: Media release: Australian oil and gas sector welcomes new Albanese Ministry – Australian Energy Producers

    Australia’s oil and gas industry looks forward to working with Prime Minister Anthony Albanese’s new Ministry to progress necessary reforms for Australia’s long-term energy security and economic growth.

    Australian Energy Producers Chief Executive Samantha McCulloch welcomed the re-appointment of Minister for Resources and Northern Australia Madeleine King.

    “Minister King understands the critical and long-term role of natural gas in our energy mix and the importance of a strong and sustainable gas industry for Australia. We welcome the opportunity to continue to work with Minister King on the implementation of the Future Gas Strategy” Ms McCulloch said.

    “An urgent priority must be removing barriers to new gas supply. The industry is committed to working with the Government to provide certainty for investment and ensure reliable and affordable energy for Australian households and industry.”

    Ms McCulloch also welcomed the appointments of Minister for Environment and Water Murray Watt and Minister for Industry and Innovation Tim Ayres.

    “Minister Watt has an important job ahead to fix Australia’s environmental approvals system, with the delayed decision on the North West Shelf extension an immediate focus,” Ms McCulloch said.

    Ms McCulloch also welcomed the reappointment of Minister for Climate Change and Energy Chris Bowen, ahead of the upcoming review of the Gas Market Code.

    “The review is an opportunity for Government to work with gas producers, users and other stakeholders on reforms to the Code that restore market signals, remove duplicative and onerous reporting requirements, and address barriers to new gas supply,” Ms McCulloch said.

    Australian Energy Producers also acknowledged outgoing ministers Tanya Plibersek for her contribution in the environment portfolio, and Ed Husic in the industry portfolio.

    Media contact: 0434 631 511

    MIL OSI Economics

  • MIL-OSI New Zealand: Rare duck on the comeback near Milford Track

    Source: Police investigating after shots fired at Hastings house

    Date:  13 May 2025

    The small brown ducks found only in Aotearoa New Zealand previously became extinct in the South Island due to the combined impacts of predators, habitat loss and other threats.

    Since 2009, captive-reared pāteke have been reintroduced to the area around the Milford Track – one of only two restored populations in the South Island.

    Department of Conservation Biodiversity Ranger Louise McLaughlin and team celebrated the success by releasing 40 more captive-reared pāteke in the Arthur Valley to join their thriving friends in early May.

    Louise says with support from Air New Zealand and iwi, DOC staff release and monitor pāteke with specialised transmitters.

    “We’re not just throwing them out there and hoping for the best, we’re tracking their survival, and learning, always learning.

    “With high rainfall and risk of floods, this can be a tough location for pāteke, but their biggest threat remains their vulnerability to introduced predators. They just don’t have a ‘fight back’ mechanism at all, they’re sitting ducks.

    “Fortunately, we’ve seen incredible survival rates following 1080 predator control operations. This year we’ve had more than 86% survival. In the years when we don’t have 1080 operations, survival can drop to as low as 16%.”

    With more pāteke dabbling in the rivers, visitors to the Milford Track are more likely to spot this unique duck in the future.

    Every year 25 million native birds are killed by invasive predators. DOC’s National Predator Control Programme protects threatened native species by regularly suppressing introduced predators across large forest areas on public conservation land.

    In the Arthur and Clinton valleys DOC uses aerially applied biodegradable 1080 to target rats, possums and stoats, supported by traps along the valley floor to target stoats in between 1080 operation years. The frequency of 1080 operations is dependent on predator numbers, and the most recent operation was in 2024.

    “It’s so wonderful doing the monitoring after we’ve had a 1080 operation. There is more life in the forest, there are more nests, more fledglings, and it’s not just pāteke, it’s benefiting all our native forest animals,” says Louise.

    With predators controlled, pāteke have a chance to build their resilience to natural threats.

    “We’re finding that the longer they survive out there, the better they get at putting their nests in smart locations above the floodline. The population is becoming more savvy, more fit for this location.”

    The recent pāteke release has been made possible by Auckland Zoo, Ōtorohanga Kiwi House, Central Energy Trust Wildbase Recovery, Ngā Manu Nature Reserve, Pūkaha National Wildlife Centre, Staglands Wildlife Reserve, Natureland Wildlife Trust, Orana Wildlife Park, Willowbank Wildlife Reserve, Kiwi Park, and The Isaac Conservation and Wildlife Trust, with the support of Air New Zealand.

    Contact

    For media enquiries contact:

    Email: media@doc.govt.nz

    MIL OSI New Zealand News

  • MIL-OSI USA: Hoeven: EPA Approves State-Led Coal Ash Recycling and Disposal Program in North Dakota

    US Senate News:

    Source: United States Senator for North Dakota John Hoeven
    05.12.25
    Program Created Under Hoeven-Led Law Passed in 2016, Provides Certainty for Coal Producers
    WASHINGTON – U.S. Senator John Hoeven today announced the U.S. Environmental Protection Agency (EPA) approved the State of North Dakota’s application for a state-led coal ash recycling and disposal program. The program is made possible through bipartisan legislation Hoeven authored and passed in 2016 and will:
    Provide certainty for the safe and efficient recycling of coal ash.
    Coal ash recycling allows for the productive use of coal residuals in applications like construction, where it serves as an ingredient in a less-expensive, stronger and more durable form of cement.
    Coal ash was used in the construction of the North Dakota Heritage Center and the National Energy Center of Excellence at Bismarck State College.

    Establish an enforceable state permit program for the disposal of coal ash, which requires protective infrastructure for disposal sites as well as timely and effective groundwater monitoring, among other standards.
    “North Dakota is leading the way in developing more energy with better environmental stewardship, which is why we authored and passed bipartisan legislation in 2016 to enable this states-led approach for recycling coal ash,” said Hoeven. “We appreciate EPA working with our state to advance approval of North Dakota’s coal ash permit program, which will ultimately ensure that coal ash is managed in a way that works for our energy producers and the environment.”
    Hoeven’s legislation was needed after an EPA rule issued in 2014 correctly regulated coal as a non-hazardous material, but did not create an effective enforcement mechanism. Instead, the regulation relied on litigation to enforce standards, creating uncertainty and added cost for coal producers. States that choose not to create a permit program or that do not have an approved application from EPA will continue to be regulated directly by EPA.

    MIL OSI USA News

  • MIL-OSI USA: Energy Department Slashes 47 Burdensome and Costly Regulations, Delivering First Milestone in America’s Biggest Deregulatory Effort

    Source: US Department of Energy

    The U.S. Department of Energy (DOE) today announced the first step in the Energy Department’s largest deregulatory effort in history, proposing the elimination or reduction of 47 regulations.

    Energy.gov

    May 12, 2025

    minute read time

    WASHINGTON — The U.S. Department of Energy (DOE) today announced the first step in the Energy Department’s largest deregulatory effort in history, proposing the elimination or reduction of 47 regulations that are driving up costs and lowering quality of life for the American people. Once finalized, these actions will save the American people an estimated $11 billion and cut more than 125,000 words from the Code of Federal Regulations. These actions, in accordance with President Donald Trump’s Executive Order, “Zero-Based Regulation to Unleash American Energy,” advance President Trump’s promise to restore consumer freedom, lower costs, and unleash American energy dominance. 

    “While it would normally take years for the Department of Energy to remove just a handful of regulations, the Trump Administration assembled a team working around the clock to reduce costs and deliver results for the American people in just over 110 days,” said U.S. Secretary of Energy Chris Wright. “Thanks to President Trump’s leadership, we are bringing back common sense — slashing regulations meant to appease Green New Deal fantasies, restrict consumer choice and increase costs for the American people. Promises made, promises kept.”

    The 47 actions include the proposed elimination or modification to dozens of consumer appliance standards, regulations limiting building and energy production and unscientific DEI requirements for grant recipients. The full list of actions is available below:

    47 Deregulatory Actions

    1. Rescinding Requirements for Exempt External Power Supplies Under the EPS Service Parts Act of 2014
    2. Streamlining Administrative Procedures with Respect to the Import and Export of Natural Gas
    3. Streamlining Application for Presidential Permit Authorizing the Construction, Connection, Operation, and Maintenance of Facilities for Transmission of Electric Energy at International Boundaries
    4. Rescinding Collection of Information Under the Energy Supply and Environmental Coordination Act of 1974
    5. Rescinding Regulations for Loans for Minority Business Enterprises Seeking DOE Contracts and Assistance
    6. Streamlining Applications for Authorization to Transmit Electric Energy to a Foreign Country
    7. Rescinding the Production Incentives for Cellulosic Biofuels
    8. Rescinding Reporting Requirements, Certification, Independent Verification, and DOE Review for Voluntary Greenhouse Gas Reporting
    9. Rescinding the Grant Programs for Schools and Hospitals and Buildings Owned by Units of Local Government and Public Care Institutions
    10. Rescinding the Renewable Energy Production Incentive  
    11. Streamlining the Procedures for Acquisition of Petroleum for the Strategic Petroleum Reserve
    12. Rescinding Energy Conservation Standards for Automatic Commercial Ice Makers
    13. Rescinding Energy Conservation Standards for Commercial Prerinse Spray Valves
    14. Rescinding the Energy Conservation Standards for Microwave Ovens
    15. Rescinding the Water Use Standards for Faucets
    16. Rescinding Energy Conservation Standards for External Power Supplies
    17. Rescinding in Part the Amended Energy Conservation Standards for Dehumidifiers
    18. Rescinding the Amended Design Requirements for Conventional Cooking Tops
    19. Rescinding the Amended Design Requirements for Conventional Ovens
    20. Rescinding the Amended Water Conservation Standards for Commercial Clothes Washers
    21. Rescinding the Amended Water Use Standards for Residential Clothes Washers
    22. Rescinding the Amended Water Use Standards for Residential Dishwashers
    23. Rescinding the Efficiency Standards for Battery Chargers
    24. Rescinding the Efficiency Standards for Compact Residential Clothes Washers
    25. Rescinding Floodplains and Wetlands Environmental Review Requirements
    26. Ending Requirements for Members of One Sex to Be Able to Try Out for Sports Teams of the Opposite Sex
    27. Rescinding New Construction Requirements Related to Nondiscrimination in Federally Assisted Programs or Activities
    28. Rescinding Obsolete Financial Assistance Rules
    29. Rescinding Obsolete Transfer of Proceedings Regulations
    30. Rescinding Regulations Related to Nondiscrimination on the Basis of Sex in Education Programs or Activities Receiving Federal Financial Assistance
    31. Rescinding Regulations Related to Nondiscrimination in Federally Assisted Programs or Activities (General Provisions)
    32. Rescinding Regulations Related to Nondiscrimination in Federally Assisted Programs or Activities (Nondiscrimination on the Basis of Age)
    33. Rescinding Unnecessary Regulation Encouraging Alternative Dispute Resolution
    34. Withdrawing Air Cleaners as a Covered Consumer Product
    35. Withdrawing Compressors as a Covered Equipment
    36. Withdrawing Miscellaneous Refrigeration Products as a Covered Consumer Product
    37. Withdrawing Portable Air Conditioners as a Covered Consumer Product
    38. Withdrawal of Fans and Blowers as Covered Equipment
    39. Rescinding Test Procedures for Small Electric Motors
    40. Rescinding Test Procedures for Commercial Warm Air Furnaces
    41. Rescinding Unnecessary ADR Regulations for DOE Contractor Employee Protection Program
    42. Request for Information on Lowering the Efficiency Standards for Furnace Fans
    43. Notice Rescinding 10 Unlawful and Burdensome Guidance documents
    44. Rescinding the Definition of Showerhead to Unleash Better Shower Pressure
    45. Withdrawing Portable Electric Spas as a Covered Product
    46. Withdrawing Miscellaneous Gas Products as a Covered Product
    47. Delaying Compliance Date for Federal Agencies to Meet the Clean Energy Federal Building Rule

    NNSA issues Notice of Intent to prepare a Programmatic Environmental Impact Statement for its plutonium pit production mission

    MIL OSI USA News

  • MIL-OSI Security: Environmental Crimes Bulletin – April 2025

    Source: United States Attorneys General

    View All Environmental Crimes Bulletins


    In This Issue:


    Cases by District/Circuit


    District/Circuit Case Name Conduct/Statute(s)
    District of Alaska United States v. Jason Christenson Tampering with a Monitoring Device/Clean Air Act
    United States v. Matanuska Diesel, LLC, et al. Tampering with a Monitoring Device/ Clean Air Act, Conspiracy
    Western District of Arkansas United States v. Redemption Repairs & Performance Tampering with a Monitoring Device/Clean Air Act
    Southern District of California United States v. Dumitru Cicai Pesticide Smuggling
    United States v. Sarmad Ghaled Dafer, et al. Monkey Smuggling/ Conspiracy
    Southern District of Florida United States v. Royce Gillham Biofuel Credits/Conspiracy, False Claims, Wire Fraud
    Southern District of Georgia United States v. Justin Taylor Tampering with a Monitoring Device/Conspiracy, Tax
    District of Maryland United States v. Idrissa Bagayoko Pesticide Sales/FIFRA, HMTA
    District of Massachusetts United States v. John D. Murphy Dog Fighting/Animal Welfare Act
    Eastern District of Michigan United States v. Tribar Technologies, Inc. Wastewater Discharges/Clean Water Act
    District of Montana United States v. Mold Wranglers, et al. Lead Paint Abatement/False Claims Act/Toxic Substances Control Act, Knowing Endangerment
    United States v. Melanie Ann Carlin Lead Paint Disclosures/Toxic Substances Control Act
    District of New Jersey United States v. Johnnie Lee Nelson, et al. Dog Fighting/Animal Fighting Venture, Conspiracy
    United States v. Antonio Pereira, et al. Scallop Harvesting/ Conspiracy, Obstruction
    Eastern District of New York United States v. Charles Limmer Butterfly Smuggling/ Conspiracy
    United States v. John Waldrop, et al. Bird Mounts/Conspiracy, Endangered Species Act
    Southern District of New York United States v. Jose Correa Asbestos Removal/Clean Air Act
    District of Oregon United States v. Chamness Dirt Works, Inc., et al. Asbestos Removal/Clean Air Act
    United States v. J.H. Baxter & Co., Inc. et al. Hazardous Waste Treatment and Emissions/Clean Air Act, Resource Conservation and Recovery Act, False Statement
    Middle District of Pennsylvania United States v. Ryan Spencer Tampering with a Monitoring Device/Clean Air Act, Conspiracy
    Western District of Pennsylvania United States v. Dale A. Smith Ginseng Sales/ Conspiracy, Lacey Act
    District of Rhode Island United States v. Onill Vasquez Lozada, et al. Cockfighting/Animal Welfare Act
    District of South Carolina United States v. Lauren DeLoach Sperm Whale Teeth and Bones/Lacey Act, Marine Mammal Protection Act
    Northern District of Texas United States v. Dlubak Glass Company Hazardous Waste Storage/False Statement
    Southern District of Texas United States v. Priscilla Sanchez Monkey Smuggling/Lacey Act
    Western District of Texas United States v. Aghorn Operating, Inc., et al. Employee Death/Clean Air Act, False Statement, Safe Drinking Water Act, Worker Safety
    Western District of Virginia United States v. Coby Brummett Ginseng Digging/ Unauthorized Removal Natural Product from Park
    Eastern District of Washington United States v. Pavel Ivanovich Turlak, et al. Tampering with a Monitoring Device/Clean Air Act, Conspiracy, False Claims, Wire Fraud
    Western District of Washington United States v. Joel David Ridley Eagle Killing/Bald and Golden Eagle Protection Act, Firearm
    Northern District of West Virginia United States v. Michael Kandis Reptile Trafficking/Lacey Act

    Recently Charged


    United States v. Ryan Spencer

    • No. 1:25-CR-00100 (Middle District of Pennsylvania)
    • ECS Senior Trial Attorneys RJ Powers and Ron Sarachan
    • AUSA David Williams

    On April 4, 2025, prosecutors filed an information charging Ryan Spencer with conspiring to impede the lawful functions of the Environmental Protection Agency (EPA) and to violate the Clean Air Act (CAA), as well as substantive CAA violations (18 U.S.C. § 371; 42 U.S.C. § 7413(c)(2)(C)).

    Between 2013 and March 2024, Spencer, a Service Manager at Pro Diesel Werks, LLC, along with Pro Diesel Werks owner Roy Ladell Weaver and others, disabled the hardware emissions control systems on the diesel vehicles of Pro Diesel Werks’ customers (a practice referred to as a “delete” or “deleting”), defeating the systems’ ability to reduce pollutant gases and particulate matter emitted into the atmosphere. The information further alleges that Spencer and his co-conspirators also tampered with the emissions diagnostic systems on the vehicles to prevent the diagnostic system software from monitoring the emission control system hardware deletes (a practice referred to as a “tune” or “tuning”).

    On February 19, 2025, a grand jury indicted Weaver and Pro Diesel Werks on similar charges.

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation.

    Related Press Release: Middle District of Pennsylvania | Dauphin County Man Charged With Violations of Clean Air Act and Conspiring to Defraud the United States and Violate the Clean Air Act | United States Department of Justice


    United States v. Joel David Ridley

    • No. 2:25-mj-00175 (Western District of Washington)
    • AUSA Celia Ann Lee

    On April 7, 2025, a court unsealed a complaint charging Joel David Ridley, a member of the Lummi Nation, with violating the Bald and Golden Eagle Protection Act and for illegally possessing a firearm (16 U.S.C. § 668(a); 18 U.S.C. 922(g)(1)).

    According to the complaint, on February 23, 2025, a witness on the Lummi Reservation heard a gunshot while walking his dog. As he walked home, the witness heard a second shot and saw a person pick up an eagle from the ground. As the witness was on the phone with police, he saw another eagle fall from a tree on his property. The eagle was badly injured. Police captured the surviving eagle and later transported it to the Humane Society.

    Shortly after meeting with the witness, police encountered an SUV in the area that matched the description provided by the reporting party.  A records check revealed the vehicle belonged to Ridley. When police responded to the residence, they observed a dead eagle in the back seat of Ridley’s vehicle.

    Police obtained a search warrant for Ridley’s vehicle and found a dead eagle and a .22 caliber Savage rifle concealed between the rear seats. Ridely is prohibited from possessing firearms due to a prior conviction.

    Both juvenile bald eagles were taken to the Washington State Humane Society and found to have suffered gunshot wounds. The surviving eagle had to be euthanized.

    While the Lummi Tribe is permitted to possess, distribute, and transport bald or golden eagles found dead within Indian Country, the permit does not authorize the taking of eagles by gunshot, poison, or trapping.

    The Lummi Nation Police Department and the Federal Bureau of Investigation conducted the investigation.

    Related Press Release: Western District of Washington | Member of Lummi Nation charged federally with illegal firearms possession and killing protected bald eagles | United States Department of Justice


    United States v. Dumitru Cicai

    • No. 3:25-mj-01628 (Southern District of California)
    • AUSA Emily Allen

    On April 8, 2025, prosecutors filed a complaint charging Dumitru Cicai with smuggling twenty-four one-liter bottles of “Taktic” pesticide into the United States (18 U.S.C. § 545).

    On March 31, 2025, Cicai drove into the United States at the San Ysidro Port of Entry. Cicai told the Customs and Border Patrol (CBP) primary inspection officer that he had nothing to declare. Upon inspecting the vehicle, the primary officer discovered multiple pieces of natural wood branches in the vehicle’s trunk and large bottles concealed in black bags.

    When questioned by the secondary CBP officer, Cicai said he only had wood to declare, nothing else. Upon closer inspection, officers found 24 bottles of pesticide labeled “Taktic.”

    “Taktic” contains the active ingredient amitraz at an emulsifiable concentration of 12.5 percent. Under U.S. Environmental Protection Agency regulations, amitraz in this form is a cancelled and unregistered pesticide in the United States.

    The U.S. Environmental Protection Agency Criminal Investigation Division and Homeland Security Investigations conducted the investigation. 


    United States v. Jason Christenson

    • No. 3:25-CR-00030 (District of Alaska)
    • AUSA Ainsley McNerney
    • RCEC Karla Perrin

    On April 25, 2025, prosecutors filed an information charging Jason Christenson with tampering with a Clean Air Act (CAA) monitoring device and CAA false statements (42 U.S.C. §§ 7413(c)(2)(C), (c)(2)(A)).

    Between October 2019 and March 2024, Christenson tampered with monitoring methods required to be maintained under the CAA by altering the emissions control equipment on approximately 170 diesel trucks. Christenson and his business, Elite Diesel Performance, also modified the onboard diagnostic systems of the vehicles to prevent them from detecting the fact that this equipment had been removed.

    On May 1, 2021, Christenson submitted a response to a Request for Information sent by the Environmental Protection Agency that contained false statements. Specifically, for the question asking whether he or his business had manufactured, sold, or installed any defeat devices, Christenson responded ‘no.’ In truth, he had installed more than 100 defeat devices on diesel trucks between January 2019 and January 2021.

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation.


    Guilty Pleas


    United States v. Priscilla Sanchez

    • No. 5:25-CR-00254 (Southern District of Texas)
    • AUSA Torie Sailor

    On April 1, 2025, Priscilla Sanchez pleaded guilty to violating the Lacey Act for attempting to import five spider monkeys, a protected species, into the United States from Mexico (16 U.S.C. §§ 3372(a)(2), 3373(d)(1)(A)). Sentencing is scheduled for July 1, 2025.

    On January 13, 2025, Sanchez attempted to enter the U.S. at the Port of Entry, near Laredo, Texas, driving an SUV. Customs and Border Protection officers referred her to secondary screening. Officers discovered a duffle bag with five monkeys wearing diapers concealed inside of it. Authorities confirmed they were spider monkeys, which are protected by the Convention on International Trade in Endangered Species. Sanchez admitted to keeping monkeys at her house and selling them for between $300 and $500 each. She also knew it was illegal to do so.

    The U.S. Fish and Wildlife Service Office of Law Enforcement, Homeland Security Investigations, and Customs and Border Protection conducted the investigation.

    Case photo of monkeys seized by CBP agents.


    United States v. Lauren DeLoach

    • No. 9:25-CR-00164 (District of South Carolina)
    • ECS Senior Trial Attorney Ryan Connors
    • AUSA Winston Holliday
    • AUSA Elle Klein

    On April 10, 2025, Lauren DeLoach pleaded guilty to violating the Marine Mammal Protection Act and Lacey Act trafficking for importing and selling sperm whale teeth and bones (16 U.S.C. §§ 1372(a)(4)(B), 3372(a)(1), 3373(b)(1)(B)).

    DeLoach operated a home decoration store in St. Helena Island, South Carolina. Between September 2021 and September 2024, he imported sperm whale parts to South Carolina, with at least 30 shipments coming from Australia, Latvia, Norway, and Ukraine. DeLoach instructed suppliers to label the items as “plastic” or “resin” so they would not be seized by U.S. Customs authorities. DeLoach acknowledged selling the teeth and bones from July 2022 through September 2024, in violation of the Lacey Act. He sold at least 85 items on eBay worth more than $18,000, and agents seized approximately $20,000 worth of sperm whale parts from DeLoach’s residence while executing a search warrant.

    Laboratory analysis confirmed the teeth and bones belonged to sperm whales, which are a protected species.

    The U.S. Fish and Wildlife Service Office of Law Enforcement and the National Oceanic and Atmospheric Administration conducted the investigation.

    Related Press Release: District of South Carolina | South Carolina Man Pleads Guilty for Illegally Importing and Selling Sperm Whale Teeth and Bones | United States Department of Justice


    United States v. Dale A. Smith

    • No. 1:21-CR-00031 (Western District of Pennsylvania)
    • AUSA Paul Sellers

    On April 21, 2025, Dale A. Smith pleaded guilty to conspiracy and to violating the Lacey Act for illegally purchasing American ginseng (18 U.S.C. § 371; 16 U.S.C. §§ 3372(a)(2)(B), 3373(d)(l)(B)).

    As the owner and operator of Alleghany Mountain Ginseng, Smith possessed licenses to deal wild American ginseng in Pennsylvania and New York. Between September 2018 and January 2020, he purchased wild ginseng in Pennsylvania from buyers who informed him that they harvested it from New York without required certifications. Smith then submitted falsified Ginseng Dealer Quarterly Reports stating he purchased legally harvested ginseng from Pennsylvania, when in fact the ginseng came from New York.

    The United States Fish and Wildlife Service Office of Law Enforcement conducted the investigation.


    United States v. Matanuska Diesel, LLC, et al.

    • No. 3:23-CR-00109 (District of Alaska)
    • AUSA Jennifer Ivers
    • RCEC Karla Perrin

    On April 23, 2025, Brendan Trevors entered into a pretrial diversion agreement, pleading guilty to conspiracy to violate the Clean Air Act (18 U.S.C. § 371). The charge will be dismissed in 18 months if Trevors complies with all the conditions in the agreement. This includes paying a $16,000 fine and restoring his vehicle back to original emission control parameters.

    Between July 2020 and June 2022, Matanuska Diesel, LLC, company owner Mackenzie Spurlock, and former co-owner Trevors, removed air pollution control equipment and tampered with federally mandated monitoring devices on diesel vehicles. The process of removing emissions control systems and reprogramming a vehicle’s onboard diagnostic system is known as “deleting” and “tuning.” These unlawful modifications result in a significant increase in pollutants emitted by the vehicle. The defendants tampered with approximately nine trucks, charging between $1,200 and $5,000 for those services.

    Matanuska and Spurlock are scheduled for trial to begin on October 20, 2025, for conspiring to violate the CAA and multiple substantive CAA violations (18 U.S.C. § 371; 42 U.S.C. § 7413(c)(2)(C)).

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation.


    United States v. Onill Vasquez Lozada, et al.

    • No. 1:24-CR-00075 (District of Rhode Island)
    • ECS Assistant Chief Stephen DaPonte
    • ECS Senior Trial Attorney Gary Donner
    • AUSA John McAdams

    On April 29, 2025, Onill Vasquez Lozada pleaded guilty to two counts of possessing, sponsoring, and exhibiting birds in an animal fighting venture in violation of the Animal Welfare Act (7 U.S.C. § 2156(a)(1), (b), (d); 18 U.S.C. § 49(a)). Sentencing is scheduled for July 29, 2025.

    Lozada is one of six defendants charged with violating the Animal Welfare Act in connection with a cockfighting operation. According to the indictment, on March 6, 2022, Miguel Delgado hosted a series of individual cockfights, known as “derbies,” at his Providence home. Delgado is also charged with sponsoring and exhibiting roosters in an animal fighting venture on multiple dates, buying and transporting sharp instruments, or “gaffs,” for use in the cockfights, and unlawfully possessing roosters for use in an animal fighting venture.

    Antonio Ledee Rivera and Lozada were charged with unlawfully possessing roosters in April 2021 for use in an animal fighting venture and for sponsoring and exhibiting roosters at a March 2022 derby at Delgado’ s home. Rivera was also charged in connection with an earlier derby at Delgado’ s home.

    Germidez Kingsley Jamie, Jose Rivera, and Luis Castillo are charged with sponsoring and exhibiting roosters at an animal fighting venture at the March 2022 derby. Jamie and Jose Rivera are also charged with one count of buying and transporting gaffs for use in an animal fighting venture.

    The Department of Agriculture Office of Inspector General, the Postal Inspection Service, the Food and Drug Administration Office of Criminal Investigation, and the Rhode Island Society for the Prevention of Cruelty to Animals conducted the investigation. The following agencies also assisted: the U.S. Marshals Service; the U.S. Fish and Wildlife Service Office of Law Enforcement; U.S. Customs and Border Protection; Rhode Island State Police; Massachusetts State Police; Animal Rescue League of Boston’s Law Enforcement Division; and Providence, Woonsocket, and Attleboro, MA, Police Departments.


    United States v. Michael Kandis

    • No. 5:25-CR-00005 (Northern District of West Virginia)
    • ECS Trial Attorney Lauren Steele
    • AUSA Max Nogay

    On April 30, 2025, Michael Kandis pleaded guilty to a Lacey Act Trafficking offense (16 U.S.C. §§ 3372(a)(2)(A), 3373(d)(2)).

    Kandis is a reptile dealer in Wheeling, West Virginia. Indiana Department of Natural Resources (IDNR) conservation officers became acquainted with Kandis through a long-term investigation in which they operated in a covert capacity at various reptile shows throughout the Midwest.

    During their investigation, the IDNR officers conducted several wildlife transactions involving Kandis. In October 2019, Kandis purchased 47 snakes from undercover officers, 25 of which were bullsnakes, for a total price of $1,415. The sale was conducted in Noblesville, Indiana. Bullsnakes are a native species in Indiana, and it is illegal to sell them under Indiana law. Kandis later transported the snakes from Indiana to West Virginia to sell.

    The U.S. Fish and Wildlife Service Office of Law Enforcement and the Indiana Department of Natural Resources conducted the investigation.


    Sentencings


    United States v. Pavel Ivanovich Turlak, et al.

    • No. 2:24-CR-00057 (Eastern District of Washington)
    • AUSA Dan Fruchter
    • AUSA Jacob Brooks
    • RCEC Gwendolyn Brooks

    On April 2, 2025, a court sentenced Pavel Ivanovich Turlak, and his Spokane-based trucking companies: PT Express, LLC; Spokane Truck Service, LLC; and Pauls Trans, LLC. They previously pleaded guilty to conspiring to illegally violate Clean Air Act (CAA) emissions controls and to fraudulently obtaining hundreds of thousands of dollars in COVID-19 relief funding (42 U.S.C. § 7413 (c)(2)(C);18 U.S.C. §§ 371, 1343, 287). All defendants will complete five-year terms of probation, with the companies subject to an environmental compliance plan. All defendants are jointly and severally responsible for $317,389 in restitution to the Small Business Administration.

    Between August 2017 and November 2023, Turlak purchased illegal “delete tune” packages from Ryan Hugh Milliken and his company, Hardaway Solutions, LLC. They designed this software to disable and defeat emissions controls and monitoring systems required under the CAA. Turlak loaded the delete tunes into the trucks used by his own businesses, as well as trucks of co-conspirators who were customers of Spokane Truck Service, LLC. Milliken created and sold custom software delete tunes to Turlak for vehicles based on specifications Turlak outlined. Turlak then charged as much as $3,500 to diesel truck owners to “delete” and “tune” their vehicles by tampering with their pollution monitoring devices.

    In addition to violating the CAA, Turlak fraudulently obtained hundreds of thousands of dollars in COVID-19 relief funding. Between March 2020 and August 2021, Turlak fraudulently applied for and received more than $300,000 in federal funding that was designated to go to eligible small businesses during the pandemic. Turlak and his businesses were not eligible to receive this funding due to their ongoing participation in this criminal conspiracy.

    Milliken and Hardaway Solutions pleaded guilty in November 2024 to conspiracy and to violating the CAA (18 U.S.C. § 371; 42 U.S.C. § 7413(c)(2)(C)). They were sentenced in January 2025 to complete five-year terms of probation, during which the company will be responsible for implementing an environmental compliance plan. Both defendants are jointly and severally responsible for paying a $75,000 fine.

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation with assistance from the EPA National Enforcement Investigations Center, the Small Business Administration Office of Inspector General, and the Spokane Police Department.


    United States v. Charles Limmer

    • No. 1:23-CR-00405 (Eastern District of New York)
    • AUSA Sean M. Sherman

    On April 3, 2025, a court sentenced Charles Limmer to two years of home detention. Limmer pleaded guilty to conspiracy after prosecutors charged him with Endangered Species Act, Lacey Act, and smuggling violations for trafficking in numerous specimens of butterflies (18 U.S.C. § 371). This protected species is known as “birdwings” due to their exceptional size, angular wings, and birdlike flight. As part of the plea, Limmer forfeited 1,600 specimens.

    Limmer obtained a license in 2016 to import and export wildlife.  After Limmer and his business violated numerous import/export regulations, the Fish and Wildlife Service suspended his license.

    Between October 2022 and September 2023, Limmer and others imported and exported at least 59 illegal shipments containing wildlife, valued at approximately $216,000. They falsely labelled the wildlife as “decorative wall coverings” or “origami paper creations.”

    The U.S. Fish and Wildlife Service Office of Law Enforcement conducted the investigation.


    United States v. Idrissa Bagayoko

    • No. 1:23-CR-00265 (District of Maryland)
    • AUSA Kimberly Phillips
    • RCEC Kertisha Dixon
    • RCEC David Lastra

    On April 3, 2025, a court sentenced Idrissa Bagayoko to time served, followed by one year of supervised release to include three months’ home confinement for transporting and selling unregistered pesticides. Bagayoko also will pay $5,640 in restitution to reimburse the Environmental Protection Agency (EPA) for the cost of destroying unregistered pesticides.

    A jury convicted Bagayoko in November 2024 on two counts for transporting and selling the unregistered pesticide Sniper DDVP. The jury found Bagayoko guilty of violating the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) and the Hazardous Materials Transportation Act (HMTA) (7 U.S.C. §§ 136j(a)(1) (A), 136l(b)(1)(B); 49 U.S.C. § 5124).

    Bagayoko owned and operated Maliba Trading, LLC. According to evidence presented at trial, on September 29, 2021, Bagayoko drove from New York to Maryland and sold two boxes of Sniper DDVP to an individual in Maryland. Police later stopped Bagayoko in Elkton, Maryland, with 18 additional boxes of Sniper DDVP containing a total of 1,728 bottles.

    Samples taken from the bottles revealed the presence of dichlorvos. EPA has classified dichlorvos as a probable human carcinogen. In total, the defendant transported more than 330 pounds of dichlorvos (a reportable quantity) without requisite shipping papers.

    The U.S. Environmental Protection Agency Criminal Investigation Division, the U.S. Department of Transportation Office of Inspector General, and the Elkton Maryland Police Department conducted the investigation.

    Related Press Release: District of Maryland | New York Business Owner Sentenced for Illegally Transporting and Selling Probable Carcinogen | United States Department of Justice


    United States v. Redemption Repairs & Performance

    • No. 4:24-CR-40016 (Western District of Arkansas)
    • AUSA Sydney Stanley

    On April 3, 2025, a court sentenced Redemption Repairs & Performance (RRP) to pay a $50,000 fine and complete a three-year term of probation.

    RRP pleaded guilty to violating the Clean Air Act (CAA) for modifying and deleting the emissions control systems of diesel engines and tampering with and rendering inaccurate the vehicles’ onboard diagnostic (OBD) systems (42 U.S.C § 7413(c)(2)(C)).

    RRP is a truck repair shop specializing in diesel engine repairs and performance located in Texarkana, Arkansas. Between May 2020 and October 2022, the company falsified, tampered with, and rendered inaccurate monitoring devices required to be maintained and followed under the CAA. After removing or altering the emission control equipment on diesel trucks, RRP modified the diesel trucks’ OBD systems to prevent detection of the removal and disabling of the equipment. The company performed this service on approximately 50 vehicles, charging between $2,600-$2,700 per truck.

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation. 


    United States v. Chamness Dirt Works, Inc., et al.

    • No. 3:24-CR-00430 (District of Oregon)
    • AUSA Bryan Chinwuba
    • RCEC Karla Perrin

    On April 3, 2025, a court sentenced Ryan Richter, Ronald Chamness, Horseshoe Grove, LLC, and Chamness Dirt Works, Inc., for violations of the Clean Air Act (CAA).

    Property management company Horseshoe Grove pleaded guilty to violating the CAA National Emission Standards for Hazardous Air Pollutants (NESHAP) for asbestos work practice standards (42 U.S.C. §§ 7412(h),7413(c)(1)). Horseshoe Grove’s owner and operator Ryan Richter pleaded guilty to a CAA negligent endangerment violation (42 U.S.C. § 7413(c)(4)). Construction and demolition company Chamness Dirt Works pleaded guilty to violating the CAA NESHAP for asbestos, and company owner and president, Ronald Chamness, pleaded guilty to a CAA negligent endangerment violation (42 U.S.C. § 7413(c)(4)).

    Horseshoe Grove and Chamness Dirt Works were sentenced to complete three-year terms of probation. Richter and Ronald Chamness were each sentenced to five-year terms of probation and ordered to remediate the impacted site in accordance with stipulated conditions of probation. No fine was sought against the parties due to the cost of remediating the site to remove any remaining asbestos. The approximate cost of the remediation was $175,000.

    In November 2022, Horseshoe Grove acquired a property in The Dalles, Oregon, which included a mobile home park and two dilapidated apartment buildings. The previous owner provided the new buyers with an asbestos survey from December 2021, which identified more than 5,000 square feet of friable chrysotile asbestos within the two deteriorating buildings, with levels ranging from two percent to 25 percent. The survey also noted non-friable asbestos in various building materials, including siding and flooring, throughout the apartments. Despite these findings, Horseshoe Grove failed to implement the necessary precautions for asbestos removal.

    In March 2023, Chamness Dirt Works began demolishing the two asbestos-laden structures without following proper removal procedures. Chamness did not engage a certified asbestos abatement contractor, did not wet the asbestos-containing debris, and dumped the material in a regular landfill.

    Horseshoe Grove paid Chamness Dirt Works a total of $49,330 for the demolition, which did not meet the required safety standards.

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation.


    United States v. John Waldrop, et al.

    • No. 1:23-CR-00378 (Eastern District of New York)
    • ECS Senior Trial Attorney Ryan Connors
    • AUSA Anna Karamigios

    On April 9, 2025, the court sentenced Dr. John Waldrop and Toney Jones for their involvement in the largest seizure of bird mounts in U.S. Fish and Wildlife Service (USFWS) history. Waldrop pleaded guilty to conspiracy to smuggle wildlife and Endangered Species Act (ESA) violations. He was ordered to pay a $900,000 fine and will complete a three-year term of probation (18 U.S.C. § 371; 16 U.S.C. §§ 1538(e), 1540(b)(1)). This is one of the largest fines ever imposed in an ESA case. Jones was sentenced to complete a six-month term of probation for violating the ESA (16 U.S.C. §§ 1538(e), 1540(b)(1)).

    Over a period of five years, Waldrop illegally imported thousands of museum-quality taxidermy bird mounts and preserved eggs to build a personal collection. His collection of 1,401 taxidermy bird mounts and 2,594 eggs included:

    • Four eagles protected by the Bald and Golden Eagle Protection Act
    • 179 bird and 193 egg species listed in the Migratory Bird Treaty Act, and
    • 212 bird and 32 egg species protected by the Convention on International Trade in Endangered Species (CITES).

    This included extremely rare specimens such as three eggs from the Nordmann’s greenshank, an Asian shorebird with only 900 to 1,600 remaining birds in the wild.

    Between 2016 and 2020, Waldrop imported birds and eggs without the required declarations and permits. After USFWS inspectors at John F. Kennedy International Airport and elsewhere intercepted several shipments, Waldrop recruited Jones, who worked on his Georgia farm, to receive the packages. Jones also deposited approximately $525,000 in a bank account that Waldrop then used to pay for the imports and hide his involvement. Waldrop and Jones used online sales sites such as eBay and Etsy to buy birds and eggs from around the world, including Germany, Hungary, Iceland, Italy, Lithuania, Malta, Russia, South Africa, the United Kingdom, and Uruguay.

    In total, Waldrop spent more than $1.2 million to illegally build this collection. Pursuant to the plea agreement, Waldrop abandoned his collection, which was distributed to the USFWS forensic laboratory, the Smithsonian, and other museums and universities.

    The U.S. Fish and Wildlife Service Office of Law Enforcement conducted the investigation.

    Related Press Release: Office of Public Affairs | Two Men Sentenced in Largest-Ever Bird Mount Trafficking Case | United States Department of Justice


    United States v. John D. Murphy

    • No. 1:24-CR-10074 (District of Massachusetts)
    • ECS Senior Trial Attorney Matthew Morris
    • AUSA Danial Bennett
    • AUSA Kaitlin Brown
    • ECS Paralegal Jonah Fruchtman

    On April 9, 2025, a court sentenced John D. Murphy to nine months’ incarceration, and three months and one day of home confinement, followed by three years’ supervised release. Murphy was also ordered to pay a $10,000 fine. Murphy pleaded guilty to violating the Animal Welfare Act for possessing dogs to use in an animal fighting venture (7 U.S.C. § 2156(b)).

    Prosecutors charged Murphy after investigators identified him on recorded calls discussing dog fighting in a separate investigation. Subsequent court-authorized searches of his Facebook accounts revealed Murphy’s extensive involvement in dogfighting.

    On June 7, 2023, authorities executed a search warrant at Murphy’s residence and another home, seizing 13 pit bull-type dogs. Several dogs exhibited scarring consistent with animal fighting. Authorities also recovered equipment used in fights, including syringes, anabolic steroids, a skin stapler, forceps, and equipment and literature for training dogs.

    The investigation revealed that Murphy often communicated with other dogfighters via Facebook and posted dogfighting-related photos to his Facebook account. Additionally, Murphy posted videos depicting pit bull-type dogs tethered to treadmills commonly used to physically condition dogs for fighting.

    The U.S. Department of Agriculture Office of Inspector General conducted the investigation with assistance from the following agencies: Homeland Security Investigations; U.S. Customs and Border Protection; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; U.S. Coast Guard Investigative Service; U.S. Marshals Service; Maine State Police; New Hampshire State Police; Massachusetts Office of the State Auditor; Rhode Island Society for the Prevention of Cruelty to Animals; and Police Departments in Hanson, Boston, and Acton, Massachusetts.

    Related Press Release: District of Massachusetts | Massachusetts Man Sentenced to More Than a Year in Prison for Dogfighting | United States Department of Justice


    United States v. Jose Correa

    • No. 1:24-CR-00685 (Southern District of New York)
    • AUSA Alexandra Rothman

    On April 10, 2025, a court sentenced Jose Correa to pay a $10,000 fine and complete a two-year term of probation. Correa pleaded guilty to violating the Clean Air Act for negligently releasing asbestos into the ambient air (42 U.S.C. § 7413(c)(4)).

    Between November and December 2022, Correa removed asbestos-containing floor tiles and mastic from a supermarket in Manhattan without hiring an asbestos abatement contractor. Instead, the material was removed by construction workers who were not provided with protective gear, thereby releasing asbestos into the ambient air and placing the workers in imminent danger of death and serious bodily injury.

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation.


    United States v. Coby Brummett

    • No. 1:24-PO-00040 (Western District of Virginia)
    • AUSA Corey Hall

    On April 11, 2025, a court sentenced Coby Brummett to 30 days’ incarceration with credit for time served. Brummett was also ordered to pay more than $6,200 in restitution for illegally digging and removing ginseng from within the boundaries of Cumberland Gap National Historical Park. Additionally, Brummett is banned from the Park for three years (36 C.F.R. § 2.1(c)(3)).

    An investigation by Park Service rangers determined that Brummett dug up more than 300 ginseng roots from within the confines of the park.

    The restitution will be paid to the National Park Service, which conducted the investigation.

    Related Press Release: Western District of Virginia | Virginia Man Sentenced for Ginseng Poaching at National Park | United States Department of Justice


    United States v. Royce Gillham

    • No. 2:24-CR-14046 (Southern District of Florida)
    • ECS Senior Trial Attorney Adam Cullman
    • AUSA Daniel Funk

    On April 11, 2025, a court ordered Royce Gillham to pay $2,857,029 in restitution to ACT Fuels.

    This is in addition to the court’s sentence of 37 months’ incarceration, followed by three years of supervised release, ordered on March 14, 2025. Gillham, the former general manager of a biofuel producer based in Fort Pierce, Florida, pleaded guilty to conspiring to commit wire fraud and conspiring to make false claims (18 U.S.C.§ 371).

    This biofuel company produced and sold renewable fuel and fuel credits and claimed to turn various feedstocks into biodiesel. When reporting the number of gallons produced to the Internal Revenue Service and the Environmental Protection Agency (EPA), Gillham and his employer vastly overstated their production volume in an effort to generate more credits. When auditors sought more information from the company, Gillham and his co-conspirators gave them false information about their fuel production and customers.

    The scheme generated more than $7 million in fraudulent EPA renewable fuels credits and sought over $6 million in fraudulent tax credits connected to the purported production of biodiesel.

    ACT Fuels purchased the fraudulent fuel credits in question and had to buy replacement credits when authorities found that Gillham’s company produced fraudulent renewable identification numbers or RINs.

    The U.S. Environmental Protection Agency Criminal Investigation Division and the Internal Revenue Service Criminal Investigations conducted the investigation.


    United States v. Mold Wranglers, et al.

    • No. 6:24-CR-00025 (District of Montana)
    • AUSA Ryan Weldon

    On April 14, 2025, a court sentenced Mold Wranglers, Inc., a Kalispell-based hazardous material mitigation company, to pay a $50,000 fine, and complete a two-year term of probation, to include an environmental compliance plan. The company also will pay $348,000 in restitution to the U.S. Department of Veterans Affairs (VA). Mold Wranglers pleaded guilty to a False Claims Act conspiracy for filing false claims with the VA for lead paint abatement work that was never performed (18 U.S.C. § 286).

    Between 2018 and 2019, Mold Wranglers claimed it performed lead abatement work at the Freedom’s Path Fort Harrison facility. The project consisted of converting residential units for low-income veterans and their families. Mold Wranglers submitted documentation to the VA for work including painting over lead-based paint with encapsulating paint. However, the company failed to comply with federal regulations governing lead work, as its employees were not certified to handle lead, and it did not notify the Environmental Protection Agency of the work as required.

    Additionally, Mold Wranglers applied the encapsulating paint in a manner inconsistent with the manufacturer’s specifications.

    The agreement the company made with the VA specified it was not performing an actual abatement but merely “aesthetically repairing the paint and finishing the homes.” Despite this agreement, the company submitted 11 false payment requests, claiming to have performed lead abatement work, and received a total of $456,000 in federal funds for work that did not meet the necessary standards for lead abatement.

    The U.S. Environmental Protection Agency Criminal Investigation Division and Office of Inspector General, The Department of Veterans Affairs, and the Department of Housing and Urban Development conducted the investigation.

    Related Press Release: District of Montana | Helena real estate agent convicted of felony and fined $150,000 for failing to provide lead-based paint disclosures for veterans residing in Fort Harrison rental housing | United States Department of Justice


    United States v. Melanie Ann Carlin

    • No. 6:24-CR-00024 (District of Montana)
    • AUSA Ryan Weldon

    On April 14, 2025, a court sentenced Melanie Ann Carlin to pay a $150,000 fine and complete a three-year term of probation. Carlin pleaded guilty to violating the knowing endangerment provision of the Toxic Substances Control Act for failing to provide required lead-based paint disclosures to veterans residing at Freedom’s Path Fort Harrison in Helena, Montana (15 U.S.C. § 2615(b)(2)(A)). Carlin’s actions led to the exposure of veterans and their families to dangerous levels of lead, a hazardous substance known to cause serious health issues, particularly for children.

    Carlin owns a property management company called 406 Properties, Inc. She was responsible for overseeing rental units at Freedom’s Path, a housing facility with units built prior to 1978. The facility provided affordable homes for veterans and their families. Between September 2019 and September 2021, Carlin knowingly failed to provide mandated lead disclosures. Carlin knew that the property was built before 1978, which meant that the presence of lead paint was likely.

    In 2019, after receiving an email from the Montana Department of Commerce about lead paint concerns, Carlin signed and submitted forms for the units, falsely indicating that they were either free of lead paint or built after 1978. Despite having first-hand knowledge that lead paint was present in the buildings, Carlin continued to neglect her duty to disclose this information to tenants.

    In September 2021, an 18-month-old child living in one of the units ingested lead paint chips.

    Subsequent medical tests revealed the child had dangerously high blood lead levels and required lead poisoning treatment. Carlin admitted to agents that she knew about the lead paint disclosure requirement but failed to give residents the required notice. Carlin’s failure to act placed veterans and their families at imminent risk of serious harm.

    The U.S. Environmental Protection Agency Criminal Investigation Division, The Department of Veterans Affairs Office of Inspector General, and the Department of Housing and Urban Development conducted the investigation.

    Related Press Release: District of Montana | Helena real estate agent convicted of felony and fined $150,000 for failing to provide lead-based paint disclosures for veterans residing in Fort Harrison rental housing | United States Department of Justice


    United States v. Aghorn Operating, Inc., et al.

    On April 15, 2025, Aghorn Operating, Inc., Trent Day, and Kodiak Roustabout, Inc., entered guilty pleas and were sentenced in relation to Worker Safety, Clean Air Act (CAA) and Safe Drinking Water Act (SDWA) violations. Day pleaded guilty to a CAA negligent endangerment charge and was sentenced to serve five months’ incarceration, followed by one year of supervised release (42 U.S.C. § 7413(c)(4)). Aghorn pleaded guilty to CAA negligent endangerment and an Occupational Safety and Health Act (OSHA) willful violation count for the death of an employee, Jacob Dean, and his wife, Natalee Dean (42 U.S.C. § 7413(c)(4); 29 U.S.C. § 666(e)). Aghorn was sentenced to pay a $1 million fine and complete a two-year term of probation. Kodiak pleaded guilty to making a materially false statement (18 U.S.C. §1001) regarding well integrity testing that is required under the SDWA and was sentenced to pay a $400,000 fine and complete a one-year term of probation.

    Aghorn owns and operates oil wells and leases in Texas. Kodiak performed oilfield support and maintenance services for Aghorn. Day was a vice president for both Aghorn and Kodiak. The CAA and OSHA charges stem from the defendants releasing hydrogen sulfide that caused the deaths of Aghorn employee, Jacob Dean, and his wife, Natalee Dean. Both victims were overcome by hydrogen sulfide at Aghorn’s facility in Odessa. Aghorn and Day later obstructed the investigation into the Deans’ deaths. The SDWA-related violation stems from false statements made by Kodiak regarding the mechanical integrity of Aghorn injection wells in forms and pressure charts filed with the State of Texas Railroad Commission. In addition to the fine, Aghorn will guarantee that at least 33 tests conducted for Aghorn wells during its year of probation are witnessed or conducted by a third party.

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation, with assistance from the Texas Railroad Commission, Ector County Environmental Enforcement, and the Odessa Fire Department.

    Related Press Release: Office of Public Affairs | Oilfield Company, Its Executive, and a Support Services Company Plead Guilty and Are Sentenced for Worker Safety, Clean Air Act, and Safe Drinking Water Act Violations Resulting in the Death of an Employee and His Spouse | United States Department of Justice


    United States v. Justin Taylor

    • No. 6:24-CR-00013 (Southern District of Georgia)
    • AUSA Darron J. Hubbard

    On April 15, 2025, a court sentenced Justin Taylor to complete a five-year term of probation and pay $279,642 in restitution to the Internal Revenue Service. Taylor pleaded guilty to conspiracy to tamper with a monitoring device and filing a fraudulent tax return (18 U.S.C. § 371; 26 U.S.C. § 7206(1)).

    Between January 2018 and January 2021, Taylor worked as a mechanic. Using a high-powered computer that supported diagnostic tools for heavy-duty logging equipment, Taylor performed emission-control “deletes” for more than 200 owners of diesel engines.

    The changes Taylor made to the emission controls on those machines disabled the electronic monitoring devices and methods required under the Clean Air Act. Taylor routinely charged $2,000 for this service, earning more than $1.2 million during this period while reporting only $166,853 in income.

    The U.S. Environmental Protection Agency Criminal Investigation Division and the Internal Revenue Service Criminal Investigations conducted the investigation.


    United States v. Johnnie Lee Nelson, et al.

    • No. 1:23-CR-00787 (District of New Jersey)
    • ECS Senior Trial Attorney Ethan Eddy
    • AUSA Michelle Goldman

    On April 16, 2025, a court sentenced Johnnie Lee Nelson to complete a two-year term of probation to include one year of home confinement. Nelson also will perform 100 hours of community service. Nelson pleaded guilty to conspiracy to possess, train, and transport dogs for an animal fighting venture and to sponsor and exhibit dogs in an animal fighting venture (18 U.S.C. § 371).

    On March 23, 2019, officers responded to an emergency call at an auto body garage in Upper Deerfield Township, New Jersey. They found a fighting pit in the garage, along with two pit bull-type dogs, still fighting, that had been placed into an inoperable car on a lift in the garage as the participants fled on foot. The dogs later died from injuries they sustained while fighting. Officers also found an uninjured pit bull-type dog in a car just outside the garage, along with a rudimentary veterinary suture and skin staple kit in a bag.

    Evidence revealed that Nelson’s co-defendant, Tommy Watson, organized the fight, and that their dog was scheduled for the next fight on deck. They jointly possessed and trained this dog for this particular fight, as shown by cell phone video evidence. Nelson and Watson participated in a dog fighting operation they called “From Da Bottom Kennels.” From Da Bottom Kennels and others live-streamed dog fight videos from that garage via the Telegram app. Watson is scheduled for trial to begin on June 4, 2025.

    The U.S. Department of Agriculture Office of Inspector General, the Federal Bureau of Investigation, and Homeland Security Investigations conducted the investigation.


    United States v. Sarmad Ghaled Dafer, et al.

    • Nos. 3:24-CR-00615, 23-CR-01879 (Southern District of California)
    • AUSA Sabrina L. Feve
    • AUSA Robert Miller
    • Former AUSA Melanie Pierson

    On April 18, 2025, a court sentenced Sarmad Ghaled Dafer to four months’ incarceration, followed by three years’ supervised release, to include 180 days of home confinement. Dafer also will pay $23,502 in restitution to the U.S. Fish and Wildlife Service to reimburse costs for quarantining three Mexican spider monkeys at the San Diego Zoo. Dafer is jointly and severally responsible along with co-defendant Sarkon Yonan Hanna for the restitution.

    On August 14, 2023, Customs and Border Protection (CBP) officers stopped a man and woman attempting to drive a van into the United States from Mexico. During an initial inspection, a CBP officer discovered an animal carrier hidden behind the rear seat that contained live monkeys. The CBP officer referred the occupants and vehicle for a secondary examination. Officers found three baby spider monkeys hidden in the van. The officers seized the monkeys and placed them in quarantine.

    A search of the co-conspirator’s phone led to evidence that Dafer purchased and coordinated the smuggling of monkeys across the border on three occasions, between June 2022 and August 2023.

    Baby Mexican spider monkeys continue to nurse throughout their first year and ordinarily are not fully weaned and independent until they turn two. Most baby Mexican spider monkeys will continue to stay close to their mothers until they are approximately four years old.

    Dafer’s Facebook messages and photos show that he intentionally sought baby monkeys to make the smuggling process easier. He even posted a photo of a baby spider monkey under a heat lamp in a small cage. This suggests that Dafer knew that the baby monkey he was selling had been prematurely separated from its mother.

    Mexican spider monkey mothers will not voluntarily relinquish their young and the entire troop of spider monkeys will try to defend the mother and baby from perceived threats. Consequently, to capture the babies, poachers will typically have to kill or harm the mother and entire troop. In this case, genetic analysis confirmed the three babies each had different mothers.

    Dafer pleaded guilty to conspiracy, and Hanna pleaded guilty to smuggling (18 U.S.C. §§ 371, 545.) Hanna was sentenced on March 14, 2025, to time served, followed by two years’ supervised release, along with the restitution. Hanna was in the car that attempted to smuggle the three monkeys into the United States from Mexico on August 14, 2023.

    Homeland Security Investigations, Customs and Border Protection, and the U.S. Fish and Wildlife Service Office of Law Enforcement conducted the investigation. 

    Case photo of two of the three monkeys rescued by CBP.

    Related Press Release: Southern District of California | Wildlife Trafficker Sentenced for Smuggling Baby Spider Monkeys | United States Department of Justice


    United States v. Antonio Pereira, et al.

    • Nos. 3:24-CR-00824, 3:25-CR-00001 (District of New Jersey)
    • ECS Trial Attorney Christopher Hale
    • AUSA Kelly Lyons

    On April 22, 2025, a court sentenced Antonio Periera to pay a $4,000 fine and complete a two-year term of probation. Periera and co-defendant Darren McClave pleaded guilty to conspiracy to obstruct justice (18 U.S.C. § 371). McClave is scheduled for sentencing on June 30, 2025.

    McClave, a captain of a clam vessel based out of New Jersey, participated in a scheme to illegally harvest and sell excess scallops, violating federal fishing regulations. While clam vessels are allowed to take a limited quantity of scallops as bycatch, McClave routinely exceeded these limits and sold the surplus to Pereira, a seafood dealer. To cover up the overfishing, McClave and Pereira worked together to falsify the Fishing Vessel Trip Reports and Dealer Reports required by the National Oceanic and Atmospheric Administration.

    The National Oceanic and Atmospheric Administration Office of Law Enforcement conducted the investigation.


    United States v. J.H. Baxter & Co., Inc. et al.

    • No. 6:24-CR-00441 (District of Oregon)
    • ECS Trial Attorney Stephen Foster
    • ECS Trial Attorney Rachel M. Roberts
    • AUSA William M. McLaren
    • RCEC Karla G. Perrin
    • ECS Law Clerk Maria Wallace

    On April 22, 2025, a court sentenced J.H. Baxter & Co., Inc., and J.H. Baxter & Co., a California Limited Partnership, collectively, to pay a total of $1.5 million in criminal fines. In addition, both companies were ordered to serve five-year terms of probation. The companies’ president, Georgia Baxter-Krause, was sentenced to 90 days’ incarceration, followed by one year of supervised release.

    The two companies (collectively J.H. Baxter) were responsible for a wood treatment facility in Eugene, Oregon. Both pleaded guilty to charges of illegally treating hazardous waste and knowingly violating the Clean Air Act (CAA) (42 U.S.C. § 6928(d)(2)(A); 42 U.S.C. § 7413(c)(1)). Baxter-Krause pleaded guilty to two counts of making false statements in violation of the Resource Conservation and Recovery Act (RCRA) (42 U.S.C. § 6928 (d)(3)).

    J.H. Baxter used hazardous chemicals to treat and preserve wood at its Eugene facility. The wastewater from the wood preserving processes was hazardous waste. J.H. Baxter operated a wastewater treatment unit to treat and evaporate the waste. For years, however, when the facility accumulated too much water on site, employees transferred this water to a wood treatment retort to “boil it off,” greatly reducing the volume. J.H. Baxter would then remove the waste that remained, label it as hazardous waste, and ship it offsite for disposal.

    J.H. Baxter was never issued a RCRA permit to treat its waste in this manner. The facility was also subject to CAA emissions standards for hazardous air pollutants. However, employees were directed to open all vents on the retorts, allowing discharges to the surrounding air.

    State inspectors requested information about J.H. Baxter’s practice of boiling off hazardous wastewater. On two separate occasions, Baxter-Krause made false statements in response to these requests regarding the dates the practice took place, and which retorts were used. The investigation determined that Baxter-Krause knew J.H. Baxter maintained detailed daily production logs for each retort.

    J.H. Baxter boiled off hazardous process wastewater in its wood treatment retorts on 136 days. Baxter-Krause was also aware that during this time the company used four of its five retorts to boil off wastewater.

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation with assistance from the Oregon Department of Environmental Quality and the Oregon State Police. 

    Related Press Release: Environment and Natural Resources Division | United States v. J.H. Baxter & Co., Inc. et al. | United States Department of Justice


    United States v. Dlubak Glass Company

    • No. 3:24-CR-00533 (Northern District of Texas)
    • ECS Trial Attorney Lauren Steele
    • ECS Senior Trial Attorney Gary Donner

    On April 29, 2025, a court sentenced Dlubak Glass Company (DGC) to pay a $100,000 fine and complete a four-year term of probation. The company pleaded guilty to making a false statement regarding the storage of hazardous waste (18 U.S.C. § 1001(a)(2)).

    DGC is in the business of processing and recycling glass products, including CRT (cathode ray tube) glass. CRTs have three components: a panel, a funnel, and a neck. Both the panel and the funnel are made of glass. CRT funnel glass contains significant amounts of lead, while panel glass typically contains lead in much lower quantities. Because of the presence of lead, used CRTs that are transported, stored, or disposed of can be considered a characteristic hazardous waste under the Resource Conservation and Recovery Act.

    DGC operated facilities in several states, including locations in Arizona, Texas, and Oklahoma. Pursuant to a Consent Order, DGC agreed to ship all the CRT glass at its Arizona facility offsite for recycling or disposal as hazardous waste. DGC later shipped approximately 4,000 tons of CRT glass from Yuma, Arizona, to its Texas facility, telling regulators that it would recycle the material by incorporating it into commercial products.

    When Texas Commission of Environmental Quality (TCEQ) inspected DGC’s Texas facility they observed piles of CRT glass onsite. DGC’s plant manager told inspectors that the only CRT glass present at the location was “processed panel glass containing no lead.” Dlubak employees later repeated this assertion in a follow-up meeting with TCEQ. However, further investigation determined that the glass in question was composed of both panel and funnel glass, a fact which DGC was aware of when it made these statements to TCEQ.

    The U.S. Environmental Protection Agency Criminal Investigation Division conducted the investigation.


    United States v. Tribar Technologies, Inc.

    • No. 2:24-CR-20552 (Eastern District of Michigan)
    • ECS Senior Counsel Kris Dighe
    • AUSA Karen Reynolds
    • RCEC Sasha Reyes

    On April 29, 2025, a court sentenced Tribar Technologies, Inc. (Tribar), to pay a $200,000 fine, complete a five-year term of probation and enact an environmental compliance plan. Tribar also will pay $20,000 in restitution to the City of Ann Arbor, Michigan.

    The company pleaded guilty to negligently violating a pretreatment standard under the Clean Water Act (33 U.S.C. §§ 1317(d) and 1319(c)(1)(A)).

    Tribar manufactures automobile parts and presently operates five active plants in southeast Michigan. Plant 5 is a chrome plating facility located in Wixom, Michigan. It uses an electroplating process to apply chrome finishing to plastic automotive parts. Plant 5 generates wastewater that contains chromium compounds, including hexavalent chromium, a known carcinogen.

    On July 23, 2022, Plant 5 accumulated approximately 15,000 gallons of untreated wastewater containing high concentrations of hexavalent chromium. This wastewater had higher levels of pollutants than the wastewater typically generated from Plant 5 operations. During the week beginning July 25, 2022, Plant 5 employees attempted to treat this wastewater in a holding tank to reduce the amount of hexavalent chromium before putting it into the Plant 5 wastewater treatment system. By the end of the week, the wastewater still contained high concentrations of hexavalent chromium.

    On July 29, 2022, an employee discharged approximately 10,000 gallons of insufficiently treated wastewater from the holding tank into the Plant 5 wastewater treatment system. This discharge activated wastewater treatment system alarms, indicating that the wastewater required further treatment before it could be discharged to the Wixom sanitary sewer system. The employee disabled approximately 460 alarms and discharged the wastewater to the Wixom sanitary sewer system, and ultimately to the Wixom publicly owned treatment works, without completing the treatment necessary to remove chromium from the wastewater, as required by Tribar’s Industrial Pretreatment Program Permit.

    The U.S. Environmental Protection Agency Criminal Investigation Division, the Michigan Department of Environment, Great Lakes and Energy, and the Federal Bureau of Investigation conducted the investigation. 


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    MIL Security OSI

  • MIL-OSI Europe: Text adopted – Discharge 2023: EU general budget – Court of Justice of the European Union – P10_TA(2025)0080 – Wednesday, 7 May 2025 – Strasbourg

    Source: European Parliament

    The European Parliament,

    –  having regard to its decision on discharge in respect of the implementation of the general budget of the European Union for the financial year 2023, Section IV – Court of Justice of the European Union,

    –  having regard to Rule 102 of and Annex V to its Rules of Procedure,

    –  having regard to the opinion of the Committee on Legal Affairs,

    –  having regard to the report of the Committee on Budgetary Control (A10-0050/2025),

    A.  whereas in the context of the discharge procedure, the discharge authority wishes to stress the particular importance of further strengthening the democratic legitimacy of the Union institutions by improving transparency and accountability, and by implementing the concept of performance-based budgeting and good governance of human resources;

    B.  whereas the Court of Justice of the European Union (CJEU) is the judicial institution of the Union, having the task of ensuring compliance with Union law by overseeing the uniform interpretation and application of the Treaties and ensuring the lawfulness of measures adopted by the Union institutions, bodies, offices and agencies;

    C.  whereas the CJEU helps preserving the values of the Union and, through its case-law, works towards the building of Europe;

    D.  whereas the CJEU comprises two courts: the Court of Justice and the General Court;

    E.  whereas Parliament and Council amended Protocol No 3 on the Statute of the CJEU (the ‘Statute’)(1) in 2024 with respect to the transfer of preliminary rulings in specific areas to the jurisdiction of the General Court;

    1.  Notes that the budget of the CJEU falls under MFF heading 7, ‘European public administration’, which amounted to EUR 12,3 billion in 2023 (representing 6,4 % of the total Union budget); notes that the CJEU’s budget of approximately EUR 0,5 billion represents approximately 3,9 % of the total administrative expenditure of the Union;

    2.  Notes that the Court of Auditors (the ‘Court’), in its Annual Report for the financial year 2023 (the ‘Court’s report’) examined a sample of 70 transactions under the heading ‘Administration’, 10 more than were examined in 2022; the Court further states that administrative expenditure comprises expenditure on human resources, including expenditure on pensions, which in 2023 accounted for approximately 70 % of the total administrative expenditure, and expenditure on buildings, equipment, energy, communications and information technology (IT), and that its work over many years indicates that, overall, this spending is low risk;

    3.  Notes that 21 (30 %) of the 70 transactions contained errors but that the Court, based on the five errors which were quantified, estimates the level of error to be below the materiality threshold;

    4.  Notes that the Court’s report did not identify any specific issues concerning the CJEU;

    Budgetary and financial management

    5.  Notes that the budget allocated for the CJEU in 2023 amounted to EUR 486 025 796, which represented an increase of 3,9 % compared to 2022; notes that this increase was mainly related to salary adjustments forecasted for 2023; stresses that the budget of the CJEU is essentially administrative, with around 75 % of the appropriations related to expenditure for its members and staff, and almost all of the rest related to expenditure for buildings and IT;

    6.  Notes that the overall implementation rate of the budget at the end of 2023 was 97,72 %; notes that five transfers were submitted to the budgetary authority in accordance with Article 29 of the Financial Regulation to reinforce the budget lines for ‘Energy consumption’, ‘Purchases, work, servicing and maintenance of equipment and software’ and ‘buildings’ from other budget lines, mainly the budget line for staff ‘Remuneration and allowances’; notes that Russia’s war of aggression against Ukraine continued to create budgetary pressure for the CJEU, including through rising inflation and salary adjustments, strongly increasing energy costs and costs for a number of goods and services;

    7.  Notes with satisfaction that the authorising officer by delegation declared that the resources allocated had been used for the purpose intended and in accordance with the principle of sound financial management and that the control procedures put in place provided the necessary guarantees as to the legality and regularity of the underlying transactions;

    8.  Notes that the average payment time stood at 23,1 days in 2023 compared to 24,32 days in 2022; calls on the CJEU to continue its efforts to reduce the time for payment, particularly considering that 81 % of invoices were received electronically in 2023;

    9.  Notes that the CJEU’s mission budget, which stood at EUR 638 000 for both staff and Members in 2023, continued to decrease by 3,3 % in 2023 compared to 2022; notes that 85,1 % of the appropriations for missions in 2023 were used compared to 46,6 % in 2022 due to the persistent travel restrictions in application at that time;

    Internal management, performance and internal control

    10.  Notes the significant steps taken by the CJEU in 2023 towards its judicial reform which has led to the partial transfer of jurisdiction to give preliminary rulings from the Court of Justice to the General Court; notes that a political agreement with Parliament and Council was reached at the end of 2023 in view of the amendment to the Statute of the CJEU and with a view to improving the functioning of the CJEU against the background of a steady increase in the caseload and in the complexity and sensitive nature of questions raised; notes that, further to the adoption of the reform in 2024, detailed rules and procedures were adopted in order to complete the reform and allow the implementation of the new regulatory framework as of 1 October 2024;

    11.  Notes that, in 2023, the Court of Justice ruled on five cases concerning the principle of primacy in the context of four preliminary rulings brought by the courts in Germany, Ireland, Poland, and Romania, as well as one infringement case concerning Poland; stresses the fundamental importance of the principle of primacy of Union law, which ensures the uniform interpretation and application of Union law across all Member States and safeguards the rule of law as a core value of the Union; strongly reaffirms that the primacy of Union law is the cornerstone of the Union’s legal order and highlights the pivotal role of the CJEU in upholding the rule of law across the Union. Furthermore, notes that the General Court ruled on six cases related to measures for the protection of the Union budget against breaches of the principles of the rule of law by the Hungarian government, which systematically undermines core Union values; urges the Commission to take decisive enforcement actions against any Member State that challenges or disregards the binding nature of CJEU rulings; highlights that, in cases relating to the investigation of the Union budget, the principles of due process and fundamental rights must be fully respected by all competent authorities;

    12.  Notes that Article 4(2) of the Treaty on European Union states that “The Union shall respect the equality of Member States before the Treaties as well as their national identities, inherent in their fundamental structures, political and constitutional, inclusive of regional and local self-government. It shall respect their essential State functions […]”;

    13.  Condemns any national measures or legislative actions that seek to undermine the codification and enforcement of CJEU judgments; calls for the establishment of a formal monitoring mechanism to track Member State compliance with CJEU rulings and recommends linking compliance with EU funding disbursement under the rule of law conditionality framework;

    14.  Notes that 821 new cases were submitted to the Court of Justice in 2023, compared to 806 in 2022, out of which 63 % were references for preliminary ruling and 28,6 % were appeals against decisions of the General Court; notes that the General Court saw a major increase of cases with 1 271 new cases in 2023 compared to 904 in 2022, including an exceptional series of 404 joint cases submitted in October 2023; notes that in 2023 for the General Court, 37 % of the new cases, including the series of 404 joint cases, concerned actions relating to institutional law, 24,3 % concerned actions relating to intellectual property and 6 % concerned disputes between institutions of the Union and their staff; notes that the total number of pending cases remains stable when compared to previous years: considering the previously mentioned 404 cases as a single case, 2 587 cases were pending at the end of 2023, compared to 2 585 at the end of 2022 and 2 541 at the end of 2021;

    15.  Notes that the Court of Justice closed 783 cases in 2023, compared to 808 in 2022, and that the General Court closed 904 cases in 2023, compared to 858 in 2022;

    16.  Welcomes the decrease in the average length of proceedings for the cases closed by the Court of Justice, whereas in 2023 that average was 16,1 months, compared to 16,4 months in 2022; notes that the average duration for the cases closed by the General Court was 18,2 months, compared to 16,2 months in 2022, which the General Court explained was due to the nature and related complexity of the proceedings managed in 2023;

    17.  Notes the decrease in the average time taken to deal with direct actions before the Court of Justice (from 23,5 months in 2022 to 20,8 months in 2023) and with references for preliminary rulings (from 17,3 months to 16,8 months); notes that, as regards the litigation before the Court of Justice, there was a significant increase in the number of direct actions, in particular in the field of the environment, and that the questions referred to the Court of Justice for a preliminary ruling in 2023 related principally to the area of freedom, security and justice, followed by taxation, consumer protection and transport; notes that, as regards the litigation before the General Court, there was an increase of cases in the fields of intellectual property and economic and monetary policy, including banking;

    18.  Notes with satisfaction the high use rate of e-Curia in 2023, with 10 502 e-Curia accounts being registered: 94 % of lodgements before the General Court were made via e-Curia, which is the same as in 2022, while the use rate of e-Curia at the Court of Justice went up to approximately 89 %, compared to 87 % in 2022;

    19.  Appreciates the progress made in digitising the judicial archives with a view to preserving documents for future consultation and facilitating access for researchers and the public by means of a digital portal;

    20.  Welcomes the performance-based approach developed by the CJEU, allowing the CJEU to take decisions based on performance outcomes and the level of achievement of its objectives, measured through a set of workload and operational indicators; notes that the key performance indicators used by the CJEU cover a wide range of specific areas in support of the five management objectives relating to the proper functioning of the CJEU, digitalisation and emerging technologies, openness and transparency, multilingualism and human resources management;

    21.  Notes that the internal control framework of the CJEU was subject to an in-depth evaluation in 2022-2023, which confirmed its soundness; notes that, as part of that evaluation, the financial control circuits were adapted in order to make the controls more efficient;

    22.  Notes that the main internal audits carried out in 2023 concerned the CJEU’s expenditure on the cleaning of buildings, the effectiveness of the internal control system to safeguard the CJEU’s IT assets and the staff selection procedures; notes that an internal audit also carried out a study on the use of artificial intelligence in the area of justice in relation to the implementation of a “strategy for integrating tools based on artificial intelligence into the operation of the CJEU”; notes that, in many cases, the services of the CJEU took actions to implement the internal audit recommendations before the formal finalisation of the internal audits and that those actions were considered satisfactory by the internal auditor;

    Human resources, equality and staff well-being

    23.  Notes that, at the end of 2023, the CJEU employed 1340 officials (58 %), 765 temporary agents (33 %) under Articles 2(a), 2(b) and 2(c) of the Conditions of Employment of Other Staff of the EU, and 198 contract agents (9 %); notes that, at the end of 2023, the occupation rate of the establishment plan stood at 97,11 %; notes further that the annual turnover of staff was 7,8 % in 2023, which was particularly due to the 20 % of those staff who left the CJEU by taking retirement;

    24.  Notes that the Court of Justice is composed of 27 Judges and 11 Advocates General and that no new Judge or Advocate General took office in 2023; notes further that the General Court is composed of 54 Judges and that two new Judges, one woman and one man, took office during 2023; notes further that a new Registrar for the General Court was elected in 2023;

    25.  Welcomes the CJEU’s detailed responses to the questionnaire from Parliament’s Committee on Budgetary Control, provided as part of the current discharge procedure, particularly regarding staff distribution at the end of 2023; notes that the gender composition of the Court of Justice and the General Court continues to be very unbalanced; expresses its appreciation of the letter from the President of the General Court to the President of the Conference of the Representatives of the Member States in 2024, calling on Member States to take the need for gender balance into account when nominating candidates for the replacement of Judges and Advocates General; calls on Member States to take the need for gender balance into account when nominating candidates for the replacement of judges;

    26.  Takes note that, of the 2 303 officials and agents serving at the end of 2023, 61 % are women; welcomes the fact that the proportion of women in administrative positions is 55 %, and especially the fact that, in managerial posts, the proportion has increased to 43 %, compared to 40 % in 2022 and 2021, confirming the upward trend recorded since 2018 (41 % in 2020, 39 % in 2019 and 37,5 % in 2018); notes however that representation of women was the highest in assistant grades, whereas it was the lowest in senior management positions; calls on the CJEU to ensure a greater representation of women in senior management positions and take further measures to promote gender balance at all levels; welcomes the efforts deployed by the CJEU in favour of equality, inclusion and diversity, especially at recruitment stage;

    27.  Calls on the CJEU to publish an annual Gender and Diversity Report to provide transparency on gender representation at all levels of the institution, including Judges, Advocates General, and administrative staff, as well as to provide for concrete measures of improving gender parity in senior positions;

    28.  Welcomes that all Union nationalities are represented in the staff of the CJEU, but notes that certain nationalities are more represented than others; welcomes the continued efforts of the CJEU to promote a better geographical balance among its staff, in particular by fostering the visibility and attractiveness of its job vacancies, creating and offering more favourable job conditions to attract temporary agents from certain less-represented Member States and communicating widely to varied audiences on the job opportunities at the CJEU in 2023; notes that a significant effort was made to attract many talented young people from different Member States though the CJEU’s internship programme; invites the CJEU to examine whether trainees are proportionally represented from all member states;

    29.  Urges the CJEU to promote a multilingual working environment, recognizing its potential to enhance the fair distribution of nationalities among its staff; calls on all EU institutions to uphold and ensure the principle of multilingualism;

    30.  Welcomes the work done by the High Level Interinstitutional Group on enhancing the attractiveness of Luxembourg as a place of work for staff; calls on the CJEU to maintain and enhance cooperation with other Luxembourg-based institutions across different initiatives; notes with appreciation that the budgetary authority approved for the financial year 2025 the necessary appropriations in order to allow the granting of a housing allowance to staff at lower grades, as recommended by the High Level Interinstitutional Group; asks that Parliament be updated on the progress of such initiatives intended to improve the attractiveness of Luxembourg as a place of work;

    31.  Notes that, in 2023, the CJEU implemented several initiatives to promote physical and mental wellbeing of staff through specialised workshops and awareness-raising activities; notes that the teleworking scheme, which entered into force on 1 May 2022, was assessed positively by the managers, among whom 92 % replied that the productivity of staff teleworking was either equivalent or better than prior to the existence of the teleworking scheme; notes that, with a view to achieving a better work and personal-life balance, in 2023, the CJEU renewed the possibility for its staff to telework from outside the place of employment up to 10 days per year, especially during the judicial vacations;

    32.  Welcomes the ongoing awareness-raising, information and training campaigns aiming at promoting inclusion, mutual respect, cooperation and support for people with disabilities and their helpers;

    33.  Notes that the number of working days of sick leave was 20 198 in 2023, corresponding to a reduction of 14,78 % compared to 2022; notes with concern that the medical service reported 11 cases of burnout in 2023; welcomes a thorough analysis of diagnostic reports undertaken by the CJEU to identify instances of professional burnout and the CJEU’s focus on preventive measures, especially the reinforcement of its medical and social workers’ team, the prevention of psychosocial risks in the workplace and the introduction of awareness-raising activities for management on the right to disconnect and the risks of over-performance; encourages the CJEU to maintain focus on this problem in order to prevent any further cases associated with burnout and inform the Parliament of the measures taken in this regard;

    34.  Notes that an administrative enquiry was launched in 2023 on an alleged case of sexual harassment concerning a member of staff and that this case was closed in 2024 with a sanction; expresses concern that a procedure of assistance for alleged harassment concerning a judge was also filed in 2023 but no harassment was established in that case; notes that an interdepartmental working group, established in March 2023, therefore ahead of the ratification of the Council of Europe Convention on preventing and combating violence against women and domestic violence, examined the rules and procedures in place in the CJEU to prevent harassment and made some recommendations with a view to improving these rules and procedures; encourages the CJEU to follow up and continue to show no tolerance for harassment in the workplace by introducing mandatory training on unconscious bias and ethical standards for all judges and senior officials to prevent abuse of power;

    Ethical framework

    35.  Notes with satisfaction that, as requested in previous discharge recommendations, the new code of conduct on the rights and obligations of officials and other servants of the CJEU reflecting the CJEU’s values and commitment to ethics was drawn up in 2023 and adopted in March 2024; notes that the code of conduct includes provisions on conflict of interests, duty of loyalty, duty of confidentiality and discretion, outside activities, occupational activities after leaving the service and publications and also applies to seconded national experts and trainee judges hosted under the European Judicial Training Network; notes that, in 2023, awareness-raising activities and revamped training on the code of conduct were organised for staff and managers, with a particular focus on newcomers; calls for a mandatory training for all staff on a regular basis and asks that Parliament be kept informed about the implementation of the code of conduct;

    36.  Notes that, before the code of conduct entered into force, two potential cases of conflict of interest were declared and handled in accordance with the procedures in place, with the aim of ensuring that the new members of staff concerned were not involved in the management of files that they knew from a previous job;

    37.  Notes that, further to the adoption of the code of conduct for Members and former Members of the CJEU, the declaration of interests of the Members have been published online to avoid any potential conflict of interest in the handling of cases; notes that the CJEU is constantly reassessing its internal rules on this matter with a view to updating those rules and to ensuring the highest possible standards of ethical behaviour; calls on the CJEU to establish an independent ethics committee to oversee compliance with the code of conduct and investigate potential breaches; calls for mandatory annual ethics training for all CJEU personnel, including Judges and Advocates General to preserve the integrity of the CJEU; asks the CJEU to inform Parliament about the results of any further assessment of the effectiveness of that measure aimed at the prevention of conflicts of interest;

    38.  Welcomes the publication of the declarations of interests of the Members of the CJEU but calls for the introduction of a standard pre-appointment screening process to identify and mitigate potential conflicts of interest at an early stage; urges the Council to establish transparent guidelines for Member States when nominating candidates for judicial positions at the CJEU;

    39.  Urges the CJEU to introduce a mandatory recusal policy for judges in cases where they have past professional affiliations with litigants appearing before the CJEU; calls for stricter conflict-of-interest screening for judges and high-ranking staff, including regular updates to financial disclosure requirements; asks for the publication of real-time recusal decisions in cases where judges declare a conflict of interest, ensuring greater transparency in the judicial process and reinforcing public confidence in the impartiality and integrity of the CJEU;

    40.  Notes that in 2023, all Members of the CJEU were resident of Luxembourg in accordance with Article 14 of the Statute;

    41.  Notes that the list of external activities carried out by the Members of both the Court of Justice and the General Court has been published on the CJEU website since 2018; further notes that the list is difficult to read for the general public and recommends its revision to ensure greater clarity and informativeness; notes that the prior authorisation by the general meeting of the Court of Justice or by the plenary conference of the General Court is only granted when the external activity is compatible with the requirements of the code of conduct and with the Members’ obligations to be available for judicial activities; asks the CJEU to inform the discharge authority about any initiatives to improve the readability of the information related to external activities, in line with previous discharge recommendations;

    42.  Notes that the rules governing Members’ travels, missions and use of drivers and cars, as updated in 2021, provide that only the running costs resulting from the car use for purposes related to the execution of a mission order or to the exercise of his or her mandate within a limit of 10 000 km are borne by the CJEU; reiterates its opinion that the use of the car fleet outside of the strict performance of the duties of the Members of the CJEU should not take place under any circumstances, notes that the CJEU reported to be in discussion with other institutions in order to obtain a harmonised set of rules for the use of official vehicles, while respecting the autonomy of each institution; invites all Union institutions to agree on a single system to be applied horizontally, which would reduce the confusion and increase transparency and efficiency in the use of public money; asks the CJEU to keep Parliament informed of any progress in this matter;

    43.  Notes that an OLAF case, referred to in previous discharge resolutions, which dealt with the conduct of a member of staff that might have constituted a serious failure to comply with their obligations, was closed in 2023; notes that the CJEU is not aware of any new OLAF investigation or recommendation in 2023;

    44.  Notes that the CJEU did not report any cases of fraud, corruption or misuse of Union funds in 2023; notes that the CJEU’s anti-fraud strategy is an integral part of its integrated internal control and risk management framework, with a particular focus on the risks of improper disclosure of information;

    Transparency and access to justice for citizens

    45.  Welcomes the CJEU’s engagement to enhance transparency, access to justice and public openness, thus contributing to foster public trust in the Union institutions;

    46.  Notes that, in 2023, the CJEU consolidated the streaming service for hearings of the Court of Justice and of the General Court on the Curia website, thus facilitating the access of citizens to the judicial activities of the CJEU; welcomes the improvement of the CVRIA website, in terms of its structure, functionalities and content; welcomes that the delivery of judgments of the Court of Justice, the reading of opinions of the Advocates General, the hearings of the Grand Chamber and certain hearings of chambers sitting with five Judges have been broadcast live on the Curia website since 2023; calls on the CJEU to further improve transparency by broadcasting all hearings of both the Court of Justice and the General Court on its website and permanently storing them online;

    47.  Welcomes that, further to the reform of its Statute, the CJEU will publish statements of case or written observations lodged in preliminary ruling proceedings after the closure of such proceedings, except in cases of objection to the publication of a person’s statement of case or observation; underlines that such publication will improve transparency and access to justice for citizens and calls on the CJEU to publish all documents related to a file on its website; calls on the CJEU to implement a procedure that could be used by any person to access in house all the documents related to a case;

    48.  Notes that rules on the use of videoconferencing were adopted by the General Court in April 2023 and by the Court of Justice in September 2024, according to which a party may request the use of videoconferencing where security or other serious reasons prevent that party’s representative from participating in a hearing in person;

    49.  Notes that the rules laid down by the CJEU decision of 26 November 2019 concerning public access to documents held by the CJEU in the exercise of its administrative function do not apply to judicial documents for which access is governed by the Rules of Procedure of the Court of Justice or the Rules of Procedure of the General Court; notes that the CJEU registered 21 requests of public access to administrative documents in 2023 and granted access to administrative documents in 12 cases; notes that the European Ombudsman found no instances of maladministration on the part of the CJEU in 2023;

    50.  Invites the CJEU to simplify the process of finding specific rulings on e-curia; welcomes efforts to make the interface more client-friendly and intuitive;

    Digitalisation, cybersecurity and data protection

    51.  Notes that compared to 2022 the budget expenditure increased by 10,9 % for IT projects, by 13 % for IT equipment, by 59 % for cybersecurity projects and by 72 % for cybersecurity services, licences and equipment in 2023;

    52.  Notes that the implementation of major digitalisation projects under the digital transformation strategy remained a priority for the CJEU in 2023, such as the development of the integrated case management system (SIGA), the promotion of the use of the e-Curia application for the lodging and notification of procedural documents by electronic means, the adoption of eSignature and the adoption of HAN/Ares electronic document record and management system; notes that the CJEU tracks the return on investment in digitalisation projects in terms of costs and resources efficiency and asks the CJEU to keep the discharge authority informed of its findings in that area;

    53.  Notes that, as part of its comprehensive initiative to increase accessibility and inclusion for persons with vulnerability, the CJEU has continued to implement the “accessibility by design” approach for any change and evolution of its IT systems; notes that, following an audit of the Curia website, the CJEU started to improve the site’s accessibility to a wide range of users, such as people with visual impairments, hearing impairments or learning disabilities;

    54.  Notes that the CJEU implemented several projects based on artificial intelligence (AI), such as the automation of document analysis for references to applicable legislation and assistance with invoice verification through robotic processes and hearing transcription, in line with its new AI integration strategy adopted in June 2023; underlines that it is of vital importance that AI is used in a manner which fully preserves the independence, the quality and the serenity of the legal processes, is in full consideration of ethical matters and is used under human oversight and allowing human intervention in order to avoid negative consequences or risks, or stop the system if it does not perform as intended; notes that, as part of that strategy, the CJEU set up an AI management board composed of members of the Court of Justice and of the General Court to oversee the ethical aspects of AI use within the CJEU and to set clear boundaries for its application; welcomes the staff guidelines on the use of AI issued by the board; welcomes the initiatives in place to upskill employees in digital competencies through the training path developed in cooperation with the Interinstitutional Committee for Digital Transformation (ETA); emphasises that the digitalisation of justice and the adoption of emerging technologies such as AI will offer significant advantages for the efficient functioning of the CJEU; recommends however that the CJEU anticipate the associated cybersecurity risks and strengthen even more its collaboration with the EU Agency for Cybersecurity and CERT-EU;

    55.  Notes that no EDPS enquiries were communicated to the CJEU in 2023; notes that, in 2023, EDPS had not addressed any specific recommendation to the CJEU following its investigation regarding the use of cloud services by Amazon web services; notes that EDPS published a decision in 2023 confirming compliance of the CJEU’s use of cloud videoconferencing services with data protection law; reiterates however its concerns regarding the use of external cloud services, given the growing threats about cybersecurity and digital sovereignty;

    56.  Welcomes the CJEU adoption of a cyber roadmap in 2023 and strengthening of its cybersecurity operational capabilities to better protect its systems against the increasing number of cyberattacks; underlines furthermore that a robust cybersecurity strategy is an essential tool to fight against foreign interferences aiming to undermine the integrity of the European Institutions; notes that the CJEU has taken various measures to reinforce its cybersecurity preparedness and ability to recover from security incidents, including through its participation in the governance of the Interinstitutional Cybersecurity Board and through a combination of cybersecurity controls and tools in line with the recommendations of CERT-EU; notes that the budgetary authority approved for the financial year 2025 the necessary appropriations for two additional posts in order to reinforce the CJEU’s staff capacities in the field of cybersecurity;

    57.  Welcomes the measures taken, such as cybersecurity audits, staff training and rapid incident response protocols, to protect the CJEU’s technological infrastructure from cyber threats; stresses that the digitisation of justice and the use of new technologies such as artificial intelligence will bring many benefits in terms of the smooth functioning of the CJEU, but also entail risks that the CJEU needs to pre-empt and protect itself against; suggests in this regard that the CJEU develop a cybersecurity strategy and step up collaboration with other Union institutions, in particular ENISA (the EU Agency for Cybersecurity), on the prevention of cyber-attacks, the number and sophistication of which are growing exponentially in Europe;

    58.  Welcomes the initiative to assign fictitious names to anonymised cases, by using a computerised automatic name generator, in order to strengthen the protection of personal data and facilitate the identification of individual cases;

    59.  Notes with satisfaction the amendment to the Rules of Procedure of the General Court, which will clarify and simplify judicial procedures, including the possibility of using videoconferencing for hearings, electronic signature of decisions and the designation of pilot cases;

    Buildings

    60.  Notes that, following-up on the cross services reflection about the most efficient use of the CJEU’s premises, that was concluded in 2023, pilot projects were launched; notes that the results of those projects, together with other factors, such as environmental and budgetary aspects, quality of justice, well-being at work, inclusion, accessibility and the attractiveness of the CJEU, will be taken into account in the final decision on the use of the CJEU’s buildings; asks that Parliament be kept informed about the implementation of those conclusions and the consequences for the organisation of the workspace;

    61.  Notes that, in 2023, the CJEU further pursued its comprehensive initiative to increase accessibility and inclusion for persons with disabilities, with the aim of guaranteeing access to the CJEU, physically or virtually, to all individuals, participants in proceedings and visitors; notes further that, in 2023, the CJEU started to make an inventory of its infrastructure with a view to complying with the new national accessibility legislation as of 1 January 2032; asks that Parliament be kept informed about further initiatives in this area;

    Environment and sustainability

    62.  Notes with satisfaction that, in 2023, the CJEU continued to significantly reduce its energy consumption and carbon footprint compared to 2015, which is the baseline for the implementation of the CJEU’s eco-management and audit scheme strategy, thanks to energy-saving measures and optimisation of its heating, cooling and lighting infrastructures; notes that heating consumption was reduced by 33,5 %, electricity by 28,7 %, water by 20,1 %, office paper by 63 %, office and canteen waste by 43 % and greenhouse gas emissions by 30,2 % in 2023 compared to 2015; welcomes that the CJEU applied green procurement criteria in 10 calls for tender above EUR 60 000; welcomes the CJEU’s commitment to the Eco-Management and Audit Scheme (EMAS); encourages the CJEU to continue its efforts in reducing its environmental impact, with a strategy to reach carbon neutrality by 2035;

    63.  Welcomes that the CJEU has taken several initiatives to support and increase sustainable mobility for its staff and Members, including subsidies for public transportation, subsidies for self-service bicycles, improved bike parking facilities and improved facilities for hybrid and electrical cars;

    Interinstitutional cooperation

    64.  Welcomes the budgetary savings achieved through cooperation with other institutions and in particular the shared applications and hosting services based on service-level agreements with the Commission as well as the participation in interinstitutional procurement procedures, which have allowed the CJEU to optimise costs and resources;

    65.  Welcomes the efforts of the European Judicial Training Network (EJTN) in training national judges on EU law; notes with appreciation that, in line with the CJEU’s declaration entitled “Supporting the EJTN to shape a sustainable European judicial culture”, the CJEU and the EJTN sought to increase the diversity of long-term trainees in 2023, with the aim of ultimately increasing their number to one per Member State; notes that the measures taken have already been successful since the CJEU has trainees from some Member States which previously did not actively participate in the programme; notes that 15 remunerated traineeships were offered for the year 2023-24; calls on the CJEU to further develop its knowledge-sharing initiatives, including joint case-law databases and virtual collaboration platforms to support national courts in complex legal interpretations;

    66.  Emphasises that traineeships should be remunerated in compliance with the European Parliament’s resolution of 14 June 2023 on Quality Traineeships in the Union (2020/2005(INL)), which calls for all internships in Europe to be paid; welcomes that currently all trainees at the CJEU receive a grant during their stay, mainly from the CJEU and, in some specific cases, from other sources; take notes that the CJEU only accepts a few trainees (less than 10 per year) paid by other sources, and for short periods (on average 2 months); welcomes that in such cases, the CJEU administration carefully checks that these trainees receive a grant, allowance or remuneration for this traineeship, paid directly by their employer or academic institution;

    67.  Appreciates that the CJEU fully cooperates with OLAF, the Court, the EDPS and the European Ombudsman; notes that, in 2023, the CJEU has continued to work towards maintaining the established dialogue with national courts, and in particular with the constitutional and supreme courts, and that the CJEU hosted a number of meetings, including the annual meeting of national judges; encourages deeper cooperation between the CJEU and national courts to strengthen uniform application of Union law; recommends establishing a permanent judicial exchange programme for judges from Member States to work alongside their CJEU counterparts, fostering best practices in the interpretation of Union law;

    Communication

    68.  Notes that, in 2023, the CJEU strengthened its efforts to engage with Union citizens by enhancing its outreach on social media; notes that, at the end of 2023, the number of subscribers to the CJEU’s LinkedIn account increased by 32 % and the number of followers on the CJEU’s two accounts on X (formerly Twitter) by 9 %,while the views on its YouTube channel increased by 84,96 % compared to the previous year;

    69.  Welcomes the CJEU’s efforts to enhance strategic communication and transparency towards Union citizens on the judicial activities of the CJEU, especially through the organisation of an open day, the offer for visitors, in particular the special virtual visits, in which 800 students participated in 2023, and the review of the drafting of its press releases and online publications in an accessible style, about matters of media interest or which have an impact on the lives of citizens.

    (1) Regulation (EU, Euratom) 2024/2019 of the European Parliament and of the Council of 11 April 2024 amending Protocol No 3 on the Statute of the Court of Justice of the European Union, OJ L, 2024/2019, 12.8.2024, ELI: http://data.europa.eu/eli/reg/2024/2019/oj.

    MIL OSI Europe News

  • MIL-OSI Europe: Written question – Presence of alien ibis in Europe and their ecological impact: Threskiornis melanocephalus and Threskiornis aethiopicus – E-001770/2025

    Source: European Parliament

    Question for written answer  E-001770/2025
    to the Commission
    Rule 144
    Paolo Inselvini (ECR), Sergio Berlato (ECR), Pietro Fiocchi (ECR)

    In recent years, two non-native species of ibis – the African sacred ibis (Threskiornis aethiopicus) and the black-headed ibis (Threskiornis melanocephalus) – have been found in some parts of the European Union.

    The African sacred ibis, initially introduced into Europe (mainly in France and Italy) for ornamental purposes or in wildlife parks, has given rise to stable wild populations, which are considered invasive in several wetlands. Containment plans have already been put in place in some Member States due to the risk that the species poses to native birds, in particular to species that nest on the ground or in sensitive environments.

    Regarding the black-headed ibis, a species classified as ‘Near Threatened’ by the International Union for Conservation of Nature, there are reports of sightings in the wild due to escapes from private collections or zoos. Its rapid expansion in European habitats is having a similar impact.

    In the light of the above:

    • 1.Is the Commission aware of the presence and expansionary dynamics of the African sacred ibis and the black-headed ibis in Europe, and of the containment measures already in place in some Member States?
    • 2.Does it intend to promote European coordination for managing potentially invasive alien species, including monitoring of the black-headed ibis?
    • 3.Does it believe that the lists of alien species monitored at European level need to be updated to also include emerging alien bird species that could threaten native biodiversity?

    Supporter[1]

    Submitted: 30.4.2025

    • [1] This question is supported by a Member other than the authors: Carlo Fidanza (ECR)
    Last updated: 12 May 2025

    MIL OSI Europe News

  • MIL-OSI Europe: Written question – Urgency of regulating trifluoroacetic acid (TFA) and phasing out PFAS pesticides to safeguard water resilience and public health in the EU – E-001786/2025

    Source: European Parliament

    Question for written answer  E-001786/2025
    to the Commission
    Rule 144
    Cristina Guarda (Verts/ALE), Sigrid Friis (Renew), Heléne Fritzon (S&D)

    Trifluoroacetic acid (TFA), an ultrashort per- and polyfluoroalkyl substance (PFAS) and a degradation product of several PFAS chemicals, has emerged as a significant yet largely overlooked contaminant in European water sources.

    TFA pollution is extensive, with concentrations several orders of magnitude higher than those of other PFAS pollutants, including in drinking water, throughout Europe. Given TFA’s persistence and mobility in the water cycle and considering recent evidence about its toxicity potential to human reproduction[1], its accumulation poses a significant challenge to water resilience and public health. Recent scientific warnings have identified TFA as a planetary boundary threat due to the increasing global exposure and the potential for irreversible impacts[2]. According to recent scientific findings, the use of PFAS pesticides is a major source of TFA in the environment[3]. Currently, more than 30 PFAS pesticide substances are approved for agricultural use in the EU, contaminating our food and water resources with TFA.

    Fifty Members of the European Parliament have written to the Commission, urging it to ban all PFAS pesticides.

    As the Water Resilience Strategy is being developed, will the Commission consider adopting stricter regulations on TFA in water and phasing out its primary sources, including PFAS pesticides?

    Submitted: 2.5.2025

    • [1] European Chemicals Agency, ‘Registry of CLH intentions until outcome – Tricluoroacetic acid’, ECHA website, https://echa.europa.eu/registry-of-clh-intentions-until-outcome/-/dislist/details/0b0236e188e6e587.
    • [2] Arp, H. P. H., et al., ‘The global threat from the irreversible accumulation of trifluoroacetic acid (TFA)’, Environmental Science & Technology, Vol. 58, Issue 45, 2024, https://pubs.acs.org/doi/10.1021/acs.est.4c06189.
    • [3] Sturm, S. et al., Trifluoroacetate (TFA): Laying the foundations for effective mitigation, Umweltbundesamt, 2023; Joerss, H. et al., ‘Pesticides can be a substantial source of trifluoroacetate (TFA) to water resources’, Environment International, Issue 193, 2024, https://pubmed.ncbi.nlm.nih.gov/39442319/.
    Last updated: 12 May 2025

    MIL OSI Europe News

  • MIL-OSI Europe: Text adopted – Discharge 2023: European Public Prosecutor’s Office (the ‘EPPO’) – P10_TA(2025)0087 – Wednesday, 7 May 2025 – Strasbourg

    Source: European Parliament

    The European Parliament,

    –  having regard to its decision on discharge in respect of the implementation of the budget of the European Public Prosecutor’s Office for the financial year 2023,

    –  having regard to Rule 102 of and Annex V to its Rules of Procedure,

    –  having regard to the opinion of the Committee on Civil Liberties, Justice and Home Affairs,

    –  having regard to the report of the Committee on Budgetary Control (A10-0051/2025),

    A.  whereas the EPPO is the independent public prosecution office of the Union, responsible for investigating and prosecuting crimes against the financial interests of the Union, for significantly enhancing the Union’s capacity to safeguard taxpayer funds, and for bringing to judgment the perpetrators of, and accomplices to, criminal offences provided for in Directive (EU) 2017/1371(1) and indicated by Regulation (EU) 2017/1939(2);

    B.  whereas the competence of the EPPO encompasses several types of fraud, and includes cross-border VAT fraud with a total damage of at least EUR 10 million, money laundering, corruption, organised crime and other offences for which the EPPO performs prosecutorial functions before the competent courts of the participating Member States;

    C.  whereas the EPPO is one of the component of the Union’s anti-fraud architecture and, as such, its actions are coordinated with and complementary to those of the other components of the architecture, to achieve streamlined, efficient coordination that enhances the overall effectiveness of the architecture;

    D.  whereas the EPPO intervenes when national authorities could investigate and prosecute crimes but where the prerogatives of national authorities stop at the borders of their country, and other organisations like Eurojust, OLAF and Europol do not have the necessary powers to carry out the relevant criminal investigations and prosecutions;

    E.  whereas the procedural acts of the EPPO are subject to judicial review by the national courts and the Court of Justice of the European Union (the ‘Court of Justice’) has, by way of preliminary rulings or judicial reviews of those acts, residual power to ensure a consistent application of Union law;

    F.  whereas the EPPO is composed of a central level, with its headquarters in Luxembourg, consisting of the European Chief Prosecutor, 22 European Prosecutors (one per participating Member State), the Administrative Director, and a decentralised, national- level consisting of the European delegated prosecutors (EDPs) in the 22 participating Member States;

    G.  whereas at the central level the European Chief Prosecutor and the 22 European Prosecutors compose the College of the EPPO (the ‘College’) and supervise the investigations and prosecutions carried out by the EDPs at the national level, who operate with complete independence from their national authorities;

    H.  whereas, under Article 93 of Regulation (EU) 2017/1939, the EPPO Administrative Director, acting as the authorising officer of the EPPO, is to implement its budget under its own responsibility and within the limits authorised in the budget and shall send each year to the budgetary authority all information relevant to the findings of any evaluation procedures;

    I.  whereas, in accordance with Article 50(2) of the EPPO’s Financial Rules, the Accounting Officer of the Commission is also to act as Accounting Officer of the EPPO and is responsible for the preparation of the annual accounts, which are consolidated with those of the Union;

    J.  whereas, under the current framework, the final annual accounts are scrutinised by the Court of Auditors (the ‘Court’) and it is with the Council to recommend and to the European Parliament to decide whether to grant discharge to EPPO’s Administrative Director in respect of the implementation of the budget for a given financial year;

    K.  whereas the scrutiny over the management of the EPPO resources and related expenditure cannot ignore the examination of operational activities, their consequences and impact and the methods of their execution;

    L.  whereas the EPPO has been operating autonomously in the implementation of its budget only since 24 June 2021 and it has started its operational activities, necessitating continuous evaluation to ensure resources align with operational effectiveness, on 1 June 2021, which is also the dies a quo for the five-year term indicated in Article 119 of Regulation (EU) 2017/1939 upon reaching which the Commission will have to submit to the European Parliament and to the Council and to national parliaments an evaluation report on the implementation and impact of such Regulation, and on the effectiveness and efficiency of the EPPO and its working practices, together with its conclusions;

    M.  whereas, in accordance with Article 119(2) of Regulation (EU) 2017/1939, the Commission is to submit legislative proposals to the European Parliament and to the Council if it concludes that it is necessary to have additional or more detailed rules on the setting up of the EPPO, its functions or the procedure applicable to its activities, including its cross-border investigations;

    1.  Welcomes the positive opinion of the Court on the reliability of the EPPO’s accounts for the year ended 31 December 2023 and on the legality and regularity of the underlying revenue and payments;

    2.  Recalls the Parliament’s strong support for the establishment of the EPPO; acknowledges the EPPO as an independent Union body; stresses the EPPO’s important role in the protection of the Union’s financial interests and as an essential component of the Union’s anti-fraud architecture and of a wider Union system based on integrity, accountability, transparency and the sound financial management of resources; commends the EPPO for its work in investigating, prosecuting, and ensuring justice for crimes affecting the Union budget, such as fraud, corruption, and cross-border VAT fraud;

    3.  Highlights the critical necessity of promptly dedicating necessary resources to ensure the timely conclusion of the ongoing investigation into the acquisition of the COVID-19 vaccine in the Union, especially considering the substantial public interest in this matter, coupled with the fact that the investigation already commenced in 2022 and to this date no decision has been publicly announced;

    4.  Notes that it is possible to compare only the two most recent budgetary and operational performances of the EPPO, for the period 2022 to 2023, following the EPPO’s financial autonomy in June 2021; observes that, in that context, the budgetary increases related to the EPPO’s activities remain very difficult to estimate because of the EPPO’s recent establishment, the unique characteristics of the EPPO and its main activities, the unpredictable level of fraud detection, the wide variety of its cases, its lack of discretion with regard to pursuing prosecutions coupled with its reliance on the resources and procedural constraints of national judicial systems, the lack of a fixed correlation between the number and the costs of investigations, and the magnitude of the Union’s financial interests that are to be protected; also observes that it is difficult to estimate the expenditure for the caseload related to the Recovery and Resilience Facility (RRF) because of its unprecedented manner of implementation and high volume of resources;

    Budgetary and financial management

    5.  Notes that the overall final budget allocated to the EPPO for 2023 was EUR 65,9 million, substantially increased (by 14,7 %) from the EUR 51,2 million that was allocated in 2022, while the 2021 budget (EUR 26,2 million) related to a period prior to the EPPO’s financial autonomy; observes that the EPPO’s budget includes the reinforcement, granted by the budgetary authority at the request of the EPPO in June 2023, by EUR 500 000 (the request also included human resources related to the essential enhancement of the EPPO’s security capacity, leading to the grant of eight additional establishment plan posts); appreciates that no budget was returned in 2023, compared to 10 % (EUR 5,9 million) of the initial budget in 2022 and 21 % (EUR 9,5 million) in 2021; re-iterates the need for the EPPO to be provided with sufficient resources to adequately fulfil its mandate;

    6.  Welcomes the increasing level of budget implementation, which was 99,6 % in 2023 (compared to 98,1 % in 2022 and 97,4 % in 2021); appreciates that the overall execution rate for payments progressed in 2023 reaching 85,3 % (compared to 76,6 % and 71 % in 2022 and 2021) and the average payment time decreased to 17 days compared to 23,8 in 2022 and 21,0 in 2021); observes that the electronic invoicing module (e-invoicing) was rolled out in June 2023 and it will contribute to further reducing administrative burdens, time-to-payment and the overall processing costs; encourages a further refinement of operational processes to maximise efficiency;

    7.  Understands that, because the budget endowment requests were only partially met, the EPPO focused its financial resources on the intake of additional EDPs, which has an impact on the EPPO’s capacity to lead the increasing number of investigations and prosecutions, on the need to improve the security standing of the organisation and on the maintenance of its case-management System (CMS), which could have negatively affected the management of cross-border investigations; underlines the importance of additional funding and strengthening its staffing to enable the EPPO to effectively combat organised crime, protect the Union’s financial interests, and uphold the rule of law, which are key Union priorities; calls for a dedicated increase in funding within the next Multiannual Financial Framework (MFF) to ensure it can continue to meet its objectives and obligations;

    8.  Is aware that, following the achievement of its financial autonomy, in June 2021, the EPPO prioritised the operational expenditure related to investigation, prosecution and security measures, and that this has resulted in limiting the non-operational expenditure to essential level support services; remarks that, in this context, a total of EUR 28 312 075 was allocated on operational expenditure lines (Title 3), representing 43 % of the EPPO’s final budget 2023 (compared to EUR 21 047 346, which was 41 % in 2022); observes that the main cost drivers for these activities were the EDPs’ remuneration (51 % of the operational activities compared to 42 % in 2022), followed by operational ICT activities like maintenance and development of the EPPO’s CMS (19 % compared to 28 % in 2022), and the linguistic services (translation and interpretation related activities) (14 %, the same as in 2022);

    9.  Notes that the remuneration of the EDPs reached EUR 14,5 million (compared to EUR 8,7 million in 2022), which represents the main operational expenditure because of the increased number of EDPs in place over 2023; welcomes the accession of Poland and Sweden to the EPPO, which was announced in 2024; notes that it did not affect the 2023 expenditure and concerns the 2024 budget only marginally, due to the late and gradual intake of two European Prosecutors and a number of EDPs; understands that a more solid cost estimation will not be possible until 2025; welcomes the inclusion in the programme of the objective of the new Irish Government to join the EPPO; calls on the Hungarian government, as the sole remaining Member State that has not yet joined the EPPO, despite the absence of any legal or constitutional impediment, to join the EPPO without further delay;

    10.  Observes that costs for missions and operational meetings increased further in 2023 (mission costs were EUR 1 175 000 in 2023 and EUR 980 000 in 2022; operational meeting in 2023 were EUR 659 752 compared to EUR 170 000 in 2022), in line with the increasing level of intensity of investigations;

    11.  Is aware that the costs for translation services are expected to further increase, in line with the EPPO’s increasing caseload, and recognises the need for additional resources for translation; welcomes both the internal guidance developed on the use of translation services, with a view to reinforcing control over costs and including the recommendation to use machine translation services whenever possible, and the use of national service providers of the limit allowed by the current Regulation to address the problem; observes, in that regard, that while Article 107 of Regulation (EU) 2017/1939 provides for translation services required for the administrative functioning of the EPPO at the central level to be provided by the Union’s Translation Centre for the Bodies of the European Union, it also provides for different handling of operational and urgent matters and empowers EDPs to decide on the arrangements for translations for the purpose of investigations in accordance with applicable national law;

    12.  Notes that in 2023 the EPPO signed 234 specific contracts under existing framework contracts, for a total of more than EUR 11 million, with a significant increase in the use of EPPO framework contracts (82 specific contracts for a value of more than EUR 6,5 million) due, to a great extent, to the use of the EPPO’s framework contract for the Provision of Services in the Field of Information Systems; observes that only one contract, concerning the EPPO’s CMS, was awarded via a negotiated procedure without prior publication of a contract notice for reasons of extreme urgency;

    13.  Observes that carry-over of appropriations from the previous exercise in 2022 amounted to EUR 10 969 680 (24,4 % of the EPPO’s 2022 final budget), of which 84,8 % was consumed (EUR 9 307 392) and 15,2 % was cancelled (compared to 21,4 % in 2022) and notes that forecasts indicate another carry-over in 2024, pending completion of the deliverables, for payment appropriations (the carry-over from 2023 to 2024 amounted to EUR 9 392 989); understands that partial cancellation is a consequence of the progressive establishment of the EPPO’s administrative practices following the financial autonomy it achieved in 2021; notes that carry-over appropriations cancelled for approved budgets of 2022 and 2023 could be neither used with existing or new contracts nor synchronised with the principle of annuality, while the planning of the corresponding expenses, mainly related to translation, meetings, missions and external contractors, could not be accurate due to a lack of any historical data and figures and the rapid evolving of the organisation; appreciates that the continuous strengthening of the EPPO’s administrative capacity is progressively addressing those issues and that, while a fully estimation cannot be made in advance because of the nature of the EPPO’s operational activity, the expected level of cancelled appropriations will diminish in 2024;

    14.  Notes that in 2023 two budget transfers were adopted by the European Chief Prosecutor, on a proposal drawn up by the Administrative Director, and that they were notified to the College for information, for a total transferred between titles of EUR 1,2 million;

    15.  Acknowledges the need for adequate budget flexibility, to address unexpected operational needs such as, in 2023, the war in Ukraine, inflationary pressures, or other global challenges and understands that the EPPO made use of its Financial Rules by timely reallocation of appropriations via budget amendments (one in June and one in November) and via budget transfers (one in September and one in December);

    16.  Reiterates its observation on the obsolete 2017 Legislative Financial Statement which is deemed to be no longer fit-for-purpose due to a significantly underestimated workload; recalls its previous resolution, underlining that the absence of a mid-term budgetary review obliges the EPPO to wait until the very end of the budgetary adoption process to have clarity on what resource level it can implement in the subsequent year, and it limits the EPPO’s capacity to anticipate budget implementation preparatory activities as well as the options that should be made available to achieve maximum flexibility in the development of an organisational infrastructure for a project as innovative as the EPPO; notes that this, in particular, affects the early launch of recruitment, delaying the progress towards full occupancy among others and the overall absorption capacity of the EPPO;

    17.  Maintains that the budgetary and human resources allocated to the EPPO are expected to be adequate to allow the efficient and successful carrying out of its mandate and the normal handling of the related administrative procedures; reiterates its call on the Commission to review the EPPO budgetary framework in close cooperation with the EPPO to find adequate ways to support it in its work; calls on the Commission to allocate additional resources, justified by the growing number of complex cases, and emphasises that these should not be dependent on the revision of Regulation (EU) 2017/1939 or of the EPPO mandate, but rather on the importance of the fight against organised crime and the protection of the Union’s financial interests in the next MFF;

    18.  Emphasises that the activities of the EPPO contribute to the protection of the Union’s financial interests and are also expected to recover amounts from the Union’s budget that were not used for its intended purpose due to criminal activities; believes that the amounts resulting from seizing and confiscating measures adopted by the EDPs in the Member States could, after the deduction of costs incurred by the Member States’ authorities to implement those measures, flow back into the Union Budget in accordance with Article 38 of Regulation (EU) 2017/1939; considers that the potential revenue resulting from seizing and confiscating measures should be accounted for in the Union Budget as non-assigned revenue; calls on the Commission to make the necessary arrangements with the relevant national authorities to allow those amounts to enter into the Union Budget;

    19.  Acknowledges that the EPPO clearly contributes to European added value in terms of coordination and cooperation with the Member States in investigating and prosecuting crimes against the financial interests of the Union and that the EPPO has been achieving the goals set out in Regulation (EU) 2017/1939 in that regard; expects Member States to comply with legal obligations and to report all relevant cases to the EPPO; notes with concern that in several instances Member States have been declaring criminal offences affecting the financial interests of the Union as national cases, which are within the competence of the EPPO; notes that questions of competence between the national authorities and the EDPs have come up in several cases across several countries; is aware that, according to Article 25(6) of Regulation (EU) 2017/1939, cases of disagreement about the EPPO’s competences are to be decided by the same national judicial authority who is responsible for determining the competent body for prosecution at national level; regrets that in many participating Member States the procedures in force and the national authorities entrusted with the decisions on such cases regarding conflicts of competence are not set in compliance with Regulation (EU) 2017/1939, stresses that in cases of conflicts of competence between the EPPO and a national prosecution authority, the national authority competent to decide on the attribution of competence could come to a conclusion without requesting a preliminary ruling of the Court of Justice and could, instead adopt a decision that is binding on the EPPO and points out that this is against the spirit of Regulation (EU) 2017/1939, which provides that, in accordance with Article 267 TFEU, the Court of Justice has jurisdiction to give a preliminary ruling on the interpretation of the provision on conflicts of competence between the EPPO and national authorities; believes that the current situation lacks legal clarity; encourages all Member States to work more closely with the EPPO; emphasises that the competence of the EPPO is clearly outlined in Article 22(1) and (2), and in Article 23 of Regulation (EU) 2017/1939, and that all Member States are to comply with that Regulation; notes that when Member States have doubts about the competence of the EPPO in a particular case, there is the possibility of submitting a preliminary question to the Court of Justice for a preliminary ruling pursuant to Article 267 TFEU and Article 42(2), point (c), of Regulation (EU) 2017/1939 ; urges the Commission, where there is a breach of Regulation (EU) 2017/1939, to submit the case to the Court of Justice; notes with concern that the question of competence can cause a halt to the investigation; is concerned about potential loss of evidence when cases are paused; calls on the Commission to collect information regarding cases regarding conflicts of competence for the evaluation report that will be submitted in 2026;

    20.  Reiterates that Article 91(6) of Regulation (EU) 2017/1939 is to be implemented properly and underlines that the peculiar characteristics of prosecution and investigation expenditure, including the exceptional cases of the EPPO’s operational expenditure governed by that provision, have to be taken into account; understands that, in 2023, a first financing agreement was signed in the framework of a pilot for the reimbursement of claims made under Article 91(6) of Regulation (EU) 2017/1939, to cover exceptionally costly investigation measures carried out at national level on behalf of the EPPO; appreciates that the corresponding payment was audited by the Court during the 2023 audit and was deemed legal and regular;

    Internal management, performance and internal control

    21.  Welcomes that, during 2023, the College met 22 times and adopted 73 decisions, among which are the anti-fraud strategy 2023-2025, the anti-harassment policy for staff and for members of the College or the EDPs;

    22.  Acknowledges that the EPPO continued its efforts to set in place a system to monitor efficiency gains and cost savings, and notes that in 2023 it launched a review of the budget and activities’ strategic and operational planning and monitoring processes and of the recruitment processes, to make gains in speed and acquired competences; points out that, overall, the internal control systems in force are effective;

    23.  Notes that, to further develop the EPPO’s assurance framework, the internal auditor of the EPPO for non-operational matters (IAS) initiated, in 2023, a limited review of the EPPO’s building blocks of assurance; believes that this engagement, scheduled to be finalised during the course of 2024, will provide recommendations to build a stronger capacity for the Authorising Officer to issue a credible declaration of assurance;

    24.  Welcomes the benchmarking exercise carried out by the Internal Audit Capability (IAC) by comparing the deployed human resources of the EPPO with a set of other Union entities and national prosecution offices, against a standardised set of pillars which includes administrative support and operational activities; observes that, in 2023, the IAC tested the internal oversight environment and ran the first internal audit as an analysis of the working environment and internal controls of the EPPO’s decentralised office in Sofia, Bulgaria;

    25.  Reiterates its view that the IAS and the IAC should coordinate their actions with a view to advising and assisting the EPPO in the establishment of its main core processes and the achievement of its objectives;

    26.  Notes that the EPPO has developed its own purchase capacity, resulting from its own specifically run procurement processes launched in 2023, and manages its own specific contracts and order forms with regard to the implementation of existing framework contracts that were signed in 2023; observes that the EPPO continues, in parallel, to operate its purchase capacity through service level agreements with other Union institutions, bodies, offices and agencies, and by joining inter-institutional contracts with various market operators;

    27.  Is aware that in 2023 the Administrative Director established the minimum standards (assessment criteria) for each of the 17 internal control principles based on the COSO 2013 Control-Integrated Framework and established by the EPPO Internal Control Framework (ICF) as building blocks of the EPPO internal control system; observes that out of 72 compliance criteria, 51 are observed as fulfilled, 20 have some elements in place but further development is desirable and only in the case of one criterion has no significant implementation has been noted; appreciates that, since its adoption by the College on March 2021, 71 % of the adopted ICF assessment have been successfully implemented whereas additional effort needs to be made for the full implementation of the remaining 29 %;

    28.  Welcomes that, on 1 March 2023, an updated version of the EPPO Anti-Fraud Strategy 2023-2025 was adopted setting the objectives to counter fraud at all levels of the organisation in connection with a dedicated action plan which is part of the EPPO internal control environment and is monitored on a regular basis; appreciates the annual review of the Anti-Fraud Strategy action plan by the EPPO Internal Control Officer, reporting the results of that review to the Administrative Director;

    29.  Is aware that, in line with the EPPO’s financial rules, the EPPO ensures an adequate level of financial transactions and procurement procedures via ex post controls on financial transactions (payments, commitments and recovery orders) and on procurement procedures for the period 1 January to 31 December 2023;

    30.  Observes the increase in crime reports submitted to the EPPO (4 187 in 2023 compared to 3 318 in 2022 and 2 832 in 2021) and, as a result, the increase in open investigations (1 371 in 2023 compared to 865 in 2022 and 567 in 2021) and in the estimation of damage (EUR 19,27 billion in 2023 compared to 14,1 billion in 2022 and 5,4 billion in 2021); remarks that reports from private parties (2 494, which is 29 % more than in 2022) and from national authorities (1 562, which is 24 % more than in 2022) represent the biggest share of operational input received, while regrets that reports from other Union institutions, bodies, offices and agencies remained very low (108), suggesting that no significant improvement in terms of detection and reporting was achieved from their side; notes that the number of indictments (139 in 2023 compared to 87 in 2022 and 5 in 2021) together with the freezing orders obtained by the EPPO (EUR 1,5 billion compared to EUR 359,1 million in 2022 and EUR 147 million in 2021) are indicative of the growing performance level of the EPPO;

    31.  Notes that, compared with 2022, the caseload of the EPPO almost doubled in 2023, reaching up to 1 927 active investigations; commends the fruitful activities of the EPPO in 2023, which included 139 indictments, 339 VAT-related cases and over 200 investigations on the implementation of NextGenerationEU; further notes that the EPPO started to bring more perpetrators of Union fraud to justice in front of national courts;

    32.  Notes that, in 2023, 48 cases concluded with a court conviction (compared to 20 cases in 2022) and that EUR 60 million was the amount confiscated (compared to EUR 2 million in 2021); underlines the importance of a systematic reporting on the follow-up to these cases in terms of the financial measures adopted (confiscation and recovery) to get a clearer understanding of the impact of the EPPO’s actions; welcomes the actions undertaken by the EPPO and the Commission to streamline their communications and make them adequate in relation to the needs of possible administrative procedures for the adoption of measures to restore the Union’s budget affected by financial crimes; reiterates its call on the Commission to assist the EPPO in monitoring and follow-up activities, in such a way that the EPPO’s limited resources are not diverted from their investigative and prosecutorial tasks; encourages the EPPO, where possible and appropriate, to engage in better cooperation with other components of the Union’s anti-fraud architecture, such as Eurojust and Europol, or using – via OLAF- the Anti-Fraud Coordination Services established in the Member States to monitor the results of its investigations;

    33.  Underlines the essential role of asset recovery in the creation of a credible deterrent to organised crime; welcomes the EPPO’s participation in international networks to advance its asset recovery operations further; stresses the need for the Commission to invite the EPPO to participate in the newly created cooperation network on asset recovery and confiscation; notes that the timely and effective investigation and prosecution of fraud-related crimes can generate significant savings for the budget of the Union and the budgets of the Member States;

    34.  Is concerned about the increasing number of EPPO investigations regarding the implementation of Recovery and Resilience Plans (RRPs) (there were 233 investigations at the end of 2023, compared to 15 investigations at the end of 2022) and their relevant estimated financial damage (EUR 1,86 billion); is particularly concerned that, despite the high number of investigations, there is currently no obligation on Member States to report RRF cases to the Commission through the Irregularity Management System (IMS); recalls the obligation to report all the cases of fraud affecting RRF to the EPPO and stresses that such cases are also relevant for EDES-related measures; stresses that the EPPO’s workload, initially underestimated, has significantly increased and is expected to continue growing particularly due to the rising number of RRF-related cases and that relevant analyses suggest a possible exponential grow in the number of cases of fraud, corruption, double funding and conflicts of interest in the coming years; calls on the EPPO to systematically analyse and identify fraud patterns in Member States where multiple RRF cases have been detected, and to communicate these patterns to Member States, the Commission and the Recovery and Resilience Task Force, with the objective of enhancing preventative measures to mitigate the risk of fraud; calls on the EPPO, the Commission and OLAF to cooperate closely with the aim of minimising, as much as possible, the impact of such fraudulent misbehaviours on the Union’s budget and safeguarding the achievements of the RRF’s goals; recalls the call on the Commission to provide adequate guidance to the EPPO on how to support and foster the adoption of the remedial measures which follow the EPPO’s independent investigation and prosecution of fraud affecting the RRF and to keep the budgetary authority informed regarding the available options;

    35.  Understands that the EPPO reacted to Parliament’s call for a better monitoring system and enhanced follow-up of investigations and prosecutions by launching a project on digital statistical tools which would allow better use of the data that it processes, and the development of a strategic analysis capacity to identify the patterns of fraud; shares the EPPO’s view that the success of those efforts are directly linked to the available resources and calls on the Commission to take these activities and the related costs into consideration for the future proposals on Regulation (EU) 2017/1939 and on budgetary endowments;

    36.  Appreciates the EPPO’s efforts in the setting up key performance indicators (KPIs) for both operational and administrative activities with specific targets due to its peculiar business model; maintains its remark on the need for operational activities to include reference to the amounts seized, confiscated and eventually recovered to the Union’s budget, the safeguard of which is ultimately the raison d’être of the Union’s anti-fraud architecture of which the EPPO is an important component; understands that monitoring and follow-up action, including reporting on the recovery results, are not in the EPPO’s remit and require resources and specific prerogatives that are not part of the EPPO’s mission; asks the Commission to support the EPPO in identifying indicators linked to the achievement of that essential task, stressing that a better monitoring system, and more data of good granularity and aggregated in cluster per typology of misconduct, sector of interest or geographical area, could allow making more tangible the impact of the EPPO’s investigations and allow the identification of patterns of fraud;

    Human resources, equality and staff well-being

    37.  Observes the upward trend in the number of staff, increasing from 58 in 2020, to 122 in 2021, 217 by the end of 2022 and 238 by the end of 2023; is aware that, for 2023, the EPPO requested from the budgetary authority the suppression of 20 contract agent posts and the creation of 20 temporary agent posts, which was granted and implemented by the EPPO in the same year, resulting in the total number of staff remaining unchanged (248, out of with 171 TAs, 48 CAs and 29 SNEs), with a different allocation of posts (191 TAs, 28 CAs and 29 SNEs); points out, however, that following certain security weaknesses identified, the EPPO requested in May 2023 an amending budget and additional posts to enhance the physical, information and cyber security at central and decentralised levels and that out of 21 security posts identified, only eight posts (1 AD 9, 4 AD 6 and 3 AST 3) were granted in November 2023 for further security implementations which was finalised in 2024;

    38.  Points out that, in 2023, the occupancy rate at the central office was 92,97 %, of which 238 were members of staff compared to 256 budgeted posts; notes that out of 140 posts for the EDPs, 130 were on the post at the end of 2023 and another 10 started at the beginning of 2024, reaching 100 % of occupancy rate; observes that the EPPO reinforced its capacity to run timely and transparent recruitment procedures by concluding 24 selection procedures in 2023, on-boarding 45 statutory staff members and 8 new European Prosecutors while 35 new EDPs were appointed;

    39.  Notes that, by December 2023, staff turnover (TAs and CAs) was at 4,62 %(3), recording a total of 11 resignations throughout the year, mainly justified by leaving to another institution (four cases) and for more senior positions offered in other Union institutions (seven cases); observes that the main underlying cause for this turnover is the specificity of the Luxembourg labour market, which has a very limited talent pool and small offer of specialised skills;

    40.  Acknowledges the Commission’s efforts to satisfy the EPPO’s requests for additional posts; believes that the workload perspectives indicates that further resources are needed, especially considering the backlog and additional RRF-related cases and far-reaching VAT fraud and also considering that the administrative and central support functions are expected to grow, in line with the larger operational population; points out the risk of underestimating needs and capacities; remarks that the cost of interim staff and external service providers working intra-muros in 2023 reached EUR 4 235 242; encourages the Commission and the EPPO to find a sustainable long-term solution which allows for continuity, preserves confidentiality and retains built-in competences; appreciates that the EPPO’s additional operational needs are exhaustively integrated in the EPPO Single Programming Document 2024-2026 and in EPPO budget requests;

    41.  Notes with concern that the Luxembourg labour market is very competitive, that the financial conditions offered by the Union administration are not attractive compared to the local market (subject to diverse salary indexations throughout the year), and do not take due account of the high cost of living in Luxembourg, which has become even more difficult because of the inflation rate and the increased cost of housing; notes that the EPPO cannot offer a career path for its members of staff to become Union Officials and that its posts are therefore even less attractive than those in the four other Union institutions operating from Luxembourg; emphasises that this results either in a very limited number of applications for vacant posts or in the rejection by the selected candidates of the employment offer once received, due to the high cost of living; calls on the EPPO and the Commission to implement measures that enhance the EPPO’s attractiveness for highly skilled professionals with international experience, such as the housing allowance for lower-grade staff approved by the budgetary authority for 2025, as recommended by the High-Level Interinstitutional Group; notes the overrepresentation of certain nationalities among staff;

    42.  Notes that, at the end of 2023, geographical and gender balance was adequately pursued overall across the 238 members of staff (with 137 men and 101 women); maintains that the nationality breakdown of the EPPO population is constantly monitored by those hiring new members of staff, in seeking to ensure balance, especially, in light of the uneven distribution of applicants, and with Italy (34), Romania (33), Greece (26) and Belgium (24) being more represented across the 26 different nationalities; encourages the EPPO to adopt proactive measures to ensure a balanced representation of nationalities among its staff, reflecting the diversity of the participating Member States; expresses concerns over the gender distribution among senior management positions (four men to one woman) and calls for this issue to be addressed in the framework of the overall diversity strategy; calls for the publication of an annual report, disaggregated by gender, nationality, and employment category, including concrete measures to close gaps in recruitment and career advancement and to monitor and address imbalances;

    43.  Is aware that the decision to implement a strategy on Diversity and Inclusion was made in 2023, with the development of the strategy to be executed in the course of 2024; encourages the EPPO to progress with its adoption and to periodically launch surveys among its staff, by promoting peer-review with other components of the Union’s anti-fraud architecture, such as Eurojust, OLAF and Europol; understands that the EPPO’s policy on Diversity & Inclusion will be based on the EU Agencies Network Charter on Diversity & Inclusion, adopted in March 2023, and believes that it will in general encourage diversity to make the workplace more attractive to candidates with specific needs; reiterates its request to the EPPO to adopt its Charter on Diversity and Inclusion without delay, in light of the increase in staff during 2023;

    44.  Remarks that, including TAs, CAs, SNEs and EDPs, 341 out of 396 staff (compared to 275 out of 332 in 2022) were deployed in investigative activities by the end of 2023 (that is 86,10 % compared to 82,83 % in 2022 and 86 % in 2021) while 55 members of staff (compared to 57 in 2022) were engaged in administrative support and control functions;

    45.  Welcomes the appointment of 8 new European Prosecutors and 35 new EDP’s to the EPPO in 2023; reiterates that the EPPO can fulfil its role only if it enjoys full judicial independence, which flows from a merit-based and objective appointment procedure; encourages Member States to contribute to the full independence of the EPPO in that regard;

    46.  Maintains that the appointment of EDPs is a shared responsibility of the EPPO and the Member States; stresses that the appointment procedure must always comply with Article 17 of Regulation (EU) 2017/1939 and the principle of national procedural autonomy;

    47.  Underlines the need for greater career development opportunities for EDPs to attract and retain experienced professionals; calls for improved employment conditions, including a clear career progression path and the standardisation of social security and pension arrangements across participating Member States, ensuring that national salary discrepancies do not deter qualified candidates from applying;

    48.  Appreciates that, in the course of 2023 and beginning 2024, the number of EDPs reached the initially foreseen number of 140; welcomes the decision to align the remuneration of EDPs with that of EU Officials of equivalent level of responsibility, rather than 80 % of the salary of EU Officials, as originally provided for; takes the view that this decision increases the attractiveness of the EDP’s function, paving the way to the recruitment of more experienced national prosecutors whose national salary was higher than the remuneration offered by the EPPO, and in the meantime reduces the administrative burden on the EPPO for the implementation of Article 16(1) of the Conditions of Employment of the EDPs, which provides that, in the case of total net remuneration lower than the national salary, a top-up amount is provided to ensure that the remuneration matches the previous level;

    49.  Underlines that the selection process for European Prosecutors and EDPs is not managed autonomously by the EPPO, because European Prosecutors are nominated by the Member States and then appointed by the European Council, whereas EDPs are nominated by the Member States and appointed by the College; maintains that the application of qualified candidates to the EDP positions could increase and the process could become more selective by adopting a clear career perspective and more favourable administrative discipline on social security and health insurance coverage; reiterates that the creation of a specific status for EDPs would be consistent with the nature of their judicial function and contribute on making those posts more appealing; calls on the Commission to propose adequate solutions in the event of amending Regulation (EU) 2017/1939;

    50.  Understands that each Member State is obliged (under Article 96(6) of Regulation (EU) 2017/1939) to put in place arrangements of legislative or administrative nature to maintain the affiliation and coverage of the EDPs, including any contributions to the relevant national social security, pension and insurance schemes, but a number of Member States have not yet fully complied with this obligation; therefore calls on the Commission to propose an effective solution to the social security and health insurance coverage gap of the EDPs at the revision of Regulation (EU) 2017/1939;

    51.  Notes that five complaints about the appointment of EDPs were introduced before the Court of Justice until 2023, of which three were closed (either dismissed or withdrawn) and one was dismissed, but an appeal is currently pending before the Court of Justice, and the last action for annulment of the decision of the College rejecting the nomination as EDP of a person nominated by a Member State was admitted in July 2024 on the grounds of a lack of sufficient reasoning in the College’s decision and an analysis is on-going on the manner in which the annulment is to be implemented; observes that there are no new complaints before the General Court concerning appointments to the EPPO;

    52.  Notes that the EPPO’s learning and development strategy was launched in 2023, aiming to promote a culture of continuous learning and facilitate the continuous assessment and adaptation of the staff’s evolving learning needs, together with the pilot learning needs analysis;

    53.  Notes, as regards measures and policies in place to safeguard the physical and mental well-being of staff, that in 2023 all measures were subject to revision and consultation by all involved stakeholders (the staff committee, members of staff in general, and management), seeking to find a balance between expectations and reality of the EPPO as a growing and rapidly changing organisation; observes that there the EPPO operates a flexitime scheme and a work-from-home standard scheme, which provides for one day of telework per week as a basis and a maximum of three days per week, plus extensions accepted in light of serious health or family constraints; remarks that current framework also includes 10 days’ work from outside the place of employment in a given year, to be used without link to other days of leave; believes that the EPPO’s current working conditions allow staff to take advantage of digital solutions by integrating a good level of autonomy in the management of working patterns, facilitating the conciliation of private and work life and promoting team morale and spirit; welcomes the on-going development of a policy on well-being which shall contain a section on well-being for staff benefiting from telework;

    54.  Highlights that, as suggested by Parliament, in the second semester of 2023 an open consultation on flexible working arrangements took place, and the decisions adopted in 2021 and 2022 underwent an ex post revision; notes that in consideration of the input of all stakeholders, on December 2023 the Administrative Director incorporated updates to the provisions; notes that changes included the enlargement of the notion of ‘place of telework’ (from 2 to 2,5 hours’ time/distance radius around the EPPO’s central office), and the introduction of hybrid working arrangements for interim agency staff; observes that no further change was adopted by College decisions, taking into account that the Administrative Director decisions had already enacted the conclusions of the staff consultations;

    55.  Notes that, following Parliament’s calls, a staff satisfaction (engagement) survey is planned in the first quarter of 2025; understands that the EPPO’s staff committee has also run a staff priorities survey, and encourages a more intensive dialogue to enhance the work-life conditions;

    56.  Welcomes that no case of burnout or harassment have been reported and that the number of long-term sick leave is very limited; welcomes the EPPO’s awareness of its duty to ensure promotion and preservation of health and wellbeing across staff, as well as the monitoring practices to earn such understanding which take into account untaken annual leave, the carry-over of annual leave and absences, the number of staff on long-term sick leave and the length of the absences; recalls the importance of establishing a clear and structured procedure for reporting cases of harassment by the European Chief Prosecutor and by the European Prosecutors, as well as its divulgation to all the staff;

    57.  Observes that, in early 2023, the EPPO’s central office carried out a traineeship pilot and the EPPO legal service sector hosted two trainees followed by two more in March and September 2023 for remunerated, in-person, five-month traineeships; notes that, based on the positive conclusions of the pilot, a traineeship policy was drafted and has been approved in 2024, followed by a first cycle of effective trainees the same year; welcomes the initiative to launch an experimental relationship-building with the local university and if successful, calls for its expansion to additional universities across the EU, which could offer interesting perspectives to further develop the early talent programmes for diversity; stresses that the high cost of living in Luxembourg poses a considerable obstacle for potential trainees; emphasizes that traineeships should be remunerated in compliance with the European Parliament’s resolution of 14 June 2023 with recommendations to the Commission on quality traineeships in the Union (2020/2005(INL)), which calls for all internships in the Union to be paid;

    58.  Welcomes the intense activity of the staff committee, the final adoption of its internal rules of procedure, the launch of the first staff committee open day, the launch of the first EPPO-wide staff survey, the participation of its representatives in the selection procedures, the retroactive revision of all general implementing provisions adopted by the EPPO before the establishment of the staff committee, the submission of input on internal reorganisation, working time and hybrid working, implementing rules and the improvement of working conditions;

    59.  Understands that the EPPO is progressing towards the finalisation of a business continuity plan, which is included in the Union’s administration management standards, and urges the EPPO to adopt it without further delay;

    Ethical framework and transparency

    60.  Understands that the EPPO’s ethical framework is being gradually built up; observes that the core values of that ethical framework are clearly set out in codes of conduct, which outline the standards of behaviour expected of employees at all levels; also observes that the ethical framework depends on the EPPO’s code of good administrative behaviour, its anti-fraud strategy and a training programme on ethics, which encompasses harassment, whistleblowing, the prevention of conflicts of interest and other ethical issues; regrets that members of staff of the EPPO are not required to attend that training programme, which would ensure a consistent understanding and application of the EPPO’s codes of conduct; calls on the EPPO to remedy the situation;

    61.  Notes the EPPO’s engagement in awareness-raising actions among staff about ethical framework and related matters; encourages the EPPO to make mandatory the attendance of such sessions by European Prosecutors and EDPs at their taking over of duties; believes that internal dialogue needs to be intensified;

    62.  Notes that no effective cases of conflict of interest were detected in 2023; is aware that dedicated conflict of interest declaration forms have been established and conflict of interest rules are in force for the members of College, the EDPs, the members of staff of the operational units, and other sensitive posts; welcomes the ongoing development of a structured conflict of interest policy and calls on the EPPO to finalise its adoption; calls for the implementation of a mandatory annual refreshment of an ethics and integrity training course for all EPPO personnel;

    63.  Urges the EPPO to enhance its internal integrity framework by mandating public disclosure of all financial interests and external activities of senior officials, including members of the College; calls for a periodic audit of these disclosures to identify and mitigate potential risks of undue influence;

    64.  Understands that the EPPO seeks to prevent revolving doors in particular by endorsing the strict application of the provisions of the Staff Regulations, which are set out in all contracts of the EPPO, including ad hoc exit forms that indicate the obligations that apply after termination of engagement; welcomes in this regard the adoption, in 2023, of the Guidelines for the EPPO Staff on Outside Activities and Assignments, which apply to activities that are not considered to relate to hobbies of leisure activities outside the remit of the EPPO;

    65.  Calls for the introduction of a more robust revolving door policy, including an extended cooling-off period of at least two years for senior EPPO officials before they can engage in private-sector employment related to EPPO investigations; requests that the EPPO conducts an annual review of compliance with these post-employment restrictions;

    66.  Calls the EPPO to adopt a dedicated whistleblowing and anti-retaliation procedure to integrate the implementing rules to the Staff Regulations adopted by the College (College Decision 2021/077 laying down guidelines on whistleblowing applicable within the EPPO) and to accompany Article 45.12 of the EPPO Financial Rules (establishing the actions to be undertaken in the circumstances) in order to ensure a safe and protected workplace; welcomes the initiative of intensifying internal communication on the first network of confidential counsellors and on the anti-harassment provisions and to all National European Delegated Prosecutors’ Assistants (NEDPAs) on whistleblowing mechanism for breaches against the EPPO mandate;

    Digitalisation, Cybersecurity and data protection

    67.  Deplores the situation of the EPPO in the area of its IT autonomy, which is adversely affected by the decision of the Commission’s Directorate-General for Digital Services (‘DG Digital Services’, formerly DIGIT) to discontinue the provision of digital workplace services; points out that EPPO IT autonomy requires additional human and financial resources which so far have not been granted because of the limitation imposed by the overall available budgetary resources in the concerned lines; regrets that, on grounds of the risks to its operational activities, the EPPO had to establish its own digital service capacity to accommodate the additional human resources that it was granted in light of the participation of Poland and Sweden;

    68.  Notes that the EPPO’s initial approach was to prioritise resources on the setting and working of essential digital services linked to its operational activities, such as its case-management system, while acknowledging that the EPPO’s digital services, which, at least in part, diverge from those of the Commission, would have needed, in the mid-term, a tailored approach; observes that the interruption of service by the Commission occurs in the crucial phase of the consolidation of the EPPO’s establishment;

    69.  Understands that, in 2023, the EPPO’s IT, Security and Corporate Services unit continued the implementation of two major programmes: the IT Autonomy Programme, to offer a complete catalogue of administrative IT services fully managed internally, and the EPPO’s CMS programme, to further develop the digitalisation of the organisation in its core business area; acknowledges that in 2023 the EPPO continued to prepare to gradually transition from a digital workplace provided by DG Digital Services to an EPPO-owned and operated solution; is aware that the resources needed to implement this change, although were included in the EPPO’s budget request for 2023, were not granted by the budgetary authority; notes that following DG Digital Service’s announcement, the EPPO started negotiation to seek a solution which has not yet been achieved;

    70.  Appreciates that Commission has temporarily extended the provision of IT services until June 2025 but maintains that the outsourcing of those services is a suboptimal solution in the current situation; understands that not only security and confidentiality-related arguments, but also purely financial aspects, suggest to reconsider the decision, because the outsourcing would appear much more costly than the in-house solution, and the adoption of the latter, after DG Digital Services cease providing their services, would be managed by the EPPO; stresses that, to implement the preferable in-house solution, the complex administrative aspects, the EPPO lack of experience and the de-centralised configuration of the EPPO with EDPs and NEDPAs in several locations across the Union, will require a more relevant budget and a lengthy transition period;

    71.  Reiterates its call on DG Digital Services to not interrupt its support to the EPPO until such a time as the EPPO has its own reliable IT system; deems it to be essential to avoid loss of data and to keep the EPPO fully operational in the transition between IT services providers; maintains that clear communication and operational coordination on the transition is to be ensured involving the highest decision-making levels of the Commission and the EPPO; asks the Commission and the EPPO to agree upon a gradual passage of competences for a smooth and continuous transition in the period after the extension, which could be extended beyond June 2025;

    72.  Observes that EPPO’s requests for permanent additional posts to fill the gap stemming from the discontinuation of DG Digital Services were refused, in January 2023, when EPPO requested 45 establishment plan, and at the end of February 2024, when a request for an amending budget 2024 for EUR 2,98 million and 37 established plan posts was also rejected; notes that the solution of recruiting intra-muros contractors could be a part of an interim solution to address DG Digital Service’s discontinuation, but while that approach would offer immediate operational continuity, it should not be conceived as a definitive solution for the EPPO, taking into account the extremely sensitive nature of its activities and the need to ensure continuity and reliability of its digital services, as well as the highest level of security of its IT infrastructure, systems and equipment; shares the view that the rejection of the EPPO’s budgetary requests is indicative of differences in the assessment of the problem, which has an adverse impact on the EPPO’s operational activities and represents a potential reputational risk for the Union in the case it results in weakening the EPPO’s operational capacity;

    73.  Understands that each EDP has to use any national and the EPPO’s CMS, which are different data bases governed by different access rights; believes that this situation increases the daily complexity in the data management; is also aware that to make it possible the processing and exchange of information between the central services of the EDPs and the EPPO, all the casefiles need to be digitalised by the EDPs using national digital tools and in compliance with national law; appreciates, in this regard, the formal creation of the NEDPA status in the official organisation chart which allows granting access to NEDPAs (staff of the national office) directly to the EPPO’s CMS, like that unburdening the EDPs of administrative tasks and creating the basis for more accuracy and consistency of case data between the two case-management systems; takes the view that the way towards integration between the EPPO’s CMS and national case-management systems would be facilitated by appropriate revision of regulation and that these steps would increase the effectiveness of EPPO investigations; notes, however, that such integration could be primarily a matter of compatible technological solutions used in the different Member States and linked to the actual level of digitalisation of judiciary proceedings in those Member States; observes that the burden of the inherent costs is currently shared, with the national budget covering the costs of the equipment needed for interaction with the national case-management systems, and the EPPO budget covering hardware and the setting of a digital working environment that is secured to the same standard as EPPO central office staff and which is considered part of the operational communication costs provided for by Regulation (EU) 2017/1939;

    74.  Understands that interoperability is material to achieving efficient data exchange and cooperation and that in order to adopt minimum common data exchange agreements and the implementation of judicial interoperability tools, an e-CODEX EPPO Use Case Project, initiated in 2023, involved several workshops with the e-CODEX Consortium to align on technical and functional requirements; regrets that, after several workshops with e-CODEX Consortium, the project was paused to allow the transition to the new e-CODEX programme manager, eu-LISA, and due to lack of EPPO resources with expertise in this area; calls on the Commission to act as a facilitator for further progressing in the project and to factor also those actions in the EPPO’s budgetary needs estimate;

    75.  Is aware of the increased threat to the EPPO’s IT structural integrity stemming from the aggressiveness of organised crime, combatted by the EPPO, and resulting in the need to step up physical and digital security; notes that in 2023 the EPPO focused on enhancing its security governance; appreciates the EPPO decision to create a dedicated unit to address cyber and physical security; observes that the EPPO prepared a framework including new processes, roles and responsibilities and policies to increase the security of the digital systems used for the handling of operational and administrative data; understands that several risk assessments were carried out to assess the security framework of the digital systems which suggested the implementation of additional technical and governance measures to enhance the EPPO’s security environment; remarks that the policy framework was improved in the circumstance, with a security strategy and global information security policy proposed in 2023 and formally approved and adopted in 2024;

    76.  Observes that the EPPO completed, in 2023, the set-up of security contact points in all participating Member States to enhance cooperation on security matters for staff and EPPO offices located in those Member States; welcomes the service level agreement is in place with CERT-EU that provides support and monitoring for specific services for incident response-related matters; underlines that the deployed system to assess risk and to report incidents is well structured and training is provided effectively; appreciates the external assessment performed for physical security whose findings translated in a roadmap for improvement by the host country;

    77.  Praises the significant progress made in 2023 towards the implementation of a backup data centre and the deployment of an associated disaster recovery scenario; appreciates, in that regard, the EPPO’s development of its own case-management ecosystem the components of which are all hosted in the EPPO data centre and managed by the EPPO’s staff, guaranteeing the EPPO control, retention and ownership of systems and data processed;

    78.  Acknowledges the EPPO’s need for up-to-date equipment and IT systems to deal with increasingly complicated crimes frequently involving digital elements and digital methodologies; stresses as well the urgency of developing a strong cybersecurity framework, given the growing risks posed by highly tech-savvy criminal networks and potential foreign interferences, through cyberattacks; supports the EPPO in its request for resources to be allocated to protecting its cybersecurity and calls for the swift implementation of a robust cybersecurity strategy to safeguard EPPO’s operations and data integrity;

    79.  Stresses that the nature of the EPPO’s activities entails the need for specific oversight and dedicated attention to the protection of personal data; takes the view that the EPPO and the EDPS should engage in continuous dialogue to ensure the usability of the data for the investigation and prosecution and, at the same time, ensure respect for the protection of personal data; understands that the requirements relating to data protection handling stems from Regulation (EU) 2017/1939 and from Regulation (EU) 2018/1725(4) and that those requirements are complemented and implemented by College decisions, adopted after consulting the EDPS; appreciates the decision to provide mandatory training for all members of staff, including dedicated data protection training essential to the access to the EPPO’s CMS;

    Buildings and security

    80.  Observes that, thanks to the lease agreement by which Luxembourg authorities provide the building currently hosting the EPPO’s headquarters (the TOB building) on a rent-free basis, the costs are limited to a service charge fee of EUR 716 724 per year; notes that, in 2023, EUR 248 103 was paid to the same Luxembourg authorities for security installations in the two additional floors (9 and 10) delivered to the EPPO in Q1 2023;

    81.  Welcomes, having regard to physical security, the allocation – with amending budget 2023 and the budget 2024 – of the resources needed to have a proportionate capacity to deliver enhanced security services (21 additional posts to enhance its security capability) and the EPPO’s efforts towards the continuous improvement and efficiency alignment of the physical security processes; maintains the proper functioning of the EPPO implies that prosecutors and staff have to be protected to be able to pursue their mission to its full extent, without threats, influence or pressure;

    Environment and sustainability

    82.  Believes that the Luxembourg authorities providing the EPPO’s headquarters should consider their sustainability and energetic performance; calls on the EPPO to engage in discussions with the Luxembourg authorities to explore specific actions for improving the environmental footprint of its premises, including the installation of renewable energy sources such as solar panels, the introduction of CO2 offsetting measures and implementation of the Eco-Management and Audit Scheme to evaluate, report, enhance organisations’ environmental performance and to save energy; calls on the Commission to facilitate dialogue between the EPPO and the local host authorities to ensure the optimal use of resources and the alignment of EPPO’s operations with the Union’s sustainability;

    83.  Notes that the EPPO’s central office is integrated in the Luxembourg network of free public transport making it easily reachable through low environmental impact means, at no cost for staff and visitors and that the central office underground car park provides a dedicated zone for bike parking; understands that exchanges are ongoing concerning the installation of charging stations for e-vehicles in the same underground car park;

    Interinstitutional cooperation

    84.  Maintains that the EPPO’s role as a major operational component of the Union’s anti-fraud architecture can be effectively pursued only with intense cooperation with and support from its partners and stakeholders; reiterates that the EPPO can fulfil its role only if it enjoys full judicial independence; encourages Member States to contribute to the full independence of the EPPO in that regard and encourages the EPPO to continue its communication and coordination efforts with the several partners whose action has been designed to be reciprocal and complementary;

    85.  Welcomes the initiatives launched by OLAF and the EPPO to intensify and streamline their operational cooperation and share knowledge amongst the involved actors; appreciates the first international conference allowing exchange of views between EPPO prosecutors and OLAF investigators, hosted by Parliament in 2024; emphasises that the revision of the regulatory frameworks of OLAF and EPPO provides the opportunity to reconsider many aspects of their working together in the light of the experiences earned in those first years of EPPO operational activity, having specific regard to the opening of complementary OLAF investigations and administrative investigations in support of the EPPO, as well as OLAF’s increased role in detecting and reporting fraud to the EPPO in support of the recovery of the damage to the Union budget; believes that the dialogue and cooperation within the antifraud architecture could be made more effective by the setting of a regular inter-institutional forum with a view to optimising the efficiency and efficacy of the available resources in action;

    86.  Welcomes the initiatives launched by OLAF and the EPPO to intensify operational dialogue and improve coordination; underlines the importance of full and effective data-sharing between the EPPO, OLAF, Eurojust, and Europol to ensure seamless cooperation in the fight against cross-border fraud; calls for the establishment of a joint working group to oversee data integration and case management efficiency among these bodies;

    87.  Encourages continued and enhanced cooperation between the EPPO and OLAF, in line with their respective regulations, and the obligation on OLAF to report, without undue delay, suspicions of criminal contact to the EPPO, in order to enable it to tackle fraud, corruption and financial crime affecting the Union’s financial interests; supports the further development of joint initiatives, information sharing and coordinated actions between the EPPO and OLAF, as such cooperation is vital in strengthening the protection of the Union’s financial interests and the Union’s fight against financial crime and to ensuring the effective and efficient use of Union resources;

    88.  Commends the close cooperation in 2023 between the EPPO and the Court of Auditors, resulting in the timely transmission of information on suspicions of criminal offences falling within the EPPO’s competences;

    89.  Expects that the working group established with the Commission, and the meetings on the implementation of the Commission-EPPO Working Arrangement, will ensure that EPPO notifications for the purpose of administrative recovery, as provided for by Article 103(2), point (c), of Regulation (EU) 2017/1939 will duly and effectively enable the Commission to maximise recovery to the Union budget, while complying with the confidentiality and proper conduct of the investigative actions; stresses that, in this specific regard, no feedback has been yet provided by either party, preventing the legislators from earning a comprehensive understanding of the underlying issues, including the specific amounts recovered annually by the Commission from Member States in cases of damage to the Union budget; highlights that the recovery of funds by national authorities remains under the Commission’s responsibility, as mentioned in the Mission Letter to the Commissioner for Budget, Anti-Fraud and Public Administration, while the EPPO does not hold a mandate to follow up on the recovery process; calls on the Member States to strengthen cooperation and inform both the Commission and the EPPO of final confiscations; urges a revision of the relevant Regulations to clarify the EPPO’s role in the recovery process; and urges the EPPO and the Commission to adopt an agreed upon form of reporting to Parliament; understands that this could require appropriate development of the EPPO’s CMS, and asks the Commission to prioritise the allocation of resources to the EPPO to meet that need;

    90.  Welcomes the strengthened cooperation with Europol; observes that the ODIN (Operational Digital Infrastructure Network) programme would enable the full exploitation of the amount of data collected by the EPPO in its investigations (more than 1000 terabytes and growing); notes that, in that framework, the EPPO has identified possible crimes outside its competences, including organised crime, drug trafficking, illicit cigarette production, investment fraud, illegal gambling and prostitution (non-PIF offences), and others which have resulted in the transmission of several files as key evidence to ongoing national investigations and that 28 new cases have been initiated by national prosecution offices to further investigate those non-PIF offences, which are outside the EPPO’s remit; understands that for this and other analyses, however, cooperation with Europol suffers from limitations stemming from national procedural criminal law and accessibility of the EPPO data owned; underlines that the EPPO’s existing competence to investigate organised crime and money laundering linked to fraud affecting the Union’s financial interests should be supported through adequate resources and efficient cooperation with Europol; considers that while cooperation with Europol needs to be even further enhanced, it cannot fully substitute the development of the EPPO’s internal analytical platform, which remains vital to a fast interpretation of the data collected during its investigations and the setting of operational strategies in cross-border cases requiring access to the EPPO’s entire CMS; recalls that, in its upcoming evaluation report, the Commission should carefully analyse to which categories of crimes the EPPO’s mandate needs to be extended, in order to take full advantage of its potential; welcomes the EPPO’s call for enhanced cooperation with Union institutions;

    91.  Is concerned about the increasing number of cases concerning the RRF; appreciates the timely information provided to the Commission and to the relevant Parliament Committees on this matter; believes that the large number of active cases involving RRF funds justifies an intensification of the exchanges held with, in particular, the Recovery and Resilience Task Force, with the aim of identifying possible oversight or control gaps or fraud patterns and to allow the Commission to keep up to date its performance monitoring mechanisms and to enforce the reduction and recovery measures recently designed; reiterates that RRF funds are Union and not national funds and are under the jurisdiction of the EPPO and encourages the Commission and other Union’s bodies and authorities to increase the detection efforts and report to the EPPO every relevant situation;

    92.  Welcomes that the EPPO signed Working Arrangement with Parliament in November 2024, establishing clear modalities of cooperation for the purpose of protecting the Union’s financial interests;

    93.  Notes that, in 2023, the EPPO continued to rely on inter-institutional contracts and bilateral agreements (SLAs) to purchase goods and services at a lower cost; observes that, at the end of 2023, the EPPO had 80 active membership in inter-institutional framework contracts and 22 service-level agreement or other bilateral agreements with other Union’s entities with the aim of maximising budgetary savings from the contractual instruments in place, in line with the principles of sound financial management;

    94.  Strongly welcomes the participation of Poland and Sweden in the EPPO; is aware that this will have an impact on the EPPO’s budgetary needs, and supports the EPPO’s request which aims to equip the EPPO with the necessary resources to take advantage of the participation of Poland and Sweden to its operational activities; notes that while Ireland and Denmark continue to exercise their opt-out from the EPPO under Protocols No 21 and 22 TFEU, Hungary is the sole remaining Member State that has not yet joined the EPPO; calls on the Hungarian government to join the EPPO without further delay; recalls the collection of 680 000 signatures in favour of joining the EPPO, underscoring a strong societal demand for enhanced legal safeguards against fraud and corruption affecting the Union’s financial interests;

    95.  Observes that, in 2023, no major improvement towards participation into the EPPO has occurred with the Irish authorities; reminds that their refusal to cooperate with the EPPO in executing several requests for mutual legal assistance sent by the EDPs had resulted in the EPPO reporting the situation to the Commission in accordance with Regulation (EU, Euratom) 2020/2092(5); appreciated the following decision of the Irish authorities to amend their domestic legislation providing the legal framework for mutual legal assistance to the EPPO and underlines that from 1 November 2023 it provides mutual legal assistance to the EPPO based on this unilateral recognition; notes that no exchanges occurred with the Irish inter-agency working group established to examine Ireland’s potential future participation in the EPPO; urges the Commission, the EPPO and the Irish authorities to engage in a constructive dialogue to find an effective way of cooperation;

    96.  Maintains that any lack of cooperation with the EPPO by any of the Member States, whether they are participating in the enhanced cooperation that established the EPPO, creates niches of immunity and privilege that make the defence of the financial interests of the Union uneven and inefficient at best; reiterates its call on the Commission and the Member States concerned to make any possible effort to integrate the current scenario with the few but still very important missing components, promoting the extension of the participation in the EPPO by the other still non-participating Member States in such a way that strengthens the effectiveness of the protection of the Union and national budgets; calls on the Commission to closely monitor Member States’ level of cooperation with the EPPO and urges the Commission to initiate infringement proceedings against any Member State that systematically obstructs EPPO-led investigations; takes the view that membership of the EPPO should be a precondition for receiving Union funds;

    97.  Condemns the recently reported systematic espionage organized by the Hungarian government against OLAF staff during an investigative mission into the potential misuse of Union funds by ELIOS, a company linked to the Hungarian Prime Minister’s son-in-law; emphasizes that OLAF and the EPPO, as cornerstone institutions of the Union’s anti-fraud architecture, are regrettably exposed to such threats not only from third countries but also within EU Member States; stresses that such actions gravely undermine the rule of law and the integrity of Union institutions; calls for the swift establishment of robust protection measures to safeguard Union’s institutional staff on mission in Member States and to prevent such unacceptable violations in the future;

    Communication

    98.  Observes that the EPPO engages in continuous efforts to enhance internal and external communication; appreciates the actions carried out via social network platforms and encourages the EPPO to maintain its proactive and transparent approach;

    99.  Believes that explanations about the EPPO’s interventions and operations and about their background, when reported in the media and posted on social networks, would contribute to reinforcing the reputation of the institutions amongst citizens and raise awareness in taxpayers about the complexity of the protection of the Union’s financial interests;

    100.  Maintains that proper and accurate communication from the EPPO would also increase the involvement of civil society and increase submission of potential investigative input; understands that the EPPO asks to have the reporting option included in every standard presentation for external audiences or at conferences and seminars, when possible and appropriate; notes that, in 2023, the EPPO’s corporate website underwent a complete redesign, with the primary focus on enhancing accessibility and user-friendliness, and that the option to report a crime is now prominently displayed at the top of every webpage together with a banner highlighting this feature in the homepage;

    101.  Observes that the level of the EPPO’s resources that are devoted to communication are limited, and that, in view of the need to establish the EPPO’s digital autonomy, management of the EPPO website will have to be brought in-house, requiring additional resources, after DG Digital Services cease providing that service; underlines that the increasing volume and the sensitivity of EPPO investigations calls for attention in exchanges with the media, journalists, citizens and academia; reiterates its call on the EPPO to clearly strike the best possible balance between transparency and public interest on the one hand and confidentiality and proper conduct of the investigation on the other, and to ensure the neutrality of its communications about its activities;

    102.  Recalls the importance of transparency in the EPPO’s interactions with external actors; calls for the establishment of a mandatory public register of all meetings between EPPO officials and representatives of third parties, including lobbyists and national government representatives, in order to prevent undue influence and reinforce public trust in the EPPO’s independence;

    Effect of Russia’s war of aggression against Ukraine

    103.  Recalls that EPPO competences extend to Union funds even when used in third countries; believes that the working arrangements with the Ukrainian competent authorities could effectively enhance the level of protection of the Union’s financial interests following the relevant commitments undertaken to support Ukraine and its population; welcomes the efforts undertaken by the Ukrainian authorities on anti-corruption measures, but recalls that the country is still subject to high rate of corruption and fraud, demanding extra precaution to be taken and further anti-corruption measure in order to successfully reach transparency goals; is aware that transmission of evidence has occurred in execution of mutual legal assistance requests and welcomes the perspective of activating a joint task force with the Ukrainian authorities to coordinate investigations; reminds the Commission and other Union institutions bodies, offices and agencies of the importance of detection and timely submission of investigative input to the EPPO.

    (1) Directive (EU) 2017/1371 of the European Parliament and of the Council of 5 July 2017 on the fight against fraud to the Union’s financial interests by means of criminal law (OJ L 198, 28.7.2017, p. 29, ELI: http://data.europa.eu/eli/dir/2017/1371/oj).
    (2) Council Regulation (EU) 2017/1939 of 12 October 2017, implementing enhanced cooperation on the establishment of the European Public Prosecutor’s Office (‘the EPPO’) (OJ L 283, 31.10.2017, p. 1, ELI: http://data.europa.eu/eli/reg/2017/1939/oj).
    (3) According to the Consolidated Annual Activity Report 2023, the turnover rate was 5,9 % for temporary and contract agents.
    (4) Regulation (EU) 2018/1725 of the European Parliament and of the Council of 23 October 2018 on the protection of natural persons with regard to the processing of personal data by the Union institutions, bodies, offices and agencies and on the free movement of such data, and repealing Regulation (EC) No 45/2001 and Decision No 1247/2002/EC (OJ L 295, 21.11.2018, p. 39, ELI: http://data.europa.eu/eli/reg/2018/1725/oj).
    (5) Regulation (EU, Euratom) 2020/2092 of the European Parliament and of the Council of 16 December 2020 on a general regime of conditionality for the protection of the Union budget (OJ L 433I, 22.12.2020, p. 1, ELI: http://data.europa.eu/eli/reg/2020/2092/oj).

    MIL OSI Europe News

  • MIL-OSI Europe: Text adopted – Discharge 2023: EU general budget – European Council and Council – P10_TA(2025)0079 – Wednesday, 7 May 2025 – Strasbourg

    Source: European Parliament

    The European Parliament,

    –  having regard to its decision on discharge in respect of the implementation of the general budget of the European Union for the financial year 2023, Section II – European Council and Council,

    –  having regard to Rule 102 of and Annex V to its Rules of Procedure,

    –  having regard to the opinion of the Committee on Constitutional Affairs,

    –  having regard to the report of the Committee on Budgetary Control (A10-0052/2025),

    A.  whereas in the context of the discharge procedure, the discharge authority wishes to stress the particular importance of further strengthening the democratic legitimacy of the Union institutions by improving transparency and accountability, and implementing the concept of performance-based budgeting and good governance of human resources;

    B.  whereas, under Article 319 of the Treaty on the Functioning of the European Union (TFEU), the Parliament has the sole responsibility of granting discharge in respect of the implementation of the general budget of the Union, and whereas the budget of the European Council and of the Council is a section of the Union budget;

    C.  whereas, pursuant to Article 15(1) of the Treaty on European Union (TEU), the European Council is not to exercise legislative functions;

    D.  whereas, under Article 317 TFEU, the Commission is to implement the Union budget on its own responsibility, having regard to the principles of sound financial management, and whereas, under the framework in place, the Commission is to confer on the other Union institutions the requisite powers for the implementation of the sections of the budget relating to them;

    E.  whereas, under Articles 235(4) and 240(2) TFEU, the European Council and the Council (the ‘Council’) are assisted by the General Secretariat of the Council (the ‘Secretariat’), and whereas the Secretary-General of the Council is wholly responsible for the sound management of the appropriations entered in Section II of the Union budget;

    F.  whereas, over the course of more than twenty years, Parliament has been implementing the well-established and respected practice of granting discharge to all Union institutions, bodies, offices and agencies, and whereas the Commission supports that the practice of giving discharge to each Union institution, body, office and agency for its administrative expenditure should continue to be pursued;

    G.  whereas, according to Article 59(1) of the Financial Regulation, the Commission shall confer on the other Union Institutions the requisite powers for the implementation of the sections of the budget relating to them;

    H.  whereas, since the 2009 budget discharge, the Council’s lack of cooperation in the discharge procedure has compelled Parliament to refuse to grant discharge to the Secretary-General of the Council;

    I.  whereas the European Council and the Council, as Union institutions and as recipients of the general budget of the Union, should be transparent and democratically accountable to the citizens of the Union and subject to democratic scrutiny of the spending of public funds;

    J.  whereas Article 15(3) TFEU requires the EU institutions to ensure in their Rules of Procedure that their proceedings are transparent, while in several of its inquiries and decisions Ombudsman has criticised the Council for its lack of transparency suggesting that the Council has failed fully to grasp the critical link between democracy and the transparency of decision-making;

    K.  whereas the case law of the Court of Justice of the European Union confirms the right of taxpayers and of the public to be kept informed about the use of public revenue and that the General Court in in its judgment of 25 January 2023 in Case T-163/21(1), De Capitani v Council, stated on transparency within the Union legislative process that documents produced by the Council in its working groups are not of technical nature but legislative and are therefore subject to access to documents requests;

    1.  Notes that the budget of the Council falls under MFF heading 7, ‘European public administration’, which amounted to EUR 12,3 billion in 2023 (representing 6,4% of the total Union budget); notes that the Council’s budget of approximately EUR 0,6 billion represents approximately 5,2% of the total administrative expenditure of the Union;

    2.  Welcomes that the Court of Auditors (the ‘Court’), in its Annual Report for the financial year 2023 examined a sample of 70 transactions under Administration, 10 more than were examined in 2022; further notes that the Court writes that administrative expenditure comprises expenditure on human resources, including expenditure on pensions, which in 2023 accounted for about 70 % of the total administrative expenditure, and expenditure on buildings, equipment, energy, communications and information technology, and that its work over many years indicates that, overall, this spending is low risk;

    3.  Notes that 21 (30 %) of the 70 transactions contained errors but that the Court, based on the five errors which were quantified, estimates the level of error to be below the materiality threshold;

    4.  Notes that the Court, in its Annual Report for the financial year 2023, made an observation on the duration of a building maintenance framework contract awarded by the Council; notes that the Court did not identify any quantifiable errors in the four payments examined concerning the Council;

    State of play of the discharge procedure

    5.  Deeply regrets that, since 2009, and again for the financial year 2022, Parliament has had to refuse discharge to the Council because the Council continues to refuse to cooperate with Parliament on the discharge procedure, preventing Parliament from taking an informed decision based on a serious and thorough scrutiny of the implementation of the Council’s budget;

    6.  Notes that, on 20 September 2024, the relevant Parliament services, on behalf of the rapporteur for the discharge procedure, forwarded a questionnaire to the Secretariat of the Council containing 90 important questions for Parliament in order to enable a thorough scrutiny of the implementation of the Council budget and of the management of the Council; further notes that similar questionnaires were sent to all other institutions, all of which have provided Parliament with detailed answers to all the questions;

    7.  Regrets that, on 23 September 2024, the Secretariat informed Parliament once again that it would not be answering Parliament’s questionnaire and that the Council would not be participating in the hearing organised on 12 November 2024 as part of the discharge process and in which all other invited institutions participated;

    8.  Reiterates Parliament’s prerogative to grant discharge pursuant to Article 319 TFEU as well as the applicable provisions of the Financial Regulation and Parliament’s Rules of Procedure in line with current interpretation and practice, namely the power to grant discharge in order to maintain transparency and to ensure democratic accountability towards Union taxpayers;

    9.  Underlines that Article 59(1) of the Financial Regulation states that the Commission shall confer on the other Union Institutions the requisite powers for the implementation of the sections of the budget relating to them and, therefore, finds it incomprehensible that the Council believes it appropriate that discharge should be granted to the Commission for the implementation of the Council budget;

    10.  Stresses the well-established and respected practice followed by Parliament over the course of more than twenty years of granting discharge to all Union institutions, bodies, offices and agencies, including the European Council and Council; recalls that the Commission has declared its inability to oversee the implementation of the budgets of the other Union institutions; stresses the reiterated view of the Commission that the practice of giving discharge to each Union institution for their administrative expenditure and implementation of the EU budget should continue to be pursued directly by Parliament to preserve the compliance of the principle of sound financial management;

    11.  Stresses that the current situation implies that Parliament can only check the reports of the Court and of the Ombudsman as well as the publicly available information on the Council’s website due to the Council’s persistent lack of cooperation with Parliament; underlines that this lack of cooperation undermines Parliament’s ability to effectively fulfil its oversight role and to make an informed decision on granting discharge;

    12.  Deplores that the Council, for more than a decade, has shown that it does not have any political willingness to collaborate with Parliament in the context of the annual discharge procedure; underlines that this attitude has had a lasting negative effect on both institutions, has discredited the management and democratic scrutiny of the Union budget and has damaged the trust of citizens in the Union as a transparent entity; underlines that the Council must adhere to the same standards of accountability it expects from other Union institutions;

    13.  Reiterates that the Council’s continued refusal to engage in the discharge procedure is an unacceptable breach of democratic accountability. Calls for legal and procedural amendments to withhold budgetary appropriations to any Union institution that fails to comply with transparency obligations;

    14.  Recalls that the case-law of the Court of Justice of the European Union supports the right of taxpayers and the public to be kept informed about the use of public revenue; demands, therefore, full respect for Parliament’s prerogative and role as guarantor of the democratic accountability principle; calls on the Council to duly follow up on the recommendations adopted by Parliament in the context of the discharge procedure and insists on the full application of Article 14(1) TEU;

    15.  Calls on the Council to resume negotiations with Parliament without undue delay and to actively engage with Parliament at the highest level as soon as possible involving the Secretaries-General and the Presidents of both institutions, in order to break the deadlock and resolve the long-standing discharge impasse, while respecting the respective roles of Parliament and the Council in the discharge procedure and ensuring transparency, credibility and proper democratic control of budget implementation; requests that Commission and the Council legal services provide an opinion on potential Treaty-based solutions to enforce Council’s accountability in the discharge procedure;

    16.  Stresses that, while the current situation needs to be improved through better inter-institutional cooperation within the framework of the Treaties, a revision of the Treaties could make the discharge procedure clearer and more transparent by giving Parliament the explicit competence to grant discharge to all Union institutions, bodies, offices and agencies individually; stresses, however, that pending such a review, the current situation must be improved through enhanced inter-institutional cooperation; urges in this sense the Council to actively engage with the Parliament;

    17.  Notes that despite the Council being unwilling to cooperate in the discharge procedure, Parliament, nevertheless, stresses some political priorities and sets out some observations concerning the budgetary and financial management of the Council and other observations relevant for the discharge procedure in this report;

    18.  Notes that, given the Council’s lack of cooperation with Parliament, observations in the following sections primarily rely on aggregated information publicly available, which provides limited detail;

    Political priorities

    19.  Regrets that the Council exerts its prerogative in the nomination and appointment procedures for many Union institutions, bodies, offices and agencies without taking into account the views of the interested parties or the recommendations of the European Anti-Fraud Office (OLAF);

    20.  Notes the Council’s tradition of not questioning the appointments of individual Member States for most positions;

    21.  Recalls that, pursuant to Article 286(2) TFEU, the Council appoints the members of the Court of Auditors, in accordance with proposals made by each Member State, after consultation with Parliament; recalls that, on the basis of this prerequisite, Parliament delivers an opinion on the candidates; regrets that the Council has repeatedly disregarded Parliament’s recommendations in its consultative role regarding the appointment of the members of the Court; recalls that although Parliament’s opinion is non-binding on the Council, candidates who received an unfavourable opinion withdrew their candidatures by accepting Parliament’s decision, thereby recognising the role of Parliament as the democratic supervisory authority linked to the safeguarding of the Union budget; calls on the Council to recognise Parliament’s role by cooperating in the discharge procedure;

    22.  Recalls that the judges and advocates-general of the Court of Justice of the European Union are appointed by common accord of the governments of the Member states after consultation of a panel responsible for giving an opinion on prospective candidates’ suitability to perform the duties concerned;

    23.  Calls on the rotating Council Presidencies to stop using corporate sponsorship to contribute to covering their expenses as this runs the risk of creating conflicts of interest, in line with the conclusions of the workshop held by Parliament’s Committee on Budgetary Control on 27 June 2023; notes that, in her decision of 9 September 2024 on the strategic initiative on sponsorship of the presidency of the Council of the European Union, the European Ombudsman encouraged the Council to take stock of how the non-binding rules adopted by the Council for the use of sponsorship by its presidency (the Guidance) have been implemented and to explore other possible measures that could help mitigate the risks associated with the use of sponsorship; reiterates its call on the Council to provide a budget for the Council Presidencies to ensure adequate and uniform standards of efficiency and effectiveness in the work in the Council in general;

    24.  Expresses deep concern over the Hungarian government’s misuse of its role in the EU Presidency to pursue bilateral engagements that contradict the Union’s core values, such as Prime Minister Viktor Orbán’s meetings with Russian President Vladimir Putin, despite Union sanctions and the International Criminal Court arrest warrant against the latter for war crimes; notes with alarm similar engagements with other authoritarian leaders, undermining the EU’s credibility; calls on the Council to firmly condemn such actions and to take all necessary measures to ensure that Member States holding the Presidency act in alignment with EU principles, safeguarding the Union’s integrity and values;

    Budgetary and financial management

    25.  Regrets that the budget of the European Council and the Council has not been divided into two clearly separated budgets as recommended by Parliament in previous discharge resolutions in order to improve transparency and accountability, not least concerning the European Council, given that it is currently impossible to get reliable information regarding its costs; stresses the importance of reliable data for objective control; calls on the compliance with the recommendation of the discharge authority;

    26.  Notes that the Council’s budget was EUR 647 908 757 for 2023, representing an increase of 6 % compared to 2022, which is higher than the increase of 2,3 % between 2021 and 2022; notes that this increase is mainly related to the revision of salary update parameters due to inflation;

    27.  Notes that the overall implementation rate of the Council’s budget in 2023 was 97,0 %; notes that almost EUR 20 million in appropriations were cancelled at the end of 2023, half of which originated from the staff expenditure budget line;

    28.  Notes that, in accordance with Article 29 of the Financial Regulation, the Council carried out 41 budgetary transfers in 2023 for a cumulated amount of EUR 6,5 million; notes further that three of those transfers required that the budgetary authority be informed in accordance with Article 29(2), for the purpose of reinforcing various budget lines including “Fitting-out and installation work”, “Water, gas, electricity and heating”, “Acquisition of equipment and software” and “Cost of renting, maintenance and repair of service cars”;

    29.   Calls on the Council to publish an annual breakdown of travel and representation expenses of senior officials, including the President of the European Council, the High Representative of the Union for Foreign Affairs and Security Policy, and the Secretariat, in a user-friendly format accessible to the public;

    30.  Notes that appropriations carried over from 2023 to 2024 totalled EUR 85,5 million covering mainly computer systems, cost of interpretation provided in 2023, for which invoices have not been yet agreed with the European Commission services at the time of the closure, buildings, information and communication, audio-visual and conference equipment, other staff expenditure: and transport;

    31.   Expresses concern over insufficient control mechanisms regarding the Council’s use of consultancy services and external contractors; calls for full disclosure of all contracts exceeding EUR 50 000, detailing the scope, deliverables, and awarded entities, to prevent potential misuse of public funds;

    32.  Notes that the average time for payments of invoices decreased from 18 to 13 days from 2022 to 2023, well below the maximum time-limit of 30 days, thus avoiding interest on late payments;

    33.  Notes that mission expenses, comprising both mission expenses from the Secretariat and mission expenses of staff related to the European Council, increased by 25 % between 2022 and 2023, and that travel expenses of delegations incurred by Presidencies and national delegations increased by 36,6 % during the same period; calls on the Council to assess this significant increase in mission expenditure; in the absence of access to detailed information, encourages the Council to use these resources in the spirit of sound financial management;

    Internal management, performance and internal control

    34.  Notes that the Council laid down objectives for the performance of its budget in 2023, namely to ensure ongoing decision-making in the European Council and the Council; to ensure continuous support for the European Council and the Council through the effective and efficient use of financial resources, particularly in view of the persistent pressure of inflation and the resulting price increases due to contract indexation and to further proceed with the process of administrative digital modernisation with the objective of enhancing the quality of the Secretariat’s organisation and the appropriate use of resources;

    35.  Notes that, in order to ensure the efficient use of its budget in 2023, the Secretariat continued to improve its financial management processes, notably based on the recommendations of a number of internal task forces; welcomes, in particular, the new performance tools, such as the inclusion of human resources and skills elements in the integrated management planning exercise, the full digitalisation of the financial workflows and the introduction of the electronic signature;

    36.  Welcomes the greater use of data in decision-making, notably based on the monthly financial dashboard, showing key performance indicators across the Secretariat services and the Managers’ dashboard with key insights from HR data in order to facilitate daily management and decisions in the area of human resources;

    37.  Notes that the Secretariat organised 4 429 meetings in 2023, which was relatively stable compared to 2022; notes further that the number of physical meetings increased by 11 % compared to 2022, while the number of meetings held by videoconference or in hybrid mode decreased substantially, by more than 60 %;

    38.  Notes the Secretariat launched 17 open procurement procedures, 12 new negotiated procedures, as well as 21 inter-institutional procedures (any value) with the Council not in the lead; notes that, by the end of 2023, 41 contracts were signed, compared to 42 in 2022, and 47 Lots (any category) were being worked on; notes that contracts were awarded for a total amount of EUR 124,1 million in 2023, which corresponds to 19,15 % of the Council’s annual budget; notes, that out of the total contracted amount, 0,5 % was committed in low and middle value contracts, 58 % in specific contracts under framework contracts where Council is the sole contracting authority and 69,5 % in specific contracts awarded under inter-institutional framework contracts;

    39.  Notes that the Council transmitted its annual report on internal audits carried out in 2023 to the discharge authority, in accordance with Article 118 of the Financial Regulation; notes that, at the end of 2023, 81 % of the recommendations issued during the years 2020-2022 had been implemented, 18 % were still open and for 1 %, risk had been accepted by management or the recommendations were no longer applicable; notes that four internal audits planned in the 2023 work programme were concluded during the year and two were still ongoing at the end of 2023; notes that the internal auditor issued high priority recommendations in three audits of the 2023 work programme related to transport services, IOLAN servers and core services and IOLAN endpoint systems;

    Human resources, equality and staff well-being

    40.  Notes that, out of 3 116 members of staff at the end of 2023, 79 % were permanent staff, 12,8% were temporary staff, 7,2% were contractual agents and 1% were seconded national experts; notes that the repartition of permanent and temporary staff between job categories remained stable with 1 474,25 administrators (AD), 1 159 assistants (AST) and 230 secretaries (AST-SC) in 2023, compared to 1 519, 1 284 and 190 in 2022; notes that the occupation rate of the establishment plan was 97,4 % at the end of 2023;

    41.   Notes that, given the Council’s lack of cooperation with Parliament, observations in this section primarily rely on aggregated information published on the Council’s website which provides limited detail;

    42.  Notes the other initiatives taken by the Secretariat to become a more diverse and inclusive workplace; welcomes that the Council received the 2023 Ombudsman’s award for Good Administration in the category ‘Excellence in diversity and inclusion’ for its Positive Action Programme for Trainees with Disabilities which meant that 6 trainees with disabilities were hosted in the Secretariat in 2023;

    43.  Regrets the lack of publicly available information concerning the gender and geographical distribution of staff in the Secretariat; calls on the Council to provide information to Parliament on gender balance, geographical distribution and disabilities of its members of staff and on the related internal policies; encourages the Council to promote geographical balance of its staff by offering a wider pool of candidates from underrepresented Member States;

    44.  Welcomes the Secretariat’s efforts in 2023 to attract and retain a qualified and younger workforce through various initiatives such as the recruitment of eight junior policy administrators under the new Junior Policy Team programme, the revision of the internal mobility rules and the participation of 41 of the Secretariat’s members of staff in an Interinstitutional Job Shadowing Exercise; emphasizes that traineeships should be remunerated in compliance with the European Parliament’s resolution of 14 June 2023 on Quality Traineeships in the Union (2020/2005(INL)), which calls for all internships in Europe to be paid; regrets the lack of information on the implementation of the Council’s Employer Branding Action Plan prepared in 2023;

    45.  Notes that, in 2023, the 2020-2023 Psychosocial Risk Prevention plan was the subject of a review, the results of which have been taken into account in preparing a new Risk Prevention plan and updating the Psychosocial Intervention Plan as part of the Council’s initiatives to promote staff wellbeing, both individually and as teams or units; notes that several forms of support and courses were offered to members of staff and managers of the Secretariat, such as a dedicated management training session on psychological safety, Guidance for Managers on mental health, specific workshops on psychosocial risk prevention organised on demand and stress management workshops for the Spanish and Belgian Council Presidencies;

    46.  Notes that the Secretariat completed the New Ways of Working (NWOW) pilot project, which was launched in 2018, and conducted an evaluation providing valuable insights especially in terms of change communication, user involvement and staff engagement in change processes; notes that the Council shared the results of the pilot project with other organisations conducting similar programmes; calls on the Council to also share the lessons learned with the discharge authority;

    Ethical framework and transparency

    47.  Regrets that two key components of the ethical framework of the Council, the ‘Guide to Ethics and Conduct’ for Secretariat staff and the ‘Code of Conduct for the President of the European Council’, are available on the Council’s website without further guidance or date of publication; criticises that, despite several requests by Parliament, the code of conduct for the President of the European Council has not been brought in line with those of Parliament and the Commission, in particular in terms of post term-of-office activities; calls on forthwith rectification of foregoing deficiencies;

    48.   Reiterates that ethical conduct contributes to sound financial management and increases public trust and that, as stressed by the Court in its Special Report No 13/2019, there is scope for improvement in the ethical frameworks of the Union institutions; recalls in particular the recommendation issued by the Court with regard to improving the Council’s ethical framework; expresses concern about the lack of a common Union ethical framework governing the work of the representatives of Member States in the Council as identified by the Court;

    49.  Notes that, as part of the implementation of the Secretary-General’s Decision 23/2021 concerning psychological and sexual harassment at work, several actions were taken in 2023 such as the publication on the Secretariat’s intranet of the Guide to preventing harassment in the workplace, awareness-raising activities for newcomers regarding the zero tolerance approach of the Council and the organisation of compulsory trainings on anti-harassment and inappropriate behaviour for new managers and staff with management responsibilities;

    50.  Notes that the Secretariat publishes an annual report with information regarding the occupational activities of former senior officials of the Secretariat after leaving the service in accordance with Article 16, third and fourth paragraphs, of the Staff Regulations of officials of the European Union; notes that, according to the report concerning 2023, one former senior official declared their intention to engage in occupational activities less than 12 months after they left and was granted permission from the Appointing Authority to engage in one activity subject to a certain condition which was aimed at respecting the mitigation period of the second paragraph of Article 16 of the Staff Regulations;

    51.   Urges the Council to establish stricter post-term employment rules for senior officials, including an extended cooling-off period and mandatory public disclosure of private-sector affiliations; calls on the Council to make the participation of Member States’ Permanent Representations in the EU Transparency Register mandatory;

    52.  Regrets the fact that the participation of the Member States’ Permanent Representatives in the mandatory transparency register, set up by the interinstitutional agreement of 20 May 2021 between Parliament, the Council and the Commission, is completely voluntary as the application of the conditionality principle is left to the discretion of each Member State’s Permanent Representation; notes that only eight Member States and the Union institutions abide by the best practice of applying a mandatory broad-scope definition of lobbyist in their regulatory framework and insists that all Permanent Representations should take an active part in the mandatory transparency register before, during and after their Member State’s presidency of the Council; calls for stronger and harmonized ethics rules on conflicts of interest, revolving doors, and lobbying transparency; recalls Parliament’s position that Member State representatives who benefit directly from Union subsidies through the businesses they own should not be allowed to participate in policy or budgetary discussions and votes related to those subsidies; regrets that the Council does not fully use the mandatory transparency register or accept proposals to improve it; reiterates its call on the Council to refrain from engaging with unregistered lobbyists;

    53.   Regrets that the Council does not fully utilise the mandatory transparency register beyond its current limitations, rejecting any recommendation for improvements; reiterates its call on the Council to refuse to meet with unregistered lobbyists;

    54.   Urges the Council to mandate that all high-ranking officials, including Permanent Representatives and Heads of Delegation, publicly disclose their meetings with interest groups and lobbyists in a standardised transparency register, similar to the obligations imposed on Members of the European Parliament and the European Commission;

    55.  Strongly regrets that the Council continues to systematically withhold or delay access to legislative documents and the decision-making process in the Council is still far from fully transparent, thereby hindering public scrutiny of its decision-making, negatively affecting citizens’ trust in the Union as a transparent entity and jeopardising the reputation of the Union as a whole; recalls and supports the recommendations of the European Ombudsman regarding the transparency of the Council legislative process in strategic inquiry OI/2/2017/TE; urges the Council to take all the measures necessary to implement the recommendations of the Ombudsman and the relevant rulings of the Court of Justice of the European Union without undue delay; recalls that the Court of Justice of the European Union, in its judgement in Case T-163/21, De Capitani v Council, underlined that clearer legislative transparency is needed from the Council in order to ensure access to legislative documents, corresponding to the Council’s obligation in terms of public scrutiny and accountability of the co-legislators as the basis of any democratic legitimacy;

    56.  Is concerned that, in 2023, the European Ombudsman once again called on the Council to make legislative documents available at a time that would allow the public to participate effectively in the discussions; notes that the European Ombudsman also called on the Council to continue its efforts with regard to informing the public adequately about the restrictive measures adopted against Russia, to the greatest extent possible; welcomes the strategic enquiry launched by the European Ombudsman in 2023 on how the institutions handle requests for public access to legislative documents, based in particular on six recent complaints to the Ombudsman concerning public access to Union legislative documents handled by the Council;

    57.  Notes that the Access to Documents team reported that they received and replied to an unusually high number of requests for public access to documents in 2023, 3 732 initial requests for access to documents and 40 confirmatory applications, which required the analysis of 13 912 documents; notes that, among the initial requests for access, full access was granted to 10 908 documents (78,4 %) and partial access to 1 600 documents (11,5 %) while access was refused to 1 404 documents (10,1 %); notes that for the confirmatory applications, full access was granted to 53 documents and partial access to 45 documents, while access was refused to 48 documents; notes that initial requests were processed, on average, in 16 working days and confirmatory applications in 32 working days;

    58.  Welcomes that, according to the publicly available annual reports, no cases of fraud or irregularity were brought to the attention of the responsible authorising officers by delegation during 2023, nor were such cases subject to the competence of the panel (Article 143 of the Financial Regulation) or OLAF;

    Digitalisation

    59.  Notes that, in 2023, the Secretariat continued to pursue its goal of digital transformation, in line with its Digital Strategy priorities for 2022-2025; notes, that out of 113 digitalisation projects in the annual work plan, concerning, in particular, the areas of shared services, policy, legal and IT, 37 % were completed at the end of the year while 8 % were cancelled or merged and 38% were still ongoing; notes that more diversified training courses were organised, including specific courses for the electronic signature of contracts and to promote FIORI, the new user experience of SAP;

    60.   Urges the Council to accelerate the implementation of secure digital voting and document-sharing systems to enhance efficiency, accountability, and reduce unnecessary paper-based processes;

    61.  Welcomes that, in 2023, 97 % of invoices were submitted electronically, the same as in 2022; acknowledges that, with between 30 and 40 % of purchase orders and contracts being signed electronically each month in 2023, significant progress was made towards the full digitalisation of the financial workflow, from launching procurement procedures to paying invoices electronically;

    62.  Notes that, in 2023, the Council took steps in favour of greater digital accessibility, in particular through the publication of a Digital Accessibility Guide;

    Cybersecurity and data protection

    63.  Notes that, in 2023, the European Data Protection Supervisor (EDPS) issued a Supervisory Opinion in accordance with Article 57(1)(g) of Regulation (EU) 2018/1725 relating to the need to conduct a data protection impact assessment concerning the project of the Secretariat regarding the use of centralised human resource analytics and reporting services and the establishment a data warehouse; notes that the EDPS did not report any investigation or complaint concerning the Council in 2023;

    64.   Expresses concern over the lack of robust safeguards against surveillance and data collection by third parties; calls for enhanced security measures, including mandatory data encryption and regular security audits of all digital communication systems used by the Council;

    65.  Notes that, in order to improve the cybersecurity awareness and preparedness of its staff, the Secretariat designed and launched several new training courses related to information security, counterespionage, and cybersecurity in 2023; notes further that awareness-raising events about cybersecurity and information security were organised during Cybersecurity Month in October 2023;

    Buildings

    66.  Notes that budget line 2011 for “Water, gas, electricity and heating” was reinforced by 33 % through a budgetary transfer in 2023; notes that the Secretariat continued to reduce its energy consumption, through methods such as reducing the building heating and replacing the boilers in the Justus Lipsius building;

    67.  Notes that key building projects were executed in 2023, such as the renovation of some meeting rooms in the LEX and Justus Lipsius buildings, the continuous renovation of office corridors in the Justus Lipsius building, improvements of facilities and infrastructure for bikes in the Council’s premises and the modernisation of the Justus Lipsius reception desks;

    68.  Regrets that the Council has still not implemented a simplified accreditation procedure to facilitate the access of the other Union institutions’ staff to Council’s premises; calls on the Council to implement this measure;

    Environment and sustainability

    69.  Notes that, further to an external audit performed in 2023, the EcoManagement and Audit Scheme was maintained and that Energy Performance of Buildings certificates were renewed;

    70.  Notes that, as part of the continuing priority efforts for sustainable mobility, facilities and infrastructures for bikes in the Secretariat premises were improved and tailored and videoconferencing facilities in the form of “meet anywhere rooms” were renovated or put in place; notes further that efforts to on-board staff and managers in the green transformation were deployed through training and awareness-raising actions;

    Interinstitutional cooperation

    71.  Stresses the need for Article 319 TFEU to be revised in order to explicitly stipulate that Parliament, besides granting discharge to the Commission, also grants discharge to other Union institutions, bodies, offices and agencies in respect of the implementation of their sections of the budget or of their budgets; invites the Council to overcome the inter-institutional conflict and to resume talks with the European Parliament in order to reach a common agreement for a smooth resumption of the discharge procedure;

    Communication

    72.  Notes that, in 2023, the overall budget for communication implemented in the course of the year, taking transfers into account, was EUR 11 871 300, i.e. 3,54 % higher than the 2022 budget;

    73.  Notes that the Secretariat provides communication services to the President of the European Council, whose web presence was fundamentally revamped in 2022, the President of the Eurogroup, the rotating presidency, the Vice-President of the Commission/High Representative of the Union for Foreign Affairs and Security Policy, Member States and the Secretariat; notes that 2023 saw a marked increase in collaboration between the Secretariat’s digital team and the presidencies, in particular, close editorial coordination led to increased synergies in terms of content reuse and better complementarity, which maximised the overall communication impact;

    74.  Notes that, according to an online survey conducted in the last quarter of 2023, 67 % of users were satisfied with their overall experience with the Council’s website, which had over 23 million visits in 2023, a 1 % increase compared to 2022, and 57 900 subscribers, compared to 51 600 in 2022.

    (1) Judgment of the General Court of 25 January 2023, De Capitani v Council, T-163/21, CLI:EU:T:2023:15.

    MIL OSI Europe News

  • MIL-OSI Europe: Text adopted – The European Water Resilience Strategy – P10_TA(2025)0091 – Wednesday, 7 May 2025 – Strasbourg

    Source: European Parliament

    The European Parliament,

    –  having regard to the Treaty of the Functioning of the European Union (TFEU), in particular Article 191 thereof,

    –  having regard to the Agreement adopted at the 21st Conference of the Parties to the UNFCCC (COP21) in Paris on 12 December 2015 (the Paris Agreement),

    –  having regard to the United Nations 2030 Agenda for Sustainable Development and the Sustainable Development Goals (SDGs), with particular emphasis on the SDG 6 on clean water and sanitation,

    –  having regard to the Kunming-Montreal Global Biodiversity Framework, adopted in December 2022,

    –  having regard to the Stockholm Convention on Persistent Organic Pollutants of 22 May 2001,

    –  having regard to the precautionary principle and the principles that preventive action should be taken, that environmental damage should, as a priority, be rectified at source and that the polluter should pay, as enshrined in Article 191(2) TFEU,

    –  having regard to Regulation (EU) 2021/1119 of the European Parliament and of the Council of 30 June 2021 establishing the framework for achieving climate neutrality and amending Regulations (EC) No 401/2009 and (EU) 2018/1999 (European Climate Law)(1),

    –  having regard to Directive 2000/60/EC of the European Parliament and of the Council of 23 October 2000 establishing a framework for Community action in the field of water policy(2) (Water Framework Directive),

    –  having regard to Directive 2006/118/EC of the European Parliament and of the Council of 12 December 2006 on the protection of groundwater against pollution and deterioration(3) (Groundwater Directive),

    –  having regard to Directive 2008/105/EC of the European Parliament and of the Council of 16 December 2008 on environmental quality standards in the field of water policy, amending and subsequently repealing Council Directives 82/176/EEC, 83/513/EEC, 84/156/EEC, 84/491/EEC, 86/280/EEC and amending Directive 2000/60/EC of the European Parliament and of the Council(4) (Environmental Quality Standards Directive),

    –  having regard to Directive 2007/60/EC of the European Parliament and of the Council of 23 October 2007 on the assessment and management of flood risks(5),

    –  having regard to Directive (EU) 2020/2184 of the European Parliament and of the Council of 16 December 2020 on the quality of water intended for human consumption(6) (Drinking Water Directive),

    –  having regard to Regulation (EU) 2020/741 of the European Parliament and of the Council of 25 May 2020 on minimum requirements for water reuse(7) (Water Reuse Regulation),

    –  having regard to Directive 2008/56/EC of the European Parliament and of the Council of 17 June 2008 establishing a framework for community action in the field of marine environmental policy (Marine Strategy Framework Directive)(8),

    –  having regard to Directive (EU) 2024/3019 of the European Parliament and of the Council of 27 November 2024 concerning urban wastewater treatment(9) (revised Urban Wastewater Treatment Directive),

    –  having regard to Directive (EU) 2024/1785 of the European Parliament and of the Council of 24 April 2024 amending Directive 2010/75/EU on industrial emissions (integrated pollution prevention and control) and Council Directive 1999/31/EC on the landfill of waste(10),

    –  having regard to Council Directive 91/676/EEC of 12 December 1991 concerning the protection of waters against pollution caused by nitrates from agricultural sources(11),

    –  having regard to Regulation (EU) 2024/1991 of the European Parliament and of the Council of 24 June 2024 on nature restoration and amending Regulation (EU) 2022/869(12),

    –  having regard to Directive (EU) 2022/2557 of the European Parliament and of the Council of 14 December 2022 on the resilience of critical entities and repealing Council Directive 2008/114/EC(13) (Critical Entities Resilience Directive),

    –  having regard to Directive (EU) 2022/2555 of the European Parliament and of the Council on 14 December 2022 on measures for a high common level of cybersecurity across the Union, amending Regulation (EU) No 910/2014 and Directive (EU) 2018/1972, and repealing Directive (EU) 2016/1148 (NIS 2 Directive)(14),

    –  having regard to Directive 2009/128/EC of the European Parliament and of the Council of 21 October 2009 establishing a framework for Community action to achieve the sustainable use of pesticides(15),

    –  having regard to Regulation (EU) 2021/2115 of the European Parliament and of the Council of 2 December 2021 establishing rules on support for strategic plans to be drawn up by Member States under the common agricultural policy (CAP Strategic Plans) and financed by the European Agricultural Guarantee Fund (EAGF) and by the European Agricultural Fund for Rural Development (EAFRD) and repealing Regulations (EU) No 1305/2013 and (EU) No 1307/2013(16),

    –  having regard to Commission Regulation (EU) 2024/3190 of 19 December 2024 on the use of bisphenol A (BPA) and other bisphenols and bisphenol derivatives with harmonised classification for specific hazardous properties in certain materials and articles intended to come into contact with food, amending Regulation (EU) No 10/2011 and repealing Regulation (EU) 2018/213(17),

    –  having regard to the Commission communication of 19 February 2021 entitled ‘A Vision for Agriculture and Food’ (COM(2025)0075),

    –  having regard to the Commission communication of 11 December 2019 on the European Green Deal (COM(2019)0640),

    –  having regard to the Commission communication of 29 January 2025 entitled ‘A Competitiveness Compass for the EU’ (COM(2025)0030),

    –  having regard to the Commission communication of 12 May 2021 entitled ‘Pathway to a Healthy Planet for All – EU Action Plan: ‘Towards Zero Pollution for Air, Water and Soil’’ (COM(2021)0400),

    –  having regard to the Commission communication of 24 February 2021 entitled ‘Forging a climate-resilient Europe – the new EU Strategy on Adaptation to Climate Change’ (COM(2021)0082),

    –  having regard to the Commission communication of 18 July 2007 on addressing the challenge of water scarcity and droughts in the European Union (COM(2007)0414),

    –  having regard to the Commission communication of 11 March 2020 entitled ‘A new Circular Economy Action Plan: For a cleaner and more competitive Europe’ (COM(2020)0098),

    –  having regard to the Commission communication of 14 November 2012 entitled ‘A Blueprint to Safeguard Europe’s Water Resources’ (COM(2012)0673),

    –  having regard to the EU biodiversity strategy for 2030,

    –  having regard to the COP29 Declaration on Water for Climate Action, endorsed by the European Union,

    –  having regard to the European Oceans Pact announced by Commission President von der Leyen in her political guidelines for the next European Commission (2024-2029) on 18 July 2024,

    –  having regard to the European climate adaptation plan and the European water resilience strategy announced by Commission President von der Leyen in her political guidelines for the next European Commission (2024-2029) on 18 July 2024,

    –  having regard to the EU’s 8th environment action programme,

    –  having regards to its resolution of 5 October 2022 entitled ‘Access to water as a human right – the external dimension’(18),

    –  having regard to its resolution of 19 September 2024 on the devastating floods in central and eastern Europe, the loss of lives and the EU’s preparedness to act on such disasters exacerbated by climate change(19),

    –  having regard to its resolution of 6 October 2022 on momentum for the ocean: strengthening ocean governance and biodiversity(20),

    –  having regard to its resolution of 28 November 2019 on the climate and environment emergency(21),

    –  having regard to its resolution of 14 November 2024 on the UN climate change conference in Baku, Azerbaijan (COP29)(22),

    –  having regard to the Commission report of 4 February 2025 on the implementation of the Water Framework Directive (2000/60/EC) and the Floods Directive (2007/60/EC) entitled ‘Third river basin management plans – Second flood risk management plans’ (COM(2025)0002),

    –  having regard to the European Court of Auditors special report 15/2024 of 16 October 2024 entitled ‘Climate adaptation in the EU – action not keeping up with ambition’,

    –  having regard to former Finnish President Sauli Niinistö’s report of 30 October 2024 entitled ‘Safer Together – Strengthening Europe’s civil and military preparedness and readiness’,

    –  having regard to Enrico Letta’s report of April 2024 entitled ‘Much more than a market’,

    –  having regard to its resolution of 17 December 2020 on the implementation of the EU water legislation(23),

    –  having regard to the European Court of Auditors special report 33/2018 of 18 December 2018 entitled ‘Combating desertification in the EU: a growing threat in need of more action,

    –  having regard to the European citizens’ initiative (ECI) on the right to water,

    –  having regard to its resolution of 8 September 2015 on the follow-up to the European Citizens’ Initiative Right2Water(24),

    –  having regard to UN General Assembly Resolution 64/292 of 28 July 2010, which recognises the human right to water and sanitation,

    –  having regard to the Strategic Dialogue on the future of EU agriculture,

    –  having regard to the European Court of Auditors special report 20/2024 of 30 September 2024 entitled ‘Common Agricultural Policy Plans – Greener, but not matching the EU’s ambitions for the climate and the environment’,

    –  having regard to European Environment Agency report 07/2024 of 15 October 2024 entitled ‘Europe’s state of water 2024: the need for improved water resilience’ (EEA Report 07/2024),

    –  having regard to the Environment Council conclusions of 17 June 2024 on the 8th environment action programme,

    –  having regard to European Court of Auditors special report 20/2021 of 28 September 2021 entitled ‘Sustainable water use in agriculture: CAP funds more likely to promote greater rather than more efficient water use’,

    –  having regard to the European Economic and Social Committee declaration of 26 October 2023 for an EU Blue Deal,

    –  having regard to the Commission proposal of 5 July 2023 for a directive of the European Parliament and of the Council on Soil Monitoring and Resilience (Soil Monitoring Law) (COM(2023)0416),

    –  having regard to its position at first reading of 24 April 2024 on the proposal for a directive of the European Parliament and of the Council amending Directive 2000/60/EC establishing a framework for Community action in the field of water policy, Directive 2006/118/EC on the protection of groundwater against pollution and deterioration and Directive 2008/105/EC on environmental quality standards in the field of water policy(25),

    –  having regard to Rule 55 of its Rules of Procedure,

    –  having regard to the opinion of the Committee on Agriculture and Rural Development,

    –  having regard to the report of the Committee on the Environment, Climate and Food Safety (A10-0073/2025),

    A.  whereas water is essential for life and humanity; whereas the EU has to manage current and future water resources efficiently and respond effectively to the current water challenges, as they directly affect human health, the environment and its ecosystems, strategic socio-economic activities such as energy production, agriculture and food security, and the EU’s competitiveness;

    B.  whereas water is a scarce and limited resource and, while 70 % of the earth’s surface is water-covered, available and usable fresh water accounts for only 0,5 % of water on earth(26); whereas mountains are real water towers and important freshwater reservoirs in Europe, the Alps alone providing 40 % of Europe’s fresh water(27);

    C.  whereas groundwater supplies two thirds of the EU’s drinking water and supports many ecosystems(28); whereas the services provided by freshwater ecosystems are worth over EUR 11 trillion in Europe, and provide considerable health and recreational benefits, such as from angling(29);

    D.  whereas water stress is already occurring in Europe, affecting approximately 20 % of Europe’s territory and 30 % of the population on average every year, figures that are likely to increase in the future on account of climate change(30), despite the fact that total water abstraction at the EU-27 level appeared to decrease by 15 % between 2000 and 2019; whereas the increase in the number and recurrence of extreme weather events such as droughts and floods, and the fact that they are expected to become yet more frequent in the near future, poses a risk to human life and the EU’s food sovereignty and could lead to regions in Europe becoming uninhabitable;

    E.  whereas 78 % of Europeans consider that the EU should propose additional measures to address water-related issues in Europe and 21 % of Europeans consider pollution to be the main threat linked to water in their country(31);

    F.  whereas the human right to water and sanitation was recognised as a human right in a resolution adopted by the UN General Assembly on 28 July 2010;

    G.  whereas the European Citizens’ Initiative Right2Water was the first ever to gather the required number of signatories, calling for the EU to ensure the right to water for all;

    H.  whereas the provisions of Article 14 TFEU and Protocol No 26 thereto on Services of General Interest are key elements to be prominently taken into account in all aspects of the design and implementation of the European water resilience strategy (EWRS), thus safeguarding the status of Europe’s water services as essential public services, and ensuring accessibility, equity, affordability and the maintenance of high quality standards;

    I.  whereas the Member States should follow up on the recommendations of the Commission report of November 2023(32) in order to improve water balances as the knowledge basis for making decisions about water allocation;

    J.  whereas substantive corporate value may be at risk owing to worsening water insecurity, with a decrease in the capacity of production or its complete halt as a consequence; whereas assets in water-stressed regions could become stranded, temporarily or permanently, if assumptions made about water availability and access prove inaccurate, if regulatory responses are unanticipated or if risk mitigation and stewardship plans are not put in place(33);

    K.  whereas the deadline set by the Water Framework Directive (WFD) for European rivers, lakes, transitional waters, coastal waters and groundwaters to achieve ‘good’ status was 2015, with a possible postponement to 2027 under certain conditions; whereas the objective of achieving good chemical status for all EU water bodies by 2027 remains far from being achieved, primarily due to substances such as mercury, brominated flame retardants and polycyclic aromatic hydrocarbons(34);

    L.  whereas the 2025 report on the implementation of the WFD shows that delays in meeting the WFD’s targets are not due to a deficiency in the legislation but to a lack of funding, slow implementation and insufficient integration of environmental objectives into sectoral policies; whereas analysis has shown that the Member States are not meeting the annual investment needs, which are estimated to be EUR 77 billion, with a financing gap currently estimated at around EUR 25 billion a year; whereas the report also shows the clear need for the Member States to increase their level of ambition and accelerate action to reduce the compliance gap as much as possible before 2027, to increase investment and ensure adequate financing, including via EU funds, to achieve the objectives of their programmes of measures, as well as to put in place additional measures to reduce current persistent environmental challenges to and improve transboundary cooperation;

    M.  whereas the water legislation has been evaluated as fit for purpose; whereas it establishes a framework for the protection of inland surface waters, transitional waters, coastal waters and groundwater; whereas, at the same time, it allows for less stringent environmental objectives to be achieved if socio-economic needs served by such human activity cannot be achieved by other means and it allows for a failure to achieve the objectives for water bodies if the reason for the failure is overriding public interest; whereas the legislation is proportionate and mandates the authorities of the Member States, in line with the principle of subsidiarity, to decide on the overriding public interest; whereas in some cases this may be the protection of the environment and in others a socio-economic activity;

    N.  whereas industry accounts for approximately 40 % of total water abstraction in Europe; whereas the largest categories of the annual water abstraction in the EU-27, according to the statistical classification of economic activities in the European Community (NACE), are abstraction for cooling in electricity generation (34 %), followed by abstraction for agriculture (29 %), public water supply (21 %) and manufacturing (15 %)(35); whereas data on water abstraction and use in the EU is historical and poor(36);

    O.  whereas electricity production is the largest water-abstracting sector, but most of the water is returned to the environment after cooling or turbine propulsion; whereas overall, agriculture is the highest net water-consuming sector at the EU level, as most of the water is consumed by the crop or evaporates; whereas other uses, such as industry and water utilities, abstract and consume comparatively less water, but they can represent significant pressures at a local level, especially on groundwater(37);

    P.  whereas all industrial activity requires water to produce its end products or to support production activities; whereas businesses depend on water for their daily operations, and as water scarcity increases, it can disrupt operations, raise costs and create regulatory and reputational risks;

    Q.  whereas the energy sector relies heavily on water resources; whereas this dependency poses a serious risk as water scarcity can impact energy production processes and supply security, especially where water is used as feedstock or for cooling; whereas the transition to renewable energy, particularly wind and solar energy, offers sustainable and water-efficient decarbonisation pathways and the opportunity to halt or reverse the trend of increasing water consumption;

    R.  whereas water is an essential resource for agriculture in the production of high-quality food, feed and renewable raw materials; whereas agriculture depends on water availability and irrigation helps to shield farmers from irregular rainfall and to increase the viability, yield and quality of the crops, but is a significant drain on water resources; whereas in view of climate change, changing weather patterns and increased frequency of floods and droughts, the importance of water as a resource for the production of high-quality agricultural products and of the need for water to be used efficiently will therefore be fundamental to the security of food supply and to the solutions to address water scarcity; whereas reducing pressure on surface water and groundwater from agriculture must go hand in hand with investment aimed at the use of reclaimed water and innovative desalination technologies, thereby achieving a better water balance as well as promoting clean alternative energies such as green hydrogen;

    S.  whereas global population growth requires increased food production, and the EU must guarantee food sovereignty, as laid down in Article 39 TFEU;

    T.  whereas reliable data on water accounting, that is, the systematic study of the current status and trends in water supply, demand, accessibility and use in domains that have been specified(38), is crucial for an assessment of the current situation in the EU and for European competitiveness;

    U.  whereas the potential of wastewater as an alternative water supply is underestimated, given that 60-70 % of the potential value of wastewater across the EU is currently unexploited(39) and less than 3 % of treated wastewater is reused in the EU(40); whereas there is significant potential for circular approaches to water in households, as only a small amount of the water in households is used for drinking and eating and therefore requires the highest quality standards;

    V.  whereas a very large quantity of water is lost due to obsolete or ageing water networks and the lack of necessary maintenance; whereas investment in the maintenance, improvement and development of resilient innovative irrigation infrastructures is essential for reducing and improving the efficiency of water consumption in agriculture; whereas such improvements in efficiency enable the water saved to be used for other purposes or enable the natural flow rates of watercourses to be maintained;

    W.  whereas clean and sufficient water is an essential element in implementing and achieving a real sustainable circular economy in the EU;

    X.  whereas water leakage is an underestimated global issue, which significantly exacerbates water scarcity, with an average of 23 % of treated water lost during distribution in the EU due to leaky pipes, outdated treatment facilities and insufficient reservoirs(41); whereas the revised Drinking Water Directive included measures to reduce water leakages, as well as risk assessment and management of the catchment areas for drinking water abstraction;

    Y.  whereas in 2021, 91 % of Europe’s groundwater bodies were reported as having achieved ‘good quantitative status’, while 77 % were reported as having ‘good chemical status’(42);

    Z.  whereas in 2021, only 37 % of Europe’s surface water bodies were reported as being in ‘good’ or ‘high’ ecological status, while 29 % achieved ‘good chemical status’(43);

    AA.  whereas the European Environment Agency emphasises that the proportion of surface waters failing to achieve good ecological status is uneven across Europe, and that these are more prevalent in parts of central and western Europe, and stresses that differences in water status between the Member States may be caused by different pressures, but that those differences may also result from varying approaches to monitoring and assessment(44);

    AB.  whereas the quality of surface waters across the continent reflects continuing and combined pressures, in particular diffuse pollution and the degradation of their natural flow and physical features; whereas pollution by nutrients and persistent priority substances, as well as by substances newly emerging as pollutants, continues; whereas groundwaters are affected by diffuse pollution and also suffer from intensive abstraction(45);

    AC.  whereas groundwater supplies 65 % of water for drinking and 25 % of water for agricultural irrigation in the EU(46); whereas it is a finite resource that needs to be protected from pollution and over-exploitation(47);

    AD.  whereas monitoring data from the European Environment Agency indicates widespread pollution by per- and polyfluoralkyl substances (PFAS), commonly referred to as ‘forever chemicals’, in European waters, posing significant risks to aquatic ecosystems and human health; whereas short-chain PFAS trifluoroacetic acid (TFA) has been detected in drinking water all over Europe; whereas PFAS persist in the environment, bioaccumulate in living organisms and cause adverse (eco)toxicological effects; whereas from a group of 6 000 to 10 000 individual substances, only a few have been extensively studied and their impact on human health and environment is known; whereas 99 % of PFAS remain undetected in the environment as a result of limits in monitoring;

    AE.  whereas the lack of EU-wide quality standards for PFAS in groundwater and insufficient monitoring of less-studied PFAS compounds exacerbate the challenge of achieving good chemical status for EU waters in line with the WFD and pose a substantial technical and financial burden on health systems and on water service providers while jeopardising applications of water and sewage sludge reuse;

    AF.  whereas hazardous chemicals, including heavy metals and other pollutants, released into water bodies by industrial activities, significantly impact water quality and aquatic ecosystems(48);

    AG.  whereas pharmaceutical substances are increasingly identified in surface water and groundwater; whereas pollution caused by pharmaceutical residues necessitates advanced water treatment technologies, including membrane filtration, activated carbon treatment, advanced oxidation processes and other innovative purification techniques;

    AH.  whereas Directive 2010/75/EU(49) mandates that the potential aggravation of the impact of industrial discharges on the state of water bodies due to variations of water flow dynamics should be explicitly taken into account in the granting and reviewing of permits; whereas the best available techniques will newly incorporate notions of environmental performance levels related to water and permits, which translate the use of these techniques into environmental performance limit values; whereas this is a welcome change with a potential improvement to the industry’s resilience, as EU installations may already face a lower production capacity seasonally due to water scarcity;

    AI.  whereas urban wastewater is one of the main sources of water pollution, if not properly collected and treated; whereas the objectives of the Urban Wastewater Treatment Directive should not be lowered, and its scope should be extended to other sectors and substances that contribute to water pollution;

    AJ.  whereas nutrient pollution in EU water bodies leads to eutrophication, loss of biodiversity, and degradation of aquatic ecosystems(50); whereas pesticide run-off contaminates surface water and groundwater, threatening water quality and human health;

    AK.  whereas research indicates that exposure in Europe to the synthetic chemical bisphenol A (BPA), which is used in products ranging from plastic and metal food containers to reusable water bottles, is well above acceptable health safety levels(51);

    AL.  whereas soil and nutrient management lies at the basis of improving water quality and availability; whereas the EWRS should focus on improving nutrient management, with the aim of closing nutrient loops to reduce nutrient emissions to waterways; whereas the safe use of sewage sludge in agriculture will also reduce the EU’s very high dependency on the import of phosphorus mineral fertiliser, for example, from Russia; whereas the safe use of sludge should therefore also be considered as contributing to European resilience and strategic autonomy;

    AM.  whereas climate change represents a major threat to water resources and aquatic ecosystems; whereas many impacts of climate change are felt through water, such as more intense and frequent droughts, more extreme flooding and more erratic seasonal rainfall; whereas floods and water scarcity compromise food and water security, and the health of the general population, ultimately affecting social cohesion, economic prosperity and stability, as well as jeopardising the long-term availability of this valuable resource;

    AN.  whereas the European climate risk assessment recognised that Europe’s policies and adaptation actions are not keeping pace with the rapidly growing risks that threaten ecosystems, infrastructure, food and water supply and people’s health, as well as the economy and finance(52);

    AO.  whereas assessments by the Intergovernmental Panel on Climate Change show that the sea level rise due to climate change is leading to an increase in the salinity of soils and freshwaters, compromising ecosystem health and water quality, as well as affecting 80 million Europeans living in low elevation coastal zones and flood plains; whereas freshwater and marine ecosystems are interconnected as riverine pollution, disruption to sediment flows and water shortages all have a very strong impact on the health of marine ecosystems, particularly the coastal ones, as well as on the viability of social and economic activities that depend on them, such as transport, fisheries, agriculture, aquaculture and tourism;

    AP.  whereas prolonged drought, extreme heat and large-scale flooding events, caused by changing weather patterns, will intensify and become more frequent throughout the continent, damaging ecosystems and human health and leading to major disruption to economic activities and decreasing the overall quantity and quality of available water; whereas preserving water resources and the natural functions of rivers, while supplying sufficient water of good quality, is becoming a major challenge that will require increased climate change mitigation and adaptation efforts, effective management and innovative measures to increase water availability; whereas managing water scarcity and flood risks affordably and sustainably will increasingly become important across the EU;

    AQ.  whereas in 2022, Europe experienced its hottest summer and the second warmest year on record, leading to drought impacting over 15 % of EU territory; whereas the average annual economic loss caused by droughts in the EU between1981 and 2010 was estimated at around EUR 9 billion per year; whereas with no adaptation measures, it is estimated that annual drought losses in Europe and the UK could increase to EUR 45 billion per year up to 2100 with warming of 3°C(53); whereas in the period of 1998-2020, floods comprised 43 % of all disaster events in Europe; whereas climate change impacts and socio-economic developments are leading to more frequent flooding, affecting an increasing number of people and causing increasing damage; whereas 12 % of Europe’s population lives in floodplains(54);

    AR.  whereas the cost of inaction in addressing water-related challenges is extremely high, given that 90 % of disasters are related to water(55); whereas without policy action, the cost of economic losses from coastal floods alone could exceed EUR 1 trillion per year by the end of the century in the EU(56) and the economic cost of droughts in Europe could exceed EUR 65 billion a year by 2100(57);

    AS.  whereas significant differences exist between the Member States in water availability, management strategies and usage patterns, and vulnerability to climate change impacts can vary considerably; whereas a tailored approach is required to enhance water resilience and ensure sustainable water management;

    AT.  whereas droughts constitute one of the chief catastrophic consequences of climate change; whereas around 23 % of the EU’s territory is moderately susceptible to desertification and 8 % is highly susceptible to it; whereas Hungary, Bulgaria, Spain and Italy are among the countries most affected, and 74 % of Spain’s surface area is at risk of desertification; whereas the EWRS should look beyond prolonged droughts, but rather address the reality that the semi-arid line is moving north, resulting in increasing areas in the EU that will face chronic long-term unavailability of sufficient freshwater resources;

    AU.  whereas policies related to desertification, water consumption and climate change are closely interconnected; whereas as part of the United Nations Convention to Combat Desertification, the EU reaffirmed in 2015 and later re-confirmed in 2024(58) its commitment to achieving land degradation neutrality by 2030, which, according to the European Court of Auditors special report on desertification, is unlikely to be achieved;

    AV.  whereas water infrastructure can help maintain a constant and predictable flow and supply of water; whereas in 2022, the annual average river discharge across Europe was the second lowest since records began in 1991(59);

    AW.  whereas downstream areas are particularly dependent on upstream water management and abstraction; whereas the Member States should refrain from implementing measures that significantly increase flood risks upstream or downstream of other countries in the same river basin, in accordance with the WFD;

    AX.  whereas nature-based solutions are pertinent interventions that, when tailored to specific ecosystems and needs, can increase resilience in the water cycle and provide multiple benefits in terms of biodiversity protection, carbon sequestration, improved water quality, nutrient retention, supply of drinking water, wildfire prevention and flood risk mitigation; whereas nature-based solutions can enhance the effectiveness and the operable life of water infrastructure, therefore ensuring, in many cases, complementarity of both solutions;

    AY.  whereas natural water retention measures are nature-based solutions that aim to store water in natural, agricultural, forested and urban landscapes;

    AZ.  whereas water is not a commercial product like any other but, rather, a heritage which must be protected, defended and treated as such; whereas, under Directive (EU) 2024/1203 on the protection of the environment through criminal law(60), abstraction of surface water or groundwater within the meaning of the WFD constitutes a criminal offence where such conduct is unlawful and intentional, and causes, or is likely to cause, substantial damage to the ecological status or the ecological potential of surface water bodies or to the quantitative status of groundwater bodies;

    BA.  whereas soil biodiversity and soil organic carbon affect water retention capacity; whereas soil erosion, compaction and certain soil management practices that cause soil degradation lead to a steady decrease in the water retention capacity of soil, which as a consequence exacerbates drought and flood events with a direct negative impact on farming; whereas healthy soil is therefore one of the drivers of water resilience, which itself should be approached and managed at river basin level; whereas better land management is key to preventing disasters;

    BB.  whereas the current multiannual financial framework (MFF) includes an ambitious but non-binding target of dedicating at least 7,5 % of annual EU spending to the biodiversity objectives in 2024 and 10 % in both 2026 and 2027; whereas the new financial framework should incorporate a water perspective with a view to allocating sufficient resources to the future EWRS in order to ensure resilient water ecosystems and infrastructure, and security of water supply, and to facilitate investments in innovative solutions;

    BC.  whereas cohesion funding has played a crucial role in improving water and sanitation services across the Member States; whereas continued support is required to ensure their long-term resilience and compliance with increasingly stringent quality standards;

    BD.  whereas pricing policies can improve the efficiency of water use; whereas such policies are a national competence and account for the regional differences in water availability and the source of water supply; whereas pricing can play a significant role in prompting households and other economic sectors to optimise consumption, as well as in ensuring that water users effectively participate in recovering the costs of water services; whereas pricing policies should also consider affordability for households and small businesses;

    BE.  whereas digitalisation and innovation can effectively assist the Member States, regional bodies and the Commission in collecting data on and monitoring water management; whereas the EU is at the forefront of new technological developments in the water sector, accounting for 40 % of all international patent families in this sector between 1992 and 2021(61), a position that needs to be fostered and nurtured, and the potential of the internal market fully exploited; whereas hurdles for the introduction and scaling-up of new water technologies need to be examined and a just European level playing field guaranteed; whereas continued support for research in water technology innovation is needed to secure and to create jobs and boost European competitiveness;

    BF.  whereas innovation is a crucial tool to help the water sector meet the challenges of the United Nation’s SDGs, adapt to climate change and become more water-efficient;

    BG.  whereas deployment of monitoring and modelling technologies is still lagging behind in many Member States, and the digitalisation of the sector is too slow; whereas provisions on the river basin management plans in the WFD do not explicitly include concrete measures to digitise the water sector; whereas common shortcomings for the current policies harnessing the potential digital solutions are related to the lack of technology guidance, monitoring standards, policy integration, standardisation and public involvement;

    BH.  whereas the water sector is vulnerable to various threats, including physical attacks, cyberattacks and contamination with harmful agents; whereas such incidents could result in widespread illness, casualties and service disruptions, significantly impacting public health, the environment and economic stability; whereas the digitalisation of water management might introduce further security risks in a context of increasing hostile attacks on critical infrastructure; whereas the implementation of the NIS2 Directive and Critical Entities Resilience Directive can contribute to mitigating security risks to vital (drinking) water systems and (drinking) water infrastructure, arising from geopolitical tensions;

    BI.  whereas advances in sensor technology, computing, artificial intelligence (AI) and big data management can help monitor water quantity and quality and inform the operational decisions of the policymakers and water management companies; whereas innovations in nature-based systems to manage water are available and can contribute to resilient water management;

    BJ.  whereas water is a vital component in the life cycle of AI, both in the operation of data centres and the manufacture of hardware; whereas the rapid expansion of AI could result in an exponential increase in water demand; whereas that dependency on an increasingly scarce resource poses significant challenges in terms of sustainability; whereas strategic technologies, such as semiconductors, hydrogen, electric vehicle batteries and data centres, play a key role in achieving a competitive and autonomous EU;

    BK.  whereas chiller and cooling tower systems, based on innovative cooling technologies such as evaporative and closed-loop cooling, are already available and can contribute to reducing water consumption in industrial, heating, ventilation and air conditioning systems applications;

    BL.  whereas research must be promoted with a view to producing alternative active ingredients to combat pests, to ensure greater plant health and reduce the use of inputs and phytosanitary products;

    BM.  whereas water resilience is crucial in education and teaching, and in raising awareness and giving information about the functioning of the water cycle;

    BN.  whereas limited access to water and related infrastructure has a negative impact, especially on women, as it undermines the realisation of other human rights, such as self-determination, economic independence and education;

    BO.  whereas 60 % of European river basin districts are transnational, which makes effective transboundary cooperation crucial; whereas 20 European countries depend on other countries for more than 10 % of their water resources, with five countries relying on more than 75 % of their resources coming from abroad via rivers(62); whereas this cooperation should be strengthened to account for current and future climate challenges such as droughts and floods;

    BP.  whereas United Nations Secretary-General António Guterres appointed a Special Envoy on Water, aiming to enhance international cooperation and synergies among international water processes;

    BQ.  whereas clean water access and sustainable and resilient sanitation infrastructure are key components of the One Health approach, recognising the interconnection between the health of humans and water pollution;

    BR.  whereas water cooperation across borders and sectors generates many benefits, including enhancing food security, sustaining healthy livelihoods and ecosystems, helping address resilience to climate change, contributing to disaster risk reduction, providing renewable energy, supporting cities and industry, and fostering regional integration and peace;

    BS.  whereas geopolitical developments demonstrate that the EU should be ready to withstand the challenges that go beyond the environmental sphere; whereas non-environmental threats, such as recent accidents related to the damaged cable in the Baltic Sea, send the EU a strong message that strengthening transboundary cooperation is key in addressing both the environmental and security-related objectives;

    BT.  whereas about 41 000 kilometres of inland waterways flow through 25 of the Member States; whereas inland waterways, which rely on the availability of water resources, perform a crucial role in optimising water supply and mitigating the impact of droughts and floods, as well as supporting the economic activities and the development of regions;

    BU.  whereas the increasing water scarcity, inequalities in access to water, and external shocks to the water sector have heightened interdependencies, increasing competition for water and leading to complex economic repercussions;

    General remarks

    1.  Welcomes and supports President von der Leyen’s announcement in the political guidelines for the next European Commission (2024-2029) on putting forward a European Water Resilience Strategy (EWRS) addressing water efficiency, scarcity, pollution and water-related risks, as well as the recognition that water is an indispensable resource that is increasingly under stress from climate change and increasing demands;

    2.  Believes that while implementing legislation, economic competitiveness should be taken into account in line with the Competitiveness Compass; calls for the implementation of EU environmental legislation in order to build a resilient and competitive Europe, mitigate and adapt to climate change, halt biodiversity loss, prevent pollution, ensure food security, limit resource use and waste, and strive towards efficient use of resources, including water, while taking into account the precautionary principle, the control-at-source principle and the polluter-pays principle; highlights the fact that water availability impacts the quantity, quality, variety and seasonal availability of foods that can be produced;

    3.  Calls for the EU to integrate its commitments to the COP29 Baku Dialogue on Water for Climate Action and the UN 2023 Water Conference into the international dimension of the strategy;

    4.  Stresses the urgent need to enhance water resilience and management to ensure sustainable freshwater supplies for people, the economy and the environment; emphasises that the EWRS should be developed in coordination with the European Oceans Pact, ensuring a cohesive and integrated approach to managing freshwater and ocean resources, addressing interconnected challenges, enhancing competitiveness and promoting sustainable water management across inland and marine environments, while ensuring a holistic ‘source-to-sea’ approach;

    5.  Insists on the need for a comprehensive and holistic EWRS that integrates water quality, quantity, security, infrastructure, technology and management aspects and includes the restoration of the water cycle as a key element, as it underpins economic activities, ensures resource availability and contributes to climate regulation;

    6.  Stresses the importance of water supply, in particular drinking water, as well as water security of supply; points out that all environmental restoration projects should take into account the water security aspects, prioritising solutions that not only provide environmental benefits, but also guarantee the supply and efficient management of water; emphasises, furthermore, that ecological restoration measures should be carried out in synergy with the development of the EU’s renewable energy potential and not impact the overall energy resilience;

    7.  Recommends that lakes and other freshwater-dependent habitats be included in the strategy, alongside rivers, transitional waters and groundwater, as essential components of the EU’s water resilience efforts;

    8.  Stresses the urgent need to improve crisis-warning systems with regard to heavy water incidents, as well as to improve preventive measures;

    9.  Calls on the Commission to present a European climate adaptation plan, including concrete legislative proposals and actions, particularly regarding infrastructure resilience, water management and nature-based solutions, while prioritising the protection of vulnerable communities, to make the EU more resilient and to lead by example;

    10.  Reiterates that access to clean and safe drinking water and sanitation is a human right; emphasises that this right must be unequivocally ensured, with everyone having access to affordable and good quality water services, including the inhabitants of islands and outermost regions;

    11.  Stresses that no one, whether in public places or private establishments, should be denied access to water supplied from a distribution network intended for human consumption, where available;

    12.  Notes that industrial activities and agricultural production require water to produce their end products or to support production activities, with the amount of water used varying depending on the type of activity; highlights the fact that ensuring Europe’s competitiveness and strategic autonomy requires a water-smart society where technology and data enhance a circular economy, fostering sustainable and water-efficient practices; calls on all relevant actors to accelerate the transition towards water-efficient, circular industry and agriculture by promoting and investing in innovative solutions, including digital tools and technologies, resource recovery, water reuse, renewable energy production, infrastructure, nature-based solutions and inclusive governance mechanisms;

    13.  Urges the Commission to integrate and mainstream the water dimension into internal and external EU policies through a cross-sectoral approach in order to ensure that water resilience, sustainability and security is woven into the fabric of European policies; calls on the Commission, in particular, to carry out a water-related assessment of any regulatory measure, including related to energy, as part of the socio-economic and environmental impact assessment; emphasises that assessing how each EU policy, and EU-funded projects and infrastructure, can impact water resources in terms of quantity, quality and accessibility would ensure that water resilience is a cornerstone of policy formulation and implementation, thus shifting the paradigm from treating water as an infinite resource to recognising its intrinsic value for humanity and for the EU’s ecological and socio-economic landscape and its competitiveness;

    Water efficiency

    14.  Stresses that efficient water use is essential for preserving the EU’s water resources and that water efficiency should be a key objective of the EU; calls, in this regard, for a consequential reduction in water demand, including by addressing excessive leakage levels, investing in research and innovative solutions, modernising industrial and production processes, upgrading water infrastructure, managing water resources and peak demands sustainably, prioritising uses and ensuring that higher water efficiency results in a reduction in overall freshwater consumption as well as in an increase in water availability in water-stressed areas at the local and regional levels; believes that areas affected by prolonged drought and desertification should be given priority;

    15.  Calls for a legislative framework setting sectoral water efficiency and water abstraction targets at basin level, based on up-to-date assessments of water availability and climate risks, including a water valuation approach that accounts for ecosystem services and long-term sustainability, and covering all water uses, including industry, energy, agriculture, public institutions and households; underlines the fact that these targets should be ambitious yet adaptable, taking into account the specific circumstances and progress already achieved by each Member State to ensure continued efforts towards efficiency gains across all regions; stresses the importance of efficient and uniform data collection practices across the Member States and all sectors, including through the use of innovative technologies, as well as real-time data collection points for more transparency on water consumption; emphasises the need to carry out an appropriate assessment of the environmental and socio-economic impacts of water use; stresses that the strategic importance of food production must not be compromised; emphasises that science, research and technology are important for water efficiency and water use as well as for the circular economy in this regard; calls for the creation and promotion of new smart and high-performance irrigation systems, rainwater retention and water from reuse, as well as water-efficient irrigation systems;

    16.  Reiterates the need to develop a common EU methodology for setting water efficiency and water abstraction targets to ensure the sustainable use of available renewable water resources within an integrated water resources management framework which gives due consideration to linkages beyond the water sector through the water-energy-food-ecosystems nexus, thus enabling decision-makers and economic actors to plan the necessary investment to ensure water supply security in an increasingly sustainable manner, while giving due consideration to the characteristics of the water bodies concerned;

    17.  Calls for close collaboration on integrated energy and water resource planning and related technologies across all sectors at national, regional and local levels, including between all stakeholders, in order to establish mechanisms for ensuring coherence across water and energy policies;

    18.  Calls on the Commission to put forward a comprehensive policy on sustainable water management for industry based on reducing, recovering, reusing and recycling, including a focus on the use of water-efficient and circular technologies, water recycling, pollutant reduction strategies and the promotion of closed-loop systems;

    19.  Recalls that the growing threat of water scarcity is jeopardising industries and projects that are key to Europe’s competitiveness drive, including semiconductors, data centres, renewable hydrogen and electric vehicle battery production; notes that these industries will increasingly face pressure to reduce their environmental impact and improve water resource efficiency, including both direct and indirect water usage; calls on the Member States to support water-intensive industries in setting up water-efficiency plans aimed at saving, reusing and recycling water, preventing water pollution and implementing water-efficient technologies; calls on the Commission to incorporate comprehensive water management strategies into relevant EU industrial policies and sector-specific transition pathways, with a particular focus on strategic water-intensive sectors;

    20.  Stresses that knowledge, data, research and technology are key for efficient water use; calls for adequate financial and technical support to be given to the Member States to implement efficient water management measures, including by means of innovative and modern technologies;

    21.  Welcomes the recommendations of the final report of the Strategic Dialogue on the future of EU agriculture underlining that sustainable farming practices and new business models need to be scaled up to promote more efficient use of natural resources, especially water;

    22.  Calls for the transition to a more sustainable and competitive farming model, assisted by the implementation of sustainable practices and innovative solutions that promote biodiversity, reduce chemical inputs and enable water resources to be managed efficiently, including nature-based solutions, regenerative management, smart precision irrigation technologies, digital monitoring systems, advanced treatment methods and smart water distribution networks, optimising consumption and preventing water resource depletion, and that help ensure continued productivity while enabling agriculture to reduce pollution, use pesticides and fertilisers efficiently, improve the hydrological cycle, enhance groundwater recharge and adapt to lower water use; considers that technological solutions can also include measures that can increase water absorption, infiltration and retention in agricultural systems, which are important amid increasing occurrences of both drought and heavy rains;

    23.  Points out that innovative irrigation solutions and practices can enhance water efficiency in agriculture, gaining an economic advantage while also reducing environmental burdens; notes that farmers generally lack sufficient means and incentives to know about water use by crops, actual irrigation applications, the yield responses of crops to different water management practices, and thus current on-farm water-efficiency levels; calls on the Commission and the Member States to incentivise the uptake and support the maintenance of innovative irrigation solutions such as drip irrigation to allow for an active management of water levels and efficient use of water resources, as well as to promote continuous knowledge exchange, so that all relevant stakeholders can share greater responsibility across the entire water supply chain;

    24.  Recalls that the use of nutrients such as nitrate and phosphate is essential for food production, as this activity would not be possible without their use; recommends better consideration of the nutrient cycle in agricultural production and the exploitation of the value in urban wastewater; calls for more research into the effective use of nutrients and the development of nutrient recovery technologies, in order to decrease the Union’s dependence on imported raw materials; recognises the high potential for nutrient recovery from water and calls on the Member States to support the agricultural sector to optimise their nutrient consumption including by using resources (nitrate and phosphorus) recovered from wastewater treatment plants; calls on the Commission to propose an integrated nutrient management action plan to effectively address loss of valuable agricultural inputs, recycling of nutrients, nutrient pollution and inefficiencies in the nutrient cycle; calls for the proper and safe recovery of phosphorus from organic sources and for incentivising investments in its recovery and circular nutrient management in accordance with the Commission’s JRC publication(63);

    25.  Stresses that the current Nitrates Directive is due for revision, as outdated provisions promote the use of artificial fertilisers rather than organic manure; calls for an urgent review of the Nitrates Directive before the end of this year, and its revision to promote circular nutrient management;

    26.  Emphasises, in line with the final report of the Strategic Dialogue on the future of EU agriculture, the need to support the transition to regionally adapted crop and seed varieties and the switch to different crops, with reduced water requirements and greater drought resistance, as well as the need to support the adoption of appropriate soil management practices; considers the need for stronger support for scientific research and technological development related to the breeding of new species, to enable the production and supply of foodstuffs to be diversified and their quality enhanced, while raising the level of protection for human health and the environment; notes the potential of plant varieties that are more resistant to water stress and pests and could play a role in reducing water use and could reduce the environmental footprint of crops;

    27.  Calls for financial and technical support for farmers and rural communities, particularly in water-stressed areas, to help them adopt sustainable land management practices that improve soil and water quality, contribute to biodiversity and mitigate climate change; emphasises the need for special attention to be given to regions that are particularly vulnerable to soil degradation and water scarcity;

    28.  Acknowledges the significant efforts made by farmers to enhance water quality and emphasises the need for an appropriate timeframe to allow the effects of these measures to be accurately assessed;

    29.  Points to the success of the agricultural European Innovation Partnership EIP‑AGRI and calls for the continuation of knowledge exchange, expertise and peer-to-peer learning via the EU’s Common Agricultural Policy (CAP) Network;

    30.  Notes the links between carbon sinking and water availability, and calls for coherence between the water resilience strategy and carbon farming schemes;

    31.  Reiterates that the Water Reuse Regulation aims at reducing the pressure on water bodies by setting out provisions on reusing water after appropriate treatment extends its life cycle, thereby preserving water resources; emphasises, however, that regulatory, financial and technological barriers, including the economic competitiveness of reclaimed wastewater, risk management planning and the sharing of responsibilities, contribute to the slow uptake of reuse of reclaimed water for agriculture; calls, therefore, on the Commission and the Member States to adopt supportive policies, at both the EU and the local level, that incentivise water reuse practices, taking into account the importance of adapting wastewater treatment and quality requirements to the intended water use; notes that treated wastewater also finds valuable applications in various industrial processes and urban contexts, contributing to reducing the pressure on freshwater resources and the conservation of drinking water; calls therefore on the Commission to assess a possible extension of the scope of the Water Reuse Regulation in order to establish, at EU level, minimum water quality standards for safe water reuse for industrial and urban purposes;

    32.  Calls on the Commission and the Member States to specify systems of regulatory and financial incentives for the reuse of treated wastewater in water-intensive sectors and to provide specific funding for the construction of infrastructure connecting wastewater treatment plants and refined water distribution networks; urges a streamlined approach in EU legislation to remove administrative barriers and promote safe and efficient water recycling across the Member States; calls on the Member States to set up national water reuse and saving plans to incentivise cross-sectoral cooperation in water management;

    33.  Reiterates that reused water could alleviate abstraction from rivers, lakes and groundwater for irrigated agriculture; underlines the fact that reused water can contribute to maintaining base flows and minimum water levels during dry periods;

    34.  Highlights the potential of the building sector to save water, for example, with the help of smart sub-metering systems, efficient greywater systems, reuse of domestic wastewater or rainwater harvesting; stresses that the energy performance of buildings can be enhanced by water efficiency, reducing greenhouse gas emissions; calls on the Member States and local authorities to incentivise water-saving features in new buildings; stresses, in this regard, that water-efficient practices should be factored into urban planning; highlights the fact that harvesting rain water as well as using and reusing water efficiently can improve climate adaptation in cities;

    35.  Calls for the transition, in industry and in the energy and digital sectors, to optimised cooling efficiency and alternative cooling methods that are less water-dependent, in order to ensure significant water savings in these sectors;

    36.  Points out that, while households represent 10 % of the overall water consumption in the EU, action on improving domestic water efficiency is also necessary; notes that water-saving technological solutions are readily available and can reduce water consumption in households without compromising comfort or requiring high investment; calls on the Member States to support consumers in transitioning towards such technologies and to strengthen consumer awareness of water consumption and potential efficiency gains by anchoring domestic water efficiency in water, building and consumer policies across the EU;

    37.  Notes that the leakage rates from pipes are high in some Member States, which increases the total share of domestic water consumption; welcomes the provisions of the new Drinking Water Directive on leakage rates and the ongoing work of the Commission to evaluate those rates and set threshold values that will trigger action in the Member States concerned; calls on the Member States to urgently tackle leakage in water supply networks and to fully implement the monitoring and reporting requirements of the Drinking Water Directive, so that the Commission can set a threshold value for leakage by January 2028; emphasises the need for sustainable urban irrigation networks to be modernised, to curb leakages and reduce their water footprint; calls on the Member States to regularly inform the public about the efficiency and effectiveness of their water supplies;

    38.  Points out that public sector organisations provide significant untapped potential for saving water by virtue of their size or their nature as public organisations; believes that the public sector should act as a role model for other sectors;

    39.  Calls on the Commission and the Member States to promote easily accessible and free information, training, advisory programmes and information campaigns aimed at raising public awareness of sustainable water resource management;

    40.  Recommends that water-efficiency aspects, such as reductions in water loss and reuse of water, be integrated in the upcoming revision of the public procurement framework;

    Water pollution

    41.  Underlines the fact that the existing EU water policy framework is designed to address the effective management of water resources and the protection and restoration of freshwater and marine ecosystems, but that its poor implementation and enforcement, insufficient funding and lack of proper cost-benefit analyses of the implementation measures undermine its effectiveness;

    42.  Calls on the Commission and the Member States to implement and enforce the current legislation, in particular the WFD and its ‘daughter’ directives (the Groundwater Directive and the Environmental Quality Standards Directive), with a particular focus on strengthening the monitoring and reporting mechanisms to ensure that all Member States consistently implement the required water protection measures; recalls the need for sufficient funding to implement these acts;

    43.  Stresses that the chemical pollution of surface water and groundwater poses a threat to the aquatic environment, with effects such as acute and chronic toxicity in aquatic organisms, accumulation of pollutants in the ecosystem and loss of habitats and biodiversity, as well as to human health;

    44.  Calls for the establishment of comprehensive EU-wide quality standards for PFAS in groundwater and surface water; stresses that respective updates of the relevant directives are essential for safeguarding water quality and achieving good chemical status for water bodies as mandated under the WFD;

    45.  Insists that essential uses of PFAS in critical sectors, such as medical devices, pharmaceuticals and products necessary for the twin transition to a climate neutral and digital economy, are not endangered in the context of upcoming legislative and non-legislative proposals; calls on the Commission to propose to phase out forever chemicals (PFAS) – starting with consumer goods – linked to harmful effects on human health and the environment, based on scientific evidence, allowing their use where there are no safe alternatives; underlines the need to scale up investments and accelerate the research and development of equivalent and safe alternatives;

    46.  Calls on the Commission to propose updated limits on PFAS in drinking water, taking into account the latest scientific knowledge;

    47.  Emphasises the urgency of addressing, primarily at the source, and effectively monitoring pollution from pharmaceuticals, bisphenols, antimicrobial resistance genes, persistent organic pollutants and other existing and emerging pollutants, to align with the EU’s zero pollution ambition and the goal of achieving good chemical status for all water bodies;

    48.  Calls on the Commission to close the gaps with enhanced funding and the enforcement of current laws, and the integration of circular economy principles to mitigate pollution at its source and safeguard water ecosystems for future generations; underscores the fact that antibiotic-resistant bacteria and certain emerging pollutants remain insufficiently addressed, necessitating further innovation and investment; emphasises the need for all sectors to apply sustainable production processes and circular practices, proactively preventing pollutants from entering water systems;

    49.  Recalls that microplastics may enter drinking water sources in a number of ways: from surface run-off (for example, after a rain event) to wastewater effluent (both treated and untreated), combined sewer overflows, industrial effluent, degraded plastic waste and atmospheric deposition; calls on the Commission to put forward, in line with the requirements of the Drinking Water Directive, a full risk assessment of microplastics in drinking water, while continuously working on reliable and robust sampling and analytical methods in order to appropriately address the potential threat of this emerging pollutant to sources of water intended for human consumption;

    50.  Emphasises the need to improve the monitoring and regulation of plastic pollution in freshwater and marine environments, with particular attention to microplastics and single-use plastics; encourages the Commission to assess current enforcement mechanisms and consider further measures to protect water quality;

    51.  Calls on the stakeholders to develop safe water contact materials, to substitute BPA and other bisphenols and ensure compliance with Regulation (EU) 1935/2004 on materials and articles intended to come into contact with food(64) and the recently adopted provisions as regards the use of BPA and other bisphenols and bisphenol derivatives (Commission Regulation (EU) 2024/3190);

    52.  Recalls that the revised Urban Wastewater Treatment Directive, in effect since 1 January 2025, imposes new obligations regarding water purification, requiring pharmaceutical and cosmetic producers to cover at least 80 % of the costs of removing micropollutants from wastewater, with the aim of reducing harmful substances in the environment; notes the existence of differing figures and assessments regarding the impact this would have on the pharmaceutical sector and, consequently, on the availability and affordability of medicines, and therefore calls on the Commission to conduct a new and comprehensive assessment of the impact on this sector;

    53.  Calls for increased EU support for local authorities for the modernisation of wastewater treatment plants and the promotion of water reuse, to align with the EU’s zero pollution ambition, ensuring that municipal wastewater management contributes effectively to good chemical and ecological water status;

    54.  Calls for increased monitoring of pesticide residues in water bodies and enforcement of pesticide application regulations to mitigate their impact on water quality; stresses the need for increased funding to support farmers in the adoption of low-input and organic farming practices that reduce reliance on chemical pesticides and fertilisers, as well as to provide appropriate training and independent advisory services to farmers and other operators on the use, effectiveness and toxicity of pesticides, as well as best practice;

    55.  Insists on the integration of circular economy principles to reduce hazardous chemical use in industrial processes; stresses the need for additional funding to support industries in transitioning to clean technologies that minimise water pollution(65);

    56.  Recognises the role of treated sludge as a local and circular source of fertiliser, contributing to soil health, nutrient recycling and reduced dependency on synthetic fertilisers; emphasises the importance of preventing PFAS, heavy metals, microplastics and other harmful substances from entering sewer networks in order to enable the safe and sustainable use of high-quality sewage sludge in agriculture;

    57.  Calls on the Commission to include an overview of measures in an annex to the EWRS, with a timeline for achieving the objectives in question;

    Adaptation to climate change: floods, droughts, stress areas, disaster preparedness

    58.  Calls for the climate adaptation proofing of all new EU legislative and non-legislative acts in order to ensure the integration of climate adaptation into sectoral plans and policy measures affecting water and land use; highlights, in this regard, the need for increased climate ambition as part of the fight against climate change, while urging the Member States to ensure that all climate adaptation measures affecting water use contribute to long-term, improved water resilience; calls on the Commission to take fully into account the geographical and environmental conditions in the Member States, as well as the specific situation of islands, outermost regions and other areas of high vulnerability, such as areas affected by desertification, when adopting new legislative and non-legislative proposals; asks the Commission to present a roadmap for current and ongoing legislative and non-legislative policy measures, including targets and monitoring requirements affecting water and land use;

    59.  Emphasises the need for tailored climate adaptation measures for the Mediterranean region, which faces unique challenges such as prolonged droughts and saline intrusion into freshwater resources;

    60.  Stresses the specific challenges faced by island areas due to the scarcity of drinking water and calls for targeted measures to protect island water resources, including improving rainwater collection and storage infrastructure, and implementing alternative water sources, while enhancing water resource monitoring and management systems; calls, further, on the Member States to take better account of mountainous regions in national adaptation plans in order to meet the specific challenges of water management in mountainous areas;

    61.  Reiterates that climate change mitigation and adaptation solutions should not come at the cost of ecosystem degradation, and should avoid increasing the demand for water- and energy-intensive activities, and should instead prioritise energy- and water-efficient innovation and technologies as part of moving towards a more resource-efficient economy, without undermining its productivity, while ensuring equitable access to water for all; points out that, in order to be effective, climate change mitigation and adaptation solutions should be tailored to national circumstances, while enhancing competitiveness and productivity in the short and long term; points out the possibilities of synergies, in this regard, with innovative energy production such as photovoltaics and biogas, as it can also contribute to an increase in agricultural income;

    62.  Recognises the importance of reserving water for nature and the need to maintain healthy freshwater ecosystems, for the good functioning of the water cycle, for human activities and for mitigating the impacts of droughts and water scarcity; underlines, in the context of restoring freshwater ecosystems and the natural functions of rivers, the importance of removing ‘obsolete barriers’, namely artificial barriers that no longer fulfil their original purpose or are no longer needed, wherever such opportunities exist, on the basis of current knowledge and experience; calls for the establishment of specific programmes for the cleaning and conservation of river channels, ensuring minimum flow and reducing the accumulation of debris and sediment that can affect water storage and distribution capacity;

    63.  Insists that, with climate change impact becoming more persistent, flood and drought management must fully integrate the arising risks, including changing weather patterns, such as increased rain patterns leading to excess of water; is convinced that a combination of monitoring and data collection, preparedness, emergency and recovery responses taking into account the principle of ‘building back better’(66)on the one hand, and adapting societal and economic activities on the other, is essential to reduce vulnerability and increase resilience, especially in the light of the quantitative aspect of water becoming more prominent; stresses, in this regard, the need for climate-resilient nature-based solutions and infrastructure that take into account the impact of extreme climate events in their development to ensure their viability in the face of extreme climate events;

    64.  Recalls that in 2007, the WFD was supplemented by Directive 2007/60/EC on the assessment and management of flood risks, which aims to establish a framework to reduce the adverse consequences of flooding on human health, the environment, cultural heritage and economic activity; notes that making the two directives mutually compatible is achieved through risk management plans and river basin flood management plans as the components of an integrated water management system in which coordination is crucial; recalls that flood prevention is closely connected to urban green spaces, soil protection strategies and investment in drainage networks;

    65.  Stresses that preparedness for water scarcity and drought can be significantly improved in the EU, considering that no drought management plans are in place in several Member States(67); calls on the Member States and, where applicable, competent regional and local authorities, to develop drought management plans, particularly with a view to ensuring the provision of drinking water, ensuring food production and integrating digitalised monitoring, control and early warning systems in order to support effective and data-based decisions on protection, response and communication measures with clearly defined areas of responsibility; points out the need to introduce EU-level provisions as regards drought management plans, similar to the ones on flood management plans;

    66.  Insists, in view of the numerous climatic events, such as floods, droughts and cyclones, which have affected Europe, on the importance of the EU having a robust mechanism for responding to such crises, including systems for warning and providing assistance to the civilian population; points out that digital monitoring, adequate public display of relevant data and early warning systems are key to developing effective drought and flood management plans at the level of the Member States; emphasises, further, the importance of fully using the available EU tools, such as the flood forecasts of the European Flood Awareness System and the Global Flood Awareness System, and the Global Flood Monitoring tool, as part of the Copernicus Emergency Management Service;

    67.  Stresses the importance of the Union Civil Protection Mechanism (UCPM) in helping countries hit by water-related disasters such as flood and droughts; calls for increased funding to provide the UCPM with sufficient and upgraded resources in order to increase preparedness and improve capacity building;

    68.  Calls on the Commission and the Member States to enhance citizen preparedness in the event of water-related disasters or crisis; stresses the importance of information campaigns and demonstration exercises in education facilities, public administration and businesses in order to build a ‘preparedness culture’ for citizens;

    69.  Calls on the Member States to systematically renew and upgrade their water infrastructure, including drinking water and sanitation infrastructure, as well as infrastructure regulating river flows, and to invest in innovative solutions based on good practice, making water systems more resilient to climate change, ensuring stable drinking water supply, enabling the early detection of losses and reducing water leakages and waste, while optimising water transport and storage systems; highlights the fact that funding for innovative water infrastructure is insufficient compared to the investment needs across the EU; calls, in this regard, for dedicated funding, on national, regional or EU level, to ensure adequate financing for the development, maintenance and modernisation of water-resilient infrastructure, to foster innovative solutions and technologies and ensure long-term sustainability of that water infrastructure;

    70.  Regrets that, despite the threat that desertification poses to water quality and availability, soil fertility and food production, and despite the fact that 13 Member States have declared themselves to be affected by desertification in the context of the United Nations Convention to Combat Desertification, the Commission is not addressing desertification effectively and efficiently; urges the Commission, therefore, in line with the Council conclusions of 14 October 2024 on desertification, land degradation and drought, to present an integrated EU-wide action plan to combat desertification, land degradation and drought, aiming at building resilience to drought and achieving land degradation neutrality in the EU by 2030, based on a full impact assessment;

    71.  Insists that the agricultural sector be further supported in implementing new technologies to reduce the demand for water, while at the same time increasing access to water, including by supporting water retention and groundwater recharge; calls for research results, for example on seawater desalination, to be made accessible and to facilitate the deployment of innovative desalination solutions; calls on the Member States to create natural water reserves based on up-to-date assessments of climate risks to protect critical water supplies and their catchments, and taking into consideration the environmental and socio-economic impact of developing such reserves; points out that such natural water reserves would complement the WFD’s requirement for Member States to identify water bodies used for drinking water abstraction, making sure they meet the objectives set out in Article 4 WFD and in the Drinking Water Directive, and would ensure their necessary protection; notes that such natural water reserves already exist under different forms in various Member States; stresses that assistance should be given to Member States or local and regional governments to help them develop natural water reserves;

    72.  Notes the potential of retention infrastructure as an example of water generation systems created using the best available, cost-effective techniques that have the lowest environmental impact, including by means of wastewater reuse or rainwater collection, in order to reduce the risks of droughts and floods, increase water security and foster circularity, water reclamation and reuse; believes that water retention facilities may be useful tools provided that they are authorised by local or national authorities under clear conditions, including the capacity of local groundwater to sustain such activities and the need for farmers accessing the water resource to adapt their practices to more sustainable practices, in particular in terms of water needs and water quality; calls on the Commission to use its available tools, including financial support, to streamline this approach among the Member States;

    73.  Deplores the unlawful or intentional abstraction of water, which is likely to cause substantial damage to water bodies; calls for strong dissuasive measures to be applied, including through the criminal law, to protect the ecological status or the ecological potential of surface water bodies or of the quantitative status of groundwater bodies; notes that additional support for training and knowledge transfer for national enforcement capacities is needed;

    74.  Notes the important cross-cutting role of nature-based solutions in addressing the challenges of the triple planetary crisis and restoring the natural water cycle; calls on the Commission and the Member States to prioritise, taking into account the environmental and socio-economic impacts, the deployment of nature-based solutions for water resilience in their policy actions and recommendations, such as the re-wetting of wetlands and peatlands to increase ground water availability and surrounding soil moisture, the restoration and protection of floodplains, natural water retention measures, revegetation as a barrier against floods, and rainwater conservation, in order to strengthen water availability, mitigate climate change risks and support long-term resilience for communities, businesses and food production; underlines that, in addition to nature-based solutions, complementary investment in engineering solutions remains necessary to ensure successful climate adaptation and water resilience in the long term;

    Funding and pricing

    75.  Notes that nature-based solutions and natural water retention measures have the potential to restore groundwater levels and support ecological flows while reducing water-related risks from water scarcity, floods and droughts; notes that in flood management, nature-based solutions cannot usually replace existing solutions and may not be effective for the most extreme events; points out, however, that nature-based solutions can enhance the effectiveness and operable life of grey infrastructure by increasing water absorption capacity, reducing water velocity and regulating peak flows; reiterates, in this regard, that the effectiveness of nature-based solutions is context-specific and must be adapted to the local situation; emphasises in this regard that a ‘one solution that fits all’ does not exist;

    76.  Stresses the need to provide financial support for sustainable innovative methods and solutions, while having due regard to public-private partnerships;

    77.  Stresses, in the context of climate adaptation, the importance of healthy soils in ensuring water security and circularity; emphasises that the natural water retention of soils must be improved through measures to enhance soil health, minimising carbon losses, as well as actions at the level of the water body, such as the stabilisation of riverbanks, including through re-naturalisation, and the restoration of the retention capacities of aquifers;

    78.  Notes that thoroughly designed forest management measures can improve watershed health, regulate water flow and reduce drought and flood stress, given the essential role of trees and forests in water cycle regulation, through their ability to purify water, increase the availability of water resources and improve soil moisture retention; proposes that this be duly considered when the Commission, in cooperation with the Member States, develops Union disaster resilience goals and that it be considered in the development and refinement of disaster risk management and contingency planning; highlights the need, in this regard, for more research, data collection, innovation and funding to support land managers in preventing the impact of environmental stressors such as drought floods and diminishing watershed function;

    79.  Recognises that urban areas are increasingly vulnerable to water-related climate risks such as flooding, water shortages and heat stress; calls for the integration of urban water resilience planning into climate adaptation strategies, including investment in green roofs, permeable infrastructure, rainwater harvesting and storm water retention systems, as well as measures aimed at increasing green and blue spaces in urban areas, in order to mitigate extreme weather impacts and to reduce the risks to human life and property; calls further for the maintenance of, and regained access to, urban waterways in cities;

    80.  Emphasises that the EWRS should ensure adequate funding from public and private sources in order to support the modernisation, upgrading, adaptation and maintenance of resilient water infrastructure, sustainable water management, data collection, research, effective monitoring, digitalisation, upskilling, nature-based solutions, the development and the uptake of innovative water-efficient technologies, as well as to ensure environmental and socio-economic sustainability in line with the goals set by the new European Competitiveness Compass;

    81.  Calls on the Commission to create a separate and dedicated fund for water resilience within the upcoming MFF; believes that specific financial mechanisms should also be established within the European Regional Development Fund and the Cohesion Fund to support water-smart technologies and water investment; strongly believes that, in the interim, water should be prioritised in existing funding frameworks, including the Cohesion Fund; stresses that EU funding mechanisms must incorporate considerations of social equity and affordability, in particular in the context of providing water services to the population, ensuring support for Member States and citizens with greater financial constraints and specific realities, while meeting water management obligations; highlights the importance of adjusting existing funding, subsidies and financing streams related to water management and other related land uses, moving away from outdated engineering solutions to innovative ones, as well as nature-based solutions or a combination thereof;

    82.  Calls for targeted funding, via Horizon Europe and the EIP-AGRI, for field trials on the water relations of different cropping systems; calls for the recognition of the role of women in water policies and for specific funding to be identified to promote their access to agriculture;

    83.  Recalls that the lack of dedicated funding for water or binding funding targets within the current MFF limits the EU’s capacity to direct targeted investment towards essential water resilience measures, including infrastructure modernisation, innovation, climate adaptation measures and the implementation of nature-based solutions, and thus its competitive capacity, as the absence of a water balance creates an additional burden for the economy of the regions; notes that outermost and mountainous regions and islands in the EU are particularly struggling to access funding or public-private partnerships to support local and regional investment in water management and infrastructure;

    84.  Stresses the important role of the European Investment Bank (EIB) in water financing; highlights the fact that the EIB is actively investing in and supporting the water sector; stresses that the EU should collaborate with the EIB to share best practice and calls, further, on the EIB and other financial institutions to strengthen their role in the funding of innovative and resilient water infrastructure, improved sanitation and drinking water infrastructure, digitalisation, as well as to support projects aimed at flood risk reduction, erosion prevention and the revitalization of watercourses, by facilitating favourable conditions for water investment;

    85.  Urges the Commission to explore and promote innovative financing mechanisms, including payments for ecosystem services and green bonds, while ensuring regulatory clarity and safeguards to prevent market distortions; calls on the EIB and other financial institutions to prioritise low-interest loans and credits for Member States and regional and local authorities undertaking large-scale restoration projects, with specific provisions to support economically disadvantaged regions;

    86.  Highlights the importance of public-private partnerships as a source of funding for water investment; calls on the Commission to incentivise private investment in the water sector by creating a supportive regulatory framework that may include co-financing opportunities and public-private partnerships in order to drive innovation, improve infrastructure and ensure sustainable water management solutions across the Member States; underlines, nevertheless, that the involvement of private investment in the EU water sector must not undermine the status of water as a public good and a public service, and that the long-term resilience of the sector, as well as the principles of accessibility, affordability and sustainability must be ensured;

    87.  Calls on the Member States to adopt governance frameworks that clearly define the roles and responsibilities of stakeholders in planning, financing and implementing nature-based solutions; believes that these frameworks should integrate funding from diverse sources, including philanthropic contributions and private-sector partnerships, while ensuring equitable access to resources for small-scale projects, particularly managed at local or regional levels;

    88.  Urges the Commission and the Member States to address water aspects in their budgets and to improve governance within the regions in the use of EU funds;

    89.  Underlines the need to provide targeted financial and technical assistance to municipalities to facilitate compliance with water-related legislation;

    90.  Encourages the Member States to accelerate the granting of authorisations for sustainable and innovative resilient water infrastructure projects to enable their rapid implementation in the face of the urgent challenges;

    91.  Notes that the application of the cost recovery principle on water services, which provides that all water users effectively and proportionately participate financially in the recovery of the costs of water services, remains low to non-existent in several Member States; calls on the Member States and their regional authorities to implement adequate water pricing policies and apply the cost recovery principle for both environmental and resource costs in line with the WFD; calls on the Member States to take into account the long investment cycles when implementing the cost recovery principle and to ensure sufficient funding is available for needed (re)investment;

    92.  Stresses the importance of ensuring that water pricing supports long-term water security by reflecting the economic, environmental and resource costs of water use; encourages the Member States and competent regional and local authorities to ensure that water pricing is economically sustainable, socially fair and promotes efficient water use, and that it reflects the availability of water across different Member States and regions, particularly in water-stressed regions, while safeguarding affordability for households and small businesses; calls on the Member States and competent regional and local authorities to insure transparent water prices and to raise awareness of the value of water services;

    93.  Points out that competent national water authorities will play a central role in implementing new water management and conservation plans at the level of the Member States; calls, therefore, on the Members States to financially and technically increase the capacity of those competent authorities to play a more significant enabling and advisory role in sustainable and future-proof water management and storage infrastructure; believes that EU funds, such as the Just Transition Fund, should be used to further assist Member States and water agencies in implementation;

    Digitalisation, security and technological innovation

    94.  Stresses the potential and the necessity for digitalisation and AI in improving the management and monitoring of bodies of water and water infrastructure, as well as in reporting and ensuring the comparability of data reflecting different geographical flow conditions;

    95.  Calls on the Commission, the Member States and water providers to mainstream transparency and digitalisation as fundamental principles in water management and to enhance the use of management and metering data, with the aim of strengthening monitoring, assessment, accountability and decision-making, while optimising and simplifying reporting obligations; calls for digitally enabled water technologies to facilitate real-time, sample-based and distance monitoring and reporting on water quality, leakages, usage and resources; calls for improved efficiency in the use of public funds and public spending in this area; recognises that widespread deployment of innovative digital technologies needs to be accompanied by digital skills training;

    96.  Emphasises the need to promote digitalisation and data-centric solutions in building a water-smart society; stresses the need to develop digital solutions for monitoring water consumption and optimising the use of water resources across all sectors; calls on the Commission, in cooperation with the Member States, to provide financial support for the implementation of smart water management systems, focusing on the needs of small and medium-sized enterprises (SMEs);

    97.  Points out that water systems, including water treatment and distribution systems, are considered one of the nation’s critical infrastructures and security pillars, and hence key for the EU’s strategic autonomy, and require increased protection and the ability of utilities to detect, respond to, and recover from physical and cyberthreats and cyberattacks; notes that a higher level of digitalisation comes with new vulnerabilities; points out that, in the event of a threat or an attack, water system operators can lose their ability to control the flow and quality of the water or lose the ability to track the true status of the water system; insists that vulnerability assessments and an emergency response plan should be an integral part of the water management system in every Member State; encourages the promotion of information sharing about threats to cybersecurity and procedures to exchange best practice among operators, as well as to establish a cybersecurity culture through technical security measures, competence building and awareness creation and communication; draws attention to the measures and provisions in the NIS2 Directive and the Critical Entities Resilience Directive which could help mitigate the arising security risks; calls on the Commission to take the lead in reinforcing the EU-level coordination formats and to propose effective tools in the upcoming Preparedness Union Strategy with the aim of ensuring timely preparedness to tackle environmental and non-environmental risks to the water bodies that are threatening the EU’s overall security;

    98.  Calls on the Commission and the Member States to increase the involvement of women in decisions regarding water resilience; calls for the adoption of a methodological approach that effectively considers gender-related needs in the implementation of water supply projects, by implementing monitoring, reporting and tracking that use tools and indicators disaggregated by gender;

    99.  Notes that better data and data analysis are key to evidence-based decision-making and the swift identification of small changes in water quality that could present a threat to bodies of water, together with the evaluation of best practice and identification of the most cost-effective and impactful measures;

    100.  Stresses that improved, reliable and interoperable data on water supply, demand, distribution, accessibility and use are needed and that data points need to be established; urges the Commission and the Member States to enhance data collection and improve data interoperability across all levels to support the implementation of current water legislation, as well as to facilitate circular economy and water-smart industrial symbiosis strategies; highlights the fact that data and AI could be used in modelling water and energy consumption as well as reuse and recycling capacities;

    101.  Calls on the Commission to better recognise the fundamental role of the water sector in bolstering EU competiveness by fostering research and innovation and promoting entrepreneurship and talent; emphasises, in this regard, the importance of ramping up innovation in the water sector; points out that the European Innovation Centre for Industrial Transformation and Emissions, created as part of Directive 2010/75/EU, could play a role in this regard, as it evaluates the environmental performance of industrial technologies and gathers information on innovative industrial environmental techniques; points, further, to existing partnerships like the Water4All Partnership, a funding programme for scientific research;

    102.  Believes that there is a need to build and nurture multi-stakeholder platforms to promote innovation uptake at all levels, local and national; recommends that these platforms involve a wide range of participants – the public and private sectors, and civil society associations – to build a coalition of partners to bring about change; supports the promotion of knowledge sharing on how digital water technologies can support the implementation of existing EU water legislation, as well as capacity building at local, regional and national levels; calls on the Commission and the Members States to expand digital skills, and research and development (R&D) programmes targeting water, including through collaboration with universities, research centres and SMEs;

    103.  Acknowledges the critical role of data centres in the digital economy; notes with concern that the rapid expansion of the technology could lead to a substantial increase in AI’s demand for water resources associated with their operations, which could undermine the environmental benefits that AI promises to deliver, such as resource optimisation and carbon emission reductions, and stresses the need to integrate water efficiency measures in their design and operation; urges the Commission to address the use of water resources by information and communications technologies (ICT) and, in particular, by AI and data centres in its EWRS, in particular by encouraging data centres to reuse treated water and to promote the design of more efficient chips and components to reduce the need for cooling; recommends that the Member States prioritise water resilience strategies that address the specific challenges posed by data centres to ensure the sustainability of both the digital and the environmental agendas;

    104.  Recalls that seawater desalination is the process of removing salt from sea or brackish water to make it useable for a range of ‘fit for use’ purposes, including drinking, and that it is thus an important technological solution for people’s livelihoods; notes that, at the same time, desalination is an energy-intensive process and should ideally be done using renewable energy, whenever possible, in order to minimise environmental impacts; reiterates that desalination produces a by-product, brine (a concentrated salt solution), that must be properly disposed of to avoid adverse impacts on the marine environment; considers, therefore, that desalination based on reverse osmosis or thermal technologies should be applied, if other more environmentally sustainable options are not available or cannot be implemented, particularly in remote areas and islands; highlights, in this regard, the ongoing work on new technological solutions, such as microbial desalination cells, offering an environmentally sustainable and innovative alternative to traditional desalination methods, particularly to provide clean water and wastewater treatment to small, isolated locations without electricity;

    105.  Stresses the need for increased funding and R&D into technologies such as innovative desalination techniques in order to increase the efficiency, sustainability and the scaling up of such technologies; calls for research into the possibilities of using such technologies in agriculture to diversify the water supply points and therefore decrease the vulnerability of the sector to water stress;

    106.  Notes that in the last decade, there have been many scientific breakthroughs for making water treatment smarter and more circular, with these solutions offering opportunities for using digital solutions, AI and remote sensing to use water more efficiently and by reusing treated wastewater for irrigation and recovering energy and nutrients from wastewater;

    107.  Calls on the Commission and the Member States to address the regulatory obstacles within the single market to facilitate the development, scaling-up, and placing on the market of innovative biotechnology and biomanufacturing solutions and the promotion of cleaner manufacturing and circularity;

    108.  Calls for the funding, development and authorisation of innovative solutions for crop protection and fertilisation, including biological control agents and active substances with lower impact on the environment, which are needed for a just transition to more sustainable agricultural systems;

    109.  Calls for specific programmes to be established for the cleaning and conservation of river channels, ensuring adequate flow and reducing the accumulation of debris and sediment that can affect water storage and distribution capacity;

    Cross-border and international cooperation

    110.  Stresses the need for a comprehensive EWRS that fosters cross-border cooperation, more uniform data collection and reporting, sharing best practice between local, regional and national actors, ensuring sustainable water management and equitable resource distribution among the Member States, preventing water challenges such as scarcity and flood risk from being passed on to other Member States;

    111.  Emphasises that climate change represents a major threat to water resources and aquatic ecosystems; notes that floods and water scarcity compromise food and water security and the health of the general population, ultimately affecting social cohesion and stability; recognises that water resilience is crucial for preventing and addressing current and future health, food, energy and security crises; emphasises that water resilience promotes transboundary water cooperation, serving as a catalyst for peace and security, as countries are interconnected through shared rivers and groundwater resources;

    112.  Calls for increased cross-border cooperation between the Member States in the management of shared river basins and groundwater aquifers and in the effective collection and sharing of data on water quality, pollution levels and water levels; recommends the establishment of regional cooperation centres to coordinate the implementation of joint water resilience strategies, taking into account the climate, social and economic challenges of each territory;

    113.  Calls for enhanced international cooperation, including at the level of river basins, to address the growing water crisis, ensure clean and high-quality water, promote sustainable water management and implement various innovative water technologies, including nature-based solutions; calls for the anchoring of cooperation across borders at operational, tactical and strategic levels;

    114.  Calls for the establishment of cross-border projects under Interreg and other EU funds to improve regional cooperation in the management of water resources, with a particular focus on ensuring the fair distribution of water between sectors and Member States;

    115.  Stresses the need to strengthen EU monitoring capacities through digitalisation and modern technologies, including satellite surveillance and real-time pollution tracking, which are essential for preventing and combating cross-border pollution;

    116.  Urges the Commission to implement a specific diplomatic role dedicated to resolving water-related conflicts, promoting water cooperation and protecting water sources and systems, particularly during armed conflicts and in transboundary contexts;

    117.  Urges the EU to lead international efforts to protect and restore water ecosystems in line with the SDG 6 on clean water and sanitation;

    o
    o   o

    118.  Instructs its President to forward this resolution to the Council and the Commission.

    (1) OJ L 243, 9.7.2021, p. 1, ELI: http://data.europa.eu/eli/reg/2021/1119/oj.
    (2) OJ L 327, 22.12.2000, p. 1, ELI: http://data.europa.eu/eli/dir/2000/60/oj.
    (3) OJ L 372, 27.12.2006, p. 19, ELI: http://data.europa.eu/eli/dir/2006/118/oj.
    (4) OJ L 348, 24.12.2008, p. 84, ELI: http://data.europa.eu/eli/dir/2008/105/oj.
    (5) OJ L 288, 6.11.2007, p. 27, ELI: http://data.europa.eu/eli/dir/2007/60/oj.
    (6) OJ L 435, 23.12.2020, p. 1, ELI: http://data.europa.eu/eli/dir/2020/2184/oj.
    (7) OJ L 177, 5.6.2020, p. 32, ELI: http://data.europa.eu/eli/reg/2020/741/oj.
    (8) OJ L 164, 25.6.2008, p. 19, ELI: http://data.europa.eu/eli/dir/2008/56/oj.
    (9) OJ L, 2024/3019, 12.12.2024, ELI: http://data.europa.eu/eli/dir/2024/3019/oj.
    (10) OJ L, 2024/1785, 15.7.2024, ELI: http://data.europa.eu/eli/dir/2024/1785/oj.
    (11) OJ L 375, 31.12.1991, p. 1, ELI: http://data.europa.eu/eli/dir/1991/676/oj.
    (12) OJ L, 2024/1991, 29.7.2024, ELI: http://data.europa.eu/eli/reg/2024/1991/oj.
    (13) OJ L 333, 27.12.2022, p. 164, ELI: http://data.europa.eu/eli/dir/2022/2557/oj.
    (14) OJ L 333, 27.12.2022, p. 80, ELI: http://data.europa.eu/eli/dir/2022/2555/oj.
    (15) OJ L 309, 24.11.2009, p. 71, ELI: http://data.europa.eu/eli/dir/2009/128/oj.
    (16) OJ L 435, 6.12.2021, p. 1, ELI: http://data.europa.eu/eli/reg/2021/2115/oj.
    (17) OJ L, 2024/3190, 31.12.2024, ELI: http://data.europa.eu/eli/reg/2024/3190/oj.
    (18) OJ C 132, 14.4.2023, p. 54.
    (19) OJ C, C/2024/7216, 10.12.2024, ELI: http://data.europa.eu/eli/C/2024/7216/oj.
    (20) OJ C 132, 14.4.2023, p. 106.
    (21) OJ C 232, 16.6.2021, p. 28.
    (22) OJ C, C/2025/808, 11.2.2025, ELI: http://data.europa.eu/eli/C/2025/808/oj.
    (23) OJ C 445, 29.10.2021, p. 126.
    (24) OJ C 316, 22.9.2017, p. 99.
    (25) Texts adopted, P9_TA(2024)0358.
    (26) World Meteorological Organization, 2021 State of Climate Services – Water, WMO-No 1278, WMO, Geneva, 2021.
    (27) European Environment Agency, Water resources across Europe – confronting water scarcity and drought, EEA Report 2/2009.
    (28) EEA Report 07/2024.
    (29) WWF, High Cost of Cheap Water, WWF, Gland, 2021.
    (30) EEA Report 07/2024.
    (31) European Commission, Attitudes of Europeans towards the environment, Special Eurobarometer 550, May 2024.
    (32) European Commission: Directorate-General for Environment, et al., Implementation of water balances in the EU – Final report, Publications Office of the European Union, 2024.
    (33) Disclosure Insight Action (CDP) and Planet Tracker, High and Dry. How Water Issues Are Stranding Assets, 2022.
    (34) EEA Report 07/2024.
    (35) European Environment Agency, ‘Water abstraction by economic sector in the 27 EU Member States, 2000-2022’, European Environment Agency website, 5 December 2024, https://www.eea.europa.eu/en/analysis/indicators/water-abstraction-by-source-and/water-abstraction-by-economic?activeTab=8a280073-bf94-4717-b3e2-1374b57ca99d.
    (36) Eurostat, ‘Archive: Water use in industry’, Eurostat website, https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Archive:Water_use_in_industry&oldid=196132#Further_Eurostat_information.
    (37) EEA Report 07/2024.
    (38) Food and Agriculture Organization of the United Nations, Water accounting and auditing, A sourcebook, FAO Water Reports 43, FAO, Rome, 2016.
    (39) European Investment Bank, Wastewater as a resource, EIB, 2022.
    (40) European Commission: Directorate-General for Environment, ‘Water reuse: New EU rules to improve access to safe irrigation’, European Commission website, 26 June 2023, https://environment.ec.europa.eu/news/water-reuse-new-eu-rules-improve-access-safe-irrigation-2023-06-26_en.
    (41) European Commission: Directorate-General for Environment, ‘Zero pollution: Improved quality and access to drinking water’, European Commission website, 12 January 2023, https://environment.ec.europa.eu/news/improved-quality-and-access-drinking-water-all-europeans-2023-01-12_en.
    (42) EEA Report 07/2024.
    (43) Ibid.
    (44) Ibid.
    (45) Ibid.
    (46) Ibid.
    (47) Ibid.
    (48) European Environment Agency, ‘Industrial pollutant releases to water in Europe’, European Environment Agency website, 30 May 2024, https://www.eea.europa.eu/en/analysis/indicators/industrial-pollutant-releases-to-water.
    (49) Directive 2010/75/EU of the European Parliament and of the Council of 24 November 2010 on industrial emissions (integrated pollution prevention and control) (OJ L 334, 17.12.2010, p. 17, ELI: http://data.europa.eu/eli/dir/2010/75/oj).
    (50) European Commission ‘Nitrates’, European Commission website, https://environment.ec.europa.eu/topics/water/nitrates_en#implementation.
    (51) European Environment Agency, ‘Public exposure to widely used Bisphenol A exceeds acceptable health safety levels’, European Environment Agency website, 14 September 2023, https://www.eea.europa.eu/en/newsroom/news/public-exposure-to-bisphenol-a.
    (52) European Environment Agency, European Climate Risk Assessment, EEA Report 01/2024.
    (53) Cammalleri, C. et al., Global warming and drought impacts in the EU, JRC Technical Report , Publications Office of the European Union, Luxembourg.
    (54) EEA Report 07/2024.
    (55) Feyen, L. et al., Climate change impacts and adaptation in Europe, JRC PESETA IV final report, Publications Office of the European Union, Luxembourg.
    (56) European Environment AgencyEuropean Climate Risk Assessment, EEA Report 01/2024.
    (57) United Nations Office for Disaster Risk Reduction, GAR Special Report on Drought 2021, Geneva, UNDRR, 2021.
    (58) Council conclusions of 14 October 2024 on Desertification, Land Degradation and Drought.
    (59) EEA Report 07/2024.
    (60) Directive (EU) 2024/1203 of the European Parliament and of the Council of 11 April 2024 on the protection of the environment through criminal law and replacing Directives 2008/99/EC and 2009/123/EC (OJ L, 2024/1203, 30.4.2024, ELI: http://data.europa.eu/eli/dir/2024/1203/oj).
    (61) European Patent Office, Innovation in water-related technologies, EPO, Munich 2024.
    (62) EEA Report 07/2024.
    (63) European Commission JRC Science for Policy Report, ‘Technical proposals for the safe use of processed manure above the threshold established for Nitrate Vulnerable Zones by the Nitrates Directive (91/676/EEC)’, 2020.
    (64) Regulation (EC) No 1935/2004 of the European Parliament and of the Council of 27 October 2004 on materials and articles intended to come into contact with food and repealing Directives 80/590/EEC and 89/109/EEC (OJ L 338, 13.11.2004, p. 4, ELI: http://data.europa.eu/eli/reg/2004/1935/oj).
    (65) European Environment Agency,‘Industrial pollutant releases to water in Europe, European Environment Agency website, 30 May 2024, https://www.eea.europa.eu/en/analysis/indicators/industrial-pollutant-releases-to-water.
    (66) United Nations Office for Disaster Risk Reduction, Build Back Better in recovery, rehabilitation and reconstruction, UNISDR, Geneva, 2019.
    (67) European Commission: Directorate-General for Environment et al. Stock-taking analysis and outlook of drought policies, planning and management in EU Member States – Final Report, Publications Office of the European Union, 2023.

    MIL OSI Europe News

  • MIL-OSI Europe: Text adopted – A revamped long-term budget for the Union in a changing world – P10_TA(2025)0090 – Wednesday, 7 May 2025 – Strasbourg

    Source: European Parliament

    The European Parliament,

    –  having regard to Articles 311, 312, 323 and 324 of the Treaty on the Functioning of the European Union (TFEU),

    –  having regard to Council Regulation (EU, Euratom) 2020/2093 of 17 December 2020 laying down the multiannual financial framework for the years 2021 to 2027(1) and to the joint declarations agreed between Parliament, the Council and the Commission in this context and the related unilateral declarations,

    –  having regard to Council Decision (EU, Euratom) 2020/2053 of 14 December 2020 on the system of own resources of the European Union and repealing Decision 2014/335/EU, Euratom(2),

    –  having regard to the amended Commission proposal of 23 June 2023 for a Council decision amending Decision (EU, Euratom) 2020/2053 on the system of own resources of the European Union (COM(2023)0331),

    –  having regard to the Interinstitutional Agreement of 16 December 2020 between the European Parliament, the Council of the European Union and the European Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management, as well as on new own resources, including a roadmap towards the introduction of new own resources(3) (the IIA),

    –  having regard to Regulation (EU, Euratom) 2024/2509 of the European Parliament and of the Council of 23 September 2024 on the financial rules applicable to the general budget of the Union (recast)(4) (the Financial Regulation),

    –  having regard to Regulation (EU, Euratom) 2020/2092 of the European Parliament and of the Council of 16 December 2020 on a general regime of conditionality for the protection of the Union budget(5) (the Rule of Law Conditionality Regulation),

    –  having regard to its position of 27 February 2024 on the draft Council regulation amending Regulation (EU, Euratom) 2020/2093 laying down the multiannual financial framework for the years 2021 to 2027(6),

    –  having regard to its resolution of 10 May 2023 on own resources: a new start for EU finances, a new start for Europe(7),

    –  having regard to its resolution of 15 December 2022 on upscaling the 2021-2027 multiannual financial framework: a resilient EU budget fit for new challenges(8),

    –  having regard to its position of 16 December 2020 on the draft Council regulation laying down the multiannual financial framework for the years 2021 to 2027(9),

    –  having regard to the Interinstitutional Proclamation on the European Pillar of Social Rights of 13 December 2017(10) and to the Commission Action Plan of 4 March 2021 on the implementation of the European Pillar of Social Rights (COM(2021)0102),

    –  having regard to the Agreement adopted at the 15th Conference of the Parties to the Convention on Biological Diversity (COP 15) in Montreal on 19 December 2022 (Kunming-Montreal Global Biodiversity Framework),

    –  having regard to the Agreement adopted at the 21st Conference of the Parties to the UNFCCC (COP 21) in Paris on 12 December 2015 (the Paris Agreement),

    –  having regard to the United Nations Sustainable Development Goals,

    –  having regard to the report of 30 October 2024 by Sauli Niinistö entitled ‘Safer together – strengthening Europe’s civilian and military preparedness and readiness’ (the Niinistö report),

    –  having regard to the report of 9 September 2024 by Mario Draghi entitled ‘The future of European competitiveness’ (the Draghi report),

    –  having regard to the report of 4 September 2024 of the Strategic Dialogue on the Future of EU Agriculture entitled ‘A shared prospect for farming and food in Europe’,

    –  having regard to the report of 17 April 2024 by Enrico Letta entitled ‘Much more than a market – speed, security, solidarity: empowering the Single Market to deliver a sustainable future and prosperity for all EU Citizens’ (the Letta report),

    –  having regard to the report of 20 February 2024 of the High-Level Group on the Future of Cohesion Policy entitled ‘Forging a sustainable future together – cohesion for a competitive and inclusive Europe’,

    –  having regard to the Budapest Declaration on the New European Competitiveness Deal,

    –  having regard to the joint communication of 26 March 2025 entitled ‘European Preparedness Union Strategy’ (JOIN(2025)0130),

    –  having regard to the joint white paper of 19 March 2025 entitled ‘European Defence Readiness 2030’ (JOIN(2025)0120),

    –  having regard to the Commission communication of 7 March 2025 entitled ‘A Roadmap for Women’s Rights’ (COM(2025)0097),

    –  having regard to the Commission communication of 26 February 2025 entitled ‘The Clean Industrial Deal: a joint roadmap for competitiveness and decarbonisation’ (COM(2025)0085),

    –  having regard to the Commission communication of 19 February 2025 entitled ‘A Vision for Agriculture and Food’ (COM(2025)0075),

    –  having regard to the Commission communication of 11 February 2025 entitled ‘The road to the next multiannual financial framework’ (COM(2025)0046),

    –  having regard to the Commission communication of 29 January 2025 entitled ‘A Competitiveness Compass for the EU’ (COM(2025)0030),

    –  having regard to the Commission communication of 9 December 2021 entitled ‘Building an economy that works for people: an action plan for the social economy’ (COM(2021)0778),

    –  having regard to the European Council conclusions of 20 March 2025, 6 March 2025 and 19 December 2024,

    –  having regard to the political guidelines of 18 July 2024 for the next European Commission 2024-2029,

    –  having regard to the opinion of the Committee of the Regions of 20 November 2024 entitled ‘EU budget and place-based policies: proposals for new design and delivery mechanisms in the MFF post-2027’(11),

    –  having regard to Rule 55 of its Rules of Procedure,

    –  having regard to the opinions of the Committee on Foreign Affairs, the Committee on Development, the Committee on Budgetary Control, the Committee on Economic and Monetary Affairs, the Committee on Employment and Social Affairs, the Committee on the Environment, Climate and Food Safety, the Committee on Industry, Research and Energy, the Committee on Internal Market and Consumer Protection, the Committee on Transport and Tourism, the Committee on Regional Development, the Committee on Agriculture and Rural Development, the Committee on Culture and Education, the Committee on Civil Liberties, Justice and Home Affairs, the Committee on Constitutional Affairs, and the Committee on Women’s Rights and Gender Equality,

    –  having regard to the report of the Committee on Budgets (A10-0076/2025),

    A.  whereas, under Article 311 TFEU, the Union is required to provide itself with the means necessary to attain its objectives and carry through its policies;

    B.  whereas the Union budget is primarily an investment tool that can achieve economies of scale unattainable at Member State level and support European public goods, in particular through cross-border projects; whereas all spending through the Union budget must provide European added value and deliver discernible net benefits compared to spending at national or sub-national level, leading to real and lasting results;

    C.  whereas spending through the Union budget, if effectively targeted, aligned with the Union’s political priorities and better coordinated with spending at national level, helps to avoid fragmentation in the single market, promote upwards convergence, decrease inequalities and boost the overall impact of public investment; whereas public investment is essential as a catalyst for private investment in sectors where the market alone cannot drive the required investment;

    D.  whereas the NextGenerationEU recovery instrument (NGEU) established in the wake of the COVID-19 pandemic enabled significant additional investment capacity of EUR 750 billion in 2018 prices – beyond the Union budget, which amounts to 1,1 % of the EU-27’s gross national income (GNI) – prompting a swift recovery and return to growth and supporting the green and digital transitions; whereas NGEU will not be in place post-2027;

    E.  whereas in 2022 Member States spent an average of 1,4 % of gross domestic product (GDP) on State aid – significantly more than their contribution to the Union budget – with over half of the State aid unrelated to crises;

    F.  whereas the Union budget, bolstered by NGEU and loans through the SURE scheme, has been instrumental in alleviating the economic and social impact of the COVID-19 crisis and in responding to the effects of Russia’s war of aggression against Ukraine; whereas the Union budget remains ill-equipped, in terms of size, structure and rules, to fully play its role in adjusting to evolving spending needs, addressing shocks and responding to crises and giving practical effect to the principle of solidarity, and to enable the Union to fulfil its objectives as established under the Treaties;

    G.  whereas people rightly expect more from the Union and its budget, including the capacity to respond quickly and effectively to evolving needs and to provide them with the necessary support, especially in times of crisis;

    H.  whereas, since the adoption of the current multiannual financial framework (MFF), the political, economic and social context has changed beyond recognition, compounding underlying structural challenges for the Union and leading to a substantial revision of the MFF in 2024;

    I.  whereas the context in which the Commission will prepare its proposals for the post-2027 MFF is every bit as challenging, with the established global and geopolitical order changing quickly and radically, the return of large-scale warfare in the Union’s immediate neighbourhood, a highly challenging economic and social backdrop and the worsening climate and biodiversity crisis; whereas, as the Commission has made clear, the status quo is not an option and the Union budget will need to change accordingly;

    J.  whereas the US administration has decided to retreat from the country’s post-war global role in guaranteeing peace and security, in leading on global governance in the rules-based, multilateral international order and in providing essential development and humanitarian aid to those most in need around the world; whereas the Union will therefore have to step up to fill part of the void the US appears set to leave, placing additional demands on the budget;

    K.  whereas the Union has committed to take all the steps needed to achieve climate neutrality by 2050 at the latest and to protect nature and reverse biodiversity loss; whereas delivering on the policy framework put in place to achieve this objective will require substantial investment; whereas the Union budget will have to play a key role in providing and incentivising that investment;

    L.  whereas, in order to compensate for the budget’s shortcomings, there have been numerous workaround solutions that make the budget more opaque, leaving the public in the dark about the real volume of Union spending, undermining the longer-term predictability of investment the budget is designed to provide and undercutting not only the principle of budget unity, but also Parliament’s role as a legislator and budgetary and discharge authority and in holding the executive to account;

    M.  whereas the Union is founded on the values of respect for human dignity, freedom, democracy, equality, the rule of law and respect for human rights, including the rights of persons belonging to minorities; whereas breaches of those values undermine the cohesion of the Union, erode the rights of Union citizens and weaken mutual trust among Member States;

    1.  Insists that, in a fast changing world where people rightly expect more from the Union and its budget and where the Union is confronted with a growing number of crises, the next MFF must be endowed with increased resources compared to the 2021-2027 period, moving away from the historically restrictive, self-imposed level of 1 % of GNI;

    2.  Underscores that the next MFF must focus on financing European public goods with discernible added value compared to national spending; highlights the need for enhanced synergies and better coordination between Union and national spending; emphasises that spending will have to address major challenges, such as the return of large-scale warfare in the Union’s immediate neighbourhood, a highly challenging economic and social backdrop, a competitiveness gap and the worsening climate and biodiversity crisis;

    3.  Considers that the ‘one national plan per Member State’ approach as envisaged by the Commission, with the Recovery and Resilience Facility model as a blueprint, cannot be the basis for shared management spending post-2027; underlines that the design of shared management spending under the next MFF must fully safeguard Parliament’s roles as legislator and budgetary and discharge authority and be designed and implemented through close collaboration with regional and local authorities and all relevant stakeholders;

    4.  Calls for the next MFF to continue support for economic, social and territorial cohesion in order to help bind the Union together, deepen the single market, promote convergence and reduce inequality, poverty and social exclusion;

    5.  Considers that the idea of an umbrella Competitiveness Fund merging existing programmes as envisaged by the Commission is not fit for purpose; stresses that the fund should instead be a new instrument taking advantage of a toolbox of funding based on lessons learned from InvestEU and the Innovation Fund and complementing existing, highly successful programmes;

    6.  Stresses that, in particular in the light of the US’s retreat from its role as a global guarantor of peace and security, there is a clear need to progress towards a genuine Defence Union, with the next MFF supporting a comprehensive security approach through an increase in investment; stresses that defence spending cannot come at the expense of nor lead to a reduction in long-term investment in the economic, social and territorial cohesion of the Union;

    7.  Calls for genuine simplification for final beneficiaries by avoiding programmes with overlapping objectives, diverging eligibility criteria and different rules governing horizontal provisions; underlines that simplification cannot mean more leeway for the Commission without the necessary checks and balances and must therefore be achieved with full respect for the institutional balance provided for in the Treaties;

    8.  Insists on enhanced in-built crisis response capacity in the next MFF and sufficient margins under each heading; stresses that, alongside predictability for investment, spending programmes should retain a substantial in-built flexibility reserve, with allocation to specific policy objectives to be decided by the budgetary authority; underlines that flexibility for humanitarian aid should be ring-fenced; considers that the post-2027 MFF should include two special instruments – one dedicated to ensuring solidarity in the event of natural disasters and one for general-purpose crisis response;

    9.  Underlines that compliance with Union values and fundamental rights is an essential pre-requisite to access EU funds; insists that the Union budget be protected against misuse, fraud and breaches of the principle of the rule of law and calls for a stronger link between the rule of law and the Union budget post-2027;

    10.  Underlines that the repayment of NGEU borrowing must not endanger the financing of EU policies and priorities; stresses, therefore, that all costs related to borrowing backed by the Union budget or the budgetary headroom be treated distinctly from appropriations for EU programmes within the future MFF architecture;

    11.  Calls on the Council to adopt new own resources as a matter of urgency in order to enable sustainable repayment of NGEU borrowing; stresses that new genuine own resources, beyond the IIA, are essential for the Union’s higher spending needs; considers that all instruments and tools should be explored in order to provide the Union with the necessary resources, and considers, in this respect, that joint borrowing presents a viable option to ensure that the Union has sufficient resources to respond to acute Union-wide crises, such as the ongoing crisis in the area of security and defence;

    12.  Stands ready to work constructively with the Council and Commission to deliver a long-term budget that addresses the Union’s needs; highlights that the post-2027 MFF is being constructed in a far from ‘business as usual’ context and takes seriously its institutional role as enshrined in the Treaties; insists that it will only approve a long-term budget that is fit for purpose for the Union in a changing world and calls for swift adoption of the MFF to enable timely implementation of spending programmes from 1 January 2028;

    A long-term budget with a renewed spending focus

    13.  Considers that, in view of the structural challenges facing the Union, the post-2027 MFF should adjust its spending focus to ensure that the Union can meet its strategic policy aims as detailed below;

    Competitiveness, strategic autonomy, social, economic and territorial cohesion and resilience

    14.  Is convinced that boosting competitiveness, decarbonising the economy and enhancing the Union’s innovation capacity are central priorities for the post-2027 MFF and are vital to ensure long-term, sustainable and inclusive growth and a thriving, more resilient economy and society;

    15.  Considers that the Union must develop a competitiveness framework in line with its own values and political aims and that competitiveness must foster not only economic growth, but also social, economic and territorial cohesion and environmental sustainability as underlined in both the Draghi and Letta reports;

    16.  Underlines that, as spelt out in the Letta and Draghi reports, the European economy and social model are under intense strain, with the productivity, competitiveness and skills gap having knock-on effects on the quality of jobs and on living standards for Europeans already grappling with high housing, energy and food prices; is concerned that a lack of job opportunities and high costs of living increase the risk of a brain drain away from Europe;

    17.  Points out that Draghi puts the annual investment gap with respect to innovation and infrastructure at EUR 750-800 billion per year between 2025 and 2030; underlines that the Union budget must play a vital role but it cannot cover that shortfall alone, and that the bulk of the effort will have to come from the private sector – points to the need to exploit synergies between public and private investment, in particular by simplifying and harmonising the EU investment architecture;

    18.  Stresses that the Union budget must be carefully coordinated with national spending, so as to ensure complementarity, and must be designed such that it can de-risk, mobilise and leverage private investment effectively, enabling start-ups and SMEs to access funds more readily; calls, therefore, for programmes such as InvestEU, which ensures additionality and follows a market-based, demand-driven approach, to be significantly reinforced in the next MFF; considers that financial instruments and budgetary guarantees are an effective use of resources to achieve critical Union policy goals and calls for them to be further simplified;

    19.  Insists that more must be done to maximise the potential of the role of the European Investment Bank (EIB) Group – together with other international and national financial institutions – in lending and de-risking in strategic policy areas, such as climate and, latterly, security and defence projects; calls for an increased risk appetite and ambition from the EIB Group to crowd in investment, based on a strong capital position, and for a reinforced investment partnership to ensure that every euro spent at Union level is used in the most effective manner;

    20.  Emphasises that funding for research and innovation, including support for basic research, should be significantly increased, should be focused on the Union’s strategic priorities, should continue to be determined by the principle of excellence and should remain merit-based; considers that there should be sufficient resources across the MFF and at national level to fund all high-quality projects throughout the innovation cycle and to achieve the 3 % GDP target for research and development spending by 2030;

    21.  Stresses that the next MFF, building on the current Connecting Europe Facility, should include much greater, directly managed funding for energy, transport and digital infrastructure, with priority given to cross-border connections and national links with European added value; considers that such infrastructure is an absolute precondition for a successful deepening of the single market and for increasing the Union’s resilience in a changing geopolitical order;

    22.  Points out that a secure and robust space sector is critical for the Union’s autonomy and sovereignty and therefore needs sustained investment;

    23.  Underlines that a more competitive, productive and socially inclusive economy helps to generate high-quality, well-paid jobs, thus enhancing people’s standard of living; emphasises that, through programmes such as the European Social Fund+ and Erasmus+, the Union budget can play an important role in supporting education and training systems, enhancing social inclusion, boosting workforce adaptability through reskilling and upskilling, and thus preparing people for employment in a modern economy;

    24.  Insists that the Union budget should continue to support important economic and job-creating sectors where the Union is already a world leader, such as tourism and the cultural and creative sectors; underscores the need for dedicated funding for tourism, including to implement the EU Strategy for Sustainable Tourism, in the Union budget post-2027; points to the importance of Creative Europe in contributing to Europe’s diversity and competitiveness and in supporting vibrant societies;

    25.  Stresses that, in order to compete with other major global players, the European economy must also become more competitive and resilient on the supply side by investing more in the Union’s open strategic autonomy through enhanced industrial policy and a focus on strategic sectors, resource-efficiency and critical technologies to reduce dependence on third countries;

    26.  Considers that, in light of the above, the idea of an umbrella Competitiveness Fund merging existing programmes as envisaged by the Commission is not fit for purpose; stresses that the fund should instead be a new instrument taking advantage of a toolbox of funding based on lessons learned from InvestEU and the Innovation Fund; recalls that, under Article 182 TFEU, the Union is required to adopt a framework programme for research;

    27.  Notes that, in the Commission communication on the competitiveness compass, the Commission argues that a new competitiveness coordination tool should be established in order to better align industrial and research policies and investment between EU and national level; notes that the proposed new tool is envisaged as part of a ‘new, lean steering mechanism’ designed ‘to reinforce the link between overall policy coordination and the EU budget’; insists that Parliament must play a full decision-making role in both mechanisms;

    28.  Emphasises that food security is a vital component of strategic autonomy and that the next MFF must continue to support the competitiveness and resilience of the Union’s farming and fisheries sectors, including small-scale and young farmers and fishers, and help the sectors to better protect the climate and biodiversity, as well as the seas and oceans; highlights that a modern and simplified common agricultural policy is crucial for increasing productivity through technical progress, ensuring a fair standard of living for farmers, guaranteeing food security and the production of safe, high-quality and affordable food for Europeans, fostering generational renewal and ensuring the viability of rural areas;

    29.  Points out that the farming sector is particularly vulnerable to inflationary shocks which affect farmers’ purchasing power; calls for an increased and dedicated budget for the CAP in the next MFF, safeguarding it from possible cuts, in order to maintain its integrity and commonality, as well as the coherence and interconnection between its first and second pillar, and therefore opposes the idea of integrating the CAP into a single fund for each Member State; calls for additional dedicated funding sources to be explored where appropriate, including outside of the CAP, in order to cope with natural disasters and provide incentives to farmers and foresters to contribute to climate change mitigation, biodiversity recovery and nature protection, without measures causing a regression in EU agricultural production;

    30.  Stresses that the new global challenges facing EU farmers, including the present geopolitical situation, climate change and rising input prices, require sound financial allocation in the next CAP; emphasises that, in order to address these challenges, taking into account the lessons learned from the COVID-19 crisis, and to avoid reductions to farmers’ support, the CAP urgently needs an increased budget in the next MFF that is indexed to inflation through annual re-evaluation; underlines, in that respect, that direct payments in the current form generate clear EU added value and should continue to strengthen income security, production and protection against price volatility, better targeting persons actively engaged in agricultural production and the provision of public goods, while respecting realistic and balanced EU environmental and social standards; calls for a fair and efficient distribution of CAP support within and among the Member States; calls for the continuation and reinforcement of measures that maintain production in vulnerable areas and guarantee the viability of rural communities and the adequacy of public infrastructure, specifically regarding digitalisation and particularly through the European Agricultural Fund for Rural Development, and the renewed involvement of local and regional authorities in the management of such measures; stresses the need to increase and reform the agricultural reserve in order to respond effectively and rapidly to future crises that the European agricultural sector will have to deal with, and to establish new tools for managing natural, market and sanitary risks, such as an EU reinsurance scheme to better mitigate the effects of future crises and provide greater stability for farmers; emphasises that specific solutions must be found for the farmers in eastern Europe who are most affected by the cascade effects of Russia’s war against Ukraine, such as high input prices, inflation and market disturbances; urges the Commission to continue to set up the necessary financial and legal framework for the food supply chain in order to strengthen the position of farmers and better combat unfair trading practices; calls on the Commission to support EU farmers by promoting agri-food products inside and outside the Union through a dynamic and stronger EU promotion policy; regrets the funding cuts made to the programme on the promotion of agricultural products during the review of the current MFF; emphasises that the next MFF must include dedicated funds for agri-tourism, female entrepreneurship, vocational training and technological innovation in agriculture;

    31.  Recalls that social, economic and territorial cohesion is a cornerstone of European integration and is vital in binding the Union together and deepening the single market; reaffirms, in that respect, the importance of the convergence process; underlines that a modernised cohesion policy must follow a decentralised, place-based, multilevel governance approach and be built around the shared management and partnership principle, fully involving local and regional authorities and relevant stakeholders, ensuring that resources are directed where they are most needed to reduce regional disparities;

    32.  Stresses that cohesion policy funding must tackle the key challenges the Union faces, such as demographic change and depopulation, and target the regions and people most in need; calls, furthermore, for enhanced access to EU funding for cities, regions and urban authorities; recalls that, under Article 349 TFEU, the Union is required to put in place specific measures for the outermost regions and stresses, therefore, the need for continued, targeted support for these regions in the next MFF, including via a reinforced programme of options specifically relating to remoteness and insularity (POSEI);

    33.  Recalls the importance of the social dimension of the European Union and of promoting the implementation of the European Pillar of Social Rights, its Action Plan and headline targets; emphasises that the Union budget should, therefore, play a pivotal role in reducing inequality, poverty and social exclusion, including by supporting children, families and vulnerable groups; recalls that around 20 million children in the Union are at risk of poverty and social exclusion; stresses that addressing child poverty across the Union requires appropriately funded, comprehensive and integrated measures, together with the efficient implementation of the European Child Guarantee at national level; emphasises that Parliament has consistently requested a dedicated budget within the ESF+ to support the Child Guarantee as a central pillar of the EU anti-poverty strategy;

    34.  Highlights, in this regard, the EU-wide housing crisis affecting millions of families and young people; stresses the need for enhanced support for housing through the Union budget, in particular via cohesion policy, and through other funding sources, such as the EIB Group and national promotional banks; acknowledges that, while Union financing cannot solve the housing crisis alone, it can play a crucial role in financing urgent measures and complementing broader Union and national efforts to improve housing affordability and enhance energy efficiency of the housing stock;

    35.  Points out that Russia’s war of aggression against Ukraine has had substantial economic and social consequences, in particular in Member States bordering Russia and Belarus; insists that the next MFF provide support to these regions;

    The green and digital transitions

    36.  Highlights that the green and digital transitions are inextricably linked to competitiveness, the modernisation of the economy and the resilience of society and act as catalysts for a future-oriented and resource-efficient economy; insists therefore, that the post-2027 MFF must continue to support and to further accelerate the twin transitions;

    37.  Recalls that the Union budget is an essential contributor to achieving climate neutrality by 2050, including through support for the 2030 and 2040 targets; underlines that the transition will require a decarbonisation of the economy, in particular through the deployment of clean technologies, improved energy and transport infrastructure and more energy-efficient housing; notes that the Commission estimates additional investment needs to achieve climate neutrality by 2050 at 1,5 % of GDP per year compared to the decade 2011-2020 and that, while the Union budget alone cannot cover the gap, it must remain a vital contributor; calls, therefore, for increased directly managed support for environment and biodiversity protection and climate action building on the current LIFE programme;

    38.  Underlines that industry will be central in the transition to net zero and the establishment of the Energy Union, and that support will be needed in helping some industrial sectors and their workers to adapt; stresses the importance of a just transition that must leave no one behind, requiring, inter alia, investment in regions that are heavily fossil-fuel dependent and increased support for vulnerable households, in particular through the Just Transition Mechanism and the Social Climate Fund;

    39.  Points to the profound technological shift under way, with technologies such as artificial intelligence and quantum both creating opportunities, in terms of the Union’s economic potential and global leadership and improvements to citizens’ lives, and posing reliability, ethical and sovereignty challenges; stresses that the next MFF must support research into, and the development and safe application of digital technologies and help people to hone the knowledge and skills they need to work with and use them;

    Security, defence and preparedness

    40.  Recalls that peace and security are the foundation for the Union’s prosperity, social model and competitiveness, and a vital pillar of the Union’s geopolitical standing; stresses that the next MFF must support a comprehensive security approach by investing significantly more in safeguarding the Union against the myriad threats it faces;

    41.  Underlines that, as the Niinistö report makes clear, multiple threats are combining to heighten instability and increase the Union’s vulnerability, chief among them the fragmenting global order, the security threat posed by Russia and Belarus, growing tensions globally, hostile international actors, the globalisation of criminal networks, hybrid campaigns – which include cyberattacks, foreign information manipulation, disinformation and interference and the instrumentalisation of migration – increasingly frequent and intense extreme weather events as a result of climate change, and health threats;

    42.  Points out that the Union has played a vital role in achieving lasting peace on its territory and must continue to do so by adjusting to the reality of war on its doorstep and the need to vastly boost defence infrastructure, capabilities and readiness, including through the Union budget, going far beyond the current allocation of less than 2 % of the MFF;

    43.  Notes that European defence capabilities suffer from decades of under-investment and that, according to the Commission, the defence spending gap currently stands at EUR 500 billion for the next decade; underlines that the Union budget alone cannot fill the gap, but has an important role to play, in conjunction with national budgets and with a focus on clear EU added value; considers that the Union budget and lending through the EIB Group can help incentivise investment in defence; stresses that defence spending must not come at the expense of social and environmental spending, nor must it lead to a reduction in funding for long-standing Union policies that have proved their worth over time;

    44.  Underlines the merits of the defence programmes and instruments put in place during the current MFF, which have enhanced joint research, production and procurement in the field of defence, providing a valuable foundation on which to build further Union policy and investment;

    45.  Emphasises that, given the geopolitical situation, there is a clear need to act and to progress towards a genuine Defence Union, in coordination with NATO and in full alignment with the neutrality commitments of individual Member States; concurs, in that regard, with the Commission’s analysis that the next MFF must provide a comprehensive and robust framework in support of EU defence;

    46.  Underscores the importance of a competitive and resilient European defence technological and industrial base; considers that enhanced joint EU-level investment in defence in the next MFF backed up by a clear and transparent governance structure can help to avoid duplication, generate economies of scale, and thus significant savings for Member States, reduce fragmentation and ensure the interoperability of equipment and systems; underscores the importance of technology in modern defence systems and therefore of investing in research, cyber-defence and cybersecurity and in dual-use products; points to the need to direct support towards the defence industry within the Union, thus strengthening strategic autonomy, creating quality high-skilled jobs, driving innovation and creating cross-border opportunities for EU businesses, including SMEs;

    47.  Points to the importance of increasing support in the budget for military mobility, which upgrades infrastructure for dual-use military and civilian purposes, enabling the large-scale movement of military equipment and personnel at short notice and thus contributing to the Union’s defence capabilities and collective security; highlights, in that regard, the importance of financing for the trans-European transport networks to enable their adaptation for dual-use purposes;

    48.  Emphasises that the Union needs to ramp up funding for preparedness across the board; is alarmed by the growing impact of natural disasters, which are often the result of climate change and are therefore likely to occur with greater frequency and intensity in the future; points out that, according to the 2024 European Climate Risk Assessment Report, cumulated economic losses from natural disasters could reach about 1,4 % of Union GDP;

    49.  Underlines, therefore, that, in addition to efforts to mitigate climate change through the green transition, significant investment is required to adapt to climate change, in particular to prevent and reduce the impact of natural disasters and severe weather events; considers that support for this purpose, such as through the current Union Civil Protection Mechanism, must be significantly increased in the next MFF and made available quickly to local and regional authorities, which are often on the frontline;

    50.  Emphasises that reconstruction and recovery measures after natural disasters must be based on the ‘build back better’ approach and prioritise nature-based solutions; stresses the importance of sustainable water management and security and hydric resilience as part of the Union’s overall preparedness strategy;

    51.  Recalls that the COVID-19 pandemic wreaked economic and social havoc globally and that a key lesson from the experience is that there is a need to prioritise investment in prevention of, preparedness for and response to health threats, in medical research and disease prevention, in access to critical medicines, in healthcare infrastructure, in physical and mental health and in the resilience and accessibility of public health systems in the Union; recalls that strategic autonomy in health is key to ensuring the Union’s preparedness in this area;

    52.  Considers that the next MFF must build on the work done in the current programming period by ensuring that the necessary investment is in place to build a genuine European Health Union that delivers for all citizens;

    53.  Underlines that, with technological developments, it has become easier for malicious and opportunistic foreign actors to spread disinformation, encourage online hate speech, interfere in elections and mount cyberattacks against the Union’s interests; insists that the next MFF must invest in enhanced cybersecurity capabilities and equip the Union to counter hybrid warfare in its various guises;

    54.  Stresses that a free, independent and pluralistic media is a fundamental component of Europe’s resilience, safeguarding not only the free flow of information but also a democratic mindset, critical thinking and informed decision-making; points to the importance of investment in independent and investigative journalism, fact-checking initiatives, digital and media literacy and critical thinking to safeguard against disinformation, foreign information manipulation and electoral interference as part of the European Democracy Shield initiative and therefore to guarantee democratic resilience; underscores the need for continued Union budget support for initiatives in these areas;

    55.  Underscores the importance of continued funding, in the next MFF, for effective protection of the EU’s external borders; underlines the need to counter transnational criminal networks and better protect victims of trafficking networks, and to strengthen resilience and response capabilities to address hybrid attacks and the instrumentalisation of migration, by third countries or hostile non-state actors; highlights, in particular, the need for support to frontline Member States for the purposes of securing the external borders of the EU;

    56.  Underlines that the EU’s resilience and preparedness are inextricably linked to those of its regional and global partners; emphasises that strengthening partners’ capacity to prevent, withstand and effectively respond to extreme weather events, health crises, hybrid campaigns, cyberattacks or armed conflict also lowers the risk of spill-over effects for Europe;

    External action and enlargement

    57.  Insists that, in a context of heightened global instability, the Union must continue to engage constructively with third countries and support peace, and conflict prevention, stability, prosperity, security, human rights, the rule of law, equality, democracy and sustainable development globally, in line with its global responsibility values and international commitments;

    58.  Regrets the fact that external action in the current MFF has been underfunded, leading to significant recourse to special instruments and substantial reinforcements in the mid-term revision; notes, in particular, that humanitarian aid funding has been woefully inadequate, prompting routine use of the Emergency Aid Reserve;

    59.  Underlines that the US’s retreat from its post-war global role in guaranteeing peace, security and democracy, in leading on global governance in the rules-based, multilateral international order and in providing essential development and humanitarian aid to those most in need around the world will leave an enormous gap and that the Union has a responsibility and overwhelming strategic interest in helping to fill that gap; calls on the Commission to address the consequences of the US’s retreat at the latest in its proposal for the post-2027 MFF;

    60.  Stresses that the next MFF must continue to tackle the most pressing global challenges, from fighting climate change, to providing relief in the event of natural disasters, preventing and addressing violent conflict and guaranteeing global security, ensuring global food security, improving healthcare and education systems, reducing poverty and inequality, promoting democracy, human rights, the rule of law and social justice and boosting competitiveness and the security of global supply chains, in full compliance with the principle of policy coherence for development; emphasises, in particular, the need for support for the Union’s Southern and Eastern Neighbourhoods;

    61.  Underlines that, in particular in light of the drastic cuts to the USAID budget, the budget must uphold the Union’s role as the world’s leading provider of development aid and climate finance in line with the Union’s global obligations and commitments; recalls, in that regard, that the Union and its Member States have collectively committed to allocating 0,7 % of their GNI to official development assistance and that poverty alleviation must remain its primary objective; insists that the budget must continue to support the Union in its efforts to defend the rules-based international order, democracy, multilateralism, human rights and fundamental values;

    62.  Insists that, given the unprecedented scale of humanitarian crises, mounting global challenges and uncertainty of US assistance under the current administration, humanitarian aid funding must be significantly enhanced and that its use must remain solely needs-based and respect the principles of neutrality, independence and impartiality; emphasises that the needs-based nature of humanitarian aid requires ring-fenced funding delivered through a stand-alone spending programme, distinct from other external action financing; underscores, furthermore, that effective humanitarian aid provision is contingent on predictability through a sufficient annual baseline allocation;

    63.  Emphasises that humanitarian aid, by its very nature, requires substantial flexibility and response capacity; considers, therefore, that, in addition to an adequate baseline figure, humanitarian aid will require significant ring-fenced flexibility in its design to enable an effective response to the growing crises;

    64.  Emphasises that, in a context in which global actors are increasingly using trade interdependence as a means of economic coercion, the Union must bolster its capacity to protect and advance its own strategic interests, develop more robust tools to counter coercion and ensure genuine reciprocity in its partnerships; stresses that such an approach requires the strategic allocation of external financing so as to support, for example, economic, security and energy partnerships that align with the Union’s values and strategic interests;

    65.  Considers that enlargement represents an opportunity to strengthen the Union as a geopolitical power and that the next MFF is pivotal for preparing the Union for enlargement and the candidate countries for accession; recalls that the stability, security and democratic resilience of the candidate countries are inextricably connected to those of the EU and require sustained strategic investment, linked to reforms, to support their convergence with Union standards; underlines the important role that citizens and civil society organisations play in the process of enlargement;

    66.  Points to the need for strategically targeted support for pre-accession and for growth and investment; is of the view that post-2027 pre-accession assistance should be provided in the form of both grants and loans; believes, in that context, that the future framework should allow for innovative financing mechanisms, as well as lending to candidate countries backed by the budgetary headroom (the difference between the own resources and the MFF ceilings);

    67.  Stresses that financial support must be conditional on the implementation of reforms aligned with the Union acquis and policies and adherence to Union values; emphasises, in this regard, the need for a strong governance model that ensures parliamentary accountability, oversight and control and a strong, effective anti-fraud architecture;

    68.  Reiterates its full support for Ukrainians in their fight for freedom and democracy and deplores the terrible suffering and impact resulting from Russia’s unprovoked and unjustifiable war of aggression; welcomes the decision to grant Ukraine and the neighbouring Republic of Moldova candidate country status and insists on the need to deploy the necessary funds to support their accession processes;

    69.  Underlines that pre-accession support to Ukraine has to be distinct from and additional to financial assistance for macroeconomic stability, reconstruction and post-war recovery, where needs are far more substantial and require a concerted international effort, of which support through the Union budget should be an important part;

    70.  Is convinced that the existing mandatory revision clause in the event of enlargement should be maintained in the next framework and that national envelopes should not be affected; underlines that the next MFF will also have to put in place appropriate transitional and phasing-in measures for key spending areas, such as cohesion and agriculture, based on a careful assessment of the impacts on different sectors;

    Fundamental rights, Union values and the rule of law

    71.  Emphasises the importance of the Union budget and programmes like Erasmus+ and Citizens, Equality, Rights and Values in promoting and protecting democracy and the Union’s values, fostering the Union’s common cultural heritage and European integration, enhancing citizen engagement, civic education and youth participation, safeguarding and promoting fundamental rights enshrined in the Charter of Fundamental Rights and the rule of law; calls, in this regard, for increased funding for Erasmus+ in the next MFF; points to the importance of the independence of the justice system, the sound functioning of national institutions, de-oligarchisation, robust support for and, in line with article 11(2) TEU, an active dialogue with civil society, which is vital for fostering an active civic space, ensuring accountability and transparency and informing policymakers about best practices from the ground;

    72.  Highlights, in that connection, that the recast of the Financial Regulation requires the Commission and the Member States, in the implementation of the budget, to ensure compliance with the Charter of Fundamental Rights and to respect the values on which the Union is founded, which are enshrined in Article 2 TEU; expects the Commission to ensure that the proposals for the next MFF, including for the spending programmes, are aligned with the Financial Regulation recast;

    73.  Stresses that instability in neighbouring regions and beyond, poverty, underlying trends in economic development, demographic changes and climate change, continue to generate migration flows towards the Union, placing significant pressure on asylum and migration systems; underlines that the post-2027 MFF must support the full and swift implementation of the Union’s Asylum and Migration Pact and effective return and readmission policies, in line with fundamental rights and EU values, including the principle of solidarity and fair sharing of responsibility; underlines, moreover, that, in line with the Pact, the EU must pursue enhanced cooperation and mutually beneficial partnerships with third countries on migration, with adequate parliamentary scrutiny, and that such cooperation must abide by EU and international law;

    74.  Underlines that compliance with Union values and fundamental rights is an essential pre-requisite to access EU funds; highlights the importance of strong links between respect for the rule of law and access to EU funds under the current MFF; believes that the protection of the Union’s financial interests depends on respect for the rule of law at national level; welcomes, in particular, the positive impact of the Rule of Law Conditionality Regulation in protecting the Union’s financial interests in cases of systemic and persistent breaches of the rule of law; calls on the Commission and the Council to apply the regulation strictly, consistently and without undue delay wherever necessary; emphasises that decisions to suspend or reduce Union funding over breaches of the rule of law must be based on objective criteria and not be guided by other considerations, nor be the outcome of negotiations;

    75.  Points to the need for a stronger link between the rule of law and the Union budget post-2027 and welcomes the Commission’s commitment to bolster links between the recommendations in the annual rule of law report and access to funds through the budget; calls on the Commission to outline, in the annual rule of law report from 2025 onwards, the extent to which identified weaknesses in rule of law regimes potentially pose a risk to the Union budget; welcomes, furthermore, the link between respect for Union values and the implementation of the budget and calls on the Commission to actively monitor Member States’ compliance with this principle in a unified manner and to take swift action in the event of non-compliance;

    76.  Calls for the consolidation of a robust rule of law toolbox, building on the current conditionality provisions under the Recovery and Resilience Facility (RRF), the horizontal enabling conditions in the Common Provisions Regulation and the relevant provisions of the Financial Regulation and insists that the toolbox should cover the entire Union budget; underlines the need for far greater transparency and consistency with regard to the application of tools to protect the rule of law and for Parliament’s role to be strengthened in the application and scrutiny of such measures; insists, furthermore, on the need for consistency across instruments when assessing breaches of the rule of law in Member States;

    77.  Recalls that the Rule of Law Conditionality Regulation provides that final recipients should not be deprived of the benefits of EU funds in the event of sanctions being applied to their government; believes that, to date, this provision has not been effective and stresses the importance of applying a smart conditionality approach so that beneficiaries are not penalised because of their government’s actions; calls on the Commission, in line with its stated intention in the political guidelines, to propose specific measures to ensure that local and regional authorities, civil society and other beneficiaries can continue to benefit from Union funding in cases of breaches of the rule of law by national governments without weakening the application of the regulation and maintaining the Member State’s obligation to pay under Union law;

    A long-term budget that mainstreams the Union’s policy objectives

    78.  Stresses that a long-term budget that is fully aligned with the Union’s strategic aims requires that key objectives be mainstreamed across the budget through a set of horizontal principles, building on the lessons from the current MFF and RRF;

    79.  Recalls that the implementation of horizontal principles should not lead to an excessive administrative burden on beneficiaries and be in line with the principle of proportionality; calls for innovative solutions and the use of automated reporting tools, including artificial intelligence, to achieve more efficient data collection;

    80.  Underlines, therefore, that the next MFF must ensure that, across the board, spending programmes pursue climate and biodiversity objectives, promote and protect rights and equal opportunities for all, including gender equality, support competitiveness and bolster the Union’s preparedness against threats;

    81.  Points out that effective mainstreaming is best achieved through a toolbox of measures, primarily through policy, project and regulatory design, thorough impact assessments and solid tracking of spending and, in specific cases, spending targets based on relevant and available data; welcomes the significant improvements in performance reporting in the current MFF, which allow for much better scrutiny of the impact of EU spending and calls for this to be further developed in the next programing period;

    82.  Welcomes the development of a methodology to track gender-based spending and considers that the lessons learnt, in particular as regards the collection of gender-disaggregated data, the monitoring of implementation and impact and administrative burden, should be applied in the next MFF in order to improve the methodology; calls on the Commission to explore the feasibility of gender budgeting in the next MFF; stresses, in the same vein, the need for a significant improvement in climate and biodiversity mainstreaming methodologies to move towards the measurement of impact;

    83.  Regrets that the Commission has not systematically conducted thorough impact assessments, including gender impact assessments, for all legislation involving spending through the budget and insists that this change;

    84.  Is pleased that the climate mainstreaming target of 30 % is projected to be exceeded in the current MFF; regrets, however, that the Union is not on track to meet the 10 % target for 2026 for biodiversity-related expenditure; insists that the targets in the IIA have nevertheless been a major factor in driving climate and biodiversity spending; calls on the Commission to adapt the spending targets contributing positively to climate and biodiversity in line with the Union policy ambitions in this regard, taking into account the investment needs for these policy ambitions;

    85.  Stresses, furthermore, that the Union budget should be implemented in line with Article 33(2) of the Financial Regulation, therefore without doing significant harm(12) to the specified objectives, respecting applicable working and employment conditions and taking into account the principle of gender equality;

    86.  Welcomes the Commission’s commitment to phase out all fossil fuel subsidies and environmentally harmful subsidies in the next MFF; expects the Commission to come forward with its planned roadmap in this regard as part of its proposal for the next MFF;

    A long-term budget with an effective administration at the service of Europeans

    87.  Underlines the need for Union policies to be underpinned by a well-functioning administration; insists that, post-2027, sufficient financial and staff resources be allocated from the outset so that Union institutions, bodies, decentralised agencies and the European Public Prosecutor’s Office can ensure effective and efficient policy design, high-quality delivery and enforcement, provide technical assistance, continue to attract the best people from all Member States, thus ensuring geographical balance, and have leeway to adjust to changing circumstances;

    88.  Regrets that the Union’s ability to implement policy effectively and protect its financial interests within the current MFF has been undermined by stretched administrative resources and a dogmatic application of a policy of stable staffing, despite increasing demands and responsibilities; points, for example, to the failure to provide sufficient staff to properly implement and enforce the Digital Services(13) and Digital Markets Acts(14), thus undercutting the legislation’s effectiveness and to the repeated redeployments from programmes to decentralised agencies to cover staffing needs; insists that staffing levels be determined by an objective needs assessment when legislation is proposed and definitively adopted, and factored into planning for administrative expenditure from the outset;

    89.  Emphasises that the Commission has sought, to some degree, to circumvent its own stable staffing policy by increasing staff attached to programmes and facilities and thus not covered by the administrative spending ceiling; underscores, however, that such an approach merely masks the problem and may ultimately undermine the operational capacity of programmes; insists, therefore, that additional responsibilities require administrative expenditure and must not erode programme envelopes;

    90.  Stresses that up-front investment in secure and interoperable IT infrastructure and data mining capabilities can also generate longer-term cost savings and hugely enhance policy delivery and tracking of spending;

    91.  Acknowledges that, in the absence of any correction mechanism in the current MFF, high inflation has significantly driven up statutory costs, requiring extensive use of special instruments to cover the shortfall; regrets that the Council elected not to take up the Commission’s proposal to raise the ceiling for administrative expenditure in the MFF revision, thus further eroding special instruments;

    A long-term budget that is simpler and more transparent

    92.  Stresses that the next MFF must be designed so as to simplify the lives of all beneficiaries by cutting unnecessary red tape; underlines that simplification will require harmonising rules and reporting requirements wherever possible, including, as relevant, ensuring consistency between the applicable rules at European, national and regional levels; underlines, in that respect, the need for a genuine, user-friendly single entry point for EU funding and a simplified application procedure designed in consultation with relevant stakeholders; points out, furthermore, that the next MFF must be implemented as close to people as possible;

    93.  Calls for genuine simplification where there are overlapping objectives, diverging eligibility criteria and different rules governing horizontal provisions that should be uniform across programmes; considers that an assessment of which spending programmes should be included in the next MFF must be based on the above aspects, on the need to focus spending on clearly identified policy objectives with clear European added value and on the policy intervention logic of each programme; stresses that reducing the number of programmes is not an end in itself;

    94.  Underlines that simplification cannot mean more leeway for the Commission without the necessary checks and balances and must therefore be achieved with full respect for the institutional balance provided for in the Treaties;

    95.  Insists that simplification cannot come at the expense of the quality of programme design and implementation and that, therefore, a simpler budget must also be a more transparent budget, enabling better accountability, scrutiny, control of spending and reducing the risks of double funding, misuse and fraud; underlines that any reduction in programmes must be offset by a far more detailed breakdown of the budget by budget line, in contrast to some programme mergers in the current MFF, such as the Neighbourhood, Development and International Cooperation Instrument – Global Europe (NDICI – Global Europe), which is an example not to follow; calls, therefore, for a sufficiently detailed breakdown by budget line to enable the budgetary authority to exercise proper accountability and ensure that decision-making in the annual budgetary procedure and in the course of budget implementation is meaningful;

    96.  Recalls that transparency is essential to retain citizens’ trust, and that fraud and misuse of funds are extremely detrimental to that trust; underlines, therefore, the need for Parliament to be able to control spending and assess whether discharge can be granted; insists that proper accountability requires robust auditing for all budgetary expenditure based on the application of a single audit trail; calls on the Commission to put in place harmonised and effective anti-fraud mechanisms across funding instruments for the post-2027 MFF that ensure the protection of the Union’s budget;

    97.  Reiterates its long-standing position that all EU-level spending should be brought within the purview of the budgetary authority, thereby ensuring transparency, democratic control and protection of the Union’s financial interests; calls, therefore, for the full budgetisation of (partially) off-budget instruments such as the Social Climate Fund, the Innovation Fund and the Modernisation Fund, or their successors;

    A long-term budget that is more flexible and more responsive to crises and shocks

    98.  Points out that, traditionally, the MFF has not been conceived with a crisis response or flexibility logic, but rather has been designed primarily to ensure medium-term investment predictability; underlines that, in a rapidly changing political, security, economic and social context, such an approach is no longer tenable; insists on sufficient in-built crisis response capacity in the next MFF;

    99.  Underscores that the current MFF has been beset by a lack of flexibility and an inability to adjust to evolving spending priorities; considers that the next MFF needs to strike a better balance between investment predictability and flexibility to adjust spending focus; highlights that spending in certain areas requires greater stability than in others where flexibility is more valuable; stresses that recurrent redeployments are not a viable way to finance the Union’s priorities as they damage investments and jeopardise the delivery of agreed policy objectives;

    100.  Believes that, while allocating a significant portion of funding to objectives up-front, spending programmes should retain a substantial in-built flexibility reserve, with allocation to specific policy objectives to be decided by the budgetary authority; notes that the NDICI – Global Europe’s emerging challenges and priorities cushion provides a model for such a flexibility reserve, but that the decision-making process for its mobilisation must not be replicated in the future MFF; points to the need for stronger, more effective scrutiny powers of the co-legislators over the setting of policy priorities and objectives and a detailed budgetary breakdown to ensure that the budgetary authority is equipped to make meaningful and informed decisions;

    101.  Underlines that the MFF must have sufficient margins under each heading to ensure that new instruments or spending objectives agreed over the programming period can be accommodated without eroding funding for other policy and long-term strategic objectives or eating into crisis response capacity;

    102.  Underlines that the possibility for budgetary transfers under the Financial Regulation already provides for flexibility to adjust to evolving spending needs in the course of budget implementation; stresses that, under the current rules, the Commission has significant freedom to transfer considerable amounts between policy areas without budgetary authority approval, which limits scrutiny and control; calls, therefore, for the rules to be changed so as to introduce a maximum amount, in addition to a maximum percentage per budget line, for transfers without approval; considers that for transfers from Union institutions other than the Commission that are subject to a possible duly justified objection by Parliament or the Council, a threshold below which they would be exempt from that procedure could be a useful measure of simplification;

    103.  Recalls that the current MFF has been placed under further strain due to high levels of inflation in a context where an annual 2 % deflator is applied to 2018 prices, reducing the budget’s real-terms value and squeezing its operational and administrative capacity; considers, therefore, that the future budget should be endowed with sufficient response capacity to enable the budget to adapt to inflationary shocks;

    104.  Calls for a root-and-branch reform of the existing special instruments to bolster crisis response capacity and ensure an effective and swift reaction through more rapid mobilisation; underlines that the current instruments are both inadequate in size and constrained by excessive rigidity, with several effectively ring-fenced according to crisis type; points out that enhanced crisis response capacity will ensure that cohesion policy funds are not called upon for that purpose and can therefore be used for their intended investment objectives;

    105.  Considers that the post-2027 MFF should include only two special instruments – one dedicated to ensuring solidarity in the event of natural disasters (the successor to the existing European Solidarity Reserve) and one for general-purpose crisis response and for responding to any unforeseen needs and emerging priorities, including where amounts in the special instrument for natural disasters are insufficient (the successor to the Flexibility Instrument); insists that both special instruments should be adequately funded from the outset and able to carry over unspent amounts indefinitely over the MFF period; believes that all other special instruments can either be wound up or subsumed into the two special instruments or into existing programmes;

    106.  Calls for the future Flexibility Instrument to be heavily front-loaded and subsequently to be fed through a number of additional sources of financing: unspent margins from previous years (as with the current Single Margin Instrument), the annual surplus from the previous year, a fines-based mechanism modelled on the existing Article 5 of the MFF Regulation, reflows from financial instruments and decommitted appropriations; underlines that the next MFF should be designed such that the future special instruments are not required to cover debt repayment;

    107.  Underlines that re-use of the surplus, of reflows from financial instruments and surplus provisioning and of decommitments would require amendments to the Financial Regulation;

    108.  Points out that, with sufficient up-front resources and such arrangements for re-using unused funds, the budget would have far greater response capacity without impinging on the predictability of national GNI-based contributions; insists that an MFF endowed with greater flexibility and response capacity is less likely to require a substantial mid-term revision;

    A long-term budget that is more results-focused

    109.  Emphasises that, in order to maximise impact, it is imperative that spending under the next MFF be much more rigorously aligned with the Union’s strategic policy aims and better coordinated with spending at national level; underlines that, in turn, consultation with regional and local authorities is vital to facilitate access to funding and ensure that Union support meets the real needs of final recipients and delivers tangible benefits for people; underscores the importance of technical assistance to implementing authorities to help ensure timely implementation, additionality of investments and therefore maximum impact;

    110.  Underlines that, in order to support effective coordination between Union and national spending, the Commission envisages a ‘new, lean steering mechanism’ designed ‘to reinforce the link between overall policy coordination and the EU budget’; insists that Parliament play a full decision-making role in any coordination or steering mechanism;

    111.  Considers that the RRF, with its focus on performance and links between reforms and investments and budgetary support, has helped to drive national investments and reforms that would not otherwise have taken place;

    112.  Underlines that the RRF can help to inform the delivery of Union spending under shared management; recalls, however, that the RRF was agreed in the very specific context of the COVID-19 pandemic and cannot, therefore, be replicated wholesale for future investment programmes;

    113.  Points out that spending under shared management in the next MFF must involve regional and local authorities and all relevant stakeholders from design to delivery through a place-based and multilevel governance approach and in line with an improved partnership principle, ensure the cross-border European dimension of investment projects, and focus on results and impact rather than outputs by setting measurable performance indicators, ensuring availability of relevant data and feeding into programme design and adjustment;

    114.  Underlines that the design of shared management spending under the next MFF must safeguard Parliament’s role as legislator, budgetary and discharge authority and in holding the executive to account, putting in place strict accountability mechanisms and guaranteeing full transparency in relation to final recipients or groups of recipients of Union spending funds through an interoperable system enabling effective tracking of cash flows and project progress;

    115.  Considers that the ‘one national plan per Member State’ approach envisaged by the Commission is not in line with the principles set out above and cannot be the basis for shared management spending post-2027; recalls that, in this regard, the Union is required, under Article 175 TFEU, to provide support through instruments for agricultural, regional and social spending;

    A long-term budget that manages liabilities sustainably

    116.  Recalls Parliament’s very firm opposition to subjecting the repayment of NGEU borrowing costs to a cap within an MFF heading given that these costs are subject to market conditions, influenced by external factors and thus inherently volatile, and that the repayment of borrowing costs is a non-discretionary legal obligation; stresses that introducing new own resources is also necessary to prevent future generations from bearing the burden of past debts;

    117.  Deplores the fact that, under the existing architecture and despite the joint declaration by the three institutions as part of the 2020 MFF agreement whereby expenditure to cover NGEU financing costs ‘shall aim at not reducing programmes and funds’, financing for key Union programmes and resources available for special instruments, even after the MFF revision, have de facto been competing with the repayment of NGEU borrowing costs in a context of steep inflation and rising interest rates; recalls that pressure on the budget driven by NGEU borrowing costs was a key factor in cuts to flagship programmes in the MFF revision;

    118.  Underlines that, to date, the Union budget has been required only to repay interest related to NGEU and that, from 2028 onwards, the budget will also have to repay the capital; underscores that, according to the Commission, the total costs for NGEU capital and interest repayments are projected to be around EUR 25-30 billion a year from 2028, equivalent to 15-20 % of payment appropriations in the 2025 budget;

    119.  Acknowledges that, while NGEU borrowing costs will be more stable in the next MFF period as bonds will already have been issued, the precise repayment profile will have an impact on the level of interest and thus on the degree of volatility; insists, therefore, that all costs related to borrowing backed by the Union budget or the budgetary headroom be treated distinctly from appropriations for EU programmes within the MFF architecture;

    120.  Points, in that regard, to the increasing demand for the Union budget to serve as a guarantee for the Union’s vital support through macro-financial assistance and the associated risks; underlines that, in the event of default or the withdrawal of national guarantees, the Union budget ultimately underwrites all macro-financial assistance loans and therefore bears significant and inherently unpredictable contingent liabilities, notably in relation to Ukraine;

    121.  Calls, therefore, on the Commission to design a sound and durable architecture that enables sustainable management of all non-discretionary costs and liabilities, fully preserving Union programmes and the budget’s flexibility and response capacity;

    A long-term budget that is properly resourced and sustainably financed

    122.  Underlines that, as described above, the budgetary needs post-2027 will be significantly higher than the amounts allocated to the 2021-2027 MFF and, in addition, will need to cover borrowing costs and debt repayment; insists, therefore, that the next MFF be endowed with significantly increased resources compared to the 2021-2027 period, moving away from the historically restrictive, self-imposed level of 1 % of GNI, which has prevented the Union from delivering on its ambitions and deprived it of the ability to respond to crises and adapt to emerging needs;

    123.  Considers that all instruments and tools should be explored in order to provide the Union with those resources, in line with its priorities and identified needs; considers, in this respect, that joint borrowing through the issuance of EU bonds presents a viable option to ensure that the Union has sufficient resources to respond to acute Union-wide crises such as the ongoing crisis in the area of security and defence;

    124.  Reiterates the need for sustainable and resilient revenue for the Union budget; points to the legally binding roadmap towards the introduction of new own resources in the IIA, in which Parliament, the Council and the Commission undertook to introduce sufficient new own resources to at least cover the repayment of NGEU debt; underlines that, overall, the basket of new own resources should be fair, linked to broader Union policy aims and agreed on time and with sufficient volume to meet the heightened budgetary needs;

    125.  Recalls its support for the amended Commission proposal on the system of own resources; is deeply concerned by the complete absence of progress on the system of own resources in the Council; calls on the Council to adopt this proposal as a matter of urgency; and urges the Commission to spare no effort in supporting the adoption process;

    126.  Calls furthermore, on the Commission to continue efforts to identify additional innovative and genuine new own resources and other revenue sources beyond those specified in the IIA; stresses that new own resources are essential not only to enable repayment of NGEU borrowing, but to ensure that the Union is equipped to cover its the higher spending needs;

    127.  Calls on the Commission to design a modernised budget with a renewed spending focus, driven by the need for fairness, greater simplification, a reduced administrative burden and more transparency, including on the revenue side; underlines that existing rebates and corrections automatically expire at the end of the current MFF;

    128.  Welcomes the decision, in the recast of the Financial Regulation, to treat as negative revenue any interest or other charge due to a third party relating to amounts of fines, other penalties or sanctions that are cancelled or reduced by the Court of Justice; recalls that this solution comes to an end on 31 December 2027; invites the Commission to propose a definitive solution for the next MFF that achieves the same objective of avoiding any impact on the expenditure side of the budget;

    A long-term budget grounded in close interinstitutional cooperation

    129.  Underlines that Parliament intends to fully exercise its prerogatives as legislator, budgetary authority and discharge authority under the Treaties;

    130.  Recalls that the requirement for close interinstitutional cooperation between the Commission, the Council and Parliament from the early design stages to the final adoption of the MFF is enshrined in the Treaties and further detailed in the IIA;

    131.  Emphasises Parliament’s commitment to play its role fully throughout the process; believes that the design of the MFF should be bottom-up and based on the extensive involvement of stakeholders; underlines, furthermore, the need for a strategic dialogue among the three institutions in the run-up to the MFF proposals;

    132.  Calls on the Commission to put forward practical arrangements for cooperation and genuine negotiations from the outset; points, in particular, to the importance of convening meetings of the three Presidents, as per Article 324 TFEU, wherever they can aid progress, and insists that the Commission follow up when Parliament requests such meetings; reminds the Commission of its obligation to provide information to Parliament on an equal footing with the Council as the two arms of the budgetary authority and as co-legislators on MFF-related basic acts;

    133.  Recalls that the IIA specifically provides for Parliament, the Council and the Commission to ‘seek to determine specific arrangements for cooperation and dialogue’; stresses that the cooperation provisions set out in the IIA, including regular meetings between Parliament and the Council, are a bare minimum and that much more is needed to give effect to the principle in Article 312(5) TFEU of taking ‘any measure necessary to facilitate the adoption of a new MFF’; calls, therefore, on the successive Council presidencies to respect not only the letter, but also the spirit of the Treaties;

    134.  Recalls that the late adoption of the MFF regulation and related legislation for the 2014-2020 and 2021-2027 periods led to significant delays, which hindered the proper implementation of EU programmes; insists, therefore, that every effort be made to ensure timely adoption of the upcoming MFF package;

    135.  Expects the Commission, as part of the package of MFF proposals, to put forward a new IIA in line with the realities of the new budget, including with respect to the management of contingent liabilities; stresses that the changes to the Financial Regulation necessary for alignment with the new MFF should enter into force at the same time as the MFF Regulation;

    o
    o   o

    136.  Instructs its President to forward this resolution to the Council and the Commission.

    (1) OJ L 433I, 22.12.2020, p. 11, ELI: http://data.europa.eu/eli/reg/2020/2093/oj.
    (2) OJ L 424, 15.12.2020, p. 1, ELI: http://data.europa.eu/eli/dec/2020/2053/oj.
    (3) OJ L 433I, 22.12.2020, p. 28, ELI: http://data.europa.eu/eli/agree_interinstit/2020/1222/oj.
    (4) OJ L 2024/2509, 26.9.2024, p. 1, ELI: http://data.europa.eu/eli/reg/2024/2509/oj.
    (5) OJ L 433I, 22.12.2020, p. 1, ELI: http://data.europa.eu/eli/reg/2020/2092/oj.
    (6) OJ C, C/2024/6751, 26.11.2024, ELI: http://data.europa.eu/eli/C/2024/6751/oj.
    (7) OJ C, C/2023/1067, 15.12.2023, ELI: http://data.europa.eu/eli/C/2023/1067/oj.
    (8) OJ C 177, 17.5.2023, p. 115.
    (9) OJ C 445, 29.10.2021, p. 240.
    (10) OJ C 428, 13.12.2017, p. 10.
    (11) OJ C, C/2025/279, 24.1.2025, ELI: http://data.europa.eu/eli/C/2025/279/oj.
    (12) Article 9 of Regulation (EU) 2020/852 of the European Parliament and of the Council of 18 June 2020 on the establishment of a framework to facilitate sustainable investment, and amending Regulation (EU) 2019/2088 (OJ L 198, 22.6.2020, p. 13, ELI: http://data.europa.eu/eli/reg/2020/852/oj).
    (13) Regulation (EU) 2022/2065 of the European Parliament and of the Council of 19 October 2022 on a Single Market For Digital Services and amending Directive 2000/31/EC (Digital Services Act) (OJ L 277, 27.10.2022, p. 1, ELI: http://data.europa.eu/eli/reg/2022/2065/oj).
    (14) Regulation (EU) 2022/1925 of the European Parliament and of the Council of 14 September 2022 on contestable and fair markets in the digital sector and amending Directives (EU) 2019/1937 and (EU) 2020/1828 (Digital Markets Act) (OJ L 265, 12.10.2022, p. 1, ELI: http://data.europa.eu/eli/reg/2022/1925/oj).

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