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UK wants access to frozen EU funds

2023-12-16 13:44:53Biznes SHKRUAR NGA REDAKSIA VOX

"We remember that the rule of law is very important. It is about our country in Europe. It's about our shared values," Tusk said in a press release alongside European Commission President Ursula von der Leyen. Under the previous right-wing Law and Justice (PiS) party government, Poland, one of the bloc's largest countries, was embroiled in a showdown with Brussels over legal issues such as judicial independence, election interference and LGBTQ+ rights.

The protracted standoff resulted in a record fine imposed by the European Court of Justice and a halt to Poland's recovery and recovery plan, which now combines 34.5 billion euros in low-interest loans and 25.3 billion euros in grants. Separately, the European Commission is holding over €76 billion in cohesion funds, which Warsaw needs to cover the costs of development projects across the country.

"For too long, concerns about the rule of law have hindered our capacity to help Poland modernize its economy and implement the twin transitions: green and digital," von der Leyen said. Donald Tusk, who comes from the same political family as von der Leyen, the centre-right European People's Party (EPP), has vowed to restore relations with Brussels and reach a quick solution to freeze billions of funds.

Before his appointment, the Commission had released 5.1 billion euros in "pre-financing" from the recovery and resilience plan to provide immediate liquidity for programs that could strengthen energy independence and reduce Russian fossil fuel imports. "This is no small gift," Tusk told von der Leyen. "We will do our best to spend this money in the right way."

While this "pre-funding" comes with no strings attached, the rest of the cash in the €60 billion plan depends on the completion of three "super moments", two of which involve the Supreme Court's disciplinary chamber. the PiS-led government had controversially empowered to punish judges. In a landmark ruling in June, the ECJ rejected the review in its entirety, calling it a violation of the right to an "independent and impartial" judiciary.

Tusk, who was sworn in on Wednesday, is determined to use his three-party coalition to pass new legislation that could undo the damaging effects of the disciplinary chamber and therefore ensure the release of the entire pot of money. frozen But analysts warn that his reform efforts could be blocked by President Andrzej Duda, who is aligned with PiS and has veto power.

Poland submitted a payment request on Friday for 6.3 billion euros in grants and loans under its recovery and resilience plan. This request, the first ever made by Warsaw, triggers an internal process within the Commission to analyze the progress made within the "super milestones". If the executive gives a positive assessment, it will be sent to the Council for final approval. Only then will the money begin to flow.

In her remarks on Friday, Von der Leyen was optimistic that this would soon happen. "I look forward in particular to working closely together to address the milestones in the independence of the judiciary so that we can then proceed with the first payment," she said. "We will have to work hard. But given the actions you have taken so far and plan to take, I hope that together we can resolve these issues."


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