Green Budget
ashraf-ali

Press release


The Commission & Council must match Parliament's ambition

Budget 2021


The European Commission will present its draft budget for 2021 to the European Parliament's Committee on Budgets today (Wednesday 24 June) from 17:00 onwards. The draft provides for a total volume of €166.7bn (while the Parliament has called for €192.1bn) and will release a further €211bn in grants and €133bn in loans via the Next Generation EU programme. The 2021 budget year is the first year in the new Multiannual Financial Framework (MFF).

David Cormand MEP, Greens/EFA MEP shadow rapporteur on the file and Member of the Budgets Committee, comments:

"Only last week, the Parliament called for a total of 30% of the 2021 budget to be spent on climate change and 10% on biodiversity, but the EU Commission's proposal of 25% is very unambitious. It is unacceptable that on the one hand the Commission is promoting the Green Deal and on the other hand hasn't made any progress on climate spending targets since 2018. We expect the Council and the Commission to take on board Parliament's call.

 "In the 2021 budget, clear eligibility criteria for climate expenditure must be established in line with the principle of damage prevention and there must be an immediate phasing out of direct and indirect fossil fuel subsidies. A solid EU mechanism for democracy, the rule of law and fundamental rights must be established during the 2021 budget. The Council must agree on it."

Background

On Thursday 19 June 2020, the European Parliament adopted its report on the general guidelines for the preparation of the 2021 budget calling for a total volume of €192.1 billion in 2021. The budget guidelines for 2021 are of particular importance as it is the first year of the new MFF. With its position on this financial year, the European Parliament underlines its views on the MFF in an exemplary manner. In its report, the European Parliament calls for the total volume of the €192.1bn to be increased, as well as spending 30% on climate and 10% on biodiversity.

Of this amount, 30% should be spent on climate protection and 10% on biodiversity.