The European Council approved the financial forecast 2007-2013 in December 2005. This approval does not only define the financial framework for this period, but also includes the decision to comprehensively review the EU budget in 2008 and 2009, for which the Commission launched a broad consultation process.  Within this framework, Ecologic Institute analysed the multi-annual EU financial framework from an environmental and sustainability perspective. On this basis, Ecologic Institute formulated a position paper which was submitted to the consultation procedure of the Commission.

Due to their relevance with regards to the environment and/or the EU budget, Ecologic Institute has focused on the policy fields of agriculture and rural development, renewable energies and energy efficiency, transport, environmental technologies and adaption to climate change.

Ecologic Institute analysed

• The financial strength of the selected issues,
• The recent developments
• The concordance of financial strength with the challenges and commitments identified by the EU. For example, whether it is in line with the conclusions of the European Council, the European Sustainable Development Strategy or the 6th Environment Action Program.

The analysis reviews and highlights the points where a shift of EU finances towards environmental protection is necessary and realistic in a German context.

It showed that parts of the EU budget are not in line with existing priorities of the EU in the analysed issue areas and that budget and allocation of financial resources are not transparent. Therefore, Ecologic welcomes the disposition of the EU Commission to engage in an open controversy which will be necessary to launch fundamental reforms of the EU budget.