At the public video sitting starting at 1.45 p.m. today, the European Union Affairs Committee, the Finance Committee and the State Budget Control Select Committee of the Riigikogu (Parliament of Estonia) will be given an overview of the 2019 annual report of the European Court of Auditors, which will be presented by Member of the European Court of Auditors Juhan Parts. European Court of Auditors monitors the implementation of the budget of the European Union and the lawfulness of the use of the funds.
Chair of the European Union Affairs Committee Anneli Ott pointed out that in the next seven years, the EU would contribute a significant amount of financial resources to mitigating the economic and social impacts of the virus crisis. The expanses of the European Union will nearly double in the coming years. “In the light of the adoption of the European Union’s long-term budget and combating the COVID-19 crisis, it is of particular importance that the funds of the Union were used soundly and effectively,” Ott said.
According to the report of the European Court of Auditors, the revenues of the European Union for the previous year were legal and regular, and free from material error. The overall level of error for expenditure from the EU budget of 2019 was 2.7 %, which is slightly larger than the year before (2.6 %).
According to the audit, the situation in the area of natural resources has improved and the results in the area of administrative expenditure are good.
The share of high-risk expenditure in audit population has increased and represents 53 % of it. This mainly concerns reimbursement-based expenditure, for example, in the areas of cohesion and rural development, where the EU expenses are managed by the Member States. High-risk expenditure is often subject to complex rules and eligibility criteria. According to the audit, this category continues to be affected by material error and the estimated level of error is 4.9 % (in 2018, it was 4.5 %). The auditors found that the errors were pervasive, and therefore presented an adverse opinion on the expenditure of the EU.
Public sitting starts at 1.45 p.m. and it will be streamed online.
The video recording of the sitting is available to watch on-demand on the Riigikogu YouTube channel.
(Please note that the recording will be uploaded with a delay.)
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