EU Insight, 10 September 2021

Brussels, 10 September 2021

GREEN BOND FRAMEWORK BRINGS EU CLOSER TO €250 BILLION GREEN BONDS ISSUANCE

The European Commission adopted an independently evaluated Green Bond Framework meant to lead the EU towards the issuance of up to €250 billion in green bonds – 30% of NextGeneration EU’s borrowing – and make the EU the largest green bond issuer in the world. The framework has been aligned with the European Green Bond Standard proposal and provides that the Commission will use an auctioning programme for green bonds, in addition to syndications. The bonds proceeds will finance the share of climate-relevant expenditure in the Recovery and Resilience Facility. The first green bond issuance by the Commission is planned for October 2021.

COMMISSION ISSUES SECOND ANNUAL FORESIGHT REPORT

“The EU’s capacity and freedom to act”, the Commission’s second annual strategic foresight report, was presented this week. The report presents a forward-looking and multidisciplinary perspective on the EU’s open strategic autonomy, which is said to be affected by four main global trends: climate change and other environmental challenges; digital hyperconnectivity and technological transformation; pressure on democracy; and shifts in the global order and demography. The report also set out 10 key areas of action where the EU can seize opportunities for its global leadership and open strategic autonomy. The report is meant to inform the priorities of the annual State of the Union speech and the Commission Work Programme.

POLAND MAY FACE FINANCIAL PENALTIES FOR OBSTRUCTING JUDICIAL INDPENDENCE 

The European Commission requested to the European Court of Justice (ECJ) to impose daily financial penalties on Poland for undermining judicial independence. The Commission also decided to send a letter of formal notice to Poland for not taking the necessary measures to comply fully with an ECJ judgment finding that Polish law on the disciplinary regime against judges is not compatible with EU law. The two decisions are the latest in a series of requests by the EU authorities that started in 2019, as Poland was deemed to undermine the judicial independence of its judges.

NEW REGULATION STRENGTHENING EU EXPORT CONTROL RULES KICKS IN THIS WEEK

The new Export Control Regulation entered into force this week. The new rules will tighten controls on trade in dual-use items – civilian goods and technologies with possible military or security use – while enhancing the EU’s capacity to protect human rights and support secure supply chains for strategic items. The Regulation will also introduce greater transparency by increasing the level of consultations and reporting between Member States and the Commission, contributing to the development of a new EU electronic licensing platform already piloted in four Member States. The new framework is expected to contribute to EU strengthening its ability to respond to new security risks and emerging technologies.

EUROPEAN CITIZENS’ PANELS TO KICK OFF THEIR MEETINGS NEXT WEEK IN STRASBOURG

The European Citizens’ Panels will kick off their deliberations with the first 200-citizen meeting between 17 and 19 September in Strasbourg. The first sessions of all four panels will take place on the Parliament’s premises in Strasbourg and begin working on draft recommendations within each panel’s remit. This first will focus on a stronger economy, social justice, jobs/education, youth, culture, and sport/digital transformation, based on citizens’ contributions collected from across the EU, as well as support and presentations from prominent academics. The second set of sessions will be held in virtual formats throughout November, while the third and final sessions will take place in December 2021 and January 2022.

COMING UP NEXT WEEK

• 13-16 September: European Parliament Plenary session. On the agenda: State of the European Union, fit for 55 package.
• 15 September: Commission President Ursula von der Leyen’s State of the Union speech.
• 15 September: College of Commissioners meeting. On the agenda: New European Bauhaus Communication, Policy programme on Europe’s Digital Decade, European Health Emergency Preparedness and Response Authority (HERA) package.

Karl Isaksson, Managing Partner Brussels, Kreab

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Kreab • Tel: +32 2 737 6900 • karl.isaksson@kreab.com • www.kreab.com/brussels • Twitter: @KreabEU.