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Germany July-December 1994 COUNCIL OF THE EUROPEAN UNION PRESS RELEASES PRESIDENCY: GERMANY JULY-DECEMBER 1994 Meetings and press releases November 1994 Meeting number Subject Date 1797th Economics/Financial 7 November 1994 1798th Industry 8 November 1994 1799th Culture 10 November 1994 1800th Agriculture 14 November 1994 1801st Budget 16 November 1994 1802nd Telecommunications 17 November 1994 1803rd Transport 21-22 November 1994 1804th Fisheries 23 November 1994 1805th Development 25 November 1994 1806th General Affairs 28 November 1994 1807th Energy 30 November 1994 1808th Justice and Home Affairs 30 November-1 December 1994 1809th Youth 30 November 1994 COUNCIL OF THE ELiROPEAf\l Ul,llOI\! G El\1 ERA L S t CR E-f/-\R ~~\-r l 10318/94 (Presse 223) 1797th Council meeting ECONOMIC AND FINANCIAL QUESTIONS Brussels, 7 November 1994 Presidents: Mr. Gert HALLER Mr. Franz-Christoph ZEITLER State Secretaries at the Ministry of Finance of the Federal Republic of Germany 1 0318/94 (Presse 223 - G) km/MS/ptm EN Pu:'s~~ (ViqJ! ?ut.: \~1.: :.:: L1..;1, 175 ·,C·L3 Er·.~s~,:.:;'-; T!:l LBSG231 285G319 2H~Otl~J8 2HS3·~ ~~ -·· fr.-i~:L:h 1.8~2:J26 7.XI.94 The Governments of the Member States and the European Commission were represented as follows: Belgium: Mr Philippe MAYSTADT Minister tor Finance Denmark: Mr Jens THOMSEN State Secretary at the Ministry of Economic Affairs Germany: Mr Johann EEKHOFF State Secretary for Economic Affairs Mr Gert HALLER State Secretary for Finance Mr Franz-Christoph ZEITLER State Secretary for Finance Greece: Mr Yiannos PAPANTONIOU Minister for Economic Affairs Spain: Mr Pedro SOLBES MIRA Minister for Economic Affairs and Finance Mr Alfredo PASTOR BODMER State Secretary for Economic Affairs France: Mr Edmond ALPHANDERY Minister for Economic Affairs Ireland: Mr Bertie AHERN Minister for Finance ~: Mr Giulio TREMONT! Minister for Finance Luxembourg: Mr Jean-Claude JUNCKER Minister for Finance Mr Robert GOEBBELS Minister for Economic Affairs Netherlands: Mr G. ZALM Minister for Finance Portugal: Mr Eduardo CATROGA Minister for Finance United Kingdom: Mr Kenneth CLARKE Chancellor of the Exchequer 10318/94 (Presse 223 - Gl kin/MS/ptm EN 2 7.XI.94 - + - Commission: Mr Jacques DELORS President Mr Henning CHRISTOPHERSEN Vice-President Ms Christiane SCRIVENER Member - +- The following representatives of the four acceding countries also attended as observers: Norway: Mr Sigbj0rn JOHNSEN Minister for Finance Austria: Mr Manfred SCHEICH Ambassador, Head of the Austrian Mission to the European Union Finland: Mr liro VIINANEN Minister for Finance Mr Eino KEINANEN State Secretary for Finance Sweden: Mr Goran PERSON MinistiJr for Finance Mr Svante OBERG State Secretary for Finance - + - The following also attended: Sir Brian UNWIN President of the EIB Sir Nigel WICKS Chairman of the Monetary Committee Mr L.A. GEELHOED Chairman of the Economic Policy Committee - +- 10318/94 (Presse 223 - G) kin/MS/ptm EN 3 7.XI.94 WHITE PAPER ON GROWTH, COMPETITIVENESS AND EMPLOYMENT The Council held a wide-ranging debate on three aspects of the White Paper, viz. trans-European networks, improvement of the employment situation and the link between economic growth and the environment. As regards trans-European networks, the Council heard an introductory statement by Vice-President Christophersen on the progress made by the Christophersen Group (comprising personal representatives of the Heads of State or Government) concerning in particular the financial aspects of the networks. It also heard a communication from the President of the EIB who provided information on the EIB funds available for financing the networks and on the adjustments to its funding arrangements that the Bank might envisage in this connection. As regards improvement of the employment situation, the Council discussed a report from the Economic Policy Committee on the progress made by the Member States in their job-creation policies. In the discussion broad agreement emerged on the report. The Council also discussed the relationship between economic growth and environmental measures. The Commission has recently submitted a communication on this subject. Following the Council's exchanges of views on each of these subjects, the President announced that the Presidency would prepare, for the next meeting on 5 December, draft conclusions of the ECOFIN Council for the European Council in Essen. 10318/94 (Presse 223 - Gl kin/MS/ptm EN 4 7.XI.94 EXCISE DUTIES ON BIOFUELS The Council took note of the progress of discussions on the amended proposal for a Directive on excise duties on motor fuels from agricultural sources. These discussions concerned in particular a compromise proposal from the Presidency whereby the decision to grant a reduced rate of duty for biofuels would be left to the Member States' discretion. In addition, Member States could limit the quantity of fuels eligible for such a reduction by applying a quota system possibly restricted to products grown on areas set aside under the common agricultural policy. In conclusion, the Council instructed the relevant Working Party to continue its discussions with a view to the next Council meeting on 5 December. TAXATION OF SAVINGS The Council was informed of the progress of discussions on the taxation of savings in the Community. It instructed the relevant Working Party to continue its discussions with a view to the next Council meeting on 5 December. 10318/94 (Pre sse 223 - G) kin/MS/ptm EN 5 7.X1.94 SYSTEM OF TAXATION APPLICABLE TO INTEREST AND ROYAL TV PAYMENTS The Council held an exchange of views on the main questions outstanding as regards a Community system of taxation applicable to interest and royalty payments between companies in different Member States. These questions concern in particular the scope of the Directive and the dividing line between it and the future system for the taxation 'of savings, and the derogations applicable to certain Member States. In conclusion, the President said that in conjunction with the Commission he would consider what action should be taken on this whole matter. RELATIONS WITH ASSOCIATED CENTRAL AND EASTERN EUROPEAN COUNTRIES (PREPARATION FOR THE ESSEN EUROPEAN COUNCIL) The Council held an exchange of views on certain financial aspects of relations with the CCEEs in preparation for the Essen European Council. It examined in particular three aspects on which the Commission had made suggestions, viz.: cooperation with the EBRD, replacement of balance of payment loans by a mechanism for financing structural adjustment and the rate of cover for the Community's budget guarantee i11 respect of EIB loans. In this connection the Council also heard statements by the Chairman of the Monetary Committee and the President of the EIB. At the close of the discussion the Council approved points put forward by the Presidency in a discussion paper. These points will be taken into consideration in defining the strategy for preparing the CCEEs for accession, which will be submitted to the European Council in Essen. 10318/94 (Presse 223 - G) kin/MS/ptm EN 6 7 .XI.94 MEETING WITH THE CCEEs AND THE BALTIC STATES The Council made preparations for the meeting with the Ministers for Finance from the CCEEs and the Baltic States which took place over dinner that evening. This meeting provided an opportunity for frank discussion of a number of financial issues such as improvement of the effectiveness of the PHARE programme, the role of the EIB and access by the CCEEs to Community programmes (research, etc.). FINANCIAL ASSISTANCE TO UKRAINE Over lunch the Council discussed the Commission proposal granting macro-financial assistance of ECU 85 million to Ukraine. It agreed to continue its deliberations on the matter in the near future. 10318/94 (Presse 223- G) kin/MS/ptm EN 7 7.XI.94 OTHER DECISIONS IN THE ECOFIN SPHERE AND MISCELlANEOUS DECISIONS {Adopted without debate) Excessive government deficits After signifying its substantive agreement at its meeting on 10 October, the Council formally adopted the recommendations with a view to bringing an end to the situation of an excessive deficit in Belgium, Denmark, Germany, Greece, Spain, France, Italy, the Netherlands, Portugal, and the United Kingdom. The excessive government deficit procedure follows the start of the second phase of the attainment of economic and monetary union on 1 January 1994 and the entry into force, on the same date, of provisions (Article 1 04c of the Treaty) obliging Member States to endeavour to avoid excessive government deficits. Central and Eastern European countries Following the political consensus reached by the General Affairs Council at its meeting on 4 October (see Press Release 9745/94 Presse 205), the Council approved the practical internal procedures for preparing for and conducting ministerial meetings with the associated CCEEs under the structured dialogue with those countries as part of the strategy to prepare them for accession. Appointments European Foundation for the Improvement of Living and Working Conditions The Council adopted the Decision appointing full members and alternate members of the Administrative Board of the European Foundation for the Improvement of Living and Working Conditions for a three-year period. Committee of the Regions The Council adopted the Decision appointing Mr Jerome Polverini in place of Mr Jean Baggioni for the remainder of the latter's term of office, which runs until 25 January 1998. 10318/94 (Presse 223 - G) kin/MS/ptm EN I COUNCIL OF THE EUROPEAN UINION 1798th meeting of the Council -Industry- Brussels,
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