SPEECH/05/555

Siim Kallas

Vice-president of the responsible for Administrative Affairs, Audit and Anti-Fraud

The European Commission’s buildings policy – past, present and future

Opening Lecture for the Executive Programme in Real Estate, SOLVAY Business School

Brussels, 26 September 2005 First of all, thank you for the invitation to speak to you on the occasion of the opening of the new academic year. You will be the real estate experts of the very near future. I’ve therefore decided to briefly describe you my views on the Commission’s buildings policy, notably in , by looking at what our Institution did in the past, at what my challenges are today, and finally at how you could contribute to what seem to me to be the most important challenges for the EU buildings in the future.

I. The Past It seems to me that, for historical reasons mainly linked to the difficulty of forecasting the way the would expand, in the past the Commission was a rather “passive” actor in the city. For many years, the Commission has had to rent buildings built or made available by promoters without our services having been directly involved during the construction or design stages. I owe much to my predecessor, Commissioner Neil Kinnock, who raised awareness of the need to address this situation. He was convinced, as I am, of the need for the enlarged European Commission to develop a more “proactive” and “interactive” urban development policy in close cooperation with the public authorities of the host Member States, with the architects directly involved with renovation and building projects as well as with the civil society actors. It is for these reasons that at the end of 2003, the Commission published a Communication on the Commission’s Building Policy in Brussels (COM(2003) 755). This policy aims to promote the rational development of the European Quarter with a view to reconciling the Commission’s building needs with urban planning and the wishes of local residents, and in accordance with Brussels’s status as a European capital city. The Communication targeted four aims: (i) integrating the Commission’s buildings into the urban fabric, to reflect the role of the Institution and redefine its image; (ii) improving the accessibility and quality of Commission buildings; (iii) improving mobility within Brussels; and (iv) improving the working environment and conditions of staff, including travel between home and the workplace.

II. The present During the course of my mandate as the Commissioner in charge of Personnel and Administration, including all logistics activities, I am committed to implementing the aims of the 2003 Communication, taking into account any new needs and solutions. As you are no doubt aware, today the Commission occupies three different areas – or “poles” in our jargon - in Brussels: (i) the European Quarter (where 90% of its overall office space is situated); (ii) the Beaulieu site (covering 8% of office space); and (iii) the rue de Genève (just 2%).

2 The Commission’s high concentration in the European Quarter is the result of historical and operational factors, which have had some positive (proximity among the European Institutions) but also some negative (small capacity buildings and high cost/m2) impacts on the Quarter. I believe, along the lines of what was agreed by the Commission in 2003, that Commission services which do not necessarily have to be in the immediate proximity of the seat of the Commission or of the other Institutions, should be located outside the European Quarter. This would not only ensure best value for our taxpayers’ money, by allowing the Commission to further expand in less expensive areas, but also ensure that the Commission plays a more consistent role as an urban development actor here in town. Such expansion outside the historical “centre” will only be feasible if four basic conditions are met, i.e.: (i) that the area is easily accessible by public transport means, and offers also good connections to the European Quarter; (ii) that shops and social infrastructures (schools, nurseries, sports clubs,) are available in the neighbourhood; (iii) that the area offers further possibilities for expansion, so as to favour the creation of a coherent “European image”; and – last but not least – (iv) that the price is right. In order to ensure that such conditions do indeed exist and are met, I see a clear need for greatly increased cooperation between the Commission and the Belgian authorities at all levels (local, regional and federal), and with civil society actors and real estate promoters and developers. In this context, I am glad to say that our contacts with Mr. Picqué, Minister-President of the Brussels Region are currently developing in a very positive manner. I sincerely hope that, during our respective mandates, we will succeed in establishing an open and fruitful collaboration, capable of facilitating synergies between all EU Institutions and the Belgian authorities at all levels. Concretely, I consider that some of my main tasks in the building area are: - to better integrate the Commission’s buildings into their Brussels neighbourhoods; - to improve their architectural, environmental and aesthetic quality; - to ensure that Commission buildings can be easily accessed through public and private transport means, whilst encouraging our staff to make increased use of environmentally-friendly transport means. Today, I would like to briefly explain to you how I intend to proceed during my mandate in order to reach these objectives, and how you, as future experts in real estate development, could help the European Institutions best meet their forthcoming needs.

3 1. Better integrating the Commission’s buildings into the urban fabric As you may know, the Commission is implementing a policy of purchasing most of its buildings, the “Berlaymont” being the latest acquisition. We believe that, in the long run, owning a building is economically sounder than renting it and there are other important advantages linked to ownership, in particular: - New buildings can be tailor-made to our needs. If the Commission is involved from the early stage of the project, we can increase both the architectural and esthetical quality of our buildings, while ensuring their functionality and accessibility to both staff and the public. - Our new policy of “mixité” can be implemented, through integrating shops, financial and/or other services in our buildings, whilst taking into account inherent security constraints. Personally, I am convinced that this “mixité” will contribute to the better integration of our office buildings in the European quarter, creating a more friendly, secure and safe environment for those living and working in the area. This is a common goal with the Brussels City and Region.

2. Improving the Quality of the Commission’s Buildings The Commission’s Buildings policy is based on a kind of conceptual “triangle”: - First of all the “Architectural policy” defines how buildings should be designed and how they should integrate in the urban environment; - Secondly the “Buildings Standards Manual” defines the technical and operational requirements of the buildings; - Finally, the “Housing Conditions Manual” defines how buildings should be used and how space is allocated to occupants. Indeed, the Commission has developed, from its past experience, a set of technical rules on how a “model building” should be built so as to meet our requirements. In 2004 we published a new version of the Building Standards Manual, better known by its French acronym as “MIT” (Manuel de l’Immeuble Type). By using our purchasing power – and in line with the principles of Green Public Procurement - the Commission can influence the creation of office buildings that respect the environment and make an important contribution towards sustainable development. You may also know that, by virtue of Directive on the Energy Performance of Buildings (2002/91/EC), all large public buildings in the EU will have to display an energy performance certificate as of 2006. The recent refurbishment of the Berlaymont building offered the Commission an excellent opportunity for having one of its key buildings tested, even before the EU legislation enters into force.

4 In 2004, six Member States (Austria, France, Germany, the Netherlands, Poland and Portugal) assessed the Berlaymont building and certified it as having very good energy efficiency ratings, concluding that it performs better than the average equivalent buildings in their countries. Those nice and colourful certificates currently hang on my office-wall: they represent the path for the future. Indeed, because of the patent importance for the EU to develop a forward-looking approach in the area of energy consumption, I really hope that all Member States (including the countries which host our Institutions) will do their utmost to ensure that all public buildings on their territory fully comply with this Directive by next year.

3. Mobility The Commission, one of the largest employers in Brussels, will continue to give full backing to the improvement of the transport conditions for its personnel. That's why we have asked the Brussels Region to launch a mobility study on the European Quarter and are willing to play our part in terms of improving overall traffic conditions. The Brussels Region already requires both private and public institutions to implement a mobility plan ("plan de déplacement") which aims at rationalising and optimising the flow of people travelling between home and work. The Commission sees the efficient implementation of a mobility plan for its staff as a challenge - a challenge to improve the quality of life of our personnel and at the same time of the city we live and work in. Already some years ago the Commission developed a dynamic partnership with the Brussels Region and the STIB setting up, in collaboration with STIB, two bus lines – 21 and 22 – also called Eurobus, to reach almost all sites of the Institutions in Brussels. Eurobus clearly met its objective to reduce the use of private cars, given the fact that about 300.000 journeys per year are registered on these two lines. The Commission also promotes and facilitates the use of bicycles. The space reserved for bicycles in our car parks has multiplied almost tenfold over the last five years and currently stands at 2000 spaces. We also have 150 (and shortly 190) service bikes –at the disposal of our personnel for their professional needs – for example to travel from one building to another for meetings. Moreover we are surely the organisation with the least number of "company cars" (only 70 cars for a total of 23.000 staff), we have twice as many "service bikes" than company cars! The results of all these measures are obvious: the use of the private car has fallen by 15%.

III. The Future Let’s now turn to the main challenges of the future, which I trust you will contribute to face and solve during your professional life. I see three main challenges from the Commission’s angle: improving the environmental friendliness, the aesthetic and functional quality as well as the accessibility of our future buildings.

5 First, we shall ensure that our buildings, and the staff who work in it, strive to meet the highest available environmental standards, and therefore contribute to sustainable development. As I mentioned briefly earlier, the Commission is committed to improving its environmental performance on an on-going basis. To this end we have launched a pilot project for a number of Commission services, aimed to establish an environmental management system according to the Eco-management and Audit Scheme (EMAS - see Council Regulation of 19 March 2001). With over 20,000 people working for the Commission in Brussels alone, travelling to and from work, consuming energy, generating waste, I do believe that an adequate Eco-management and Audit can help the Commission reduce its environmental impact. Energy efficient office equipment, less use of paper, “clever” heating and cooling systems, are just some examples of the many environmentally-friendly solutions we would like to see increasingly implemented in our buildings. Real estate developers can help us in doing more with less. Secondly, I would like to urge you, as the real estate actors of the future, to choose quality architecture that combines efficiency, sobriety and attractiveness. Brussels has for long been known as the world Capital of Art Nouveau and Art Déco, combining the use of functional materials with the elegance and purity of the design. Real estate developers can play a major role in creating spaces which are not only practical, but also beautiful for people to work in and to look at from the outside. One concrete example I would like to mention here is the Mondrian building, which was recently renovated for the European Commission and won in March 2005 the prestigious MIPIM (Marché International des Professionnels de l’Immobilier) award, for both its aesthetical and functional qualities. Thirdly, daily traffic congestion is a well-known reality. In partnership with the competent authorities, real estate developers can help us in ensuring that the “European buildings of the future” will always carefully take into account the need for people to easily have access to them, by public as well as private means of transport. To conclude, I would like to underline that the Commission is determined to stimulate coordination, coherence, vision and forward planning in its real estate policy in order to optimise the integration of the European Institutions in the urban fabric. Already today, for many people in the world Brussels is the symbol capital of Europe. I hope that, also with your help, this City will more and more be proud thereof. Thank you.

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