WRITTEN QUESTION E-0272/00 by Paulo Casaca (PSE) to the Commission. Legal basis of PPPs.
21. 11. 2000 EN Official Journal of the European Communities C 330 E/113 (2000/C 330 E/126) WRITTEN QUESTION E-0272/00 by Paulo Casaca (PSE) to the Commission (7 February 2000) Subject: Legal basis of PPPs In the first two paragraphs of its reply to question E-2218/99 (1) the Commission takes the view that the use of PPPs in Community rules is ábased on these textsí, i. e. on Community rules themselves. It may be inferred from this that, as far as the Commission is concenred, the credibility of PPPs is based on the fact that they are used in Community rules, whilst the use of PPPs in Community rules is based on the fact that they are credible. Does the Commission not regard this as a tautological and circular argument? (1) OJ C 219 E, 1. 8. 2000, p. 124. Answer given by Mr Solbes Mira on behalf of the Commission (30 March 2000) The argument put forward in the first two paragraphs of the answer to the Honourable Memberís written question E-2218/99 (1) was not intended to be tautological or circular but to give a full explanation. Firstly, it was necessary to refer to the political agreement reached at the Berlin European Council (24 and 25 March 1999) and to the assent of the European Parliament (6 May 1999). On 21 June 1999 the Council formally adopted the new Structural Funds Regulations for the period 2000-2006. These include Council Regulation (EC) No 1260/1999 of 21 June 1999 laying down general provisions on the Structural Funds (2), Article 3 of which provides that áthe regions covered by Objective 1 shall be regions corresponding to level II of the Nomenclature of Territorial Statistical Units (NUTS level II) whose per capita GDP, measured in purchasing power parities and calculated on the basis of Community figures for the last three years available on 26 March 1999, is less than 75 % of the Community averageí. They also include Council Regulation (EC) No 1267/1999 of 21 June 1999 establishing an Instrument for Structural Policies for Pre-accession (ISPA) (2), Article 4 of which provides that áan indicative allocation between beneficiary countries of the total Community assistance under ISPA shall be made by the Commission on the basis of the criteria of population, per capita GDP in purchasing power parities and surface areaí. The use and therefore the usefulness of purchasing power parities (PPPs) have thus been shown officially by both Council and Parliament even without a legal basis for the production of the PPPs themselves. Secondly, it was necessary to underline the fact that for several years international institutions ü World Bank, International Monetary Fund (IMF), United Nations (UN), Organisation for Economic Cooperation and Development (OECD) ü public authorities, universities, research institutes, public and private enterprises, banks, the media and individuals have themselves been using PPPs. (1) OJ C 219 E, 1. 8. 2000, p. 124. (2) OJ L 161, 26. 6. 1999