Issue No. 336

29 March - 4 April 2001

Malta hopes to close financial control acquis chapter today

by Anthony Manduca and Ivan Brincat

Malta hopes to close another acquis communautaire chapter, that of financial control, during a meeting in Brussels today for the applicant countries’ EU negotiators. This is the first meeting at this level under the Swedish presidency. Financial control covers areas such as proper control over both government and EU funds, external audit and fraud.
In today’s meeting Malta is expected to open negotiations on four other acquis chapters, namely freedom to provide services, transport, regional policy and financial and budgetary provisions. Malta’s EU negotiating strategy is now entering a tougher more complicated phase where the country has to justify its position regarding special requests and transition periods. For example, in its negotiations over the fisheries chapter, Malta will have to successfully show why the sea around Malta should be treated differently and why the country’s current 20 mile exclusive zone is being managed properly. Malta is asking the EU to allow it to maintain this zone.
Richard Cachia Caruana, the chairman of the core EU negotiating group, told The Malta Business Weekly that the first phase of the negotiations was over. “During this phase we opened and closed the chapters which were technically and politically not complicated.”
Now the more politically sensitive complicated acquis chapters are to be discussed and these will probably not be closed until the end of the negotiations.
A considerable amount of progress by the “Luxembourg Group” of applicant countries which opened accession negotiations three years ago is expected to be made at today’s meeting in Brussels. Slovenia, for example, is to close the environment chapter which will bring the number of chapters closed to 18, equal to that of Cyprus which has always been at the top of this group of applicant States. Lithuania and Latvia are to close six and four chapters bringing them in line with Malta.
Lithuania is to close four chapters which Malta has already closed, namely consumer policy, culture, telecommunications, and European Monetary Union. It is also preparing to close two other chapters where Malta is requesting transitional periods or special arrangements: social policy and free movement of capital.
In the latter chapter, Malta is calling for a compromise to be reached over the right of EU citizens to purchase a secondary residence in Malta in order to avoid a huge rise in property prices.
In the social policy chapter Malta is asking for four transitional periods related to working time, noise at work, minimum health and safety requirements for the use of work equipment by workers and minimum health and safety requirements at mobile or temporary construction sites.
Under the Swedish presidency Malta hopes to close the free movement of goods chapter as well as social policy and customs union. Another chapter, the freedom to provide services might also be closed. The government is also expecting to make substantial progress in the chapters concerning free movement of capital, transport, fisheries, energy and justice and home affairs by the end of June.
After this round of meetings, Slovenia and Cyprus are expected to close 18 chapters, Hungary and Estonia 17, and Poland and the Czech Republic 15.
Of the Helsinki group of applicant countries Malta, Latvia and Lithuania are expected to close 13 chapters while Slovakia will close 12 chapters.

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