Translated using ChatGPT service.
On May 24, Jurģis Miezainis, Parliamentary Secretary of the Ministry of Economics, representing Latvia's position, participated in the EU Competitiveness Council meeting in Brussels, Belgium, focusing on internal market and industrial issues. At the meeting, member states approved three Council conclusions that concern European industry, the Single Market, and the European Court of Auditors' special report on public procurement in the EU.
The Council conclusions titled "A Competitive European Industry Driving Our Green, Digital, and Resilient Future" aim to outline guidelines for industrial policy development in the next legislative cycle of the European Commission, covering a broad range of issues. Particular attention in the conclusions is given to promoting innovation and ensuring access to finance to maintain the international competitiveness of EU industry.
Latvia supported the approval of the Council conclusions, emphasizing the need to ensure a strong and competitive EU industry driven by innovation. In the discussion, the Parliamentary Secretary of the Ministry of Economics, Jurģis Miezainis, expressed Latvia's position, highlighting the role of state support for entrepreneurs to maintain industry in Europe.
At the meeting, Miezainis specifically pointed out that, while EU member states should not be drawn into a race with partner countries, a strong European state aid framework must be established. Therefore, the EU should focus on the following priorities:
- Reducing administrative burdens to attract more investments;
- Ensuring access to finance;
- Creating supportive and targeted state aid systems;
- Lowering energy costs;
- Implementing trade policies that support industry.
"Regarding the administrative burden, we need to raise our ambitions. If we set ambitious goals like reducing emissions by 55% or more and other green targets, we need to exceed the current goal of reducing administrative and reporting requirements by 25%," said the Latvian representative.
Latvia believes that permit issues for the implementation of renewable energy sources (RES) should be resolved more quickly to achieve the set environmental goals. Regarding the implementation of Important Projects of Common European Interest (IPCEIs), procedures need to be simplified to give small member state companies more opportunities to participate. State aid requires a system that ensures a level playing field and promotes overall economic development in each EU region.
In his concluding remarks, addressing the meeting participants, Miezainis emphasized:
"It is important for the Competitiveness Council to send a clear message to our industries that we are all committed to creating an environment that fosters innovation, supports sustainable development, and enhances the EU's global competitiveness."
During the meeting, member state representatives also approved the Council conclusions "A Single Market for All," which envisage developing a new horizontal strategy for the Single Market with clear tasks and specific deadlines.
Latvia supported the Council conclusions, also submitting a proposal for necessary changes related to aligning the Capital Markets Union references with the conclusions of the European Council of April 17-18, 2024, which was supported by the Belgian presidency and member states. At the same time, Latvia emphasized the need to outline specific steps towards further integration and the removal of unjustified barriers with clear deadlines in the planned new Single Market strategy. Latvia also called for a more thorough study of service integration, as services are crucial for EU growth but still face greater trade barriers within the EU compared to goods.
"We highly appreciate the European Commission's commitment to reducing administrative barriers and reporting requirements by 25% and eliminating other unnecessary administrative burdens. At the same time, I would like to point out that the increasing number of regulations creates an increasing administrative burden for both SMEs and member state institutions. Therefore, before introducing new regulations, we should assess their impact on the market and the ability of member states and SMEs to adopt them without causing confusion or unnecessary burden," Miezainis emphasized at the meeting.
"We believe that a fully functioning Single Market must be based on the principles of subsidiarity and proportionality, as it is essential to consider national interests and differences. The Single Market must continue to be improved and developed with an eye on the future enlargement process of the EU, thereby strengthening the EU globally."