PURPOSE: to mobilise the Flexibility Instrument to complement the financing in the 2011 budget.

NON-LEGISLATIVE ACT: Decision 2011/29/EC of the European Parliament and of the Council on the mobilisation of the Flexibility Instrument.

CONTENT: following the conciliation meeting on 11 November 2010 and in accordance with the budgetary Agreement of 15 December (see BUD/2010/2290 ), the European Parliament and the Council have decided to mobilise the Flexibility Instrument for a total amount of EUR 34 million to complement the financing in the 2011 budget, beyond the ceilings of subheading 1a and heading 4, of:

· EUR 18 million for the Lifelong Learning programme under heading 1a;

· EUR 16 million for the Competitiveness and Innovation Programme under heading 1a;

· EUR 71 million for Palestine under heading 4.

The European Parliament adopted by 525 votes to 20, with 13 abstentions, a resolution approving, unamended, the proposal for a decision of the European Parliament and of the Council on the mobilisation of the Flexibility Instrument to complement the financing in the 2011 budget, beyond the ceilings of heading 1a and 4.

After having examined all possibilities for re-allocating appropriations under heading 1a and heading 4, at the conciliation meeting on 11 November 2010, the two arms of the budgetary authority agreed to mobilise the Flexibility Instrument. The amounts for the following programmes are as follows:

EUR 18 million for the Lifelong Learning programme under heading 1a; EUR 16 million for the Competitiveness and Innovation Programme under heading 1a ; EUR 71 million for Palestine under heading 4 ,

Parliament notes that, despite contained reinforcements in commitments on a limited number of budget items, the ceilings of subheading 1a and heading 4 do not allow for an adequate financing of selected priorities carried by the Parliament and the Council. It welcomes, therefore, the agreement reached during conciliation concerning the use of the Flexibility Instrument for the financing of the Lifelong Learning Programme and Competitiveness and Innovation Programme under subheading 1a, and the financing of financial assistance to Palestine, peace process and UNRWA under heading 4 for a total amount of EUR 105 million.

It reiterates that the mobilisation of this instrument highlights, once more, the crucial need for the EU budget to be increasingly flexible .

The Committee on Budgets adopted the report drafted by Reimer BÖGE (EPP, DE) in which it calls on the Euroepan Parliament to approve the proposal for a decision of the European Parliament and of the Council on the mobilisation of the Flexibility Instrument to complement the financing in the 2011 budget, beyond the ceilings of heading 1a and 4.

After having examined all possibilities for re-allocating appropriations under heading 1a and heading 4, at the conciliation meeting on 11 November 2010, the two arms of the budgetary authority agreed to mobilise the Flexibility Instrument. The amounts for the following programmes are as follows:

EUR 18 million for the Lifelong Learning programme under heading 1a; EUR 16 million for the Competitiveness and Innovation Programme under heading 1a; EUR 71 million for Palestine under heading 4.

Members note that, despite contained reinforcements in commitments on a limited number of budget items, the ceilings of subheading 1a and heading 4 do not allow for an adequate financing of selected priorities carried by the Parliament and the Council. They welcome, therefore, the agreement reached during conciliation concerning the use of the Flexibility Instrument for the financing of the Lifelong Learning Programme and Competitiveness and Innovation Programme under subheading 1a, and the financing of financial assistance to Palestine, peace process and UNRWA under heading 4 for a total amount of EUR 105 million.

They reiterate that the mobilisation of this instrument highlights, once more, the crucial need for the EU budget to be increasingly flexible.

PURPOSE: to mobilise the Flexibility Instrument to complement the financing in the 2011 budget.

PROPOSED ACT: Decision of the European Parliament and of the Council.

BACKGROUND: after having examined all possibilities for re-allocating appropriations under heading 1a and heading 4, at the conciliation meeting on 11 November 2010, the two arms of the budgetary authority agreed to mobilise the Flexibility Instrument to complement the financing in the 2011 budget.

CONTENT: the Interinstitutional Agreement of 17 May 2006 (IIA) allows for the mobilisation of the Flexibility Instrument to allow the financing of clearly identified expenditure which could not be financed within the limits of the ceilings available for one or more headings of the multiannual financial framework.

For budget 2011, additional expenditure, beyond the ceilings of heading 1a and 4 is required.

It is therefore proposed to mobilise the Flexibility Instrument in accordance with point 27 of the Interinsitutional Agreement.

The amounts to be mobilised are as follows:

EUR 18 million for the Lifelong Learning programme under heading 1a; EUR 16 million for the Competitiveness and Innovation Programme under heading 1a; EUR 71 million for Palestine under heading 4.

The two arms of the budgetary authority are reminded that the publication of the Decision in the Official Journal of the European Union shall not intervene later than the publication for

the 2011 budget.