Thank you, Honourable co-chairs and Members.
It is a pleasure to be back in this House for our 19th Recovery and Resilience Dialogue.
With just over a year left until the August 2026 deadline, we need to focus on what must be done for the RRFs successful conclusion.
The RRF is already a success, delivering significant benefits for citizens and businesses.
For example, the RRF has installed over 110,000 megawatts of renewable energy capacity, nearly 20% of the total wind and solar capacity in 2024.
It has saved 33.4 million megawatt-hours annually, exceeding Denmarks total annual electricity consumption.
Additionally, it has provided 16.2 million dwellings with access to high-capacity internet.
It has also supported education and training for 29 million people, aiding job transitions and addressing skill shortages.
The benefits of each recovery and resilience plan extend beyond national borders.
Due to the deep economic integration of EU economies, spillover effects can double the direct impact of each national recovery and resilience plan by 2030 in some Member States.
Countries highly integrated in the Single Market experience the strongest spillover effects.
This demonstrates our potential for greater success through collaboration.
To build on this success and ensure the RRF finishes strong, we must address implementation delays. Member States need to accelerate efforts to meet next years deadlines.
As part of the European Semester Spring Package, the European Commission proposed country-specific recommendations to 15 Member States to hasten implementation under two conditions: where the economic impact of the plans is macro-critical (over 3% of GDP) and where significant milestones and targets remain incomplete.
The countries receiving these recommendations include Romania, Bulgaria, Hungary, Italy, Croatia, Greece, Spain, Portugal, Latvia, Lithuania, Slovakia, Slovenia, Czechia, Cyprus, and Poland.
For the 12 Member States with smaller plans or advanced implementation, the Commission recommended ongoing effective implementation.
The Commission also presented a Communication on June 4, outlining actions Member States can take to ensure timely and effective recovery plan implementation.
We encourage Member States to streamline their plans and retain only those measures that can be fully implemented by August 31, 2026.
Member States are also invited to simplify their plans, reducing administrative burdens while ensuring compliance with RRF Regulation criteria.
Minor measures and intermediary steps should be reconsidered, and achieved milestones advanced to payment requests in 2025.
These urgent tasks should be completed as soon as possible, preferably by the end of this year, to allow for a smooth process in 2026.
Regarding options for revising plans, Member States can explore:
- Scaling up successful measures;
- Transferring funds to InvestEU;
- Splitting RRF projects for continuation with national or EU funds;
- Prioritising grants over loans;
- Reducing oversubscribed plans.
RRF funds may also support capital injections in National Promotional Banks and Institutions, and contribute to future European Defence Industry Programme or EU satellite communications programmes.
These alternatives can enhance the RRFs impact on common EU priorities, including security and defence.
We invite co-legislators to facilitate RRF transfers for the European Defence Industry Programme in the context of the EDIP trilogues.
Other priorities, such as addressing the housing crisis or promoting industrial decarbonisation, could also benefit from these measures, provided they meet the green and digital targets set in the RRF Regulation.
In preparation for smooth payment request processing in 2026, we provide guidance on ensuring an effective assessment process.
Member States should plan ahead, submitting complete payment requests on time to mitigate assessment issues. Evidence for milestone fulfilment must be provided by September 30, 2026.
Member States should allocate sufficient resources to process submissions, as 2026 will see a higher number of milestones and targets than previous years.
These sensible steps will help avoid last-minute pressures or disappointments.
Before concluding, let me update you on transparency, audits, and control. We are working with Member States to share reliable data on the largest RRF fund recipients.
In April, 24 Member States updated their data on the top 100 final recipients per RRF Regulation Article 25.
The Commission has contacted non-reporting Member States to ensure compliance.
We convened an expert group on RRF implementation to discuss data collection and reporting with national authorities.
The Commission also relayed the CONT Committee Chairs request for the top 100 recipients names, including contractors and subcontractors. Six Member States (Greece, Cyprus, Hungary, Estonia, Latvia, and Sweden) have agreed to share this data, while three (the Netherlands, Czechia, and Luxembourg) claimed it exceeds reporting requirements.
Regarding the next budgetary discharge, the DG ECFIN Director General signed the financial year 2024 statement of assurance on May 28.
As always, the Commission looks forward to this process, aiming to address your questions and follow up on findings and recommendations.
In conclusion, while the RRF has already had a transformative impact, we must intensify our efforts to ensure its successful closure by the 2026 deadlines.
Our June 4 Communication outlines a clear path forward. With only 442 days left for implementation, we cannot afford to lose time and hope for your support in this endeavor.
Thank you.