Defence: New rules should bring better value for money

Published: 21 January 2009 y., Wednesday

Eurai
At present it is difficult to buy military equipment in another European country due to red tape. This means that taxpayers are not getting value for money as everything from night vision goggles to police helicopters are being produced for disparate markets. We spoke to German Liberal Alexander Graf Lambsdorff who has drawn up the EP position on new rules that will make it easier to buy and sell equipment across the EU.

Last Wednesday MEPs debated new rules on defence procurement that form the second key component of the EU defence package. 
 
Value for money for taxpayers stressed
 
Currently, European defence equipment producers must obtain export licences even when selling goods to another EU member state.
 
Mr Lambsdorff believes that the market is far too convoluted: “The single market for defence products doesn't work. It’s highly fragmented and there's too little competition. European countries do not cooperate enough when buying defence or security products or services, whether it is night-vision equipment or a police helicopter.”
 
The former press attaché at the German Embassy in Washington sees the legislation as good for taxpayers. “The aim is to ensure that EU countries buy the best available product on the market, no matter whether it is produced by one of its own companies or in other EU countries,” he said.
 
The 42-year old MEP, who was elected to the European Parliament in 2004, added, “this allows for more transparent and more open competition between companies in the EU and armed European forces will benefit from better equipment”.
 
Small and medium businesses will benefit
 
Small and medium sized businesses in particular are expected to benefit from the new directive, in part because of the new rules on subcontracting. Currently a company that receives an order for a product or service can ask other companies, especially small and medium enterprises to produce part of this product.
 
“Companies that decide to subcontract have to do this in an open and transparent manner, which allows for fair competition among small and medium enterprises across the EU to cooperate with the main company,” Mr Lambsdorff said.
 
Avoiding discrimination based on “national interests”
 
Mr Lambsdorff's report focuses on the need to change existing EU rules on procurement. The new directive will ensure that there is no discrimination between procedural processes. The two main exceptions to this are contracts outside the EU and intelligence related contracts, which will still have the right of monopoly and anonymity.
 
“There will of course remain security measures whenever highly sensitive information, materials or services are at stake, in order to prevent them from getting into the wrong hands” he said.
 
A strengthened European defence policy
 
Mr Lambsdorff concluded by saying that this legislation can only strengthen a capitalist economy by opening trade and creating a single defence market: “This directive will lead to more transparency and more competition. This legislative package is making an important contribution to strengthening European security and defence policy”.
 
The proposed directive will need the formal endorsement of EU countries. After that, and after publication in the Official Journal of the EU, countries will have two years to implement the new rules.
 

Šaltinis: europarl.europa.eu
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

Justice and citizenship - a look ahead at the issues MEPs face

The EU policy area broadly known as 'justice and citizenship' covers a series of important areas such as European police and customs cooperation and asylum and immigration policy. more »

Deadly end to Pakistan army siege

Suspected Taliban gunmen staged a brazen attack on the heart of Pakistan's military establishment on Saturday. Five gunmen were also killed and two captured. more »

Energy security – common goal pursued by Lithuanian and Estonian leaders

In the meeting, Lithuanian and Estonian leaders discussed Lithuanian-Estonian bilateral cooperation and the most important EU and NATO policy issues. more »

EU and Georgia start negotiations on a Common Aviation Area Agreement

Delegations from Georgia and the European Union meet on 6/7 October 2009 in Tbilisi / Georgia for the first round of negotiations on a comprehensive aviation agreement between both sides. more »

Green partnership: EU and US mayors pledge to work together on climate change

Mayors from both sides of the Atlantic have pledged to work together to highlight the key role played by the local and regional level in adapting to the effects of climate change in a bid to ensure recognition of this role in the conclusions of the UN climate change summit in Copenhagen next December. more »

Nato’s new Secretary General will pay a visit to Lithuania

On 9 October, NATO’s new Secretary General Anders Fogh Rasmussen will pay a visit to Lithuania. more »

Wolf Klinz on EP special committee to tackle the financial crisis

The European Parliament is about to set up a special committee to examine ways to avoid a future economic crisis. more »

Afghanistan: “EU police force must be beefed up”, says Ettore Sequi

The EU's special representative in Afghanistan, Ettore Francesco Sequi, called for EUPOL, the EU police mission in Afghanistan, to be strengthened, when he addressed Members of the EP Foreign Affairs Committee on Tuesday. more »

Turkey IMF protests turn violent

Hundreds of protesters took to the streets of the Turkish capital showing their dismay towards the International Monetary Fund meeting. more »

China-N.Korea in new courtship

China and North Korea established formal ties 60 years ago but this visit by Chinese premier Wen Jiabao to Pyongyang marks a renewed phase in their courtship. Chinese state television showed Wen meeting North Korea's nominal number two leader on the second day of his rare visit to the isolated state. more »