Press Release: Commission proposes post-ECSC framework

The European Commission is proposing a comprehensive framework on financial and research activities after the expiry of the Treaty on the European Coal and Steel Community. The Treaty, which will run out on 23 July 2002, will not be renewed. The coal and steel sector will be placed under the Treaty establishing the European Community. The assets of the ECSC, around €1.6 billion, will be transferred to the European Community and the Commission will be entrusted with the management of these funds. Net revenue from this fund, which is estimated at around €45 Million per year, will be used to finance research projects in the coal and steel sectors. It will also be managed by the Commission. These research activities will be aimed at boosting competitiveness, growth and employment in the coal and steel industries.

”This is the first time a Treaty has expired,so we are on virgin ground. This act establishes the European Community`s universal succession to the ECSC”, said Commission President Romano Prodi, who proposed the legal package together with Vice-President for Transport and Energy Loyola de Palacio, Research Commissioner Philippe Busquin, Budget Commissioner Michaele Schreyer and Pedro Solbes, Commissioner responsible for economic and monetary affairs, to the representatives of the governments of the Member States of the European Coal and Steel Community and to the Council.