Tourism unit launches new plan of action

Date: 20/02/1997

By Rory Watson

THE European Commission is finalising a new action programme for its troubled tourism unit as part of wider efforts to turn the page on a series of scandals which have sullied the department's reputation.

The strategy is designed to provide a clear framework for EU support to an industry which is one of the Union's major job creators and money earners.

“We are moving into a new era and we are looking ahead. It is important to understand the challenges ahead, to know where Europeans like to travel and to stress the safety and quality of the services provided,” explained one senior official.

In sharp contrast to the previous practice of funding a series of small projects, the Commission now wants to build a clearer picture of the industry as a whole. As part of this, it is looking to update pan-European statistics on tourism trends and identify the industry's capacity for job creation.

“We need to pinpoint tourism needs and then we can pass these on to trainers so that they can ensure people have the necessary skills,” said one source.

The research being envisaged would try to measure the impact of the single currency and any future World Trade Organisation agreements on the sector. It is also likely to focus on cooperative ventures with the Union's Mediterranean and central and eastern European neighbours.

Commission attempts to give EU involvement in the industry a higher profile coincide with the appointment this month of a new head of the tourist unit, Joaquin Diaz Pardo.

But its efforts are still running up against German, Dutch and British opposition which has effectively stalled the institution's plan for a four-year Philoxenia tourism programme. Nor have supporters of a Union tourism policy - notably Greece - yet had any success in ensuring that the idea is taken up by the Intergovernmental Conference on EU reform.

As the IGC negotiations approach their climax, however, there are signs that the pro-tourism lobby is again becoming more vocal. MEPs have called for the new treaty to contain specific references to the sector and Tourism Commissioner Christos Papoutsis is preparing a campaign to alert public opinion to its economic importance.

While tourism directly accounts on average for 5.5&percent; of the Union's gross domestic product and 6&percent; of its total employment, the figures are more than doubled when ancillary sectors such as transport, construction and financial services are included. Within less than a decade, tourism-generated employment in the Union is expected to climb from 18 to over 20 million jobs.

Finance is also a problem. Unless Philoxenia is approved, only meagre funds will be available for EU-backed tourism projects. Just 4 million ecu has been allocated to the sector in this year's Union budget.

As the Commission attempts to lay down firm foundations for future policy, it is continuing to investigate the disappearance of large amounts of EU money in the past.

A special task force of officials is currently sifting through hundreds of contracts agreed by the tourism unit in the early Nineties.

“We are trying to clear up the mess. It is as if someone had just shovelled all the documents into boxes and it is a tough job building up the files again. But the team is gradually piecing everything together with on-the-spot visits and by checking projects against the files and invoices,” explained one official.

Despite a lengthy investigation, the Belgian authorities are still no nearer to setting a date for the trial of two former Commission officials who face charges of misappropriating EU tourism funds.