Brussels blocks over 300 million euro for Poland

The European Commission has blocked close to 312 million euro (1.3 billion zloty) of funding for developmental initiatives in Poland, owing to shortcomings in the applications.

EC spokesman Ton van Lierop confirmed the matter in an interview with the Dziennik Gazeta Prawna daily. A letter was sent this week to Poland's Ambassador to the EU, Jan Tombinski.

The funding was due for the Innovative Economy programme, which is managed by Poland's Ministry of Regional Development. Between 2007 and 2013, Poland should receive 8.65 billion euro (36.2 billion zloty) under the auspices of the programme. EU regulations allow for up to 2 percent deficiencies in applications for the project.

The EC alleges that in the recent application Poland had a 3.7 percent margin of error. A fundamental prerequisite is that initiatives should be chosen on the basis of open public tenders, which has allegedly not consistently been the case.

Poland can still recoup the 312 million euro, and the Ministry of Regional Development has three months to rectify the problems. However, this will be complex, as it will involve new public tenders, and some of the beneficiaries of the programme have already received money from the government, which was counting on EC approval of the applications. Intended beneficiaries included local governments, research companies and academic institutes.

If the matter is not solved within the next three months, Brussels will suspend further applications from Poland under the Innovative Economy programme until the problems are rectified – potentially a grave problem matter for the state budget.

As of yet, the Ministry of Regional Development has not commented on the dilemma. (nh)