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2016 discharge: European Insurance and Occupational Pensions Authority (EIOPA)

2017/2172(DEC)

The Committee on Budgetary Control adopted the report by Bart STAES (Greens/EFA, BE) on discharge in respect of the implementation of the budget of the European Insurance and Occupational Pensions Authority (EIOPA) for the financial year 2016.

The committee called on the European Parliament to grant the Executive Director of the Authority discharge in respect of the implementation of the Authority’s budget for the financial year 2016.

Noting that the Court of Auditors stated that it had obtained reasonable assurance that the annual accounts of the Authority for the financial year 2016 were reliable and that the underlying transactions were legal and regular, Members called on Parliament to approve the closure of the Authority’s accounts.

They made, however, a number of recommendations that needed to be taken into account when the discharge is granted, in addition to the general recommendations that appear in the draft resolution on performance, financial management and control of EU agencies:

  • Authority’s financial statements: Members noted that the final budget of the Authority for the financial year 2016 was EUR 21 762 500, representing an increase of 7.67 % compared to 2015.
  • Budget and financial management: budget monitoring efforts during the financial year 2016 resulted in a budget implementation rate of 99.68 %, reaching the Authority’s planned target and representing a decrease of 0.29 % compared to 2015.
  • Members noted the Authority’s efforts to reallocate the Authority’s budget and manpower internally, as the Authority’s workload is increasingly shifting from regulatory tasks to supervisory convergence and enforcement. They regard it as essential that the Authority have sufficient resources to carry out its assignments in full, including dealing with any additional workload necessitated by such assignments, whilst ensuring an appropriate level of prioritisation as regards resource allocation and budgetary efficiency.
  • Commitments and carryovers: the commitments carried forward to the following year reduced from 16.21 % in 2015 to 10.71 % in 2016, demonstrating the Authority’s stricter budget monitoring. Members welcomed the fact that in 2016, the Authority achieved the lowest carry-forward percentage ever.

Members also made a series of observations regarding transfers, procurement, staff policy, the prevention and management of conflicts of interests and internal audits.

They pointed out that 2016 marked the first phase of the move to open office: a quarter of the Authority’s staff is now working in an open office environment in order to accommodate the increase in staff within the existing premises and reduce building related costs.

Members welcomed the fact that the Authority proactively engages with its members to understand the extent of the impact of the United Kingdom’s decision to withdraw from the Union on the supervision of insurance and pension activity as well as the impact on the Authority as an institution. A future decrease in the Authority’s revenue resulting from the United Kingdom’s decision to withdraw from the Union is likely.