European funds: by 31 December we risk losing 20 billion

Of the 64,8 billion euros of European cohesion funds made available to our country in the period 2014-2020, of which 17 from national co-financing, the total expenditure certified by Brussels as of 31 December was 35 billion, equal to 54 percent of the total amount which also includes the quota that we Italians had to bear. 

Therefore, by 31 December 2023, the deadline for implementing this seven-year period, we must spend the remaining 29,8 billion (equal to 46 percent of the total quota), 10 of which are national co-financing. If we fail to achieve this, the unused share of EU funds will be lost. 

In short, a good part of the 19,8 billion that Brussels has made available to us for at least nine years is at risk. To say it is the Research Office of the CGIA.

The reasons for this difficulty in using European money have been known for some time. First of all, we suffer from a great difficulty in adapting our Public Administration to the procedures imposed by the EU. After that, our public machinery presents very modest levels of quality of services rendered to citizens and businesses and an efficiency that can still count on ample room for improvement. Personnel, especially in the technical area, have low salaries and are often, also for this reason, not very motivated. Specificities that characterize, in particular, public employees of the regions and local authorities of the South.

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However, it should be noted that of the 19,9 billion euros of European resources that we must "ground" by the end of this year, 15,3 are in the hands of the central government (PON, ERDF and ESF projects) and 4,6 to the regions. In short, it would be wrong to "blame" only with the peripheral administrations; the need to invest in public personnel unfortunately concerns all levels.

As expected, the funds of the PNRR are also at risk. While awaiting the presentation of the new state of progress by Italy Tomorrow, according to the Update Note to the DEF (Nadef), presented on 27 September last, by 31 December 2022 we should have spent 20,5 billion euros, practically half of the 41,4 billion initially envisaged by the DEF. In this case, the increase in the cost of materials that occurred in the last year has greatly slowed down the construction of many public works, causing many of the objectives set by the PNRR to be "jumped".

Returning to the data relating to the Cohesion Funds, as of 31 December last, of the 21,2 billion financed by the EU and managed by our regions in the seven-year period 2014-2020, 16,6 have been spent and the other 4,6 will have to be within this 'year. The regional administrations most in difficulty are those of the South. By the end of 2023, on pain of losing resources, Puglia must spend another 335 million euros, Calabria 616 million, Campania 1,27 billion and Sicily even 1,45 billion. Basically, as of 31 December last year, the percentage of expenditure realized on the total to be received was only 65,5 per cent in Calabria, 65,7 per cent in Campania and 64 per cent in Sicily.

European funds: by 31 December we risk losing 20 billion

| Economics |