This Tuesday, the European Parliament gave its green light to the Restore Regulation, prepared to allocate funds to the reconstruction of areas affected by DANA in Spain. With this regulation, they say from the European Parliament, 95% of the costs of this process will be covered. Restore allows EU countries to more easily channel European Regional Development Funds (ERDF) and cohesion funds towards disaster reconstruction.
To provide quick liquidity to those who need it, additional pre-financing of up to 25% of the total amount would also be made available. The proposal would allow a more flexible use of European Social Fund Plus funds to finance short-term work plans, support access to healthcare and cover basic needs.
The flexibility would apply to disasters in 2024 or 2025. In 2025, The proposed changes are expected to mobilize 3,000 million euros in financing through advance payments for the period from 2025 to 2027.
Furthermore, Member States that have unused funds from rural development programs They will be able to use them on a fast track to compensate the losses of farmers, foresters and small and medium-sized businesses of these sectors that have suffered the destruction of at least 30% of their production potential. This money will be paid in lump sums and will be fully covered by EU funds. Payments to beneficiaries will be made before the end of 2025.
“This law is very important for regional and local authorities in regions affected by natural disasters. It shows that the EU is able to work quickly and flexibly, and that we provide real help to our fellow European citizens. That help can now be quickly available,” explained EPP MEP Andrzej Bula, one of the rapporteurs for this Restore regulation, from Strasbourg. Now these laws also have to have the approval of the Member States in the Council.