It is with much concern that the Alliance of Liberals and Democrats for Europe today received the 2006 Report from the European Court of Auditors. Improvements have emerged - predominantly with regard to the CAP - in light of the implementation of the integrated system of management and control. "But the disappointment remains strong nevertheless, as for the thirteenth consecutive year, a positive statement of assurance could not be given, despite far-reaching reforms in accounting and finance systems conducted for several years", underlined Jan MULDER (VVD, Netherlands), ALDE coordinator on the Budgetary Control Committee (BUDG). This report is the first step in a budgetary discharge procedure after which Parliament will or will not endorse the European Commission's management of the European budget.

Mr. Mulder is particularly pleased that for the first time, the Court specified what it meant by an acceptable error rate. "This is something that we have been demanding for a long time and it allows us to understand that the light remains green if the error rate is less than 2%, that it changes to amber for an error rate of 2 and 5% and that it turns red beyond this figure", he commented. "In this context, I am concerned when I see that the rate of error and irregularity reaches 12% for some spending of  the Structural Funds. It is a worrying situation, as from 2008 onwards, Structural Policy will exceed CAP spending", Jan Mulder added.

Jan Mulder, who was rapporteur for the 2004 discharge procedure, recalled that Regional Policy was administered by the Member States and reiterated his proposition that each Minister of Finance should commit to the successful implementation of the accounts he/she is in charge of. "I would like more support from the European Commission", Mr. Mulder declared. Meanwhile, Parliament should obtain an annual declaration from the regulatory organisations in the Member States. For the first time, these will be available next February. "This will be helpful for the political assessment of the discharge procedure" Mr. Mulder concluded.