At informal European Council meeting, President Iohannis advocates genuine Energy Union

President Klaus Iohannis participated November 7 - 8 in Budapest in the European Council's informal meeting whose agenda included in-depth discussions on ways to strengthen EU's competitiveness, with the reports 'Much more than a market' by Enrico Letta and 'The future of European competitiveness' by Mario Draghi providing a solid foundation for taking this work forward.According to a release from the Presidential Administration, the EU leaders adopted a political declaration on a new competitiveness deal, which sets forth a series of objectives to boost competitiveness, and which will guide the activity of the European institutions in the coming period.The Budapest Declaration outlines a series of key principles and areas of action in the overall efforts to strengthen European competitiveness, with an emphasis on ensuring economic, social and territorial cohesion, convergence, as well as fair competition conditions within the EU and globally, respectively the commitment to act in unity and solidarity to the benefit of all EU citizens, the business environment and the member states.In accordance with these principles, the declaration highlights the importance of harnessing all instruments and policies in a comprehensive and coherent manner at both EU and member state level, and underlines the role of the Single Market as a driver for innovation, investment, convergence, economic growth, connectivity and economic resilience.Also, the declaration refers to the need for decisive progress towards a Savings and Investments Union, especially by expediting the completion of the Capital Markets Union. Furthermore, the document mentions the need for an industrial renewal of the EU, allowing the bloc to remain an industrial and technological powerhouse, noting that the growth of tomorrow's key technologies must be pursued, while also paying particular attention to traditional industries in transition.Another point of the declaration highlights the importance of defense readiness, including by strengthening the technological and industrial base capabilities in this sector, of research and innovation, strategic energy sovereignty, and working towards the goal of climate neutrality, promoting circular economy, digital transformation, an ambitious, strong and open commercial policy, as well as a competitive, sustainable and resilient agricultural sector capable of ensuring a stable and predictable framework for farmers.In support of these objectives, the declaration refers to the need for a simplification revolution, which will lead to the reduction of the administrative, regulatory and reporting burdens, in particular for SMEs.According to the Presidential Administration, during the discussions, President Klaus Iohannis pointed out the significant role of competitiveness in the future actions of the EU, in the new legislative cycle, as the Union wants to position itself as a global leader in the new geopolitical context marked by increasingly complex challenges. The head of the state also referred to the importance of a comprehensive vision in defining the priority directions for strengthening competitiveness, taking into account the role of European action in all areas: economic growth and investments, industry, connectivity (with all its components - energy, transport, digital), defense, education, or the combat of climate change."President Klaus Iohannis drew attention to the importance of a balanced approach, by establishing feasible targets and deadlines, taking into account the specificities of all member states," the cited source said.The head of the state emphasized that the cohesion policy represents one of the successful European policies, that produced concrete results, and is at the same time a key factor for competitiveness. In this thread, he insisted that the cohesion policy and convergence must remain the guiding lines for the future actions to strengthen the Union's competitiveness.President Iohannis also pointed out the need to fully unlock the potential of the Single Market, as a driver for European cohesion and competitiveness, advocating the removal of all barriers and full freedom of movement for all components, for a fully functional Single Market.The head of the state pleaded for the consolidation of connectivity, including interconnectivity with neighboring EU states, as a strategic priority of the Union, and welcomed the focus on the revitalization and modernization of European industry, stressing in this context the importance of supporting efforts to increase the competitiveness of large energy-intensive industries and ensure favorable conditions for a unitary and balanced development of the EU production capacities. He dwelled on the need to consolidate the defense industrial base in an inclusive manner, which should take into account the role of the member states in the vicinity of the Ukraine war, such as Romania.Highlighting the regional disparities in energy prices, Iohannis said that this remains an important challenge that requires attention to ensure a fair green transition, as a stable, integrated and resilient energy system is essential for increasing the EU's global competitiveness.President Klaus Iohannis expressed support for the goal of creating a true Energy Union that would ensure access to energy at affordable, safe and clean prices for all its citizens and businesses, as well as increased connectivity. In this context, Iohannis pointed out the benefits the inclusion of partner countries such as Ukraine and the Republic of Moldova in border interconnection projects can bring, not only from the perspective of security, but also in terms of competitiveness of the EU and its neighborhood. As far as financing for competitiveness-boosting actions is concerned, he spoke of a mix of public and private sources, which remains the main engine of European competitiveness.President Iohannis also highlighted the fact that achieving the goals of increased competitiveness and double transition will depend on the Union's ability to ensure their coherence with the social policy and to offer tangible benefits and well-being to European citizens.According to the head of state, the agri-food sector represents an integral part of increasing the EU's competitiveness overall, and the farmers' position in the food supply chain must remain a priority.The discussions at the Budapest meeting also tackled the outcome of the U.S. elections, with European leaders welcoming the results and underlining the importance of the Strategic Partnership between the EU and the United States, which is vital for the security and well-being of citizens on both continents and beyond. The EU leaders also showed that, in the current context, strengthening the resilience and competitiveness of the EU is all the more necessary and relevant, including for achieving the common strategic objectives in the relationship with the U.S. (Photo:https://www.presidency.ro/)