TAE: No covert lobbying by the executive towards the legislature! Statement following the European Court of Auditors’ special report: Transparency must apply to all.
Following the publication of the European Court of Auditors’ Special Report No 11/2025, ‘Transparency of EU funding for non-governmental organisations’ (see: https://www.eca.europa.eu/de/publications?ref=SR-2025-11 ), the European Taxpayers’ Association (TAE) is calling for greater transparency in the allocation and use of EU funds.
Both the Court of Auditors’ latest Special Report and the lobbying cases that have come to light clearly demonstrate that the existing rules are simply inadequate, said President Michael Jäger. It is not without reason that the European Court of Auditors recommends the following with regard to the allocation of funds to non-governmental organisations (NGOs):
- Improve the guidelines for the classification of non-governmental organisations.
- Improve the quality of information on EU expenditure within the financial transparency system.
- Compliance with EU values must be monitored more closely.
The European Taxpayers’ Association fully supports these demands. Furthermore, the Association calls for the consistent prosecution under criminal and civil law of all identified and proven irregularities.
The Taxpayers’ Association (TAE) expressly welcomes the investigation into the European Commission’s secret contracts with non-governmental organisations. This scandal poses an enormous reputational risk for the European Union in the eyes of its citizens, undermines mutual trust between the EU institutions, reduces its own rules on transparent lobbying to absurdity and, in our view, constitutes a misuse of taxpayers’ money.
A comprehensive investigation is in the democratic interest of all those involved and in the public interest. Transparency and the rule of law must apply equally to all and must not be justified by a supposed ‘good reason’. Principles such as the separation of powers must be strictly observed. Violations must be consistently penalised and those responsible identified. Taxpayers have the right to know what happens to their money and to be assured that it is used properly and for its intended purpose.
Background: As media reports have revealed, the European Commission’s Directorates-General for the Environment (DG ENV) and Climate Action (DG CLIMA) provided environmental organisations with substantial annual sums during the last parliamentary term. The funding of non-governmental organisations (NGOs) is not in itself objectionable. However, it has come to light that contracts with NGOs, which were not publicly accessible, were drawn up for this purpose. These agreements apparently set out in detail the lobbying activities the NGOs were required to carry out. One example is the paid lobbying against the Mercosur Agreement: the NGO lobbying was directed at the European Parliament and the European Commission. According to media reports, this was clearly aimed at preventing the agreement from going ahead. The paid lobbying of the European Parliament apparently went so far as to ensure that certain provisions were incorporated into EU law or that a specific number of Members of the European Parliament were specifically targeted.
This is unacceptable and, in our view, a clear breach of the separation of powers within the EU between the Commission (the executive) and the European Parliament and the Council of Ministers (the legislature).
It is a deeply peculiar act from a democratic perspective when parts of the executive attempt to influence other parts of the executive and, in particular, the European Parliament – the EU’s only directly elected institution.
As part of its oversight role, the European Parliament’s Committee on Budgetary Control, after persistent resistance, secured the disclosure of the contracts and immediately criticised this shortcoming. At the time the contracts were concluded, Environment Commissioner Virginijus Sinkevičius and Frans Timmermans, Vice-President of the Commission responsible for the Green Deal, were in charge of the Directorates-General for Environment (DG ENV) and Climate (DG CLIMA) respectively.
Lobbying within the European Commission against the Commission’s common interests is not only a breach of democratic principles but also disloyal to colleagues. Everyone has the right to their own opinion, but as an appointed and paid representative of the EU, one can expect that the objectives developed and officially announced by the European Commission will be supported unreservedly.
Under no circumstances should one’s own or preferred networks be given preferential treatment in the allocation of funds in order to promote conflicting interests. As taxpayers, we expect neutrality and objectivity. It is the role of the democratic decision-making process to ensure that decisions and projects are supported by a majority and are not influenced by the manipulation of public opinion. It would be hypocritical of the Commission and the NGOs to undermine their own transparency standards and rules and then complain about public criticism, whilst they themselves are known for taking a hard and vocal line against others.
The European Commission’s clear stance is more than justified. It has reacted proactively and called on non-governmental organisations receiving EU funding to refrain from lobbying Members of the European Parliament and other EU institutions.
Brussels/Munich, 14 April 2025