Ministers quarrel over EU funds

  • 2005-01-26
  • From wire reports
VILNIUS - A dangerous row has erupted in the Cabinet of Ministers between the finance and economy ministers over how the government should conduct programs involving EU financial assistance.

Economy Minister Viktor Uspaskich recently signed an order calling for the ministry to stop accepting applications for financial assistance due to an overload, but he was immediately chided by Algirdas Butkevicius, the finance minister, who demanded that the order be suspended.

If Uspaskich didn't do so, the Finance Ministry would rescind the Economy Ministry's authorization to approve projects eligible for EU assistance, Butkevicius said.

Uspaskich told the Baltic News Service that his decision would remain in effect, and he urged Butkevicius, a Social Democrat, "to substantiate his claims that the decision to put a stop on acceptance of certain applications was detrimental."

"No one can tell me what I should do 's I make my decisions myself," Uspaskich, a member of the Labor Party, said. "Why would anyone want businesses to waste money - to invest in the drafting of projects, the implementation of which could not be aided by the EU."

On Jan. 17 the Economy Ministry suspended accepting further applications for EU assistance, stating that the assistance applied for exceeded the amount of aid available from Brussels. The suspension covers applications for projects aimed at enhancing the efficiency of energy consumption, from large businesses seeking direct assistance and from companies seeking funding for expansion of the accommodation, conference and entertainment business and the adaptation of public cultural heritage to tourism needs.

Prime Minister Algirdas Brazauskas has been notified about the row between the two ministers, Butkevicius told the Baltic News Service. The coalition between the SocDems and Laborites, which was finally approved by the president in November, is regarded by many analysts as tenuous.