Brussels urged to take ‘closer look’ at NGOs

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As the influence of civil society groups in EU policymaking increases, calls are growing for them to become more transparent about their objectives and sources of funding.

Consulting non-governmental organisations (NGOs) during the policymaking process is a key part of European governance, Commission Vice President Siim Kallas told a public hearing on the issue in the European Parliament yesterday (16 September). 

“Europe needs a vibrant civil society and NGOs are a very important partner for the Commission,” said Vice President Kallas, explaining that their long-standing tradition of cooperation is continuing to expand and intensify. 

But “noble causes always deserve a closer look, particularly as many NGOs use the same tools as corporate lobbyists,” he added, calling on more of them to sign up to the register of interest representatives launched by the EU executive in June. 

Kallas’s comments were a thinly veiled reference to “astroturf lobbying“. The practice was defined by SourceWatch, a project of the Centre for Media and Democracy in the US, to describe fake grassroots organisations that are “created or funded by corporations, industry trade associations, political interests or public relations firms” to garner support for their client’s cause. 

Less than 20% of the 334 bodies included in the register so far are NGOs. “It puzzles me that some NGOs have not yet registered, and even ones funded by the Commission have not disclosed their funding sources,” Kallas said. “People have a right to know how their money is being spent,” he stated. 

German Liberal MEP Silvana Koch-Mehrin also called on NGOs to be more forthright in making clear who is funding them. “It is important to know whether an NGO is representing the interests of society or a particular individual,” she said. 

Indeed, “any NGO performing a public role should be totally transparent” and fully disclose its funding sources, argued Transparency International‘s Miklos Marschall. “Full disclosure allows NGOs to accept a variety of funding without triggering legitimacy fears”. 

Some NGOs ‘hiding behind fronts’

Nevertheless, accountability issues are inevitable if the majority of a non-governmental organisation’s funding comes from a single source, he said, stating: “Rules should be established governing the diversification of NGOs’ funding bases,” he said, suggesting that one backer should only be allowed to provide a maximum limit of 20% of the total. 

European Public Affairs Consultancies Association (EPACA) Chairman José Lalloum claimed that “many NGOs’ real motivations and resources are unclear” and “they may be hiding behind fronts”. “I don’t have a problem with NGOs campaigning vigorously against us, nor taking the moral high ground,” he said, “but the problem is when NGOs preach morality to others when their own practices are questionable”. 

“There is a difference between what NGOs do on the ground and what they do in Brussels as interest representatives,” Lalloum continued, claiming that “they are becoming political entities and should be treated as such”. 

Meanwhile, the debate over the Commission’s lobbyists register is set to continue. Registration is currently voluntary, but its format is “not set in stone” and can be adapted in future, said Kallas earlier this year, insisting that he “will work hard” towards developing a mandatory register in conjunction with the European Parliament. 

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European Commission Vice President Siim Kallas, responsible for administration and antifraud, complained that "it is difficult for officials [at the EU executive] to assess which NGOs are important and most relevant to a particular debate," expressing hope that "the register will bring out the most important ones". 

Describing her experience of meeting NGO representatives, German ALDE MEP Silvana Koch-Mehrin said "it is not always clear who you are talking to or where the finance is coming from," stressing the importance of Commissioner Kallas’s transparency initiative would address this in full. "Lobbying is a necessary part of politics, but it is important to know who is doing it," she added, explaining that part of the difficulty lies in defining exactly what an NGO is. 

An official from the European Commission's humanitarian aid department (AIDCO) said the EU executive had "substantial contractual relationships with external actors" and as such had access to "information on their turnover, debt and origin of funds". 

Funding NGOs "fills in the gaps in the Commission's work and allows [the EU executive] to get to places that officials can't reach," he said, explaining: "We are not funding the organisations themselves. We are financing projects via open calls for tender and selecting contractors on their capacity to deliver." 

"It is the same in the European Parliament, where MEPs are paid by the EU even though some of them are against it," he added. 

"If the NGO community is serious about transparency and ethics, then do something about it," said European Public Affairs Consultancies Association (EPACAChairman José Lalloum, calling for "more visibility regarding the origins and funding of NGOs". 

Stressing the importance of creating a tracking system for NGOs and their sources of funding, former US governor Scott McCallum, CEO of the NGO Aidmatrix, said "if there are associations of legitimate NGOs, then it is easy to identify the reputable ones". 

Miklos Marschall of Transparency International, an NGO, said "by nature, civil society organisations have an accountability deficit compared to governments [voters] and businesses [shareholders]". Calling on NGOs to "publish everything," he said "who they are and where the money comes from is fundamental to their legitimacy". "If they lose their legitimacy, they lose everything." 

A representative of Friends of the Earth Europe said "the Commission's funding allows us to have a lobbying presence in Brussels, which is in its own interest as it promotes democracy. Otherwise we would not be able to operate here". 

A British representative of the Independence and Democracy (IND/DEM) group in the European Parliament complained that "the Commission is using taxpayers' money to fund activities of NGOs that citizens may not agree with". 

Commission Vice President Siim Kallas, responsible for administration and anti-fraud, was speaking at a public hearing on NGOs in the European Parliament in Brussels on 16 September. 

Organised by Alliance of Liberals and Democrats for Europe (ALDE) group MEPs Silvana Koch-Mehrin and Jan Mulder, the hearing, entitled 'Non-governmental organisations: What is at stake?', gathered representatives of the EU institutions, business and civil society to discuss the accountability of NGOs in the Brussels policymaking process. 

Meanwhile, the Commission is urging NGOs to join business and other interest representatives in signing up to the voluntary register launched by Commissioner Kallas over the summer (EURACTIV 24/06/08). 

  • European Public Affairs Consultancies Association (EPACA):Homepage

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