Vulcan View: The latest EU developments 18 November – 22 November

Key Takeaways from the Executive Vice-President Hearings

The second, and final round of confirmation hearings for the next College of Commissioners took place on Tuesday (12 November). The six Executive Vice-President Hearings are as follows:

• Kaja Kallas, Executive Vice-President for Foreign Affairs and Security Policy: Kallas pledged to work on strengthening the EU’s position in the world and safeguarding its geopolitical and economic security. Kallas has called on the EU to respond to outside threats “without losing who we are”.
• Raffaele Fitto, Executive Vice-President for Cohesion and Reforms: Fitto placed special emphasis on Eastern border regions, viewing cohesion policy as a vital instrument for EU enlargement. His strategy encompasses infrastructure development, democratic value promotion and economic stabilisation in these areas. Fitto also emphasised the role of cohesion funds in promoting environmental resilience and digital transformation.
• Roxana Mînzatu, Executive Vice-President for People, Skills and Preparedness: In her opening statement, Mînzatu emphasised her commitment to guiding a strong and socially inclusive Europe by empowering all generations, and ensuring citizens are more resilient in society, democracy and in the labour market. She promised to introduce a new action plan for the European Pillar of Social Rights focusing on preparedness, quality jobs, and social fairness.
• Stéphane Séjourné, Executive Vice-President for Prosperity and Industrial Strategy: A large part of Séjourné’s hearing was taken up by political attacks from the left and right wings on his record in the French government and perceived closeness to French President Macron. Séjourné stressed the importance of industrial prosperity to Europe’s economy and shared his vision for aliging the decarbonisaton and industrial agenda. Séjourné also defended the EU’s open trading policy and promised to cut regulatory burden for companies.
• Teresa Ribera Rodríguez, Executive Vice-President for Clean, Just and Competitive Transition: Ribera emphasised the urgent need to accelerate Europe’s transition from fossil fuels, positioning it as essential to the EU’s competitiveness. She also spoke about her plans for reinforcing competition policy, focusing on the need to adapt regulations that support the competitiveness of European industries and highlighted the importance of “aligning the green transition with economic competitiveness”.
• Henna Virkkunen, Executive Vice-President for Tech Sovereignty, Security and Democracy: In her opening remarks, Virkkunen highlighted how she has seen the fundamental values, economy, and security of Europe challenged in unprecedented ways. If confirmed, she will approach the portfolio designated to her with determination, focusing on digitalisation and innovation. She highlighted the importance of the Chips Act and promised to work alongside the European Parliament on the next steps for the semiconductor industry.

The next step is for the European Parliament to confirm the Commission as a whole at their next Strasbourg plenary on 27 November. For the vote, Commission President von der Leyen’s team will only require a simple majority to be confirmed. Once the Commission is approved on this date, it will start work on 1 December, after being officially sworn in by the European Court of Justice.

Ireland ranked 17th in the 2024 IMD World Digital Competitiveness Ranking; its highest ranking over the last five years.

Singapore claimed the top spot in the global digital competitiveness rankings, solidifying its position as a global leader in technological innovation and adoption. Closely following were Switzerland and Denmark, demonstrating their dominance in digital competitiveness.

For Ireland, factor rankings showcased a mix of commendable progress and areas requiring improvement. Notable strides were observed across three key categories: knowledge (16^th), technology (20^th), and future readiness (11^th). This upward trajectory highlights Ireland’s efforts to strengthen its foundation for a sustainable digital future, which has already been reflected in policies such as Ireland’s National Strategic Roadmap for the Digital Decade Policy Programme.

Ireland’s top strengths were most notable in scientific research legislation (4^th), which ensures a supportive legal framework for innovation and in attitudes toward globalization (2^nd). Furthermore, Ireland ranked 1^st in flexibility and adaptability, as well as in opportunities and threats in terms of business agility, showcasing its resilience and innovative potential in this area.

Despite these strengths, Ireland faces notable challenges that hinder its ability to fully capitalise on its digital growth potential and overall competitiveness. One critical weakness that was identified was Ireland’s lag in total public expenditure on education (62^nd). This was not surprising given the OECD’s recent report that outlined how Ireland ranked last out of 38 countries based on expenditure as a percentage of GDP with 3.2 per cent in 2020; in comparison to almost 5 per cent for OECD countries. Furthermore, IT & media stock market capitalisation (60^th), investment in telecommunications (63^rd) and government cybersecurity capacity (58^th) were also marked as critical weaknesses for Ireland.

It was interesting to note these challenges, given that the National Cyber Security Strategy recently outlined how Ireland ranks among the leading EU Member States in terms of the uptake of the use of digital technologies. Addressing these key issues will be essential to sustain and enhance Ireland’s digital trajectory.

Compliments of Vulcan Consulting – a member of the EACCNY