1.1.6 The European Economic Recovery Plan (2008)

In March 2008 the European Council launched a programme meant to stimulate the EU economic recovery from the financial crisis for the last two years cycle of the Lisbon strategy, the European Economic Recovery Plan (EERP).1 The EERP focused on i) investment in knowledge and innovation; ii) improving the business environment; iii) increasing employment opportunities for the most disadvantaged, and iv) defining a climate and energy policy for Europe.2

The EERP encompassed the allocation of €200 billion into the European economy. From the €200 billion, €170 billion came from national budgets and €30 billion came from EU funds and from the European Investment Bank (EIB). It was at the time predicted that the EIB would allocate €15.6 billion in 2009 plus approximately the same figure in 2010. It was furthermore expected that the European Bank of Reconstruction and Development would also add €500 million a year to its current level of financing in new Member States. The underlying objective to this measure was to reinforce the Lisbon Strategy for Growth and Jobs in the short and longer- term and to stimulate confidence in the market, in particular in the investors, and endeavor a greener and more innovative economy.3

The EU economic recovery plan came not only as a reaction to the financial crisis but also to reinforce the Lisbon Strategy for Growth and Jobs - the recovery plan had a clear link with the Lisbon Strategy.4 The recovery plan once implemented under the Lisbon Strategy was also submitted to peer monitoring. This means multilateral surveillance by the member states (which would monitor each other) and by the Council. Both were responsible for assuring that the measures were well put in place. Concerning CSR, the plan provided a common framework to improve energy efficiency in buildings, promote the rapid take up of green products and developing clean technologies for cars and construction.