Conference “Fighting corruption at local and regional level”

Messina, Italy, 7 May 2010

Speech by Ian Micallef, President a.i. of the Congress of Local and Regional Authorities of the Council of Europe

Mr President,

Mr Mayor,

Excellencies,

Ladies and Gentlemen,

Dear colleagues,

It is a great pleasure for me to welcome you here today, and I would like to thank our partners in the Committee of the Regions of the European Union, the authorities of the City of Messina and the Sicily Region for responding to the initiative to convene this Conference.

This initiative is very timely because the matter which we are here to discuss is taking on a particular urgency across our continent. Most Europeans today qualify it as a major problem in their societies, reaching alarming levels. Reports from leading international institutions on the issue point in the same direction.

I am speaking about corruption, which is the central theme of this Conference. Twenty years ago, the fall of the Berlin Wall and the Communist regimes in Europe not only boosted our hopes for European integration, but also opened the door to new opportunities for building a better society, based on the principles of democracy, respect for human rights and the rule of law.

Today, it is disheartening to see these hopes being quashed, with the rise of corruption which knows no national borders and spans all levels of government. Much has been said about corruption eroding the fabric of our society and menacing democracy itself, because it undermines one of the core values on which this continent has been united – the rule of law. Most importantly, corruption destroys trust between citizens and their government, which is one of the foundations of representative democracy.

And as much as democratic processes begin at grassroots, so does the trust between the electorate and politicians. Public opinion polls show that mayors and local elected representatives enjoy a much higher level of public confidence than national and European politicians. It is the trust that elected representatives will be defending the interests of their constituencies and will follow the same rules by which their constituencies are expected to abide.

This is why corruption at grassroots, in your own community, makes matters even worse. It is said that corruption of the best is the worst. It is much more so when it deals a shattering blow to public confidence at the level closest to the citizen.

Another factor that adds to the problem is an increasing economic and financial capacity of our cities and regions. Regional economies underpin national economic development in many countries, where regions also act as the largest employers, and local and regional authorities are responsible for two thirds of all public investments within the European Union. Sadly, this situation also represents higher corruption risks for territorial administrations.

This is what brings us here today. We have convened this Conference in the strong belief that urgent joint action is needed to curb and stop corruption at the level of municipalities and regions – action that would involve all levels of governance and that would be pan-European in nature. We are convinced that this Conference will serve as the launch pad for such action, and that our exchanges today will serve for drawing up a code of good administrative practices in the fight against this problem.

Practice is indeed what we need. Much has already been done to put in place a legal framework to fight corruption and promote ethical values. I could mention the initiatives of the European Union, twelve ethical principles of conduct in the public service by the Organisation for Economic Co-operation and Development, twenty guiding principles in the fight against corruption by the Council of Europe and its two conventions on corruption; finally, the Group of States against Corruption, GRECO, whose President is with us today.

For its part, the Congress of Local and Regional Authorities elaborated the European code of conduct for the political integrity of local and regional elected representatives, the new edition of which is at your disposal during this Conference. This Code is based on our conviction that, besides introducing criminal law provisions against corruption, it is essential at European level to promote minimum ethical standards common to all local and regional elected representatives.

It is now the question of making these instruments work in administrative practice, and I look forward to hearing about your projects and initiatives in this matter.

Ladies and Gentlemen,

There are two sides to the fight against corruption: punishment and prevention. While punishment is more visible, and proves that justice is seen to be done, punitive legal action is not within the competences of local and regional authorities. Preventive action, on the other hand, which indeed addresses the root of the problem, is an area where cities and regions can play an important role.

In the Congress, we see three key factors serving to prevent corruption, which are closely linked to one another – prevention through the decentralisation of power, good governance and citizens’ participation.

The first factor, the decentralisation of power, implies the transfer of competences and financial means to local and regional level. Governing in the proximity of citizens, in its turn, means a higher degree of transparency and accountability for one’s actions and decisions, and better, more immediate public control. At the same time, a wider financial autonomy at local level means a shorter decision-making “ladder” and fewer transfers of funds, which reduces the risk for their abuse and siphoning-off at different bureaucratic steps.

Similarly, raising the quality of governance, with a strong ethical component, is the second factor contributing to lesser corruption, and better governance is also a result of decentralisation. Finally, increased citizens’ participation is another key to preventing corrupt practices. Indeed, governance which is close to the citizens, governance which is open to citizens’ participation at local level leads to greater transparency and accountability in the use of public resources, and in the exercise of power in general, reducing the possibilities for its abuse.

Ladies and Gentlemen,

The great minds have always known that power corrupts, and sought to limit its concentration – from Montesquieu with his division of powers to the American founding fathers with their system of checks and balances. In Europe, we are enjoying a strong local and regional dimension to counterbalance the power of national and European authorities.

This is why preventing the erosion of local and regional power, its erosion through corruption, is an imperative. It is imperative to make sure that local and regional authorities continue to play their crucial role in the power balance, which is compromised by corruption. It is imperative to make sure that our society remains healthy at grassroots, and the rule of law is upheld in our communities.

It has been said that the accomplice to the crime of corruption is frequently our own indifference. We are here today to show that we care, and that we are not indifferent to this major problem. We are here to reaffirm that the fight against corruption, which must begin in our cities and regions, is a task for all of us – European institutions, national governments and parliaments, local and regional authorities, civil society and the private sector.  And we are here to discuss proposals for possible action.

I wish this Conference every success, and look forward to our discussions.

Thank you.