27 May 2023

Implementing the National Recovery and Resilience Plan (‘NRRP’) is a challenge for the whole country, as President of the Republic Mattarella always reminds us. A constructive approach by all is needed, so that projects can be completed and properly reported on. Everyone must proactively contribute to reaching the common objective: fully implementing the Plan, modernising the country and making it competitive. We must therefore all cooperate, especially among institutions, favouring prudence and preventive discussions.

In relation to the Court of Auditors’ findings regarding the time frames for NRRP expenditure, the following should be noted: over the 2021-2022 period, expenditure mainly referred to reporting on existing projects, i.e., those in place prior to the creation of the NRRP and that were included therein, in particular automatic tax incentive measures, such as the ‘superbonus’ and the ‘4.0 tax credit’. In addition to this, there is also the fact that, in February 2023, based on Eurostat indications, a new reporting method was defined for tax credits, which have substantially exhausted their financial allocation regarding the NRRP.

With regard to 2023 expenditure, actual reporting is subject to work beginning on public works projects worth approximately EUR 110 billion which, according to NRRP timelines, will begin over the course of 2023. Only after work projects get underway will it therefore be possible to report on progress, with a consequent increase in the actual expenditure incurred. For other measures, as planned, procedures to activate and grant funding are being finalised and, also for these measures, actual expenditure will be incurred from the second half of 2023.

In the coming months, reporting will begin on many projects and many measures; a constructive approach would be desirable by the Court of Auditors, which could support all implementing bodies during the phases of reporting, sample-based checks and checking that results have been achieved, developing formats and self-monitoring systems that would simplify the tasks of individual implementing bodies. In this way, there would therefore be no overlapping of checks and the system would be able to respond to requests from Europe more effectively. Working together, working constructively, working well.

[source: Presidency of the Council of Ministers]