Toespraak Noordzeeconferentie in Göttingen

Toespraak Minister-President Geert Bourgeois Noordzeeconferentie “The future of Europe, and the future of North Sea cooperation post-Brexit”

Göttingen, 29 juni 2017

- Towards an Integrated Strategy for the North Sea

Separated on the surface but connected in the deep –

Dear Madam President of the North Sea Commission,
Dear Deputy Minister-President of Lower Saxony
Dear ministers and counsellors,
Ladies and Gentlemen,

Thank you for the warm welcome here in Göttingen.

At the end of last year, the traveling exhibition ‘Connect: Two media, One story’ opened its doors in this very city. 
The Paulinerkirche was transformed into a digital social media space.
The exhibition showed what Erasmus and Twitter have in common.
The project was a close cooperation between the Flanders Heritage Library, the National Library of the Netherlands, and the State and University Library of Lower Saxony.

It combined early printed books and contemporary media into one story. It also connected three committed North-Sea partners in one story. And today and tomorrow, we will demonstrate that this is exactly what this conference is all about.

It is about:
building a common story, looking for what unites us and discussing new ideas that foster closer cooperation.
I believe the American philosopher William James described it tellingly: “We are all like islands in the sea, separate on the surface, but connected in the deep.”

The countries bordering the North Sea share a common history.
A history in which the North Sea played a prominent role. A history that shaped our nations and regions. A history that connects us deeply, until this very day. 

Throughout history, the North Sea region played a pivotal part in the history of Europe and the world. It was the center of the Vikings' rise, or should I say ‘raids’.
Subsequently, the Hanseatic League connected merchant cities such as Bruges and Hamburg all the way up to the city of Novgorod in today’s Russia.
The golden age of Antwerp, and later of Amsterdam, was only possible thanks to these cities’ strategic location by the North Sea. Of course, the Dutch and British Empires could only flourish by using the North Sea as home to their naval base, making it possible for their merchant ships to explore new trade routes around the globe.

Between 1700 and 1815, the North Sea saw only 45 years of peace. The North Sea could be regarded at the time as the most dangerous area for shipping in the world.
Yet, the First and Second World War were still to break out.

Today

we have exchanged war for trade and individual strife for joint interest and cooperation. An impressive achievement. In parallel with the European integration process, the North Sea area became an area of stability, steadily gaining even more importance. Clearly, the EU brought peace and prosperity.

Today,

the North Sea is home to some of the busiest shipping lanes in the world and to the biggest cargo handling ports in Europe: Antwerp and Zeebruges in Flanders, Rotterdam,
Hamburg, Bremen, Felixstowe, Bergen and Gothenburg.
Worldwide competition between these ports resulted in ever more robust expansion. Yet, thanks to the cooperation between the North Sea ports they generate added value for all. Furthermore, the North Sea is Europe's main location for fishery and also has its own unique marine eco-system.

Despite the fact that half of the known reserves have been exploited, the North Sea still contains Western Europe’s largest oil and gas reserves. More promising, it has also fast become one of the leading areas for renewable energy, with a share of 72% of all installed European offshore wind capacity.

Universities and research institutes around the North Sea are among the top-ranked institutions in the EU and globally. North Sea companies and small and medium enterprises thrive in highly specialized sectors such as: clean-tech, automotive, life sciences, agrifood and added value logistics.

But above all, let’s not forget: living and working on and by the North Sea, has a long cultural tradition, connecting peoples and cultures with memories and tales passed down through many, many generations. This goes far beyond the romance of the sea: this is about cultivating the “Northern Renaissance”. A way of life we share, rooted in the early Middle Ages.  

As novelist Michael Pye tellingly described: “We share a history of science, art, enlightenment and trade. And it was the sea that brought people together. Boats carried food and raw materials, but also new ideas and information.”

A few figures to illustrate the economic importance of the North Sea today:

With only 3.5% of the world population, the 8 countries around the North Sea generate no less than 10% of global GDP. The same 8 North Sea countries hold a 26% share of the global trade in services and 22% of the global trade in goods. When looking at my own region, the numbers are even more dazzling: the North Sea countries account for 54% of the total Flemish export in goods and 49% in services and 46% of the Flemish import originates from one of the 8 countries on the North Sea. These figures clearly demonstrate our close economic interlinkage.

Today, together with the Panama Canal, the North Sea with its ‘Strait of Dover ’ and ‘English Channel’ is the busiest maritime traffic area on earth. On an annual basis 350,000 boats pass through the North Sea.  Moreover, ships get bigger every year. Only last month a new record was set in the Deurganck dock in the port of Antwerp, when the “Madrid Maersk” with a capacity of more than 20,000 containers moored there for the first time. In the future, the North Sea is only likely to become busier.
Not only it will have to cope with more and bigger ships, it will also have to provide space for wind mills, aquafarming, and energy atolls.

Better and more coordinated special planning is necessary.
I am thus convinced that closer North Sea cooperation is of vital importance for the prosperity of our generation and of the ones to follow.

Ladies and gentlemen,

The 21st Century is the century of the Ocean.
According to the European Commission the blue economy supports already 5.4 million jobs and generates a gross added value of EUR 500bn a year within the EU.
Due to fast technological developments, the potential of the blue economy is huge, supporting 7 million jobs by 2020.

Key growth sectors of the blue economy are the following:

Marine biotechnology: This is a field that can save lives: It is notably important for anti-cancer treatments. The total pharmaceutical value of the marine biodiversity is estimated to generate several hundred billion EURO’s. Yet, more than 90% of the total marine biodiversity is still to be explored.

The development of aquacultures and cosmetics: Seaweed contains few calories, yet it is very rich in vitamins, minerals and proteins. Algae – “the green gold” as described by some - can store C02 and generate oxygen. Moreover, they are also vital components for the skin-care cosmetics industry.

The extraction of deep sea minerals: Potentially as much as 10% of the total amount of resources - such as cobalt, cupper and zinc - could originate from the deep sea by 2030.

Offshore wind energy, gulf energy and energy storage: As we speak Flemish scientists are testing two gulf energy prototypes in the North Sea. By 2030 wind energy alone is estimated to generate about 14% of the total energy production within the EU. And, of course, the potential of energy-atolls is huge since we will be able to store wind energy. In this context, the off-shore grid connecting the most important wind energy parks in the North Sea is of strategic importance.

Finally,  I’d like to highlight an important breakthrough. Only recently a team of researchers from the University of Ghent managed to develop a technique whereby salt water is turned into drinking water in an energy and cost efficient way. Since we know that for every liter water on earth only two drops are drinkable, the potential impact of this discovery is clearly high. I believe, in general, we can all agree that the potential of the ‘blue economy’ is huge.

But we should by no means treat the North Sea as a kind of ‘aqua-colony’ to be explored and exploited.

On the contrary, it is our shared responsibility to promote sustainability, maintain biodiversity, and foster greater synergies and cooperation between scientists, knowledge institutions, industries, NGOs, the EU and regions and states bordering the North Sea.

A good practice in this respect is the European Marine Observation and Data network or “EMODnet”, which develops uniform depth maps for the North Sea. 
In the past, each Member State applied its own system for depth mapping of the sea.

Today, The Flanders Marine Institute in Oostende (“VLIZ”) hosts the network’s secretariat and develops the central portal and the marine data portal, fostering multidisciplinary research and knowledge sharing.

Ladies and Gentlemen,

Sadly though, one of the 28 EU Member States recently decided to leave us. This means the start of a highly adventurous journey for both the EU27 and the UK. What about the future relationship between the EU and the UK? Some voices in the UK and the Union call for a “hard” Brexit, cutting almost all ties with the European Union.

I believe this would be a very bad idea.

One cannot deny geography. We are just too intertwined with the UK. Luckily, recently I hear more and more voices on both sides of the North Sea pleading for a softer, or should I say a “smart” and “trade friendly” Brexit.  We should definitely not adhere to a punitive logic. I believe we should aim for the closest possible ties between the EU and the UK.

Whatever the result of the Brexit negotiations, acliff edge scenario must be avoided. This would be bad for citizens and businesses. I thus argue for a transition period to bridge the gap between the UK’s withdrawal and our future relationship.

Let me outline the position of my Government as concerns the second stage of the negotiations:

First:

I believe the final deal would necessarily be “sui generis”. We need in any case a comprehensive Free Trade Agreement (FTA) that should be as deep as possible.
It should at the very least encompass: 0-tariffs, s few non-tariff barriers as possible, nvestment protection, rotection of intellectual property rights and a framework for strong regulatory cooperation that avoids regulatory divergence.

We should aim for ambitious standards: no race to the bottom, product safety, food safety and and common environmental standards.

Second, I believe the Singapore-opinion of the European Court of Justice is of key importance, smoothing the ratification of the FTA with the UK.
Now we need to split the FTA and ISDS treaties. We should thus conclude three treaties:

one exit-Treaty
a comprehensive Free Trade Treaty
and a bilateral ISDS or ICS Treaty.

It will also be crucial to establish a privileged customs cooperation with the UK as a third country. Customs checks should be as frictionless as possible (e-customs).
Unfortunately, Belgium is the only country - at this stage – to highlight the importance of a customs facilitation agreement.

Fourth, in our view, we should also go further and opt for what I call a “Plus scenario”. We must maintain cooperation in areas such as:

R&D and cooperation amongst universities (Horizon 2020),
student mobility (Erasmus),
transport, ICT and energy cooperation (CEF-programme)
intelligence cooperation (Europol).

And finally, - and I believe it comes as no surprise to this audience - I am of the opinion that the EU should offer the UK the possibility to participate in a new “EU North Sea Macro-regional Strategy” for the post-Brexit era.

Ladies and gentlemen,

My analysis is that we have a real ‘patchwork’ of cooperation structures for North Sea countries and regions in place. Yet, we’re lacking one integrated vision, one general framework:

A framework that gives direction to this patchwork of cooperation structures. A framework that provides direction and makes strategic choices for the future of the North Sea. A framework acting as the cockpit for all those North Sea cooperation structures. 

And most importantly: A framework open to the UK post-Brexit and a framework that allows the EU, the 8 States bordering the North Sea and regional governments to participate. First things first, now we need clear political support at regional and  Member State level. 

From the very start we should make sure this political support is not a one-off deal. We need continued support to guarantee long-term, strategic North Sea cooperation. Of course, it is not unthinkable that in the medium or long term political leaders around the North Sea will agree upon the establishment of a new international organization.
However, We do not need a new heavy structure. We do not need a large secretariat with its own dedicated budget. What we need is a strategic organization, not additional red tape.

In future, this organization could be an “Alliance” instead of a full-fledged North Sea Union.  Yet, I believe at this stage a macro-regional strategy for the North Sea is the best answer to the challenges we are facing. Today, we already have EU macro-regional strategies for:

the Danube Region,
the Baltic Sea Region,
the Adriatic and Ionian Region
and the Alpine Region.

Why not a macro-regional strategy for the North Sea? All credits to Land Bremen who took an initiative back in 2010, but also to the Committee of the Regions and notably the North Sea Commission who drafted an excellent strategy paper, “North Sea Region 2020”, that provides for a sound basis.

First, a 'Macro-regional strategy' offers an integrated framework to the common challenges the North Sea geographical area faces. 
Secondly, a EU macro-regional strategy is open to both national and regional governments. It also helps to mobilize relevant EU funding and policies, including funding by the European Investment Bank.
Third, a macro-regional strategy allows for third countries to participate. 

As I explained, the latter might prove to be very important after the UK’s departure from the EU.
Fourth, a Macro-regional Strategy would enhance further coherence between key policy areas. I agree with the North Sea Commission’s four strategic priorities: Managing maritime space, Increasing accessibility and clean transport, Tackling climate change And supporting attractive and sustainable communities.

Yet, I believe it is quintessential to add a fifth one: Exploiting the full potential of the “Blue Economy”.

As I outlined earlier, there are so many areas in which we can work together on the enormous potential of the ‘blue industry’ in the oceans, whether in the: pharmaceutical sector, health or the food sector.

What we need is a ‘cluster policy’ for our North Sea.

Last but not least, creating a common strategic agenda for the North Sea Region might - and I profoundly hope so – help awaken the “Northern Renaissance” of our rich past.

Ladies and Gentlemen,

I am coming to the end of my speech.  To conclude and as a final remark. My government subscribed to the EU timeline regarding Brexit negotiations and I have confidence in the work of the EU negotiator and his team. Yet, we should first focus on clarity for the future EU-UK relationship which must in my view encompass a deep and ambitious trade agreement before we discuss the UK involvement in a multi-level structure uniting citizens around the North Sea.
However, if we want the North Sea cooperation to succeed by the end of Brexit, we should start discussing the outline of the structure today at EU level with all interested partners both at regional and Member State level.

I will do everything I can to limit the negative impact of Brexit as much as possible for my region, the whole of the North Sea Region and the European Union. I look forward to defending together with all of you our vision for a shared and better future for the North Sea.