Press Conferences

29. 10. 20078:22

Press conference after the meeting of the government held on 29th October, 2007

Martin Schmarcz, Office of the Government of the Czech Republic: Ladies and gentlemen, welcome to the press conference after the meeting of the government. I welcome here the Deputy Prime Minister, Mr. Jiří Čunek, I welcome the Minister of Agriculture, Mr. Petr Gandalovič and I also welcome the Minister of Health, Mr. Tomáš Julínek. In the introduction I give the floor to the Deputy Prime Minister Čunek who will briefly inform you on the meeting of the government.
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: Good afternoon everybody. You have the agenda of the meeting and so you perhaps know why we are present in this composition. I mean my colleagues Julínek and Gandalovič. Apart from other things, the government debated the point no. 2 - the Bill on Takeover Bids and some amendments to other laws. It is an amendment, which prevents securities from dealing. The bill includes also provisions on penalty and so on. So these are amendments which are to improve existing legal norms. As to the point no. 1 – it always concerns the European issues, and we debated them. As they were matters debated which were under the regime "secret", the government debated them very long but we cannot inform on them of course. The point no.3 concerned the State Agriculture Intervention Fund and it would be minister Gandalovič, who would make some comments on it. The point no. 4 concerned a change of the State Housing Development Fund. This point was not approved as it was an amendment which was to support just the only one village; I mean the village of Skorošice. With regard to the fact that this village received a subsidy of the Ministry of Regional Development for houses construction and it could not be withdrawn because of certain restitution claims, the Restitution Act would have to be amended; however some members of the government did not agree with it in spite of the fact that a legal way had been found. That is why this point was not approved in the end. For that matter, it is a problem which hampers a lot of towns and villages in their development as far as all the constructions that require building permit are concerned. The point no. 5 was withdrawn, and points no. 6, 7, 8 were conclusions of the National Audit Office and they concerned the Ministry of Agriculture and the Ministry of Health; therefore I leave them for your questions. The point no. 9 concerned organizational solution of the Air Rescue System; it means the Integrated Rescue System. It will be my colleague Julínek who will give you more detailed information. The last but one point – no there one more point was added to the agenda – the point no. 10 concerned a change of financial and deadline indicators regarding programmes of property renewal. It concerned the health care sphere and my colleague Julínek would answer your questions. Then the point no. 22 was added to the agenda, which concerned CzechPoints. The problem was how municipalities should spend those fifty-thousand-crown subsidies which were given to CzechPoints. They were above all for high-quality computers purchase and connected services, so that CzechPoints could operate. The last point which was debated was rather unpleasant point as it concerned the subsidy amounted to 430 million crowns or 13 million Euros. We received it in 1994 from the EU and the subsidy was not spent well, and thus some 100 million crowns were transferred to a Dutch company, a consulting company, which charged this amount for consulting services. Then, there were further costs and only 210 million crowns left without spending some money in favour of entrepreneurs. The government faced a problem how to solve this situation, which is being investigated by the Police, of course. The case is even being solved by the Municipal Court in Prague. The government finally decided not to return all financial means back to the EU, but to restart the programme, to add financial means from the state budget, so that the programme could be used for our small entrepreneurs through the Ministry of Industry and Trade and the Czech-Moravian Guarantee and Development Bank. So, that was one of points which were debated very long. Thank you.
Martin Schmarcz, Office of the Government of the Czech Republic: I thank the Deputy Prime Minister. Now I give the floor to the Minister of Agriculture, Petr Gandalovič.

Petr Gandalovič, Minister of Agriculture: The Ministry of Agriculture had two important points on the agenda. One of them was the Conclusion of the National Audit Office concerning spending financial means for sewerage and sewage plants. The result of the conclusion was what we had already known, that obligation of previous governments in connection with our accession to the EU, it means to meet rules concerning treatment of waste water in all towns and villages over 2000 inhabitants by 2010, is very difficult to be met. The National Audit Office stated that during last years, it means from 2003 to 2006, always fewer financial means were spent for it than it was necessary according to the concept approved and according to the time schedule of this process. We, together with Martin Bursík, were assigned a task by the government to inform in detail about this situation. Nevertheless, I can say as early as now that in case the operational programme "Environment" is not approved in a very short time for that sphere of waste water treatment, the deadline will be very difficult to be met, with all the consequences for the Czech Republic itself and for all the municipalities. As to the second material, it concerned the amendment to the Act on Agriculture. It is a quite a small amendment, but it is very significant from the view of the Ministry of Agriculture. As you know there is the Supporting Guarantee Agricultural and Forestry Fund operating in the sphere of agriculture. This fund provides number of important supporting programmes, which mostly consist in the fact that we pay interests for farmers who take credits for agriculture technology purchase or agriculture lands purchase. These programmes are very efficient and popular among farmers, and the government, based on approval of this amendment and by passing it to the Parliament, shows that it wants to use these programmes also in the future; that we want, apart from European financial means, have also financial means from the Supporting Guarantee Agricultural and Forestry Fund available to as they are more efficient in many cases. So, these were my comment regarding points that were on the agenda of the meeting of the government. Thank you.
>Martin Schmarcz, Office of the Government of the Czech Republic: I thank the Minister of Agriculture. Now the Minister of Health, Tomáš Julínek, has the floor.
Tomáš Julínek, Minister of Health: Ladies and gentlemen, let me briefly comment on my two points. The first one was the Resolution of the Government which makes organization of the Air Rescue Service possible. It provides conditions for operation of that service for the future period of time. This service will be contracted in 2009 and as early as now it is necessary to prepare conditions for it. A part of the resolution was a task, which I had fulfilled – to submit small amendment to the Act no. 20/1966, in which it had been stipulated that this service was provided by the state, and that the state funded it. It was like this in the previous times, but as the original resolution was of 2001 and in 2002 these services were transferred to regions, the tender of 2002 was in contradiction to the law. I do not want to continue in this practice and I want to be quite unambiguous that this service is paid and ensured by the state. The core of this resolution concerned principles for helicopters operation, which would be incorporated into contracts. The second point was a point, which perhaps would not have to been commented at this press conference. It concerned common issue of transfer of means and the change of state budget indicators. Nevertheless, I used this occasion at the meeting of the government, and I will use it also on this occasion, to mention our efforts to rationalize investments in the health care sphere, because I think that certain steps of the Ministry of Health are not perceived as rationalizing ones, and that far more medical public, gurus of the Czech medicine and professors are heard than those who are guarantors of the economical investments in the health care sphere. Debate on this common issue consisted in saving 500 million crowns from the state budget and in shortening deadlines of constructions which concerned especially the Motol Hospital. We also decreased a risk of increasing demands for financial means from the state budget in the course of the construction. We tried to rationalize the construction of the children department of the Motol Hospital in the framework of our possibilities. We refused the loan from European funds, which would mean some expenditures of the sate budget. In spite of this fact I am convinced that this department will serve for children well and that it is even above-standard, as far as operational costs are concerned. It is not true that it is not convenient for children treatment, but investments must be effective. So, also this example and further steps in the health care sphere, when we will transfer the individual programmes, are led by our intention to rationalize and to concentrate expensive medical care, so that tax payers would not have to pay more money, so that the money would be spent more effectively and for more subject.
Martin Schmarcz, Office of the Government of the Czech Republic: I thank members of the government and now there is time for your questions. Česká televize.
Daniel Takáč, Česká televize: Good afternoon, I would ask the Deputy Prime Minister if he could be more concrete regarding those transferred 100 hundred million crowns somewhere to Holland. Can you say what firm and what project did it concern, so that we would have more concrete information? That is one matter. The second matter, you were to debated, as far as those conclusions of the National Audit Office are concerned, the conclusion regarding the development of the transport infrastructure and road and motorway network in the Czech Republic. The report was critical as they had not been conceptual materials prepared and because construction in our country is not effective enough. What was the stand of the government? Or what steps will be taken in the future? Thank you.
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: So, regarding the first question – in the framework of the Phare Programme, which was implemented in the Czech Republic, it was a pre-structural programme and it concerned the support of small and medium-size enterprises. Based on this programme 13 million Euro were given to us and the programme was to be implemented by the then Ministry of Economy. It was transferred to the Minister for Regional Development later on. These means were transferred to various companies, which were created by the respective ministries; it means that part of means was spent in the framework of the implementation incorrectly. In this case it was quite disproportionate, as it concerned about one hundred million crowns. And these one hundred million crowns were given to the Dutch company CVP for its financial consultancy services. When you take into consideration the fact that de facto 50% of means were spent just for administration, it is evidence of uneconomical use of those means. Later on, about two years ago these matters started to be investigated and now the ministry continues in the legal action against those who were responsible for such behaviour. As to the material no. 8, I think it is a matter concerning conclusions of the National Audit Office; the government assigned a task to minister Řebíček in the end, and now I ask my colleagues to correct me if necessary, to submit certain analysis by 31st December on how to effectively control accepted projects, as all of u know that the road and motorway network projects are projects for many years and the schedule approved by the government is also a time schedule made well ahead of time. Therefore we want the Ministry of Transport to check those projects, which are now in the phase of preparation for implementation, whether all the necessary conditions of effectiveness are met. We mean for example whether a bridge is not too big in the project submitted, and if I exaggerate it – to prevent construction of two-lane communication for bicycles.
Martin Schmarcz, Office of the Government of the Czech Republic: I thank the Deputy Prime Minister. Are there any other questions?
Journalist, ČRo1: Good afternoon. Vařeková, I have a question to minister Julínek. Could you just briefly summarize results of the report on drug use in 2006 in the Czech Republic, and to add whether the government changes somehow the drug policy and how much money will be spent to the drug policy? Thank you.
Tomáš Julínek, Minister of Health: The government did not debate on this material in the course of the debate and therefore I cannot give you concrete data; I would have to have it with me. I really cannot say it by memory. There is no problem to chase it up, it is a routine assessment. There were no turnarounds in the policy. The material which would be interesting for media was debated about one month and a half ago for the future period of time. This material was just routine one.
Martin Schmarcz, Office of the Government of the Czech Republic: Česká televize, please, and then the TV Prima.
Daniel Takáč, Česká televize: Good afternoon once more. I would like to ask the Deputy Prime Minister again – the Prime Minister presented a communication strategy here on various spheres of the work of the government. Apart from other things he was speaking about the fact that it was not a matter of the ODS, that it was not a matter of the KDU-ČSL or the Green Party; he said it was a coalition matter. So, how are you content with the "Project PPP" – five priorities of the government? How will the KDU-ČSL participate in it? That is one thing. The second thing concerns the speech of the President on the occasion of the 28th October. How do you assess those fact presented by the President – the foreign policy, relationships with Austria, nuclear programme, etc. Thank you.
Martin Schmarcz, Office of the Government of the Czech Republic: Before answer of the Deputy Prime Minister, I will be a bit impolite, I apologize, neither the KDU-ČSL will participate in it, nor the ODS will participate in it, it is a really coalition project. I said it just to make the question more specific.
Daniel Takáč, Česká televize: I presented here words of the Prime Minister, as he was speaking on it. He said it was matter neither of the ODS nor the Green Party nor the KDU-ČSL. I would like to know how the Deputy Prime Minister will participate in the project.
Martin Schmarcz, Office of the Government of the Czech Republic: For that reason I insist on words of the Prime Minister that it is matter neither of the ODS, nor the Green Party or the KDU-ČSL; it is a matter of the government. We really distinguish these governmental and party political matters. It was just to make the question more specific.
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: So, the answer from my side is that you said "PPP" and then you added five "Ps" Is it so? The Prime Minister ...
Daniel Takáč, Česká televize: The Prime Minister presented it as PPP five priorities of the Prime Minister.
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: As to that partnership project, I have competence to express my opinion on it, it is surely possible, because the PPP projects are under my management; but you do not ask about them, that is a pity. As to those five "Ps", or five priorities, the press unit of the Office of the Government is certainly preparing a material which will be submitted to the government. The government has not debated it so far. It concerns the communication strategy and so I cannot answer it.
Martin Schmarcz, Office of the Government of the Czech Republic: Well, the first priority, "Resources and Public Finances", was prepared by minister Kalousek from the KDU-ČSL.
Daniel Takáč, Česká televize: And how about the President's speech?
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: As to the President's speech, it was not debated at the meeting of the government today. But it is a matter of each minister or a chairman of a political party and so it is not a matter which should be debated at the press conference after the meeting of the government.
Daniel Takáč, Česká televize: I would ask you as the chairman of the party ...
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: But I would have to have my colleagues with me, so that it would be balanced. I can say that I applauded to the speech because I can identify with number of its points.
Martin Schmarcz, Office of the Government of the Czech Republic: I thank Mr. Takáč and the Deputy Prime Minister. Are there any further questions? The TV Prima.
Tomáš Drahoňovský, TV Prima: I had similar questions in fact as my colleague Takáč. Nevertheless I would like to ask each minister about the assessment of the President's speech. How did you suit you, how did you like you?
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: You are examining personal bravery of members of the ODS, are not you?
Tomáš Drahoňovský, TV Prima: No, bravery really not, but everybody has his own preferences, and so I would like to know whether they were reflected in the speech somehow. The second question concerns also those five "Ps" of the Prime Minister. You, as ministers - did not you know anything about the communication strategy?
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: I knew about preparation of some material. The Prime Minister did not speak about it secretly but publicly. We sometimes debate on a material at the meeting of the government, it was not the case of this concrete material on communication strategy – it was not debated, how to correctly communicate with the general public, so that we would not be connected only with negative matters. I can repeat again for example that material on uneconomical spending of 400 million crowns, 50% of which were wasted. Thanks to the fact you invited me like this, I repeat – the government, and I apologize to revert to the material, the government has the only one possibility. It will either return those 200 millions, which rested, back to Brussels and it gives those 200 missing millions from the state budget and sends them away. Or, it will give 200 million crowns, it will reconstruct the programme and only 200 millions will be missing in fact. It means that for the state budget it is the same from the point of view of the state budget, but we would not have to return 200 million crowns back to Brussels and we will able to use them for our entrepreneurs. It is a legacy of the history, which is negative; nevertheless, I believe that it was the best way how to use those means. I apologize now I did not say it clearly enough, but it is the communication strategy, my colleagues will be working on this strategy, but we did not debate it so far. But we know that we will debate it one day, after the material is submitted.
Tomáš Drahoňovský, TV Prima: Yes, just to make it clear, did not the government have any influence on that communication strategy presented today by the Prime Minister?
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: There was not any communication strategy submitted today.
Tomáš Drahoňovský, TV Prima: It was. The Prime Minister arranged the press conference before the press conference after the meeting of the government; it concerned those five priorities of the government.
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: But he did not manage it in such a case. The Prime Minister left sooner. I chaired the meeting of the government from about 11:30 and this material was not debated, because the government debated for a long time those points marked "Secret" or "Restricted", about which we do not inform. Therefore we did not manage to debate it.
Martin Schmarcz, Office of the Government of the Czech Republic: I give the floor to minister Julínek regarding this point.
Tomáš Julínek, Minister of Health: I think that the Prime Minister is autonomous political person; I also say my preferences as the Minister of Health. Then I sometimes submit it to the government, and therefore I conceive it like this. Unambiguously, as far as I am informed about the content, it concerns just summary of programme objectives of the government, which are packed in a marketing manner so that priorities for the public would be legible. I understand it as a presentation of a politician Topolánek, the Prime Minister, who is doing his policy. We will certainly be debate it at a meeting of the government, but it is not a typical point for such a debate.
Martin Schmarcz, Office of the Government of the Czech Republic: By the way, I just make a comment on it; what you were presented today, the Prime Minister had presented as early as several weeks ago. He presented those five priorities; he presented those 190 programme objectives. The only one thing that you saw today, were those icons and as I can see it was impressive. Further information will be released after the material is submitted to the government and after this project is presented with all the impacts. Today just icons were presented.
Tomáš Drahoňovský, TV Prima: I would ask for the answer to that President's speech.
Tomáš Julínek, Minister of Health: Well, as I had the floor as the last one, I will continue. Just a small comment – I think that it is good to emphasize from time to time the Programme Declaration of the Government, as people often forget it, even the coalition deputies. I regard it as a very good step towards citizens and parliamentary chambers. As to the speech of the President, opinions of Václav Klaus are not new matter for me and they were projected in the speech. I would rather draw your attention to the fact that these opinions have been quite consistent during the five-year elections period. There were no discrepancies or different attitudes there, which was good. Simply, somebody emphasizes certain issues more, somebody less. Nevertheless, it is very important for the Czech Republic to have a president, whose opinions are clear and comprehensible for both citizens of our country and the political scene in the Czech Republic and in abroad. What I appreciate is tha,t in spite of the fact that presidential elections are drawing near, he still remains to be Václav Klaus, that he says those things clearly and distinctly.
Petr Gandalovič, Minister of Agriculture: Perhaps it is my turn now. I think that first of all it is necessary to say that foreign policy is under responsibility of the government. The president was talking about foreign policy in his speech and nearly in all issues was in accord with the foreign policy of the government, which was good. If you ask about the issue of the nuclear energy, I must say that I quite agree with this standpoint, but as a member of the government I am bound by the Programme Declaration of the Government, in which standpoint to this issue is clear and there is certain difference here. But I think it is a difference which is understandable to our citizens. I must say I am very content with the selection of persons awarded, I think it reflects well moral values of the Czech Republic and what persons the Czech Republic appreciates most.
Martin Schmarcz, Office of the Government of the Czech Republic: Thank you, the TV Nova – we give preference to a lady who had already a microphone in her hands.
Journalist TV Nova: I would revert to the Phare Programme, to those 13 million Euros. You said that the government agreed that it would be solved through courts. Can you disclose some names; who were in charge of it and who causes the problem?
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: The problem originated in 1994-1996 and then everybody tried to solve it somehow. The problem concerns all the ministers and I inherited it as a matter which is being solved by courts. The ministry has no variants here. I submitted a solution, which ensures that the Czech Republic would not lose further 200 million crowns. It was the only one matter I could decide on, the rest is a matter of the police and courts. There is nothing what can be done by me in this case.
Journalist TV Nova: Do you know who concluded the contract with that firm? Can you say that?
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: I would have to study all those materials, but I did not study them, they are at the court now and I cannot do anything about it. It is up to the court to decide who signed it and so on. I just solved those 200 million crowns, and I submitted the solution to the government. The government approved the solution, nothing more, nothing less.
Martin Schmarcz, Office of the Government of the Czech Republic: Česká televize, please.
Daniel Takáč, Česká televize: I would like to know whether the government was informed on the information leak from the BIS (Intelligence Service) or whether a resignation was discussed regarding director Lang, as the Committee for Intelligence Services had had its session before the meeting of the government.
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: With regard to the fact that the group of ministers, debated under the regime "Top secret", I cannot answer your question.
Daniel Takáč, Česká televize: Is the resignation of Mr. Lang being debated or not?
Jiří Čunek, 1st Deputy Prime Minister and Minister for Regional Development: I do not think that somebody has right to provide information on this meeting. The information may be reflected in the meeting of the government and we will decide what to do. I can assure you that there was no drama, the debate was held on many reports.
Martin Schmarcz, Office of the Government of the Czech Republic: I thank the Deputy Prime Minister for observing the law. Are there any other questions? There are not any. Thank you and good-bye.