NordenBladet — This morning, the Chairperson and the Deputy Chairperson of the European Union Affairs Committee of the Riigikogu (Parliament of Estonia) participate in the video conference Meeting of the Chairpersons of the Conference of Parliamentary Committees for Union Affairs of Parliaments of the European Union (COSAC). The main topic of the meeting is the plan for restarting the EU and the Multiannual Financial Framework of the EU for 2021–2027.

Chairperson of the European Union Affairs Committee Anneli Ott said that the meeting should have taken place in May in Zagreb, the capital of Croatia, but it had been cancelled due to the pandemic. “However, it was decided to hold the meeting a little later than originally planned, and for the first time in the video conference format. One can only agree to this decision, because six months have already passed from the last meeting of the European colleagues. In that time, many things have changed and completely new topics have emerged,” she said.

Ott stated that the main topic of the meeting would be the recovery plan for the European Union and the long-term budget of the European Union for 2021–2027. “Discussions on this topic are currently relevant also in our Committee, and the European Union Affairs Committee will formulate Estonia’s position on this issue already at its tomorrow’s sitting. We will certainly be able to consider also the points that will be dealt with at the meeting this morning,” Ott said.

Deputy Chairperson of the European Union Affairs Committee Riina Sikkut added that the second topic of the meeting was the Conference of the Future of Europe, which aimed to bring the citizens closer to Europe and make them see added value in the European Union. “We try to find approached that would help maintain the link between the citizens and the EU also in other times than the elections. It is important to adopt a relevant joint declaration in the nearest future, so that it would be possible to start with the conference in the autumn,” Sikkut said.

COSAC is a cooperation format that brings together the Committees for Union Affairs of the national parliaments of the 27 Member States of the European Union.

NordenBladet — Today, on the anniversary of the June deportation, President of the Riigikogu (Parliament of Estonia) Henn Põlluaas laid the flowers and lit a candle in the memory of all victims of communism at the Memorial Wall of the Memorial to the Victims of Communism at Maarjamäe in Tallinn.  

“Today, we celebrate the day of commemoration in memory of the deported. It is the Day of Mourning,” Põlluaas said. “The June deportation, the war years that followed it, the new deportations by communists in 1945, 1949 and 1951 left a mark for long times. The tragedy we experienced etched a seal of memory into the soul of our nation that we carry from generation to generation.”

Põlluaas said that today we commemorated the victims of these tragic events – those who suffered, those who perished, those who returned and those who stayed behind. “We will not forget also other victims of communism. None of them,” he emphasised. “We bow our heads in memory of them all. We remember and we commemorate, so that nothing like that would never again be repeated, and our children would grow up with laughter and joy in a free, cornflower blue land our ancestors have left us.”

The President of the Riigikogu also visited the installation “”Wagon of Tears” that was erected on the Freedom Square in Tallinn by the Estonian Institute of Human Rights.

During the night before 14 June 1941, mass deportation took place in Estonia. Soviet repressive authorities deported around 10,000 people to Siberia. Among them, there were over 100 children under the age of one year. Even bedridden old people were deported. 6,000 children, women and men died of hunger and exhaustion, or were executed. On the Day of Mourning, all victims of repressions are commemorated.

Video of the speech by the President of the Riigikogu

Text of the speech by the President of the Riigikogu

Photos of the day of commemoration of the June deportation (author: Erik Peinar, Riigikogu)

NordenBladet — At the sitting today, the Riigikogu heard about the Estonian Human Development Report, which focuses on spatial development in Estonia and its impact on wellbeing and social processes.

Helen Sooväli-Sepping, the editor-in-chief of the Estonian Human Development Report, introduced the Report by saying that it explored the concept of space from a broad perspective by analysing Estonia’s population density, wilderness areas, urban spaces, and the debate space that unites us all. “Space as the umbrella term of this Report denotes a common space that sparks public interest and offers social benefits,” she said.

Sooväli-Sepping highlighted urbanisation as one of the trends in Estonia. “The whole world is urbanising, forming a tightly knit global market economy network,” she explained. She described urbanisation in the Estonian context as people, economy, and services clustering into Tallinn and its environs.

Today, there are 920,000 urban dwellers in Estonia, forming 62% of the country’s population; 40% of them – 550,000 people – live in Tallinn or around it.

The other side of the urbanisation coin is the shrinking of population in Estonian counties. She would not reduce the issue of shrinking to simple work related migration and search for a higher income. “The surplus and ageing of the housing stock both in terms of living conditions and construction technology have tied many Estonian families to their residences because the market value of their home is simply that low,” the editor-in-chief said.

Sooväli-Sepping made three suggestions based on the conclusions in the Estonian Human Development Report. Firstly, she sees the need for two administrative models – one in case of urbanisation, the other for shrinking populations. In case of urbanisation, we need a bolder market intervention. In case of shrinking – adaptation to a smaller, sparser, more vulnerable population that cannot be measured in terms of efficiency.

Secondly, Sooväli-Sepping believes that Estonian cities need urban policies that are founded on the actual urban areas and not the city limits. “A common urban policy would connect public transport and light traffic road networks, allowing residents, particularly the groups that depend on vehicles like children and the elderly, to move independently,” Sooväli-Sepping said.

Thirdly, she sees a need to improve civic competence and debating skills to empower citizens and promote broad-based democracy. Opportunities for this are offered by digital platforms that are currently under development, as well as competent officials and trusted experts. Sooväli-Sepping added that media education programmes in general education schools had already proven their worth, and suggested offering the same programmes to the general public for improving the quality of debate.

Indrek Ibrus, editor of the chapter Discussion Space in Estonia, then talked about the daily exchanges of opinions that together form Estonia’s idea space. Ibrus described Estonia’s discussion space as simultaneously concentrated and fragmented. He pointed out that new digital platforms have created the conditions for discussion spaces to become fragmented, and that Estonians are increasingly holding discussions in different spaces and different ways.

One of the findings of the Report was that public discussions have started to reflect the emotional style of expression used in social media platforms – quick labelling of reported situations, expression of concern or annoyance, prejudice based contemptuous attitudes, often hate speech. “This manner of communicating does not allow a social dialogue that is directed at mutual understanding, and it also supports the spreading of false information,” Ibrus said.

Media executives are very impressed by the media literacy of our youth. “Estonian teenagers know that for truthful information, they have to turn to traditional media channels and recognised institutions. So we can consider the general education curricula that develop the media literacy of our youth quite successful.”

Ibrus stressed how important it was for newspapers, radio programmes and TV-channels, i.e. edited and curated discussion space, to reach the public because the editing filter helps to separate the wheat from the chuff and keep the debate on track.

In addition to national media, we would also need a generous variety of specialised media and communication environments. “We need defined spaces to focus on more specific discussions which would allow new knowledge to develop and sink in,” he said.

Ibrus called attention to the worrying vulnerability of provincial media, which is currently being attacked even more directly than the national media. “We need to start looking for new ways to underpin independent local and regional press. These ways do not always necessarily have to be financial, although Estonia is a country that gives fairly modest support to its press, and new resources for support could be found after the introduction of a digital tax,” Ibrus suggested.

He also recommended seeking out new ways to encourage public and private media, culture and other social institutions towards an increased cooperation in Estonia. For example, Estonian Public Broadcasting could be given additional tasks to support local press.

Deputy Chairman of the Constitutional Committee Lauri Läänemets spoke on behalf of the Committee, which had discussed the Report at its sitting, mainly with a focus on the issue of inequality. More specifically, it concentrated on two messages in the report: Estonia has achieved stable wellbeing, but this has come at the price of inequality, and badly considered spatial processes have exacerbated inequalities both in urban as well as rural areas.

“We cannot have effective regional policy without a redistribution component,” Läänemets said. “Smaller resources of outlying regions weaken their positions when competing with the economic core regions of the country for receiving European Union aid.”

Läänemets feels that Estonia has overlooked the fact that urbanisation has reduced the number of people with expertise and skills in many regions, and this has led to the weakening of the social network in the relevant communities. An example of this is the capability of acquiring EU funds. In the future, this would require a regional policy that includes exceptions and a strong public intervention, which raises the question of ways to compensate for the field of knowledge,” Läänemets said.

Läänemets added that economic reorganisation as well as new lifestyle and commuting patterns feed into the vicious cycle of declining population numbers, leading to the disappearance of crucial public services, such as schools. He would also like the balance of environmental and economic considerations to receive more attention.

Läänemets made a proposal to the Board of the Riigikogu to forward the report to all the Committees for discussion, in order to identify specific steps for improvements and changes that should be set out either in the form of legislative amendments, state budget, or more long-term strategic objectives.

During the debate that followed the presentations and the questions, Yoko Alander (Reform Party), Siret Kotka (Centre Party), Heiki Hepner (Isamaa), Peeter Ernits (Estonian Conservative People’s Part), Raimond Kaljulaid (Social Democratic Party), Andres Metsoja (Isamaa), Hele Everaus (Reform Party) and Leo Kunnas (Estonian Conservative People’s Part) took the floor.

NordenBladet — The Riigikogu passed the Act on Amendments to the Courts Act and the Code of Civil Procedure (175 SE), initiated by the Government, which establishes a new mechanism in the Courts Act. It provides for the right to refer court cases to other courts of the same instance for adjudication if this is necessary for the functioning of the administration of justice pursuant to the procedure.

The jurisdiction of court cases and the location of hearing a matter will not change in the course of the delegation between the courts. In the case of an emergency situation set out in the Obligation to Leave and Prohibition on Entry Act or in the Act on Granting International Protection to Aliens, the Act grants the chairmen of circuit courts the additional right to temporarily include county court and circuit court judges in the panels of administrative courts to review applications for permission to detain aliens. Besides that, the right to obtain extraordinary assistance is provided; with the consent of the chairmen of courts, matters can also be heard on a voluntary basis at other courts of the same or a lower instance, that is, in the mission for proceedings of a judge.

Additionally, in exceptional cases, it will be allowed to extend the authority of judges released from office at their request or due to age where this is necessary for finalising the proceedings on matters distributed to them. The Act extends the obligation of a judge to notify of his or her request to be released from office at least nine months in advance, instead of the current six months.

With the amendment to the Code of Civil Procedure, the adjudication of all appeals filed against orders on entry in registry matters will be transferred to the special jurisdiction of Tartu Circuit Court through Tartu County Court. The aim of the amendment is to concentrate the competence in registry matters permanently to the territorial jurisdiction of Tartu courts and thereby to increase the specialisation of judges.

90 members of the Riigikogu voted for the passage of the Act.

The Riigikogu passed two other Acts

The Riigikogu passed an Act under which the Agricultural and Food Board will be established on the basis of the Agricultural Board and the Veterinary and Food Board. The new agency will start operating on 1 January 2021.

The merger of the authorities proceeds from a more general principle of the state reform, namely to reduce the duplication of activities in different state offices, to reduce the number of administrative agencies and to improve the quality and availability of public services.

The Agricultural and Food Board to be formed after the merger of the agencies will perform all the current main functions of the two agencies, which will require retention of the present staff, among other things. With the reorganisation of the two agencies, the capability of risk-based inspection will increase, the management of information in the entire food production chain will improve, and the quality of the prevention and information activities to reduce offences will grow. The communication aimed at clients will be more comprehensive, and the administrative burden to clients will be reduced.

89 members of the Riigikogu voted for the passage of the Act on Amendments to the Government of the Republic Act and Other Acts in connection with the Reorganisation of the Agricultural Board and the Veterinary and Food Board into the Agricultural and Food Board (164 SE), initiated by the Government.

The Act on Amendments to the Foreign Service Act and Amendments to Other Associated Acts (45 SE), initiated by the Government, makes the current foreign service officials’ salary system similar to that of other officials, among other things. The principles of the reimbursement of the costs relating to the payment of the foreign mission allowance and to long-term assignments abroad are also changed.

The procedure for the assignment of specialised diplomats and non-staff administrative officials to foreign missions is also amended, and the decision-making competence relating to the assignment, including appointment to posts, is left to the sending ministry. The amendments will also bring greater flexibility to deciding issues at local level. The expenses and the frequency of the acts connected with the issuing of diplomatic passports will also be reduced.

The amendments concern all officials employed in foreign missions and their family members, that is, approximately 800 people, and will not reduce the total income of officials who are on long-term assignment abroad. The aim is that the living standard of officials would not deteriorate as a result of the harmonisation and simplification of the foreign service. On the entry into force of the Act, the Foreign Affairs Committee of the Riigikogu will see to it that the implementing acts meet the set aim.

87 members of the Riigikogu voted for the passing of the Act.

The Riigikogu concluded the second reading of 12 Bills

The Bill on Amendments to the Police and Border Guard Act (161 SE), initiated by the Legal Affairs Committee, provides for ensuring the police officers and border guard officials as well as their family members, who have been granted the pension for incapacity for work or the survivor’s pension, a pension that is at minimum equal to the pension they would have received if the basis for calculating their pensions had not been reduced by 8 per cent from 1 July 2009.

The Bill was occasioned by the need to treat equally the persons who receive the superannuated pensions of police officers as well as the persons who receive the pensions for incapacity for work and survivor’s pensions of police officers and border guard officials.

The second reading of the Bill on Amendments to the Trade Unions Act, the Working Conditions of Employees Posted to Estonia Act and Other Acts (158 SE), initiated by the Government.

The Bill will establish measures to better protect the rights of posted workers. It will be specified that posted temporary agency workers who are posted by user undertakings in the framework of the provision of services are also posted workers. The Bill will also amend the terms and conditions of employment that must be ensured to posted workers during their stay in Estonia. According to the Bill, instead of the minimum remuneration, remuneration will have to be ensured to workers, and expenditure incurred on account of the posting will have to be reimbursed additionally. A regulation for long-term posting will be established, under which the whole Estonian labour law, instead of the minimum terms and conditions of employment listed in the Act, will have to be applied to a posted worker after he or she has worked in Estonia for 12 or 18 months.

Urmas Espenberg (Estonian Conservative People’s Party Faction) took the floor during the debate.

The Bill on Amendments to the Recognition of Foreign Professional Qualifications Act and the Building Code (179 SE), initiated by the Government, will specify the provisions relating to the recognition of professional qualifications on the basis of a relevant EU directive that has been transposed into Estonian law; the European Commission has initiated infringement proceedings because it has found that the directive has not been transposed as required.

The purpose of the recognition of professional qualifications is to ensure access to the pursuit of regulated posts and professions in member states of the European Union, member states of the European Economic Area and the Swiss Confederation under equal conditions. The Bill will also specify the regulation of the recognition and the acquired rights of architects.

The Bill on Amendments to the Plant Protection Act, the Organic Farming Act, the State Fees Act and the Plant Propagation and Plant Variety Rights Act (142 SE), initiated by the Government, will bring the Acts into conformity with the EU Plant Health Regulation and the Regulation regulating the carrying out of official controls, which are applied from 14 December 2019. For that, several provisions of the Plant Protection Act, the Organic Farming Act, the State Fees Act and the Plant Propagation and Plant Variety Rights Act are updated or repealed. Besides that, the Plant Protection Act is amended due to the amendments to the relevant EU directive.

A significant amendment to the Plant Protection Act is the extension of the obligation to submit a notice of economic activities to almost all operators engaged in the sale of planting material. The requirement of activity licence will also be extended to the operators who, for example, wish to engage in wooden packing material, and to operators who wish to issue plant passports.

The principles of financing follow-up plant health checks will be changed. The state fees of the plant health field have also been updated to cover the costs of official controls.

In the Organic Farming Act, the general bases for carrying out official controls, and the requirements for sampling and analysis will be provided. Pursuant to an amendment, the authorisations for placing imported organic products on the market will be no longer issued because the relevant EU import system has changed. The state fees for supervisory acts on organic farming will also be updated in order to compensate the increase of the supervisory expenses due to the rapid development of the organic farming sector.

During the debate, Urmas Kruuse (Reform Party), Merry Aart (Estonian Conservative People’s Party), Heiki Hepner (Isamaa) and Aivar Kokk (Isamaa) took the floor.

The Bill on Amendments to the Government of the Republic Act and Other Acts (merger of the Environmental Board and the Environmental Inspectorate) (184 SE), initiated by the Government, provides for the merger of the Environmental Board and the Environmental Inspectorate, two governmental authorities in the area of government of the Ministry of Environment. The name of the merged agency will be the Environmental Board. For that, amendments will be made to the Government of the Republic Act and 38 other Acts.

The merger of the Environmental Board, which implements the policy of environment use, nature conservation and radiation safety, and the Environmental Inspectorate, which exercises environmental supervision, is part of the state reform plan. The merger of the Environmental Board and the Environmental Inspectorate will also give a certain saving, in particular in terms of more effective use of vehicles and real estate.

According to the explanation, the Environmental Board and the Environmental Inspectorate employ a total staff of 512. The new agency will have its official address in Pärnu. Both agencies are already now in dispersed locations across Estonia. According to the current plan, the merged Environmental Board will start work on 1 January 2021.

During the debate, Peeter Ernits (Estonian Conservative People’s Party) and Siim Kiisler (Isamaa) took the floor.

The Bill on Amendments to the Road Transport Act and Amendments to Other Associated Acts (157 SE), initiated by the Government, will extend the range of persons who will be exempt from the requirement of the professional training for professional drivers. For example, in the future, the requirement to complete professional training will not extend to persons engaged in the maintenance of category D vehicles who drive vehicles without passengers from the vehicle storage facility of the carrier to a nearby maintenance or repair facility.

With a view to implementing the new European Union framework Regulation on the type-approval of motor vehicles and their trailers, the bases for the invalidation of type-approvals will be specified. According to it, the Road Administration will be able to invalidate type-approvals on broader bases than before, including also in the event of submission of false data during market surveillance.

The Bill will also establish an obligation for vehicle owners to have their vehicles repaired where the vehicles have manufacturing defects or do not correspond to their type-approvals. According to the Bill, the obligation to bring vehicles into conformity will lie with manufacturers. The Bill will provide for an obligation of vehicle owners to enable manufacturers to implement corrective measures to bring vehicles into conformity. Vehicles that are not in conformity will not be able to pass roadworthiness tests in the future.

The Bill on Amendments to the Public Procurement Act and the Commissioning of Artworks Act (177 SE), initiated by the Government, will amend the provisions regulating electronic information exchange. As a result of an amendment, suppliers will be released from the obligation of electronic information exchange in public procurements of small value, less than 30,000 euro in the case of supplies and services, and less than 60,000 in the case of works.

Under the current Act, high-security electronic exchange of information must be used in the case of every public procurement regardless of the value. The purpose of the amendment is to enable simpler electronic information exchange (e.g. by e-mail) in public procurements of smaller value whereby the workload of contracting authorities and the administrative burden of tenderers will be significantly reduced. In the case of reopening a competition on the basis of a framework agreement, the obligation of electronic information exchange would not apply where the estimated value of the public contract to be awarded is below the simple procurement threshold, that is, below 30 000 euro in the case of supplies and services. In the case of public procurements that do not fall within a simplified procurement threshold provided for by law, the obligation of electronic information exchange would apply starting from the public procurement threshold.

An amendment to the Commissioning of Artworks Act will increase the threshold that requires the commissioning of artworks in connection with contracting for works. The current threshold of 450 000 euro will be raised to 750 000 euro. The price cap for art works procured will also be increased. Starting from 2010 when the Commissioning of Artworks Act was passed, the price cap for art works procured has been limited to 65 000 euro. The Bill will increase the price cap to 110,000 euro. The general principle remains in place that the total price of works of art without the value added tax must be at least 1/100 of the price of the procurement contract or the total price of the procurement contracts but the maximum price does not exceed 110,000 euro. The cap of 110,000 is not an obligation but the highest possible price limit.

In addition, the Minister of the Environment will be given the authority to establish mandatory environmentally sound criteria in procurements to purchase furniture, cleaning products and services, office IT-equipment, and copying and graphic paper.

The Bill on Amendments to the State Borders Act (178 SE), initiated by the Government, will establish a border zone and amend the provisions concerning the border strip so that they would be in conformity with the actual needs.

In the designing of Estonia’s eastern border and the construction of test sections, it has become apparent that it is very complicated to construct the elements necessary for guarding the border on the up to ten-metre border strip required by law. Since the landscape varies in all border sections, different solutions are needed to complete them and every border section must be designed in a different way. Therefore the ‘ten-metre’ definition will be eliminated from the Act, and in the future the Government of the Republic will determine the width of the border strip with its Regulation.

The Bill will provide for a regulation of the border zone in order to ensure efficient border security and border regime. A territory with a width of up to five kilometres, extending inland from the border strip and parallel with the border strip, constitutes the border zone. The width of the border zone will also be determined by a regulation of the Government of the Republic, taking into account the size of the territory necessary for guarding the state border and the natural conditions.

The organisation of the entry of vehicles in road border crossing points will be amended. Under the current Act, the minister responsible for the area may transfer the task of organising the entry of vehicles in a road border crossing point and of managing the database of the border crossing queue to the local authority or a legal person in private law.

The Bill will grant the minister responsible for the area the right to authorise the Police and Border Guard Board to conclude the abovementioned contracts under public law; the fees charged for the organisation of a border crossing queue will be established to the accuracy of euro; the regulation of the organisation of a border crossing queue will be separated from the border regime regulation in the Act because it is a traffic organisation measure, and the regulation will be made clearer and more understandable.

The amendment will help enhance the organisation of the entry of vehicles in road border crossing points, which will improve traffic safety on the roads leading to border crossing points.

Riho Breivel (Estonian Conservative People’s Party Faction) took the floor during the debate.

The Bill on Amendments to the Aliens Act, the Income Tax Act and the Taxation Act (reduction of the abuse of the rules for working in Estonia) (145 SE), initiated by the Government, will prevent the abuse of the rules for working in Estonia and ensure that businesses do not evade the payment of taxes and pay the average gross monthly wage in Estonia to aliens as required by law.

The explanatory memorandum notes that the factual activities of an alien employed in Estonia must meet the legal basis for and the purpose of his or her employment in Estonia. In addition to third-country nationals who are being employed in Estonia for a short term and their employers, the obligation to prove the legality of the employment in Estonia would also extend to undertakings using temporary agency staff, that is, user undertakings. If an alien does temporary agency work or provides a service in Estonia, the user undertaking is also required to ensure that the alien is employed in Estonia according to the legal basis given therefor and the contract entered into between the employer and the user undertaking or another agreement. Upon failure to meet the obligation, in the future, it will be possible to bring to justice and punish user undertakings by a fine under misdemeanour law. The maximum fine rate will be 300 fine units for natural persons and 32,000 euro for legal persons. The same fine rates are also in force now.

The legal basis for workers’ stay and employment in Estonia can be checked through electronic queries on the homepage of the Police and Border Guard Board. In the case where a worker has no legal basis for employment, it will also be possible to submit applications for the registration of short-term employment of an alien electronically through the self-service environment of the Police and Border Guard Board.

The aim of the amendments to the Income Tax Act and the Taxation Act is to ensure that the income tax liability of all undertakings offering the temporary agency staffing service in Estonia and the people employed in Estonia is as similar as possible. As a result of the amendments, the right to tax the remuneration of non-residents working in Estonia will be specified. An obligation to register with the Tax and Customs Board and to withhold income tax on remunerations will be established for non-resident undertakings who have employees in Estonia.

The Bill on Amendments to the 2014‒2020 Structural Assistance Act and the Foreign Relations Act (129 SE), initiated by the Government, will specify the implementation of the operational programme for the investment for growth and jobs under the EU Cohesion Policy 2014–2020. The Bill will regulate more specifically the responsibility of the Ministry of Finance as the main entity performing the functions of the Member State, and the State Shared Service Centre as the entity performing mainly the functions of the managing authority in the preparation and implementation of the operational programme. The functions of the authorities will remain essentially the same compared to the ones assigned from 1 September 2018 as a result of the restructuring within the framework of the single assistance application services pilot project. In addition, the obligation to follow the general principles of public procurements in the case of smaller-scale procurements will be mitigated.

The Foreign Relations Act will provide for the possibility to initiate compulsory enforcement proceedings in respect of decisions to reclaim support granted from foreign aid. This is necessary for reclaiming the support granted from of the European Economic Area Financial Mechanism and the Norwegian Financial Mechanism, as well as the funds of the Asylum, Migration and Integration Fund and the Internal Security Fund.

The Bill on Amendments to the Money Laundering and Terrorist Financing Prevention Act and Other Acts (130 SE), initiated by the Government, will transpose a European Union anti-money laundering directive and establish several international standards within Estonia. The prevention of money laundering and terrorist financing in the Republic of Estonia will be enhanced thereby. Also, a framework for the prevention of money laundering and terrorist financing will be prepared for an upcoming international evaluation.

The Bill will establish a register of bank accounts to link all Estonian credit and payment institutions, establish a list of positions of politically exposed persons and create a mechanism to improve the quality of the data on beneficial owners in the commercial register. At the same time, the possibilities to check banks’ compliance with international financial transactions will be increased, additional measures to protect “whistle-blowers” will be established, and the possibilities for banks, notaries and other obliged entities to exchange information among themselves will be improved.

The Bill on Amendments to the Alcohol Act, the Local Government Organisation Act, the Local Government Financial Management Act and the Income Tax Act (194 SE), initiated by the Finance Committee.

The Bill will extend the deadlines by which local governments will have to adopt amendments to the budget strategy and the development plan and, on the basis of that, submit the draft budget and the explanatory memorandum to the municipal council this year. The regulation for withholding income tax on Natura 2000 support for private forest land will also be amended.

In addition, the Bill will specify the Alcohol Act. The explanatory memorandum notes that, under the current Act, alcoholic beverages must not be placed so as to inevitably expose consumers to them when visiting the shop and the display of alcoholic beverages shall not be noticeably visible from the rest of the sales area, unless the compliance with those requirements is not reasonably feasible due to the size of the sales area. The Bill specifies that, among other things, a selection of alcohol may be placed behind the seller in a shop, so that visitors cannot enter such part of the area of the display of alcoholic beverages. The display area may be located behind and beside the seller, and the seller may move around in it, but the decisive criterion will be that the area must not be accessible to visitors.

Jevgeni Ossinovski (Social Democratic Party) took the floor during the debate.

The Riigikogu concluded the first reading of a Bill

The Bill on Amendments to the Medicinal Products Act and the Health Insurance Act (205 SE), initiated by the Government, will improve the availability of medicinal products, simplify the regulation of the import and export authorisations for medicinal products, and improve the pharmacy service. At the same time, the regulation of marketing authorisations for medicinal products will be updated, and the requirements for advertising medicinal products will be brought into conformity with EU law. In the future, it will be easier for consumers to dispose of unusable medicinal products.

The Bill provides for the possibility to issue authorisations for import of unauthorised medicinal products by way of exception for compassionate reasons to a group of patients with a chronically or seriously debilitating disease or whose disease is considered to be life-threatening, and who can not be treated satisfactorily by an authorised medicinal product. The amendment will give the Estonian patients access to medicinal products in the clinical trials stage in situations where this remains the only possible solution for a patient.

The Bill will simplify the procedure for carrying medicinal products when travelling. Instead of the State Agency of Medicines, pharmacies will begin to issue the relevant certificates for certain medicinal products valid in the Schengen area.

Pharmacies will be enabled to issue to consumers medicinal products prepared or sold in other pharmacies. To improve the availability of medicinal products, it will be permitted to also provide the pharmacy service via video call in branch pharmacies located in rural areas where there is no other pharmacy in the vicinity.

An amendment will update the conditions for advertising medicinal products, and will eliminate the restriction under which only marketing authorisation holders and their representatives may make and commission advertisements of medicinal products. In the future, in addition to the marketing authorisation holder, it will also be possible to hold liable the person placing, producing or publicising advertising, that is, the person who commits the violation.

NordenBladet — Agenda for the 18th Working Week (15 June 2020–18 June 2020) of the 3rd Session of the Riigikogu Plenary Assembly

Monday, 15 June

1. Bill on Amendments to the Plant Protection Act, the Organic Farming Act, the State Fees Act and the Plant Propagation and Plant Variety Rights Act (142 SE), initiated by the Government of the Republic
Third reading

2. Draft Resolution of the Riigikogu “Appointment of Members of the Supervisory Board of the Bank of Estonia” (209 OE), submitted by the Finance Committee
First reading
Report by Aivar Kokk, Chairman of the Finance Committee

3. Bill on Amendments to the Rescue Act and the Weapons Act (128 UA), initiated by the Government of the Republic
Second reading
Report by Tarmo Kruusimäe, member of the Legal Affairs Committee

4. Bill on Amendments to the Building Code and Other Acts (173 SE), initiated by the Government of the Republic
Second reading
Report by Kristen Michal, Deputy Chairman of the Economic Affairs Committee

5. Bill on Amendments to the Government of the Republic Act (187 SE), initiated by the Government of the Republic
Second reading
Report by Paul Puustusmaa, Chairman of the Constitutional Committee

6. Bill on Amendments to the Fiscal Marking of Liquid Fuel Act and Amendments to the Taxation Act in connection with that (203 SE), initiated by the Government of the Republic
Second reading
Report by Aivar Kokk, Chairman of the Finance Committee

7. Bill on Amendments to the Environmental Charges Act (204 SE), initiated by the Government of the Republic
Second reading
Report by Aivar Kokk, Chairman of the Finance Committee

8. Bill on Amendments to the Alcohol, Tobacco, Fuel and Electricity Excise Duty Act (207 SE), initiated by the Estonian Conservative People’s Party Faction, the Estonian Centre Party Faction and the Faction Isamaa
First reading
Report by Tarmo Kruusimäe, Member of the Riigikogu
Report by Aivar Kokk, Chairman of the Finance Committee

9. Draft Resolution of the Riigikogu “The Granting of a State Guarantee under Article 11 of the Council Regulation (EU) 2020/672 on the Establishment of a European Instrument for Temporary Support to Mitigate Unemployment Risks in an Emergency (SURE) following the COVID-19 Outbreak”, submitted by the Government of the Republic
First reading
Report by Martin Helme, Minister of Finance
Report by Aivar Kokk, Chairman of the Finance Committee

10. Bill on Amendments to the Traffic Act (191 SE), initiated by the Government of the Republic
First reading
Report by Taavi Aas, Minister of Economic Affairs and Infrastructure
Report by Kalvi Kõva, member of the Economic Affairs Committee

11. Railways Bill (201 SE), initiated by the Government of the Republic
First reading
Report by Taavi Aas, Minister of Economic Affairs and Infrastructure
Report by Jüri Jaanson, member of the Economic Affairs Committee

12. Bill on Amendments to the Energy Sector Organisation Act and the Natural Gas Act (202 SE), initiated by the Government of the Republic
First reading
Report by Taavi Aas, Minister of Economic Affairs and Infrastructure
Report by Kai Rimmel, member of the Economic Affairs Committee

13. Interpellation concerning the situation of the labour market (No. 34), submitted by members of the Riigikogu Helmen Kütt, Indrek Saar, Ivari Padar, Jaak Juske, Riina Sikkut, Katri Raik, Heljo Pikhof and Raimond Kaljulaid on 12 May 2020
Reply by Jüri Ratas, Prime Minister

14. Interpellation concerning the monitoring of the budget expenditure (No. 35), submitted by members of the Riigikogu Maris Lauri, Keit Pentus-Rosimannus, Andrus Seeme, Jüri Jaanson, Madis Milling, Toomas Kivimägi, Urve Tiidus, Signe Kivi, Liina Kersna, Kaja Kallas, Urmas Kruuse, Valdo Randpere, Mart Võrklaev, Andres Sutt, Erkki Keldo, Annely Akkermann, Taavi Rõivas, Heidy Purga and Kristina Šmigun-Vähi on 14 May 2020
Reply by Jüri Ratas, Prime Minister

15. Interpellation concerning the Road Management Plan for 2020–2030 (No. 25), submitted by members of the Riigikogu Aivar Sõerd, Yoko Alender, Andres Sutt, Urve Tiidus, Annely Akkermann, Toomas Kivimägi, Jüri Jaanson, Valdo Randpere, Signe Riisalo, Andrus Seeme, Ants Laaneots, Kristina Šmigun-Vähi and Urmas Kruuse on 11 February 2020
Reply by Taavi Aas, Minister of Economic Affairs and Infrastructure

Tuesday, 16 June

1. Bill on Amendments to the Family Benefits Act and Amendments to Other Associated Acts (185 SE), initiated by the Government of the Republic
Resumption of the second reading
Report by Priit Sibul, member of the Social Affairs Committee

2. Bill on Amendments to the Labour Market Services and Benefits Act and the Unemployment Insurance Act (206 SE), initiated by the Government of the Republic
Second reading
Report by Tõnis Mölder, Chairman of the Social Affairs Committee

3. Bill on Amendments to the Bankruptcy Act and Other Acts (195 SE), initiated by the Government of the Republic
First reading
Report by Raivo Aeg, Minister of Justice
Report by Jaanus Karilaid, Chairman of the Legal Affairs Committee

4. Bill on Amendments to § 140 of the Riigikogu Rules of Procedure and Internal Rules Act (182 SE), initiated by the Estonian Reform Party Faction and the Social Democratic Party Faction
First reading
Report by Kaja Kallas, Member of the Riigikogu
Report by Paul Puustusmaa, Chairman of the Constitutional Committee

Wednesday, 17 June

1. Bill on Amendments to the Money Laundering and Terrorist Financing Prevention Act and Other Acts (130 SE), initiated by the Government of the Republic
Third reading (Majority vote of the members of the Riigikogu)

2. Bill on Amendments to the Government of the Republic Act (187 SE), initiated by the Government of the Republic
Third reading in case the second reading is concluded (Majority vote of the members of the Riigikogu)

3. Bill on Amendments to the Government of the Republic Act and Other Acts (merger of the Environmental Board and the Environmental Inspectorate) (184 SE), initiated by the Government of the Republic
Third reading (Majority vote of the members of the Riigikogu)

4. Bill on Amendments to the Trade Unions Act, the Working Conditions of Employees Posted to Estonia Act and Other Acts (158 SE), initiated by the Government of the Republic
Third reading

5. Bill on Amendments to the Police and Border Guard Act (161 SE), initiated by the Legal Affairs Committee
Third reading

6. Bill on Amendments to the Recognition of Foreign Professional Qualifications Act and the Building Code (179 SE), initiated by the Government of the Republic
Third reading

7. Bill on Amendments to the State Borders Act (178 SE), initiated by the Government of the Republic
Third reading

8. Bill on Amendments to the Road Transport Act and Amendments to Other Associated Acts (157 SE), initiated by the Government of the Republic
Third reading

9. Bill on Amendments to the Public Procurement Act and the Commissioning of Artworks Act (177 SE), initiated by the Government of the Republic
Third reading

10. Bill on Amendments to the 2014‒2020 Structural Assistance Act and the Foreign Relations Act (129 SE), initiated by the Government of the Republic
Third reading

11. Bill on Amendments to the Aliens Act, the Income Tax Act and the Taxation Act (reduction of the abuse of the rules for working in Estonia) (145 SE), initiated by the Government of the Republic
Third reading

12. Bill on Amendments to the Alcohol Act, the Local Government Organisation Act, the Local Government Financial Management Act and the Income Tax Act (194 SE), initiated by the Finance Committee
Third reading

13. Bill on Amendments to the Rescue Act and the Weapons Act (128 UA), initiated by the Government of the Republic
Third reading in case the second reading is concluded

14. Bill on Amendments to the Building Code and Other Acts (173 SE), initiated by the Government of the Republic
Third reading in case the second reading is concluded

15. Bill on Amendments to the Fiscal Marking of Liquid Fuel Act and Amendments to the Taxation Act in connection with that (203 SE), initiated by the Government of the Republic
Third reading in case the second reading is concluded

16. Bill on Amendments to the Environmental Charges Act (204 SE), initiated by the Government of the Republic
Third reading in case the second reading is concluded

17. Draft Resolution of the Riigikogu “The Granting of a State Guarantee under Article 11 of the Council Regulation (EU) 2020/672 on the Establishment of a European Instrument for Temporary Support to Mitigate Unemployment Risks in an Emergency (SURE) following the COVID-19 Outbreak”, submitted by the Government of the Republic
Second reading in case the first reading is concluded
Report by Aivar Kokk, Chairman of the Finance Committee

18. Report by Chancellor of Justice “The rule of law in emergency situation”
Report by Ülle Madise, Chancellor of Justice

19. Bill on Amendments to the Spatial Data Act and the Apartment Ownership and Apartment Associations Act (196 SE), initiated by the Government of the Republic
First reading
Report by Rene Kokk, Minister of the Environment
Report by Erki Savisaar, Chairman of the Environment Committee

20. Bill on Amendments to the Place Names Act (186 SE), initiated by the Government of the Republic
First reading
Report by Jaak Aab, Minister of Public Administration
Report by Heiki Hepner, member of the Rural Affairs Committee

Thursday, 18 June

1. Bill on Amendments to the Family Benefits Act and Amendments to Other Associated Acts (185 SE), initiated by the Government of the Republic
Third reading in case the second reading is concluded

2. Bill on Amendments to the Labour Market Services and Benefits Act and the Unemployment Insurance Act (206 SE), initiated by the Government of the Republic
Third reading in case the second reading is concluded

3. Bill on the Ratification of the Protocol amending the Convention for the Protection of Individuals with regard to Automatic Processing of Personal Data (143 SE), initiated by the Government of the Republic
Second reading
Report by Paul Puustusmaa, Chairman of the Constitutional Committee

On Monday, 15 June, after all items on the agenda have been discussed, the time for unscheduled statements begins, to continue until no further requests for the floor are made, but not longer than until 12 midnight.

On Wednesday, 17 June, from 12 noon to 2 p.m., Question Time takes place.

Source: Parliament of Estonia

NordenBladet — Today, the Riigikogu deliberated the matter of significant national importance “The Estonian Budgetary Policy”, initiated by the State Budget Control Select Committee.

Chairman of the State Budget Control Select Committee Jürgen Ligi, Governor of the Bank of Estonia Madis Müller, Chairman of the Fiscal Council Raul Eamets and Chairman of the Board of the Estonian Chamber of Commerce and Industry Toomas Luman delivered reports.

Jürgen Ligi said that affordable spending had been an Estonian tradition for two decades, and for a long time, Estonia had had reasons to be proud of it. He added that therefore Estonia had been somewhat ahead of the times when Europe as a whole, and especially some South European countries, had been living in debt for a long time. “Their debts have piled up, they have had to spend a great part of their time or a great part of their energy, their economic potential to serving their debts,” Ligi said. He remarked that Estonia had been more stable in that sense. “However, when the tendency in Europe is towards repentance, then it is exactly the opposite in Estonia. The government that took office in 2016 managed to significantly worsen also the budget for 2016 by adding expenses and removing revenues, and in 2017, such a decline began that even international organisations started to react to it with criticism,” Ligi said.

Ligi pointed out that the National Audit Office had drawn attention to the fact that Estonia’s actual budgetary balance had grown drastically worse, even in comparison to the predictions. “When the budget rule was slackened, they allowed themselves a deficit which was not adequate. In real life, control over expenses disappeared and for years, there were errors in one direction, towards the negative, and this was both nominally and structurally. The situation is worsening, by the amount of defence spending, by the amount of one year’s defence spending we were on the negative side last year, and slack behaviour was the reason for that to a great extent.”

Ligi said that he believed that Estonia’s future would be more interesting than or as interesting as during the recession, because all problems of the structure and the budget had been hidden under loan money. “On the one hand, there have been problems with using the loans; on the other hand, these decisions are continuously hidden, even in this hall.”

Madis Müller said that in comparison with other euro area countries, the situation of Estonian economy had been better in recent years, and in 2016–2019, the GDP gap in three countries out of the 19 euro area countries had been greater than in Estonia. Estonia’s structural budget deficit was higher than the euro area average. In five euro area countries, the average structural budget deficit of 2016–2019 was higher than in Estonia.

Müller pointed out that in the last four years, the budget of Estonia had been in deficit, and therefore the reserves of the country were smaller. “After the current crisis has abated, we should think how to avoid the situation where the budget is in deficit in good times in the future,” he noted.

“The prospect of the Estonian, euro area and the world economy is very insecure and it is difficult to predict what will happen. The European Commission forecasts Estonia’s economic recession to be 6.9 per cent this year, which is near the euro area average, where the European Commission predicts a little greater economic recession, 7.7 per cent. According to the latest baseline scenario of projections of the European Central Bank, the economic downturn in the euro area this year could be 8.7 per cent. According to the projections published so far, Estonia and most of our larger trade partners will achieve their pre-crisis economic level only by 2022,” Müller said.

As regards the aid measures for overcoming the current crisis, Müller said that according to the initial assessments, the aid package in Estonia was a little larger than the euro area average, and investments and indirect taxes had a greater role in the structure of the aid package in Estonia than allowances.

Raul Eamets said that on the proposal of the European Commission, the escape clause of the budgetary rules of the European Union had been implemented for the first time this spring. It gave the states an opportunity to temporarily depart from the requirements on public finances in order to support their economies with aid measures. The escape clause was automatically implemented also in the Estonian budgetary rules, which enables to postpone resolving of earlier mistakes. So that although the structural budget position of the government sector did not improve in 2019, in the opinion of Eamets, the government has no obligation to improve the position also in 2020.

“At present it is not known how long the escape clauses will be in force, but it is necessary to ensure that the long-term sustainability of public finances is not harmed also when the escape clause is in force,” Eamets said. According to the spring forecast of the Ministry of Finance, the nominal budget deficit of Estonia will reach 10 per cent of GDP and the structural deficit 5 per cent of GDP. “In the opinion of the European Commission, the expected deficit exceeds the deficit allowed by the rules, but in the present conditions, no infringement proceedings will be initiated,” Eamets said.

He added that in the opinion of the Fiscal Council it was important that the government presented, at the latest by autumn, a long-term view of the Estonian economy and public finances, or some scenarios together with the planned measures for restoring budgetary balance. “At the time when it is hard to assess the situation and structural position of the economic cycle, it is reasonable to proceed from the indicators of nominal budgetary position in setting the budgetary targets. In 2021, the starting point could be that the deficit should be lower than 3 per cent of GDP, which is one of the well-known European Union criteria.”

Toomas Luman said in his report that the entrepreneurs expected the budget policy to be predictable and stable, and that it would support the effective functioning of the state and the availability of public services. It should also be sustainable and affordable.

In Luman’s opinion, Estonia should preserve the state’s borrowing capability also for possible future crises. “If we continue borrowing enthusiastically, then most probably we will not have that capability next time, or it is very small,” he pointed out.

Luman emphasised that it was possible to support the entrepreneurs to a greater extent and with lower risk through loan surety, and therefore the amount allocated for sureties should be increased. He added that the maximum total responsibility of KredEx towards banks and lessors should be increased to 40 per cent. Luman also spoke about the expectations of entrepreneurs regarding the support measures. He said that the state should provide support only to those entrepreneurs on whose activities the crisis had had the greatest negative impact. The support measures should be transparent, and the state should treat the entrepreneurs equally and ensure fair competition. The criteria for granting support should be connected with the labour taxes paid to the state. He also found that the conditions for loan surety by KredEx should be mitigated.

During the debate, Maris Lauri (Reform Party), Kersti Sarapuu (Centre Party), Peeter Ernits (Estonian Conservative People’s Party), Aivar Kokk (Isamaa), Kalvi Kõva (Social Democratic Party), Oudekki Loone (Centre Party), Henn Põlluaas (Estonian Conservative People’s Party) and Siim Kallas (Reform Party) took the floor.

The Riigikogu passed an Act

The Act on Amendments to the Environmental Charges Act (109 SE), initiated by the Environment Committee, will amend the principles for calculating environmental charges for activities which cause the introduction of pollutants into the environment to feed live organisms.

The Act will provide a specification under which the pollution charge is not imposed if the substances and compounds specified in subsection 17(1) of the Environmental Charges Act are emitted into a water body, groundwater or soil for the purpose of cultivating live organisms, including plants, animals or fungi. Water pollution charge is paid at an increased rate of the environmental charge if the maximum quantities set out in or regulated under the Water Act. Compared to the current Environmental Charges Act regulation, the amendment does not lead to the responsibility for cultivators of live organisms to pay additional charges.

The purpose of establishing environmental charges is to steer the companies to reduce the damage caused to the environment, among other things, by emitting less pollutants to the environment.

86 members of the Riigikogu were in favour of passing the Act.

The Riigikogu suspended the second reading of one Bill:

The Bill on Amendments to the Family Benefits Act and Amendments to Other Associated Acts (185 SE), initiated by the Government, will specify the payment of child benefit for children under 16. Pursuant to the Bill, the payment of parental benefit can be suspended and continued based on calendar months until the child attains three years of age, according to a parent’s choosing. The Bill also specifies that parental benefit can be suspended and continued only after the child attains 70 days of age. The amendments will ensure legal clarity so that mothers who are not entitled to maternity benefit could use their individual right to a benefit during the first 70 days of life of the child, and this right would not be transferable to the father later with a suspension of the parental benefit.

The Bill would also extend the period of successive births when the new parental benefit is calculated on the basis of earlier income to three years. The amendment is necessary in order to ensure the livelihood of families upon successive birth of children, to prevent the postponement of desired births and to bring the provision on the same bases as the length of parental leave.

Besides that, the regulation regarding the payment of maintenance allowance during the enforcement procedure would be amended. The Bill would create the possibility to start paying maintenance allowance three months sooner. This would improve the livelihood of parents raising their children alone, enabling them to ensure the growing environment necessary for the child.

Signe Riisalo (Reform Party) took the floor during the debate.

On the motion of the Social Affairs Committee as the lead committee, the Riigikogu decided to suspend the second reading of the Bill, and to set 10 a.m. on 11 June as the deadline for submission of motions to amend.

The second reading of one Bill was postponed due to the end of the sitting:

The Bill on Amendments to the Police and Border Guard Act (161 SE), initiated by the Legal Affairs Committee, provides for ensuring the police officers and border guard officials as well as their family members, who are beneficiaries of disability pension or survivor’s pension, a pension that is at minimum equal to the pension they would have received if the basis for calculating their pensions had not been reduced by 8 per cent from 1 July 2009.

The Bill was occasioned by the need to ensure equal treatment to the beneficiaries of the superannuated pensions of police officers as well as the beneficiaries of the disability or survivor’s pensions of police officers or border guard officials.

NordenBladet — The Bill that will allow people to work temporarily while they are registered as unemployed passed the first reading in the Riigikogu today.

The Bill on Amendments to the Labour Market Services and Benefits Act and the Unemployment Insurance Act (206 SE), initiated by the Government, will increase flexibility in the unemployment insurance benefit system, and will provide people greater social protection in the event of unemployment.

According to the Bill, in the future, a person who has been registered as unemployed can work temporarily for up to five days a month, but in 12 months within two years as a maximum, and receive remuneration for that, which can be monthly up to 40 per cent of the minimum monthly wage in the previous year, which is 216 euro this year. The current law does not provide for such a possibility, and the registration as unemployed and the payment of unemployment benefits are terminated when the person takes up employment.

The Bill will specify the calculation of the unemployment insurance benefit in a situation where the insured person has been working in Estonia before he or she loses his or her job and, before that, outside Estonia in another contracting state of the European Economic Area or in the Swiss Confederation. The remuneration benefits will also increase: in the first hundred days of unemployment, the unemployment insurance benefit will be 60 per cent, instead of the current 50 per cent, of previous income, and the unemployment allowance will be 50 per cent, instead of the current 35 per cent, of the minimum wage in the previous year.

To facilitate seasonal employment of the unemployed, the Bill will amend the conditions for receiving the unemployment insurance benefit so that, if a person loses his or her job again after the end of seasonal work, the payment of the benefit will continue if the benefit has not been not paid for all days of the previous period of the payment of the benefit and no more than 12 months have passed since the person took up employment.

The Bill provides for the entry into force of the Act on 1 September 2020 when the provisions on temporary employment will enter into force. The increase in the replaced rate of the unemployment allowance and the unemployment insurance benefit will enter into force on 1 August 2020. The changes to the replaced rates will thus concern the benefits calculated from 1 August, and they will have no retroactive effect.

Lauri Läänemets took the floor on behalf of the Social Democratic Party Faction in the debate.

Two more Bills passed the first reading

The Bill on Amendments to the Fiscal Marking of Liquid Fuel Act and Amendments to the Taxation Act in connection with that (203 SE), initiated by the Government, will reduce the expenses of oil shale mining undertakings, allowing them to temporarily use diesel fuel for specific purposes.

Under the Bill, oil shale mining undertakings will be permitted to temporarily use diesel fuel for specific purposes on the territories of oil shale mines and open cast mines, in open cast mine technology and equipment, including in mining machinery, and the machinery used for transporting oil shale and ash. It will not be permitted to use fuel marked with a fiscal marker in transport on public roads. It will be possible to use diesel fuel marked with a fiscal marker in the period from 1 July 2020 to 30 June 2022.

Under the current Act, in the period from 1 May 2020 to 30 April 2022, the rate of excise duty on diesel fuel is 372 euro, and the rate of excise duty on diesel fuel marked with a fiscal marker is 100 euro per 1000 litres. Starting from 1 May 2022, the rate of excise duty on diesel fuel will be 493 euro, and the rate of excise duty on diesel fuel marked with a fiscal marker will be 133 euro per 1000 litres.

During the debate, Maris Lauri (Reform Party), Jevgeni Ossinovski (Social Democratic Party), Aivar Kokk (Isamaa) and Riho Breivel (Estonian Conservative People’s Party) took the floor.

The Reform Party Faction moved to reject the Bill at the first reading. 26 members of the Riigikogu voted in favour of the motion, 48 were against, and there were two abstentions. Thus, the motion was not supported and the first reading was concluded.

The Bill on Amendments to the Environmental Charges Act (204 SE), initiated by the Government, provides for a reduction in the expenses of oil shale mining enterprises, allowing them to temporarily pay a lower pollution charge upon dumping oil shale fly ash and oil shale bottom ash.

The Bill will enable oil shale mining enterprises to temporarily pay 1.31 euro per ton upon dumping oil shale fly ash and oil shale bottom ash from 1 January 2020 to 31 December 2020. With this, the charge for dumping ash will be reduced to the level of the charge for dumping oil shale residue. At present, the charge for dumping oil shale fly ash and oil shale bottom ash is 2.98 euro per ton. The reduction of the dumping charge will affect in particular three enterprises to whom oil shale extraction permit has been issued: Enefit Mines Ltd, VKG Mines Ltd and Kiviõli Chemistry Industry LLC.

During the debate, Maris Lauri took the floor on behalf of the Reform Party Faction and moved to reject the Bill at the first reading. 16 members of the Riigikogu voted in favour of the motion, 44 were against, and there was one abstention. The motion was not supported and the first reading was concluded.

A Bill was dropped from the proceedings of the Riigikogu

The Bill on Amendments to the Preschool Child Care Institutions Act (183 SE), initiated by the Social Democratic Party Faction, was intended to eliminate parents’ obligation to pay the nursery fee, and the relevant cost would have remained to be borne by the state. The state would have compensated for the loss of profit to local governments. The aim of the Bill was to ensure a free nursery place to every child.

During the debate, Indrek Saar (Social Democratic Party) and Aadu Must (Centre Party) took the floor.

The lead committee moved to reject the Bill at the first reading. 52 members of the Riigikogu voted in favour of the motion and 22 voted against. Thus the Bill was rejected and it was dropped from the proceedings.

The Minister of Finance Martin Helme replied to the interpellation submitted by members of the Riigikogu on 22 April.

Members of the Riigikogu Jaak Juske, Heljo Pikhof, Lauri Läänemets, Ivari Padar, Helmen Kütt, Indrek Saar, Jevgeni Ossinovski, Katri Raik and Raimond Kaljulaid asked the minister about the budget and fiscal policy measures targeted at micro and small enterprises. The interpellators wished to know what specific measures targeted at sole proprietors would be funded from the first supplementary budget for 2020, and what support measures for sole proprietors the Government was planning to consider in connection with the potential second supplementary budget. They also asked if the minister considered it necessary to establish an unemployment insurance premium for all people who received remuneration, including sole proprietors, in order to prevent pressure on the state budget during the potential following economic crises.

The Minister of Finance said that sole proprietors were a very large target group, and when developing allowances for them it had to be asked whether to compare them to employees or undertakings. “Do we wish to support the continuation of enterprise, or do we wish to direct people to salaried job or entrepreneurship in another field? This will also determine the measures,” he said.

In the words of the minister, the payment of the advance payment of social tax for the first quarter by the state was non-repayable financial support targeted specifically at sole proprietors. The maximum amount of an allowance was 534.5 euro. Sole proprietors whose spouses participated in the activities of their businesses had also been exempted from payment of social tax for three months, and the rules for the taxation of their revenue from forest had been mitigated.

The Minister noted that, in addition, an additional tax exemption would be applied for the income tax return of 2020 which would be due by 30 April 2021. According to his words, sole proprietors could also apply for support measures that are available to all undertakings through the Enterprise Estonia, and for the measure for compensation for damages for tourism businesses. “Besides the abovementioned support, there will also be activity-specific allowances. For example, the Ministry of Culture has planned allowances for undertakings operating within its area, among others for creative persons who can also operate as sole proprietors,” Helme added.

In response to the question concerning a second supplementary budget, the Minister of Finance said that the Government had not discussed the initiation of one this year.

In the minister’s words, the Government had reached the decision that the range of the persons covered by unemployment insurance could be extended on a voluntary basis. He noted that the more specific conditions were under development. At the same time, in Helme’s opinion, the extension of the unemployment insurance premium to sole proprietors is not in fact a topical problem. “If a total of 1875 sole proprietors have made an entry concerning the termination or suspension of their activities in the Commercial Register from March to May 2020, it is actually a very small part of the total number of sole proprietors,” he added.

The sitting ended at 7.48 p.m.

NordenBladet — Chairman of the Management Board of the Financial Supervision Authority Kilvar Kessler, who presented the 2019 Report of the Financial Supervision Authority to the Riigikogu today, said that the financial market of Estonia had been characterised by concentration, adaptation and growth.

“These trends – concentration, adaptation and growth – contain the obligation of financial supervision to ensure the regular and legitimate functioning of financial market within the framework of the law,” Kessler said. He assured that the financial supervision was working actively and reminded the market consistently and clearly that it should operate according to laws and regulations.

“We are a small, and not yet a very rich country,” Kessler admitted in his speech to the Riigikogu. “This determines the production portfolio of financial intermediaries: classical deposits and crediting in banking, motor third party liability insurance and comprehensive insurance in insurance, mandatory pension funds in assets management,” he pointed out. “Our economy is small and the households do not have enough savings to give wings to the stock exchange. Other investment products are also still trying to find a place for themselves in Estonia.”

The Financial Supervision Authority exercises supervision over around 300 financial intermediaries, like banks, insurance companies, management companies, insurance brokers, payment institutions, etc.

Besides the development of the financial market of Estonia, Kessler also spoke about the impact of the coronavirus pandemic on the financial sector.

“The Estonian banking sector was strong when it entered the crisis, on the average considerably stronger than the banking sector of euro area, and stronger than when it entered the financial crisis of 2008, but the nearest future will not be easy for the financial market and also for the supervision,” Kessler noted.

Kessler said that in order to ensure the stability of banking and reasonable treatment of clients, the Financial Supervision Authority had decided to suspend the payment of profits of the banks when the emergency situation commenced. Also, the framework for payment moratorium was established. As a result of that, grace periods have been implemented to around 5 per cent of the loan portfolio of private persons and 21 per cent of the portfolio of businesses.

During the debate, Andres Sutt (Reform Party), Anti Poolamets (Estonian Conservative People’s Party) and Riina Sikkut (Social Democratic Party) took the floor.

One Bill passed the second reading in the Riigikogu

The Bill on Amendments to the Courts Act and the Code of Civil Procedure (175 SE), initiated by the Government of the Republic, will create a mechanism in the Courts Act that allows to transfer court cases to other courts of the same instance if it is necessary for the administration of justice pursuant to the established procedure.

Jurisdiction of court cases and the location of hearing a matter will not change in the course of delegation between the courts. In the emergency situation described in the Obligation to Leave and Prohibition on Entry Act or in the Act on Granting International Protection to Aliens, the Bill will grant the chairmen of circuit courts the right to temporarily include county court and circuit court judges in the panels of administrative courts reviewing the applications for detaining aliens. Besides that, the right to get extraordinary assistance is provided; with the consent of the chairmen of courts, matters can be discussed on a voluntary basis at other courts of the same or lower instance, or in the mission for proceedings of a judge.

Additionally, it will be allowed to extend the authority of judges released from office at their request or due to age in exceptional cases, when it is necessary for finalising the proceedings in matters distributed to them. The Bill will extend the obligation of a judge to submit a request to be released from office from the current six months to at least nine months prior to the desired date of the release.

With the amendment to the Code of Civil Procedure, the resolving of all appeals filed against orders on entry in registry matters will be transferred to the special jurisdiction of Tartu Circuit Court through Tartu County Court. The aim of the amendment is to concentrate the competence in registry matters to the territorial jurisdiction of Tartu courts and thereby increase the specialisation of judges.

If the Act is passed, it will enter into force on 1 January 2021.