Following calls for EU lobbying to be made more transparent, critics of corporate influence in Brussels talk to Jamie Smyth, European Correspondent.
The ripped jeans, pierced noses and Greenpeace T-shirts are causing our group to stand out from the crowd. Standing in the shadow of British Petroleum's Brussels offices, the 20 of us on a "lobbying tour" of the EU quarter can barely muster a neck-tie between us, never mind the pinstripe suit that is the traditional garb in this district.
"To be honest, I don't have a clue what they are doing in there. I don't know how much they are spending, how many lobbyists they employ or what issues they are working on," says Erik Wesselius of the pressure group Corporate Europe Observatory (CEO), which has organised the tour and monitors the activities of corporate lobbyists.
IN BRUSSELS, AN estimated 15,000 lobbyists ply their trade in a one-kilometre strip linking the European Commission, the Council and the European Parliament. No one knows exactly how many people there are seeking to influence European legislation because there is no register of lobbyists. And unlike in the US, where strict laws force the disclosure of spending, in the EU there are no rules on disclosure.
Many of the big public affairs consultancies in Brussels, such as Cabinet Stewart, do not reveal their client list or the lobbying campaigns they engage in, according to Wesselius, who set up CEO's tour to give the public an insight into the opaque world of EU lobbying.
Our first stop is at 133 Rue Froissart, just a few metres up the road from the Irish permanent representative office to the EU. This nondescript building is the office of DaimlerChrysler, one of the biggest European car firms and a very active lobbyist.
"They are rather busy at the moment," says Yiorgos Vassalos, another CEO researcher. "They are lobbying to influence EU legislation to curb car emissions, which is being drafted now by the commission." Vassalos explains how the lobby watered down EU guidelines for the new law earlier this year on the amount of CO2 that can be emitted by cars. This increased the level to 130g per kilometre, rather than the expected lower limit of 120g per kilometre.
"The car lobby created panic by claiming that 650,000 jobs would be lost in Europe. They partnered with the German commissioner Verheugen and German chancellor Angela Merkel, who intervened in the debate in support of the car industry," he says.
The car lobby dismisses CEO's allegation that lobbying on the CO2 guidelines was "nefarious" and against the best interests of society. "It is a misconception that we have more influence than anyone else," says Sigrid de Vries of the European Automobile Manufacturers Association. "On climate change the environmental NGOs reign over the public arena and influence public opinion. This is not a David versus Goliath struggle."
In fact, NGOs receive millions of euro in support from the European Commission. Over the past two years Oxfam has received €48 million of EU funding to help it carry out development and humanitarian projects, but it remains a stern critic of EU trade policy. De Vries also highlights that the European Commission relies on industry to provide the technical knowledge necessary to draft legislation. Lobbying is not negative, she says.
These arguments do not cut any ice with my fellow tour participants, half of whom are members of NGOs, including Greenpeace and Friends of the Earth. Valerie Op de Beeck, an assistant to a Green MEP taking the tour, says she gets numerous phone calls from lobbyists seeking meetings or trying to influence new legislation. Lobbyists sometimes draft amendments that are then tabled by MEPs for a vote, she says.
CEO's Wesselius also counters that NGOs, which he admits are a potent force in Brussels, tend to be more transparent on financing.
One of our last stops on the lobbying tour is the International Council for Capital Formation (ICCF). This think tank, which is a trenchant critic of the Kyoto Protocol, is listed as being based in the same building as the Northern Ireland executive office in Brussels. Yet the ICCF exists only as a post box at this address, and is instead represented by Cabinet Stewart in the EU capital. The ICCF is a subsidiary of the American Council for Capital Formation, which counts oil giant Exxon Mobil among its top financial contributors.
"The oil industry uses think tanks as a way to influence the debate on climate change without the knowledge of the public," says Wesselius, who notes that many of the 30-odd EU think tanks do not reveal their funders.
BUT THERE ARE signs of a change in the lobbying landscape in Brussels. In the wake of the Abramoff lobbying scandal in the US - where a senior Republican lobbyist was jailed for fraud in 2006 - the commission is proposing a transparency initiative, whereby all lobbyists would have to register, reveal their clients and the cost of their campaigns.
This week, commissioner Siim Kallas defended the voluntary plan against criticism from lobbyists, who believe it would reveal secret financial details to competitors and is based on a fundamental misconception that "money equals influence".
"If spending money on lobbying gives no influence, I wonder what the lobby professionals say to their clients when they bill them?" replied Kallas, who can expect to be the subject of a lot of lobbying before his plan comes to fruition next spring.
Brussels players: who the big lobbyists are
Private consultancies
Cabinet Stewart:founded in 1990, this large public affairs consultancy firm represents a range of clients, including the International Council for Capital Foundation.
Weber Shandwick:has a network of consultants from more than 20 countries, counting Microsoft, General Motors and Electrolux among its corporate clients.
Gplus:set up by former European Commission officials Peter Guildford and Nigel Gardner in 2000, the firm has quickly established itself among the Brussels elite.
NGOs
About 10 per cent of lobbyists in Brussels are non-governmental organisations (NGOs) such as Oxfam, Save the Children and Greenpeace. Some NGOs receive EU funds, such as Friends of the Earth Europe and the European Environmental Bureau, which were awarded €519,000 and 834,950 respectively in 2006.
Industry associations
Hundreds of trade bodies are based in Brussels to promote their sector. They include the European Construction Industry Federation, European Automobile Manufacturers Association and the European Spirits Organisation, which defends the interests of drinks companies.
Irish lobbyists
Michael Treacyis a veteran campaigner in Brussels for the Irish Farmers' Association (IFA). Recent campaigns undertaken by the IFA have raised doubts over the safety of Brazilian beef imports and criticised EU trade commissioner Peter Mandelson over his role in the WTO talks.
Hume Brophy:a firm set up by John Hume, son of the former SDLP leader, and Eoin Brophy. A client is the International Duty Free Confederation.
Ibec:set up a Brussels office in 1972, and has been actively lobbying on the controversial EU plan to harmonise the corporate tax rate throughout Europe.