20 June 2025 – A coalition of parties in the EU Parliament succeeded yesterday in pushing through a demand for a committee of inquiry into the opaque funding of green NGOs by the EU Commission.
NGO funding: EU Parliament sets up committee of inquiry
It has been known for some time that the EU has a major problem with transparency in the funding of non-governmental organisations (NGOs).
Back in 2009, the European Court of Auditors criticised the lack of transparency and documentation, particularly in the LIFE programme for funding green NGOs, which is now once again under scrutiny. In 2018, the auditors again highlighted the lack of transparency in NGO funding by the Commission. In the 2025 Special Report ‘Transparency of EU funding granted to NGOs’, the subheading makes it clear that although some progress has been made, the overview of funding is still not reliable.
EU Parties criticise opaque NGO funding
Several political groups (EPP, ECR, PfE) in the EU Parliament have long criticised the Commission’s opaque financing of green NGOs. Following several exposés in various media outlets on dubious contracts between the European Commission and environmental NGOs, this alliance has now succeeded in establishing a working group to review the financing of NGOs within the Committee on Budgetary Control.
Heavy criticism from the left
After MEPs succeeded in pushing through their demand for an investigation into the events, sentiment against a transparent review of the events was stirred up, particularly from The Greens/EFA (Greens) and Socialists and Democrats (S&D) groups.
Daniel Freund, Green coordinator in the Committee on Budgetary Control, wrote in a statement on his website in response to the allegations made by the EPP, ECR and PfE: ‘The European Commission and a special report by the European Court of Auditors concluded that not a single rule violation or breach occurred.’
The statement by S&D also refers to the report by the European Court of Auditors. The statement reads, among other things: ‘We recall the European Court of Auditors’ opinion confirming the legality and transparency of NGO funding.’
Is the criticism of the committee of inquiry justified?
Using the special report ‘Transparency of EU funding granted to NGOs’ as a basis shows that S&D and the Greens either have not read it or are deliberately concealing its contents. This is because it highlights glaring deficiencies in NGO funding. And this is not the first time. In at least 12 different areas and on several pages, the auditors have raised considerable and repeated criticism of European NGO funding. And the central issue is always a lack of transparency.
Self-regulation by the EU Commission does not work
The second and probably even more serious point is that in his statement, Mr Freund refers specifically to the European Commission and its assessment that there has been no misconduct. Mr Freund is considered one of the Commission’s biggest critics on transparency issues and has repeatedly and strongly criticised the Commission’s self-regulation in at least three cases (1, 2, 3) in recent years. Why the self-regulation so heavily criticised by Mr Freund should have worked in this case remains unanswered, of course.
It is a double standard that is hard to beat: transparency is constantly demanded, especially in lobbying, but when it comes to green lobby NGOs, it is suddenly no longer necessary and must be prevented by all means.
The fact that something is very wrong with NGO funding is already clear from the following statement by the auditors: ‘Of over 4,400 NGOs, 30 received more than 40% of total funds during the 2014-2023 period (i.e. €3.3 billion).’
How much influence did NGOs have on the EU Green Deal and CBAM?
- Part 1: EU Green Deal manipulated: How deep is the swamp really?
- Part 2: Think tank of the EU steel lobby: It’s not just green NGOs that exert influence
- Part 3: Parts of the EU CBAM Expert Group are EU-funded NGOs
The influence of NGOs on the EU Green Deal and the Carbon Border Tax CBAM is undeniable. In connection with the allegations of targeted agreements between the Commission and NGOs in secret contracts and the Commission’s considerable resistance to publishing them, it is even more apparent that something is not right here.
And if everything is indeed in order, the Greens and S&D in particular should have an immense interest in clarifying the allegations with clear evidence and facts. At the moment, however, there seems to be no real interest in transparency.
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