The Week in Europe 17-23/06/02

EU news in brief

Main conclusions of the Seville Summit

The European Council summit took place in Seville, Spain, on 21-22 June. The EU15 heads of states and governments agreed:

OnImmigration

· review before end of 2002, of the list of countries whose citizens need visas for the EU;

· introduction, as soon as possible, of a common identification system for visa data (with feasibility study to be submitted before March 2003);

· speed up conclusion of agreements with third countries for repatriation;

· speedy adoption of the Framework decisions in preparation (e.g. on combating trafficking in human beings);

· gradual introduction of coordinated, integrated management of the EU's external borders (the UK refused the creation of an external border police);

· integration of immigration policy into the EU's relation with third countries (the Summit did not follow the UK, Spain and Germany, who wanted to introduce sanctions for countries not doing enough to take back illegal refugees);

· speeding up of legislative work on immigration and asylum policy: Dublin II regulation to be adopted before December 2002.

OnEnlargement

· re-affirmation of the EU's willingness to conclude the negotiations with ten countries (Cyprus, Malta, Hungary, Poland, the Slovak Republic, Lithuania, Latvia, Estonia, the Czech Republic and Slovenia) by the end of 2002, if those countries are ready;

· commitment to reach a decision on direct payments to candidate countries by the beginning of November;

· more pre-accession financial aid and a more precise timetable for Bulgaria and Romania before the end of the year at the Copenhagen Summit;

· possible new conclusions in Copenhagen on the candidature of Turkey.

Onreform of the European Council (the Summits) and the Council of Ministers

· Danish Presidency to prepare a report for the Copenhagen Summit on the issue of the present system of 6-month presidencies;

· creation of a new "General Affairs and External Relations Council" (Austria, Benelux, Greece and Portugal opposed the Spanish proposal for a split of the current General Affairs Council in two)

· reduction of the number of Councils of Ministers from 16 to 9 (General Affairs and External Relations; Economic and Financial Affairs; Justice and Home Affairs; Employment, Social Policy, Health and Consumer Affairs; Competitiveness (Internal Market, Industry and Research); Transport, Telecommunications and Energy; Agriculture and Fisheries; Environment; Education, Youth and Culture);

· more transparency (public debates) on acts adopted under the co-decision procedure;

· a Spanish proposal to introduce majority voting during Summit meetings was rejected.

Onbudget stability and economic reform

· commitment to meet the objectives of fiscal consolidation, economic reform and full employment;

· maintaining and strengthening the consensus achieved in Doha and Monterrey on trade liberalisation policies and sustainable development;

· presenting concrete initiatives on water management, energy and health at the forthcoming Summit scheduled to take place in Johannesburg at the end of August.

Full text of the conclusions you can find at: http://ue.eu.int/pressData/en/ec/71212.pdf

The Commission proposes a method for assessing and improving the essential services Europeans use every day

The Commission has adopted a communication defining a methodology for evaluating "services of general economic interest": in other words, essential services all citizens and businesses need to use, such as transport, energy, post, and telecommunications. The aim is to improve the performance of these services across the EU by helping to identify which ways of providing them allow all citizens to have access to the best quality services for the best value. The Internal Market Council and the Barcelona European Council asked the Commission in March to put forward such a methodology in time for the Seville European Council.

Full document available on:

http://europa.eu.int/comm/economy_finance/publications/structuralpolicies_en.htm

[Background paper IP/02/879]

Three and a half years of the benefits of the single currency are evident

The European Commission has adopted a Communication on the Euro Area in the World Economy. It notes that the introduction of euro notes and coins at the beginning of this year was a landmark achievement in the history of European integration. The benefits of Economic and Monetary Union (EMU) have been felt already for some time. EMU is based on a commitment to sound macroeconomic policies, which have helped to create a new culture of economic stability in Europe. In turn, this has enabled Europe to weather the recent slowdown in the world economy. Furthermore, thanks to the euro, the kind of damaging intra-European exchange rate tension that often characterised previous episodes of adjustment to external shocks has been avoided. With the euro in place, the citizens of euro area countries can now look forward to the benefits of increased price transparency, more intense competition in the market place and greater financial integration in Europe. For details see

http://europa.eu.int/comm/economy_finance/publications/euro_related/eurorelated_communication0602_en.htm

[Background paper IP/02/882]

Adoption of a modified proposal on asylum procedures

The European Commission has adopted a modified proposal for a Council Directive on minimum standards on procedures in Member States for granting and withdrawing refugee status. The aim of this measure is to introduce a minimum level playing field in the European Community in the short term. For this purpose, it introduces both guarantees for a fair procedure and mechanisms and tools for an efficient procedure. It is a first step towards the objective set by the European Council at Tampere, namely a common procedure. The proposal consists of minimum standards and does not require Member States to apply uniform procedures. Member States retain their national systems, provided they accept certain standards and requirements with respect to the competent authorities and the relevant procedures.

[Background paper MEMO/02/146]

Fifty years at the service of peace and prosperity: the European Coal and Steel Community (ECSC) treaty expires

The European Coal and Steel Community treaty, the starting point of the European Union as we know it today, expired on 23 July 2002, fifty years after coming into force. To mark this occasion, the European Commission will launch a series of events to celebrate 50 years of peaceful integration of Europe. In the 1950s Europe was just recovering from World War Two. European countries were trying to emerge from the rubble and to set aside hatred and rivalries. To overcome these divisions, six European countries decided to pool their resources in the coal and steel sector, traditional drivers of the war machine, and to create an international organisation to manage peaceful use of these resources. In Paris on 18 April 1951 Belgium, France, Germany, Italy, Luxembourg and the Netherlands signed the European Coal and Steel Community (ECSC) Treaty. The Commission will keep shaping EU steel and coal policy, not only in the research area, but also as far as industrial policy, energy and international trade are concerned, with an eye to enlargement. Candidate countries still have big, and not yet fully restructured, steel and coal sectors that need to be fully integrated in an enlarged European economy. In this respect, problems of oversized manpower will have to be addressed with regard both to the experience of the ECSC and to the need for these countries to improve the adaptability and the employability of their workers. Events to mark the expiry of the Treaty include a special Commission meeting in Luxembourg on 19 June, exhibits, concerts and conferences between 23 and 27 June in Luxembourg (where the ECSC had its headquarters), and closing ceremonies in Brussels on 23 July.

For further information:

http://europa.eu.int/ecsc/index.htm

[Background paper IP/02/898]

Commission presents new farm market forecasts

The European Commission has published a report on "Prospects for Agricultural Markets: 2002-2009". According to the forecasts, world markets are expected to emerge from a prolonged downturn. Medium-term prospects for the European Union are broadly positive for most agricultural products. In particular, a continued increase in consumption and a "sustained recovery in EU cereal exports" are projected, and beef production is set to return to "more normal" levels. Conversely, preferential trade agreements, notably under the "Everything But Arms" (EBA) Agreement with the Least Developed Countries (LDCs), are projected to have a "dramatic" effect on the EU rice market. Also the outlook for rye is not positive. The rye market is foreseen "to display a continuous and structural imbalance" largely due to its relatively high market prices and lack of market outlets. The full report is available at:

http://europa.eu.int/comm/agriculture/publi/caprep/prospects2002/index_en.htm

[Background paper IP/02/895]

EU sets up Aviation Safety Agency

At its meeting, the Council of Transport/Telecommunications Ministers formally adopted on 18 June 2002 the Regulation creating a European Aviation Safety Agency. It will in particular:

help the Community legislature draw up common standards to ensure the highest possible levels of safety and environmental protection; ensure that they are applied uniformly in Europe and that any necessary safeguard measures are taken; and promote their worldwide adoption.

[Background paper IP/02/881]

Eurobarometer: Highlights of 2002 Spring survey and background to the Seville European Council published

The first results of the regular Eurobarometer Spring survey for 2002 have been published (Eurobarometer 57). This contains the findings on eight key questions including support for European Union membership, support for the euro and support for an EU constitution. Also published is an overview of recent Eurobarometer findings on a range of subjects relating to the Seville European Council, including attitudes towards immigration, enlargement and the environment. Both of these documents are available on the internet at

http://europa.eu.int/comm/public_opinion

[Background paper IP/02/903]

Online public services: Europe making progress on eGovernment

The latest study from the European Commission on eGovernment in Europe shows clear progress since the last measurement in October 2001, with the availability and interactivity of public services on the Internet rising by 10 percentage points to 55%. The study - carried out in April 2002 as part of the European Commission's 'Benchmarking eEurope' initiative - measures twenty basic public services in the 15 EU Member States, plus Iceland, Norway and Switzerland. The online delivery of public services has been a priority of the EU's eEurope initiative since the launch of the first eEurope Action Plan in 2000 because it can make life easier for citizens and business directly as well as support the overall development of the European Information Society. eGovernment will continue as a priority in the second eEurope Action Plan, to be launched at the European Summit in Seville on June 21-22. Benchmarking is a feature of both Action Plans - it helps countries identify good practices, enhance policy developments and compare performance. In this study, a representative sample of more than 10,000 public service providers in the 18 countries were assessed.

[Background paper IP/02/901]

Eurostat news releases

Euro-zone unemployment up to 8.3%, EU15 up to 7.6%

According to the latest Eurostat report, Euro-zone seasonally-adjusted unemployment rose to 8.3% in April 2002 from 8.2% in March. It was 8.0% in April 2001. The EU15 unemployment rate was 7.6% in April compared to 7.5% in March. It was 7.4% in April 2001.

In April 2002, lowest rates were registered in Luxembourg (2.2%), the Netherlands (2.7% in March), Austria (4.0%), Denmark (4.1% in March), Portugal and Ireland (4.4% each). Spain's 11.3% remained the EU's highest rate.

[Background paper STAT/02/67]

Enlargement news

Commission and Candidate Countries make further progress towards a European « Competition Community » at Vilnius Conference

Representatives of the Competition and State aid authorities from the 13 candidate countries and from the EU Commission, led by Competition Commissioner Mario Monti, met in Vilnius, Lithuania, from 16 to 18 June, for their Eighth Annual Competition Conference. With the accession negotiations with several countries reaching their final phase, the conference was held at a key moment in the enlargement process. A credible competition policy and enforcement record are of crucial importance for getting the economies of the future Member States in shape and prepare their companies for the EU's internal market, as was pointed out by Mr Monti in his opening address. The main focus of the conference was on the progress achieved by the candidate countries in the field of anti-trust, merger regulation and State aid control in particular, and on how to best organise the future co-operation between the national competition authorities and the European Commission.

[Background paper IP/02/893]

Networking national administrations to pave the way for an enlarged Europe

Administrations in the Czech Republic, Latvia, Poland, Romania and Slovenia will be able to exchange data with EU Member States' back offices on how best to apply EU law, enforce single market rules, and supply e-Government services across borders to citizens and enterprises, further to a European Commission decision taken today. This decision opens the way for them to participate in the Interchange of Data between Administrations (IDA), whose € 23.6 million work programme for 2002 was approved by the Commission on 4 June (IP/02/874). IDA participation rules will be laid down in memoranda of understanding soon to be signed with these countries. Stepping up data exchange will accelerate the candidates' take-up of EU "acquis communautaire" legislation before they formally join the Union, thereby safeguarding security, freedom and justice in the enlarged Europe. For a full description of IDA actions, see

http://europa.eu.int/ISPO/ida/jsps/index.jsp?fuseAction=home

[Background paper IP/02/902]

No EU agreement yet on direct payments to farmers

European Union foreign affairs ministers had an in-depth discussion on enlargement at the General Affairs Council in Luxembourg on 10 June. Ministers welcomed the "considerable progress" achieved under the Spanish Presidency, but could not reach agreement on a common position on the agriculture chapter. Differences of opinion remain between EU Member States on when farmers in the new member states should benefit fully from the EU's Common Agricultural Policy.

The focus of debate is the provision of direct payments to farmers. Candidates say they should receive them immediately, and in full. The Commission has recommended that they receive them from 2005, and then only gradually, so that they would reach the same level as current Member States in 2013. France and Ireland broadly agree with the Commission, but Germany and the Netherlands are strongly opposed to any direct payments. And the UK and Sweden are urging that a decision be delayed until later in the year. The division among Member States reflects their strategic interests in EU farm support: net payers into the EU budget are already urging cuts in the impending reform of the Common Agricultural Policy and the fixing of the EU's next set of financial perspectives from 2007, while net beneficiaries wish to confirm the concept of farmers' subsidies.

Agreement has already been reached on most aspects of the agriculture chapter, including veterinary and phyto-sanitary issues, so as to preserve a high level of food safety in the EU after enlargement. The question of direct payments will be examined again at the 17 June General Affairs Council. The President of the Council, Spanish foreign affairs minister Josep Piqué, called on all Member States "to show flexibility" keep to the timetable for the enlargement negotiations. European Enlargement Commissioner Günter Verheugen said he thought there was still a "good possibility" of finding a common position on agriculture for everything but direct payments, at least informally, and that should allow work to proceed in the candidate countries. But it is unlikely that the EU will agree its full common position before the Brussels summit in October.

Candidates delegates spell out their positions at the Convention

There was wide agreement during the regular discussion in Brussels on 6 and 7 June on bringing Justice and home affairs into the more normal Community decision-making procedure. The only notable difference in emphasis between the current member states and the candidates was the stronger backing from candidate countries for a common approach to border controls. Similarly, the constitutional issues saw candidates speaking along broadly the same lines as those from present member states on issues such as the Charter of Fundamental Rights. Candidate country speakers were very much in the mainstream in backing a stronger role for national parliaments in the EU's institutional architecture, and consequently, in rejecting the option of a permanent second chamber as too burdensome, preferring to deepen co-operation and to do more to raise the profile of EU issues within national parliaments themselves. Referring to the model used in the Danish and Finnish parliaments, speakers from Lithuania and Slovenia explained how they were already developing strong parliamentary scrutiny of government positions.

The session also saw the setting up of six working groups (with their presidents in brackets): on subsidiarity (M. Méndez de Vigo), the Charter of Fundamental Rights (A. Vitorino), the Union's legal personality (M. Amato), the role of national parliaments (Gisela Stuart MP), complementary competencies (M. Christophersen), and economic governance (Klaus Hänsch). The members of the Convention are split between the different groups, with a balance in terms of both nationality and function (representatives of governments, national parliaments, European Parliament, Commission). Commission representation in each group is assured either by one of the two Commissioners responsible, Vitorino and Barnier, or by the Director responsible for Secretariat General of the Commission, Paolo Ponzano. The groups also give a chance for alternate members of the Convention to play a full role. Further working groups on justice and home affairs and external relations should follow soon.

For a verbatim account of the session, see the Convention web site on:

http://www.europarl.eu.int/europe2004/textes/verbatim_020606.htm

Enlargement on the Seville agenda

The European Council at Seville on 21 June discussed the enlargement process. Two documents wereon the table: a report on the progress made by the candidate countries in meeting the commitments made in the negotiations on accession, and another report on the communication strategy for enlargement. The reports say negotiations are progressing satisfactorily and candidates are generally meeting their commitments in the negotiations, in accordance with the agreed timetables. Meanwhile, the candidate countries need to further develop their administrative and judicial capacity to be able to properly implement and enforce the rules and standards of the European Union upon accession. And as the accession of the first new EU member states draws closer, the EU needs to be able to answer questions from the public in current and future member states about what the enlargement of the EU will actually mean for them. The EU should be able to address misconceptions where they exist, and let the people know that their concerns are being taken seriously, the communications report urges.

See the Seville web site of the European Commission on:

http://europa.eu.int/comm/seville_council/index_en.html

Havel describes possible enlargement disadvantages as "insignificant"

Czech President Vaclav Havel has said that any disadvantages his country suffers on account of accession to the EU will be "insignificant" compared with the expected advantages. "I do not see any disadvantages. If there are any, they will be entirely negligible compared with the advantages, and especially with the historic event of the Czech Republic entering the family of European states." In addition, Havel warned that "our country's future will be that of a poor state on the periphery of Europe" if it fails to enter the EU.

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