EU ORGANISATIONS – CLOE IIAUTUMN TERM, 2012-2013ROXANA-CRISTINA PETCU, PhD

Lecture I THE PROCESS OF EUROPEAN INTEGRATION

There are several theories trying to explain the phenomenon of European integration. In what follows we shall endeavour to propose a synthesis of these approaches and we shall start at the very beginning, namely after the Second World War.

THE BEGINNINGS

Just after WWII, in 1945, Winston Churchill described Europe as “a rubble heap, a charnel house, a breeding ground for pestilence and hate”, and a year later, in 1946, more precisely on 19 September, he delivered a famous speech in Zurich in which he proposed a solution to remedy the situation he had described in 1945. His remedy was “to recreate the European Family and to provide it with a structure under which it can dwell in peace, in safety, in freedom, a kind of United States of Europe”.

The idea of an integrated Europe was not new, it was not Churchill who mentioned it for the first time. As early as the 1920s, federalists like Coudenhove-Kalergi perceived that European nations, which had just devastated each other in a nonsensical war (WWI), were a natural entity that could become a significant global force, if only they could succeed in having a federalist constitution. Richard Coudenhove-Kalergi was the second son of Heinrich Coudenhove-Kalergi (1859-1906), an Austro-Hungarian count and diplomat of mixed European origin, and Mitsuko Aoyama (1874-1941), a Japanese descendant of a samurai family. Coudenhove-Kalergi is recognized as the founder of the first popular movement

for a united Europe. His original plan was to divide the world into five groups of states: a United States of Europe that would link continental countries with French

possessions in Africa; a Pan-American Union encompassing North and South Americas; the British Commonwealth circling the globe; the USSR spanning Eurasia; and a Pan-Asian Union whereby Japan and China would control most of the Pacific. The only hope for a Europe devastated by war was to federate along lines that the Hungarian-born Romanian Aurel Popovici (the United States of Greater Austria) and others had proposed for Austria-Hungary. According to Coudenhove-Kalergi Pan-Europe would encompass and extend a more flexible and more competitive Austria-Hungary, with English serving as world language, spoken by everyone in addition to his native tongue. He predicted that individualism and socialism would learn to cooperate instead of compete, and urged that capitalism and communism cross-fertilize each other just as the Protestant Reformation had spurred the Catholic church to regenerate itself. In November 1946 and the spring of 1947, Coudenhove-Kalergi circulated an enquiry addressed to members of European parliaments. This enquiry resulted in the founding of the European Parliamentary Union (EPU), a nominally private organization that held its preliminary conference on 4-5 July at Gstaad, Switzerland, and followed it with its first full conference from 8 to 12 September. Speaking at the first EPU conference, Coudenhove-Kalergi argued that the constitution of a wide market with a stable currency was the vehicle for Europe to reconstruct its potential and take the place it deserves within the concert of Nations. After the second catastrophic war for the supremacy of one European nation over the others, Altiero Spinelli expressed the view that the national states had lost their raison d’être, since they could no longer guarantee the political and economic safety of their citizens and should give way to a federation he called the EUROPEAN UNION. Altiero Spinelli (31 August 1907 — 23 May 1986) was an Italian political theorist and a European Federalist. Altiero Spinelli is referred to as one of the "Founding Fathers of the European Union" due to his co-authorship of the Ventotene Manifesto, his founding role in the European federalist movement, his strong influence on the first few decades of post-World War II European integration and, later, his role in re-launching the integration process in the 1980s. Spinelli was born in Rome, and joined the Italian Communist Party (PCI) at an early age in order to oppose the regime of Benito Mussolini's National Fascist Party. Following his entry into radical journalism, he was arrested in 1927 and spent ten years in prison and a further six in confinement. During the

war he was interned on the island of Ventotene (in the Gulf of Gaeta) along with some eight hundred political opponents of the regime. During those years, he broke with the Italian Communist Party over Stalin's purges, but refused to compromise with the fascist regime, despite offers of early release. In June 1941, well before the outcome of the war was safely predictable, Spinelli and fellow prisoner Ernesto Rossi completed the Ventotene Manifesto, entitled "Towards a Free and United Europe", which argued that, if the fight against the fascist powers was successful, it would be in vain if it merely led to the re-establishment of the old European system of sovereign nation-states in shifting alliances. This would inevitably lead to war again. The document called for the establishment of a European federation by the democratic powers after the war. Because of a need for secrecy and a lack of proper materials at the time, the Manifesto was written on cigarette papers, concealed in the false bottom of a tin box and smuggled to the mainland. It was then circulated through the h Italian Resistance, and was later adopted as the programme of the Movimento Federalista Europeo,which Spinelli, Rossi and some 20 others established, as soon as they were able to leave their internment camp. The founding meeting was held in clandestinity in Milan on the 27/28 August 1943.The Manifesto was widely circulated in other resistance movements towards the end of the war. Resistance leaders from several countries met clandestinely in Geneva in 1944, a meeting attended by Spinelli. The Manifesto put forward proposals for creating a European federation of states, the primary aim of which was to tie European countries so closely together that they would no longer be able to go to war with one another. As in many European left-wing political circles, this sort of move towards federalist ideas was argued as a reaction to the destructive excesses of nationalism. The ideological underpinnings for a united Europe can thus be traced to the hostility of nationalism: "If a post war order is established in which each State retains its complete national sovereignty, the basis for a Third World War would still exist even after the Nazi attempt to establish the domination of the German race in Europe has been frustrated" (founding meeting of the MFE). The problem was that federalists had bright vision of Europe, but had not found the means to reach it.

There were several other groups of theorists, such as the functionalists and the transactionalists, but they put forth rather idealized images of Europe, unrelated to the concrete levels of existence.

One important figure, to be mentioned here is Jean Monnet. He inspired the famous declaration made by Robert Schuman on 9 May 1950, when he stated that “Europe will be built through concrete achievements which create a de facto solidarity”. Jean Monnet was a French politician, instrumental in the creation of the European Community. In 1943, he stated that "There will be no peace in Europe, if the states are reconstituted on the basis of national sovereignty... The countries of Europe are too small to guarantee their peoples the necessary prosperity and social development. The European states must constitute themselves into a federation..." . Together with the neofunctionalists, he shared the view that integration is a process where the constructive functions of the main actors, the common institutions, would induce positive reactions of the economic and political elites, influence the behaviour of other societal groups and bring together the citizens of the different nations. This meant that economic integration would gradually build solidarity among participating nations and would in turn create the need for further supranational institutions. This is the “spillover effect” defined as: “a situation in which a given action, related to a specific goal, creates a situation in which the original goal can be assured only by taking further actions, which in turn create a further condition and a need for more action and so forth”.

THE MULTINATIONAL INTEGRATION PROCESS

In fact, integrated Europe is the result of a process of multinational integration. It is a process which may be defined as follows: the voluntary establishment, by treaty, concluded between independent states, of common institutions and the gradual development by these states of common policies pursuing common goals and serving common interests. The gradual development of common policies implies that multinational integration is a constantly evolving process without a clearly defined end. Since the process is voluntary, it means that states may join at any point, following the criteria and procedures established by

the group, or they may leave it, if they consider that the common policies developed or envisaged by the group, according to the majority definition of common interest, do not coincide any more with their national interests. The primary goal of multinational integration is the achievement of peace and security among the member states as well as between them and the rest of the world. But such a multinational integration scheme is built gradually by means of a large number of common policies, which cement common interests and create real solidarity among member states. As Jean Monnet, the intellectual father of European integration, put it, “union between individuals or communities is not natural; it can only be the result of an intellectual process, having as a starting point the observation of the need for change. Its driving force must be the common interests between individuals or communities”.

COMMON POLICIES

In EU usage, “common policies” are the ones that take the place of the essential elements of national policies (more precisely, agriculture, fisheries and foreign trade). “Common policies” support and supplement national policies. Such policies start out as mere objectives set in general terms by the Treaties or the institutions and are gradually built up by common or Community legal acts. In fact, the Treaty establishing the European Community clearly declares in its Article 2 that “the Community shall have as its task, by establishing a common market and an economic and monetary union and by implementing common policies and activities referred to in Articles 3 and 4, to promote throughout the Community a harmonious, balanced and sustainable development of economic activities”. What is important to underline is the fact that Articles 3 and 4 of the Treaty serve as the legal bases for common policies in a great number of sectors or for common measures in some other fields. The distinction between common policies and common measures is rather quantitative than qualitative.

Common policies are developed gradually by the actors of the process and they foster political and economic integration of the participating states. Such policies build a new concept and context of political economy which affects the actions of

political leaders and the activities of businessmen of the member states in the sense of multinational integration. Hence, a common policy is defines as a set of decisions, measures, rules and codes of conduct adopted by the common institutions set up by a group of states and implemented by the common institutions and the member states. Common policies have to be implemented by all the participants and must be monitored by supranational executive and judiciary authorities. In other words, by adopting a common policy, the participants agree to transfer some of their sovereign powers to common supranational institutions. In fact, that transfer of sovereign rights in the framework of common policies is the main drawback but also the fundamental characteristic of multinational integration. It explains why common policies are difficult to adopt, but also why, once adopted, they are binding elements of the multinational structure.

There are 4 main types of common policies:

Fundamental common policies – common policies whose basic objectives are inscribed n the Treaty itself and are agreed by both governments and the parliaments of the Member States

Secondary common policies – are defined by the common legislative bodies within the framework of the fundamental common policies and in accordance with the Community decision-making process

Horizontal common policies – both types of policies above can be horizontal, when they affect the overall conditions of the economies and societies of the Member States (social, competition, environment protection)

Sectoral common policies – concern certain sectors of the economies of the Member States (industry, energy, transposts, agriculture, fisheries)

Common policies materialize when the common institutions clearly identify the common need they address, the common goal they pursue and the common interest they serve. It means that Member States must be ready to accept

compromises so as to reach solutions acceptable to all. Common policies may develop in two senses:

in the sense of their legal evolution, which is required to keep up with the economic and technical progress in the subject mater that they cover

in the sense of the expansion of their field, which may happen to cover needs not formerly attended to in the formulation of the policy or new needs, either encountered during the implementation of the measures initially adopted or created by the geopolitical environment of the moment.

BIRTH AND GROWTH OF THE COMMUNITY

On 9 May 1950, Robert Schuman (French Prime Minister and Foreign Minister) delivered a Declaration in which he proposed the creation of a common market in two important sectors which had, until then, been used for military purposes, namely the steel and coal sectors. The idea was to integrate Germany economically and politically into a European Coal and Steel Community with France and other willing countries. He also advocated the transfer of some sovereignty held by the States to an independent High Authority supposed to exercise the powers previously held by the States in those sectors and the decisions of which would be binding to these States. Coal and steel were not chosen at random, as, in the early 1950s those were the basic sectors of a country’s industrial and military power. It was a way to pool together France’s and Germany’s resources and also to mark their reconciliation. In fact, Robert Schuman envisaged the creation of a common market for all products, on a scale comparable to that of the USA. The French Foreign Minister addressed that appeal to all European countries, but only 5 gave a favorable reply – Germany, Italy, Belgium, The Netherlands and Luxembourg, besides France, obviously. So only six States signed the Treaty establishing the European Coal and Steel Communities (ECSC). (CECO) in Paris on 18 April 1951. The ECSC Treaty entered into force on 23 July 1952, thus marking the birth of the “little Europe of Six”.

Moreover, the six founding States of the ECSC wanted to integrate their armies, as well, therefore, on 27 May 1952, in Paris, they signed the Treaty instituting the European Defense Community which aimed at the creation of a supranational army, placed, however, under the supreme command of NATO. Nevertheless, the EDC project was rejected in 1954 by the French parliament.

What is important to mention is the fact that the functioning of the common market in coal and steel showed that economic integration was possible and that it could be extended to all economic sectors. Negotiations started, conducted by the Belgian Foreign Minister, Paul Henri Spaak, and, on 25 March 1957, the Six were able to sign, on Capitol Hill in Rome, the Treaties establishing the two new Communities, namely the European Atomic Energy Community (Euratom) and the European Economic Community (EEC). These two Treaties entered into force on 1 January 1958 and are known as the Treaties of Rome or the Treaty of Rome or the EEC Treaty. 1957 is the year which marks the birth of the European Community which was to become the European Union.

Various other countries were attracted by the successes of the Community and decided to join it, so there have been several enlargement waves, as follows:

1. 22 January 1972 – the Accession Treaties of the UK, Ireland and Denmark were signed (much opposition from Charles de Gaulle, resignation, negotiations). They took effect on 1 January 1973

2. 1 January 1981 – Greece (accession application submitted in 1975 after democracy was restored in this country)

3. 1 January 1986 – Spain and Portugal (accession applications submitted in 1977)

4. 1 January 1995 – Austria, Finland, Sweden

5. 1 May 2004 – Poland, Hungary, the Czech Republic, Slovakia, Slovenia, Estonia, Latvia, Lithuania, Cyprus, Malta

6. 1 January 2007 – Bulgaria and Romania

The enlargement process is still in process. In 2004, the EU accepted to start accession negotiations with Turkey, Croatia and Macedonia. Later on, it was the turn of Iceland to start accession negotiations. In fact, Croatia will become a full member on 1 July 2013.

THE TREATIES

The Treaties are the primary source of European law and the legal basis of the common policies. They are instruments of progress of the European integration.

1. THE TREATY OF PARIS Signed in Paris, on 15 April 1951, by France, Italy, Germany, Belgium,

Luxembourg, the Netherlands

Established the European Coal and Steel Community

Its main objective was

- to eliminate the various barriers to trade

- to create a common market in which coal and steel products from the Member States could move freely in order to meet the need of all Community inhabitants, without discrimination on grounds of nationality

- capital and workers in both sectors should circulate freely

These rules were to be implemented by Community institutions which would exercise the powers previously held by the states in those sectors and whose decisions were to be binding on all Member States:

- a High Authority- a special Council of Ministers

- a Common or European Assembly

- a European Court of Justice

The ECSC was the first international organisation to be based on supranational principles and was, through the establishment of a common market for coal and steel, intended to expand the economies, increase employment, and raise the standard of living within the Community. The market was also intended to progressively rationalise the distribution of high level production whilst ensuring stability and employment. The common market for coal was opened on 10 February 1953, and for steel on 1 May 1953. On 11 August 1952, the United States was the first country (aside from ECSC members) to recognise the Community and stated it would now deal with the ECSC on coal and steel matters, establishing its delegation in Brussels. President Monnet responded by choosing Washington D.C. as the site of the ECSC's first external presence. The headline of the delegation's first bulletin read "Towards a Federal Government of Europe".

The Treaty of Paris was frequently amended as the EC and EU evolved and expanded. With the treaty due to expire in 2002, debate began at the beginning of the 1990s on what to do with it. It was eventually decided that it should be left to expire. The areas covered by the ECSC's treaty were transferred to the Treaty of Rome and the financial loose ends and the ECSC research fund were dealt with via a protocol of the Treaty of Nice. The treaty finally expired on 23 July 2002.[2] That day, the ECSC flag was lowered for the final time outside the European Commission and replaced with the EU flag.

Institutions

Besides the 4 institutions mentioned already, a Consultative Committee was established alongside the High Authority, as a fifth institution representing civil society. This was the first international representation of consumers in history. These institutions were merged in 1967 with those of the European Community, except for the Committee which continued to be independent until the expiration of the Treaty of Paris in 2002. The Treaty stated that the location of the institutions would be decided by common accord of the members, yet the issue was hotly

contested. As a temporary compromise, the institutions were provisionally located in the City of Luxembourg, despite the Assembly being based in Strasbourg.

The High Authority - (the predecessor to the European Commission) was nine-member executive body which governed the community. France, Germany and Italy appointed two members each to the Authority and the three smaller members appointed one each. These eight members then themselves appointed a ninth person to be President of the High Authority. Despite being appointed by agreement of national governments acting together, the members were to pledge not to represent their national interest, but rather took a oath to defend the general interests of the Community as a whole. Their independence was aided by members being barred from having any occupation outside the Authority or having any business interests (paid or unpaid) and for three years after they left office. To further ensure impartiality, one third of the membership was to be renewed every two years. (article 10).The Authority's principle innovation was its supranational character. It had a broad area of competence to ensure the objectives of the treaty were met and that the common market functioned smoothly. The High Authority could issue three types of legal instruments: Decisions, which were entirely binding laws; Recommendations, which had binding aims but the methods were left to member states; and Opinions, which had no legal force.

The Common Assembly (which later became the European Parliament) was composed of 78 representatives and exercised supervisory powers over the executive High Authority. The Common Assembly representatives were to be national MPs delegated each year by their Parliaments to the Assembly, or directly elected 'by universal suffrage' (article 21), but there were no actual elections until 1979. However, to emphasise that the chamber was not a traditional international organisation composed of representatives of national governments, the Treaty of Paris used the term "representatives of the peoples". The Assembly was not originally specified in the Schuman Plan because it was hoped the Community would use the institutions (Assembly, Court) of the Council of Europe. When this became impossible because of British objections, separate institutions had to be

created. The Assembly was intended as a democratic counter-weight and check to the High Authority, to advise but also to have power to sack the Authority for incompetence, injustice, corruption or fraud. The first President (akin to a Speaker) was Paul-Henri Spaak.

The Special Council of Ministers (equivalent to the current Council of the European Union) was composed of representatives of national governments. The Presidency was held by each state for a period of three months, rotating between them in alphabetical order. One of its key aspects was the harmonisation of the work of the High Authority and that of national governments, which were still responsible for the state's general economic policies. The Council was also required to issue opinions on certain areas of work of the High Authority.

The Court of Justice was to ensure the observation of ECSC law along with the interpretation and application of the Treaty. The Court was composed of seven judges, appointed by common accord of the national governments for six years. There were no requirements that the judges had to be of a certain nationality, simply that they be qualified and that their independence be beyond doubt. The Court was assisted by two Advocates General.

The Consultative Committee (similar to the Economic and Social Committee) had between 30 and 50 members equally divided between producers, workers, consumers and dealers in the coal and steel sector. Again, there were no national quotas and the treaty required representatives of European associations to organise their own democratic procedures. They were to establish rules to make their membership fully 'representative' for democratic organised civil society. Members were appointed for two years and were not bound by any mandate or instruction of the organisations which appointed them. The Committee had a plenary assembly, bureau and a president. Again, the required democratic procedures were not introduced and nomination of these members remained in the hands of national ministers. The High Authority was obliged to consult the Committee in certain cases where it was appropriate and to keep it informed. The

Consultative Committee remained separate (despite the merger of the other institutions) until 2002, when the Treaty expired and its duties were taken over by the Economic and Social Committee (ESC).

Achievements

Its mission (article 2) was general: to 'contribute to the expansion of the economy, the development of employment and the improvement of the standard of living' of its citizens.

Among the ECSC's greatest achievements are those on welfare issues. Some mines, for example were clearly unsustainable without government subsidies. Some miners had extremely poor housing. Over 15 years it financed 112,500 flats for workers, paying US$1,770 per flat, enabling workers to buy a home they could not have otherwise afforded. The ECSC also paid half the occupational redeployment costs of those workers who have lost their jobs as coal and steel facilities began to close down. Combined with regional redevelopment aid the ECSC spent $150 million creating 100,000 jobs, a third of which were for unemployedcoal and steel workers.

Far more important than creating Europe's first social and regional policy, it is argued that the ECSC introduced European peace. It involved the continent's first European tax. This was a flat tax, a levy on production with a maximum rate of one percent.

EU ORGANISATIONS – CLOE IIAUTUMN TERM, 2012-2013ROXANA-CRISTINA PETCU, PhD

Lecture II THE TREATIES

THE TREATIES

The Treaties are the primary source of European law and the legal basis of the common policies. They are instruments of progress of the European integration.

2. THE TREATY OF PARIS Signed in Paris, on 15 April 1951, by France, Italy, Germany, Belgium,

Luxembourg, the Netherlands

Established the European Coal and Steel Community

Its main objective was

- to eliminate the various barriers to trade

- to create a common market in which coal and steel products from the Member States could move freely in order to meet the need of all Community inhabitants, without discrimination on grounds of nationality

- capital and workers in both sectors should circulate freely

These rules were to be implemented by Community institutions which would exercise the powers previously held by the states in those sectors and whose decisions were to be binding on all Member States:

- a High Authority- a special Council of Ministers

- a Common or European Assembly

- a European Court of Justice

The ECSC was the first international organisation to be based on supranational principles and was, through the establishment of a common market for coal and steel, intended to expand the economies, increase employment, and raise the standard of living within the Community. The market was also intended to progressively rationalise the distribution of high level production whilst ensuring stability and employment. The common market for coal was opened on 10 February 1953, and for steel on 1 May 1953. On 11 August 1952, the United States was the first country (aside from ECSC members) to recognise the Community and stated it would now deal with the ECSC on coal and steel matters, establishing its delegation in Brussels. President Monnet responded by choosing Washington D.C. as the site of the ECSC's first external presence. The headline of the delegation's first bulletin read "Towards a Federal Government of Europe".

The Treaty of Paris was frequently amended as the EC and EU evolved and expanded. With the treaty due to expire in 2002, debate began at the beginning of the 1990s on what to do with it. It was eventually decided that it should be left to expire. The areas covered by the ECSC's treaty were transferred to the Treaty of Rome and the financial loose ends and the ECSC research fund were dealt with via a protocol of the Treaty of Nice. The treaty finally expired on 23 July 2002.[2] That day, the ECSC flag was lowered for the final time outside the European Commission and replaced with the EU flag.

Institutions

Besides the 4 institutions mentioned already, a Consultative Committee was established alongside the High Authority, as a fifth institution representing civil society. This was the first international representation of consumers in history. These institutions were merged in 1967 with those of the European Community, except for the Committee which continued to be independent until the expiration of the Treaty of Paris in 2002. The Treaty stated that the location of the institutions would be decided by common accord of the members, yet the issue was hotly

contested. As a temporary compromise, the institutions were provisionally located in the City of Luxembourg, despite the Assembly being based in Strasbourg.

The High Authority - (the predecessor to the European Commission) was nine-member executive body which governed the community. France, Germany and Italy appointed two members each to the Authority and the three smaller members appointed one each. These eight members then themselves appointed a ninth person to be President of the High Authority. Despite being appointed by agreement of national governments acting together, the members were to pledge not to represent their national interest, but rather took a oath to defend the general interests of the Community as a whole. Their independence was aided by members being barred from having any occupation outside the Authority or having any business interests (paid or unpaid) and for three years after they left office. To further ensure impartiality, one third of the membership was to be renewed every two years. (article 10).The Authority's principle innovation was its supranational character. It had a broad area of competence to ensure the objectives of the treaty were met and that the common market functioned smoothly. The High Authority could issue three types of legal instruments: Decisions, which were entirely binding laws; Recommendations, which had binding aims but the methods were left to member states; and Opinions, which had no legal force.

The Common Assembly (which later became the European Parliament) was composed of 78 representatives and exercised supervisory powers over the executive High Authority. The Common Assembly representatives were to be national MPs delegated each year by their Parliaments to the Assembly, or directly elected 'by universal suffrage' (article 21), but there were no actual elections until 1979. However, to emphasise that the chamber was not a traditional international organisation composed of representatives of national governments, the Treaty of Paris used the term "representatives of the peoples". The Assembly was not originally specified in the Schuman Plan because it was hoped the Community would use the institutions (Assembly, Court) of the Council of Europe. When this became impossible because of British objections, separate institutions had to be

created. The Assembly was intended as a democratic counter-weight and check to the High Authority, to advise but also to have power to sack the Authority for incompetence, injustice, corruption or fraud. The first President (akin to a Speaker) was Paul-Henri Spaak.

The Special Council of Ministers (equivalent to the current Council of the European Union) was composed of representatives of national governments. The Presidency was held by each state for a period of three months, rotating between them in alphabetical order. One of its key aspects was the harmonisation of the work of the High Authority and that of national governments, which were still responsible for the state's general economic policies. The Council was also required to issue opinions on certain areas of work of the High Authority.

The Court of Justice was to ensure the observation of ECSC law along with the interpretation and application of the Treaty. The Court was composed of seven judges, appointed by common accord of the national governments for six years. There were no requirements that the judges had to be of a certain nationality, simply that they be qualified and that their independence be beyond doubt. The Court was assisted by two Advocates General.

The Consultative Committee (similar to the Economic and Social Committee) had between 30 and 50 members equally divided between producers, workers, consumers and dealers in the coal and steel sector. Again, there were no national quotas and the treaty required representatives of European associations to organise their own democratic procedures. They were to establish rules to make their membership fully 'representative' for democratic organised civil society. Members were appointed for two years and were not bound by any mandate or instruction of the organisations which appointed them. The Committee had a plenary assembly, bureau and a president. Again, the required democratic procedures were not introduced and nomination of these members remained in the hands of national ministers. The High Authority was obliged to consult the Committee in certain cases where it was appropriate and to keep it informed. The

Consultative Committee remained separate (despite the merger of the other institutions) until 2002, when the Treaty expired and its duties were taken over by the Economic and Social Committee (ESC).

Achievements

Its mission (article 2) was general: to 'contribute to the expansion of the economy, the development of employment and the improvement of the standard of living' of its citizens.

Among the ECSC's greatest achievements are those on welfare issues. Some mines, for example were clearly unsustainable without government subsidies. Some miners had extremely poor housing. Over 15 years it financed 112,500 flats for workers, paying US$1,770 per flat, enabling workers to buy a home they could not have otherwise afforded. The ECSC also paid half the occupational redeployment costs of those workers who have lost their jobs as coal and steel facilities began to close down. Combined with regional redevelopment aid the ECSC spent $150 million creating 100,000 jobs, a third of which were for unemployedcoal and steel workers.

Far more important than creating Europe's first social and regional policy, it is argued that the ECSC introduced European peace. It involved the continent's first European tax. This was a flat tax, a levy on production with a maximum rate of one percent.

2. THE TREATIES OF ROME

Six years after the Treaty of Paris, (25 March 1957), the Treaties of Rome were signed by the six ECSC members, creating theEuropean Economic Community (EEC) and the European Atomic Energy Community (EAEC or 'Euratom'). The signatories of the historic agreement were Christian Pineau on behalf of France, Joseph Luns from the Netherlands, Paul Henri Spaak from Belgium, Joseph Bech  from Luxemburg, Antonio Segni from Italy and Konrad Adenauer from the Federal Republic of Germany. The Treaties were ratified by National Parliaments over the following months and came into force on 1st January 1958.These Communities

were based, with some adjustments, on the ECSC. The Treaties of Rome were to be in force indefinitely, unlike the Treaty of Paris which was to expire after fifty years. These two new Communities worked on the creation of a customs union and nuclear power community. The Rome treaties and the EEC became the most important tool for political unification, overshadowing the ECSC.

Despite being separate legal entities, the ECSC, EEC and Euratom initially shared the Common Assembly and the European Court of Justice, although the Councils and the High Authority/Commissions remained separate. To avoid duplication, the Merger Treaty merged these separate bodies of the ECSC and Euratom with the EEC. The EEC later became one of the three pillars of the present day European Union.

The Treaty establishing the EEC affirmed in its preamble that signatory States were  "determined to lay the foundations of an ever closer union among the peoples of Europe". In this way, the member States specifically affirmed the political objective of a progressive political integration. 

The establishment of a customs union

In fact, the brand new institution was a customs union. The EEC Treaty abolishes quotas and customs duties between the Member States. It establishes a common external tariff, a sort of external frontier for Member States' products, replacing the preceding tariffs of the different states. This customs union is accompanied by a common trade policy. This policy, managed at Community level and no longer at state level, totally dissociates the customs union from a mere free-trade association. The effects of dismantling customs barriers and eliminating quantitative restrictions to trade during the transitional period were very positive, allowing intra-Community trade and trade between the EEC and third countries to develop rapidly. As a consequence, the EEC was colloquially known as "Common Market". The member countries agreed to dismantle all tariff barriers over a 12-year transitional period. In view of the economic success that freer commercial exchanges brought about, the transitory term was shortened and in July 1968 all tariffs among the EEC States were abrogated. At the same time, a common tariff was established for all products coming from third countries. 

The establishment of a common market

Article 2 of the EEC Treaty specifies that "The Community shall have as its task, by establishing a common market and progressively approximating the economic policies of member states, to promote throughout the community a harmonious development of economic activities, a continuous and balanced expansion, an increase in stability, an accelerated raising of the standard of living and closer relations between the states belonging to it".This common market is founded on the famous "four freedoms", namely the free movement of persons, services, goods and capital. It creates a single economic area establishing free competition between undertakings. It lays the basis for approximating the conditions governing trade in products and services over and above those already covered by the other treaties (ECSC and Euratom).Article 8 of the EEC Treaty states that the Common Market will be progressively established during a transitional period of 12 years, divided into three stages of four years each. To each stage there is assigned a set of actions to be initiated and carried through concurrently. Subject to the exceptions and procedures provided for in the Treaty, the expiry of the transitional period constitutes the latest date by which all the rules laid down must enter into force. The market being based on the principle of free competition, the Treaty prohibits restrictive agreements and state aids (except for the derogations provided for in the Treaty which can affect trade between Member States and whose objective is to prevent, restrict or distort competition. Finally, the overseas countries and territories are associated with the Common Market and the customs union with a view to fostering trade and promoting jointly economic and social development. As a matter of fact, the common market meant exclusively free circulation of goods. Free movement of persons, capitals and services continued to be subject to numerous limitations. It was necessary to wait until the Single European Act, in 1987, when a definitive boost was given to establish a genuine unified market. This brought about the European Union Treaty in 1992.

The development of common policies

Certain policies are formally enshrined in the Treaty, such as the common agricultural policy (Articles 38 to 47), common trade policy (Articles 110 to 116)

and transport policy (Articles 74 to 84).Others may be launched depending on needs, as specified in Article 235, which stipulates that: "If action by the Community should prove necessary to attain, in the course of the operation of the common market, one of the objectives of the Community and this Treaty has not provided the necessary powers, the Council shall, acting unanimously on a proposal from the Commission and after consulting the Assembly, take the appropriate measures." After the Paris Summit of October 1972, recourse to this Article enabled the Community to develop actions in the field of environmental, regional, social and industrial policy. The development of these policies was accompanied by the creation of a European Social Fund whose aim is to improve job opportunities for workers and to raise their standard of living as well as to establish a European Investment Bank in order to facilitate the Community's economic expansion by creating new resources.

Essentially, the CAP enacted a free market of agricultural products inside the EEC and established protectionist policies that guaranteed sufficient revenues to European farmers, avoiding competition from third countries' products by guaranteeing agricultural prices. With the aim of financing the CAP, the European Agricultural Guidance and Guarantee Fund (EAGGF) was established in 1962. The CAP has continued absorbing most of the community budget, and its reform has been one of the most badly needed in recent years.

The Treaty of Rome also established the prohibition of monopolies, some transport common policies, and the grant of some commercial privileges to the colonial territories of the member States.

The Treaty of Rome signified the triumph of a very realistic and gradualist approach to building the EU. The EEC from its birth was based on a series of institutions: the European Commission, the European Assembly, later known as European Parliament, the Court of Justice and the Economic and Social Committee, whose competences were enlarged and modified in the diverse agreements and treaties that succeeded the Treaty of Rome. 

The Treaty that instituted the EURATOM tried to create the conditions for developing a strong nuclear industry. It was much less important than the treaty

that brought into existence the EEC and, in fact, when people speak about the treaties of Rome refer, incorrectly, to the one which established the EEC.

3. THE SINGLE EUROPEAN ACTThe Single European Act was signed at Luxembourg on 17 February 1986, and at The Hague on 28 February 1986. It came into effect on 1 July 1987, under the Delors Commission. The Single European Act committed the Community to adopt measures with the aim of progressively establishing the internal market over a period expiring on 31 December 1992. At the same time it consecrated the European Council, European cooperation on foreign policy and social and economic cohesion between member States. Lastly, it served as a legal base for numerous common policies, notably, social, environmental, research and technology.

Major provisions of the Single European Act

Added six new policy areas to European Community competence – single market, monetary co-operation, social policy, cohesion (between richer and poorer regions), research and development, environmental standards

Extended European Parliament powers – the Council of Ministers could overrule the EP veto in most policy areas pertaining to the single market only by a unanimous vote

Introduced qualified majority vote (QMV) in the Council, ending the national veto in most areas pertaining to the single market

Gave formal standing to the European Council, by which the heads of state and government of the member states meet to discuss and determine policy

Declared that the single internal EC market would br completed by 31 December 1992 and all remaining barriers to intra-Community trade removed

4. THE MAASTRICHT TREATY

The Treaty of Maastricht was signed on 7 February 1992 and was in fact made up of two separate but interrelated Treaties: the Treaty on the European Union (TEU) and the Treaty establishing the European Community (TEC). The Treaty of Maastricht did 4 things which were of transforming significance for the integrationist project:

1. it extended the competence of the Community’s institutions into new areas2. it established new and far reaching objectives which were openly

integrationist in character3. it aimed to create a single currency. Wrote a timetable for its introduction

and set out the rules by which member states would qualify for admission and by which the currency would be governed (EMU)

4. it created a new structure, namely the 3 pillars.

The two treaties separated the European construction into three pillars, distinguished mainly on the basis of the decision-making process:

1. The main pillar is the European Community and where the common work of the participants is regulated by the TEC and where the Community prevails

2. the pillar of justice and home affairs3. the pillar of the common foreign and security policy (CFSP)

The first of three pillars, the European Community, is much more important for the building of the EU than the other two. The Community itself is an internal market without barriers to trade, which includes a simple customs union in which independent nations agree not to put tariffs on each others’ goods. That is why each member state is entitled to ask the others whether those goods circulating freely are produced and traded under conditions which ensure fair competition. Moreover, the internal market is more than a simple customs union, because it does not simply guarantee the free movements of goods, but what we call the four freedoms – free movements of goods, free movements of capital, free movements of services and free movement of labour.

Pillars 2 and 3 were new pillars the construction of which was based on intergovernmental cooperation. Foreign policy and criminal law are matters

traditionally regarded as fundamental to sovereignty, or the right and ability of an independent state to govern its affairs and those of the inhabitants of it territory. That is why the TEU required unanimity for decision-making, and, hence, any Member State could veto a common action. Common Foreign and Security Policy as well as Justice and Home Affairs cannot be used as a basis for Directives and Regulations, they are conducted by the national governments through the Council of Ministers and the European Council and give no formal powers to the supranational institutions (the Commission, the EP and the European Court of Justice).

Major provisions of the Maastricht Treaty (TEU)

establishment of the EU with a 3-pillar structure establishment of a timetable and conditions for economic and monetary

union, including a single currency establishment of the European Union citizenship further extension of EC competence to education and culture, transeuropean

networks, environmental policy, industrial policy, research and development agreement between 11 MS (excluding the UK) on Social Chapter further extension of powers of the EP establishment of the Cohesion fund ECJ was given the power to levy fines on MS The principle of subsidiarity was written in the Treaty As part of JHA, the power of the EC to deal with matters such as asylum

policy and policing

5. THE TREATY OF AMSTERDAM

The Treaty was signed on 17 June 1997 and marked some progress in several policy areas, without bringing fundamental changes. The Treaty of Amsterdam was an attempt to create an institutional structure, together with the appropriate policy

goals and the instruments to achieve them, capable of enabling the EU to deal with a globalising economy, the threats of terrorism, international crime and drug trafficking, and threats to the environment and public health.

Major provisions of the Amsterdam Treaty

1. Extension of the Qualified Majority Vote Extends QMV to the following fields – employment guidelines and

incentive measures; social exclusion; free movement of persons (after 5 years)

Special treatment for foreign nationals; public health, equal opportunities and equal treatment for men and women; research development; countering fraud; customs cooperation; statistics; data protection; peripheral regions

2. Institutional Changes Limits the no of members of the EP to 700, however big the EU may

grow Nomination of the Commission President by MS must be approved by the

EP; the Members of the Commission are to be nominated by common accord between the governments and the President of the Commission; the President of the Commission defines the Commission’s general political guidelines

ECJ gets direct responsibility for ensuring that human rights are respected and its jurisdiction is extended to migration, asylum, visas and the crossing of borders, as well as police, judicial and criminal matters

The EC Court of Auditors is given new investigative powers

3. Development of CFSP Provides for greater cooperation between MSs in pursuit of CFSP Empowers the EU to carry out humanitarian aid and peacekeeping tasks,

to devise common strategies, general foreign policy guidelines, joint actions and common positions

The EU is to be represented by a group called the troika consisting of the Presidency of the Council, the Commission and the Secretary General of the Council, who will act as the EU’s “High Representatives for the CFSP”.

4. Social Questions and Civil Rights Empowers the Council to take appropriate action to combat

discrimination based on sex, racial or ethic origin, religion or belief, disability, age or sexual orientation

Provides for permanent or regular collaboration on employment and unemployment

Protects individuals from the processing or personal data and the free movement of such information by institutions and administrations that handle it

5. Internal Security Provides for closer cooperation between police forces and customs

authorities and directly with Europol, the European police network Establishes a legal requirements to have closer cooperation between MS’

police and judicial authorities to combat and prevent racism, xenophobia, terrorism, organised crime, trafficking of persons, and offences against children, drug trafficking, corruption and fraud

Establishes in principle a common minimum standard for rules and penalties for organised crime, terrorism and drug trafficking.

6. Inward Migration Incorporates the Schengen Agreement into the Treaty Provides for the removal of all control on people crossing internal

borders, whether EU citizens or nationals on non-member states Establishes common procedures and conditions for the issue of visas by

MS and defines the terms on which nationals of non-member states shall in principle be free to travel within the EU for 3 months

Defines minimum standards for the reception of asylum seekers in MS and for classifying nationals of non-member countries as refugees

Lays down the terms of entry and residence of immigrants in the EU, and standards for procedures for the issue of long-term visas and residence permits by MS, standards for dealing with illegal immigration and illegal residence and the repatriation of illegal residents.

7. The Environment, Public Health and Consumer protection Stipulates that a high level of human health protection must be assured in

the definition and implementation of all Community policies and activities Provides for a high level of consumer protection

6. THE TREATY OF NICEThe Treaty was signed on 26 February 2001, aiming to prepare the institutions of the European Community to function with the representatives of the new MS. This treaty was concerned with mainly 4 areas – (i) the replacement of the unanimity by qualified majority in the decision-making procedures; (ii) the enhanced cooperation of some MS; (iii) the weighing of votes in the Council and (iv) the size and composition of the Commission.The Treaty came into force on 1 February 2003, after having been first rejected by Ireland in a referendum (12 October 2002).

Major provisions of the Treaty of Nice

1. new protocol on enlargement adopted2. QMV extended to new areas, such as:

Certain high-level appointments, including the President of the Commission and the High Representatives for the CFSP

Certain aspects of the making of international agreements Actions taken in support of anti-discrimination measures adopted by

the MS Certain actions enabling citizens to take advantage of the freedom of

movement Most measures related to visas, asylum and immigration Granting of emergency financial assistance to MS Most industrial policy measures

Financial and technical cooperation agreements with third countries (does not apply to association agreements and pre-accession measures)

3. formalized the “Enhanced Cooperation”:a) groups of at least 8 MS may make agreements among themselves which enable them to go further in particular policy areas than the rest are prepared to do, provided such agreements:

further the objectives of the EU and reinforce integration respect the treaties and the single institutional framework of the EU respect existing EU law respect existing competences do not undermine market or economic and social cohesion respect the competences, rights and obligations of non-participating

MS are in principle open to all MS are used only as a last resort

b) established a new cooperation body, Eurojust c) establish a clear procedure for amending the fundamental aims of the EU, in consultation with the European Central Bank and by unanimous vote at Council d) the Commission President is given more power to manage the Commission and to force the resignation of an individual Commissioner. Since 2005, the Commission has 1 Commissioner per MS until membership reaches 27. After that, membership is to be established at a fixed number, and according to a system of national rotation, to be determined by unanimous vote at Council

e) fixes the maximum number of MEPs at 732 (revised to 750)f) established a Social Protection Committeeg) defines a procedure for setting up political parties at European levelh) some European Council meetings (which had always taken place in the

country holding the Presidency) to be held in Brussels, and, from the

accession of the 18th MS all European Council meetings are to be held in Brussels.

7. THE STILLBORN EUROPEAN CONSTITUTION

The Treaty establishing a Constitution for Europe (TCE), commonly referred to as the European Constitution, was created as a constitution for the European Union. It would have replaced the existing Treaties of the European Union with a single text, given limited legal force to the Charter of Fundamental Rights (which was incorporated into the Constitution), and expanded Qualified Majority Voting into policy areas which had previously been decided by unanimity among member states.

It was signed in 2004 by representatives of the then 25 member states of the European Union and needed to be ratified by all member states to enter into force. 13 member states completed the ratification procedure, but the rejection of the Constitution by French and Dutch voters in May and June 2005, called the future of the Constitution into question. In light of these developments three member states, Finland, Germany and Slovakia, abandoned their partially complete ratification procedures and a further seven member states indefinitely postponed consideration.

Following the period of reflection, the European Council meeting in June 2007 decided to start negotiations on a new reform treaty as a replacement. This treaty was later named the Lisbon Treaty.

The Treaty establishing a Constitution for Europe was signed in Rome on 29 October 2004 by 53 senior political figures from the 25 member states of the European Union. In most cases heads of state designated plenipotentiaries to sign the treaty, but some presidents also signed on behalf of states which were republics. Most designated plenipotentiaries were prime ministers and foreign

ministers.

Before a EU Treaty can enter into force, it must be ratified by all member states. Ratification takes different forms in each country, depending on its traditions, constitutional arrangements and political processes. Most member states traditionally ratify EU treaties following parliamentary votes, while some — notably Ireland and Denmark — also hold referendums. As a reaction to what was seen as the novel nature of the Constitution, many advocates and opponents of the Constitution argued that it should be subjected to Referendums across the European Union.

On 20 April 2004 then British Prime Minister Tony Blair unexpectedly promised a referendum, a proposal which he had previously rejected. A further seven member states announced or had already announced that they would hold referendums on the Constitution. These being Denmark, France, Ireland, Luxembourg, the Netherlands, Spain and Portugal. On 29 May 2005 the French public rejected the Constitution by margin of 55% to 45% on a turn out of 69%. And just three days later the Dutch rejected the constitution by a margin of 61% to 39% on a turnout of 62%.Notwithstanding the rejection in France and the Netherlands, Luxembourg held a referendum on 10 July 2005 approving the Constitution by 57% to 43%. It was the last referendum to be held on the Constitution as all of the other member states that has proposed to hold referendums cancelled them.

Content

Institutional structure

Under the TCE, the Council of the European Union would have been formally renamed the "Council of Ministers", which is already its informal title. The "General Affairs Council" would have been formally split from the "Foreign Affairs Council", which had informally held meetings separately since June 2002.

The TCE included a flag, an anthem and a motto, which had previously not had treaty recognition, although none of them are new.

Conferral, subsidiarity, proportionality

The TCE would have reiterated several key principles of how the Union functions:

the principle of conferral: that all EU competences are conferred on it voluntarily by member states;

the principle of subsidiarity: that governmental decisions should be taken at the lowest level possible while still remaining effective;

the principle of proportionality: that the EU may only act to exactly the extent that is needed to achieve its objectives;

the primacy of EU law: in areas where member states have made legally binding agreements at EU level, they may not then pass national laws incompatible with those EU laws.

The TCE would have specified that the EU is a union of member states, and that all its competences (areas of responsibility) are voluntarily conferred on it by its member states according to the principle of conferral. TheEU would have no competences by right, and thus any areas of policy not explicitly specified in the Constitution would have remained the domain of the sovereign member states (notwithstanding the ‘flexibility clause' – see below).

According to the TCE, the EU may act (i.e. make laws) only where its member states agree unanimously that actions by individual countries would be insufficient. This is the principle of subsidiarity, and is based on the legal and political principle that governmental decisions should be taken as close to the people as possible while still remaining effective. It is a main argument against claims that Europe limits national sovereignty but critics say that it is a principle to which lip service only is paid, and, in practice, the reach of theEU has been increasingly ambitious.

Common values of the Union's member states

As stated in Articles I-1 and I-2, the Union is open to all European States that respect the member states' common values, namely:

human dignity freedom democracy

equality the rule of law respect for human rights minority rights free market

Member states also declare that the following principles prevail in their society:

pluralism non-discrimination tolerance justice solidarity equality of the sexes

Some of these provisions are codified for the first time in the TCE.

Aims of the Union

The aims of the EU, according to the TCE, are made explicit (Article I-3):promotion of peace, its values and the well-being of its people

maintenance of freedom, security and justice without internal borders, and an internal market where competition is free and undistorted

sustainable development based on balanced economic growth and price stability, a highly competitive social market economy

social justice and protection, equality between women and men, solidarity between generations and protection of the rights of the child

economic, social and territorial cohesion, and solidarity among member states

respect for linguistic and cultural diversity

In its relations with the wider world the Union's objectives are:

to uphold and promote its values and interests to contribute to peace, security, the sustainable development of the Earth

solidarity and mutual respect among people free and fair trade eradication of poverty and the protection of human rights, in particular the

rights of the child strict observance and development of international law, including respect

for the principles of the United Nations Charter.

Competences

The EU has six exclusive competences, policy areas in which member states have agreed that they should act exclusively through the EU and not legislate at a national level. The list remains unchanged from the previous treaties:

customs union ; those competition rules that govern the internal market; eurozone monetary policy; conservation of marine biological resources (the Common Fisheries Policy); common commercial policy; the conclusion of certain limited international agreements.

There are a number of shared competences. These are areas in which member states agree to act individually only where they have not already acted through the EU, or where the EU has ceased to act (though these are areas where member states may act both nationally and through the EU if they wish). Three new competences have been added to those in previous treaties (see below).

There are a number of areas where the EU may take only supporting, coordinating or complementary action. In these areas, member states do not confer any competences on the Union, but they agree to act through the Union in order to support their work at national level. Again, three new competences have been added to those from previous treaties (see below).

Flexibility clause

The TCE's flexibility clause allows the EU to act in areas not made explicit in the TCE, but only:

if all member states agree; with the consent of the European Parliament; and where this is necessary to achieve an agreed objective under the TCE.

This clause has been present inE U law since the original Treaty of Rome established the EEC in 1958.

Common foreign and security policy

The EU is charged with defining and implementing a common foreign and security policy in due time. The wording of this article is taken from the existing Treaty on European Union.

New provisions

Legal personality

The European Union for the first time has legal personality under the TCE. This means that it is able to represent itself as a single body in certain circumstances under international law. Most significantly, it is able to sign treaties as a single body where all its member states agree.

New competences

The TCE would have conferred upon the EU as new 'shared competences' the areas of territorial cohesion, energy, and space. These are areas where the EU may act alongside its individual member states. The EU has conferred upon it as new areas of 'supporting, coordinating or complementary action' the areas of tourism, sport, and administrative co-operation.

Criminal justice proceedings

Member states would have continued to co-operate in some areas of criminal judicial proceedings where they agree to do so, as at present. Under the TCE, seven new areas of co-operation would have been added:

Child abuse corruption fraud Human trafficking drug trafficking terrorism Trafficking of arms

Solidarity clause

The new solidarity clause of the TCE specifies that any member state which falls victim to a terrorist attack or other disaster will receive assistance from other member states, if it requests it. The type of assistance to be offered is not specified. Instead, the arrangements will be decided by the Council of Ministers should the situation arise.

European Public Prosecutor

Provision exists for the creation of a European Public Prosecutor's Office, if all member states agree to it and if the European Parliament gives its consent.

Charter of Fundamental Rights of the European Union

Main article: Charter of Fundamental Rights of the European Union

The TCE includes a copy of the Charter already agreed to by all EU member states. This is included in the Constitution so that EU institutions themselves are obliged to conform to the same standards of fundamental rights. At the time of the Charter's original agreement, the British Government said that it did not have binding effect. Incorporation into TCE would have put its importance beyond doubt.

Simplified jargon and legal instruments

The TCE makes an effort to simplify jargon and reduce the number of EU legal instruments. However, it is a long document couched in obscure and technical terms, which proved unpopular when presented (for example) to French voters in their referendum on the TCE.

The TCE unifies legal instruments across areas of policy (referred to as pillars of the European Union in previous treaties). Specifically:

'European Regulations' (of the Community pillar) and 'Decisions' (of the Police and Judicial Co-operation in Criminal Matters (PJC) pillar) both become referred to as European laws.

'European Directives' (of the Community pillar) and 'Framework Decisions' (of the PJC pillar) both become referred to as European framework laws.

'Conventions' (of the PJC pillar) are done away with, replaced in every case by either European laws or European framework laws.

'Joint actions' and 'Common positions' (of what is now the Common Foreign and Security Policy Pillar) are both replaced by Decisions.

Position of Union Minister for Foreign Affairs

Under the TCE, the present role of High Representative for the Common Foreign and Security Policy would be amalgamated with the role of the Commissioner for External Relations. This would create a new Union Minister for Foreign Affairs who would also be a Vice President of the Commission. This individual would be responsible for co-ordinating foreign policy across the Union, representing the EU abroad in areas where member states agree to speak with one voice.

Functioning of the institutions

Qualified majority voting

More day-to-day decisions in the Council of Ministers would be to be taken by qualified majority voting, requiring a 55% majority of members of the Council representing a 65% majority of citizens. (The 55% is raised to 72% when the Council acts on its own initiative rather than on a legislative proposal from the Commission or the Union Minister for Foreign Affairs.) The unanimous agreement of all member states would only be required for decisions on more sensitive issues, such as tax, social security, foreign policy and defense.

President of the European Council

The six-month rotating Presidency of the European Council would switch to a chair chosen by the heads of government, in office for 2½ years and renewable once. The role itself would remain administrative and non-executive, but rather than the Presidency being held by a member state as at present, it would be held by an individual elected by and accountable to the Council.

President of the Council of Ministers

The six-month rotating Presidency of the Council of Ministers, which currently coincides with the Presidency of the European Council, would be changed to an 18-month rotating Presidency shared by a trio of member countries, in an attempt to provide more continuity. The exception would be the Council's Foreign Affairs configuration, which would be chaired by the newly-created Union Minister for Foreign Affairs.

Smaller Commission

The Commission would be reduced in size from 27 to 18 by the year 2014. There would be fewer Commissioners, with member states taking it in turn to nominate Commissioners two times out of three.

Parliamentary power and transparency

President of the Commission: The candidate for President of the European Commission would be proposed by the European Council, after consultation with MEPs, and would be elected by the European Parliament. Parliament would have the final say.

Parliament as co-legislature: The European Parliament would acquire equal legislative power under the codecision procedure with the Council in virtually all areas of policy. Previously, it had this power in most cases but not all.

Meeting in public: The Council of Ministers would be required to meet in public when debating all new laws. Currently, it meets in public only for texts covered under the Codecision procedure.

Budget: The final say over the EU's annual budget would be given to the European Parliament. Agricultural spending would no longer be ring-fenced, and would be brought under the Parliament's control.

Role of national parliaments: Member states' national parliaments would be given a new role in scrutinising proposed EU laws, and would be entitled to object if they feel a proposal oversteps the boundary of the Union's agreed areas of responsibility. If the Commission wishes to ignore such an objection, it would be forced to submit an explanation to the parliament concerned and to the Council of Ministers.

Popular mandate (aka initiative): The Commission would be invited to consider any proposal "on matters where citizens consider that a legal act of the Union is required for the purpose of implementing the Constitution" which has the support of one million citizens. The mechanism by which this would be put into practice has yet to be agreed. (See Article I-46(4) for details.)

Further integration, amendment and withdrawal

Enhanced co-operation

There would be a tightening of existing rules for 'enhanced cooperation', where some member states would have chosen to act together more closely and others not. A minimum of one third of member states would now be forced to participate

in any enhanced cooperation, and the agreement of the European Parliament is needed. The option for enhanced cooperation would also be widened to all areas of agreed EU policy.

Treaty revisions

Previously, alteration of treaties was decided by unanimous agreement of the European Council in private meeting. Proponents of the TCE claim that any amendments to the Constitutional Treaty will involve the convening of a new Convention, similar to that chaired by Valéry Giscard d'Estaing in drafting the TCE. This process may be bypassed if the European Parliament agrees, in which case, the final say on adopting proposals will rest with the European Council, who must agree unanimously. However, small revisions (switching from unanimity voting to qualified majority voting in specific policy areas) can be made by the European Council through the so-called 'Passerelle Clause' (Article IV-444) if every member state agrees.

Withdrawal clause

A new clause in the TCE allows for the withdrawal of any member state without renegotiation of the TCE or violation of treaty commitments (clause I-60). Under this clause, when a country notifies the Council of its intent to withdraw, a settlement is agreed in the Council with the consent of Parliament. If negotiations are not agreed within two years, the country leaves anyway. The process described is a formalisation of the process which Greenland used to leave the EC in 1985.