Select Committee on European Scrutiny Seventeenth Report


APPENDIX 2

MEMORANDUM FROM MR RICHARD CORBETT, MEP (YORKSHIRE AND HUMBER REGION) SOCIALIST GROUP CO-ORDINATOR, CONSTITUTIONAL AFFAIRS COMMITTEE

Introduction

The Millennium is to see yet another revision of the EU treaties. The fifteen governments agreed in Cologne to convene an Inter-Governmental Conference (IGC) for this purpose early next year, but restricted to the three subjects known as the "Amsterdam leftovers", namely the size of the Commission, the weighting of votes per Member State in the Council and the extension of qualified majority voting — all essential for the enlargement of the EU to take place successfully. However, many are pressing for a wider agenda.

What should the UK's position be on the three issues and on the proposals for a wider agenda?

Why now?

A protocol attached to the Treaty of Amsterdam committed the Member States to addressing the three issues left unresolved at the time of the Amsterdam negotiations. It specified that they should be addressed before a single new state entered the Union, but that a wider reform would be necessary when the number of Member States was due to exceed twenty.

In practice, there is a telescoping of these two aspects as the "first wave" of countries joining the EU is likely to total six (if not in one go, then within a few years of each other). Furthermore, France, Italy and Belgium issued a declaration on the occasion of signing the Amsterdam Treaty to the effect that a wider reform would be necessary before enlargement. This view is shared by the European Commission and the European Parliament.

On top of that, new factors have emerged since Amsterdam. The collapse of the Santer Commission highlighted the need for a formal power for the President of the Commission to be able to dismiss individual Commissioners. The Franco-British defence initiative and events in Kosovo have again raised the issue of European Union defence policy and the treaty changes necessary to integrate the WEU into the EU. A number of inconsistencies have been found in the Amsterdam Treaty. There is ever growing pressure for more openness, transparency and clarity as well as efficiency and democracy in the running of the EU institutions. Last but not least, the heads of government meeting in the European Council in Cologne launched a procedure to draft a Charter of Fundamental Rights.

The issues

1.  Size of the Commission

Under the current formula, a Commission in the enlarged Union will total over 30 members and be more like an assembly than a compact executive. Ideally, a Commission of between 12 and 15 members would be appropriate to the number of genuine portfolios. However, this would require a Commission no longer comprising a national of each Member State. Most Member States consider it essential for the Commission to contain one of their nationals, not to represent their government (which is not the role of Commissioners) but to bring a degree of knowledge and understanding of their country into the Commission and thereby also create a greater public confidence and legitimacy for the Commission in every country. It is therefore unlikely that an IGC would be able to agree on cutting the number of Commissioners below one per country.

This would leave the Commission still somewhat oversized, but palliative measures have been taken in this regard in the Amsterdam Treaty by reinforcing the power of the President of the Commission to allocate (and reshuffle) portfolios, to set the political guidelines for the Commission and to choose the other Commissioners with the national governments. He/she has also been given greater individual legitimacy through a separate vote by Parliament on the President of the Commission when he/she is appointed. Since Amsterdam, President Prodi secured informally (on the basis of undertakings made by the nominees in 1999) the right for the President to dismiss individual Commissioners also. The time has come to entrench this right in the treaty. Doing so obviates the need for the European Parliament to be given the right to dismiss individual Commissioners, which might undermine the collegial nature of the Commission.

These changes mean that the Union should be able to manage with a Commission of one per country at least until we get to about twenty Member States.

Beyond that, it would be useful to limit the number, despite the reticence referred to above. However, as changes are increasingly difficult to secure as the number of Member States increases, the principle of limiting the Commission to, say, twenty members as of the year 2009 should be incorporated in the Treaty now, (just as it was done for the Parliament in 1997 by fixing already then a ceiling of 700 members).

Subject to a satisfactory deal on the re-weighting of votes in the Council (see below) the UK should therefore argue for:-

    —  one Commissioner per Member State for the 2004-2009 Commission

    —  twenty Commissioners thereafter

    —  The President of the Commission to be given a formal treaty based right to dismiss individual Commissioners.

2.  Re-weighting of the votes in the Council

With the exception of Poland, all the applicant states are small or medium sized. As a result, once they join the Union, the "big four" states, although continuing to represent a majority of the population, will have only about a third of the votes in the Council. They have argued that this is unacceptable. Smaller states, on the other hand, point out that there has never been an issue in which the large states have lined up on one side and the small states on the other and that the argument is therefore purely hypothetical.

The discussion is affected by the parallel one on the size of the Commission. If the larger states are giving up their right to a second Commissioner as well as seeing their voting strength in the Council effectively diluted, the chances of all the large states accepting to ratify enlargement treaties on that basis would be jeopardised. Some adjustment is politically necessary.

An easy way to do this would be for the larger states to have, say, two votes extra each (moving from 10 to 12 for the big four and 8 to 10 for Spain) as part of the overall package in which they give up their right to a second Commissioner. At the same time, the threshold for achieving a qualified majority could be fixed permanently at two thirds of the weighted votes (67% rather than the excessive 71% at present — in effect returning to what was in the original treaties).

An alternative suggestion has been put forward namely to require a dual or double majority in the Council namely of votes and population. This proposal has a number of variations, with different combinations of weighted votes and of populations being put forward: on the voting side varying from a re-weighting, to the current weighting or even a simple one-vote-per-state formula combined on the population side with a majority of 55% or 60% of the population. These variations and combinations thereof illustrate the complexity of a "double majority" system. At a time at which the EU system needs simplification and transparency, it would make it still more complex. Furthermore, it is the Parliament which represents the populations somewhat more accurately than in the Council where the block vote per government is a long established feature.

The UK should therefore support the option of giving an extra two votes to each of the largest five states (subject to a satisfactory deal on the size of the Commission) and setting the threshold for a qualified majority at two thirds of the weighted votes.

3.  Extension of Qualified Majority Voting (QMV)

This will be one of the most difficult issues in the IGC, but the most crucial one if a Union of twenty-something Member States is going to work effectively.

The "veto" has become an emotional subject, especially in Britain, but the time has come to bite the bullet and recognise that in most areas, we are more likely to suffer from other people's vetoes than we are to gain from using our own.

Any subject matter dealt with on the basis of a system of unanimity and vetoes for over twenty states is one in which no decisions will be taken (or, at best, slow painful decision taking on the basis of an inadequate lowest common denominator). If a matter is to be dealt with at all at EU level, then such a basis is not the best one.

This could imply having QMV on sensitive issues such as foreign policy declarations, harmonisation of indirect taxation and so on. However, it should be recognised that on such sensitive subjects, members of the Council invariably proceed with utmost caution. Consensus remains the name of the game, but the possibility that a vote might be taken is essential to ensure that bloody-mindedness by a single Member State can be circumvented if necessary. In practice, it often leads to reasoned argument and agreement, whereas threats to the national veto lead to tension and conflict.

In the CFSP, it might be appropriate to introduce QMV along with a system of derogation whereby any state voting against a common position, a humanitarian action or the sending of peacekeeping or peace-making troops would be exempted from taking part in the action concerned. Real-politik would ensure that, in such circumstances, the Union would find it unthinkable to send, for instance, peace-keeping troops to the Balkans if Britain and France were not in agreement. However, such a system would prevent, for example, Greece or Malta, Latvia, Estonia, Slovenia or Cyprus from preventing EU action. EU positions would be adopted by QMV but each Member State would be sovereign in deciding whether to sign up. In such circumstances, the EU would be careful not to lose credibility by adopting positions that don't have sufficient support.

The UK should therefore support the widest appropriate extension of qualified majority voting within the limits of the EU's field of competence. In the CFSP field, this should be used to adopt EU positions on the understanding that the minority will not necessarily be bound by the decision.

4.  Other Issues to address

The UK should not be afraid of some other issues finding their way onto the agenda of the IGC. There are other issues that need to be addressed, and the creation of a wider package can sometimes facilitate agreement in an IGC, all the more so in that the three issues already on the agenda are among the most controversial and difficult. This will be the last opportunity for reform before IGCs become still more difficult with still more Member States around the table.

Among the issues likely to arise are the following:

Integration of the WEU into the European Union.

This has begun to happen, but further aspects of it require treaty amendment.

What happens to the WEU secretariat and how much should be absorbed by the Commission and how much by the Council? Should the functions of the WEU assembly be given to the European Parliament (bearing in mind that these are purely advisory)?

The question of the size of the Parliament. The treaty now limits this to 700, but enlargement after the first wave will take us over that limit. The 2004-2009 Parliament should therefore be elected on the basis of new figures. It is possible for the first wave of six to come in and remain under the level of 700 with only a minor adjustment for the existing Member States. However, as any downward adjustment will be difficult, it is better to bite the bullet within the context of a wider package in an IGC. A set of possible figures is attached[255].

Flexibility: with so many Member States, the issue of flexibility will inevitably arise again. The Amsterdam procedures for triggering "closer co-operation" are cumbersome and difficult to use. They should be re-examined.

Extension of co-decision. Post Amsterdam, the EP now enjoys co-decision powers with the Council for most, but not all legislation. The biggest exception is agriculture, where the results of excluding Parliament have not been notably successful. This IGC should tidy up what has now become an anomaly and give Parliament co-decision powers on all legislation that goes to Council.

Codification. The Amsterdam Treaty began the process of codifying the series of overlapping and repetitive European treaties into a single, more concise and coherent text. However, this was a job only partially done (they still contain over 1000 articles in four treaties) and should be taken further in the interests of clarity, simplicity and therefore transparency. This should satisfy those who are calling for an EU constitution in that the treaties already constitute a constitution of sorts (as they define the field of competence of the EU, the powers of its institutions and the procedures for adopting policies and legislation), but they lack clarity and accessibility. Codification is a pragmatic way of addressing the issue.

A related matter is the suggestion by Jean Luc Dehaene and Lord Simon to have two parts to the Treaty: a first part regrouping all the main principles and procedures and a second part with the details and policies. As such, this would be worthwhile, but they also proposed that the second section be subject to an easier amendment procedure. This is more controversial, but it might be possible to allow parts of the second section to be amendable in that way, as is already the case, for example, for several protocols (amendable by Council by unanimity).

Charter of Rights. The European Council has set in motion a procedure for the elaboration of an EU Charter of Fundamental Rights. It envisages the drafting of such a Charter for December 2000 by a body compound of MEPs, national parliamentarians, and a representative of each national government and the Commission. The results of this should be incorporated into the treaties through the IGC.

European Court of Justice. The Court has put forward some suggestions to streamline its procedures. This is necessary to allow it to manage its growing workload. The length of time it takes for a court ruling, due to the backlog of cases, is already a problem with 15 Member States. These issues should be tackled by the IGC.

EMU. There is a proposal to allow the European Parliament to confirm the appointment of the President and Board members of the Central Bank. At present it holds a hearing and consultative vote on the candidates. This would help counter the arguments of those who claim the Central Bank is undemocratic, but without unduly changing the current procedure. The Commission may well raise the issue of external representation on monetary matters (and Art. 113).

These are a limited number of extra issues. There is no prospect of a 100 issue IGC as at Maastricht and Amsterdam, and an extension beyond the three "leftover" issues should not be feared.

5.  The Method

The traditional IGC method of secret negotiations among foreign ministries was opened up considerably during the Amsterdam IGC when all the proposals tabled were made public during the IGC, the press were briefed after every meeting and the European Parliament was allowed to send two representatives to the IGC. However, their representatives could not attend all the meetings, due to the opposition to this at the start of the IGC, of the UK and French governments (both of which have changed). The UK should now accept the presence of two EP representatives at all the IGC meetings on the basis that they have the same status as the Commission representative, i.e. they can contribute to discussions and make proposals, although the IGC remains by definition intergovernmental and it is the government representatives who are party to any agreement and who sign the Treaty.

2 December 1999


255   See Annex to this Paper. Back


 
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