Select Committee on Foreign Affairs Minutes of Evidence


Memorandum submitted by the Secretary of State for Foreign and Commonwealth Affairs

PROSPECTS FOR THE EUROPEAN COUNCIL, NICE, 7-9 DECEMBER 2000

1.  The Presidency will only finalise the agenda for the Nice European Council after the General Affairs Council on 4-5 December. The main issue will be the conclusion of the negotiations in the Intergovernmental Conference. We expect other issues for Nice to include: the Charter of Rights; Enlargement; Defence; Civilian Crisis Management/CFSP; Stockholm Preparations; Taxation; Justice and Home Affairs (asylum and immigration); Social Issues (social exclusion, the Social Agenda, employment guidelines, mobility action plan and pensions); Food Safety; Sport; Galileo; Maritime Safety; Environmental issues; and the Precautionary Principle.

IGC

2.  Nice is due to conclude the negotiations on the Inter-Governmental Conference. The agenda remains focussed on the key institutional changes needed to prepare the Union for enlargement—that is the size and structure of the Commission; the reweighting of votes in the Council; the extension of qualified majority voting; reform of the European Courts; and a review of the Treaty provisions governing closer co-operation. In addition, the European Council is likely to consider amendment of Article 7 TEU (action against Member States found to be breaching fundamental rights) and may agree changes to the composition of the European Parliament, Economic and Social Committee, Committee of the Regions and Court of Auditors.

  3.  The Government set out its position on all these issues in its response to the Committee's report on the IGC (published as Command Paper 4893 in October), a copy of which is attached. Since then, negotiations have continued at official and Foreign Minister level. The most recent development was a first draft composite text, issued by the Presidency on 3 November and already forwarded to the Committee. This sets out possible drafting changes for most of the IGC issues, though not yet for the reweighting of votes, the size of the Commission or the allocation of seats in the European Parliament.

  4.  On qualified majority voting, the draft runs through all the Treaty articles under discussion. This list is likely to shorten over the next few weeks. The UK will continue to look at each area on its merits. Where QMV is in Britain's interests, we will advocate it. But we shall continue to insist on unanimity for key areas of national interest, such as taxation, social security, border controls, defence, Treaty change and Own Resources.

  5.  On enhanced co-operation, the draft makes a number of suggestions for changes to the current Treaty provisions. We shall consider these over the coming weeks. As the Prime Minister made clear in his speech in Warsaw on 6 October, the Government considers that, especially in an enlarged EU, there may be occasions where it is sensible for a group of Member Stats to co-operate more closely than others. But we shall insist that whatever provisions are agreed in Nice continue to protect the integrity of the Single Market and the coherence of EU foreign policy. Nor will we accept the creation of an institutionalised inner core of Member States. It is important that examples of enhanced co-operation are genuinely open to all who want to participate.

  6.  The Government remains pleased with progress on reform of the EU's Courts (the European Court of Justice and the Court of First Instance), which will need greater flexibility if they are to cope with the inevitable increase in work which will flow from enlargement. We welcome the changes in the draft text, such as qualified majority voting for the Court's Rules of Procedure, which should help achieve this objective.

  7.  The Government regards the text as a contribution to taking forward the negotiations. Clearly there is much in the text that will not be in the final Nice Treaty. It represents an amalgamation of the various views that have been put to the Conference. But the draft should help focus discussion as much as possible before the European Council itself. We will work to secure a satisfactory agreement at Nice.

EU CHARTER OF FUNDAMENTAL RIGHTS

  8.  The Charter of Rights will be proclaimed as a political declaration on the occasion of, but separate from, the European Council. We expect that representatives of the Council, European Parliament, and Commission will sign a short document stating that the three institutions solemnly proclaim the Charter.

  9.  The Government strongly supports the Charter. It will be a clear statement of basic European values we all share. People need to know their rights and the EU institutions need to respect them. The Charter will help with both. It sets out fundamental rights, freedoms and principles which the EU Institutions must respect when going about their daily business. The Government has made it clear that it will remain purely declaratory, and that it will not be incorporated into the Treaties.

EU ENLARGEMENT

  10.  Heads of Government are likely to welcome the progress made in the accession negotiations under the French Presidency. The Luxembourg Six countries (Cyprus, Czech Republic, Estonia, Hungary, Poland and Slovenia) have opened all but two of 31 chapters of the acquis communautaire and, by Nice, will have provisionally closed between at least 11 and 16 chapters. Other chapters have also been revisited and progress made, particularly in areas where the EU has shown a willingness to tackle requests for transitional periods. The Helsinki Six countries (Bulgaria, Latvia, Lithuania, Malta, Romania and Slovakia) will have opened between at least nine and 14 chapters and provisionally closed between six and 10.

  11.  Heads of Government are also likely to focus on the Commission's annual progress reports and Enlargement Strategy paper published on 8 November. The 13 individual reports, detailing each candidate's progress towards meeting the obligations of EU membership, assess that, in general, most have made good progress since last year. Only Turkey does not meet the political criteria.

  12.  The Commission's Enlargement Strategy paper sets out key recommendations on the future of the negotiations. In particular, the paper proposes a "road map" for taking forward negotiations over the next three Presidencies leading to a conclusion in 2002. It also makes practical recommendations on handling requests for transitional arrangements to facilitate faster progress in negotiations. The UK strongly welcomes the Commission's proposals which are constructive and forward-looking. The recommendation for a "road map" in particular, is an important step towards early enlargement. In Warsaw on 6 October, the Prime Minister called for a breakthrough on enlargement under the Swedish Presidency and said he wanted to see new member States participating in the European Parliamentary elections in 2004. We believe the Commission proposals open the way to achieving this and will be working hard to achieve an outcome at Nice which reflects the broad thrust of the Commission's proposed strategy.

  13.  Heads of Government may also consider Turkey's Accession Partnership, if it has not already been agreed by the General Affairs Council. The first draft of the Accession Partnership has been published. It sets out short and medium-term priorities for Turkey in its efforts to meet the criteria for EU accession set out by the Copenhagen European Council in 1993. The UK supports Turkey's candidacy for EU membership, on the terms set out by the Helsinki European Council in December 1999.

EUROPEAN DEFENCE

  14.  The European Council should adopt a Presidency report carrying forward the European Security and Defence Policy (ESDP) in line with the mandate from the Feira summit. So, Nice should see agreement to put in place the permanent structures needed for the EU to prepare for and conduct military crisis management operations. Nice should also agree EU proposals, for negotiation with NATO, on permanent arrangements for consultation and co-operation between the EU and NATO, including EU access to NATO planning, assets and capabilities. Nice should also agree arrangements for involvement of non-EU NATO members and other EU accession candidates.

  15.  Nice should welcome progress on taking forward the Helsinki Headline Goal, notably at the Capabilities Commitment Conference (20-21 November). This should include a commitment by Member States to meet capability requirements and agreement on a mechanism to ensure coherence between EU and NATO capability requirements.

CIVILIAN CRISIS MANAGEMENT

  16.  One of the annexes to the Presidency report on ESDP will address civilian crisis management. This annex will describe progress in establishing a methodology for achieving the concrete target set at Feira for Member States' contributions to international civilian policing operations (for Member States to be able collectively to provide up to 5,000 police officers to international policing operations, including, within that overall total, up to 1,000 officers within 30 days).

CFSP ISSUES

  17.  Discussion of other CFSP issues will depend on international events in the interim. It is probably that Heads will discuss the situation in the Middle East. In light of the Zagreb Summit (24 November) we do not at this stage expect substantive discussion of the Balkans.

PREPARATIONS FOR THE STOCKHOLM COUNCIL

  18.  Our priority is to keep the Lisbon agenda on track. Heads will be asked to agree a set of structural indicators for use by the Commission in preparing its annual synthesis report on progress towards the Lisbon targets. The first report will be presented at Stockholm in March. Heads will also consider progress reports on research and development benchmarking and on the e-Europe Action Plan. The Government strongly supports the use and development of structural indicators and benchmarking to advance the Lisbon agenda and is content with the work to date.

  19.  Heads will be asked to endorse high-level objectives on social inclusion which will form the basis of national action plans. The Council will also consider a progress report on the study into the future of social protection and a Resolution on mobility. The Government is content with working in these areas. The Presidency will seek agreement on a new social agenda (see below).

TAXATION

  20.  The Feira European Council asked ECOFIN to pursue work on all parts of the tax package, in order to achieve full agreement on the adoption of the directives and the implementation of the overall package as soon as possible and no later than by the end of 2002.

  21.  The October ECOFIN Council discussed a Presidency report which showed that, while significant progress on the taxation of savings has been achieved, a number of issues need to be addressed further. The UK is keen to see ECOFIN resolve these outstanding issues. The 27 November ECOFIN Council will discuss a proposal on the substantive content of a Directive on the taxation of savings, although some Member States may wish to take the issue to Nice.

  22.  The UK's objectives on the tax package are to reach agreement on the substantive content of the Savings Directive in line with the Feira conclusions, and, on the Code of Conduct, on a process for rollback of those tax measures found harmful in the Code of Conduct Group's report of November 1999.

ASYLUM AND IMMIGRATION

  23.  As required by the October 1999 European Council in Tampere, the Presidency will submit a progress report to Nice on the work of the High-Level Working Group on Asylum and Migration, in implementing cross-pillar Action Plans for the countries of origin and transit of asylum seekers and migrants. The Government is working to ensure that the report is clear and well-balanced.

PROPOSALS FOR OBJECTIVES FOR FIGHTING POVERTY AND SOCIAL EXCLUSION

  24.  The Lisbon and Feira European Councils committed Member States to a process to fight social exclusion using national action plans. Nice should adopt broad social exclusion objectives—agreed by the 17 October Social Policy Council—to underpin these action plans. The objectives take a multi-dimensional view of poverty and social exclusion and focus on employment as the best guard against exclusion.

THE SOCIAL AGENDA

  25.  The Lisbon European Council asked the Nice Council to agree a European Social Agenda on the basis of a Commission communication, which the Commission issued in June. The Presidency have yet to circulate the draft of the Social Agenda. We want to se a European Social Agenda which carries forward Lisbon's modernising objectives by promoting employment and employability (particularly through lifelong learning); tackling poverty and social exclusion; and ensuring equality of opportunity in employment.

EMPLOYMENT GUIDELINES

  26.  The Nice Council will be asked to give its approval to the Employment Guidelines for 2001. The present draft Guidelines are largely acceptable to the UK and minor outstanding issues should be resolved by the November Employment and Social Policy Council.

MOBILITY ACTION PLAN

  27.  The Lisbon European Council asked the Council to define, by the end of 2000, the means for fostering the mobility of students, teachers and training and research staff. The 9 November Education Council should adopt a Mobility Action Plan which will be submitted to Heads for their endorsement.

  28.  The Plan will set out a number of measures to help Member States improve the levels and quality of mobility. The UK strongly supports this initiative.

PENSIONS

  29.  Lisbon asked that High Level Group on Social Protection to produce a report on the sustainability of pensions, informed by a Commission communication (which was issued on 11 October 2000). The UK welcomes the communication which makes no legislative proposals but which provides a useful basis for further discussion between Member States on meeting the challenge of demographic change, and ensuring safe, sustainable systems of pension provision. The High Level Group will submit a progress report to Nice. Their final report is likely to be available for the Gothenburg Council in June.

FOOD SAFETY

  30.  The Presidency may seek recognition of the Commission's work on Food Safety Legislation and of the proposed establishment of a European Food Authority. The UK welcomes the Commission's work to protect European consumers through a more modern and coherent approach to food safety issues.

SPORT

  31.  The Feira conclusions requested the Commission and the Council to take account of the specific characteristics of sport in Europe and its social function in managing common policies. The Presidency intends to attach a Declaration on Sport to the Nice conclusions naming these specific characteristics and their impact on the implementation of common policies. The UK supports the principle of a declaration provided that it does not imply an extension of Community competence; that it does not call into question existing Community policies; and that it respects the independence of sporting federations.

GALILEO

  32.  The Feira conclusions requested a decision on the proposed Galileo Satellite Navigation System by the end of 2000. The UK welcomes the Commission's work on this subject but continues to have concerns about the costs, funding, likely benefits to users, those of Public-Private Partnership, and aspects of security and project management. The Commission is expected to bring forward further proposals on 22 November. We shall work with the Commission and other Member States to ensure that any decision in December does not leave these and other key issues unresolved.

MARITIME SAFETY

  33.  Nice is likely to be asked to endorse a Commission report on the Community's strategy for safety at sea. The UK welcomes the first steps, described in the report, which have already been taken, including to phase out single hull tankers. The report proposes a second phase of measures, addressing in particular the monitoring of ships with hazardous cargoes, pollution compensation, and the creation of a European Agency for Maritime Safety. The UK believes that the first two are best pursued through the International Maritime Organisation, and that the case for new EU institutions should be reviewed objectively and carefully.

ENVIRONMENT

  34.  Nice is expected to ask the Swedish Presidency to take forward further work on global environmental governance. The Government wants the Rio plus Ten conference in 2002 (an event to mark the tenth anniversary of the Rio Earth Summit in 1992) to address the strengthening of the institutional structure for global environmental governance. The Nice Conclusions should also refer to the outcome of the Hague climate change conference and the implications for the EU's ratification of the Kyoto Protocol by 2002.

PRECAUTIONARY PRINCIPLE

  35.  The precautionary principle states that where there are threats of serious or irreversible damage, a lack of full scientific certainty shall not be used as a reason for postponing cost-effective measures. Nice will be asked to endorse a Resolution on the precautionary principle, which should by then have been adopted by the General Affairs Council. The Resolution will welcome the European Commission's Communication on the application of the precautionary principle in Community instruments, broadly endorse the guidelines set out in the Communication, and call on Member States and the Commission to work for full recognition of the principle in international agreements and for a, particularly the WTO. We support this initiative.

NICE EUROPEAN COUNCIL, 7-9 DECEMBER 2000—DOCUMENTS LIKELY TO BE CONSIDERED AT THE EUROPEAN COUNCIL

IGC

    —  Draft Treaty of Nice

    EU CHARTER OF FUNDAMENTAL RIGHTS

      —  The final Charter text (CONVENT 50) with its corrigendum.

    —  The Charter Convention drafting executive's explanatory commentary (CONVENT 49).

EU ENLARGEMENT

    —  The Commission's 13 individual candidate country Progress Reports.

    —  The Commission's Enlargement Strategy Paper.

EUROPEAN DEFENCE

    —  Presidency reports on civilian and military crisis management capabilities.

    —  Presidency reports on permanent political and military structures.

    —  Presidency reports on permanent arrangements between EU and NATO and between EU and non-EU NATO members and EU accession candidates.

    —  Documents concerning civil and military crisis management procedures.

    —  Documents concerning inclusion into the EU of WEU functions.

STOCKHOLM PREPARATIONS

    —  "Structural Indicators: an Instrument for Better Structural Policies" (EPC Report due for endorsement at 7 November ECOFIN).

    —  "The e-Europe update" (to be considered at 30 November IMC).

    —  Progress report on benchmarking (to be considered at 16 November Research Council—text not available).

ASYLUM AND IMMIGRATION

    —  Report on the work of the High-Level Working Group on Asylum and Migration.

    SOCIAL ISSUES

      —  "Objectives in the fight against poverty and social exclusion" (doc 12189/00 SOC 333).

    —  "Mobility Action Plan" (to be agreed at 9 November Education Council).

    —  Social Policy Agenda (to be considered at 28 November Employment and Social Policy Council—text not available).

    —  Pensions report (not yet available).

FOOD SAFETY

    —  Commission's draft Regulation on General Principles of Food Law, Establishing the European Food Authority and Laying Down Procedures in Matters of Food Safety (due to be adopted by the Commission on 8 November).

    SPORT

      —  Presidency draft Declaration on Sport.

    GALILEO

      —  Commission Communication due to be published on 22 November.

MARITIME SAFETY

    —  "Report from the Commission for the Biarritz European Council on the Community's strategy for safety at sea" (COM 2000 (603)).

    PRECAUTIONARY PRINCIPLE

      —  Commission Communication—COM (2000) 1, 2 February 2000.

    —  GAC Resolution—latest (COREPER 1) draft, 12342/00 (18 October 2000).

NICE EUROPEAN COUNCIL, 7-9 DECEMBER 2000—REFERENCES FROM EARLIER COUNCILS

EU CHARTER OF FUNDAMENTAL RIGHTS

  The Cologne Conclusions called for the fundamental rights applicable at Union level to be consolidated in a Charter and thereby made more evident.

  The composition and working practices of the Charter drafting body, called the Convention, were established in an Annex to the Tampere Conclusions.

EUROPEAN DEFENCE

  The Presidency report to the Helsinki European Council agreed to set a Headline Goal for European military capabilities. The Feira European Council asked the French Presidency to report, inter alia, on the establishment of permanent political and military structures in the EU; on the development of EU/NATO arrangements; and on arrangements to allow third countries to participate in EU-led crisis management. The Feira Conclusions also asked for reports on the progress made on the Headline Goal and the implementation of EU capabilities in civilian aspects of crisis management.

STOCKHOLM PREPARATIONS/SOCIAL ISSUES

  Specifics called for at Nice:

    —  agreement on a European Social Agenda;

    —  progress report on benchmarking exercise on national R&D policies;

    —  progress report on study on future evolution of social protection, especially pensions;

    —  high level objectives in the fight against poverty and social exclusion; and

    —  report on e-Europe action plan.

  Specifics called for by end of year:

    —  report on structural indicators;

    —  greater competition in local access networks;

    —  report by end 2000 on review of EIB/EIF instruments;

    —  strategy on removal of barriers to services;

    —  strategy to foster mobility of students, teachers and training and research staff; and

    —  report on benchmarking exercise on setting up new companies and the numbers of business and scientific graduates and training opportunities.

GALILEO

  The Feira European Council recalled the strategic importance of the Galileo project and of taking a decision on this matter by the end of 2000.

MARITIME SAFETY

  Following the December 1999 Erika disaster, the Feira Council mandated the Commission to present a report on its proposed overall strategy on maritime safety to the Biarritz European Council to reach a decision by the end of the year. The Biarritz Council had an exchange of views on the Commission's Communication. The Report of the Council noted that progress already made in some areas, and the Commission's further proposals, should allow the Nice Council to reach a coherent and global strategy.

ENVIRONMENTAL ISSUES

  The Helsinki Council stressed that preparations should continue in a manner that would enable the prerequisites to be established for ratifying the Kyoto Protocol by the European Community and Member States by 2002. It urged all parties to the Climate Change Convention to achieve ratification by 2002. Helsinki also invited the Commission to bring forward a proposal for the Sixth Environmental Action Programme by the end of 2000.

  Feira asked the Commission to consider the issue of the urban environment in its proposals for the Sixth Environmental Action Programme.

PRECAUTIONARY PRINCIPLE

  The Helsinki European Council asked the Council to examine the forthcoming Commission communication on the precautionary principle as a matter of urgency and instructed the Portuguese Presidency to present a progress report to the European Council in Feira. Feira took note of the Presidency report and concluded that the principle would be discussed at Nice.


 
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