Presidency conclusions, Barcelona European
Council, 15 and 16 March 2002
PART I
1. The European Council met in Barcelona
on 15 and 16 March for its second annual Spring meeting on the
economic, social and environmental situation in the Union. The
meeting was preceded by an exchange of views with the new President
of the European Parliament, Mr Pat Cox, on the main topics for
discussion. The European Council welcomes the President's initiative
for political dialogue and pragmatic change.
2. Heads of State or Government, Foreign
and Finance Ministers also came together with their counterparts
from the 13 candidate countries to discuss the Lisbon Strategy
and its implementation. The European Council highlights the Lisbon
strategy as an incentive for candidate countries to adopt and
implement key economic, social and environmental objectives and
as a two-way learning process.
GENERAL POLITICAL
AND ECONOMIC
CONTEXT
3. The euro clearly demonstrates what the
European Union can achieve when the political will is there. That
same political will must be harnessed towards meeting the economic,
social and environmental objectives which the Union has set itself.
4. The European Council has, on the basis
of the Commission's Spring Report, reviewed progress made in the
first two years of the Lisbon strategy. It notes that there have
been important successes, but also that there are areas where
progress has been too slow. It took into account the contributions
from various sectoral Councils. The objective now is to simplify
and consolidate this strategy so as to ensure more effective implementation
of the decisions already taken, and of those taken today.
5. The economic situation is in the first
stages of global recovery after the steep decline in 2001. The
rapid response of economic policy, sound fundamentals, and a restoration
of confidence provide a platform for that recovery. Now, these
prospects need to be enhanced by a clear commitment to economic
reform to increase the EU potential for growth and employment.
MAINTAINING THE
MOMENTUM BEHIND
OUR LONG-TERM
STRATEGY
Co-ordination of Economic Policies
6. Co-ordination of fiscal policies is anchored
in the commitment to sound public finances and rules of play agreed
in the Stability and Growth Pact. Member States will maintain
or respect the medium term budgetary objective of close to balance
or in surplus by 2004 at the latest. Automatic stabilisers should
be allowed to play symmetrically, provided that the 3 per cent
of GDP limit is not breached in downturns. This means, in particular,
that in expansionary phases growth dividends should be fully reaped.
Member States could make use of discretionary fiscal policy only
if they have created the necessary room for manoeuvre.
The European Council invites the Council to
continue to examine the long-term sustainability of public finances
as part of its annual surveillance exercise, particularly in the
light of the budgetary challenges of ageing.
7. The Eurozone is a monetary union working
under a single and independent monetary policy and decentralised
but co-ordinated fiscal policies. There is a need, therefore,
to make further progress by:
— improving and harmonising the methodologies
used to draw up Eurozone statistics and indicators. The Commission
and the Council are invited to present a comprehensive report
on Eurozone statistics in time for the Spring European Council
2003;
— conducting a systematic analysis
of the Euro area's policy mix as a whole, in order to assess the
consistency of monetary and fiscal policies with respect to economic
developments;
— reinforcing existing fiscal policy
co-ordination mechanisms. In this regard, the Commission will
present proposals to reinforce economic policy co-ordination in
time for the 2003 Spring European Council.
8. In this context, the European Council
endorses the "Key Issues Paper". This will be the basis
of the Broad Economic Policy Guidelines, which will be targeted
and specific, identifying key economic challenges and proposing
concrete measures to tackle them. Focal points will be the quality
and sustainability of public finances, pursuing further necessary
reforms in product, capital and labour markets and ensuring coherence
with the policies established in each domain.
Sustainable Development
9. Growth today must in no event jeopardise
the growth possibilities of future generations. The Sustainable
Development Strategy means that the various policies should be
consistent with the Union's long-term objectives. Economic, social
and environmental considerations must receive equal attention
in policymaking and decision taking processes. In this context,
relevant Council configurations, including ECOFIN and General
Affairs, have now adopted their strategies for integration of
environmental concerns, and the Fisheries Council has also taken
the necessary steps for this integration in the context of its
forthcoming review.
10. The European Council welcomes the decision
on the ratification of the Kyoto Protocol on behalf of the European
Community. It urges Member States to complete their national ratification
procedures by June 2002. The Protocol should enter into force
before the World Summit on Sustainable Development in Johannesburg.
The European Council recalls its invitation made at Göteborg
to other industrialised countries.
11. The European Council recognises the
importance of the Sixth Environmental Action Programme as a key
instrument for progress towards sustainable development and welcomes
the recent progress in discussion between the European Parliament
and the Council with a view to its final adoption.
12. But further action is required. The
European Council:
— notes the intention of the Commission
to present in 2002, following its report on environmental technologies,
an Action plan for tackling obstacles to their take up;
— notes the intention of the Commission
to accelerate its work in the preparation of a framework directive
on infrastructure charging, to ensure that by 2004 different modes
of transport can better reflect their costs to society;
— notes the intention of the Commission
to include, before the end of 2002, a sustainability dimension
in the impact assessment which will form part of its wider efforts
in the field of better regulation;
— asks the Council, in parallel with
the agreement on the opening of the energy markets, to reach an
agreement on the adoption of the energy tax directive by December
2002, bearing in mind the needs of professionals in the road-haulage
industry;
— agrees on the need for the European
Union to show substantial progress in enhancing energy efficiency
by 2010.
13. With a view to the Monterrey Conference
on Financing for Development, the European Council welcomes the
agreement reached on ODA by Foreign Ministers. This states that
in pursuance of the undertaking to examine the means and timeframe
that will allow each of the Member States to reach the UN goal
of 0.7 per cent ODA/GNI, those Member States that have not yet
reached the 0.7 per cent target commit themselves—as a first
significant step—individually to increasing their ODA volume
in the next four years within their respective budget allocation
processes, whilst the other Member States renew their efforts
to remain at or above the target of 0.7 per cent ODA, so that
collectively a European Union average of 0.39 per cent is reached
by 2006. In view of this goal, all the European Union Member States
will in any case strive to reach, within their respective budget
allocation processes, at least 0.33 per cent ODA/GNI by 2006.
The ECOFIN Council will examine other ways of debt relief for
the least developed countries.
14. The European Council shall, on the basis
of the Commission's communication "Towards a Global Partnership
for Sustainable Development" and the conclusions of the Environment
Council of 4 March 2002, determine the overall position of the
European Union for the Johannesburg Summit at its June meeting
in Seville, and in Spring 2003 will review the comprehensive strategy
for sustainable development with a focus on putting into practice
the outcome of the World Summit on Sustainable Development. It
underscores the importance of improved global Governance in this
field.
A more favourable environment for entrepreneurship
and competitiveness
15. Entrepreneurship and a well functioning
internal market are key to growth and job creation. The regulatory
environment should encourage entrepreneurial activity and make
it as simple as possible to set up new businesses, in particular
through the full use of the Internet. The European Council asks
Member States to speed up the implementation of the European Charter
for SMEs and to learn from best practice. The European Council
takes note of the Commission's intention to submit a green paper
on entrepreneurship before the 2003 Spring European Council. As
from this year, the Council will meet before every Spring European
Council to assess progress in this area. The European Council
considers that the Basel Committee on Banking Supervision should
ensure that its work does not result in discrimination against
small and medium sized enterprises and requests the Commission
to present a report on the consequences of the Basel deliberations
for all sectors of the European economy with particular attention
to SMEs.
16. Full implementation of all internal
market legislation is a prerequisite for the proper functioning
of the internal market. Although progress has been made, the interim
transposition target of 98.5 per cent set in Stockholm has only
been achieved by seven Member States. Efforts need to be stepped
up. The European Council calls on Member States to make further
efforts to meet that target and for a transposition target of
100 per cent to be achieved by the Spring European Council in
2003 in the case of directives whose implementation is more than
two years overdue.
17. The European Council welcomes progress
on modernising Community competition rules. It attaches the utmost
priority to the on-going work in this regard and calls on the
Council to adopt the new legal framework by the end of 2002.
18. In addition, the European Council:
— renews its call to Members States
to reduce the overall level of State aid as a percentage of GDP
by 2003, and onwards, and to redirect such aid towards horizontal
objectives of common interest, including economic and social cohesion,
and target it to identified market failures. Less and better targeted
State aid is a key part of effective competition;
— urges the Council to agree the pending
legislative package on public procurement at its May meeting with
a view to its final adoption as early as possible in 2002;
— asks the Commission to make specific
references to outstanding technical barriers in its current Internal
Market Scoreboard;
— notes the Commission's intention
to present, as soon as possible, the follow-up to its Communication
on an Internal Market Strategy for Services, including any necessary
concrete actions.
In this context, the European Council reaffirms
the importance for the economic and social development of the
Union of improving the quality of public administrations.
19. Efforts to simplify and improve the
regulatory environment will be vigorously pursued at both national
and Community level including inter-institutional aspects, with
particular emphasis on the need to reduce the administrative burden
on SMEs. The European Council invites the Commission to submit,
in time for its next session at Seville, the Commission's Action
Plan, which should take into account in particular the recommendations
of the Mandelkern Group on Better Regulation.
20. The European Council invites the Council,
on the basis of Commission proposals and in the light of the conclusions
of the Financial stability forum, to analyse, before June 2002,
the requirements of good and transparent corporate governance
and to examine the possibility of creating a group of "wise
men".
21. At Ghent the European Council called
on the EIB to step up lending in selected sectors to contribute
to the recovery of the EU economy. The European Council welcomes
the EIB's recent implementation through mobilisation of an estimated
loan volume of EUR 4-4.5 billion over two years, and further encourages
the Bank to support investment in sectors particularly relevant
to foster economic integration, economic and social cohesion and
growth and employment in the Union.
Reinforcing social cohesion: the Social Agenda
22. The European social model is based on
good economic performance, a high level of social protection and
education and social dialogue. An active welfare state should
encourage people to work, as employment is the best guarantee
against social exclusion. The European Council considers the Social
Agenda agreed at Nice to be an important vehicle for reinforcing
the European social model. The Spring European Council must be
the occasion for an in-depth review of progress in bringing about
its objectives. This review should lend further impetus and lead
to appropriate initiatives where necessary. The Lisbon goals can
only be brought about by balanced efforts on both the economic
and social fronts.
As far as the social front is concerned, this
includes:
— increasing the involvement of workers
in changes affecting them. In this connection, the European Council
invites the social partners to find ways of managing corporate
restructuring better through dialogue and a preventive approach;
it calls on them to engage actively in an exchange of good practice
in dealing with industrial restructuring;
— enhancing the qualitative aspects
of work: as regards in particular the health and safety dimension,
the European Council invites the Council to examine as a matter
of priority the forthcoming Commission communication on a Community
health and safety strategy.
23. The European Council underlines the
importance of safety in heavy goods traffic and the need to ensure
compliance with and the further development of the social provisions
and requests the Council to conclude its work on the relevant
draft Regulation before the end of 2002.
24. The European Council stresses the importance
of the fight against poverty and social exclusion. Member States
are invited to set targets, in their National Action Plans, for
significantly reducing the number of people at risk of poverty
and social exclusion by 2010.
25. In order to address the challenge of
the ageing population, the European Council calls for the reform
of pension systems to be accelerated to ensure that they are both
financially sustainable and meet their social objectives; in this
context it stresses the importance of the joint Commission and
Council Report on Pensions to the Spring 2003 European Council,
to be drawn up on the basis of the National Strategy Reports due
in September 2002.
It takes note of the initial Council report
on health car and care for the elderly and invites the Commission
and the Council to examine more thoroughly the questions of accessibility,
quality and financial sustainability in time for the Spring 2003
European Council.
26. The European Council stressed the importance
of the declaration made at the Council (Employment and Social
Policy) on the subject of violence against women.
PRIORITY ACTION
27. The European Council has identified
three broad areas which require specific impetus in view of their
central role in the completion of a genuinely common economic
area and the pursuit of the Union's long term objectives. In the
present circumstances, the European Council considers that they
can also make an important contribution to economic recovery.
Active policies towards full employment: more
and better jobs
28. Full employment in the European Union
is the core of the Lisbon Strategy and the essential goal of economic
and social polices, which requires the creation of more and better
jobs. It is therefore necessary to continue paying special attention
to the reforms of employment and labour market policies.
29. The European Council welcomes the holding
of the Social Summit prior to the Spring European Council, and
the adoption by the social partners of a joint framework for action
for the lifelong development of competence and qualifications.
The European Council urges the Social Partners to place their
strategies in the various territorial (European, national, regional
and local) and sectoral spheres at the service of the Lisbon Strategy
and Objectives and to that end to produce an annual report on
their efforts both at national level, in the Employment Plans,
and at European level, to be submitted directly to the Social
Summit.
The multiannual programme which they will submit
in December 2002 should already include that contribution, particularly
with regard to the adaptability of businesses in matters such
as collective bargaining, wage moderation, improved productivity,
life-long training, new technologies and the flexible organisations
of work.
A reinforced Employment Strategy
30. The Luxembourg Employment Strategy has
proved its worth. The 2002 mid-term review of the Strategy must
build on its achievements, and incorporate the targets and goals
agreed at Lisbon. In this regard, the Strategy must:
— be simplified, in particular by a
reduced number of guidelines, without undermining their effectiveness;
— align the time frame with the Lisbon
deadline of 2010, including an intermediate evaluation in 2006
to monitor achievement of the Stockholm intermediate objectives,
as defined by subsequent European Councils;
— reinforce the role and responsibility
of social partners in implementation and monitoring of the guidelines.
31. The revised Employment Strategy should
focus on raising the employment rate by promoting employability
and by removing obstacles and disincentives to take up or remain
in a job, while preserving high protection standards of the European
social model. As indicated in the report on Labour Force participation,
a strong interaction between social partners and public authorities
is needed, and in particular a priority focus on lifelong learning,
quality in work and gender equality.
32. In terms of current employment policies,
inter alia:
— where Member States pursue tax cuts,
priority should be given to reducing the tax burden on low-wage
earners;
— tax and benefit systems should be
adapted to make work pay and encourage the search for jobs. Members
should pursue a review of aspects such as conditionality of benefits,
eligibility, duration, the replacement rate, the availability
of in-work benefits, the use of tax credits, administrative systems
and management rigour;
— in order to guarantee the EU's competitiveness
and to improve employment across skills and geographical areas,
it is crucial that national labour institutions and collective
bargaining systems, respecting the autonomy of social partners,
take into account the relationship between wage developments and
labour market conditions., thereby allowing evolution of wages
according to productivity developments and skills differentials;
— in order to strike a proper balance
between flexibility and security, Member States, in line with
national practice, are invited to review employment contract regulations,
and where appropriate costs, with a view to promoting more jobs;
— Member States should remove disincentives
for female labour force participation and strive, in line with
national patterns of provision, to provide childcare by 2010 to
at least 90 per cent of children between three years old and the
mandatory school age and at least 33 per cent of children under
three years of age;
— early retirement incentives for individuals
and the introduction of early retirement schemes by companies
should be reduced. Efforts should be stepped up to increase opportunities
for older workers to remain in the labour market, for instance,
through flexible and gradual retirement formulas and guaranteeing
a real access to life long learning. A progressive increase of
about five years in the effective average age at which people
stop working in the European Union should be sought by 2010. Progress
in this field will be analysed annually before every Spring European
Council.
Promoting Skills and Mobility in the European
Union
33. The European Council welcomes the Commission
Action Plan to remove the barriers within the European labour
markets by 2005, and calls on the Council to take the necessary
steps to put into practice the proposed measures. Priority should
be given to:
— in accordance with the Action Plan
adopted at Nice, putting into place the legal conditions required
to ensure genuine mobility for all those involved in education,
research and innovation;
— lowering regulatory and administrative
barriers to professional recognition as well as other barriers
resulting from failure to recognise formal qualifications and
non-formal learning taking into account the paragraph on education
below;
— ensuring that all citizens are well
equipped with basic qualifications, especially those linked with
ICTs and in particular groups such as unemployed women;
— increasing where appropriate the
transferability of social security rights, including pensions,
across the European Union. In this context, the European Council
asks for work to be pursued as a matter of urgency, on the basis
of the parameters agreed at the Laeken European Council, on the
reform of Regulation (EEC) No 1408/71 on the co-ordination of
social security systems, so that the new Regulation can be adopted
before the end of 2003.
34. Concrete steps are needed. In this regard,
the European Council has decided that:
— a European Health Insurance Card
will replace the current paper forms needed for health treatment
in another Member State. The Commission will present a proposal
to that effect before the Spring European Council in 2003. Such
a card will simplify procedures, but will not change existing
rights and obligations.
— a one-stop European Job Mobility
Information Web Site, in close co-operation with the Member States,
shall be established, with a view to its full operability by the
end of 2003, at the latest.
CONNECTING EUROPEAN
ECONOMIES
Financial Markets
35. Only through an integrated and efficient
European capital market will consumers and business alike reap
the full benefits of the euro. Competitive financial markets will
lead to increased choice and lower prices for consumers and investors,
with appropriate levels of protection.
The European Council therefore:
— welcomes the agreement on the Lamfalussy
proposals and urges their immediate implementation;
— reaffirms its strong commitment to
implementing the Financial Services Action Plan (FSAP) and achieving
fully integrated securities and risk capital markets by 2003 and
financial services markets by 2005;
— asks the Council and the European
Parliament to adopt as early as possible in 2002 the proposed
Directives on Collateral, Market Abuse, Insurance Intermediaries,
Distance Marketing of Financial Services, Financial Conglomerates,
Prospectuses and Occupational Pension Funds and the International
Accounting Standards Regulation.
Integrating European Energy, Transport and Communications
Networks
36. Powerful and integrated energy and transport
networks are the backbone of the European internal market. Further
market opening, appropriate regulation, improved use of existing
networks and completion of missing links will increase efficiency
and competition, and ensure an adequate level of quality, as well
as reduced congestion and thus enhanced sustainability.
37. In the field of energy the European
Council:
— welcomes the first Commission report
on the effective opening of the internal market for gas and electricity,
agreed in Stockholm. It calls on the Commission to update it annually
before every Spring European Council so that effective progress
can be assessed;
— urges the Council and the European
Parliament to adopt as early as possible in 2002, the pending
proposals for the final stage of the market opening of electricity
and gas, including;
— Freedom of choice of supplier
for all European non-household consumers as of 2004 for electricity
and for gas. This will amount to at least 60 per cent of the total
market;
— In the light of experience and
at a date before the Spring European Council in 2003, a decision
on further measures taking into account the definition of public
service obligations, security of supply and in particular the
protection of remote areas and of the most vulnerable groups in
the population;
— Separation of transmission and
distribution from production and supply;
— Non-discriminatory access for
consumers and producers to the network, based on transparent and
published tariffs;
— Establishment in every Member
State of a regulatory function, within the appropriate regulatory
framework, with a view to ensuring in particular effective control
of the tariff-setting conditions;
— urges the Council to reach as early
as possible in 2002 an agreement for a tariff-setting system for
cross-border transactions in electricity, including congestion
management, based on the principles of non-discrimination, transparency
and simplicity;
— agrees the target for Member States
of a level of electricity interconnections equivalent to at least
10 per cent of their installed production capacity by 2005. Financing
requirements should be met mainly by the enterprises involved;
— urges the adoption by December 2002
of the revision of the Guidelines and accompanying financial rules
on Trans-European Energy Networks (TEN), and notes the intention
of the Commission to present the report on the security of supplies
based on the results of the debate generated by the Commission's
Green Paper on Security of Energy Supplies, in view of its next
meeting in Seville;
— invites the Commission and the Council
to analyse at the Spring European Council in 2006 the global performance
of the European internal energy market, in particular the degree
of transposition of the regulatory framework, and its effects
on consumer protection, infrastructure investments, effective
integration of markets and interconnections, competition and environment.
38. In the field of transport, the European
Council:
— welcomes the progress on GALILEO
and asks the Council (Transport) at its meeting in March to take
the necessary decisions regarding both the funding and launching
of this programme and the setting-up of the Joint Undertaking,
in co-operation with the European Space Agency;
— noting the importance of the Community
accession to EUROCONTROL, calls for work to be pursued actively
before the end of 2002 on the package of Commission proposals
so that the decisions can be taken to bring about a Single Sky
in 2004; furthermore, decisions on the proposed rules on airport
slot allocation should be taken by the end of 2002;
— on the basis of a report by the Commission
on the operation of the first railway package, calls on the Council
to pursue work on the second package, which includes, inter
alia, interoperability and high safety standards;
— calls for the adoption by December
2002 of pending proposals on port services and public services
contracts;
— requests the Council and the European
Parliament to adopt, by December 2002, the revision of the guidelines
and the accompanying financial rules on Trans-European Transport
Networks (TEN), including new priority projects identified by
the Commission, with a view to improving transport conditions
with a high level of safety throughout the European Union and
to reducing bottlenecks in regions such as, among others, the
Alps and the Pyrenees and the Baltic Sea.
39. In the field of communications, the
adoption of the new "telecoms package" means that the
same rules will apply to all converging technologies, creating
more competition and a level playing field in Europe. Member States
are asked to ensure full implementation of the new communications
regulatory package by May 2003; in addition, the Directive on
data protection should be adopted rapidly.
40. Further progress is needed. For the
next phase, the European Council:
— attaches priority to the widespread
availability and use of broadband networks throughout the Union
by 2005 and the development of Internet protocol IPv6;
— calls on the Commission to draw up
a comprehensive eEurope 2005 Action plan, to be presented
in advance of the Seville European Council, focusing on the above
mentioned priorities and the security of networks and information,
eGovernment, eLearning, eHealth and eBusiness;
— calls on Member States to ensure
that, by the end of 2003, the ratio of internet-connected PCs
to pupils is brought down across the European Union to one for
every fifteen pupils.
41. Technological convergence affords all
business and citizens new opportunities for access to the Information
Society. Digital television and third-generation mobile communications
(3G) will play a key role in providing widespread access to interactive
services.
The European Council accordingly:
— calls upon the Commission and the
Member States to foster the use of open platforms to provide freedom
of choice to citizens for access to applications and services
of the Information Society, notably through digital television,
3G mobile and other platforms that technological convergence may
provide in the future; and to sustain their efforts towards the
introduction of 3G mobile communications;
— invites the Commission to present
at the Seville European Council a comprehensive analysis of remaining
barriers to: the achievement of widespread access to new services
and applications of the information society through open platforms
in digital television and 3G mobile communications, the full roll-out
of 3G mobile communications, the development of eCommerce
and eGovernment and the role that national electronic identification
and authentication systems could play in this context.
Quality public services
42. The integration of European networks
and the opening of utility markets should take full account of
the importance of quality public services. In this regard, the
European Council underlines the importance for citizens, and for
territorial and social cohesion, of access to services of general
economic interest. In this context, the European Council asks
the Commission to:
— present its Communication on evaluation
methodology at the May Council and report to the Seville European
Council on the state of work on the guidelines for State aids
and if necessary propose a block exemption regulation in this
area;
— continue its examination with a view
to consolidating and specifying the principles on services of
general economic interest, which underlie Article 16 of the Treaty,
in a proposal for a framework directive, while respecting the
specificities of the different sectors involved and taking into
account the provisions of Article 86 of the Treaty. The Commission
will present a report by the end of the year.
A COMPETITIVE ECONOMY
BASED ON
KNOWLEDGE
Education
43. The European Council welcomes the agreement
on the detailed "Work Programme for 2010" for education
and training systems. The European Council sets the objective
of making its educative and training systems a world quality reference
by 2010. It agrees that the three basic principles to inspire
this Programme shall be: improved quality, facilitation of universal
access, and opening-up to the wider world.
It invites the Council and the Commission to
report to the Spring European Council in 2004 on its effective
implementation.
44. The European Council calls for further
action in this field:
— to introduce instruments to ensure
the transparency of diplomas and qualifications (ECTS, diploma
and certificate supplements, European CV) and closer co-operation
with regard to university degrees in the context of the Sorbonne-Bologna-Prague
process prior to the Berlin meeting in 2003; similar action should
be promoted in the area of vocational training;
— to improve the mastery of basic skills,
in particular by teaching at least two foreign languages from
a very early age: establishment of a linguistic competence indicator
in 2003; development of digital literacy: generalisation of an
Internet and computer user's certificate for secondary school
pupils;
— the European Council calls on the
Commission to undertake a feasibility study to identify options
for helping secondary schools to establish or enhance an internet
twinning link with a partner school elsewhere in Europe, and report
back to the Seville European Council in June;
— to promote the European dimension
in education and its integration into pupils' basic skills by
2004.
45. The European Council welcomes the Commission's
Communications on "Making a European Area for Lifelong Learning
a Reality" and invites the Council to adopt a resolution
on Lifelong Learning before the European Council in Seville, taking
into account the European Employment Strategy.
Research and frontier technologies
46. The European Council again calls on
the Council and the European Parliament to adopt the 6th Research
Framework Programme (FP6) and its legal instruments by June 2002.
47. In order to close the gap between the
EU and its major competitors, there must be a significant boost
of the overall R&D and innovation effort in the Union, with
a particular emphasis on frontier technologies. The European Council
therefore:
— agrees that overall spending on R&D
and innovation in the Union should be increased with the aim of
approaching 3 per cent of GDP by 2010. Two-thirds of this new
investment should come from the private sector.
— notes the Commission's intention
to propose measures in Spring 2003 to better integrate innovation
into a European Knowledge Area, with the aim of improving the
use of intellectual property rights across Europe, further developing
and strengthening private investment and the use of risk capital
in research and increasing networking between business and the
science base;
— reaffirms the importance of the Community
Patent and invites the Council to reach a common political approach
at its meeting in May. The Community Patent must be an efficient
and flexible instrument obtainable by businesses at an affordable
cost, while complying with the principles of legal certainty and
non-discrimination between Member States and ensuring a high level
of quality.
48. Frontier technologies are a key factor
for future growth. The European Council asks the Council to examine
before June 2002 the Commission's communication "Life Sciences
and Biotechnology—a strategy for Europe". It asks the
Council and the Commission to develop measures and a timetable,
which enable Community businesses to exploit the potential of
biotechnology while taking due account of the precautionary principle
and meeting ethical and social concerns. The Commission is invited
to report on progress in advance of the Spring European Council
2003.
IMPROVING WORKING
METHODS
Beyond Barcelona
49. The European Council urges the Council
and the Commission to streamline the relevant processes: the focus
must be on action for implementation, rather than on the annual
elaboration of guidelines. With a view to the European Council
giving the key political impetus to the actions crucial to the
achievement of the Union's long-term objectives, it has decided
that the calendars for the adoption of the Broad Economic Policy
Guidelines and of the annual Employment Package should be synchronised
as soon as feasible.
Thus, at its Spring meeting, the European Council
will review and, where necessary, adjust the Community's economic,
social and environment policies as a whole.
PART II
THE FUTURE
OF EUROPE
50. The Heads of State or Government welcomed
the start of the proceedings of the Convention on the Future of
Europe and will hold an initial discussion at their meeting in
Seville on the basis of a report by its Chairman Mr Valéry
Giscard d'Estaing.
51. The members of the European Council
heard a presentation by the Council Secretary-General Mr Javier
Solana of his report on improving the way in which the Council
operates and the reforms suggested for making it more efficient
and ensuring greater transparency of the legislative process.
The European Council instructed the Presidency, in close co-operation
with the Council Secretary-General, to make all appropriate contacts
on that basis with the members of the European Council and with
the correspondents they nominate, with a view to submitting a
report at the Seville meeting proposing specific measures for
adoption. The report will be examined by the General Affairs Council
in the context of preparations for the European Council in Seville.
EURO-MEDITERRANEAN
FINANCIAL CO-OPERATION
52. The European Council reiterates the
crucial importance of the Mediterranean region and its determination
to develop the Euro-mediterranean partnership. In this connection,
it welcomes the decision by the ECOFIN Council on a reinforced
Euro-mediterranean Investment Facility within the EIB, complemented
by the Euro-mediterranean Partnership arrangement and an EIB representative
office located in the area. On the basis of an evaluation of the
Facility's performance, and taking into account the outcome of
consultations with our Barcelona Process Partners, a decision
on the incorporation of an EIB majority - owned subsidiary dedicated
to our Mediterranean Partner Countries will be considered and
taken one year after the launching of the Facility.
THE NORTHERN
DIMENSION
53. The European Council invites the Council,
the Member States, the Commission and the EIB to combine their
efforts rapidly to find solutions to the present financial and
technical problems which prevent the full implementation of the
conclusions of the Göteborg European Council on the Northern
Dimension Environmental Partnership.
US MEASURES ON
STEEL
54. The European Council has taken note
with great concern of the measures introduced by the US in the
Steel sector, which are not in conformity with WTO rules and which
are against the spirit of the common aim of further liberalising
world trade as agreed on in Doha. It fully supports the Commission's
intention of pursuing consultations under WTO agreements and of
initiating a procedure for possible Community safeguard measures.
RATIFICATION OF
THE TREATY
OF NICE
55. The Irish Prime Minister outlined his
Government's approach to the ratification of the Nice Treaty which
is due to be completed by all Member States by the end of 2002
in order to allow enlargement to proceed as planned.
The European Council welcomed the approach outlined
and reiterated its willingness to contribute in every possible
way to supporting the Irish Government in this process and agreed
to come back to the issue at its next meeting in Seville.
GIBRALTAR
56. The European Council welcomes the decision
of the UK and Spain to relaunch the Brussels Process on Gibraltar,
established in November 1984; underlines the EU's support for
both Governments' commitment to overcome their differences over
Gibraltar, and to conclude a comprehensive agreement before the
summer; and invites the Commission to explore possible ways in
which the EU could underpin any agreement reached.
WESTERN BALKANS
57. The Western Balkans remains vital for
the stability and security of Europe. The European Council reiterates
the commitments it undertook in Feira in March 2000.
SERBIA AND
MONTENEGRO
58. The European Council welcomes the agreement
reached on 14 March in Belgrade between Serbian and Montenegrin
leaders on the principle of a single constitutional arrangement
for Serbia and Montenegro. It expresses its appreciation for the
facilitation work of the SG/HR Javier Solana to this end. It considers
this agreement that consolidates a state union a decisive element
in the realisation of the European perspective of Serbia and Montenegro,
and an important contribution towards the stability of the region.
59. The European Council notes the commitment
of both sides to achieve a common internal market including a
common customs and trade policy. The EU expects both Republics
to contribute fully to the achievement of these objectives. The
EU is ready to support these efforts in the context of the Stabilisation
and Association Process. The EU will continue to offer advice
and assistance and will monitor regularly the progress achieved.
The Union further expects both Republics to work together in order
to ensure the functioning of the common institutions.
60. The Union will under the SAP continue
its economic assistance in conformity with its existing policy
of confidentiality. In determining the level and the beneficiaries
of this assistance, the Union will take full account of progress
achieved in each Republic, including the contribution of each
Republic to the effective functioning of the common state and
the achievement of European standards.
FORMER YUGOSLAV
REPUBLIC OF
MACEDONIA
61. The European Council recalls the central
role of the European Union in the process of stabilisation, reconciliation
and reconstruction in the Former Yugoslav Republic of Macedonia.
In this context, the European Council expresses the European Union's
availability to take responsibility, following elections in FYROM
and at the request of its government, for an operation to follow
that currently undertaken by NATO in FYROM, on the understanding
that the permanent arrangements on EU-NATO co-operation ("Berlin
plus") would be in place by then. To this end, the European
Council requests the relevant political and military bodies of
the Council to develop as of now, in consultation with NATO, the
options to enable the European Union to take the appropriate decisions.
62. The European Council stresses the importance
of achieving permanent arrangements between the European Union
and NATO at the earliest possible date. To this end it also asks
the Presidency together with the High Representative to make appropriate
high-level contacts to ensure a positive outcome.
MIDDLE EAST
63. The European Council has adopted the
declaration of Barcelona on the Middle East in Annex. (see p.
Ev 26)
ZIMBABWE
64. The European Union, noting that the
Government of Zimbabwe prevented EU observers from monitoring
the election, and noting the damning conclusions of the reports
of the Commonwealth observers team and of the SADC Parliamentary
Forum, believes that these elections cannot be judged as either
free or fair. The European Union condemns the manner in which
the elections were organised by the Government of Zimbabwe.
65. The European Union congratulates the
people of Zimbabwe on the civil and democratic will shown during
the voting in the presidential election.
66. The European Union expresses its concern
about ongoing threats to the civil and political rights of senior
members of the opposition party in Zimbabwe, and resolves to monitor
developments closely. The European Union will maintain its humanitarian
assistance to the people of Zimbabwe and will consider possible
additional targeted measures against its Government.
67. The European Council has decided to
dispatch a high level troika in the near future to confer with
countries of the SADC region about the European Union concerns
regarding Zimbabwe on the basis of their common commitment to
the rule of law and democracy.
ANGOLA
68. The European Council expresses its satisfaction
at the announcement of the cessation of the hostilities in Angola
by the Government on 13 March with a view to achieving a global
cease-fire in the country. The European Council also welcomes
the intention of the authorities to permit the political reorganisation
of UNITA and the election of its new leadership. It encourages
the parties to implement fully the provisions of the Lusaka Protocol
through a political dialogue under the aegis of the United Nations
in order to promote lasting peace and stability in Angola. To
cope with the severe humanitarian situation affecting a large
part of the Angolan population, the European Council asks the
Angolan authorities to facilitate humanitarian activities by international
organisations, churches and NGOs.
DEMOCRATIC REPUBLIC
OF CONGO
69. The European Council expresses its concern
at the evolution of the situation in the Democratic Republic of
Congo and regrets the damaging effects on the evolution of the
inter-Congolese dialogue now underway.
NIGERIA
70. The European Union is deeply concerned
by information received on the potential stoning of a woman in
Nigeria. It urges the Nigerian authorities to fully respect human
rights and human dignity with particular reference to women.
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