Select Committee on European Scrutiny Third Report


22 EU enlargement: Croatia and Turkey

(a)

(28019)

14971/06

SEC(06) 1385

(b)

(28020)

14970/06

SEC(06) 1390


Croatia 2006 Progress Report



Turkey 2006 Progress Report

Legal base
Document originated8 November 2006
Deposited in Parliament16 November 2006
DepartmentForeign and Commonwealth Office
Basis of considerationEM of 30 November 2006
Previous Committee ReportNone
To be discussed in Council11-12 December 2006 General Affairs and External Relations Council
Committee's assessmentPolitically important
Committee's decisionCleared. Relevant to the debate on EU enlargement to be held in the European Standing Committee on 15 January 2007

Background

22.1 On 8 November 2006, the European Commission published its annual Progress Reports on Croatia and Turkey. These assess progress made since the opening of accession negotiations in October 2005.

Progress Report on Croatia

22.2 The first phase of the accession process — screening, where the Commission compares Croatia's legislation with the EU acquis (the body of EU law) — was completed in October 2006. Negotiations have been provisionally closed on one chapter, and opening benchmarks set for a further thirteen. There were three key areas covered in the report, which are helpfully summarised by the Minister for Europe at the Foreign and Commonwealth Office (Mr Geoffrey Hoon) in his 30 November 2006 Explanatory Memorandum as follows:

"Political Criteria: Democracy and the rule of law. The report highlights the need for improvements in judiciary, public administration and the fight against corruption. On public administration reform, the report criticises Croatia's failure to adopt an overall strategic framework to address this issue. On judicial reform, implementation of a strategy has begun but is at an early stage. The case backlog has been reduced but remains large at over one million. Overall, the judicial system continues to suffer from 'severe shortcomings'. On anti corruption, the report notes the progress that has been made in establishing the Office for the Prevention of Corruption and Organised Crime (USKOK) and in pursuing a number of corruption cases. However, corruption 'remains a serious problem' and political will and full implementation of the anti-corruption strategy are required.

"Human Rights and the Protection of Minorities. Progress continues to be made, but at a slow pace. An appropriate legal framework is in place, but actual implementation needs to be accelerated. The report welcomes the new penal code, action on Roma under the government's "Decade of Roma Inclusion 2005-2015", and high-level commitment to integrating minorities. However, more efforts are needed to properly investigate and prosecute ethnically motivated crimes. The report calls for improved implementation of the Constitutional Law on National Minorities (CNLM), especially on employment of minorities. It also asks for a comprehensive strategy and action plan on all forms of discrimination.

"Regional Issues and International Obligations. The report confirms full co-operation with the UN International Criminal Tribunal for the former Yugoslavia (ICTY). Prosecution of war crimes has continued to improve, but anti-Serb bias persists and the problem of witness protection has become more acute. The report states that progress on refugee return has slowed down, with implementation of housing care programmes for occupancy/tenancy rights holders being particularly weak. No progress has been made on convalidation (recognition of pension rights from work in "Republika Srpska Krajina") and further efforts are required to create the social and economic conditions necessary for sustainable return. Continued progress in regional co-operation is noted, as are a number of outstanding bilateral issues with neighbours.

"Economic Criteria: The report praises Croatia's low inflation, exchange rate stability and a slight acceleration of growth. Private investment has risen and unemployment has declined. Croatia remains a functioning market economy. As expected, it criticises imbalances in the trade and current accounts as well as high external debt. It also emphasises the slow pace of structural reforms — especially privatisation and enterprise restructuring e.g. in the shipbuilding industry.

"Acquis: The report notes 'some' or 'good' progress in all chapters. There is a need for Croatia to continue to align its laws with the EU acquis and to improve administrative capacity in many areas. Areas for further work include: money laundering, real estate, steel and shipbuilding restructuring, Common Agricultural Policy structures, food safety, judicial reform, corruption, organised crime, and the environment amongst others".

PROGRESS REPORT ON TURKEY

22.3 Screening of Turkey's legislation with the EU acquis was also completed in October 2006. Negotiations have been provisionally opened and closed on one chapter and opening benchmarks set for two. The four key areas covered in the report are likewise helpfully summarised as follows:

"Political Criteria: The Report states that "Turkey continues to sufficiently fulfil the Copenhagen political criteria and has continued political reforms" but notes that "the pace has slowed during the past year." The Commission acknowledges the efforts made by Turkey to adopt its 9th reform package, which is now almost complete, and notes progress in the ratification of international human rights instruments, the fight against corruption, judicial reform and alignment of civil-military relations with EU practices. Notwithstanding the trend towards open debate in Turkey, the Commission calls for significant further efforts on freedom of expression. It also states the need for improvements on the rights of non-Muslim religious communities, women's rights, trade union rights and on civilian control of the military.

"Cyprus: The Commission reports that Turkey has not fully implemented the Ankara Agreement Protocol (which extends the Customs Union between the EU and Turkey to include the new Member States that joined the EU in 2004) and that no progress has been made towards normalisation of relations with the Republic of Cyprus. The Turkish Government said they will not implement the AAP until the EU ends the isolation of the Turkish Cypriots. However, the Report notes that implementing the Protocol is a legal obligation, which must not be linked to the situation of the Turkish Cypriot community. The Report says if Turkey has not fulfilled its obligations, the Commission will make the relevant recommendations ahead of the December European Council.

"Economic Criteria: The report states that Turkey can be regarded as "a functioning market economy, as long as it firmly maintains its recent stabilisation and reform achievements". The report praises reductions in budget deficits and government debt levels but notes that Turkey's financing needs are vulnerable and the economy is still fragile. It also points to the need to address very low (and falling) employment rates. Further reforms are needed, including strengthening fiscal consolidation backed by structural measures.

"Acquis: The report notes progress in most areas, though only 'limited' progress has been made in a few areas including social policy, agriculture and public procurement. There is a strong focus on the need for Turkey to fulfil the short-term priorities under the Accession Partnership".

The Government's view

22.4 The Minister says that the Government continues to support the goal of accession for Croatia and Turkey to the EU, subject to their meeting the conditions of membership. He continues as follows:

"The Croatia report holds few surprises, and we agree with the Commission's assessment that Croatia continues to meet the political criteria and has made 'some' or 'good' progress against every chapter.

"The pace of reform in Turkey has slowed and it is important that Turkey reverses this trend. We agree with the Report's conclusions. However, in recent years, Turkey's membership perspective has helped deliver significant progress in Turkey, including abolishing the death penalty, significantly reducing torture, ensuring constitutional rights for women and improving the cultural rights of minority groups. We continue to urge the Turkish Government to address areas of concern such as freedom of expression. On Turkey's contractual obligations, we continue to remind the Turkish Government of the need to implement the Ankara Agreement Protocol. If they do not, the EU will be required to act in accordance with its September 2005 Declaration".

22.5 More immediately, the Minister says that EU Foreign Ministers will "note" the documents at the General Affairs and External Relations Council on 11 December.

Conclusions

22.6 Given the difficulties and differences of view, Turkey's progress will no doubt also be discussed after the GAERC at the European Council.

22.7 The House will also have an opportunity when the European Standing Committee debates EU enlargement on 15 January 2007, on the basis of earlier Country Monitoring Reports on Bulgaria and Romania. As with the Commission's Communication on Enlargement Strategy, which we considered at our previous meeting,[43] we consider these further documents relevant to that debate.


43   (28018) 14968/06 (28022) 15122/06; See HC 41-ii (2006-07), para 16 (29 November 2006). Back


 
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Prepared 19 December 2006