House of Commons - The EU and Ukraine: restrictive measures

The EU and Ukraine: restrictive measures - European Scrutiny Committee Contents

1 The EU and Ukraine: restrictive measures

(a)

(35848)

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(b)

(35849)

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Council Decision 2014/119/CFSP of 5 March 2014 concerning restrictive measures directed against certain persons, entities and bodies in view of the situation in Ukraine

Council Regulation (EU) No. 208/2014 of 5 March 2014 concerning restrictive measures directed against certain persons, entities and bodies in view of the situation in Ukraine

Legal base	(a) Article 29 TEU; unanimity; (b) Article 215 TFEU; QMV
Date originated	5 March 2014
Deposited in Parliament	10 March 2014
Department	Foreign and Commonwealth Office
Basis of consideration	Minister's letters of 27 February and 11 March 2014; EM of 11 March 2014
Previous Committee Report	None
Discussion in Council	To be determined
Committee's assessment	Politically important
Committee's decision	For debate on the floor of the House

Background

1.1 On 20 February 2014, the Foreign Affairs Council issued the following Conclusions:

1. "The European Union is appalled and deeply dismayed by the deteriorating situation in Ukraine. No circumstances can justify the repression we are currently witnessing. We condemn in the strongest terms all use of violence. Those responsible for grave human rights violations should be brought to justice. Our thoughts are with the families of those who have lost their lives and with the injured. We call for an immediate end to the violence, full respect of human rights and fundamental freedoms, including the right of access to medical assistance, and for urgent independent investigations into Human Rights violations, notably through the Council of Europe International Advisory Panel. We call upon the Government to exercise maximum restraint and opposition leaders to distance themselves from t those who resort to radical action, including violence. It urges the Ukrainian government to abide by its obligations under international Human Rights instruments to which it is a State party. Any further escalation, including the introduction of a State of Emergency, or the use of the armed forces against protesters must be avoided.

2. "We call on all sides to engage, without further delay, in a meaningful dialogue, to fulfil the legitimate democratic aspirations of the Ukrainian people. Recalling its conclusions of 10 February, as well as statements by the President of the European Council, President of the European Commission, and the EU's High Representative, the Council remains fully committed to offering its assistance to promote political dialogue between the sides and help de-escalate the situation. We expect Ukraine's elected representatives to assume their political responsibilities, including in the Verkhovna Rada. The Council underlines that the prime responsibility for the current situation, and for taking the first step to enable such a dialogue lies squarely with President Yanukovych and the Ukrainian authorities.

3. "The European Union continues to believe that any lasting solution to the political crisis must include constitutional reform, the formation of a new inclusive government and the creation of the conditions for democratic elections. We remain ready to support Ukraine in the process of reform to deliver a stable, prosperous and democratic future for its citizens. Our offer of political association and economic integration remains on the table. The Council recalls that the Association Agreement, including a DCFTA, does not constitute the final goal in EUUkraine cooperation. Furthermore, the European Union stands ready to offer assistance and support humanitarian organisations for the replenishment of stocks of medicine and medical equipment for the treatment of people affected by the violence.

4. "In light of the deteriorating situation, the EU has decided as a matter of urgency to introduce targeted sanctions including asset freeze and visa ban against those responsible for human rights violations, violence and use of excessive force. Member States agreed to suspend export licences on equipment which might be used for internal repression and reassess export licences for equipment covered by Common Position 2008/944/CFSP. The Council tasked the relevant Working Parties to make the necessary preparations immediately. The scale of implementation will be taken forward in the light of developments in Ukraine.

5. "Faced with such grave crisis in Europe, the EU will continue to work in close cooperation with the international community, including in support of both the OSCE and the Council of Europe, to find a lasting, inclusive solution that respects the rights of all Ukrainians.

6. "The Council underscores the importance of a vibrant civil society for ensuring the democratic and prosperous future of Ukraine. It reiterates the commitment to enhance people-to-people contacts between the EU and Ukraine, i.a. through the visa liberalisation process, along with agreed conditions in the framework of the LAP. Meanwhile, the Council encourages Member States to make optimal use of the Visa Facilitation Agreement provisions and of flexibilities offered by the Visa Code."

1.2 On 21 February Ukraine opposition leaders signed an EU-mediated peace deal with President Viktor Yanukovich, aiming to end a violent standoff that had killed at least 77 people and open the way for an early presidential election no later than December this year. Then, on 22 February, still under pressure to quit from continuing mass demonstrations, Yanukovich fled Kiev and Parliament Speaker Oleksander Turchinov took over as acting president; and an interim government, led by Arseny Yatsenyuk, was set up on 26 February

1.3 On 27-28 February, pro-Russian gunmen seized key buildings in Simferopol, capital of Ukraine's Crimea region, while unidentified gunmen in combat uniforms appeared outside Crimea's main airports, sparking fears of Russian military intervention. At a news conference in southern Russia, Viktor Yanukovych insisted that he remained President.

The Minister's letter of 27 February 2014

1.4 A week later, the Minister for Europe (Mr David Lidington) said that:

"Events in Ukraine have since moved on significantly; a new interim administration is being formed with Presidential elections planned for 25 May. EU Member States are keeping the situation under close review and, in particular, considering how targeted measures can be best used to support stability and democracy in Ukraine. The measures may therefore be amended in light of circumstances on the ground. I will keep the Committee informed, and of course endeavour to allow the Committee to consider proposals before agreement is reached in Brussels, but I hope that the Committee will understand that this might not always be possible due to the fast moving situation."

1.5 On 1 March, the Russian Parliament approved President Vladimir Putin's request to use Russian forces in Ukraine. In Kiev, acting President Olexander Turchynov put the Ukrainian army on full alert. Large pro-Russian rallies took place in several Ukrainian cities outside Crimea, including the second-biggest city, Kharkiv. In a 90-minute telephone conversation with President Putin, US President Barack Obama demanded that Russian forces in Crimea return to their bases: Mr Putin asserted that Moscow had the right to protect its interests and those of Russian-speakers in Ukraine. Then, at a stormy meeting of the UN Security Council on 3 March, the Russian Permanent Representative maintained that Yanukovich had sent a letter to President Putin requesting that he use Russia's military to restore law and order in Ukraine.

1.6 On 3 March, the Foreign Affairs Council also met. In its Conclusions, the Council said with regard to Russia:

"In the absence of de-escalating steps by Russia, the EU shall decide about consequences for bilateral relations between the EU and Russia, for instance suspending bilateral talks with Russia on visa matters as well as on the New Agreement, and will consider further targeted measures. The Council decides to remain permanently seized, in order to be in a position to take rapidly all necessary measures."

1.7 And with regard to Ukraine:

1.8 In remarks after the meeting, the EU High Representative (HR: Baroness Ashton) said:

"As you will see in the conclusions we have agreed, we condemned the clear violation of Ukraine's sovereignty and territorial integrity by an act of aggression of the Russian armed forces and the authorisation of the use of the Russian armed forces on the territory of Ukraine.

"Without question this is in breach of Russia's international obligations and its commitments.

"We are firmly convinced that there needs to be a peaceful solution to this current crisis, in full respect of international law.

"We call on Russia to immediately withdraw its troops to the areas where they are permanently stationed on the basis of the agreement for the Black Sea Fleet stationed in Ukraine.

1.9 The HR went on to say that the EU would continue to promote any constructive dialogue aimed at reaching a peaceful solution and its ongoing engagement in international facilitation efforts, working with the UN, the OSCE, and other international organisations. In the absence of de-escalating steps by Russia, the EU would decide what the consequences would be for bilateral relations between the EU and Russia, including consideration of "targeted measures".[3]

1.10 Then on 6 March, at the end of an extraordinary meeting of EU Heads of State and Government, Herman van Rompuy, President of the Council, made the following remarks, summarising a subsequent statement[4] by the Council:

"First, we strongly condemn Russia's unprovoked violation of Ukrainian sovereignty and territorial integrity. We call on Russia to immediately withdraw its armed forces; and allow immediate access for international monitors. We consider the decision by Crimea's Supreme Council to hold a referendum as contrary to the Ukrainian constitution and therefore illegal.

"We have important relations with both Russia and Ukraine and stand ready to engage with both, bilaterally as a Union and also in broader multilateral initiatives. The European Union will participate in the Contact Group. We want a solution in full respect of international law and the territorial integrity of countries. The situation must de-escalate — and failure by Russia to do so will have serious consequences on our bilateral relationship."

1.11 Mr van Rompuy went on to say that bilateral talks with the Russian Federation on visa matters as well as talks with the Russian Federation on the New Agreement would be suspended. Negotiations between the Governments of Ukraine and the Russian Federation, including through potential multilateral mechanisms, needed to start within the next few days and produce results within a limited timeframe: in the absence of such results, the European Union would "decide on additional measures, such as travel bans, asset freezes and the cancellation of the EU-Russia summit. Any further steps by the Russian Federation to destabilise the situation in Ukraine "would lead to additional and far reaching consequences for relations in a broad range of economic areas between the European Union and its Member States, on the one hand, and the Russian Federation, on the other hand".

1.12 The EU regarded the new Ukrainian government's response so far as "remarkably measured", and commended the people of Ukraine "for their courage and resilience these last months and weeks". The EU reiterated its commitment to signing the Association Agreement, and would sign the political chapters before the Ukrainian elections of 25 May. The EU would start work immediately on an assistance package to help restore macro-economic stability, and would adopt special trade measures to allow Ukraine to benefit substantially soon from the advantages of the Free Trade Area. The EU remained committed to the visa liberalisation process, to encouraging contacts between the citizens of the EU and of Ukraine; and stood ready to assist also on energy security.

1.13 In the meantime, the European Council welcomed EU foreign ministers' decision to freeze and recover misappropriated (or stolen) State assets; efforts must continue on Ukraine's side towards free and fair elections, constitutional reform and the investigation of all acts of violence; the way forward must be one of inclusiveness towards all regions, people and minorities; fighting corruption and launching wider structural reforms would all be essential. Mr van Rompuy concluded by saying, inter alia, that:

"The majority of the people of Ukraine made a decisive choice in favour of our European values. It was a civilisation choice. They refused to live any longer in the Yanukovich era of lies, bribes, manipulation, blackmail and poverty.

The Council Decision and Council Regulation

1.14 In his Explanatory Memorandum of 11 March 2014, the Minister for Europe (Mr David Lidington) says that, on 5 March 2014, the EU Council adopted Council Decision 2014/119/CFSP and Council Regulation (EU) No. 208/2014, which imposed an asset freeze on 18 individuals identified through the criteria above (listed in Annex I to the Council Regulation).

1.15 The Minister notes that the targeted measures "are under constant review and may be amended or expanded at short notice as circumstances change", and says that he will endeavour to keep the Committee informed of any changes to the measures themselves or those listed under the measures.

The Government's view

1.16 The Minister says that the purpose of targeting those responsible for human rights violations during the violent clashes between anti-government protestors and security forces during February 2014 is "to hold individuals to account and also influence the future actions of those in command of the security forces".

1.17 The Minister then continues as follows:

"The situation continued to develop, with the formation of a new Ukrainian government by the end of February 2014. Given this shift, the original rationale for imposing restrictive measures — human rights violations — was expanded to include the need to address the misappropriation of Ukrainian state funds. The new Ukrainian government subsequently shared a list of individuals that they intended to investigate/prosecute for the misappropriation of state assets; this informed the decision by the EU Council to list 18 individuals. This decision will help prevent further asset flight, thus protecting state funds for use by future governments, as well as supporting the rule of law in Ukraine.

"In addition a human rights criterion was included. Whilst there are currently no individuals listed in relation to human rights violations, it is important to maintain flexibility to list individuals on this basis, given ongoing investigations, the fluid situation in Ukraine and the unpredictable nature of the crisis."

The Minister's letter of 11 March 2014

1.18 The Minister reiterates the rationale for these restrictive measures; notes that any additions to the list, including on human rights grounds, would be subject to a separate scrutiny process; and apologises for having agreed to the Council Decision and Council Regulation before the Committee has had an opportunity to scrutinise the documents.

1.19 He hopes that the Committee "recognises that on this occasion the swift pace of events, combined with the need to act rapidly in order to maximise the efficacy of measures agreed, has made this necessary", and that the need to override scrutiny on this occasion was regrettably unavoidable.

1.20 The Minister's Explanatory Memorandum and letter were preceded by a statement to the House on 10 March by the Prime Minister on the 6 March emergency European Council on the Ukraine crisis, in which the question of similar restrictive measures against Russia was mooted. The Prime Minister noted that the European Council had "sent a clear and united message to Russia that its actions are in flagrant breach of international law and will incur consequences" and had:

"agreed on a three-phase approach to stand up to this aggression and uphold international law: first, some immediate steps to respond to what Russia has done; secondly, urgent work on a set of measures that will follow if Russia refuses to enter dialogue with the Ukrainian Government; and thirdly, a set of further, far-reaching consequences should Russia take further steps to destabilise the situation in Ukraine."

1.21 Were Russia to fail to come to the negotiating table with the government of Ukraine, within days, in a new contact group, the EU was ready to implement a second phase of action, including asset freezes and travel bans on key figures in President Putin's administration:

"We are working closely with our American, European and other international partners to prepare a list of names, and these sanctions, plus the measures already agreed against Yanukovich and his circle, will be the focus of a meeting in London tomorrow with key international partners."

1.22 Referring to the situation in Crimea, and the prospective referendum on 16 March, the Prime Minister said that there was an urgent need to de-escalate tension: "We are all clear that any referendum vote in Crimea this week will be illegal, illegitimate and will not be recognised by the international community." Referring to discussions with the German Chancellor, the Prime Minister said: "Chancellor Merkel and I were clear that any attempt by Russia to legitimise an illegal referendum would require us to respond by ratcheting up the pressure further". Were Russia to take "further unacceptable steps" to destabilise Ukraine, the European Council had agreed that there would be "additional and far-reaching consequences", which could "include a broad range of economic issues".[6]

Conclusion

1.23 We do indeed recognise the operational imperatives and, on this occasion and in these circumstances, do not object to the Minister having agreed to the adoption of these measures prior to scrutiny.

1.24 However, it is plain that the situation is both complex and highly fluid, and that the Government and the EU's response to it is of intense political and public interest and controversy. We therefore think that these measures, which are not only likely to be a first step on a long road involving Ukraine, but could also be applied to Russia, should be the subject of the earliest possible debate on the floor of the House.

1 The full Council Conclusions are available at http://www.consilium.europa.eu/uedocs/cms_Data/docs/pressdata/EN/foraff/141294.pdf. Back

2 When the Soviet Union collapsed in 1991, newly independent Ukraine had on its territory the third largest strategic nuclear weapons arsenal in the world. In return for giving up its nuclear weapons, Ukraine, the United States of America, Russia, and the United Kingdom signed the 1994 Budapest Memorandum on Security Assurances, pledging to respect Ukraine territorial integrity. Back

3 See http://www.eeas.europa.eu/statements/docs/2014/140303_02_en.pdf for the full text of the High Representative's remarks. Back

4 The text of the statement by EU Heads of State and Government is available at http://www.consilium.europa.eu/uedocs/cms_Data/docs/pressdata/en/ec/141372.pdf. Back

5 The full text of the statement is available at http://www.consilium.europa.eu/uedocs/cms_Data/docs/pressdata/en/ec/141373.pdf. Back

6 The text of the Prime Minister's statement and the subsequent debate is available at http://www.publications.parliament.uk/pa/cm201314/cmhansrd/cm140310/debtext/140310-0001.htm#14031014000002 (HC Deb: 10 March 2014, cols 25-45). Back



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