Select Committee on European Union Minutes of Evidence


Examination of Witnesses (Questions 400-419)

Rt Hon Caroline Flint, Ms Katherine Fox and Mr Adam Bye

16 OCTOBER 2008

  Q400  Lord Hannay of Chiswick: Minister, we took some very useful evidence from your predecessor on this and on some of the things that have happened since 2003 which need to be looked at, some of which you mentioned yourself, things like the responsibility to protect the push for a resumption of multilateral nuclear disarmament and negotiations. I do not want to visit that again, but I wonder if you could give us any idea what areas in the seven rounds of informal discussions you say have taken place have really come up between the Member States and have they been giving some thoughts to the interface of Europe's security policy with NATO and the way NATO is reviewing its own role in the future likely to come to a head at the time of the first NATO summit after the election in the United States?

  Caroline Flint: I think there is a consensus that the Strategy remains valid and it just needs reviewing. In looking at the experience of the last five years in terms of ESDP missions I think there will be thought given to how that sits alongside our work with NATO as well. I do think it is important to recognise that this document cannot and does not intend to try to provide for a complete analysis of, for example, various partnerships with different countries outside the EU as well as within, but also in terms of a more detailed assessment of our relationships with other international organisations such as NATO as well. Its worth is that it provides, as I say, a mission statement from which more detailed projects of work and collaborations should follow. As a guiding tool that we can use to go forward I think it has been useful and the question is: how will the review and the addition to it update and take us into the next five or ten years ahead or whatever it may be.

  Q401  Lord Hannay of Chiswick: The first part of the question was whether there had been any differences of approach in the discussions that the 27 have had on this in the seven rounds of discussions. I just wonder whether you could give us any feel for that at all.

  Caroline Flint: I think Member States agree that the review needs to reflect our common assessment of, for example, EU-Russian relations and that is probably the part of the review that has been most scrutinised by Member States. This Committee will know probably more than I about the different relationships between the EU and Member States towards Russia. Mr Solana, I understand, will only start drafting the Russian text after Member States have examined the audit of EU-Russian relations and see how much progress the Geneva talks on Georgia make and obviously we are getting some feedback from those talks that have begun. I think that will help him reflect on what Member States will say and how it will contribute to the review.

  Q402  Lord Crickhowell: Following on from Lord Hannay's question can I pursue a little further this NATO issue which really has emerged as a pretty central one since we prepared our report on Europe and Russia. Here we are in what Russia regards as their near abroad but it is also Europe's near abroad. We know that some members of the European Union are keener on the NATO role than perhaps others. We know it is an issue about which Russia feels extremely strongly and which was emphasised particularly in the President's Evian speech on 8 October. We talked about it a bit at our debate on Friday when it came up and I referred to the very interesting and important article by Kissinger and Schultz in the Washington Post in which they say, with great respect, to press on enforcing the NATO boundaries right up to the Russian frontier in a way that may only provoke Russia but it is very hard to see how NATO would actually intervene in a situation like we have had in Georgia. It is a pretty central issue so far as the relationships of Europe and Russia are concerned and it would be very interesting to know how you see that argument developing among the European members.

  Caroline Flint: The UK's position is that we basically recognise that sovereign states should be able to seek to join NATO and certainly in terms of Georgia and Ukraine that is something we have supported. I did read the debate that took place in the House of Lords last week and I think part of it is appreciating and understanding—my colleague Lord Malloch-Brown made this point in his response—the insecurities that might exist on the Russian side but at the same time how actually we can work in partnership together and reassure them that our role in NATO and applicant countries wishing to join NATO should not be seen as a threat. We have much in common with Russia both in terms of trade and on other issues as well and I would hope that with the talks that are taking place and are due to take place over the months ahead we can get onto a better footing, but our position is that southern states should be allowed to put themselves forward as candidates to be members of NATO.

  Q403  Lord Swinfen: I am just wondering what would have happened if Georgia had succeeded in joining NATO before the Russians rolled in. What do you think would have happened?

  Caroline Flint: I do not really want to speculate on that if you do not mind. On a general level in terms for of countries seeking to join NATO part of it is obviously the hurdles they have to take to get there and alongside that is this wider discussion which I referred to earlier about how do we at the same time as recognising that we have within our own rights to support NATO and candidate countries coming into it, that we need to work to reassure the Russians that they should not see this as a threat to themselves. As we carry on this discussion and as long as I am part of this discussion that would be part of the UK Government's role and my role as a minister to seek to allay some of the concerns that clearly are there and, again reading the debate, the historical context of where we have got to today and how Russia sees itself. Likewise in terms of the suggestions the President has made about proposals for security we have not seen much detailed sight of those as yet but again we can have an open discussion about those issues as well.

  Q404  Lord Anderson of Swansea: Minister, welcome; I am sure we will have the same happy relationship with you as we had with your predecessor. You mentioned partnerships of the European Union, the most important partnership is obviously that with the United States. I am wondering to what extent the recent turbulence we have had in the financial markets which has led to a European Union initiative rather than an initiative from the US, together with factors such as the policy vacuum prior to the US presidential elections which will continue for some while afterwards, will lead to perhaps a new assertiveness or a new self-confidence or a re-balancing of the relationship between the European Union and the United States which might be reflected in the document.

  Caroline Flint: I think it will be interesting come 4 November what the outcome is; I think there are some opportunities there not only in terms of our partnerships and relationships but actually some of the issues around climate change as well. I think there will be an opportunity to think about that and that is one of the reasons why it is very important, I have to say, that we believe that the European Union should continue to work on the climate change package because we think puts us in a strong position for working with the United States and the new administration down the road. In terms of the detail of the document, I will have to write to the Committee about how much reference there will be to the United States, but I think by itself in expressing and reflecting on the missions that have been undertaken under the auspices of the EU self-evidently says there is a role for the EU to take more of a role for being a good neighbour but a one voice neighbour within Europe to deal with potential conflict, and by that token take more responsibility for those areas in a way that maybe in the past we have not had the capacity or the one voice to do it. I think one aspect of this is how it can be a European one voice in some of these difficulties even given, understandably, historical relationships with some individual Member States and countries outside the EU.

  Q405  Lord Anderson of Swansea: Remembering that at the NATO Council, had the US view prevailed, Georgia would have been on its way to a membership action plan, whatever value that might have been to the alliance. The question really is, given these factors do you see perhaps written into the document or at least in practice a greater readiness of Europe to have a more independent relationship? We have questions later on the Medvedev speech against a unipolar position, but do you think there will be a more independent view by Europe in certain sectors?

  Caroline Flint: I believe that the review will underline the importance of an EU-US strategic partnership; I think that is clear, however, within that context the role of the European Union to take effective action which I think has been welcomed by the US in terms of the approach to the situation in Georgia earlier this summer. I do not think it is necessarily an either/or. My understanding is that the US would welcome and have maybe been pushing for some time that as part of the partnership with the EU that we could be able to take a more considered and productive role in some of these issues. As I say, I think the review will continue to underline the strategic importance of the partnership between the EU and the US whilst also recognising the developments that have happened in the last five years that enables the EU to play more of a role.

  Q406  Lord Hamilton of Epsom: When we come to revise the European Strategy do you think that special reference should be made to Russia and the clear threat of Russian expansionism which has now emerged with Georgia and of course the threat would extend to large areas of the Ukraine and indeed rationally to the Russian minorities and the Baltic States as well. I think there is a tendency that we have a rather clear threat but when looking for European unity we end up with incredibly bland statements that are almost meaningless. Do you think that the fact that the Germans do not really agree with anybody else on this destroys any chance of saying anything of significance vis-a"-vis Russia in this revised strategy?

  Caroline Flint: My perception is that actually on the issues that have arisen over the summer President Sarkozy's efforts but also the agreement on the first of September, the resolution that was passed, despite individual Member States and their relationships with Russia, did actually unite under a one voice. I think to a measured but actually decisive response in terms of moving forward, discussions about the EU-Russia partnership were put on hold, President Sarkozy created his six point plan and key to all that as well was that it could not just be business as usual; whatever the analysis of how things happened in the summer our Russian colleagues overstepped the mark and were not behaving, I think it was felt, in line with their responsibilities and also agreements that they had signed up to. Having said that I think the response has been a good one in the sense that it has indicated that we just could not ignore that but it also set in play, I believe, a number of steps where we can enable Russia to not isolate itself but come back in. I do not underestimate that that is not an easy task but I think actually it was a good response really and did demonstrate the European Union on a very difficult and sensitive issue acting appropriately but also decisively as well.

  Q407  Lord Hamilton of Epsom: Do you think that the revision of the Strategy should actually include some specific reference to Russia and to possible plans for expansion and how we react to them?

  Caroline Flint: I think what the review will have to take into account are issues around what has happened and how this impacts on, for example, our Eastern Neighbourhood Policy and support. I think that will be looked at and taken into account in terms of what has happened. Obviously we have this audit happening of the relations with Russia and I think, as I said earlier, Mr Solana has indicated that he wants to look at some of those discussions of what is said and see how we might incorporate that in the review. It has raised a whole number of issues about the neighbourhood policies of the EU, particularly in the eastern part of Europe and I am sure that will be reflected; clearly that has a relationship to Russia as well.

  Q408  Lord Hamilton of Epsom: To follow up on that, presumably we are not just sitting back and saying to Solana: "We're frightfully glad that you're the man who's re-writing this, get on and do it"; presumably we are inputting our views as to what should be in it.

  Caroline Flint: I think we are having those discussions but, as I said before, part of this document is not necessarily to try to produce a blue print in all the areas of detailed policy in terms of our relationship. It is to provide a mission statement as such in terms which guide the more detailed work that happens. There is the run-up to the next EU-Russian summit which takes place on 14 November and we will need to think about how that will be reflected in the Strategy. I am sure that, as a Member State, collectively with others, our views on that will be taken forward to Mr Solana to think about in terms of his final document to be produced at the end of the year.

  Q409  Lord Anderson of Swansea: You have mentioned, Minister, the EU-Russia summit which is only four weeks away. Is it the Foreign Office assumption that after the strong response to the invasion of Georgia it will, in your phrase, be "business as usual" in respect of the PCA and other arrangements with Russia when we come to the meeting on 14 November?

  Caroline Flint: I might ask my colleague Katherine to come in on this but all I would just say is that we had the start of the Geneva talks happen just yesterday—we are getting some read-out from that—and clearly, as we get to 14 November, I think we will be analysing and checking along the way about how productive those talks are going to be. There are some very important issues to resolve. Whilst the Russians have withdrawn from the buffer areas, there are a number of issues around displacement of people, property and so forth that still need to be resolved.

  Q410  Lord Anderson of Swansea: And refugees.

  Caroline Flint: Yes, refugees as well. Having made my first trip as Europe Minister to Cyprus last week (which I know Lord Hannay has had an interest in), one can only think about how these situations can, if not addressed early on, last for many, many, many decades and test us all.

  Ms Fox: In terms of the re-start of the negotiations with the successor to the Partnership and Co-operation Agreement the European Council taking place yesterday and today, the conclusions from that will be key. We are anticipating and are looking for a continued postponement of the PCA negotiations so that we can see where the Geneva talks go, but we do not think that that means that the summit should not take place because, as the Foreign Secretary set out in his speech in Kiev, we need a policy of hard-headed engagement towards Russia. Isolating Russia is in nobody's interest; we need to be bringing them back into the international community and living up to their obligations and their responsibilities internationally. Part of that will be the agenda for the EU-Russia summit that is taking place in November. We hope it will be a pared down summit looking far more at substance and engaging closely with Russia, but we still think that the summit should be going ahead.

  Q411  Lord Anderson of Swansea: On this speech of President Medvedev which Lord Crickhowell has already mentioned, the immediate response of President Sarkozy who was there was very enthusiastic. Was President Sarkozy speaking on behalf of his partners in that enthusiastic response? How seriously do we take the proposals for a European security treaty which has been raised in the past by the Russians? Is it more than just a recognition by Russia that their one aim of being top-dog in the OSCE is no longer possible? How seriously do we view it? Or do we say, effectively, show us the beef and let us work incrementally in our relations? Do we share President Sarkozy's apparently enthusiastic response? What is our view on the way in which this proposal should be incorporated, if at all, into the deliberations on the new Security Strategy?

  Caroline Flint: I think, as I said earlier, we have not been fully sighted on the proposals and we are looking forward to some discussions around them. I would just say a couple of things, first of all we need to have more details on what the Russians are proposing; we have limited information. Secondly, we do have tried and tested structures in the form of NATO, the EU and the OSCE that do need to evolve as times change but what we would not want to see happen is a sort of debate happening that should undermine them. I think that is important in all of this. What is the purpose, what are we trying to achieve here? Rather than necessarily getting involved in another structure we would have to have a very close look at what that meant but also that it did not jeopardise existing institutions and what they would currently offer. The test in terms of how we work with countries such as Afghanistan at the moment is actually what gets delivered on the ground and how various organisations contribute to that, so it is right for the focus of the review to be on making our security policy more effective and looking at our partner organisations and how we work with them.

  Q412  Lord Anderson of Swansea: What weight should be given to the Medvedev proposal in the evolution of the Strategy?

  Caroline Flint: I think we are open-minded about people's contributions. Russia is an important partner for us on many different levels; we seek to work with them and do so. Nobody has the source of all truth and we are open to proposals but as yet we have not really seen the details of them. Until we do we will have to think about that and then I might be able to answer whether we would agree with Mr Sarkozy's comment or not.

  Q413  Lord Boyce: Minister, you may have touched on this answer already in an answer to an earlier question about enlargement. How will the review of the European Strategy take into account the EU's desire to strengthen its relations with its eastern neighbours particularly Ukraine, Georgia and Moldova?

  Caroline Flint: I think the events in Georgia do indicate that the EU should step up its support in the region. It needs to send a strong political message that we support European aspirations of the region and in doing so strengthen the EU support for the long term processes that many countries in this area want to engage with us on. Coming into the job I am learning more about our European Neighbourhood Policy, particularly in terms of the Eastern Partnership and the Black Sea Synergy (I think the Committee prefers "Network" to be used) for reinvigorating support for the East as an important tool for those of us in the EU. It adds weight in many respects and maybe a sense of momentum about how we take stock of our engagement and what it produces and the fragility of some of the countries and the journey they are on. Again I think this just focuses people's minds and attention on making the various different partnerships and engagements in that part of the Continent more effective.

  Q414  Lord Hannay of Chiswick: Just following on from that, the 2003 Strategy put a lot of emphasis—correctly in my view—on the importance of enlargement of the EU for its security, that enlargement was in itself a contribution to strengthening security. This was of course a Europe of 15 before it had become 27. Is it going to be reflected further in this review that further enlargement remains a crucial part of Europe's security and that obviously has implications for countries of the West Balkans but it also has implications in the case of Turkey, and it could have implications—certainly I would hope—if one day the European Union does give Ukraine a membership perspective. It is surely very important that the review should continue to put enlargement up there as a major security issue—not just in its own right but as a security issue—given that it has become rather controversial within the EU.

  Caroline Flint: I would agree that enlargement is one of our most powerful tools in terms of democratic reform, opportunities for prosperity and trade, but also security as well in which I think trade and democracy play an important part in delivering that too. Again I think enlargement is very important to be reflected about how it does increase across the EU our stability for the future and helps us respond as well effectively to some of the challenges that we face which will continue in different forms to be with us in the future. I think the review will reflect that.

  Q415  Lord Hamilton of Epsom: Does the Government therefore rule out at any stage, at any point in the future, the membership of Russia in the EU?

  Caroline Flint: I think that is an issue where Russia might have to decide what it wanted to do, but importantly EU membership is open to countries to come forward with as far as I understand. In the last week I have spent some time in different countries in that part of the world and talking to my colleagues who deal with Russia and the Western Balkans as well and clearly we have a number of countries who are on a journey and for some it is a long journey. I think it would be unwise to speculate about that because I think in the meantime we have to focus on our current relationships and engagements and make those work. Part of that is about is engaging on common issues of security but trade and inter-partnership on some of the common challenges we face. Who knows what may lie down the road? It is an interesting discussion but I think there is probably enough to focus on with the present structures and relationships and where we are, to get that right first.

  Q416  Lord Hamilton of Epsom: I would argue that it is slightly more than an interesting discussion because you could argue that we actually add to the paranoia of the Russians by excluding them either from the EU or from NATO for the indefinite future and saying that they are totally unsuitable. It just feeds the paranoia that they are being surrounded by people who are their enemies.

  Caroline Flint: I think part of the discussions over the weeks and months ahead—I am not saying that will be the end of the discussion by any stretch—are about trying to give some reassurance. I think in some areas part of that is about, as I said, not just security issues but our trade engagement and involvement as well with Russia which in some respects getting that right can actually just assist how a country feels about itself and its close connection to us and other members of the European Union. I agree, these things are very important but I would just say that I think we have enough to deal with at the moment in terms of where we are in terms of our present relationship and how we get that right, but importantly the other side of this—the incident in Georgia has made this very clear—is that Russia is an important country, it is an important partner on a lot of different international platforms and as a country has responsibilities and has responsibilities to support the agreements that it signed up to. In that respect we want a good engagement but one that recognises that and as one voice in Europe are prepared to stand firm when we feel that that is not being applied to.

  Q417  Lord Crickhowell: Minister, can we turn to energy security? Recent events have clearly strengthened the view that we put forward in our report about the importance of energy security for Europe. As you have told us, you read the debate on Friday and you will see that some of us actually welcome what we detect is the strengthening of the British Government's position since some of the earlier statements about matters such as the Nabucco pipeline. However, clearly it is going to be a very difficult issue for Europe because whilst it is clear that Russia takes more notice of Europe when Europe acts together, there are different approaches. The Germans particularly, with their pipeline connections and so on, may well take a rather different view; France has its nuclear. It is going to be quite difficult to get the kind of unity we need to produce an effective energy security strategy. Perhaps you could enlarge a little on the current British position and how you see the particular debate going in the coming weeks.

  Caroline Flint: The Security Strategy is right to highlight energy dependence as a special concern for Europe and energy supplies for our consumers across Europe are important but also how do we make sure what type of fuel, what type of energy and also how secure it is. That is why the EU as one of the largest importers of energy has to look at this issue and the Committee will be aware that there has been some discussion at the European Council on climate change; there will be some discussions as we move towards the end of the year. The UK Government view is that this a really important debate, that regardless of the situation we are facing in terms of the financial challenges across Europe it is something we need to keep focussed on because it will always be a problem if we do not attend to it now. As far as our concerns in terms of the Strategy we would like to see the delivery of an improved security supply for the EU, the achievement of a fully liberalised and complete internal market for energy because we think that such a market would help to mitigate many of the energy security risks faced by the EU both in the short term and long term. The third energy package is a major step forward to achieving that sort of market and of course the 2020 market which is the subject of much debate at the moment we believe will further help to diversify the resources and reduce dependence. So we are working on this. The EU's negotiating mandate for the post-Partnership and Cooperation Agreement with Russia has now been agreed among Member States but the Committee will be aware that although talks started on 4 July they have been suspended due to the situation and action in Georgia. The EU has made clear that energy aspects should reflect the key principles of the Energy Charter and part of that will have to be our discussions with our colleagues in Russia about supply and what have you. I recognise that there are a number of EU members who rely pretty much totally on their supply from Russia and again we need to engage with them. On the other side of it, I think there is an opportunity, I would hope, for some constructive discussions with Russia as well about its own energy and how it is provided and what their plans are for the future and whether there is down the road some opportunity for cooperation and discussions. All countries in Europe in its widest sense face difficulties in terms of planning their resources for the future in relation to both prices, supply security but also importantly the impact of climate change on our country.

  Q418  Lord Crickhowell: Minister, I agree with you that it is not an entirely one sided debate. Russia needs its market; it may well need investment and skills but it does not seem to be going about it in a sensible way to encourage investment and skills at the moment. It also surely will need to take a pretty tough line with Gazprom and the Russian approach which basically says that they want to have it all their way. If we are going to have an effective partnership we are going to have to say to Gazprom, "You're going to have to obey the rules that apply to trade in Europe just as European countries do". We have taken a pretty tough line in another area with Microsoft; we are going to have to take a pretty tough line with Gazprom as well. Do you agree that in seeking security there has to be some give and some fairly firm lines taken on issues of that kind?

  Caroline Flint: I would agree with you.

  Ms Fox: Yes, we do agree with that. I think the first of September Extraordinary European Council was particular key in that and I know the Committee has been following energy closely with its report on EU-Russia. I think at the European Council the support for Nabucco, and the focus on the internal market showed that the European Union is alert to and has perhaps almost woken up to the importance of energy security. Its external relations with Russia will be a key part of that although some of that is reassurance to the Russians that pipelines such as Nabucco are not intended to displace our current energy relationship with Russia but to enhance where we get the supply from. I think the Government would agree with the situation as you describe it.

  Q419  Lord Crickhowell: We emphasise the difficulties of getting an agreement within Europe on the proposals put forward by the Commission. Do you detect a significant, helpful shift perhaps since recent events in European countries' approach or is it still going to be a considerable struggle to get any kind of agreement on the energy policy? There are different views in Europe. As I said, Germany's position is very much out on its own.

  Caroline Flint: There are different views and I am sure the Committee will get some feedback from the discussions of the Council yesterday. I think part of the work that is going on in terms of the Energy Charter is to see how we can make a much more open and transparent market and in relation to Russia how that will be backed up by some legally binding dispute resolution mechanisms as well which I think goes to your point earlier about what we would expect in terms of engagement. I am sure when the second Strategic Energy Review comes forward later this year I hope it will reflect some of these difficult issues. As I said before, we are very much pressing that the package around climate change really needs to be supported to take forward because this is about recognising that we need to think about, despite the differences at the present time, how investing and making some changes now will actually have some economic dividends for countries down the road. If not, it is going to become increasingly more difficult and more expensive for countries if they do not start changing they way they both source fuel and energy but also supply it too.


 
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