European Union Institutions European Economics Topic 2 European Union Institutions

Forms of community legsilation Primary legislation – consists of the treaties of the European Union. Secondary legislation – consists of regulations, directives, decisions, recommendations and opinions. Main traties: Treaty of Rome ( 1957,), Maastricht Treaty (1992) Treaties that amends the main treaties: Nisa Treaty, Amsterdam Treaty, Sigle European Act Treaties that reglemets specific areas: ECSC

European Union Institutions The ”BIG -5 Institutions: European Parliament, European Council, Council of the European Union, European Commission, European Court of Justice Institutions responsible for the financing and coordination of macroeconomic policies European Central Bank, European Investment Bank. Consultative Organisms: European Economic and Social Committee, (EESC), Committee of the Regions (CoR)

European Commission Considered to be the heart of the EU‘s institutional structure. The main driving force behind the European integration. Supports EU interests as a whole.

European Commission European Commission Role Executive Established 1958 President From 1st November 2014 Jean Claude Juncker Commission’s composition 28 commissioners (one commissioner from each member state). Staff Approximately 38.000 (2011) Official languages English, French, German

European Commission Main roles: Propose legislation to the Council and Parliament (Legislative Initiator); Administer and implement EU policies (Role of manager); Provide surveillance and enforcement of the EU law in coordination with the European Court (Guardian of the Treaties); Act as international mediator in external negotiations (Single mediator).

European Commission Each commissioner is responsible for the administration of a specific area of EU policies. Commissioners are elected for a 5 years period, including the President. Commissioner are independent of their home governments. Commission staff is organized into two departments known as “Directorates General" (DGs) and "services”.

European Commison Roles European Commission European Commison Roles Legislative powers Main duty to prepare proposals for new EU decisions. Neither the Council nor the Parliament cannot adopt a legislation until the Commission presents its proposal. Executive powers In what concerns the competition policy, Common Agricultural Policy, management of the EU budget. Decision making Simple majority principle.

European Commission Limits: Does not adopt the final decisions in what concerns the EU policies and priorities.

Council of the European Union The EU’s main decision- making body. Consists of one representative from each EU member. The institution where member states governments assert their influence most directly.

Council of the European Union Roles: Adopt new EU laws (directives, regulations). Coordinating the general economic policies of the member states in the context of the Economic and Monetary Union. Decisions regarding the Common Foreign and Security Policy. Adopts the EU budget along with the European Parliament.

Council of the European Union Decision making rules: Unanimity – treaty changes, the accession of new member states, setting multi-year budget plan. Qualified majority voting (QMV) – regarding internal market, economic policies coordination. (About 80% of all Council Decisions). Simple majority – decisions regarding internal procedures. Starting with 2014 was introduced a new decision making rule – voting with double majority.

Council of the European Union Germany, France, Italy and the United Kingdom: 29 votes Spain and Poland: 27 Romania: 14 Netherlands: 13 Belgium, Czech Republic, Greece, Hungary and Portugal: 12 Austria, Bulgaria and Sweden: 10 Croatia, Denmark, Ireland, Lithuania, Slovakia and Finland: 7 Cyprus, Estonia, Latvia, Luxembourg and Slovenia: 4 Malta: 3 TOTAL: 352

European Council Does not have formal role in the process of decision making. The most influential institution. President: Donald Tusk Consists of the leaders of each EU member (heads of states and governments) plus the President of the European Commission. Most important decisions of each precidency contained in a document known as the Conclusions of the Presidency. Meets at least twice a year (June and December). Roles: Broad guidelines for EU policies Reforms of EU policies, treaty changes, final terms of enlargements.

Council of Europe vs. European Council and the Council of the European Union Council of Europe ≠ European Council and the Council of the European Union International organization that has as main objective the protection and development of common values and social and economic issues in Europe. Unrelated with the EU.

European Parliament Represents the only institution whose member s are elected directly by universal vote by the EU citizens. Represents the interests of EU citizens. Location: Strasbourg.

European Parliament Main tasks: Sharing legislative powers with the Council of Ministers and the Commission; (co-decision procedure). Overseeing all EU institutions, but especially the Commission. Budgetary roles: Adopts the EU budget along with the Council of the European Union.

European Court of Justice Location: Luxembourg Founded by the treaty regarding the (ECSC) in 1952. Primary objective: Ensure the correct interpretation and implementation of the treaties. Principles: Direct Effect; Direct Applicability; Primacy of EU law over national law.

European Economic and Social Committee The European Economic and Social Committee was established in 1957 by the Treaty of Rome. Formed by the representatives of Europe's employers, workers and other interest groups. Role: gives Europe's interest groups a formal say on EU legislative proposals

European Economic and Social Committee Members: Germany, France, Italy, UK – 24 members Spain, Poland – 21 members Romania – 15 members: Belgium, Greece, the Netherlands, Portugal, Austria, Sweden, Czech Republic, Hungary, Bulgaria – 12 members: Denmark, Ireland, Croatia, Finland, Lithuania, Slovakia – 9 members Estonia, Latvia, Slovenia – 7 members Luxemburg, Cyprus – 6 members Malta – 5 members

Committee of the Regions Role: put forward local and regional points of view on EU legislation. The Committee of the Regions currently has 353 members (and as many alternate members) from all 28 EU countries.

Supra-national Institutions vs. National Institutions (Comparison) European Union Romania Legislative power European Commission European Parliament Council of the European Union Parliament Executive power Government President Judicial power European Court of Justice Judicial authority

European Union Institutions The Council of the European Union Represents the interest of the member states European Parliament Represents the interests of EU citizens Co-decison European Commission Protects the interest of the member states

Legislative processes The codecision procedure A law can be adopted at first reading if the Council and EP agree. (About 50% of the legislation is adopted at first reading. If at the second reading the Council can not accept this proposal it goes to committee of reconciliation. If the committee approves the proposal it is submitted again for approval to the Council and the EP. On contrary the proposal is not adopted. The consultation procedure CAP- Periodic price fixing agreements

Legislative processes The assent procedure Decison concerning enlargements, international agreements, coordination of structural funds. The cooperation procedure Mostly used before the introduction of the co-decision procedure.