2. Key facts on the EU’s enlargement policy Vincent Rey Deputy head of communication – DG Enlargement

3. EU Enlargement Basic information

4. From 6 to 27 members

5. Enlargements and EU Treaties

6. The European Union in figures 27 countries 492.8 million people Absolute GDP similar to US

7. Why further enlargement? Extend zone of peace, stability, prosperity Political, economic and social benefits for candidates, but also for the EU

8. “Any European State which respects the principles set out in Article 6(1) may apply to become a member of the Union” (Art. 49 of the TEU) “The Union is founded on the principles of liberty, democracy, respect for human rights and fundamental freedoms, and the rule of law, principles which are common to the Member States” (Art. 6 of the Treaty on European Union) Who can apply? (1/2)

9. Who can apply? (2/2) « Any European State which respects the values referred to in Article 2 and is committed to promoting them may apply to become a member of the Union. (…) The conditions of eligibility agreed upon by the European Council shall be taken into account. » (Art. 49 TEU after Lisbon Treaty) “The Union is founded on the values of respect for human dignity, freedom, democracy, equality, the rule of law and respect for human rights, including the rights of persons belonging to minorities. These values are common to the Member States in a society in which pluralism, non-discrimination, tolerance, justice, solidarity and equality between women and men prevail.” (Art. 2 TEU after Lisbon Treaty)

10. How to get in: Conditions for membership Copenhagen criteria (1993) Political criteria: Stable democratic institutions Human and minority rights Rule of law Economic criteria: Functioning market economy Capacity to cope with competitive forces in EU Transposition and implementation of EU laws and standards (90,000 pages of “acquis communautaire”)

11. Conditions of the Stabilisation and Association Process Thessaloniki 2003 Compliance with international obligations (Dayton/Paris; ICTY etc.) Commitment to regional cooperation (RCC/SEECP, regional trade, people to people contacts etc)

12. Renewed enlargement consensus December 2006 European Council - followed recommendations of Commission strategy paper Fair and rigorous Conditionality; Consolidation of commitments; Communication with the public on enlargement Integration capacity to be taken into account at key stages (Commission Opinions on new applications + during accession negotiations) Improvement of quality of enlargement process (political and economic dialogue strengthened; benchmarking; difficult issues of judiciary and administrative reforms taken upfront)

13. The current enlargement agenda: Turkey & the Western Balkans

14. “The Balkans will be an integral part of a unified Europe” Thessaloniki, June 2003

15. Enlargement Agenda Candidates Turkey gained status of candidate country in 1999, Croatia in 2004 and the former Yugoslav Republic of Macedonia in 2005 Negotiations opened with Croatia and Turkey in end 2005 Croatia: roadmap to complete negotiations FYROM: could start negotiations if fulfil key priorities + Potential Candidates

16. 1959 Official relations EEC - Turkey - 1963 Association Agreement (Ankara) – Preamble+ Art28 - 1980 trade relations frozen (military rule -> 1983) - 1987 First application - 1995 Custom Union - 1999 European Council Helsinki: Turkey is a candidate country - 2002, December – European Council asks the Commission to draft an opinion on respect of the political criteria, before end 2004  successive “Reform packages” since 2002 - 2003, March 26th - Accession Partnership - 2004, December 26th: European Council Brussels. Turkey “sufficiently fulfils the Copenhagen political criteria”. Conditions - 2005, October 3rd - Opening of negotiations “open- ended” “ with accession as aim” following entry into force of penal code + signature Ankara protocol - Negotiation progress tied to political progress Turkey’s accession perspective

17. Article 49 does not mean that all European countries will or must join (strategy paper 2006) Alternative relationship models with the EU EEA with Norway, Iceland, Liechtenstein Bilateral agreements with Switzerland Specific ties with micro-states EU launched a new neighbourhood policy –a ring of friends with all of the EU’s neighbours –single economic and social space, an area of stability and prosperity - Ukraine, Belarus and Moldova - Mediterranean partners: Algeria, Egypt, Israel, Jordan, Lebanon, Libya, Morocco, Syria, Tunisia, Palestinian Authority - Inclusion of Armenia, Azerbaijan,Georgia –PCA with Russia Other European Countries

18. Stabilisation and Association Process Basic Facts: Proposed by the Commission in May 1999. Covers Albania, Bosnia and Herzegovina, Croatia, the former Yugoslav Republic of Macedonia, Montenegro and Serbia incl. Kosovo. Comprehensive policy framework, building on 1997 Regional Approach. Geopolitical rationale: Stabilisation of the region and gradual rapprochement with the EU. Status of “potential candidates” (2000 Feira European Council) Differentiated, benchmarked.

19. Roadmap to a Stabilisation and Association Agreement Reform Progress Monitoring Feasibility Study SAA negotiating directives SAA negotiations Signature of SAA and Interim Agreement Conclusion of Interim Agreement (IA) IA institutional framework set up Conclusion SAA (after ratification) SAA institutional framework set up SAA Implementation

20. Application by potential candidate Unanimous decision by Council to grant candidate status based on a Commission Opinion Accession negotiations Continuous monitoring of progress Assent by the European Parliament Conclusion: signature of accession treaty and ratification by EU Member States Steps from potential candidate to member

21. Application for membership (to the Council) Roadmap from an SAA to EU membership Council asks Commission for Opinion Opinion + recommendation of Commission Council decides to open accession negotiations Accession negotiations Commission Opinion, Assent EP Ratification of Accession Treaty Accession SAA Implementation Signature of Accession Treaty

22. How does a candidate prepare for membership Candidate countries need to implement many reforms in order to comply with conditions Progress is monitored by EU EU supports preparations with financial support Candidate countries benefit from technical support “Twinning” – exchange of experts between public administration

23. The “Enlargement Package” Annual Commission monitoring of all enlargement countries (in Autumn, available online) Components: –Strategy paper –Annual progress reports (retrospective) –Draft European/Accession partnerships for Council (to-do lists, every 2-3 years) Leads to National Plan for the adoption of the Acquis (NPAA, drafted by country)

24. Accession Negotiations Technical phase: fact-finding meetings on each of 35 chapters, so-called “screening”  opening benchmarks Political phase: EU Common negotiating Position responds to candidate position on each chapter  closing benchmarks Chapter provisionally closed

25. Accession negotiations: Chapters 1.Free movement of goods 2.Freedom of movement for workers 3.Right of establishment and freedom to provide services 4.Free movement of capital 5.Public procurement 6.Company law 7.Intellectual property law 8.Competition policy 9.Financial services 10.Information society and media 11.Agriculture 12.Food safety, veterinary and phytosanitary policy 13.Fisheries 14.Transport policy 15.Energy 16.Taxation 17.Economic and monetary policy 18. Statistics 19.Social policy and employment 20.Enterprise and industrial policy 21.Trans-European Networks 22.Regional policy and coordination of structural instruments 23.Judiciary and fundamental rights 24.Justice, freedom and security 25.Science and research 26.Education and culture 27.Environment 28.Consumers and health protection 29.Customs union 30.External relations 31.Foreign security and defence policy 32.Financial control 33.Financial and budgetary provisions 34.Institutions 35.Other issues

26. Actors of negotiation process Candidate countries EU Member States (Council) Commission European Parliament

27. EU Enlargement Political implications of EU enlargement

28. Benefits for citizens in candidate countries Political stability Democracy Human rights Rule of law Increased possibilities for travel (from visa facilitation to complete liberalisation)

29. Benefits for the Union Political stability in wider region Extension of zone of peace Stronger position in a globalised world

30. Challenges for EU in further enlargements Retaining ability to function effectively Retaining ability to develop and implement new policies

31. early tackling of key issues related to State building, public administration and judicial reforms, the fight against corruption and organised crime, civil society, economic and social development Track-record of implementation of bilateral obligations Benchmarking in negotiation chapters Accession date towards the end only Lessons learned from the 5 th Enlargement

32. Economic implications of EU enlargement EU Enlargement

33. Economic benefits for candidates Pre-accession funding (IPA) helps to modernise companies and infrastructure Improved business environment stimulates economic growth and job creation Reduction of trade barriers, gradual integration into internal market

34. Economic benefits for EU More external trade More exports generate jobs inside the EU Global economic power

35. EU membership and the euro New EU Member States will have to adopt the euro once they are ready. Convergence criteria Inflation of no more than 1.5 percentage points above the average rate of the three Member States with the lowest inflation A national budget deficit close to or below 3% of gross national product Public debt not exceeding 60% of gross national product

36. Costs of enlargement Enlargement costs estimate 0.25% of the EU’s gross domestic product This money is well invested New Member States buy goods from old Member States Covers mainly infrastructure and transport which benefits EU citizens and companies Creates new business opportunities

37. Thank you for your attention. Any questions?