1. The European Neighbourhood Policy
Monitoring Committee for Euro-Mediterranean Cooperation in RTD
Brussels, 29 June 2006
Fredrik Svedang European Commission

2. The EU’s political geography - Policies towards non-EU-members -
EFTA / EEA – multi- and bilateral accords
Candidate Countries (Bulgaria, Romania, Turkey, Croatia, Macedonia) - the Accession Process
“Potential candidates” (Albania, Bosnia & Herzegovina, Serbia, Montenegro) – the Stabilisation and Association Process
Neighbours – the European Neighbourhood Policy

3. The EU and its neighbours

4. ENP partners The immediate neighbours of the enlarged EU … but not
candidate countries or “potential candidates”
Ukraine, Moldova, Belarus
Georgia, Armenia, Azerbaijan
Syria, Lebanon, Israel, Palestinian Authority, Jordan,
Egypt, Libya, Tunisia, Algeria, Morocco
Strategic Partnership with the Russian Federation

5. Russian Federation
Not included in the European Neighbourhood Policy. Instead, a
Strategic Partnership based on 4 “common spaces”:
economic (incl. environment and energy) - promote integration via market opening, regulatory convergence, trade facilitation, infrastructure
freedom, security and justice – JHA, human rights and fundamental freedoms
external security - partnership on security issues and crisis management
research and education (incl. cultural) - capitalise on strong intellectual and cultural heritage
“Road maps” agreed in May 2005

6. Aims and principles
Partnership-for-reform: supports reform and modernisation (inter alia by projecting internal EU policies) as a contribution to prosperity, stability, and security (aim: “ring of well-governed countries”)
Responds to countries’ situation (differentiation)
Joint ownership (agreed priorities)

7. Fundamentals Good governance, prosperity, stability, security,
based on:
Democracy, human rights, rule of law
Sound macro-economic management, market economy and sustainable development
Sectoral reforms, strengthened institutions
Joint response to common challenges e.g. prosperity gaps, migration, crime, environment, public health, terrorism ...

8. Fundamentals
A strong policy – support of all EU Institutions; across three pillars (Community and EU competencies)
Distinct from EU enlargement (does not prejudge in either way)
Rewards progress (positive and inherent conditionality)
Within EU convergence of Member States’ perceptions of neighbourhood (policy of EU-25)
Civil society / academia take keen interest in ENP

9. Development of the ENP 2002/3: Thinking “beyond” EU enlargement:
“Wider Europe”, “new neighbourhood”, “ring of friends”
2003/4:
Various Commission Communications and (European) Council Conclusions establish ENP as an EU policy
2004:
“ENP Strategy Paper“ (May 2004)
First 7 Country Reports; start of first Action Plan consultations
2005:
2006:
Adoption of first 7 ENP Action Plans starts; implementation starts; 5 more Country Reports
Conclude next 5 ENP Action Plans; first Progress Reports

10. Content of the policy
More focus and direction: A comprehensive agenda for relations with EU neighbours
Aim: good governance and institutional reform
Offer: progressive economic integration (“stake in Internal Market”), deepening political co-operation
Based on: values and common interests
Assistance for: agreed reform objectives, economic and social development and cross-border cooperation

11. Method
Invigoration of existing relations – adding a detailed agenda and accountability for progress on both sides; Progress Reports (first end 2006)
Selective use of experience from supporting transition in candidate and pre-candidate countries, e.g. how to promote and sequence reforms, “twinning” and TAIEX…
Gradual approximation with the acquis communautaire in selected relevant areas
“Socialisation” model: European “soft power” (European paradigm of development) – policy for the long haul (consistency in process steer)

12. ENP Action Plans Key operational instruments
Country-specific, tailor-made political documents
Jointly defining agenda on political and economic reforms
Short & medium-term priorities (3 – 5 years horizon)
Guidance for assistance programming

13. ENP Action Plans – main areas
Same chapters in all Action Plans, content is specific to each
country:
1) Political dialogue and reform
2) Sound macro-economic management, economic and social cooperation and development
3) Trade related issues, market and regulatory reform
4) Co-operation in Justice, Freedom and Security
5) Sector-policies: Transport, energy, information society, environment, research and development
6) Human dimension: People-to-people contacts, civil society, education, public health

14. Building on existing framework
ENP builds on:
existing legal and institutional agreements (Partnership and Co-operation Agreements, Association Agreements established under the Barcelona Process ...)
established bodies (Association and Co-operation Councils, Committees, sub-Committees) as mechanisms for promoting and monitoring implementation of Action Plans
“ Tracks exist, 3-5 year schedule is new “

15. ENP and the Barcelona Process
Same general objectives; ENP complements the Euro-Med (EMP) “Barcelona Process” which continues as the multilateral element of EU relations with Southern Mediterranean neighbours
ENP: additional bilateral commitments and accountability, incentives and opportunities
Two tracks: multi-lateral (EMP) – bilateral (ENP)
Differentiated tools and methods (precise reform goals and steps, regulatory harmonisation) Example: Barcelona envisages trade integration, focusing on tariff issues, ENP goes further: economic integration (inclusion in networks and markets, regulatory alignment etc.)
ENP helps to realise the full potential of the EMP

16. EC financial support Current (2000 - 2006):
€8.4bn (MEDA €5,3bn, TACIS €3,1bn)
EIB lending (€2bn Mediterranean, €500m Eastern Europe)
Future ( ):
- European Neighbourhood & Partnership Instrument
(ENPI) still under negotiation within EU
More flexible, policy-driven instrument
Supporting priorities agreed in the ENP Action Plans
simplified approach for cross-border co-operation
Technical assistance for institutional capacity-building
Budget: €11.97 bn ( ~ 45% increase over previous FP)
EIB lending

17. Summary: Added value of ENP
Focuses an immediate neighbourhood; special category of external relations
Increased scope and intensity of relations – comprises all policy fields (all pillars); “beyond border” partnership more than classical external relations
Encouragement of reforms and development (political, economic, social, institutional)
New forms of financial and technical assistance (addition of TAIEX, twinning, budgetary support to sector-specific reforms, etc.)

18. RTD effects ?
The opening of the European Research Area to partner countries and the integration of the scientific communities of neighbouring countries is a challenge.
Our goal is to increase the participation of ENP countries in the Community’s RTD activities. We also want to improve their national research systems’ contribution to economic growth and social welfare.
The policy therefore needs to support structural and institutional capacity building activities. These activities are identified and implemented through the Action Plans.

19. Conclusions
External relations’ priority of the Commission; part of the portfolio of Commissioner Ferrero-Waldner
An ambitions and enhanced political framework for EU relations with neighbouring countries
Of mutual, long-term interest (enlightened EU self-interest); no alternative to ENP: non-engagement in neighbourhood not an option
What can we achieve? … a matter of political will !

20. ENP Website
Dedicated web site on Europa server under “Commission – Europe in the World”: