The Irish Presidency Work Programme

Ireland took over the presidency of the Council of the European Union at the start of the year, and last Wednesday Taoiseach Enda Kenny, leader of the Fine Gael-Labour (EPP-PES) coalition government, outlined the priorities of the presidency to the European Parliament. Sustainability, jobs and growth are the central mantra of the presidency, though the familar buzzwords didn't stop Kenny from attempting rhetorical flight in the Strasbourg chamber, enthusing about the European family.

In his speech to the European Parliament, Kenny outlined a large work programme, from CAP and CFP reform to collective copyright management and data protection. The Data Protection package is one of the biggest legislative changes and a flagship policy of the Commission. There's been worries that the law won't be passed before the parliament ends, causing the draft to lapse and the work to go to waste, so there will have to be a big push from the presidency to make progress here.

Interestingly, while he stressed the need to pass the 2-Pack of legislation (which I’ve written about here) and the importance of the European Semester, Kenny also expressed a willingness to engage with the Parliament on the democratic deficit – let’s see if any constructive measures make it to the statute books.

A major topic was, of course, breaking the link between sovereigns and banking debt, with the banking union and progress on the implementation of the Single Supervisory Mechanism. On trade, Kenny looked forward to the authorisation and opening of negotiations with the US, along with negotiations with Japan, Canada and ASEAN.

Finally, Kenny couldn't help plugging Ireland's big tourism campaign - The Gathering!

 

You can see a list of the measures behind these priorities here.

Red Tape Holds Europe Together

It's not meant as an insult, and it seems obvious, but it's true. And it's amazing to think that after all this time, the nature and need for European bureaucracy is so misunderstood. The standard calls by Eurosceptics for the end to the Brussels bureaucracy and for the EU to be turned into a free trade area, either don't understand the nature of the single market, or want less free trade. But some are waking up to the necessity for the EU, and the bureaucracy that it entails. That's not to say that I back all of the rules and regulations that come out of "Brussels", and I'm not supporting the equation of: bureaucracy is necessary, and therefore good, and therefore we need more.

Yet it's becoming clear that the EU is not equipped to deal with the crisis. The Commission's vague hints at a plan to help Europe, weak and ineffectual sounding even at the time, highlights the powerlessness of the EU to hold together and support its single market, which is the heart of the EU.

We need to dismiss this view that the single market is somehow equivalent to free trade areas in some way. It is so much more, and if we loose it now, we will all suffer. The single market is based on countries coming together to build a market between them which will be as integrated and free as domestic markets. This is clearly more than a free trade agreement, which merely deals with tariffs, but leaves other financial controls and non-tariff barriers in place. These restrict trade, and so for an effective single market there is a need for common rules to prevent national ones from distorting trade. Which requires common institutions and a common bureaucracy. The European bureaucracy is the life-support machine for the single market, and for the most free international trading system in the world.

The argument that the EFTA would be a good replacement is highly debatable. The success of the EFTA to date probably rests to a large extent with the success of the single market - EFTA members are buying into a more liberalised trading system without joining it: if the single market falls, then barriers to trade will rise up again, and an EFTA can't deal with this nor compensate for this. To tear the EU bureaucracy down, or diminish it now would be a grave mistake.

On the contrary, it needs to be strengthened, both in terms of power to deal with the crisis, and in democratic legitimacy. The current Commission is ineffective and without any power or imagination to lead in the crisis, rejecting proposals out of hand for fear of the member states' reaction, while the member states become more and more of a threat to the single market as they retreat into veiled protectionism and incoherence. Max Bergmann seems to hint that more political aspects are needed in the EU. I would agree with this, as far as democratic accountability is needed, both for its own sake (the single market economy affects us all, and should be more accountable) and to bring back confidence in the system. It will also give the EU the legitimacy to be pro-active in crisises.

This isn't political union, but the macro-economy needs to be dealt with at the macroeconomic level, and it should be accountable and effective. Europe needs good economic governance, and it needs it now. If we can't protect and support our single market, it will fall - and take us with it.