INTRODUCTION
The European Council welcomed the outcome of the Danish referendum and
the prospect of a rapid completion of ratification procedures on the
Maastricht Treaty in all Member States. It is determined that this
important step should mark the ending of a prolonged period of
uncertainty on the Community's direction and be the occasion for the
Union to meet with renewed vigour and determination the many challenges
with which it is faced internally and externally, making full use of the
possibilities offered by the new Treaty. The principles spelled out by
the European Councils in Birmingham and Edinburgh regarding Democracy,
subsidiarity and openness will guide the implementation of the new Treaty
with a view to bringing the Community closer to its citizens.
The European Council in Copenhagen gave special attention to, on the one
hand, action aimed at tackling the economic and social problems faced by
the Community and particularly the unacceptably high level of
unemployment and, on the other hand, to the wide range of issues relating
to peace and security in Europe. It recognizes that only by proving that
the Community is instrumental in contributing to the security and well-
being of all the citizens can the Community count on continued public
support for the construction of Europe.
The members of the European Council held an exchange of views with the
President of the European Parliament. The discussion took place against
the background of the increased political and legislative role which the
European Parliament will have under the Treaty of Maastricht. The
European Council underlined the importance of making the best possible
use of those provisions while fully respecting the institutional balance
set out in the Maastricht Treaty. It at the same time stressed the need
for national Parliaments to be more closely involved in the Community's
activities. It welcomed the growing contacts between national Parliaments
and the European Parliament.
1. Growth, Competitiveness and Unemployment
The European Council is deeply concerned about the present
unemployment situation and the grave dangers inherent in a
development where an increasing number of people in the Community are
becoming permanently detached from the labour market. The European
Council pledged the determination of the Community and its Member
States to restore confidence through the implementation of a clear
strategy - covering both the short term and medium to long term - to
restore sustainable growth, reinforce the competitiveness of European
industry and reduce unemployment.
Short term measures
The European Council agreed that concerted economic action based on
the principles set out in "The plan of action of Member States and
the Community to promote growth and to combat unemployment"
established by the European Council in Edinburgh, should continue to
be given the highest priority. It welcomed the initial package of
national and Community measures established by the Council (ECO/FIN)
at its meeting on 19 April and noted with satisfaction that some
Member States have since then implemented new and additional measures
with the same objective in mind.
The promotion of investment is crucial.
The European Council agreed that on the national level this objective
should be given particular importance by Member States in their
national budget planning for 1994. The bringing forward in time of
public investment, in particular on infrastructure, environment
protection and urban renewal, as well as the promotion of private
investment (with special attention to small and medium sized
enterprises and housing), are of particular importance in the present
phase of the economic cycle in Europe. However, lower taxes on labour
would enhance European industrial competitiveness. In connexion with
this, consideration should also be given to fiscal measures to reduce
consumption of scarce energy resources.
Although further national action will depend on each Member State's
room for manoeuvre, full account should be taken of the multiplier
effect of the internal market, which supports national policy aimed
at economic recovery, and of the positive effects on national budgets
which would result from increased growth.
On the Community level the European Council invited the EIB in
cooperation with the Commission to increase by 3 billion ECU the
temporary facility of 5 billion ECU agreed in Edinburgh and to extend
its duration beyond 1994; 2 billion ECUs would be for the
transeuropean networks and 1 billion ECUs for strengthening the
competitiveness of European small and medium-sized enterprises. The
Council (ECO/FIN) is invited to examine how the part available for
small and medium-sized enterprises could benefit from interest rate
subsidies to a maximum of 3 percentage points over five years. The
interest subsidy would be linked to employment creation (similar to
existing ECSC loans) and would be funded within existing financial
perspectives. The European Council will review the amount for the
small and medium-sized enterprises facility at its meeting in
December in the light of its utilization.
The European Council underlined the importance of a rapid
implementation of the Community's structural policy programme for the
period 1994-1999. The implementation of this 160 billion ECU
programme (equal in real terms to three times the Marshall Aid
programme) is essential for cohesion, as well as for growth and
employment creation not only in the less favoured areas of the
Community but throughout the Community. The European Council
therefore called on the Institutions to ensure the formal adoption
before the end of July 1993 of the Structural Funds Regulations. It
noted that the President of the European Parliament agreed with this
objective. The legal texts as well as the practical implementation
should fully respect the agreement reached on the DELORS II-package
in Edinburgh.
In addition, and in order to boost ahead of schedule the investment
projects under the Structural Funds, the European Council agreed that
the Council (ECO/FIN) will examine a proposal from the Commission
that would enable Member States to draw on a Community "bridging
facility" at market interest rates up to a maximum of 5 billion ECUs
available until the end of 1995. Repayment of this Community loan
would be drawn from structural fund appropriations in subsequent
years. Similar arrangements could be applied to the Cohesion Fund.
The European Council underlined the importance of fully exploiting
the new provisions in the Maastricht Treaty relating to the promotion
of Transeuropean networks of the highest quality, in the context of
promoting economic and industrial growth, cohesion, the effective
functioning of the internal market and encouraging European industry
to make full use of modern information technology. The European
Council invited the Commission and the Council to complete by early
1994 the network plans in all the relevant sectors (transport,
telecommunication and energy) while noting with satisfaction the
progress made on high speed trains, roads, inland waters and combined
transport. It also called on the Council to consider rapidly the
Commission proposals on telematic networks. The Council will also
examine on a proposal from the Commission the link up between the
peripheral Member States and the central regions of the Community.
The extended duration and the increased amount of the Edinburgh
temporary facility now agreed will permit a further important
contribution to these networks. Transeuropean projects which have
received the endorsement of the Community through a "Declaration of
Community interest" will be privileged under this instrument and
other Community financial instruments.
Medium and long-term measures to promote competitiveness and
employment
The European Council agreed that macro-economic policy should be
supplemented by structural measures in each Member State adapted to
their individual characteristics in order to achieve a significant
reduction of the unacceptably high level of unemployment in
particular among young people, those unemployed for a long time and
the most socially excluded.
The European Council heard an analysis by the President of the
Commission on the competitive situation of the European economy. It
fully endorsed his diagnosis.
The European Council welcomed the presentation by President Delors of
a medium-term European plan for economic revival, "Entering the 21st
century", attached to these conclusions (see Annex I). The European
Council invited the Commission to present a white paper on a medium-
term strategy for growth, competitiveness and employment for
consideration at its meeting of December 1993. Member States will
submit to the Commission, before 1 September, proposals for specific
elements which might be included in this initiative. The European
Council invited the Commission to prepare its white paper in good
time for it to be taken into consideration in the preparatory work to
be done by the Council (ECO/FIN) with regard to the broad guidelines
for economic policy for the Community and its Member States. The
social partners will be consulted by the Commission.
The European Council recalled that under the provisions of the Treaty
on European Union it has to examine such guidelines. It invited the
Council (ECO/FIN) on a proposal from the Commission to submit to the
European Council in Brussels in December draft guidelines based on
the objectives set out in the previous paragraphs concerning both
short-term and medium-term aspects, with a view to promoting
sustainable non-inflationary growth respecting the environment.
Monetary and Exchange rate policy
Monetary policy and exchange rate stability are key factors in both
the short and medium-term components of a strategy to restore growth
and reduce unemployment. The European Council agreed on the
overriding importance of creating the budgetary and economic
conditions for rapidly bringing interest rates in Europe down,
thereby narrowing the existing gap between interest rates in Europe
and interest rates in other major industrial countries. Movements in
this direction will be essential for economic recovery and in order
to promote investment in Europe.
The European Council reviewed recent developments in the exchange
rate situation. It felt that the orientations agreed at the informal
meeting of Economic and Finance Ministers in Kolding in relation to
the EMS go in the right direction. The European Council recalled that
the exchange rate policy of all Member States is a matter of common
interest. It underlined the essential role to be played by the
European Monetary Institute (EMI) in this area. It invited the
Commission to present proposals on all the necessary implementing
measures relating to the second stage of Economic and Monetary Union,
so that they can be adopted by the Council as soon as possible after
entry into force of the Treaty and before 1 January 1994.
International aspects
The effect of action by the Community and its Member States will be
increased through international coordination of policy. In this
connection, the European Council welcomed the outcome of the joint
EC-EFTA meeting of Economic and Finance Ministers held in April and
invited the Council (ECO/FIN) to continue to maintain close contacts
with the EFTA countries in this area. With regard to the global
economy the European Council looks to the G-7 summit in Tokyo to
provide an agreed basis for a determined effort to promote growth in
the world economy.
2. The single market and common policies
At a time when the problems of creating economic growth and
stimulating employment are of increasing concern, the existence of a
large single market of 350 million people is a major asset for the
Community.
The European Council welcomed the recent decisions of the
Internal Market Council and called on it to adopt rapidly the last
remaining measures which are of major importance for the proper
operation of the single market.
On transport, the European Council noted with satisfaction that the
recent agreement on road transport taxation has cleared the way for
full liberalization of the activities of road hauliers within the
Community to take its place beside the existing liberalization of air
and maritime transport.
The single market has been a legal reality since 1 January 1993; it
is essential that it should also become a smoothly-running practical
reality, improving the competitiveness of the European economy and
yielding maximum economic and social benefit for the citizen. To
that end, the European Council called on all concerned, and in
particular the Commission and the competent authorities of the
Member States, to work together to ensure that the single market is
administered efficiently with as little red-tape as possible.
The European Council stressed that the Single Market cannot be
brought about without the full implementation of free movement of
persons as well as of goods, services and capital, in accordance with
Article 8A of the Treaty. This requires measures in particular with
regard to cooperation aimed at combatting crime and drug trafficking
and ensuring effective control of the external borders.
The European Council invited the responsible Ministers to bring their
work on these measures forward as a matter of great urgency. With
regard to the last outstanding issue on the External Frontier
Convention, the European Council noted with satisfaction that the
Member States concerned have expressed their determination to make
every effort to reach a mutually acceptable solution as soon as
possible.
3. GATT
The European Council welcomed the Commission's report on progress in
the Uruguay Round to date. It underlined the need for the Community
to continue to play an active part in achieving further progress
while preserving the European identity throughout the negotiations.
The European Council stressed that it was essential to relaunch the
multilateral process in Geneva as soon as possible on all topics,
including agriculture, in order to complete a comprehensive, durable
and balanced agreement before the end of the year. This was urgently
needed in order to create the new, rules-based world trading system
in which unilateral action is ruled out. A round concluded on this
basis will promote the durable expansion of international trade which
is a key to the promotion of economic growth and job creation in
Europe and throughout the world.
Early identification of the main elements of a large market access
component and real progress on services and intellectual property,
including contributions from all GATT partners, would help to
maintain momentum and pave the way for the conclusion in time of the
final package.
4. Enlargement
The European Council took note of progress in the enlargement
negotiations with Austria, Finland, Sweden and Norway. It noted that
the initial difficulties encountered in launching the negotiations
had now been overcome and that the pace of the negotiations was
speeding up. It recalled that the negotiations will, to the extent
possible, be conducted in parallel, while dealing with each candidate
on its own merit.
The European Council invited the Commission, the Council, and the
candidate countries to ensure that the negotiations proceed
constructively and expeditiously. The European Council is determined
that the objective of the first enlargement of the European Union in
accordance with the guidelines laid down by the Lisbon and Edinburgh
European Councils should become a reality by 1 January 1995.
5. Relations with Malta and Cyprus
The European Council considered that its guidelines with regard to
enlargement with the EFTA countries shall be without prejudice to the
situation of other countries which have applied to join the Union.
The Union will consider each of these membership applications on its
own merits.
The European Council welcomed the Commission's intention to present
shortly its opinions on Malta and on Cyprus. These opinions will be
examined rapidly by the Council taking into consideration the
particular situation of each of the two countries.
6. Relations with Turkey
With regard to Turkey, the European Council asked the Council to
ensure that there is now an effective implementation of the
guidelines laid down by the European Council in Lisbon on intensified
cooperation and development of relations with Turkey in line with the
prospect laid down in the association agreement of 1964 and the
protocol of 1970 as far as it relates to the establishment of a
customs union.
7. Relations with the Countries of Central and Eastern Europe
A. The Associated Countries
i) The European Council held a thorough discussion on the relations
between the Community and the countries of Central and Eastern
Europe with which the Community has concluded or plans to
conclude Europe agreements ("associated countries"), on the basis
of the Commission's communication prepared at the invitation of
the Edinburgh European Council.
ii) The European Council welcomed the courageous efforts undertaken
by the associated countries to modernize their economies, which
have been weakened by 40 years of central planning, and to ensure
a rapid transition to a market economy. The Community and its
Member States pledge their support to this reform process. Peace
and security in Europe depend on the success of those efforts.
iii) The European Council today agreed that the associated countries
in Central and Eastern Europe that so desire shall become members
of the European Union. Accession will take place as soon as an
associated country is able to assume the obligations of
membership by satisfying the economic and political conditions
required.
Membership requires that the candidate country has achieved
stability of institutions guaranteeing democracy, the rule of
law, human rights and respect for and protection of minorities,
the existence of a functioning market economy as well as the
capacity to cope with competitive pressure and market forces
within the Union. Membership presupposes the candidate's ability
to take on the obligations of membership including adherence to
the aims of political, economic and monetary union.
The Union's capacity to absorb new members, while maintaining the
momentum of European integration, is also an important
consideration in the general interest of both the Union and the
candidate countries.
The European Council will continue to follow closely progress in
each associated country towards fulfilling the conditions of
accession to the Union and draw the appropriate conclusions.
iv) The European Council agreed that the future cooperation with the
associated countries shall be geared to the objective of
membership which has now been established. In this context the
European Council approved the following:
- The Community proposes that the associated countries enter
into a structured relationship with the Institutions of the
Union within the framework of a reinforced and extended
multilateral dialogue and concertation on matters of common
interest. The arrangements, which are set out in Annex II to
these conclusions, include dialogue and concertation on a
broad range of topics and in several fora. Where appropriate -
in addition to regular meetings between the President of the
European Council and the President of the Commission with
their counterparts from the associated countries - joint
meetings of all the Heads of State and Government can be held
to discuss specific predetermined issues.
- The European Council, recognizing the crucial importance of
trade in the transition to a market economy, agreed to
accelerate the Community's efforts to open up its markets. It
expected this step forward to go hand in hand with further
development of trade between those countries themselves and
between them and their traditional trading partners. It
approved the trade concessions established by the Council
(General Affairs) at its meeting on 8 June. It invited the
Council to adopt on a proposal from the Commission the
necessary legal texts before the summer holidays.
- The Community will continue to devote a considerable part of
the budgetary resources foreseen for external action to the
Central and Eastern European Countries, in particular through
the PHARE programme. The Community will also make full use of
the possibility foreseen under the temporary lending facility
of the EIB to finance transeuropean network projects involving
the countries of Central and Eastern Europe. Where
appropriate, part of the resources under the PHARE programme
may be used for major infrastructural improvements, in
accordance with the arrangements agreed by the General Affairs
Council on 8 June.
- The European Council, welcoming the possibility offered to the
associated countries to participate in Community programmes
under the Europe Agreements, invited the Commission to make
proposals before the end of the year for opening up further
programmes to the associated countries, taking as a point of
departure those programmes which are already open for
participation by the EFTA-countries.
- The European Council underlined the importance of
approximation of laws in the associated countries to those
applicable in the Community, in the first instance with regard
to distortion of competition and, in addition, - in the
perspective of accession -to protection of workers, the
environment and consumers. It agreed that officials from the
associated countries should be offered training in Community
law and practice and decided that a task force composed of
representatives of the Member States and the Commission shall
be established to coordinate and direct this work.
- The precise modalities regarding the above matters are set out
in Annex II.
B. Other Central and Eastern European Countries
The European Council discussed the economic situation in Albania. It
welcomed the conclusions of the Council (ECO/FIN) on 7 June and the
recognition by the Community of the need to ensure adequate support,
through grants, loans or both to Albania. The European Council also
underlined the importance of making full use of the provisions
relating to political dialogue foreseen under the present agreement
with Albania.
In order to strengthen the trade and commercial links between the
three Baltic States and the Community, the European Council invited
the Commission to submit proposals for developing the existing trade
agreements with the Baltic States into free-trade agreements. It
remains the objective of the Community to conclude Europe Agreements
with the Baltic states as soon as the necessary conditions have been
met.
8. Pact on stability in Europe
The European Council discussed the French proposal for an initiative
to be taken by the European Union in favour of a Pact on stability in
Europe. This initiative is directed towards assuring in practice the
application of the principles agreed by European countries with
regard to respect for borders and rights of minorities. The European
Council agreed that recent events in Europe have shown that action in
these areas is timely and appropriate. It welcomed the idea of using
the instrument of "Joint Action" in accordance with the procedures
provided for in the Common Foreign and Security policy.
The European Council invited the Council (General Affairs) to examine
the proposal and report to its meeting in December 1993 with a view
to convening a preparatory conference on the pact.
9. Russia
The European Council welcomed the new initiatives in the area of
political reforms in Russia undertaken by President Yeltsin. It hopes
these efforts will be successful and contribute to consolidating
democracy and a market economy.
The European Council welcomed the progress made recently in the
negotiations on a partnership and cooperation agreement with Russia.
It expressed its hope for an early conclusion of such an agreement,
in the context of creating a contractual relationship between the
Community and Russia which reflects the political and economic role
which Russia plays on the international scene and where consultations
- also at the highest level - are a regular feature of the
relationship.
The European Council is looking forward to continuing the close
cooperation with Russia in the political field and to jointly
contributing to the solution of international crises. This is seen as
an essential contribution to peace and stability in Europe and the
world. The European Council agreed to propose regular Community
meetings between its President, the President of the Commission and
the Russian President.
The European Council expressed its readiness to continue and enhance
its support for the Russian reform process. The coming G-7 summit is
seen as a timely opportunity to further the substantial efforts
already made to support the reform measures underway in Russia as
well as other countries of the former Soviet Union. The European
Council took stock of the preparation of the discussion at the G-7
summit on aid to Russia. The Community and its Member States attached
particular importance to progress in Tokyo on issues relating to
nuclear safety (power stations, nuclear waste, and dismantling of
nuclear weapons). It welcomed in this context the substantial follow-
up now being given to the guidelines laid down by the European
Council in Lisbon including the agreement recently reached by the
Council (ECO/FIN) on EURATOM loans aimed at improving safety in
nuclear power stations in former Soviet Union republics as well as in
Central and Eastern European countries.
The European Council also stressed the importance of putting the
European Energy Charter into practical reality.
The European Council pledged the support of the Community to other
concrete steps to promote the efficiency of aid directed towards
Russia and to concrete projects aimed at accelerating the process of
privatization, in particular through appropriate training of Russian
entrepreneurs in the context of technical assistance. The European
Council emphasized that the effectiveness of aid efforts depends on
the existence of stability oriented economic policies in Russia.
10. Ukraine
The European Council expressed keen interest in expanding cooperation
with Ukraine. Substantial progress towards the fulfilment by Ukraine
of its commitments under the Lisbon protocol to ratify Start 1 and to
accede to the NPT as a non-nuclear weapons state is essential for
Ukraine's full integration into the international community and would
promote the development of its relations with the Community and its
Member States.
11. Former Yugoslavia
The European Council adopted the declaration on Bosnia-Herzegovina
set out in Annex III.
12. Relations with the Maghreb countries
The European Council recalled its determination to see the
relationship with the Maghreb countries placed at a level of
importance and intensity which corresponds to the close links which
have been formed by geography and history. This should be done within
the framework of an upgraded partnership between the Union and the
individual Maghreb countries.
The European Council invited the Council to approve rapidly the draft
directives presently being examined for a partnership agreement with
Morocco.
It took note with satisfaction of the Commission's intention to
submit rapidly draft directives for the negotiation of a similar
agreement with Tunisia.
13. Conclusions reached by Foreign Ministers
The European Council took note of the conclusions reached by Foreign
Ministers on the issues set out in Annex IV.
14. Common Foreign and Security policy - Preparatory work on security
The European Council noted the preparatory work already done by
Foreign Ministers on security in connection with the mandate from the
Edinburgh European Council and invited them to continue their work
with a view to defining the necessary basic elements for a policy of
the Union by the date of entry into force of the Treaty.
15. A Community close to its citizens
The European Council invited all institutions to ensure that the
principles of subsidiarity and openness are firmly anchored in all
spheres of Community activity and fully respected in the day-to-day
operations of the institutions.
As regards the principle of subsidiarity, the European Council noted
with satisfaction that the Commission is now submitting proposals
only when it considers that they fulfil the subsidiarity criteria,
and welcomed in general the substantial reduction in the volume of
Community legislation foreseen in the Commission's legislative
programme for 1993 compared to earlier years. The wider consultation
by the Commission before submitting important new proposals and, in
particular, the use of "green papers" relating to important new
activities as well as a cost and benefit analysis of new proposals
are also highly promising. It looked forward to the completion before
the European Council in December of the Commission's review of
existing and proposed legislation with regard to the subsidiarity
principle.
The European Council noted with satisfaction that the Council and the
Commission are now applying the principles, guidelines and procedures
on subsidiarity decided at Edinburgh as an integral part of the
decision making procedure. It hopes that the European Parliament will
soon be able to join in this effort.
On openness, the European Council noted the first steps taken in
response to the conclusions of the Edinburgh European Council
regarding the opening of certain Council debates to the public,
simplification and codification of Community legislation and
information in general. It confirmed its commitment to continue the
process of creating a more open and transparent Community.
In the area of public access to information, it invited the Council
and the Commission to continue their work based on the principle of
the citizens having the fullest possible access to information. The
aim should be to have all necessary measures in place by the end of
1993.
The European Council invited the European Parliament and the Council
to settle the last outstanding issues with regard to the
establishment to the Ombudsman in time for the entry into force of
the Maastricht Treaty.
16. Fraud affecting the Community
The European Council underlined the importance of continuing to
combat fraud and irregularities in connection with the Community
budget, both in view of the sums involved and in order to promote
confidence in the construction of Europe. It underlined the
importance of fully implementing the provisions in the Maastricht
Treaty according to which Member States are to take the same measures
to counter fraud affecting the financial interests of the Community
as they take to counter fraud affecting their own financial
interests. It looked forward to the report on further developments in
the Commission's anti-fraud strategy together with the related
proposals. It invited the Commission to submit such proposals in
March 1994 at the latest.
17. Racism and Xenophobia
The European Council strongly condemned the recent attacks on
immigrants and refugees in its Member States and expressed its deep
sympathy with the innocent victims of such aggressions.
The European Council reiterated its strong resolve to fight by all
available means intolerance and racism in all its forms. It stressed
that such intolerance and racism is unacceptable in our present day
societies.
The European Council confirmed the commitment to protect everybody,
including immigrants and refugees, against violations of fundamental
rights and freedoms as embodied in constitutions and laws of Member
States, the European Convention on Human Rights and other
international conventions, including the United Nations Convention on
the Elimination of all forms of Racial Discrimination.
The European Council recalled its previous declarations on racism and
xenophobia and decided to intensify the efforts to identify and to
root out the causes. It pledged that Member States will do their
utmost to protect immigrants, refugees and others against expressions
and manifestations of racism and intolerance.
- - -
ANNEX I
ENTERING THE 21ST CENTURY
ORIENTATIONS FOR ECONOMIC RENEWAL IN EUROPE
1. Staying on course for Economic and Monetary Union
A single currency would:
. consolidate the single market and create the necessary conditions
for fair and productive competition;
. make investment more attractive, both in the Community and
outside, and generally stimulate saving to provide the necessary
funds for major infrastructure projects;
. have a stabilizing effect on the international monetary system
and discourage the speculation responsible for so much
instability and uncertainty.
In order to achieve this, we must:
. get back on the road to convergence, which will boost growth and
create jobs throughout the Community - a positive sum game;
. provide national policies and business strategies with a
credible, clear and comprehensible perspective and to this end,
make the single market productive;
. strengthen the link between European integration and the
aspirations of ordinary people by pointing out the benefits to be
gained from developing the Community and extending those benefits
to other Euroepan countries, particularly those in eastern and
central Europe, with their enormous potential for growth, which
would benefit us all.
2. The Community as an open and reliable partner in the world
. The Community must keep up its efforts to bring the Uruguay Round
to a swift conclusion with a balanced agreement covering all the
problems now outstanding.
. The agreement must pave the way for the transition of a world
trade organization to reflect the globalization of markets and
business strategies.
. This organization must, without exception, be based on
multilateralism, both in spirit and in practice. The way it
operates must be determined by other economic realities such as
currency movements, capital flows, the need to share the cost of
environmental protection fairly and to deliver the social
progress to which everyone has a right by a gradualist approach
compatible with economic progress.
3. Increased cooperation in the field of research and development
We must:
. aim to devote 3% of Gross National Product to research,
development and innovation (as against 2% at present);
. concentrate Community action on what can complement and enhance
the policies of Member States and businesses; and
. at European level and with the support provided by Community
action, create frameworks for cooperation between businesses to
help them harness innovation and adapt production processes.
4. An efficient network of transport and telecommunications
infrastructure
. Making it easier and cheaper for people, goods and services to
move around will increase the competitiveness of the European
economy.
. Efficient infrastructure networks will be of inestimable value
for regional planning and economic and social cohesion.
. We must give ourselves ten years in which to stimulate the
European industries involved in designing and building these
networks (transport, construction, public works, etc.). An
overall total of ECU 30 billion a year seems to be a realistic
minimum target for expenditure in this field.
5. Common information area: the new technological revolution
. We must aim for a decentralized economy, with a properly trained
workforce and an abundance of small and medium-sized businesses
all cooperating with one another.
. To achieve this, we need to create a "European information
infrastructure" to serve as the real arteries of the economy of
the future and to stimulate the information industry (i.e.
telecommunications, computers, fibre optics, etc.) with the
prospect of abundant supply over a number of years. An initial
investment of ECU 5 billion is required, followed by a ECU 5-8
billion-a-year programme.
. We must also set up European training courses for these new
trades and professions and encourage distance working by computer
(not only for people in the data-processing industry itself but
also for those working in education, medicine, social services,
environmental protection, urban planning ... and those involved
in combating modern-day scourges such as disease, drug abuse and
crime).
6. Profound changes in our education systems
The priorities here are:
. learning how to keep on learning throughout our lives; combining
knowledge with know-how;
. developing each individual's creativity and initiative;
. establishing the right of each individual to lifelong training
(all young people would be given vouchers entitling them to
initial education and/or training later on).
7. Towards a new model of development
. Taking into account the environment will create new jobs.
. Taxing scarce natural resources will make it possible to reduce
excessive taxes on labour, thus enhancing Europe's economic
competitiveness.
. Increases in productivity must be used to improve the quality of
life and create new jobs; this is the dynamic view of work-
sharing: increasing the number of jobs available to cover new
qualitative demands, which provide a large range of still
unexplored, if not unknown possibilities.
8. More active policies towards the labour market
. Priority must be given to providing everyone on the labour market
with a job, activity or useful training.
. Rather than trying to hold back technological and economic
change, we must anticipate it and deal with it in good time.
. The quality and the number of job agencies and similar bodies
must be increased so as to provide effective help to every person
out of work (expenditure needs to rise from 0.1% of Community GDP
to 0.5%).
- - -
ANNEX II
COOPERATION WITH THE ASSOCIATED COUNTRIES
GEARED TO THE OBJECTIVE OF MEMBERSHIP
i) A STRUCTURED RELATIONSHIP WITH THE INSTITUTIONS OF THE EUROPEAN
UNION
With a view to accession and the relevant preparations - and
alongside the bilateral structure of the Europe Agreements -
there will be set up, with the countries of Central and Eastern
Europe linked to the Community by Europe Agreements, a
multilateral framework for a strengthened dialogue and
consultation on matters of common interest.
The framework will involve the holding of meetings between, on
the one hand, the Council of the Union and, on the other hand,
all the associated CCEE on matters of common interest, decided in
advance, arising in the Union's areas of competence, i.e.:
- Community areas, especially with a trans-European dimension,
including energy, environment, transport, science and
technology, etc.;
- Common foreign and security policy;
- Home and judicial affairs.
These meetings will be of an advisory nature. No decisions would
be taken. If conclusions requiring operational implementation
were to emerge, they will be implemented in the appropriate
institutional framework (ordinary Community procedure or
Association Council with each of the associated States).
The meetings will be prepared for internally by the usual
procedures, with the particular aim of establishing, according to
the subjects discussed, the position to be taken. They will also
be the subject of preparatory contacts with the CCEE.
In addition to the application of the general structure for
dialogue set out above, dialogue relating to foreign and security
policy matters will also include the following arrangements:
- Holding of a Troika meeting at the level of Foreign Ministers
and a meeting at the level of political directors during each
Presidency;
- Briefing at Secretariat level after each General Affairs
Council and each meeting of the political directors.
- Holding one Troika meeting at Working Group level:per Presidency
for relevant working groups.
In addition regular Troika consultations with the associated
countries will be held in advance of important meetings in the
UN-General Assembly and the CSCE.
ii) IMPROVING MARKET ACCESS
(a) customs duties on imports to the Community of sensitive basic
industrial products originating in associated countries (Annex IIb to
the Interim Agreements) will be abolished at the end of the second
year after the entry into force of the Agreement (instead of the end
of the fourth year).
(b) customs duties on the imports of the industrial products concerned by
the consolidation of GSP (Annex III to the Interim Agreements) will
be abolished at the end of the third year (instead of the end of the
fifth year).
(c) the amounts of the quotas and the ceilings of the above Annex III
(consolidation of GSP) to be increased by 30% (Poland, the Czech and
Slovak Republics, Bulgaria, Romania), 25% (Hungary) per year starting
from the second half of the second year after the entry into force of
the Agreement (instead of 20% for Poland, Czechoslovakia, Bulgaria,
Romania and 15% for Hungary).
(d) levies/duties within the quotas for agricultural products will be
reduced by 60% six months earlier than foreseen in the Agreements.
The 10% increase in the quotas, foreseen from the third year onwards,
will be applied six months earlier than foreseen.
(e) the exemption from customs duties as from the beginning of 1994 for
products concerned by outward processing operations and covered by
Regulation No 636/82 will be extended in conformity with this
Regulation, duly modified for this purpose.
(f) customs duties on imports into the Community of textile products will
be reduced in order to arrive at their elimination at the end of a
period of five years starting from the entry into force of the
Agreement (instead of six years).
(g) customs duties on imports applicable in the Community on ECSC steel
products originating in associated countries will be abolished at the
latest at the end of the fourth year after the entry into force of
the Agreement (instead of the end of the fifth year), subject to
compliance with specific decisions relating to trade in steel
products.
(h) The Council invites the Commission to effect a study of the
feasibility and impact of cumulation of rules of origin for products
from the associated countries of Central and Eastern Europe and the
EFTA countries and, in the light of the findings, to submit to it
appropriate proposals.
iii) MAKING ASSISTANCE MORE EFFECTIVE
(a) The Community will support the development of infrastructure networks
in Central and Eastern Europe, as decided at its meeting in
Edinburgh. The EIB, the EBRD and the other international financial
Institutions will take the leading role in this process.
(b) The Community will offer technical assistance through the PHARE
programme to prepare and facilitate major infrastructure improvements
in the countries of Central and Eastern Europe. Within existing
budgetary limits, and without distorting the essential character
of PHARE, the Community will also be willing, in response to requests
from Central and Eastern European partners, to provide from PHARE
limited additional funds for capital expenditure resulting from these
technical assistance activities, in specific cases where it is
established that such additional funds are essential, and a necessary
component of projects which are jointly financed by EIB and/or
international financial institutions and beneficiary countries,
- which cannot be privately financed,
- which are of Community interest in particular as defined in
relevant Community texts.
(c) These additional funds shall not exceed 15% of total annual PHARE
commitments.
(d) The Commission will review the use of PHARE resources to support
infrastructure development in Central and Eastern Europe on a
case by case basis. It will take into account the financial
situation of the beneficiary country on the basis of available
analyses; the financial institutions making loans to projects will
carry out their own assessments in the normal way. In each case the
Commission will ensure that there is an adequate local contribution
to project financing to ensure the commitment of the beneficiary
Government to the project.
The Commission will avoid undue concentration of the available PHARE
funds for this purpose on individual recipient countries and will
therefore avoid an unduly large proportion of national programmes
being devoted to this purpose.
Proposals will be submitted to the PHARE management committee in the
normal way.
iv) FURTHERING ECONOMIC INTEGRATION
Approximation of laws: the countries of Central and Eastern Europe
undertook through the Europe Agreements to implement within three
years from their entry into force rules parallel to those in the
Treaty of Rome and to ban restrictive practices, abuse of dominant
positions and public aid which distort or threaten to distort
conditions of competition. In addition, it is particularly
important, from the point of view of accession, that progress should
be made in the other areas covered by the Europe Agreements,
including those relating to the protection of workers, of the
environment and of consumers.
Preparations for accession will also be helped if officials from the
associated countries receive training in Community law and procedure.
The Commission and the relevant administrations in the Member States
will be mobilized to further the approximation of legislation,
including technical assistance for training officials. A task force
of representatives of the Member States and the Commission will be
set up to co-ordinate and direct the work.
The Commission will consider which Community programmes could be
opened to participation by the countries of Central and Eastern
Europe and will submit its proposals to the Council by the end
of 1993.
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ANNEX III
DECLARATION ON BOSNIA-HERZEGOVINA
The European Council reviewed the extremely grave situation in the former
Yugoslavia and the latest negotiations between the parties to the
conflict in Bosnia-Herzegovina on the basis of a report by Lord Owen to
Ministers.
The European Council expresses its full confidence in the Co-chairmen of
the Steering Committee of the International Conference on the Former
Yugoslavia and encourages them to pursue their efforts to promote a fair
and viable settlement acceptable to all three constituent peoples of
Bosnia-Herzegovina. It will not accept a territorial solution dictated by
Serbs and Croats at the expense of the Bosnian Muslims.
The European Council reaffirms its conviction that a negotiated
settlement has to be based on the principles of the London Conference,
reflected in the Vance/Owen Peace Plan, particularly the independence,
sovereignty, and territorial integrity of Bosnia-Herzegovina, the
protection of human rights and the rights of minorities, the
inadmissibility of acquisition of territory by force, the vital need for
humanitarian aid to be provided and reach those in need, the prosecution
of war crimes and breaches of international humanitarian law.
The European Council supports the call of the government of Bosnia-
Herzegovina for an immediate cease-fire. It reaffirms the need for wider
international support for humanitarian aid and for guaranteed safe
passage of convoys.
Speedy implementation of UN Security Council resolutions on safe areas is
an indispensable contribution to the implementation of the objectives
mentioned above. The European Council decided to respond positively to
the request of the UN Secretary General for men and money. It urged
member States to comply with that request within their abilities. At the
same time, it appeals to other members of the international community to
do likewise.
Sanctions will remain in place and will be tightened until conditions for
their lifting set by the United Nations and the European Community have
been met. The Community and its member States will contribute further
resources to their strict enforcement.
- - -
ANNEX IV
Foreign Ministers, meeting on the occasion of the European Council in
Copenhagen on 21 and 22 June 1993, agreed on the following conclusions:
Africa
Europe is Africa's major partner, politically, economically, and with
regard to development cooperation. The European Council underlined the
importance of a continued cooperation based on solidarity.
In 1993 the Community and its Member States have taken a number of steps
towards deeper and wider cooperation with Africa. The European Council
stressed the importance of further expansion of co-operation in
democratization, peaceful development and development assistance.
The Community and its Member States are committed to supporting the
democratization process which is gaining momentum in Africa, including
support for good governance, sound economic management and respect for
human rights. The European Council recalled the resolution adopted by the
Council (Development) on 28 November 1991 on human rights, democracy and
development.
The Community and its Member States have engaged themselves actively in
supporting the election process in a number of African countries. They
will continue their efforts to coordinate this assistance to ensure that
all African countries in a transitional process towards democracy are
offered the necessary support and attention.
The successful referendum on the independence of Eritrea after 30 years
of civil war has raised hopes that conflicts in Africa can be solved in a
peaceful manner.
The European Council welcomed the increasing engagement by African
countries in solving crises and armed conflicts, as seen recently in a
number of cases. The European Council also hoped that Heads of State of
OAU at their forthcoming Cairo summit will address the important question
of conflict prevention and resolution. A useful contact with the OAU was
established during the visit to Copenhagen in June of the Secretary
General of this organization.
The Community and its Member States have further strengthened development
cooperation with Africa. The Lomé Convention forms an important element
in this cooperation. Effectiveness and speed in the implementation of the
European Development Fund is increasing to the benefit of all parties.
Development Ministers have agreed on a special rehabilitation initiative
for Africa. At least 100 million ecu will be allocated immediately to
fast track rehabilitation programmes in selected sub-Saharan countries.
The Council of Ministers is examining a further special rehabilitation
programme for developing countries.
South Africa
The European Council welcomed the recent major progress in the
negotiation process in South Africa. The European Council hoped that the
parties will reach an agreement in the very near future that will set
South Africa firmly on the road towards democracy.
The establishment of a Transitional Executive Council will be a further
step in the normalization and strengthening of political and economic
relations between the Community and its Member States and South Africa.
The European Council reaffirmed its commitment to contribute to the
economic and social development of the new South Africa. Reconstruction
and sustainable economic growth will only come about in a democratic and
non-violent environment. Therefore the Community and its Member States
stand prepared to provide support to the first free elections foreseen in
April 1994, including election observers, as well as to strengthen their
assistance to the democratization process and the efforts to curb
violence.
Sudan
The European Council expressed its concern with the continued civil war
in Sudan between the government in Khartoum and the SPLA-factions in the
south. Some 500,000 people have already died and many more have been
displaced. The Abuja-talks between the parties have made little progress
towards a solution. There is also serious concern for the human rights
situation in Sudan including repression of civil society in northern
Sudan by the government, killings, arrests and torture by government
forces in the war zones and killings, arrests and executions by rebel
forces. It urges the government of Sudan not to support activities which
go against a constructive relationship with the Community and its Member
States.
The European Council welcomed the increased attention which the
international community is now directing to the humanitarian catastrophe
unfolding in the country. An EC Troika mission of Development Ministers
is currently visiting the Sudan to underline the seriousness with which
the Community and its Member States view the humanitarian crisis and the
urgent need for all parties to ensure a resolution of the problems.
Following the report from the mission, the Community and its Member
States will consider how they can best contribute further to an
alleviation of the plight of the Sudanese people including restoration of
respect for human rights.
Somalia
The European Council welcomed the major efforts of the United Nations to
contribute to the restoration of peace and security, to reconciliation
and political settlement in Somalia and to prevent another human
catastrophe. To this end, disarmament of factions and restoration of law
and order are important goals. Heads of State and Government condemned
the attack perpetrated on Pakistani UN soldiers which resulted in the
deaths of 23 of them and the wounding of many more. Those responsible
must be brought to justice. They also regretted all civilian casualties
and extended their sympathy to all those affected by these tragic events.
The European Council called on all parties to comply fully with Security
Council resolutions.
Angola
The European Council deeply regretted the suspension of the negotiations
between the Angolan Government and UNITA, and UNITA's continued efforts
to seize additional territory through military power. The European
Council expressed its full support for the Security Council's Resolution
834 of 1 June 1993, in which the actions of UNITA were strongly condemned
and an appeal was made to both parties for a return as soon as possible
to the negotiating table and for the re-establishment of the ceasefire.
The European Council reaffirmed that in order to solve the present crisis
a peaceful solution must be found based on national reconciliation and on
the principles of the peace agreement. The European Council was extremely
concerned with the humanitarian situation in Angola. It calls upon UNITA
to accept the UN plan for humanitarian relief. The Community and its
Member States commited themselves to respond to the UN appeal for
assistance following the Donors' Conference of 3 June.
Mozambique
The European Council regretted the serious delays in the peace process in
Mozambique. While it is heartening that the ceasefire is holding, it is
most disappointing that not much progress has been made in implementation
of the peace agreement. The European Council called upon the government
of Mozambique and Renamo to live up to the undertakings entered into when
the peace agreement was signed. Furthermore, the Community and its Member
States restated their commitment to contribute to the rehabilitation and
economic and social development of Mozambique.
Liberia
The European Council deplored the recent senseless killings of civilians
in Liberia. The killings underline the urgent need to find a political
solution to the crisis. The Community and its Member States reaffirmed
their belief that the Yamoussoukro IV Accord is the best possible
framework for such a peaceful resolution of the Liberian conflict, and
they urged all parties to support the efforts of UN and the OAU special
representatives to bring a peaceful end to the civil war.
Malawi
The European Council welcomed the peaceful and efficient conduct of the
referendum in Malawi on 14 June, including the substantial improvement in
the conditions for the final stages of the campaigning period. The
Community and its Member States are convinced that the outcome fairly
reflects the views of the Malawi people. They urged Malawi's political
leaders to work closely together in the new circumstances to safeguard
human rights, promote democracy and to deal with outstanding governance
issues, thus opening the way to the resumption of full economic
cooperation.
Zaire
The European Council reiterated its support for the process of national
reconciliation and wished to express its concern at the deterioration of
the situation in Zaire, which is marked by a halt to the democratization
process and by repeated infringements of human rights, notably the
arbitrary arrest and detention of persons for crimes of opinion.
The European Council also denounced any incitement to ethnic hatred as
reflected in political violence and excesses in certain regions of the
country, which are causing massive displacements of people. The European
Council reaffirmed its support to the President of the High Council of
the Republic and urged him to continue his efforts.
Nigeria
The European Council took note, with great concern, of recent
developments in Nigeria which could place in question the transition to
civil rule after successful presidential elections on 12 June. The
European Council expressed the hope that the transition to civil rule
will be allowed to continue so that full democracy can be introduced in
Africa's largest nation without delay.
Middle East
The European Council welcomed the resumption of the bilateral talks aimed
at a just, lasting and comprehensive settlement of the Arab-Israeli
conflict and the Palestinian question. It urged all parties concerned to
build on the results already achieved and to press ahead with substantive
negotiations in a spirit of good will and compromise.
The European Council once more called on all parties concerned to refrain
from all actions which could undermine the peace process. It remained
convinced that the confidence-building measures suggested by the
Community and its Member States and significant improvements on the
ground, including of the human rights situation, would be instrumental in
moving the peace process towards a successful conclusion.
In accordance with their well-known positions of principle, the Community
and its Member States will continue to play an active, constructive and
balanced part in the Middle East peace process, in both its bilateral and
multilateral aspects. They commended the untiring efforts of the co-
sponsors to move the process forward and are prepared to participate in
international arrangements in support of a peace settlement.
Central America
The European Council noted with satisfaction the progress made in Central
America to attain peace, dialogue and reconciliation as well as the
achievements in the consolidation of democracy and regional integration.
In this context, the European Council welcomed progress in the
implementation of the El Salvador peace agreements and called on the
signatories to fulfil all the remaining commitments, including the
recommendations of the Ad Hoc Commission and the Truth Commission, in
order to complete the peace process and achieve national reconciliation.
The European Council expressed its satisfaction at the peaceful and
constitutional outcome of the recent crisis in Guatemala and hopes that
the appointment of a new constitutional president will contribute to the
strengthening of the democratic institutions, the full respect of human
rights and fundamental freedoms and the resumption of the peace
negotiations.
The European Council also welcomed the signing in San Salvador of the
Cooperation Agreement between the European Community and the countries of
the Central American Isthmus which will contribute to intensify and
further increase their mutual cooperation.
Cambodia
The European Council welcomed the holding of elections in Cambodia -
thanks to the support of the United Nations - which have demonstrated the
aspirations of the Cambodian people towards peace and democracy.
It noted the decision by the Constituent Assembly confirming Prince
Norodom Sihanouk at the head of the State of Cambodia. It expressed the
hope that the peace process may be concluded in the best possible
conditions with the adoption within three months of a Constitution and
the early formation of a government which will allow national
reconciliation to begin.
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