The European Council in 2014 - Council of the European Union

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The European Council in 2014
ISBN 978-92-824-4829-8
ISSN 2363-2828
doi:10.2860/08818
FEBRUARY 2015
The European Council in 2014
FEBRUARY 2015
This publication is produced by the General Secretariat of the Council.
www.consilium.europa.eu
Luxembourg: Publications Office of the European Union, 2015
ISBN 978-92-824-4829-8
ISSN 2363-2828
doi:10.2860/08818
© European Union, 2015
Reuse is authorised provided the source is acknowledged.
Table of contents
The European Council in 2014, by the Presidents of the European Council
Taking up the challenge
Donald Tusk, in office since 1 December 2014
A sense of purpose 5
Looking ahead 7
A focus on results
Herman Van Rompuy, in office until 30 November 2014
Together, steering a course
Strengthening our economies
9
10
The Union in the world 13
Working on climate and energy
New leaders and a strategic agenda for times of change
Conclusions of the European Council
and statements by Heads of State or Government
17
20
27
3
The European Council, December 2014
4
Taking up the challenge
Donald Tusk
A sense of
purpose
On 1 December 2014, I arrived in Brussels from
Warsaw to take up the presidency of the European
Council. For the Union’s institutions, it was the final
act of a season of political renewal that had started
with the European elections. For me personally, it was
the beginning of a new life, a great honour and a great
challenge.
It was and still is my conviction that, in these difficult
times, the European Union must succeed, now more
than ever. Presidents and Prime Ministers, united in the
European Council, must contribute decisively to that. To
me, success for the Union today means four things. First,
we must be clear about our fundamental values: solidarity,
freedom and human dignity, including the right to live free
from fear. That also means fighting the enemies of these
values – whoever and wherever they are.
Second, we need strong determination to end
the economic crisis, and especially to bring down
unemployment. It is also our responsibility to create a
genuine Economic and Monetary Union – a task I take
very seriously. We must continue the work to make our
common currency, the euro, robust.
Third, the European Union must be strong
internationally. We will support those in the
neighbourhood who share our values. The Union will
not close its eyes when borders on our continent are
changed by force. We have stood united on this issue
and will continue to do so. Only unity can bring us
results here.
Lastly, the relations between Europe and the United
States are a cornerstone of our prosperity and freedom.
I believe one of the most important challenges is to
make progress in the negotiations on the Transatlantic
Trade and Investment Partnership. Europe and America
should make every effort to conclude negotiations by
the end of 2015.
In each of these endeavours, all the European
institutions must work together for the common good,
while respecting the role each is here to play. We will
conquer the challenges facing us with energy and
optimism, or not at all. Certainly, no European nation,
no single state, can conquer them alone. For my part,
I pledged to colleagues to use all the skills I have to keep
the work of the European Council results-oriented and
focused on what really matters. We must all maintain the
clarity of that strong sense of purpose.
The December summit
It is a truism that to defend everything is to defend
nothing. If you have ten priorities, you have none. That
is why, for the 18 December meeting of the European
Council, the first during my presidency, I invited heads
of government to focus on just two crucially important
issues which need our immediate attention. These
were injecting investment into the European economy
and the situation at our Eastern borders with Ukraine
and Russia. As a little break with a long-standing
practice, I turned the summit into a one-day event.
We also succeeded in keeping the European Council’s
conclusions unusually short and very focussed. For me,
brevity encourages accountability.
We discussed and agreed the plan to establish a
European Fund for Strategic Investment, which
Commission President Juncker had outlined shortly
after taking office. At our meeting, leaders gave their
support and set a firm timeline. Meanwhile, the
Commission has presented its proposal in all legislative
detail and now it is for the Council and the European
Parliament to ensure that the Fund is ready by June.
55
The aim is to generate a new wave of investment in
the European economy. The European Investment
Bank can already start signing off the first projects as of
January 2015. Leaders are of course all aware there is no
economic Philosopher’s Stone that holds the answer to
our current situation. Real recovery will require constant
work, new ideas and drive on all fronts. In this respect,
the investment plan complements the European Union’s
economic strategy based on sound public finances and
structural reforms.
Regarding the situation in Ukraine and in Russia, leaders
had a frank strategic exchange. On sanctions, we agreed
Donald Tusk opening the European Council meeting, December 2014
6
that the best thing for now is to stay the course. We will
decide the next steps in March. Meanwhile, we will
support Ukraine and its government, also financially.
Members of the European Council are all convinced
that helping the ‘new Ukraine’ is also good for our own
future. That is why we discussed more financial aid for
Ukraine. Shortly after the summit, the Commission
proposed lending a further 1.8 billion euros to Ukraine.
Leaders also welcomed the intention to increase
humanitarian aid. Ukrainians must know and see that
Europe is with them. Looking
ahead
In the year ahead, the economy will remain a top
concern. All EU countries and the Union’s institutions
must do everything in their power to accelerate the
economic recovery. The crisis in and around Ukraine
will continue to require our utmost attention, as will
events in the wider region around us, especially in the
South.
At the December meeting, I took the opportunity to
set out a clear agenda for 2015. In February, leaders
will discuss ways to improve governance in our
Economic and Monetary Union. In March we will
discuss the energy union; we will also discuss our
approach towards Russia and Ukraine and prepare
the May Eastern Partnership Summit in Riga. In June,
we will take decisions on the digital single market,
review the Investment Fund and look again at the issue
of tax avoidance. We will also prepare a number of
international meetings and summits.
In the meantime, dramatic events forced their way onto
the political agenda. The horrible Paris attacks at the
beginning of 2015 shocked France and our Union as a
whole. After consulting with the French President,
I decided that, when they meet in February, the leaders
will address the challenge posed by these attacks.
We will also come back to the situation in Ukraine.
Events shape politics just as much as pre-conceived
plans, so the agenda I have set out above will no doubt
continue to develop throughout 2015.
The main part of this publication looks back at the year
behind us. As politicians, we cannot build a bridge to
the future without knowing where we are coming from.
Certainly when political events succeed each other
with breath-taking speed – as currently on Ukraine or
previously with the euro – it is essential to refresh our
memories and keep a sense of proportion.
I pay tribute to my predecessor, Herman Van Rompuy,
for having successfully steered the European Union
through an unprecedented storm, and also for
everything which I have learned by watching him
from the other side of the table, when I was one of the
European Council’s members. Here I gratefully leave it
to him, as our President in office until 30 November, to
share his take on the institution’s work in 2014 – and
how it shaped the challenges we are dealing with today.
DONALD TUSK
7
Handover ceremony between outgoing President Herman Van Rompuy and incoming President Donald Tusk
8
A focus on results
Herman Van Rompuy
Together, steering
a course
For Europe, 2014 was not only a year of political
renewal; it also brought a test of endurance and
determination. After the return of financial stability
in late 2012, the way towards economic recovery and
job creation proved longer than many had hoped
or expected. Violent turmoil in our immediate
neighbourhood and in the wider Middle East forced a
rethink of our security. In such circumstances, citizens
expect a clear sense of direction. Among the other EU
institutions, the European Council has fully played its
part in steering a new common course.
The European Council in 2014 covers the institution’s
activities in the past year. Throughout the year, we
continued work on strengthening our economies, with a
focus on economic reforms, sound budgets and futureoriented investment. Alongside other international
developments, the dramatic events in Ukraine were at
the top of the leaders’ agenda. We also secured a deal on
climate and energy, set the European Union’s strategic
priorities for the next five years and – after the May 2014
European elections – chose a new leadership team for
the Union.
The European Council brings the European Union’s
top leaders around the table: the 28 Heads of State or
Government, the President of the Commission and
the President of the European Council. We establish
political priorities and take responsibility in crisis
situations. The EU High Representative participates in
all foreign affairs discussions, the head of the European
Central Bank regularly joins us on economic matters
and exceptionally we have other guests.
special meetings, plus a Eurozone summit following
the October meeting. In the course of the year,
we welcomed new (or returning) colleagues, and
said goodbye to former ones, following changes of
government in Belgium, Bulgaria, the Czech Republic,
Estonia, Finland, Poland, Slovenia and Sweden; changes
of the heads of the European Commission and of our
own institution completed the picture.
The European Council is a fleeting society. Heads
of government come and go. The club’s variable
composition makes for quite a difference from a national
government, where you share a journey over four or five
years with the same team. In my five years as President,
I have seen 69 different Presidents and Prime Ministers
around the table. That is why building confidence is a
constant process; from day one, I have considered it my
‘core business’. Trust is a precondition for taking joint
decisions.
As I said to leaders in my farewell speech at the October
summit, I have always tried to act on behalf of the
European interest. It is more than the sum of twentyeight national interests, but it also is this sum. Each time
we had to agree, with twenty-eight. Not always in one
go, and sometimes with a bit of pulling and shoving. But
together, during these past five years, we have shown
what might seem implausible: that a Union with twentyeight countries can and does work.
The first eleven months of 2014 have shown many
examples of such strong decisions, of Europe’s hidden
force – and with Donald Tusk at the helm of our
institution, so will, no doubt, the years ahead of us.
In 2014, the European Council held four formal
meetings (including the one in December chaired by
my successor Donald Tusk), two informal and two
99
Strengthening
our economies
Early in 2014, following the turmoil of the previous
years, there were signs of economic recovery but it was
– as we took care to underline each time in public –
‘weak, fragile and uneven’. All members of the European
Council were keen to use our meetings to accelerate the
recovery and strengthen our economies. We did so by
bringing everybody’s national efforts and the Union’s
tools together in a series of meetings (which we had
already started in 2013) dedicated to improving our
competitiveness and stimulating job creation.
For the March European Council, I had put industry on
the agenda. We stressed that, far from being outdated,
industry is an area which is re-inventing itself and that
we need to re-invest. Industry represents 25% of private
sector jobs, generating many more in services – and as
colleagues emphasised, more industrial jobs could and
should be re-shored to Europe. In our conclusions, we
pushed in particular for stronger European cooperation
on development of key enabling technologies, such as
batteries for electric cars or smart bio-materials; and also
for greater involvement of industry in education and
training, to address visible shortages in key skills such as
science, maths and engineering.
In March, we also achieved a breakthrough in the fight
against tax fraud and tax evasion. In technical terms,
the European Council agreed to adopt the revised
directive on taxation of savings income – after no less
than six years of negotiations among EU governments.
In political terms, we kept our promise of May 2013 and
showed strong, unanimous commitment to the global
fight against tax evasion. Fighting tax evasion is not just
a matter of public finances, it is also a matter of fairness
and social justice.
10
In June, we agreed a strategic agenda for the five years
ahead (more on which below), with, on the economy,
a strong focus on jobs, growth and competitiveness.
During the same meeting, as part of the annual
economic policy cycle, we also had an exchange on a
well-known dilemma: how to balance fiscal discipline
with the need to support growth? There was a wide
consensus that countries simultaneously need to
continue with reform and fiscal consolidation (in a
growth-friendly and differentiated manner) and to carry
out the investments needed for the future. Both are
essential for a healthy economy. The European Council
concluded that we are all committed to the Stability and
Growth Pact and that it is a matter of making best use of
the flexibility that is built into the existing fiscal rules.
Late summer blues
During the summer, incoming economic data
confirmed that the recovery remained weak, inflation
exceptionally low and unemployment unacceptably
high. This was and is particularly true in the euro area. At
a special meeting on 30 August on other urgent matters,
the European Council seized the occasion to put more
pressure on economic work ongoing at ministerial level.
We also decided to hold a euro summit in October and
– at the initiative of the Italian government – to gather
for a conference on youth unemployment. During the
autumn, a consensus grew around the need for more
investment in Europe, a topic which fell to my successor
to deal with at the December European Council.
Discussions at the European Council
1111
The youth employment summit took place on
8 October in Milan. Clearly, holding a conference does
not in itself solve a problem but it helps to keep up the
pace in tackling it. The Milan meeting provided a good
opportunity to take stock and re-focus efforts in the
fight against unemployment. It struck me how leaders,
whatever their own underlying analysis, converged
around three points that stood out as necessary to tackle
the issue.
First, shifting taxes away from labour. Potentially, here
lies the single most important boost to employment.
The constant pressure from the European Council
and the Commission on this issue is starting to bear
fruit. Second, making our labour markets more flexible.
Flexibility does not mean simply cutting wages or jobs;
it means offering businesses and workers more freedom
to decide how best to adapt to market conditions in
line with our social models. Third, overcoming the
growing divide on the labour market between ‘insiders’
and ‘outsiders’; in other words, between those who are
protected and those with the temporary, unprotected
jobs – mainly women, young people and unskilled
12
migrant workers. Several members of the European
Council have implemented important reforms in their
country in this respect.
Completing the monetary union
In 2014, the European Council kept a close eye on the
development of the Economic and Monetary Union,
but did not have to step in decisively itself. After our firefighting of 2010-2012 and the forward-looking exercise
of 2012-2013, the work on Eurozone matters was less
intense this year. In March, we welcomed the agreement
on the last unresolved details of the Single Resolution
Mechanism, a deal which finance ministers reached – as
often happens when difficult issues have to be settled
– just hours before leaders met in Brussels. It was an
important step toward the completion of the banking
union, which was formally launched on 1 November
with the start of the Single Supervisory Mechanism. In
October, we agreed that the improvement of economic
policy coordination – the other main element of
unfinished business – must continue in 2015.
The Union
in the world
The year 2014 brought the gravest challenge to security
at Europe’s borders in a long time. Russia’s invasion and
subsequent annexation of Crimea, followed by dramatic
events in eastern Ukraine (still continuing at the time
of writing), upset the continental security order we
have known since the end of the Cold War. This was a
matter for the leaders to deal with. During the course
of the year, the European Council steered the Union’s
action, both towards Ukraine and towards Russia. But
we addressed other serious foreign policy challenges too,
not least the situation in the Middle East.
After Crimea
At the New Year in 2014, nobody on either side had
expected that the popular protests at Maidan square in
Kiev would withstand weeks of cold and repression. But
they did. When the Commission President and I met
President Putin in late January in Brussels for the regular
EU-Russia summit, there obviously were tensions, but
they did not yet seem insurmountable. A month later,
Crimea changed everything.
After the invasion of the peninsula, I called an
extraordinary meeting of the European Union’s heads of
state or government on 6 March. (It was only the second
such emergency summit on a foreign crisis on my
watch, after the summit on Libya in 2011.) At the start
of the meeting, Prime Minister Yatseniuk of Ukraine
gave a powerful, sobering account of the situation in his
country. While we were in session, the first news reports
about an upcoming referendum in Crimea, in clear
breach of the Ukrainian constitution, started to come in.
This further strengthened our resolve.
At this meeting on 6 March, the European Council
strongly condemned Russia’s unprovoked violation of
Ukrainian sovereignty and territorial integrity and called
on Moscow to immediately withdraw its armed forces.
Leaders set the parameters of the European response to
Russia by agreeing a three-step approach. De-escalation
was the watchword. The first step, agreed on the spot,
consisted of political measures: suspending bilateral
talks with Russia, for instance on visa access; support
for the decision by European members to suspend their
participation in the G8 summit (scheduled for June
in Sochi). The second step, to be set in motion if the
situation did not improve rapidly, consisted of additional
measures, such as travel bans on individuals, asset freezes
and the cancellation of the EU-Russia summit. The
third and final step would consist of substantive economic
sanctions (‘additional and far-reaching consequences
for relations in a broad range of economic areas’); this
heaviest type of response would follow steps by Russia to
further destabilise the situation. These were the parameters
determining our responses throughout the year.
As regards Ukraine too, the 6 March meeting set the
course for Europe’s response: we gave the country
our political support, reiterating our commitment to
signing the Association Agreement before the Ukrainian
elections on 25 May. We also committed to financial
support, by helping restore macro-economic stability
and by agreeing to special trade measures that would
unilaterally benefit the Ukrainian side – issues on which
the European Commission worked hard. To foster
democratic change, support was not unconditional:
from the start, we stressed the need for free and fair
elections, constitutional reform and the investigations
of acts of violence; we also underlined the need for the
government to be inclusive towards all regions, people
and minorities, as well as to fight corruption and to
launch wider economic reforms.
1313
During all subsequent European Council meetings we
discussed the Ukraine situation. At our regular spring
meeting, following the illegal referendum in Crimea, we
confirmed entering stage two of the sanctions, cancelling
bilateral summits and adding twelve persons to the list
of individuals subject to a visa ban and asset freeze. We
also signed the political provisions of the Association
Agreement with Ukraine. At the June meeting, after
an exchange with new President Petro Poroshenko, we
supported his peace plan to end military hostilities in
eastern Ukraine. In a moving ceremony, we also signed
the remaining parts of the Association Agreement with
Ukraine as well as those with Georgia and Moldova –
far-reaching bilateral agreements with a strong economic
and geopolitical impact. On 16 July, at a special
European Council meeting convened for other matters,
while the situation in eastern Ukraine was deteriorating,
we adopted more severe sanctions, for instance putting a
stop to EU public money flowing into Russia and further
restricting investment in Crimea.
A second game-changer
The downing of the Malaysian airplane MH-17 above
eastern Ukraine, on 17 July, was the second gamechanger in this crisis – after the invasion of Crimea. The
launching of stage three of our sanctions: broad-ranging
economic sanctions, now became necessary. Gone
was the spring debate about their timing, breadth and
effectiveness: it was beyond doubt that we needed to
step up our response. Following intense contacts, leaders
all instructed their EU ambassadors to take this decision,
in late July. But the situation deteriorated still further,
with the outbreak of intense combat and flows of fighters
and arms coming from Russia into eastern Ukraine.
At our 30 August meeting, we agreed that all efforts
14
had to be directed at stopping the bloodshed. A peace
plan was signed in Minsk on 5 September, but to date
it has not yet been fully implemented despite repeated
admonitions to Russia’s leadership.
Almost a year after the escalation started, the lessons
are clear. As I said to the UN General Assembly in
September: “When you tamper with borders, you
tamper with peace.”
Summitry
The emergency to our East also formed the backdrop to
many international meetings with our partners across
the globe. A major highlight was on 4-5 June, when the
European Union hosted its first ever G7 summit – a
consequence of the cancellation of the Sochi G8. It was
an important confirmation of the Union’s newly-won
diplomatic status, and a very special meeting indeed.
We covered all regular issues (the global economy,
trade, energy and climate, development) and of course:
Ukraine. The meeting nicely illustrated the way in which
the members of the G7 and of the European Union
have stood united in their response to the crisis, both in
reacting to acts of Russian aggression and in developing
a positive agenda of de-escalation and stabilisation.
There were other moments when Brussels operated
as a global diplomatic hub, not least during the spring.
In late March, we convened with President Obama for
the regular summit between the United States and the
European Union. A week later, we hosted the EU-Africa
summit, a productive meeting and an unprecedented
logistical challenge, with as many as 70 heads of state or
government present in the Council building. During the
same period, the Chinese President, too, visited the EU
institutions, and not long afterwards we hosted a summit
Summits and meetings with third countries
15
with Japan. In October, we held the biannual summit
between European and Asian leaders (ASEM) in
Milan; in the margins, a widely covered but inconclusive
meeting took place between the Europeans and the
President of Russia.
During the summer, the situation also took a turn for
the worse in the Middle East – in Libya, in Gaza but
in particular in Iraq and in Syria. At the 30 August
European Council meeting, leaders declared that they
were appalled at the atrocities committed by the ‘Islamic
State’ or ISIS; they requested foreign ministers to look
into means to deprive ISIS of the benefits of illegal oil
revenues. Concerned by the numbers of young men and
women from our own countries travelling to the region,
leaders declared combatting radicalisation at home a top
priority. We therefore agreed to accelerate measures to
stop the flow of foreign fighters – a topic also put on the
agenda of the UN Security Council a few weeks later, a
memorable meeting chaired by President Obama.
The Ebola epidemic which struck Liberia, Sierra Leona
and Guinea was another dramatic development in the
neighbourhood requiring attention. At the October
meeting, we pledged 1 billion euros for the fight against
this modern plague (the sum of funding provided by
EU member states and the Union’s institutions). Beyond
funding, Europe agreed to better support the West
African countries at the heart of the crisis with medical
expertise and support staff. By the start of 2015, the
situation seemed to be getting under control.
Herman Van Rompuy’s visit to the Maidan in Kyiv, Ukraine
16
Working on climate
and energy
Energy has loomed very high on the agenda over the
past year. It was partly a consequence of the instability in
Ukraine, and partly since we had to clinch a European
climate and energy deal in view of the upcoming UN
negotiations on global warming. That agreement was to
my mind one of the Union’s crucial successes of 2014,
confirming that we are firmly set on the path towards a
low-carbon economy.
The issue of energy is always at the centre of attention
of Presidents and Prime Ministers. Energy prices matter
to consumers and industries, clean energy is crucial
in the fight against climate change, and, clearly, energy
has geopolitical ramifications too. Without decisive
action, in twenty years’ time our countries will depend
on imports for up to 80% of our oil and gas, with a large
share coming from one supplier – something which
does not help our security.
In recent years, the European Council had already held
a number of dedicated sessions on energy – for instance
in February 2011 and May 2013. Last year it featured on
the agenda of three sessions, in March, June and October,
during which much of the previous work paid off.
An energy union
In March, our discussion focused primarily on how to
reduce our high energy dependency (a theme which
even gained in relevance in the context of the Ukraine
situation) and on how to keep energy prices in check (an
issue that has lost some of its salience since, thanks to
rapidly falling oil-prices).
Around the table there was a strong sense that we need a
new way to do energy business, to work more as a team
when we negotiate contracts; share more information;
and have greater transparency on contract conditions.
All of this would increase our joint bargaining power. As
I said in my concluding press conference to that summit:
“Europe was first built as a community for coal and steel.
Sixty-four years later, and in new circumstances, it is clear
we need to be moving towards an energy union.”
With this new determination to ensure energy security,
we agreed in June on strengthening our rapid reaction
mechanisms – contingency plans, cross-border
infrastructure and storage capacity. We also intensified
cooperation with our neighbours in the Balkans
and to the East. In October, the European Council
took concrete decisions to speed up the work on
interconnections and on information sharing - all steps
toward the same goal.
17
First semester of 2014, with Greece holding the rotating presidency of the Council of ministers of the EU
Clinching a deal
But that was far from all. Last year we also decided on a
renewed climate and energy framework for the period
until 2030. In a kick-off discussion back in March, we
set ourselves the deadline for an EU deal “no later than
October 2014”. To my satisfaction, and to the surprise
of many observers, we kept that promise. The deal
allows Europe to set the tone in the next round of the
international climate negotiations, ahead of the UN
Paris summit in late 2015. Its importance should not be
underestimated: it is the basis for the long-term energy
transition, to the benefit of Europe’s energy resilience
and security.
18
It was a carefully prepared and at times highly complex
negotiation. In October, despite an hour-long suspense
during the final night of the negotiations, leaders agreed
four headline targets. All work in the same direction – to
provide energy that is greener, more secure and more
affordable.
First, the climate target: a domestic reduction of at least
40% of greenhouse gas emissions by 2030. This figure,
which refers to 1990 levels, is binding. About half of
the new effort will be made within the EU Emissions
Trading System – in our energy and industry sectors.
Here, we made sure that neither our international
competitiveness nor European jobs will be jeopardised
by our green ambition. The other half of the effort will
be made in the other sectors, via mechanisms which
make our collective effort as cost-effective as possible.
Second semester of 2014, with Italy holding the rotating presidency of the Council of ministers of the EU
Immediately after this deal on greenhouse gas emissions,
UN Secretary-General Ban Ki-moon saluted the
European Union’s “continued global leadership”; our
climate goal was held up as an example to other leading
players.
Second target: clean energy. We committed to at least
27% of renewables in 2030. The figure refers to a share
of total energy consumed (almost doubling renewables’
current share) and the target is binding at EU level.
Third target: energy savings. We committed to an
increase of at least 27% in energy efficiency. This figure
is indicative – just as in the previous programme –
and compares to 2030 projections based on current
consumption and technology. It will be reviewed by
2020, with a view to achieving 30%.
The fourth and final target: linking energy networks.
Interconnections help match supply and demand
across borders and are also an insurance in case of local
disruptions. The objective is to realise concrete projects,
across Europe, to secure supplies of gas and to have
electricity interconnections representing 15% of total
supply by 2030.
Such concrete projects are the best way to truly build an
Energy Union – a project that I know is dear to the heart
of my successor too.
1919
New leaders and a strategic
agenda for times of change
In a series of summits between May and August, leaders
took stock of the European Parliament elections and
decided on the EU’s new leadership team. We also
agreed on a strategic agenda for the European Union for
the five years ahead.
After the elections
The European elections took place from 22 to 25 May,
and I convened a special meeting on 27 May for a first
exchange about the way forward. Of course the election
results differed in every country, with a mix of continuity
and change, but overall voters sent a strong message,
which was at the heart of our discussion.
The European Council’s first task was to propose
a candidate for President of the Commission to
the European Parliament, “taking into account the
elections (…) and after having held the appropriate
consultations” (as the Treaty says). At the May meeting,
European Council members mandated me to consult
with Parliament’s political group leaders. Many
parliamentary voices had already indicated during the
election campaign that they could only imagine being
presented with the candidate of the winning party – the
European People’s Party. At our regular meeting in late
June, following the extensive soundings I had had in the
meantime, the European Council adopted the decision
to propose Jean-Claude Juncker as Commission
Inauguration of the Peace Bench by the members of the European Council at the Menin Gate in Ypres
20
President. We did so after a formal vote by qualified
majority; apart from the United Kingdom and Hungary,
all voted in favour. Importantly, the candidate’s electoral
programme was close to the political priorities for the
Union which the European Council had set the evening
before (see below). Three weeks later, the Parliament
gave Jean-Claude Juncker its confidence.
On 30 August, we settled the other top nominations.
We did so after an interim discussion on 16 July and
after I had spoken a number of times to every European
Council colleague to make sure we made the right
decision with the support of all. So I was very pleased
to be able to announce to the press the names of Polish
Prime Minister Donald Tusk as future European
Council President, and of Italian foreign minister
Federica Mogherini as our new High Representative for
Foreign Affairs and Security Policy. In the meantime,
they have both taken up their new responsibilities with
great poise and vigour.
At the Menin Gate
In June, we exceptionally met outside Brussels, in Ypres,
close to the ‘Flanders Fields’ where so many thousands
died in the First World War. Before that meeting, we
held at my invitation a commemoration at the Menin
Gate, which was even more poignant than I had
21
Herman Van Rompuy with Federica Mogherini and Donald Tusk,
newly appointed EU High Representative and President of the European Council respectively
imagined. The emotion and sense of history remained
present throughout the evening, while we identified and
agreed on five priorities that will shape the European
agenda for the next five years.
dimension and eager to show that together, as a Union,
we can deliver results that matter for people.
In a nutshell, the five priorities we agreed in the town
hall of Ypres are:
Sometimes it is important to take a step back
from immediate decision-taking and look at the
fundamentals. This is certainly true when it comes to
citizens’ appreciation of the Union’s work and value. It
seems people today see the European Union as a reason
they feel powerless and without a say, whereas it was
precisely built to make them stronger and regain a grip
on their own history. One way to understand this public
disenchantment better – as I set out in May 2014 in
my Charlemagne speech in Aachen – is to see how our
Union is above all experienced by people as a space and
hardly ever as a place.
•
stronger economies with more jobs
•
enabling societies to empower and protect all citizens
•
a secure energy and climate future
•
a trusted area of fundamental freedoms
•
effective joint action in the world.
On all these five points, we indicated concrete actions
that should be taken. However, the European Council’s
main purpose was not to go into details, but to set the
direction for the legislative work in the next five years;
to achieve what people expect Europe to do. These five
priorities must guide the action and planning of the EU
institutions in the years ahead, and it is important that all
institutions organise their work accordingly.
This looking-ahead exercise came at a very specific
moment: not only at the start of a new five-year cycle,
but also as our countries are slowly emerging from what
for many of them was the worst economic crisis in a
generation, and as public disenchantment with politics
has spread. Leaders were all keenly aware of this double
22
Europe: a space or a place?
Space and place are really not the same thing. A place
brings protection, stability and belonging. It is a home somewhere where people feel at home. A space on the
other hand opens up movement and possibilities. It is
about direction, speed and time. As human beings, we
need both. A space in which to fly, and a nest we can call
ours. Human beings are very simple creatures!
With Europe, our focus has always been on space. Just
think about it. From the very start, the typical action
was to remove borders, for goods, workers, investment,
to let people and companies move, take initiatives,
seize opportunities. Even today – in fields as diverse as
Jean-Claude Juncker, newly appointed President of the European Commission, and Herman Van Rompuy, July 2014
energy, telecoms or the digital economy – it is still about
opening borders, creating this big common space. But
we’ve never really thought of Europe as a home, a shelter,
and today we are paying a price for it.
For decades it worked well. The open borders brought
huge opportunities, for working, trading, studying
abroad. And the impact of all the opening was mostly
cushioned – by economic growth, and by the welfare
states, set up in parallel. Crucially, the division of labour
through all these years was that Europe opened, and
national governments protected. Nobody expected
otherwise. But things have changed. Globalisation has
put the welfare states under strain. The crisis has forced
European Union institutions into a new role.
The result is a dramatic and rapid shift: whereas for
decades Europe had been all about opening, liberating,
unlocking, emancipating, empowering ... today it is
sometimes seen as meddling, judging, prescribing,
dictating, correcting, even punishing. Europe, the great
‘opener’ of opportunities is now perceived by many as an
unwelcome ‘intruder’, the friend of freedom and space is
seen as threat to protection and place.
We need to get the balance right. It is essential for the
Union to be also on the protecting side. It is urgent for
the Union not to be seen as only benefiting businesses,
but also employees; not only the “movers”, but also the
“stayers”; not only those with diplomas and language skills,
but all citizens; and people not only as consumers, who
like cheap products and wide choice, but also as workers,
who can see others as competitors for their jobs.
How to get this balance right? When it comes to
protection, people expect two things from the European
Union. First, for problems that individual countries
are clearly not big enough to fight on their own, that
the Union steps in. On global and cross-border issues,
people really want Europe to defend their interests and
keep threats at bay. Second, where national authorities
are best-placed to provide care, people expect the Union
not to get in the way. Indeed, there are cases where,
precisely because of its scale, the Union must tread softly.
23
Not disrupt, but respect familiar places of protection and
belonging – from national welfare choices, to regional
traditions and identities, all the way down to local
cheeses.
From this perspective, the citizen’s message to the
Union is clear. As the European Council said in its June
conclusions: “The Union must be stronger outside,
be more caring inside.” For me, this is one of the
main challenges ahead to foster people’s confidence
in our Union. And I have full confidence that the
new leadership team will address this important
responsibility head-on, in 2015 and beyond.
HERMAN VAN ROMPUY
Charlemagne Prize, Aachen
24
Behind the scenes at the European Council
25
Conclusions of the European Council
and statements by
Heads of State or Government
Informal meeting of Heads of State or Government on Ukraine — 6 March 2014
European Council — 20–21 March 2014
29
Informal dinner of Heads of State or Government — 27 May 2014
31
37
European Council — 26–27 June 2014 39
Special meeting of the European Council — 16 July 2014
46
Special meeting of the European Council — 30 August 2014
48
European Council — 23–24 October 2014
51
Euro Summit — 24 October 2014
57
European Council — 18 December 2014
58
2727
INFORMAL MEETING OF HEADS OF STATE OR GOVERNMENT
ON UKRAINE — 6 MARCH 2014
Statement
1.We met today with the Prime Minister of Ukraine Arseniy
Yatseniuk who informed us about the situation in his
country. We applaud the courage and resilience shown
by the Ukrainian people these last months and weeks.
2.We endorse the conclusions adopted by the Council on
3 March. We strongly condemn the unprovoked violation
of Ukrainian sovereignty and territorial integrity by the
Russian Federation and call on the Russian Federation
to immediately withdraw its armed forces to the areas
of their permanent stationing, in accordance with the
relevant agreements. We call on the Russian Federation
to enable immediate access for international monitors.
The solution to the crisis in Ukraine must be based on
the territorial integrity, sovereignty and independence of
Ukraine, as well as the strict adherence to international
standards. We consider that the decision by the Supreme
Council of the Autonomous Republic of Crimea to hold a
referendum on the future status of the territory is contrary
to the Ukrainian Constitution and therefore illegal.
3.The European Union has important relations with
Ukraine and the Russian Federation and stands ready to
engage in a frank and open dialogue with them. It has a
special responsibility for peace, stability and prosperity
in Europe. We will pursue these objectives using all
available channels and ask the EU representatives to
take all necessary initiatives. The European Union will
also participate in the multilateral mechanism (contact/
coordination group) being prepared to deescalate the
situation which should have as its objectives inter alia
to build confidence between the parties, watch over
the territorial integrity and sovereignty of the country,
protect all citizens against intimidations, watch over
the rights of minorities, help to prepare free and fair
elections, and monitor implementation of agreements
and commitments.
4.The European Union's and the Russian Federation's
common objective of a relationship based on mutual
interest and respect of international obligations needs to
be promptly restored. It would be a matter of great regret
if the Russian Federation failed to work in that direction,
and in particular if it continued to refuse to participate in
a productive dialogue with the Government of Ukraine.
We have today decided to take actions, including those
envisaged by the Council on 3 March, notably to suspend
bilateral talks with the Russian Federation on visa matters
as well as talks with the Russian Federation on the New
Agreement. We support the decision of the European
Members of the G8 and the EU institutions to suspend
their participation in G8 Summit preparations until
further notice.
5.The solution to the crisis should be found through
negotiations between the Governments of Ukraine and
the Russian Federation, including through potential
multilateral mechanisms. Such negotiations need to
start within the next few days and produce results within
a limited timeframe. In the absence of such results the
European Union will decide on additional measures,
such as travel bans, asset freezes and the cancellation of
the EU-Russia summit. The Commission and the EEAS
will take forward preparatory work on these measures.
Any further steps by the Russian Federation to destabilise
the situation in Ukraine would lead to additional and far
reaching consequences for relations in a broad range
of economic areas between the European Union and
its Member States, on the one hand, and the Russian
Federation, on the other hand.
6.The European Union commends the measured response
shown so far by the new Ukrainian government. We
encourage the Ukrainian authorities, through an
inclusive process, to pursue their efforts to ensure free
and fair elections, to advance constitutional reform and
to investigate all acts of violence. Efforts should continue
to reach out to all Ukrainian regions and population
groups and to ensure full protection of the rights of people
belonging to national minorities, drawing on the expertise
of the Council of Europe and the OSCE.
7.We stand by Ukraine and commit to provide it with strong
financial backing. We welcome the presentation of the
comprehensive assistance package by the Commission
and task all relevant Council bodies to process it rapidly.
IMF support will be critical to unlocking assistance from
the European Union. The immediate priority is to restore
macroeconomic stability through sound fiscal, monetary
and exchange rate policies. At the same time, we call on
the government to launch urgently an ambitious set of
structural reforms, including to fight corruption, enhance
transparency. We welcome the Council decision to freeze
and recover assets of persons identified as responsible for
the misappropriation of State funds. We are also prepared
to respond immediately to humanitarian assistance
requests.
8.The European Union and Ukraine have already taken
an important step in deepening our relation by the
initialling of the Association Agreement, including a Deep
and Comprehensive Free Trade Area. We reiterate the
European Union's commitment to signing the Association
Agreement, including a Deep and Comprehensive Free
Trade Area. As a matter of priority, we will sign very shortly
all the political chapters. The European Union intends to
adopt unilateral measures which would allow Ukraine
29
to benefit substantially from the advantages offered in
the Deep and Comprehensive Free Trade Area. Such
measures would entail an offer to apply provisions related
to the import of goods by reducing tariffs and opening
tariff rate quotas by so called autonomous trade measures.
9.The European Union reiterates its commitment to
enhance people to people contacts between the citizens
of the European Union and Ukraine, i.a. through the visa
liberalisation process, in line with agreed conditions in the
framework of the Visa Liberalisation Action Plan.
10.Energy and energy security are an important part of the
Union's external relations. We will continue our efforts to
ensure security of supply. We also call for the effective and
30
consistent implementation of the Third Energy Package by
all players in the European energy market. The European
Union also stands ready to assist Ukraine in securing its
energy supply through further diversification, enhanced
energy efficiency, and effective interconnections with the
European Union.
11.The European Union expresses its objective to further
strengthen the political association and economic
integration with Georgia and the Republic of Moldova.
We confirm our aim to sign the Association Agreements,
including the Deep and Comprehensive Free Trade Areas,
which we initialled in Vilnius last November, no later than
at the end of August 2014.
EUROPEAN COUNCIL — 20 – 21 MARCH 2014
Conclusions
The European Council held an in depth discussion on the situation in Ukraine. It adopted a strong message of support to
Ukraine and agreed on a number of concrete measures in that respect. The EU and its Member States signed the political
provisions of the Association Agreement with Ukraine. The European Council strongly condemned the annexation
of Crimea and Sevastopol to the Russian Federation and will not recognise it. In the absence of any steps towards deescalation, the European Council decided on an extension of the visa ban and asset freeze and cancelled the next EURussia summit. While remaining open for dialogue, the European Council did not exclude additional and far reaching
consequences for relations with Russia in case of any further steps by the Russian Federation to destabilise the situation
in Ukraine and asked the Commission and the Member States to prepare possible targeted measures. It also decided to
advance the signature of the Association Agreements with Georgia and Moldova.
Europe is emerging from the financial and economic crisis. The European economy is recovering, after several years of
limited or even negative growth. The recovery is expected to strengthen this year. The European Council had an exchange
of views on the economic and social situation and outlook. It discussed in particular the most appropriate policy response
for the short and medium term. It concluded the first phase of the European Semester and had a first discussion on the
implementation of the Europe 2020 Strategy ahead of the mid-term review at the Spring 2015 European Council. It
also focused on a stronger European industrial competitiveness as a driver for economic growth and jobs. It held a first
policy debate on the framework for climate and energy in the period from 2020 to 2030 and agreed on the way forward.
It underlined the important link between the Europe 2020 strategy, industrial competitiveness and climate and energy
policies.
The European Council hailed the agreement reached on the SRM regulation which will open the way to the completion
of the Banking Union. This represents another crucial step towards a stronger and more resilient Economic and Monetary
Union. Finally, it cleared the way for the adoption of the Directive on taxation of savings income.
I.
GROWTH, COMPETITIVENESS AND JOBS
A.
THE EUROPEAN SEMESTER
1.The European Council in December 2013 endorsed the
five broad policy priorities for the European Union and
its Member States set out in the 2014 Annual Growth
Survey (AGS): pursuing differentiated, growth-friendly
fiscal consolidation, restoring normal lending to the
economy, promoting growth and competitiveness,
tackling unemployment and the social consequences of
the crisis, while modernising public administration. To
steer the Council's discussions on the 2014 European
Semester, the European Council put particular emphasis
on policies enhancing competitiveness, supporting job
creation and fighting unemployment, particularly youth
unemployment, and on the follow-up to reforms to
improve the functioning of labour markets. The National
Reform Programmes and the Stability and Convergence
Programmes should address the issues identified in
* * *
last year's Country-Specific Recommendations and in
the Commission's recent analysis in the context of the
integrated surveillance of macroeconomic and fiscal
imbalances, including its in-depth reviews and the
Stability and Growth Pact, while taking full account of
the discussions held in the Council in the framework of
the European Semester.
2.The European Council assessed the implementation of
the Europe 2020 Strategy on the basis of the Commission
communication. Achieving the Strategy's goal of smart,
sustainable and inclusive growth remains crucial. The
crisis has slowed down progress towards the key goals
of the Strategy and the long-term challenges affecting
growth in Europe have not gone away. The European
Council calls for stepping up efforts to reach the Europe
2020 targets and looks forward to the planned review of
the EU 2020 Strategy in 2015.
* * *
31
3.The European Council congratulates the negotiators
of the European Parliament and the Council on the
agreement reached on the Single Resolution Mechanism
Regulation. As was underlined at today's exchange of views
between the President of the European Parliament and the
European Council, this is a major achievement that will
open the way to the completion of the Banking Union.
It is important now to formally adopt the Regulation
before the end of the current legislature. Together with
the Intergovernmental Agreement on the Transfer and
Mutualisation of Contributions to the Single Resolution
Fund, this represents another crucial step towards a
stronger and more resilient Economic and Monetary
Union.
4.The European Council welcomes the Commission’s
report on the state of play of negotiations on savings
taxation with European third countries (Switzerland,
Liechtenstein, Monaco, Andorra and San Marino) and
calls on those countries to commit fully to implementing
the new single global standard for automatic exchange of
information, developed by the OECD and endorsed by
the G20, and to the early adopters initiative.
The European Council calls on the Commission to carry
forth the negotiations with those countries swiftly with
a view to concluding them by the end of the year, and
invites the Commission to report on the state of play at
its December meeting. If sufficient progress is not made,
the Commission's report should explore possible options
to ensure compliance with the new global standard.
In the light of this, the Council will adopt the Directive on
taxation of savings income at its next March 2014 meeting.
The European Council invites the Council to ensure that,
with the adoption of the Directive on Administrative
Cooperation by the end of 2014, EU law is fully aligned
with the new global standard.
B.
INDUSTRIAL COMPETITIVENESS AND
POLICY
5.Europe needs a strong and competitive industrial base,
in terms of both production and investment, as a key
driver for economic growth and jobs. Competitiveness
requires a stable, simple and predictable environment,
including better regulation and in particular an ambitious
REFIT programme. The overall framework at European
and national levels must be made more conducive
to investment and innovation and the reshoring of
manufacturing jobs. The Commission communication
"For a European Industrial Renaissance" provides
important input in this respect; the Commission is invited
to present a roadmap for taking work forward on this basis.
6.
Industrial competitiveness concerns should be
systematically mainstreamed across all EU policy areas
and be part of impact assessments in view of getting a
stronger industrial base for our economy. This should go
together with competitiveness proofing. Member States
are invited to match European measures to strengthen
competitiveness of industry at national level.
32
7.Efforts must continue to complete and to fully exploit
the potential of the internal market in goods and
services, including in the digital economy, and to foster
entrepreneurship. The timely adoption of the "Connected
Continent" package will contribute to this objective.
Infrastructure networks, including digital networks,
need to be developed and updated with intelligent and
innovative technologies. Particular attention should be
paid to encouraging the creation and growth of SMEs,
including facilitating access to finance across the EU.
8.Through its budget, the European Union contributes to
industrial competitiveness. The best possible use should
be made of EU instruments such as Horizon 2020, the
Connecting Europe Facility, the European Structural and
Investment Funds and COSME as well as market-based
and other innovative financial instruments to support
competitiveness and access of SMEs to finance.
In this context, smart specialisation should be promoted
at all levels, including through the efficient use of public
investment in research. This will facilitate contacts
between firms and clusters and improve access to
innovative technologies.
9.
The competitiveness of European industry on
international markets cannot be taken for granted.
Efforts should continue to improve market access around
the world by facilitating the integration of European
companies in global value chains and promoting free,
fair and open trade while asserting its interests, in a
spirit of reciprocity and mutual benefit. The European
Council calls on the European Investment Bank to
further contribute to enhancing European companies'
internationalisation and competitiveness. Taking forward
an ambitious trade and investment agenda and promoting
European and international standards and regulations,
including the fight against counterfeiting, are important
elements contributing to enhancing the EU's industrial
competitiveness globally. This should help open markets,
defend EU interests and actively promote a level playing
field in third markets. Further action must also be pursued
on ensuring access to core raw materials.
The European Council welcomes the Commission's plans
to modernise the state aid rules which will enter into force
in June 2014. In particular, it welcomes the Commission's
intention to facilitate the implementation of wider EU
policies and programmes, including EU Structural and
Investment Funds by extending the scope of the General
Block Exemption Regulation, while maintaining a level
playing field among the Member States.
10.Fostering the Union's industrial growth requires the right
skills. The European Council urges the Commission and
the Member States to address shortages in the area of
science, technology, engineering and mathematics (STEM
skills) as a matter of priority, with increased involvement of
industry. Further efforts by the public and private sectors
should be directed to promoting mobility, education and
vocational training. All available instruments should
be used to this end, such as the European Structural
and Investment Funds (ESIF), the new generation of
Erasmus +, the Grand Coalition for Digital Jobs, the
European Alliance for Apprenticeships or the Youth
Employment Initiative and the Youth Guarantee. Industry
should be more involved in forecasting future skills needs.
11.Intellectual property and patenting are key drivers for
growth and innovation. Despite its leading role in a
number of technology industries, the European Union
is lagging behind in patenting. The European Council
therefore calls for enhancing support to these highgrowth sectors, in order to preserve the European Union's
technology lead. The concerned Parties should ratify,
in accordance with their constitutional provisions, the
agreement on the Unified Patent Court and make the
necessary legal and administrative arrangements so that
the EU patent regime can enter into force by the end of
2014.
12.
The European Council recalls that key enabling
technologies (KETs) are of crucial importance for
industrial competitiveness. KETs of high industrial
interest, such as batteries for electro-mobility, intelligent
materials, high performance production and industrial bioprocesses, should be strengthened by swiftly identifying
projects of European interest. Special attention should be
paid to the role of cleantech as a cross-cutting element for
enhancing the competitiveness of the European industry.
The Commission is invited to report on how to promote
cleantech through concrete actions in all relevant EU
policies.
13.On the basis of the orientations set out above, the
European Council invites the Council, the Commission
and the Member States to continue work. The European
Council will come back to these issues in the context of
the Europe 2020 Strategy review in March 2015.
14.A strong, resource-efficient and competitive European
industrial base must be seen in relation to a coherent
European climate and energy policy, including through
addressing the issue of high energy costs, in particular for
energy-intensive industries.
C.
CLIMATE AND ENERGY
15.
A coherent European energy and climate policy
must ensure affordable energy prices, industrial
competitiveness, security of supply and achievement of
our climate and environmental objectives. Substantial
progress has been made towards the attainment of the EU
targets for greenhouse gas emission reduction, renewable
energy and energy efficiency, which need to be fully met
by 2020.
16.Taking into account the timeline agreed in Warsaw
for the conclusion of a global climate agreement at the
21st session of the Conference of the Parties in Paris in
2015, the European Council confirms that the European
Union will submit its contribution at the latest by the first
quarter of 2015, as should all major economies. In the
light of the UN Climate Summit in September 2014 the
specific EU target for 2030 for greenhouse gas emission
reductions will be fully in line with the agreed ambitious
EU objective for 2050. Such an agreed EU policy
framework on greenhouse gas emissions, renewables
and energy efficiency, to be elaborated on the basis of the
Commission communication, will provide the necessary
stability and predictability for its economic operators and
confirm the EU's role globally.
17.The new framework should be based on the following
principles:
•further improve coherence between greenhouse gas
emissions reduction, energy efficiency and the use
of renewables and deliver the objectives for 2030 in
a cost-effective manner, with a reformed Emissions
Trading System playing a central role in this regard;
•develop a supportive EU framework for advancing
renewable energies and ensure international
competitiveness;
•ensure security of energy supply for households and
businesses at affordable and competitive prices;
•provide flexibility for the Member States as to how
they deliver their commitments in order to ref lect
national circumstances and respect their freedom
to determine their energy mix.
18.With a view to an early agreement on a new policy
framework for energy and climate in the period 2020 to
2030, the European Council invites the Council and the
Commission to continue work and rapidly develop the
following elements:
•analyse the implications for individual Member States
of the Commission's proposals for EU-wide targets
for emission reductions and renewable energy;
•elaborate mechanisms which will result in an overall
fair effort sharing and foster the modernisation of the
energy sector;
•develop measures to prevent potential carbon leakage
and call for long-term planning security for industrial
investment in order to ensure the competitiveness of
Europe's energy-intensive industries;
•review the Energy Efficiency Directive in a timely
manner and develop an energy efficiency framework.
The European Council will take stock of progress made
on these issues at its meeting in June, based inter alia on
consultations with Member States, with a view to taking
a final decision on the new policy framework as quickly as
possible and no later than October 2014. The European
Council asks its President and the European Commission
to take the necessary steps to prepare this decision.
19.The objectives of completing the internal energy market
by 2014 and developing interconnections so as to put an
end to any isolation of Member States from European
gas and electricity networks by 2015 remain a priority.
The European Council calls for speeding up efforts in
particular as regards:
33
•speedy implementation of all the measures to
meet the target of achieving interconnection of at
least 10 % of their installed electricity production
capacity for all Member States. The European
Council invites the Commission to propose by June
specific interconnection objectives to be attained
until 2030 with a view to taking a decision at the latest
by October 2014. Special attention should be paid to
improving interconnections with the more remote
and/or less well connected parts of the single market,
including through the improvement and creation of
reverse flows, and integrating Member States into the
European continental networks;
•effective and consistent implementation of the Third
Energy Package by all players in the European energy
market;
•effective application and enforcement of EU rules
regarding market integration and energy efficiency,
and striving for a level playing field for companies
operating within the EU.
20.Efforts to reduce Europe's high gas energy dependency
rates should be intensified, especially for the most
dependent Member States. Moderating energy demand
through enhanced energy efficiency should be the first
step which will also contribute to other energy and
climate objectives. The European Council calls on the
Commission to conduct an in-depth study of EU energy
security and to present by June 2014 a comprehensive
plan for the reduction of EU energy dependence. The
plan should reflect the fact that the EU needs to accelerate
further diversification of its energy supply, increase its
bargaining power and energy efficiency, continue to
develop renewable and other indigenous energy sources
and coordinate the development of the infrastructure
to support this diversification in a sustainable manner,
including through the development of interconnections.
Such interconnections should also include the Iberian
peninsula and the Mediterranean area. Where relevant,
interconnections should also be developed with third
countries. Member States will show solidarity in case
of sudden disruptions of energy supply in one or several
Member States. In addition, further action should be taken
to support the development of the Southern Corridor,
including further spur routes through Eastern Europe,
to examine ways to facilitate natural gas exports from
North America to the EU and consider how this may
best be reflected in TTIP, and increase the transparency
of Intergovernmental Agreements in the field of energy.
21.
In order to pursue the objectives set out above,
implementation of relevant projects of common interest
should be speeded up and available EU resources,
including the CEF, and the EIB financing capacity, should
be swiftly mobilised.
22.In the light of the main cost drivers identified in the
Commission communication, the European Council calls
34
for sustained efforts to moderate the energy costs borne
by energy end-users, in particular through:
•a progressive evolution of support mechanisms for
renewables to a more cost-effective and market-based
system and more convergence of national support
schemes beyond 2020;
•sustained investment in energy efficiency and
demand-side management all along the value chain
and at the R&D stage;
•fuller use of the electricity generation capacity
available on the internal market rather than relying
on national capacities alone, while recognizing the
role of Member States in ensuring security of supply;
•promotion of domestic resources and of competition
on gas supply markets and addressing the issue of the
contractual linkage of gas and oil prices.
All of this should be in compliance with State Aid rules
and the rules of the internal market.
On the basis of the above measures, Member States will
take the appropriate actions leading to cost reduction in
the manner most suited to their specific circumstances.
Coordination between Member States as well as across
sectoral policies must be ensured in order to facilitate the
achievement of EU level objectives.
23.In addition, the European Council calls on the Member
States to further examine their different national practices
on energy policy levies, tax components of prices and
network costs, with the objective of minimising negative
consequences for energy prices. Building on recent
experience, Member States will continue to regularly
exchange information on major national energy decisions
which have a possible impact on other Member States,
while fully respecting national choices of energy mix.
***
CYPRUS
24.The European Council welcomes the resumption of fully
fledged settlement negotiations based on the 11 February
Joint Declaration with the aim to reunite Cyprus. The
European Council supports a comprehensive and
viable settlement of the Cyprus problem within the UN
framework, in accordance with relevant UN Security
Council resolutions and in line with the principles on
which the European Union is founded. The European
Council underlines that the division of Cyprus has
endured for too long and emphasises the importance of
maintaining the momentum. The European Council
stands ready to play its part in supporting the negotiations.
Reunification of Cyprus would be to the benefit of all the
Cypriot people and in this respect the European Council
supports any confidence building measures agreed by the
two parties which could contribute decisively to creating a
climate of mutual trust and give impetus to the negotiation
process.
II.
EXTERNAL RELATIONS
Ukraine
25.The European Union supports the Ukrainian people
and their right to choose their own future. The European
Union stands by the Ukrainian government in its efforts
to stabilise Ukraine and undertake reforms. In this context
the European Union will pursue further efforts with the
international community to assist Ukraine.
26.The European Union, its Member States and Ukraine
will sign the political provisions of the Association
Agreement. The European Union and its Member States
are committed to sign the remainder of the Association
Agreement and Deep and Comprehensive Free Trade
Area, which together with the political provisions
constitute a single instrument. The European Council
agrees that the first meeting in the political dialogue as
envisaged under the Agreement should take place in
April. The European Council urges the Council and
the European Parliament to swiftly adopt the proposal
for temporarily removing customs duties, so called
Autonomous Trade measures, on Ukrainian exports to
the European Union.
27.Restoring macroeconomic stability in Ukraine is an
immediate priority. The Ukrainian government needs
to embark swiftly on an ambitious programme of
structural reforms, including the fight against corruption
and enhancing transparency of all fiscal operations.
The European Council urges the Council to rapidly
agree on macro-financial assistance and underlines
that an agreement with the IMF is critical to enable
this assistance. EU Member States agree to coordinate
their positions in the IMF regarding the conditions for
assistance to Ukraine. The European Council welcomes
the establishment of a focal point for coordination of
efforts which should underpin the structural transition
in Ukraine with participation of the international
community and international financial institutions.
28.The European Union commends the measured response
shown so far by Ukraine. The European Council
welcomes the Ukrainian government's commitment
to ensure the representative nature and inclusiveness of
governmental structures, reflecting regional diversity, to
ensure the full protection of the rights of persons belonging
to national minorities, to undertake constitutional
reform, to investigate all human rights violations and acts
of violence and to fight extremism. In this context the
European Union encourages the government of Ukraine
to ensure that the Presidential election on 25 May will be
free and fair.
29.The European Union remains committed to uphold
the sovereignty and territorial integrity of Ukraine.
The European Council does not recognise the illegal
referendum in Crimea, which is in clear violation of the
Ukrainian Constitution. It strongly condemns the illegal
annexation of Crimea and Sevastopol to the Russian
Federation and will not recognise it. The European
Council asks the Commission to evaluate the legal
consequences of the annexation of Crimea and to propose
economic, trade and financial restrictions regarding
Crimea for rapid implementation.
30.In the light of this and in the absence of any steps towards
de-escalation the European Council agrees to expand the
list of individuals to be subject to visa ban and asset freeze.
The European Council decides to cancel the next EURussia Summit and notes that Member States will not hold
bilateral regular summits for the time being. In addition,
the European Council and the Member States support
the upcoming G7 countries' meeting in The Hague. They
also support the suspension of negotiations over Russia's
joining the OECD and IEA.
31.The European Council firmly believes that there is no
place for the use of force and coercion to change borders
in Europe in the 21st century. The Russian actions are
in clear breach of the Helsinki process, which in the
past 40 years has contributed to overcoming divisions
in Europe and building a peaceful and united continent.
The European Council deplores that Russia has still not
taken steps to de-escalate the crisis and that negotiations
between Ukraine and the Russian Federation have still
not started. It urges that an agreement be promptly
reached on an OSCE mission to be deployed in Ukraine
as soon as possible, in order to help stabilise the situation.
In that context, the European Council asks the High
Representative to urgently draw up plans for an EU
contribution to facilitate the work of the OSCE mission.
In the absence of an agreement in the coming days on
a credible OSCE mission, the EU will draw up an EU
mission.
32.The European Union has a special responsibility for peace
and stability in Europe. It will remain at the forefront of
efforts to facilitate and engage in a meaningful dialogue
involving Ukraine and Russia, including through the
establishment of a multilateral mechanism, with a view
to finding a political solution.
33.The European Council recalls that any further steps by the
Russian Federation to destabilise the situation in Ukraine
would lead to additional and far reaching consequences for
relations in a broad range of economic areas between the
European Union and its Member States, on the one hand,
and the Russian Federation, on the other hand. In this
respect, the European Council asks the Commission and
the Member States to prepare possible targeted measures.
34.The European Union reconfirms its objective to further
strengthen the political association and economic
integration with Georgia and the Republic of Moldova.
We confirm our aim to sign the Association Agreements,
including the Deep and Comprehensive Free Trade Areas,
which we initialled in Vilnius last November, no later than
June 2014.
35
EU-Africa relations
35.Ahead of the 4th EU-Africa Summit on 2 and 3 April 2014,
the European Union remains committed to building a
partnership of equals with Africa and strengthening
relations in all relevant areas in response to the growing
interdependence between the European Union and Africa.
The European Council expresses the EU's willingness to
further cooperate with its African partners in promoting
trade and development, democracy and good governance,
the rule of law and human rights. It also underlines the
importance to address migration and mobility, including
irregular migration and the fight against smuggling of
migrants and trafficking of human beings, in a spirit of
shared responsibility between countries of transit, origin
and destination.
36.The European Council emphasises in particular that
continued international support for African partners in
the area of security remains crucial and encourages other
donors to participate in burden-sharing. Therefore, the
European Union will continue to provide operational
support through its civilian crisis management missions
and military operations, at the request of individual
countries and in close cooperation with other regional
and international actors. In this context, it underlines the
urgency of mobilising financial and operational support
for the African-led International Support Mission to the
36
Central African Republic (MISCA) and reaffirms the
Union's commitment to deploy its operation EUFOR
RCA in the coming weeks.
37.The European Union will also consider ways and means
to support African initiatives for capacity-building,
which will strengthen the African Peace and Security
Architecture and enable African partners to prevent
conflicts and address crises effectively and rapidly. The
European Council encourages further work at EU level
to enhance support for African capacity development
in a comprehensive and systematic way encompassing
advice, mentoring, training and equipment. The European
Council invites the High Representative to make further
proposals in this regard, including on a possible clearing
house on the provision of equipment to support training
provided by the EU.
Sri Lanka
38.
The European Council remains committed to
accountability, reconciliation and universal human
rights in Sri Lanka. The European Council calls for the
adoption of a resolution on Sri Lanka at the Human
Rights Council that would provide for an international
investigation into alleged war crimes by both sides during
the war, as recommended by the UN High Commissioner
for Human Rights.
INFORMAL DINNER OF HEADS OF STATE OR GOVERNMENT —
27 MAY 2014
Statement on Ukraine
1.Today we discussed the situation following the Presidential
election on 25 May in Ukraine. We recall and reconfirm our
statement of 6 March and our conclusions of 21 March. We
welcome the holding of the elections as an expression of
the will of the Ukrainian people. The presidential election
was characterised by high turnout and a clear resolve by
the authorities to hold what was a genuine election largely
in line with international commitments and respecting
fundamental freedoms, despite the hostile security
environment in two eastern regions of the country. We call
on all parties to accept the outcome of the elections and we
look forward to working closely with the new President.
2.We stand firm in upholding Ukraine's sovereignty and
territorial integrity and we strongly condemn the illegal
annexation of Crimea and Sevastopol to the Russian
Federation and will not recognise it. We reaffirm the
European Union's commitment to the Geneva Joint
Statement of 17 April and commend the role of the
OSCE Special Monitoring Mission in assisting in its
implementation, as well as the efforts undertaken so far
by the Ukrainian authorities to implement it. In the light
of the latest developments, we reiterate our call on the
Russian Federation to take actions to fully implement
the Geneva joint statement. We also fully support the
complementary efforts of the OSCE and its Chairman
in Office, while ensuring Ukrainian ownership. The
efforts by all sides should aim at solving the crisis
politically, putting an end to violence and tensions in
Eastern Ukraine, including disarmament of all illegal
armed groups and amnesty to those who have rendered
their arms voluntarily and have not committed serious
crimes. We note with concern the deteriorating human
rights situation in Crimea since its illegal annexation by
the Russian Federation.
3.We expect the Russian Federation to cooperate with the
newly elected and legitimate President, to continue the
withdrawal of armed forces from the Ukrainian border and
to use its leverage on the armed separatists to de-escalate
the situation in Eastern Ukraine. The Russian Federation
should as a matter of priority prevent the crossing of
separatists and weapons into Ukraine. In this context
and with a view to consolidating a political solution, we
encourage the Russian Federation to enter into a frank
and open dialogue.
4.We encourage the Ukrainian authorities, building on the
legitimacy of the newly elected President, to continue to
reach out to the population and civil society of all regions
of Ukraine, including in the framework of the round tables
of national dialogue. We welcome the Memorandum
of Peace and Concord adopted by the Ukrainian
Parliament on 20 May. The swift and inclusive conduct
of the constitutional and de-centralisation reforms,
while drawing on the relevant expertise of the Council of
Europe, is key in this process. Reform efforts as regards the
judiciary, the prosecutor's office and the security sector as
well as the fight against corruption need to continue. The
European Union stands ready to support those efforts.
The rights of persons belonging to national minorities
need to be fully ensured in line with the relevant standards
of the Council of Europe.
5.We will continue to lend our assistance to Ukraine to
help stabilise the macro-economic situation and to
conduct structural economic reforms. To this aim, a
dedicated Support Group for Ukraine has been created
by the Commission to help the Ukrainian authorities
implement a jointly agreed European Agenda for Reform,
in coordination with the Member States, international
donors and civil society. We welcome the establishment
37
of the European Union led international donors platform
and the intention to hold, before the summer, a high-level
coordination meeting in Brussels. Several measures have
already been deployed, including the first disbursement of
macro-financial assistance totalling now 1.61 billion euro
and the signature of a State Building contract between the
European Commission and the government of Ukraine.
6.We reiterate our commitment to enhance people-to-people
contacts between the citizens of the European Union and
Ukraine, i.a. through the visa liberalisation process, in a
secure and well-managed environment and provided all
conditions are met, in line with agreed conditions in the
framework of the Visa Liberalisation Action Plan. The
Commission has put forward a report recommending to
move to phase 2 of the visa liberalisation process with a
view to granting visa free travel to the citizens of Ukraine
once the visa liberalisation process is duly completed.
38
7.It is important that the Government of Ukraine improves
the macro-economic balance and business climate, as well
as eradicates corruption. International partners, including
the Russian Federation, should contribute to these
stabilisation efforts. It is important for the stabilisation
of Ukraine's economy to reach an agreement on the
conditions of the gas supply from the Russian Federation
to Ukraine. We hope that the ongoing talks, facilitated by
the European Union, will be concluded soon. We reiterate
that the contracts regarding gas supplies from Russia to
the European Union need to be respected.
8.We note that preparatory work by the Commission and
the EEAS on possible targeted measures is underway and
agree to continue preparations for possible further steps
on that basis should events so require.
EUROPEAN COUNCIL — 26 – 27 JUNE 2014
Conclusions
The European Council agreed to propose Jean-Claude Juncker to the European Parliament as candidate for President of
the European Commission. In this context, it agreed the strategic agenda of key priorities for the next five years. It invited
the EU institutions and the Member States to fully implement these priorities in their work.
The European Council defined the strategic guidelines for legislative and operational planning for the coming years within
the area of freedom, security and justice (see below under Chapter I) and also addressed some related horizontal issues.
It concluded the 2014 European Semester and called for additional efforts to strengthen Europe's capacity to grow and
create more jobs. The European Council took stock of progress made towards a final decision in October on the 2030
climate and energy policy framework and supported the immediate implementation of a set of most urgent measures
to strengthen Europe's resilience and increase its energy security. As part of the preparations for the October European
Council meeting, the Council was asked to further analyse other medium to long-term measures to enhance the EU's
energy security.
The European Council welcomed the signature of the Association Agreements, including Deep and Comprehensive Free
Trade Areas, between the European Union and Georgia and the Republic of Moldova, as well as the signature of the
remainder of the Association Agreement and Deep and Comprehensive Free Trade Area, between the European Union
and Ukraine.
I.
FREEDOM, SECURITY AND JUSTICE
1.One of the key objectives of the Union is to build an area
of freedom, security and justice without internal frontiers,
and with full respect for fundamental rights. To this end,
coherent policy measures need to be taken with respect
to asylum, immigration, borders, and police and judicial
cooperation, in accordance with the Treaties and their
relevant Protocols.
2.All the dimensions of a Europe that protects its citizens
and offers effective rights to people inside and outside
the Union are interlinked. Success or failure in one field
depends on performance in other fields as well as on
synergies with related policy areas. The answer to many
of the challenges in the area of freedom, security and
justice lies in relations with third countries, which calls for
improving the link between the EU’s internal and external
policies. This has to be ref lected in the cooperation
between the EU's institutions and bodies.
3.Building on the past programmes, the overall priority
now is to consistently transpose, effectively implement
and consolidate the legal instruments and policy measures
in place. Intensifying operational cooperation while
using the potential of Information and Communication
* * *
Technologies' innovations, enhancing the role of the
different EU agencies and ensuring the strategic use of
EU funds will be key.
4.In further developing the area of freedom, security and
justice over the next years, it will be crucial to ensure the
protection and promotion of fundamental rights, including
data protection, whilst addressing security concerns, also
in relations with third countries, and to adopt a strong EU
General Data Protection framework by 2015.
5.Faced with challenges such as instability in many parts
of the world as well as global and European demographic
trends, the Union needs an efficient and well-managed
migration, asylum and borders policy, guided by the Treaty
principles of solidarity and fair sharing of responsibility,
in accordance with Article 80 TFEU and its effective
implementation. A comprehensive approach is required,
optimising the benefits of legal migration and offering
protection to those in need while tackling irregular
migration resolutely and managing the EU's external
borders efficiently.
6.To remain an attractive destination for talents and
skills, Europe must develop strategies to maximise the
opportunities of legal migration through coherent and
39
efficient rules, and informed by a dialogue with the
business community and social partners. The Union
should also support Member States' efforts to pursue
active integration policies which foster social cohesion
and economic dynamism.
7.The Union's commitment to international protection
requires a strong European asylum policy based on
solidarity and responsibility. The full transposition and
effective implementation of the Common European
Asylum System (CEAS) is an absolute priority. This
should result in high common standards and stronger
cooperation, creating a level playing field where asylum
seekers are given the same procedural guarantees and
protection throughout the Union. It should go hand in
hand with a reinforced role for the European Asylum
Support Office (EASO), particularly in promoting the
uniform application of the acquis. Converging practices
will enhance mutual trust and allow to move to future next
steps.
8.Addressing the root causes of irregular migration flows
is an essential part of EU migration policy. This, together
with the prevention and tackling of irregular migration,
will help avoid the loss of lives of migrants undertaking
hazardous journeys. A sustainable solution can only be
found by intensifying cooperation with countries of origin
and transit, including through assistance to strengthen
their migration and border management capacity.
Migration policies must become a much stronger integral
part of the Union's external and development policies,
applying the "more for more" principle and building on the
Global Approach to Migration and Mobility. The focus
should be on the following elements:
•strengthening and expanding Regional Protection
Programmes, in particular close to regions of origin,
in close collaboration with UNHCR; increase
contributions to global resettlement efforts, notably
in view of the current protracted crisis in Syria;
•addressing smuggling and trafficking in human
beings more forcefully, with a focus on priority
countries and routes;
•establishing an effective common return policy and
enforcing readmission obligations in agreements with
third countries;
•fully implementing the actions identified by the Task
Force Mediterranean.
9.The Schengen area, allowing people to travel without
internal border controls, and the increasing numbers of
people travelling to the EU require efficient management
of the EU's common external borders to ensure strong
protection. The Union must mobilise all the tools at its
disposal to support the Member States in their task. To
this end:
•Integrated Border Management of the external
borders should be modernised in a cost efficient way
to ensure smart border management with an entryexit system and registered travellers programme
40
and supported by the new Agency for Large Scale
IT Systems (eu-LISA);
•Frontex, as an instrument of European solidarity in
the area of border management, should reinforce
its operational assistance, in particular to support
Member States facing strong pressure at the external
borders, and increase its reactivity towards rapid
evolutions in migration f lows, making full use of
the new European Border Surveillance System
EUROSUR;
•in the context of the long-term development of
Frontex, the possibility of setting up a European
system of border guards to enhance the control
and surveillance capabilities at our external borders
should be studied.
At the same time, the common visa policy needs to be
modernised by facilitating legitimate travel and reinforced
local Schengen consular cooperation while maintaining a
high level of security and implementing the new Schengen
governance system.
10.It is essential to guarantee a genuine area of security for
European citizens through operational police cooperation
and by preventing and combating serious and organised
crime, including human trafficking and smuggling, as
well as corruption. At the same time, an effective EU
counter terrorism policy is needed, whereby all relevant
actors work closely together, integrating the internal and
external aspects of the fight against terrorism. In this
context, the European Council reaffirms the role of the
EU Counter Terrorism Coordinator. In its fight against
crime and terrorism, the Union should back national
authorities by mobilising all instruments of judicial and
police cooperation, with a reinforced coordination role
for Europol and Eurojust, including through:
•the review and update of the internal security strategy
by mid 2015;
•
the improvement of cross-border information
exchanges, including on criminal records;
•the further development of a comprehensive approach
to cybersecurity and cybercrime;
•the prevention of radicalisation and extremism and
action to address the phenomenon of foreign fighters,
including through the effective use of existing
instruments for EU-wide alerts and the development
of instruments such as the EU Passenger Name
Record system.
11.The smooth functioning of a true European area of justice
with respect for the different legal systems and traditions
of the Member States is vital for the EU. In this regard,
mutual trust in one another's justice systems should be
further enhanced. A sound European justice policy will
contribute to economic growth by helping businesses and
consumers to benefit from a reliable business environment
within the internal market. Further action is required to:
•promote the consistency and clarity of EU legislation
for citizens and businesses;
•simplify access to justice; promote effective remedies
and use of technological innovations including the
use of e-justice;
•continue efforts to strengthen the rights of accused
and suspect persons in criminal proceedings;
•examine the reinforcement of the rights of persons,
notably children, in proceedings to facilitate
enforcement of judgements in family law and in
civil and commercial matters with cross-border
implications;
•reinforce the protection of victims;
•enhance mutual recognition of decisions and
judgments in civil and criminal matters;
•reinforce exchanges of information between the
authorities of the Member States;
•fight fraudulent behaviour and damages to the EU
budget, including by advancing negotiations on the
European Public Prosecutor's Office;
•facilitate cross-border activities and operational
cooperation;
• enhance training for practitioners;
•mobilise the expertise of relevant EU agencies such as
Eurojust and the Fundamental Rights Agency (FRA).
12.As one of the fundamental freedoms of the European
Union, the right of EU citizens to move freely and reside
and work in other Member States needs to be protected,
including from possible misuse or fraudulent claims.
13.The European Council calls on the EU institutions and the
Member States to ensure the appropriate legislative and
operational follow-up to these guidelines and will hold a
mid-term review in 2017.
II.
GROWTH, COMPETITIVENESS AND JOBS
A.
THE EUROPEAN SEMESTER
14.Recent signs of economic recovery are encouraging and
demonstrate that the joint efforts of Member States and
EU institutions are bearing fruit. Growth has started to
return and there is a modest rise in employment, even
though in many parts of Europe, unemployment - in
particular youth unemployment - is still at unprecedented
and unacceptable levels. Poverty and social exclusion
remain major concerns.
15.Thanks to the efforts of the Member States, the correction
of macroeconomic imbalances has progressed and
public finances continue to improve. The European
Council welcomes the abrogation of the excessive deficit
procedure for several Member States. The possibilities
offered by the EU's existing fiscal framework to balance
fiscal discipline with the need to support growth should be
used. Given the persistently high debt and unemployment
levels and the low nominal GDP growth, as well as the
challenges of an ageing society and of supporting jobcreation, particularly for the young, fiscal consolidation
must continue in a growth-friendly and differentiated
manner. Structural reforms that enhance growth and
improve fiscal sustainability should be given particular
attention, including through an appropriate assessment
of fiscal measures and structural reforms, while making
best use of the f lexibility that is built into the existing
Stability and Growth Pact rules. In this context, the
Commission will report to the European Parliament and
to the Council on the application of the EU governance
framework by 14 December 2014, as foreseen in EU law
('6-Pack' and '2-Pack').
16.The recovery remains fragile and uneven and efforts
to implement growth-enhancing structural reforms
must continue and be enhanced in order to strengthen
Europe's capacity to grow and create more and better
jobs. Increased action is needed to reduce the tax wedge
on labour, to reform product and services markets and
public administrations, to improve the business and RDI
environment, facilitate access to finance, to enhance the
functioning of network industries and to reform education
systems.
17.Against this background, the European Council generally
endorsed the country-specific recommendations (CSR)
and thus concluded the 2014 European Semester. Their
implementation is key to accelerate growth. Based on
the principles of national ownership and social dialogue,
Member States should respect the recommendations in
their forthcoming decisions on budgets, structural reforms
and employment and social policies. The Council and the
Commission will further monitor CSR implementation
and take action as required.
Regulatory fitness
18.The European Council reviewed progress made in the
area of regulatory fitness and performance on the basis
of the Commission Communication. A lot of progress
has been achieved in the implementation of the REFIT
programme by the Commission, the other EU institutions
and Member States; this has led to an effective reduction
of the regulatory burden. The European Council considers
that regulatory fitness should remain a priority in the work
of the institutions. This requires a strong commitment
to regulatory simplification and burden reduction in
legislative work and better use of impact assessment and
ex-post evaluation throughout the legislative cycle, at the
EU and national level.
19.Regulatory fitness measures at the European level should
be complemented by initiatives for regulatory fitness by
the Member States. In this respect Member States should
make full use of regulatory flexibility provisions for the
benefit of small and medium-sized entreprises in the
implementation of EU legislation.
20.
The European Council calls on the Council to
proceed to a detailed examination of the Commission
Communication. The Commission, the other EU
institutions and the Member States are invited to
continue the implementation of the REFIT programme
in an ambitious way, taking into account consumer and
41
employees protection as well as health and environment
concerns.
B.
CLIMATE AND ENERGY
21.The European Council took stock of progress made
towards a final decision in October on the 2030 climate
and energy framework in line with its March 2014
conclusions. In that context, it stressed the importance of
swiftly developing the key elements of the framework, and
looks forward, in particular, to the Commission presenting
by July a review of the Energy Efficiency Directive and how
energy efficiency can contribute to the 2030 climate and
energy framework. It reaffirms the importance of the UN
Climate Summit in September 2014 and confirms that the
specific EU target for 2030 for greenhouse gas emission
reductions will be fully in line with the agreed ambitious
EU objective for 2050.
22.The European Council welcomed the Commission's
European Energy Security Strategy (EESS) and held a
first discussion on that basis. The EESS is closely linked
to the 2030 policy framework on climate and energy.
The European Council calls for increased efforts to
reduce Europe's high energy dependency and supports
the immediate implementation of a set of most urgent
measures to strengthen Europe's resilience and increase
its energy security in the short term, before the winter of
2014/2015. It agrees in particular that:
•in the light of assessments of the risk of short-term
supply disruption, existing emergency and solidarity
mechanisms, including gas storage, emergency
infrastructure and reverse flows, will be reinforced
in order to address this risk primarily in the most
vulnerable Member States;
•in view of enhancing the EU's energy security,
relevant energy infrastructure investments, including
those involving third countries, should be pursued
in full respect of all the EU's internal market and
competition rules, which must be consistently
enforced;
•the EU will engage with its international partners to
reduce the risk of disruption of energy supplies;
•the Energy Community, which aims to expand
the EU's energy acquis to enlargement and
neighbourhood countries, should be reinforced so
as to ensure the application of the acquis in those
countries.
In the run-up to the October European Council meeting,
the European Council asked the Council to further
analyse other medium to long-term measures to enhance
the EU's energy security, based on the Commission's
EESS. The European Council underlined the importance
of energy efficiency, further development of domestic
production, further implementing and integrating the
European energy market based on a regional approach,
increasing transparency on the gas market, and on
fostering missing infrastructure, to put an end to any
42
isolation of Member States from European gas and
electricity networks by 2015. In line with the objective
of completing the European energy market by the end
of 2014, interconnectivity must be increased, including
through further examination of the new interconnection
target proposed by the Commission.
23.The European Council will take a final decision on the
new climate and energy policy framework, including on
further measures aimed at enhancing Europe's energy
security and on specific 2030 interconnection objectives,
no later than October 2014. All efforts will be mobilised
in order to meet this agreed deadline.
24.The European Council also supports the Rome G7 energy
initiative which serves to implement policies to build a
more competitive, diversified and resilient energy system
with reduced greenhouse gas emissions by promoting the
use of safe and sustainable technologies.
III. THE NEXT INSTITUTIONAL CYCLE
25.The European Council adopted the Decision proposing
Jean-Claude Juncker to the European Parliament as
candidate for President of the European Commission.
The President of the European Council will conduct
consultations in view of other appointments to be made.
26.It agreed the attached strategic agenda. It invites the EU
institutions and the Member States to fully implement
these priorities in their work. The agenda will also
guide the institutions in the annual and multiannual
programming as well as in legislative planning; they
should organize their work accordingly. The European
Council will ensure the regular monitoring of the
implementation of these strategic priorities.
27.The UK raised some concerns related to the future
development of the EU. These concerns will need to be
addressed.
In this context, the European Council noted that the
concept of ever closer union allows for different paths
of integration for different countries, allowing those
that want to deepen integration to move ahead, while
respecting the wish of those who do not want to deepen
any further.
Once the new European Commission is effectively in
place, the European Council will consider the process
for the appointment of the President of the European
Commission for the future, respecting the European
Treaties.
IV. OTHER ITEMS
28.The European Council congratulated Lithuania on the
convergence it has achieved, based on sound economic,
fiscal and financial policies, and welcomed its fulfilment
of all the convergence criteria as set out in the Treaty. It
endorsed the Commission's proposal that Lithuania adopt
the euro on 1 January 2015.
Ukraine
29.Recalling the Statements of the Heads of State and
Government on Ukraine of 6 March and 27 May, the
European Council conclusions of 21 March and the
conclusions of the Foreign Affairs Council on Ukraine of
23 June, the European Council expresses its support to the
peace plan announced last week by President Poroshenko.
It takes note of the Russian President's declaration of
support in principle of the peace plan and the Federation
Council's decision to revoke the authorisation to use
Russian forces to intervene militarily in Ukraine.
30.The European Council regrets that the cease-fire, while
being respected by the Ukrainian authorities, has not
led to the full cessation of military hostilities. Therefore,
it calls upon all parties to genuinely commit to the
implementation of the peace plan and to cement the
cessation of the military activities. It urges the Russian
Federation to actively use its influence over the illegally
armed groups and to stop the f low of weapons and
militants across the border, in order to achieve rapid and
tangible results in de-escalation. The European Council
supports the OSCE monitoring the implementation of the
peace plan as well as its role in supporting the cease-fire
and the establishment of effective border controls.
31.The European Council reconfirms its commitment
to support the economic stabilisation process in
Ukraine and welcomes the two recent significant
Commission disbursements totalling 750 million EUR
in the framework of the State Building Contract and
the Macro Financial Assistance. In this context, the
European Council looks forward to the high level donor
coordination meeting on Ukraine to be held in Brussels
on 8 July.
32.Following its March conclusions and the decision not to
recognise the illegal annexation of Crimea and Sevastopol,
the European Council welcomes the work undertaken
by the Commission to give effect to this policy and the
decision to prohibit the import of goods from Crimea and
Sevastopol which do not have a Ukrainian certificate.
33.The European Council recalls that the European
Commission, the EEAS and the Member States have been
undertaking preparatory work on targeted measures, as
it requested in March, so that further steps can be taken
without delay. In that respect, the European Council
expects that by Monday 30 June the following steps will
have been taken :
•agreement on a verification mechanism, monitored
by the OSCE, for the cease-fire and for the effective
control of the border;
•return to the Ukrainian authorities of the three
border checkpoints (Izvarino, Dolzhanskiy,
Krasnopartizansk);
•release of hostages including all of the OSCE
observers;
•
launch of substantial negotiations on the
implementation of President Poroshenko's peace
plan.
The Council will assess the situation and, should it be
required, adopt necessary decisions.
The European Council underlines its commitment to
reconvene at any time for further significant restrictive
measures.
34.The European Council endorsed the Council conclusions
of 24 June 2014 on Albania.
ANNEX I
STRATEGIC AGENDA FOR THE UNION IN
TIMES OF CHANGE
The May 2014 European elections open a new legislative
cycle. This moment of political renewal comes precisely as our
countries emerge from years of economic crisis and as public
disenchantment with politics has grown. It is the right time to
set out what we want the Union to focus on and how we want
it to function.
The European Council agreed today on five overarching
priorities which will guide the work of the European Union over
the next five years: stronger economies with more jobs; societies
enabled to empower and protect; a secure energy and climate
future; a trusted area of fundamental freedoms; effective joint
action in the world.
Action in these fields is vital, given the important challenges
awaiting our societies. Though the recovery in Europe is gaining
pace, unemployment is still our highest concern – especially for
young people – and inequalities are on the rise. Meanwhile
the global economy is changing fast. In the digital age, the race
for innovation, skills and markets forces all our countries to
anticipate and adapt in order to thrive. Scarce natural resources,
the cost of energy and impact of climate change are major
challenges; Europe's current energy dependency is a vulnerability.
Across the world, radicalisation and extremism are reasons for
concern. Geopolitical stability at our very borders cannot be
taken for granted. Demographic trends are challenging, with
ageing populations putting additional pressure on our welfare
systems and irregular migration f lows requiring common
answers and concerted action.
Against this backdrop, the first purpose of the Union's work over
the coming years must be to equip our societies for the future and
to foster confidence.
The countries of Europe are uniquely placed to shape change –
both individually and collectively as a Union. Our diversity is an
asset, our unity brings strength. In our Union, different degrees
of cooperation and integration exist. Our enlargement policy
continues to foster democracy and prosperity.
In line with the principles of subsidiarity and proportionality, the
Union must concentrate its action on areas where it makes a real
difference. It should refrain from taking action when member
states can better achieve the same objectives. The credibility
43
of the Union depends on its ability to ensure adequate followup on decisions and commitments. This requires strong and
credible institutions, but will also benefit from closer involvement
of national parliaments. Above all, the emphasis should be on
concrete results – in the five following fields.
1. A Union of jobs, growth and competitiveness
Our countries are emerging from the deepest economic crisis in a
generation. We see efforts and reforms producing results. Yet it is
not going to be a return to the promises of yesteryear. Important
challenges remain: slow growth, high unemployment, insufficient
public and private investment, macroeconomic imbalances,
public debt, and a lack of competitiveness. We respect the Stability
and Growth Pact. All our economies need to continue to pursue
structural reforms. Very clearly, our common strength hinges
upon each and every country's success. That is why the Union
needs bold steps to foster growth, increase investments, create
more and better jobs and encourage reforms for competitiveness.
This also requires making best use of the flexibility that is built
into the existing Stability and Growth Pact rules.
The upcoming review of the EU2020 strategy will be a good
occasion to bring it fully in line with this strategic agenda.
Therefore the priorities we set for the Union for the next five years
are to:
•
f ully exploit the potential of the single market in all
its dimensions: by completing the internal market in
products and services; by completing the digital single
market by 2015;
•
promote a climate of entrepreneurship and job
creation, not least for SMEs: by facilitating access
to finance and investment; by ensuring more resilient
financial regulation; by improving the functioning of
labour markets and by shifting taxes away from labour;
by reducing unnecessary administrative burdens and
compliance costs in a targeted manner, respecting
consumer and employees protection as well as health and
environment concerns;
•
i nvest and prepare our economies for the future: by
addressing overdue investment needs in transport, energy
and telecom infrastructure as well as in energy efficiency,
innovation and research, skills, education and innovation;
by making full use of EU structural funds; by mobilising
the right mix of private and public funding and facilitating
long-term investments; by using and developing financial
instruments, such as those of the European Investment
Bank, in particular for long-term projects; by providing
the right regulatory framework for long-term investments;
•
reinforce the global attractiveness of the Union as
a place of production and investment with a strong and
competitive industrial base and a thriving agriculture,
and complete negotiations on international trade
agreements, in a spirit of mutual and reciprocal benefit
and transparency, including TTIP, by 2015;
•
make the Economic and Monetary Union a more
solid and resilient factor of stability and growth: with
stronger euro area governance and stronger economic
44
policy coordination, convergence and solidarity, while
respecting the integrity of the internal market and
preserving transparency and openness towards non-euro
EU countries.
2. A Union that empowers and protects all citizens
Europeans have benefitted from the opportunities offered by
integrated economies with open borders, but the advantages are
not always immediately tangible to all. Many experience or fear
poverty and social exclusion. The Union must keep doing what it
is good at and continue to unlock opportunities, but it must also
be perceived and experienced as a source of protection. People
expect Europe to defend their interests and keep threats at bay,
but also to respect their identities and sense of belonging. The
Union must be stronger outside, more caring inside.
Therefore, while respecting the competences of member states,
who are responsible for their welfare systems, the priorities we set
for the Union in this field for the next five years are to:
•
h
elp develop skills and unlock talents and life
chances for all: by stepping up the fight against youth
unemployment, in particular for young people who
have dropped out from education, employment or
training; by promoting the right skills for the modern
economy and life-long learning; by facilitating mobility
of workers, especially in fields with persistent vacancies
or skills mismatches; by protecting one of the Union's
four fundamental freedoms, the right of all EU citizens to
move freely and reside and work in other member states,
including from possible misuse or fraudulent claims;
•
g uarantee fairness: by combatting tax evasion and tax
fraud so that all contribute their fair share;
•
h elp ensure all our societies have their safety nets in
place to accompany change and reverse inequalities,
with social protection systems that are efficient, fair and
fit for the future; indeed, investing into human capital and
the social fabric is also key to the long-term prosperity
prospects for the European economy.
3. Towards an Energy Union with a forward-looking
climate policy
Geopolitical events, the worldwide energy competition and the
impact of climate change are triggering a rethink of our energy
and climate strategy. We must avoid Europe relying to such a
high extent on fuel and gas imports. To ensure our energy future
is under full control, we want to build an Energy Union aiming
at affordable, secure and sustainable energy. Energy efficiency is
essential, since the cheapest and cleanest energy is that which is
not consumed.
In light of this challenge, our energy and climate policies for the
upcoming five years must focus on:
•
a ffordable energy for companies and citizens: by
moderating energy demand thanks to enhanced energy
efficiency; by completing our integrated energy market; by
finding ways to increase the Union's bargaining power; by
increasing transparency on the gas market; by stimulating
research, development and the industrial European base
in the energy field;
•
secure energy for all our countries: by speeding up
the diversification of energy supply and routes, including
through renewable, safe and sustainable and other
indigenous energy sources, as a means to reduce energy
dependency, notably on a single source or supplier;
by developing the necessary infrastructure such as
interconnections; by providing private and public actors
with the right planning framework so they can take mid- to
long-term investment decisions;
•
g reen energy: by continuing to lead the fight against
global warming ahead of the United Nations COP
2015 meeting in Paris and beyond, including by setting
ambitious 2030 targets that are fully in line with the agreed
EU objective for 2050.
4. A Union of freedom, security and justice
Citizens expect their governments to provide justice, protection
and fairness with full respect for fundamental rights and the
rule of law. This also requires joint European action, based on
our fundamental values. Given their cross border dimensions,
phenomena like terrorism and organised crime call for stronger
EU cooperation. The same is true for justice matters, since
citizens increasingly study, work, do business, get married and
have children across the Union. Another challenge in the years
ahead will be managing migration flows, which are on the rise
due to instability and poverty in large parts of the world and
demographic trends – a matter which requires solidarity and
fair sharing of responsibility.
Therefore the priorities we set for the Union for the next five years
are to:
•
better manage migration in all its aspects: by
addressing shortages of specific skills and attracting talent;
by dealing more robustly with irregular migration, also
through better cooperation with third countries, including
on readmission; by protecting those in need through
a strong asylum policy; with a strengthened, modern
management of the Union's external borders;
•
prevent and combat crime and terrorism: by cracking
down on organised crime, such as human trafficking,
smuggling and cybercrime; by tackling corruption; by
fighting terrorism and countering radicalisation – while
guaranteeing fundamental rights and values, including
the protection of personal data;
•
i mprove judicial cooperation among our countries:
by building bridges between the different justice systems
and traditions; by strengthening common tools, including
Eurojust; by mutual recognition of judgments, so that
citizens and companies can more easily exercise their
rights across the Union.
5. The Union as a strong global actor
Recent events show how fast-shifting the strategic and
geopolitical environment has become, not least at the
Union's eastern and southern borders. Instability in our wider
neighbourhood is at an all-time high. At the same time it has
never been as important to engage our partners on issues of
mutual or global interest. To defend our interests and values and
to protect citizens, a stronger engagement of the European Union
in world affairs is crucial.
The following foreign policy priorities will therefore be key in
the years ahead:
•
maximise our clout: by ensuring consistency between
member states' and EU foreign policy goals and by
improving coordination and coherence between the main
fields of EU external action, such as trade, energy, justice
and home affairs, development and economic policies;
•
b
e a strong partner in our neighbourhood: by
promoting stability, prosperity and democracy in the
countries closest to our Union, on the European continent,
in the Mediterranean, Africa and in the Middle East;
•
e ngage our global strategic partners, in particular
our transatlantic partners, on a wide range of issues –
from trade and cyber security to human rights and conflict
prevention, to non-proliferation and crisis management
– bilaterally and in multilateral fora;
•
develop security and defence cooperation so we can
live up to our commitments and responsibilities across
the world: by strengthening the Common Security and
Defence Policy, in full complementarity with NATO; by
ensuring that member states maintain and develop the
necessary civilian and military capabilities, including
through pooling and sharing; with a stronger European
defence industry.
ANNEX II
DOCUMENTS ENDORSED BY THE EUROPEAN
COUNCIL
•Council report of 24 June 2014 on the 2014 Country
Specific Recommendations
•
Council conclusions of 24 June 2014 on Albania
•
European Union Maritime Security Strategy
•Council conclusions of 19 May 2014 on the annual report
on EU Official Development Assistance
45
SPECIAL MEETING OF THE EUROPEAN COUNCIL — 16 JULY 2014
Conclusions
I.
THE NEXT INSTITUTIONAL CYCLE
1.Following the election by the European Parliament of the
President of the European Commission, the European
Council had an exchange of views with the Presidentelect, Mr Jean-Claude Juncker, relating in particular to
the priorities set out in the Strategic Agenda for the Union
in times of change agreed on 27 June 2014. It calls on all
Institutions to concentrate their activities on areas where
the Union can make a real difference. The European
Council reiterated its commitment to ensure regular
monitoring of these strategic priorities.
2.The President of the European Council reported on
the consultations he conducted, in accordance with the
Treaties, on other appointments for the next institutional
cycle. The European Council held a first debate in that
respect and agreed to come back to it for a final decision
at a special meeting on 30 August.
3.The new Commission will be appointed by the European
Council following a vote of consent by the European
Parliament on the President, the High Representative of
the Union for Foreign Affairs and Security Policy and the
other members of the Commission as a body.
II.
EXTERNAL RELATIONS
Ukraine
4.Recalling the statements of the Heads of State or
Government on Ukraine of 6 March and 27 May and
its conclusions of 21 March and 27 June, the European
Council once again stresses its support for a peaceful
settlement of the crisis in Ukraine, notably the urgent
need to agree on a genuine and sustainable cease-fire
by all parties to create the necessary conditions for the
implementation of President Poroshenko's peace plan.
The European Council supports the diplomatic efforts
by Ukraine, the Russian Federation, France and Germany,
as well as the joint Berlin Declaration of 2 July.
5.The European Council condemns the continuation of
illegal activities by armed militants in Eastern Ukraine,
including the occupation of public buildings, hostagetaking and armed attacks on Ukrainian law enforcers
and border guards. The European Council urges the
Russian Federation to actively use its influence over the
illegally armed groups and to stop the flow of weapons and
militants across the border, in order to achieve a rapid deescalation. In this context, the European Council recalls
the decision of 11 July to expand the travel ban and asset
freeze within the European Union to 11 new individuals
for actions undermining Ukraine's territorial integrity,
sovereignty and independence. Member States also
46
agreed to discontinue the application of their agreement
of 20 February 2014 on export licences.
6.The European Council regrets that the requested steps it
set out in its 27 June conclusions have not been adequately
taken. As a result, the European Council agrees to expand
the restrictive measures, with a view to targeting entities,
including from the Russian Federation, that are materially
or financially supporting actions undermining or
threatening Ukraine's sovereignty, territorial integrity and
independence. It tasks the Council to adopt the necessary
legal instruments and to decide by the end of July on a
first list of entities and persons, including from the Russian
Federation, to be listed under the enhanced criteria. It also
asks to consider the possibility of targeting individuals
or entities who actively provide material or financial
support to the Russian decision-makers responsible
for the annexation of Crimea or the destabilisation of
Eastern-Ukraine. The European Council requests the EIB
to suspend the signature of new financing operations in
the Russian Federation. European Union Member States
will coordinate their positions within the EBRD Board
of Directors with a view to also suspending financing of
new operations. Finally, the European Council invites
the Commission to re-assess EU-Russia cooperation
programmes with a view to taking a decision, on a case
by case basis, on the suspension of the implementation
of EU bilateral and regional cooperation programmes.
However, projects dealing exclusively with cross-border
cooperation and civil society will be maintained.
The European Council recalls that the Commission, the
EEAS and the Member States have been undertaking
preparatory work on targeted measures, as it requested in
March, so that further steps can be taken without delay.
The European Council remains committed to reconvene
at any time should events so require.
In line with the policy of non-recognition of the illegal
annexation of Crimea and Sevastopol, the European
Council requests the Commission and the EEAS to
present proposals for additional measures in particular
on restricting investments in Crimea and Sevastopol. The
European Council also expects the International Financial
Institutions to refrain from financing any projects that
explicitly or implicitly recognise the illegal annexation of
Crimea and Sevastopol.
7.The European Council commends the efforts of the
OSCE and its Chairmanship in Office, particularly in
facilitating meetings of the Contact Group in Ukraine,
and its readiness to establish a border-monitoring mission,
to which the European Union and its Member States stand
ready to consider a substantial contribution.
8.The European Council stresses the European Union's
commitment to pursue trilateral talks on the conditions
of gas supply from the Russian Federation to Ukraine and
commends the efforts of the Commission in that regard.
Finding a swift agreement is important for safeguarding
the security of supply and transit of natural gas through
Ukraine to EU Member States and for the stabilisation of
Ukraine's economy.
9.The European Council stresses the importance of
Ukraine ratifying the Association Agreement with a
view to its early provisional application. It welcomes
the holding of trilateral consultations at ministerial
level between Ukraine, the Russian Federation and the
European Union on 11 July on the implementation of the
Association Agreement. In this context, it also welcomes
the setting up of a consultation mechanism to address
potential difficulties resulting from the effects of the
implementation of the Deep and Comprehensive Free
Trade Area on the implementation of the Free Trade
Agreement of the Commonwealth of Independent States.
Gaza
10.The European Council is following with great concern
the continued violence in Israel and Gaza. The European
Council condemns the firing of rockets from Gaza into
Israel and the indiscriminate targeting of civilians. Israel
has the right to protect its population from this kind of
attacks. In doing so, it must act proportionately and
ensure the protection of civilians at all times. It deeply
deplores the loss of innocent lives and the high number
of wounded civilians in the Gaza Strip as a result of Israeli
military operations and is deeply concerned about the
rapid and dramatic deterioration of the humanitarian
situation. The European Council calls on both sides to
de-escalate the situation, to end the violence, to end the
suffering of the civilian populations notably by allowing
access to humanitarian assistance, and return to calm. The
European Council welcomes on-going efforts by regional
partners, and in particular the initiative launched by Egypt,
to establish a cease-fire and calls on Hamas to agree on
such cease-fire. The European Union stands ready to
provide the necessary support to this end. The European
Union continues to call for the full implementation of
United Nations Security Council Resolution 1860 (2009).
11.The tragic events of the past days highlight the urgent
need for all parties to work towards a resumption of the
diplomatic process and to pursue a two-state solution to
the Israeli-Palestinian conf lict. The European Union
reiterates its offer to both parties of a package of European
political and economic support and of a Special Privileged
Partnership with the European Union in the event of a
final peace agreement.
12.Israelis and Palestinians need to make the strategic choice of
peace in order to allow their future generations to live lives
freed from past conflicts and to enjoy the stability, security
and prosperity which they are currently being denied.
47
SPECIAL MEETING OF THE EUROPEAN COUNCIL — 30 AUGUST 2014
Conclusions
I.
THE NEXT INSTITUTIONAL CYCLE
1.In light of the consultations conducted by the President
of the European Council, the European Council, in
accordance with the Treaties, adopted the following
decisions today:
2.The European Council elected Donald Tusk as President
of the European Council for the period from 1 December
2014 to 31 May 2017 1. It requested the Secretary-General
of the Council to assist the elected President of the
European Council in the transition period.
3.The European Council appointed, with the agreement
of the President-elect of the Commission, Federica
Mogherini as High Representative of the Union for
Foreign Affairs and Security Policy for the period from
the end of the current term of office of the Commission
until 31 October 2019 2 .
4.The European Council invited the Council to adopt
without delay, by common accord with the President-elect
of the Commission, the list of other persons whom it will
propose for appointment as members of the Commission.
5.The new Commission will be appointed by the European
Council following a vote of consent by the European
Parliament on the President, the High Representative of
the Union for Foreign Affairs and Security Policy and the
other members of the Commission as a body.
6.The European Council welcomed the decision of the
Heads of State or Government of the Contracting Parties
to the Treaty on Stability, Coordination and Governance
in the Economic and Monetary Union whose currency is
the euro to appoint Donald Tusk as President of the Euro
Summit for the period from 1 December 2014 to 31 May
2017 3.
II.
ECONOMIC ISSUES
7.Despite significant improvements in financial market
conditions and the structural efforts made by Member
States, the economic and employment situation in Europe
raises significant concerns. In recent weeks economic
data have confirmed that the recovery, particularly in
the euro area, is weak, inf lation exceptionally low and
1European Council Decision electing the President of the European
Council (EUCO 144/14).
2European Council Decision appointing the High Representative of
the Union for Foreign Affairs and Security Policy (EUCO 146/14).
3Decision of the Heads of State or Government of the Contracting
Parties to the Treaty on Stability, Coordination and Governance
in the Economic and Monetary Union whose currency is the euro
appointing the President of the Euro Summit (doc. 11949/14).
48
unemployment unacceptably high. In this context, the
European Council recalls its conclusions of 27 June 2014
on the European Semester as well as its agreement on a
Strategic Agenda with a strong focus on jobs, growth and
competitiveness. The European Council calls for rapid
progress on implementing these orientations. To this end,
it asks the Council to assess the socio-economic situation
and to start working on these issues without delay. The
European Council also welcomes the intention of the
Italian government to hold a conference in October at the
level of Heads of State or Government on employment,
especially youth employment, following those held in
Berlin and Paris. In the autumn, the European Council
will also address the economic situation and a dedicated
Euro Summit will be convened.
III. EXTERNAL RELATIONS
UKRAINE
8.Recalling the statements of the Heads of State or
Government on Ukraine of 6 March and 27 May and
its conclusions of 21 March, 27 June and 16 July, the
European Council remains extremely concerned by
the ongoing and increasingly intense fighting in Eastern
Ukraine and continues to strongly condemn the illegal
annexation of Crimea. It condemns the increasing inflows
of fighters and weapons from the territory of the Russian
Federation into Eastern Ukraine as well as the aggression
by Russian armed forces on Ukrainian soil. It calls upon
the Russian Federation to immediately withdraw all its
military assets and forces from Ukraine. The European
Union reiterates the urgent need for a sustainable political
solution based on respect for Ukraine's sovereignty,
territorial integrity, unity and independence.
9.The European Council underlines the importance of
implementing President Poroshenko's peace plan without
delay. The first step should consist of a mutually agreed
and viable cease-fire, the re-establishment of Ukrainian
control over its border, and an immediate halt to the flow
of arms, material and military personnel from the Russian
Federation into Ukraine, as well as the urgent release of all
hostages held by the illegally armed groups as well as of the
prisoners detained in the Russian Federation. Moreover,
the European Council reiterates its call for immediate, safe
and unrestricted access to the MH17 crash site as part of
a cease-fire. The European Council expresses once more
its support for the valuable efforts of the Organisation for
Security and Cooperation in Europe.
10.The European Council welcomes the trilateral talks
initiated between the European Union, Ukraine and
the Russian Federation on practical issues with regard
to the implementation of the Association Agreement/
DCFTA and the talks on energy. The European Council
calls on all parties to keep up the momentum in order to
reach tangible results within the agreed timeframe. The
European Council also calls on all parties to support and
facilitate a stable and secure transport of energy sources,
in particular gas.
11.The European Council calls on all parties to support
and facilitate without delay the work of international
humanitarian organisations, in accordance with
international humanitarian law and principles. The
humanitarian impact of the conf lict on the civilian
population should not be exploited for political or military
ends. The European Council calls on all contributors,
including the Russian Federation, to support the
international relief effort led by the United Nations, in
full recognition of the Ukrainian Government's role as a
first responder.
12.The European Council remains engaged in the monitoring
and assessment of the restrictive measures adopted by
the European Union and stands ready to take significant
further steps, in light of the evolution of the situation on the
ground. It requests the Commission to urgently undertake
preparatory work, jointly with the EEAS, and present
proposals for consideration within a week. It requests the
Commission to include in its proposal a provision on the
basis of which every person and institution dealing with
the separatist groups in the Donbass will be listed.
13.The European Council welcomes the exceptional
measures taken by the Commission to stabilise the EU
agricultural and food markets in order to alleviate the
effects of the Russian import restrictions on certain
EU agricultural products. It invites the Commission to
monitor the situation and to consider adopting any further
measures, as appropriate.
IRAQ /SYRIA
14.The European Council is extremely dismayed by the
deterioration of the security and humanitarian situation
in Iraq and in Syria as a result of the occupation of parts
of their territory by the "Islamic State in Iraq and the
Levant (ISIL)". The European Council is appalled by
and firmly condemns the indiscriminate killings and
human rights violations perpetrated by this and other
terrorist organisations, in particular against Christian
and other religious and ethnic minorities who should be
part of a new, democratic Iraq and the most vulnerable
groups. Those responsible for such crimes shall be
held to account. The European Council underlines the
importance of coordinated action by countries from the
region to counter these threats. It urges all Iraqi leaders
to form a truly inclusive government as a first political
response to the present crisis, and stands ready to support
the Government of Iraq in the pursuit of the necessary
reforms.
15.Instability in Syria, caused by the Assad regime's brutal
war against its own people, has allowed ISIL to flourish.
A lasting solution urgently requires a political transition
in Syria.
16.The European Council calls on all sides to the conf lict
in Syria to respect the mandate of the United Nations
Disengagement Observer Force and ensure the safety and
freedom of movement of UN troops, including those from
EU Member States, and condemns recent attacks on the
Force and the detention of some of its members.
17.The European Council believes that the creation of an
Islamic Caliphate in Iraq and Syria and the Islamistextremist export of terrorism on which it is based, is a
direct threat to the security of the European countries.
The European Union is determined to contribute to
countering the threat posed by ISIL and other terrorist
groups in Iraq and Syria, as called for by United Nations
Security Council Resolution 2170. In this context, the
European Council welcomes the efforts made by the
US and other partners and the initiative of holding an
international conference on security in Iraq. It supports
the decision by individual Member States to provide
military material to Iraq, including the Kurdish regional
authorities. It requests the Council to consider a more
effective use of the existing restrictive measures, in
particular to deny ISIL the benefits of illicit oil sales or
sales of other resources on international markets. It also
remains committed to provide humanitarian assistance
to the affected populations.
***
18.The European Council strongly believes that determined
action is required to stem the f low of foreign fighters. It
calls for the accelerated implementation of the package
of EU measures in support of Member States efforts, as
agreed by the Council since June 2013, in particular to
prevent radicalisation and extremism, share information
more effectively - including with relevant third countries,
dissuade, detect and disrupt suspicious travel and
investigate and prosecute foreign fighters. In this context,
the European Council calls on the Council and the
European Parliament to finalise work on the EU Passenger
Name Record proposal before the end of the year.
The European Council also underlines the need for close
cooperation with third countries to develop a coherent
approach, including to strengthen border and aviation
security and counter-terrorism capacity in the region.
The European Council requests the Council to review the
effectiveness of the measures and to propose additional
action, as required. The European Council will review
this matter at its meeting in December.
GAZA
19.The European Council welcomes the cease-fire agreement
reached under the auspices of the Egyptian authorities.
It urges both parties to fully respect it and to continue
negotiations leading to a fundamental improvement of
the living conditions for the Palestinian people in the
Gaza Strip through the lifting of the Gaza closure regime,
49
and to ending the threat to Israel posed by Hamas and
other militant groups in Gaza. This should be supported
by international monitoring and verification to ensure
full implementation of a comprehensive agreement. All
terrorist groups in Gaza must disarm.
It is therefore urgent that the Palestinian consensus
government exercise its full responsibilities in both the
West Bank and the Gaza Strip including in the field of
security and civil administration.
The European Council remains deeply concerned about
the disastrous humanitarian situation in the Gaza Strip. It
calls for immediate and unimpeded humanitarian access
in accordance with international law.
20.The European Council reiterates the readiness of the
European Union to contribute to a comprehensive and
sustainable solution enhancing the security, welfare and
prosperity of Palestinians and Israelis alike.
21.Only a final agreement based on the two State solution
will bring durable peace and stability. The European
Council therefore encourages both parties to re-engage
in negotiations to this end. The Gaza strip shall be part of
a future State of Palestine.
LIBYA
22.
The European Council strongly condemns the
escalation of fighting in Libya, especially attacks against
residential areas, public institutions, facilities and critical
infrastructure.
23.It calls upon all parties in Libya to accept an immediate
cease-fire, to put an end to the suffering of the population,
and to engage constructively in an inclusive political
dialogue. In this regard, it fully supports the efforts of the
UN mission in Libya.
50
24.The European Council also encourages neighbouring
countries and countries of the region to support an
immediate cessation of hostilities and to refrain from
actions which might exacerbate current divisions and
undermine Libya's democratic transition.
25.
The European Council calls on Libya's interim
government and the House of Representatives to
establish urgently a truly inclusive government capable
of addressing the needs of the Libyan people. It encourages
the Constitutional Drafting Assembly to pursue as a
matter of urgency its work on a constitutional text that
will enshrine and protect the rights of all Libyans.
EBOLA
26.The European Council expresses concern about the
crisis caused by the Ebola virus in Africa, and stresses
the importance of the international community as a
whole providing substantial coordinated support to
the countries of the region, to NGOs and to the World
Health Organisation (WHO) to help them tackle the
disease as swiftly and efficiently as possible. In this regard
the European Council welcomes the additional funds
provided by the European Union and its Member States
and their efforts to provide further financial and human
resources to meet in particular the increased demand
for experts on the ground. The European Council pays
tribute to the efforts of humanitarian and health workers
in the front line. It urges all countries to follow the WHO
guidelines and allow continued, if controlled, air links to
and from the countries concerned so as to enable support
efforts to be effective and to allow their economies to
continue functioning. The European Council calls for
increased coordination at EU level of the assistance
provided by EU Member States and invites the Council to
adopt a comprehensive EU response framework to address
this crisis.
EUROPEAN COUNCIL — 23 – 24 OCTOBER 2014
Conclusions
I.
2030 CLIMATE AND ENERGY POLICY
FRAMEWORK
1.
Substantial progress has been made towards the
attainment of the EU targets for greenhouse gas emission
reduction, renewable energy and energy efficiency,
which need to be fully met by 2020. On the basis of the
principles identified in the March 2014 European Council
conclusions, the European Council agreed today on
the 2030 climate and energy policy framework for the
European Union. Accordingly, the EU will submit its
contribution, at the latest by the first quarter of 2015, in
line with the timeline agreed by the UNFCCC in Warsaw
for the conclusion of a global climate agreement. The
European Council calls on all countries to come forward
with ambitious targets and policies well in advance of
the Conference of the Parties 21 in Paris. It will revert
to this issue after the Paris Conference. The European
Council will keep all the elements of the framework under
review and will continue to give strategic orientations as
appropriate, notably with respect to consensus on ETS,
non-ETS, interconnections and energy efficiency. The
Commission will continue to have a regular dialogue with
stakeholders.
GHG emissions reduction target
2.The European Council endorsed a binding EU target
of an at least 40% domestic reduction in greenhouse gas
emissions by 2030 compared to 1990. To that end:
2.1 the target will be delivered collectively by the EU
in the most cost-effective manner possible, with
the reductions in the ETS and non-ETS sectors
amounting to 43% and 30% by 2030 compared to
2005, respectively;
2.2 a ll Member States will participate in this effort,
balancing considerations of fairness and solidarity;
EU ETS
2.3 a well-functioning, reformed Emissions Trading
System (ETS) with an instrument to stabilise the
market in line with the Commission proposal will
be the main European instrument to achieve this
target; the annual factor to reduce the cap on the
maximum permitted emissions will be changed
from 1.74% to 2.2% from 2021 onwards;
2.4 f ree allocation will not expire; existing measures
will continue after 2020 to prevent the risk of
carbon leakage due to climate policy, as long as
no comparable efforts are undertaken in other
major economies, with the objective of providing
appropriate levels of support for sectors at risk
of losing international competitiveness. The
benchmarks for free allocations will be periodically
reviewed in line with technological progress in
the respective industry sectors. Both direct and
indirect carbon costs will be taken into account,
in line with the EU state aid rules so as to ensure a
level-playing field. In order to maintain international
competitiveness, the most efficient installations in
these sectors should not face undue carbon costs
leading to carbon leakage. Future allocations will
ensure better alignment with changing production
levels in different sectors. At the same time, incentives
for industry to innovate will be fully preserved and
administrative complexity will not be increased. The
consideration to ensure affordable energy prices and
avoid windfall profits will be taken into account;
2.5 in this context, Member States with a GDP per capita
below 60% of the EU average may opt to continue to
give free allowances to the energy sector up to 2030.
The maximum amount handed out for free after
2020 should be no more than 40% of the allowances
allocated under 2.9 for auctioning to the Member
States using this option. The current modalities,
including transparency, should be improved to
ensure that the funds are used to promote real
investments modernising the energy sector, while
avoiding distortions of the internal energy market;
2.6 t he existing NER300 facility will be renewed,
including for carbon capture and storage and
renewables, with the scope extended to low carbon
innovation in industrial sectors and the initial
endowment increased to 400 million allowances
(NER400). Investment projects in all Member
States, including small-scale projects, will be eligible;
2.7 a new reserve of 2% of the EU ETS allowances will
be set aside to address particularly high additional
investment needs in low income Member States
(GDP per capita1 below 60% of the EU average). It
will have the following characteristics:
— t he proceeds from the reserve will be used to
improve energy efficiency and to modernise
the energy systems of these Member States, so
as to provide their citizens with cleaner, secure
and affordable energy;
— the use of the funds will be fully transparent;
— a llowances from the reserve will be auctioned
according to the same principles and
modalities as for other allowances;
1
All references to GDP in 2013 in EUR at market prices.
51
— t he reserve will serve to establish a fund which
will be managed by the beneficiary Member States,
with the involvement of the EIB in the selection
of projects. Simplified arrangements for smallscale projects will be ensured. Until 31 December
2030 the distribution of funds will be based on the
combination of a 50% share of verified emissions
and a 50% share of GDP criteria, but the basis on
which projects are selected will be reviewed by the
end of 2024;
2.8 for the purposes of solidarity, growth and
interconnections, 10% of the EU ETS allowances
to be auctioned by the Member States will be
distributed among those countries whose GDP
per capita did not exceed 90% of the EU average (in
2013);
2.9 the rest of allowances will be distributed among all
Member States on the basis of verified emissions,
without reducing the share of allowances to be
auctioned;
Non-ETS sectors
52
2.10 t he methodology to set the national reduction
targets for the non-ETS sectors, with all the
elements as applied in the Effort Sharing Decision
for 2020, will be continued until 2030, with efforts
distributed on the basis of relative GDP per capita.
All Member States will contribute to the overall EU
reduction in 2030 with the targets spanning from
0% to -40% compared to 2005;
2.11 targets for the Member States with a GDP per capita
above the EU average will be relatively adjusted to
ref lect cost-effectiveness in a fair and balanced
manner;
2.12 t he availability and use of existing f lexibility
instruments within the non-ETS sectors will
be significantly enhanced in order to ensure
cost-effectiveness of the collective EU effort and
convergence of emissions per capita by 2030. A
new flexibility in achieving targets - for Member
States with national reduction targets significantly
above both the EU average and their cost effective
reduction potential as well as for Member States
that did not have free allocation for industrial
installations in 2013 - will be established through
a limited, one-off, reduction of the ETS allowances,
to be decided before 2020, while preserving
predictability and environmental integrity;
2.13 it is important to reduce greenhouse gas emissions
and risks related to fossil fuel dependency in the
transport sector. The European Council therefore
invites the Commission to further examine
instruments and measures for a comprehensive
and technology neutral approach for the
promotion of emissions reduction and energy
efficiency in transport, for electric transportation
and for renewable energy sources in transport also
after 2020. The European Council calls for a rapid
adoption of the Directive laying down calculation
methods and reporting requirements pursuant to
Directive 98/70/EC of the European Parliament
and of the Council relating to the quality of petrol
and diesel fuels. It also recalls that under existing
legislation a Member State can opt to include the
transport sector within the framework of the ETS;
2.14 the multiple objectives of the agriculture and land
use sector, with their lower mitigation potential,
should be acknowledged, as well as the need to
ensure coherence between the EU's food security
and climate change objectives. The European
Council invites the Commission to examine
the best means of encouraging the sustainable
intensification of food production, while
optimising the sector's contribution to greenhouse
gas mitigation and sequestration, including
through afforestation. Policy on how to include
Land Use, Land Use Change and Forestry into the
2030 greenhouse gas mitigation framework will be
established as soon as technical conditions allow
and in any case before 2020.
Renewables and energy efficiency
3.An EU target of at least 27% is set for the share of renewable
energy consumed in the EU in 2030. This target will be
binding at EU level. It will be fulfilled through Member
States contributions guided by the need to deliver
collectively the EU target without preventing Member
States from setting their own more ambitious national
targets and supporting them, in line with the state aid
guidelines, as well as taking into account their degree of
integration in the internal energy market. The integration
of rising levels of intermittent renewable energy requires
a more interconnected internal energy market and
appropriate back up, which should be coordinated as
necessary at regional level.
An indicative target at the EU level of at least 27% is set
for improving energy efficiency in 2030 compared to
projections of future energy consumption based on the
current criteria. It will be delivered in a cost-effective
manner and it will fully respect the effectiveness of the
ETS-system in contributing to the overall climate goals.
This will be reviewed by 2020, having in mind an EU level
of 30%. The Commission will propose priority sectors in
which significant energy-efficiency gains can be reaped,
and ways to address them at EU level, with the EU and
the Member States focusing their regulatory and financial
efforts on these sectors.
These targets will be achieved while fully respecting the
Member States' freedom to determine their energy mix.
Targets will not be translated into nationally binding
targets. Individual Member States are free to set their own
higher national targets.
Achieving a fully functioning and connected internal energy
market
4.
The European Council noted the fundamental
importance of a fully functioning and connected internal
energy market. Recalling the March 2014 conclusions
on its completion, the European Council stressed that
all efforts must be mobilised to achieve this objective as a
matter of urgency. Preventing inadequate interconnections
of Member States with the European gas and electricity
networks and ensuring synchronous operation of Member
States within the European Continental Networks as
foreseen in the European Energy Security Strategy will also
remain a priority after 2020. In that context it decided that:
— the European Commission supported by the Member
States will take urgent measures in order to ensure
the achievement of a minimum target of 10% of
existing electricity interconnections, as a matter of
urgency, and no later than 2020 at least for Member
States which have not yet attained a minimum level
of integration in the internal energy market, which are
the Baltic States, Portugal and Spain, and for Member
States which constitute their main point of access to
the internal energy market. The Commission will
monitor progress and will report to the European
Council on all possible sources of financing including
on the possibilities of EU financing in order to ensure
that the 10% target will be met. In this light, the
European Council invites the Commission to make
proposals, including on finance, within the limits of
the relevant instruments of the MFF, if appropriate.
Recalling the conclusions of the March and June
European Councils, which stressed the need to
ensure the full participation of all Member States
in the internal energy market, the Commission will
also report regularly to the European Council with
the objective of arriving at a 15% target by 2030, as
proposed by the Commission. Both targets will be
attained via the implementation of PCIs;
— Member States and the Commission will facilitate
the implementation of projects of common interest
including those identified in the European Energy
Security Strategy which link in particular the Baltic
States, Spain and Portugal, to the rest of the internal
energy market, ensure that they have the highest
priority and will be completed by 2020. Special
attention will be paid to the more remote and/or
less well connected parts of the single market such
as Malta, Cyprus and Greece. In this context, the
European Council welcomes, as a first step, the
recent transmission system operators' common
strategy for the development of interconnections for
the Iberian Peninsula with the internal electricity
market, including concrete projects in order to
increase the capacity. The European Council calls
for the implementation of the strategy and encourages
the transmission system operators and regulatory
authorities to include the relevant projects in the
upcoming 10-year network development plans;
— where the implementation of these projects will not
suffice to reach the 10% target, new projects will
be identified, added as a matter of priority in the
upcoming review of the list of projects of common
interest and swiftly implemented. EU co-financing
should be made available for these projects. The
Commission is invited to present a communication
ahead of the March 2015 European Council on the
best courses of action to effectively achieve the target
mentioned above.
Energy security
5.Recalling its conclusions of June 2014, the European
Council endorsed further actions to reduce the EU's
energy dependence and increase its energy security for
both electricity and gas. Moderating energy demand
through enhanced energy efficiency will also contribute
to this objective. The European Council took note of the
Presidency report on energy security1. It welcomed the
Commission report on immediate action to increase
the EU's resilience to a possible major disruption in the
upcoming winter. This report provides a complete picture
of the robustness of Europe's energy system (stress test
exercise). In this context, the European Council welcomed
the contributions from all Member States, key energy
players, as well as neighbouring countries and partners.
The European Council also recognised that the EU's
energy security can be increased by having recourse to
indigenous resources as well as safe and sustainable low
carbon technologies.
The European Council agreed on the following points:
— i mplement critical projects of common interest in
the gas sector, such as the North-South corridor,
the Southern Gas Corridor and the promotion of a
new gas hub in Southern Europe as well as the key
infrastructure projects enhancing Finland's and the
Baltic States' energy security, to ensure diversification
of energy suppliers and routes and ensure market
functioning;
— improve arrangements for a better use of regasification
and storage capacity in the gas system to better tackle
emergency situations;
— invite the Commission to intensify its support in
order to ensure better coordination of efforts to
complete critical projects of common interest; and
to develop targeted actions such as technical advice
or the setting-up of multilateral task forces on specific
interconnectors with the relevant Member States in
order to swiftly resolve problems in implementation;
113788/14
53
— streamline national administrative procedures in
accordance with the Commission's guidance, and
further develop a policy to address the protection of
critical energy infrastructure, including against ICT
risks;
— in order to increase the EU's bargaining power in the
energy negotiations, make full use of the Decision
establishing an information exchange mechanism
with regard to intergovernmental agreements
between Member States and third countries in the
field of energy, in particular as regards standard
provisions and the Commission's assistance in the
negotiations;
— e ncourage that Member States and involved
companies provide relevant information to the
Commission and seek its support throughout
negotiations, including on the ex-ante assessment
of the intergovernmental agreements' compatibility
with EU legislation and its energy security priorities;
— f urther strengthen the Energy Community
which aims to expand the EU's energy acquis to
enlargement and neighbourhood countries, in the
light of the EU's security of supply concerns;
— use EU and Member States foreign policy
instruments to convey consistent messages related
to energy security, in particular to strategic partners
and major energy suppliers.
The European Council will revert to the issue of energy
security in 2015 to assess progress.
Governance
6.The European Council agreed that a reliable and
transparent governance system without any unnecessary
administrative burden will be developed to help
ensure that the EU meets its energy policy goals, with
the necessary f lexibility for Member States and fully
respecting their freedom to determine their energy mix.
This governance system will :
6.1 build on the existing building blocks, such as national
climate programmes, national plans for renewable
energy and energy efficiency. Separate planning and
reporting strands will be streamlined and brought
together;
6.2 step up the role and rights of consumers, transparency and predictability for investors, inter alia
by systematic monitoring of key indicators for an
affordable, safe, competitive, secure and sustainable
energy system;
6.3 facilitate coordination of national energy policies and
foster regional cooperation between Member States.
The European Council recalls its goal to build an Energy
Union aiming at affordable, secure and sustainable
energy, as stated in its Strategic Agenda, and will keep the
implementation of this goal under regular review.
54
II.
ECONOMIC ISSUES
7.The economic and employment situation remains our
highest priority. Recent macroeconomic developments
are disappointing with low GDP growth and very high
persisting levels of unemployment in much of Europe as
well as exceptionally low inf lation. This underlines the
urgency of the prompt implementation of measures to
boost jobs, growth, competitiveness and of those aimed
at empowering and protecting its citizens as set out in
the Strategic Agenda for the Union in Times of Change.
Structural reforms and sound public finances are key
conditions for investment. To this end, the European
Council invited the Commission, the Council and
the Member States to translate these orientations into
concrete policy actions without delay.
8.To pave the way towards a strong sustainable economic
recovery, Europe needs to invest in its future. Low
investment today erodes tomorrow's growth potential.
The European Council supports the incoming
Commission's intention to launch an initiative mobilising
300 billion euro of additional investment from public
and private sources over the period 2015-2017. We
need to encourage full use of all existing and allocated
EU resources. The European Council welcomed the
establishment of a Task Force, led by the Commission and
the European Investment Bank, with a view to identifying
concrete actions to boost investment, including a pipeline
of potentially viable projects of European relevance to
be realised in the short and medium term. It invited the
Commission and the Council, in close cooperation in
particular with the EIB, to take this investment initiative
forward without delay, and to report to the European
Council in December.
9.Progress towards the establishment of the banking
union has contributed to significant improvements in
financial market conditions. A resilient, well-supervised
and regulated European banking system will contribute
to supporting the economic recovery. In this respect, the
European Council welcomed the launch of the Single
Supervisory Mechanism on 4 November 2014.
III. OTHER ITEMS
Ebola
10.The European Council is deeply concerned by the
continuing spread of the Ebola virus in West Africa and
the increasing number of people infected and dying from
it. It commended the work done by the governments of
the affected countries and by NGOs in responding to an
unprecedented health challenge. The European Council
also expressed its deep appreciation for the self less
dedication of health workers in this crisis and for their
courage and professionalism.
11.
Joining forces with the United Nations, regional
organisations and other key partners, the European
Union and its Member States have been at the forefront
of international efforts to provide an emergency response
offering key capabilities, such as expert staff, Ebola capable
mobile laboratories, treatment centres, and both air and
sea transport as part of the EU Comprehensive Response.
Funding from the European Union and its Member
States has now reached more than 600 million euro. The
recent Foreign Affairs Council and the meeting of EU
Ministers for Health have further defined EU action and
the European Council urges the swift implementation of
their conclusions.
12.A sustained, coordinated and increased response is
required to curb current trends. Additional assistance
is needed to scale-up the response on the ground,
notably regarding medical care and equipment, as well
as reinforced exit screening. The European Council
welcomed Member States' commitments to increase
financial assistance, which will bring total funding to
1 billion euro. Moreover, Member States committed to
increase the deployment of medical and support staff
in the region. Member States and the Commission also
agreed to guarantee appropriate care for international
health workers within available resources to receive
the treatment they need, including through medical
evacuation. Furthermore, the use of the Emergency
Response Coordination Centre as a clearing house
mechanism for the deployment of voluntary health experts
is a priority.
13.The scale of the epidemic is a threat not only to the
economy and the stability of the affected countries, but
also to the region as a whole. The European Council
calls on the High Representative and the Commission
to develop a package of measures addressing the wider
political, security and economic implications of the Ebola
crisis in West Africa.
14.Helping West Africa to cope with the crisis is the most
effective way to prevent a serious outbreak of the disease
elsewhere. At the same time, with the first confirmed cases
of Ebola infections in Europe, the state of preparedness
within the European Union and further work to protect
European Union countries and their citizens are of
utmost importance, in particular precautionary measures
to reduce risks of contagion, including coordinated
preventive actions within the EU such as sharing of
information and best practices, training of health
professionals and, where appropriate, entry screening.
15.With a view to further reinforcing the EU Ebola response
capacity the EU has appointed incoming Commissioner
Christos Stylianides as EU Ebola coordinator. Assisted by
the Emergency Response Coordination Centre, he will
work with EU institutions, Member States, the UN and
other international organisations and stakeholders.
16.The European Council invites the President of the
Commission and the High Representative to report back
at its next meeting on the measures taken to respond to
the Ebola crisis.
Ukraine
17.Recalling its conclusions of 30 August, the European
Council welcomed the Minsk Protocol of 5 September
and the Minsk Memorandum of 19 September as steps
towards a sustainable political solution of the crisis, which
must be based on respect for Ukraine's independence,
sovereignty and territorial integrity. It expects the
parties' full engagement and swift implementation of all
commitments under the Minsk documents, in particular
with regard to the full implementation of the cease-fire, the
setting-up of comprehensive border control arrangements
and the holding of early elections in the Donetsk
and Luhansk regions in accordance with Ukrainian
law. It considers that the holding of "presidential" and
"parliamentary" elections, called by the self-appointed
authorities, would run counter to the letter and the spirit
of the Minsk Protocol and will not be recognised. The
European Council reiterates its call for immediate, safe
and unrestricted access to the MH17 crash site.
18.The European Union expects the Russian Federation
to respect Ukraine's national sovereignty and territorial
integrity and to contribute to the political stabilisation and
economic recovery of Ukraine. The European Council
reiterates that it will not recognize the illegal annexation
of Crimea. The Russian Federation should assume its
responsibilities for the full implementation of the Minsk
agreements. In particular, Russian authorities should
prevent any movement of military, weapons or fighters
from its territory into Ukraine. They should exercise their
influence to ensure that the separatists implement in good
faith the obligations assumed in Minsk. The Russian
Federation should also support OSCE verification efforts.
19.The European Union and its Member States remain
fully engaged in support of a political solution to the
Ukrainian crisis, including through contributions to
enhance the OSCE monitoring capacity, scaling up
their humanitarian assistance, and encouraging and
assisting Ukraine in its process of reforms, in particular
on decentralisation and protection of rights of persons
belonging to national minorities. The European Council
welcomed the upcoming provisional application of the
Association Agreement. It underlined the importance for
the Russian Federation, Ukraine and the European Union
to strictly abide by the commitments reflected in the Joint
Ministerial Statement of 12 September.
20.Looking ahead to Parliamentary elections on 26 October,
the European Council reiterates its willingness to
support Ukraine as it addresses political and economic
reform, including in the energy sector, in line with
the commitments both sides have made through the
Association Agreement.
21.The European Council welcomed progress in the
resolution of the Ukrainian energy crisis. It looks forward
to the finalisation of ongoing trilateral negotiations
between the Russian Federation, Ukraine and the
European Commission.
55
22.The European Council recalled previous EU decisions
on restrictive measures. It will remain seized with the
situation in Ukraine in order to provide further direction
as required.
Republic of Moldova
23.The European Council looks forward to the holding of
parliamentary elections in the Republic of Moldova on 30
November as yet another important step on the European
agenda of the Republic of Moldova following the recent
provisional application of the Association Agreement. It
expects the upcoming parliamentary elections to be free
and fair, and recommends that the Moldovan authorities
work closely with international electoral observers. In this
context, all political forces should carry out an open and
fair electoral campaign.
Cyprus
24.The European Council expressed serious concern about
the renewed tensions in the Eastern Mediterranean and
urged Turkey to show restraint and to respect Cyprus'
sovereignty over its territorial sea and Cyprus' sovereign
56
rights in its exclusive economic zone. The European
Council recalled the Declaration of the European
Community and its Member States of 21 September 2005,
including that the recognition of all Member States is a
necessary component of the accession process. Under the
current circumstances, the European Council considered
it more important than ever to ensure a positive climate so
that negotiations for a comprehensive Cyprus' settlement
can resume.
European Union Strategy for the Adriatic
and Ionian Region
25.The European Council endorsed the European Union
Strategy for the Adriatic and Ionian Region (EUSAIR)
and called on all relevant actors to implement it
without delay, as outlined in the Council conclusions of
29 September 2014.
Institutional matters
26.The European Council adopted the Decision appointing
the European Commission.
EURO SUMMIT — 24 OCTOBER 2014
Following the European Council’s discussion on economic issues
and the conclusions adopted in that respect (paragraphs 7–9 of
the European Council conclusions), the Euro Summit examined
more particularly the economic and employment situation within
the euro area. It agreed that closer coordination of economic
policies is essential to ensure the smooth functioning of the
Economic and Monetary Union.
In this respect, it called for work to continue , in close cooperation
with the Commission, to develop concrete mechanisms for
stronger economic policy coordination, convergence and
solidarity. It invited the President of the Commission, in close
cooperation with the President of the Euro Summit, the President
of the Eurogroup and the President of the European Central
Bank, to prepare next steps on better economic governance in
the euro area.
57
EUROPEAN COUNCIL — 18 DECEMBER 2014
Conclusions
I.
FOSTERING INVESTMENT IN EUROPE
1.Fostering investment and addressing market failure
in Europe is a key policy challenge. The new focus on
investment, coupled with Member States' commitment
to intensifying structural reforms and to pursuing growthfriendly fiscal consolidation, will provide the foundation
for growth and jobs in Europe. The European Council:
a)calls for setting up a European Fund for Strategic
Investments (EFSI) in the EIB Group with the aim
to mobilise 315 billion euro in new investments
between 2015 and 2017. The Commission will
present a proposal in January 2015, which the Union
legislators are invited to agree on by June, so that the
new investments can be activated as early as mid-2015.
The EIB Group is invited to start activities by using its
own funds as of January 2015. The EFSI will be open to
contributions from Member States, directly or through
national promotional banks. The European Council
takes note of the favourable position the Commission
has indicated towards such capital contributions in the
context of the assessment of public finances under the
Stability and Growth Pact, necessarily in line with the
flexibility that is built into its existing rules;
b)supports the Commission's and the EIB's intention
to strengthen technical assistance to projects at the
European level and to create an investment advisory
hub to be operational as of mid-2015;
c)underlines that the EFSI will complement and be
additional to ongoing EU programmes and traditional
EIB activities. In this context the full use of all existing
and allocated EU resources needs to be encouraged.
The Commission will work closely with the Member
States concerned to find solutions to maximise the use
of commitments under the 2007-2013 MFF period
and recognises the desirability of delivering long-term
projects in the years ahead using the flexibility of the
existing rules;
d)invites the Commission and the Union legislators
to step up work on key measures to increase the
Union's attractiveness for production, investment
and innovation, and to improve the regulatory
environment for investments, including moves towards
better integrated capital markets, while at the same
58
time robustly pursuing the better regulation agenda
aimed at transparent and simple regulation achieved
at a minimum cost, consistent with the Council
conclusions of 4 December 2014;
e)calls for speeding up adoption, transposition and
implementation of Union legislation in the Single
Market area and enhancing efforts to remove barriers
and complete the internal market in products and services;
f)calls on the Commission to present a comprehensive
Energy Union proposal well ahead of the March 2015
European Council;
g)calls on the Union legislators to give new momentum
to the work on the pending proposals regarding the
Digital Single Market and on the Commission to
submit an ambitious communication in this area well
before the June 2015 European Council;
h)calls for the further strengthening of the multilateral
trading system and the conclusion of bilateral trade
agreements with key partners. The EU and the US
should make all efforts to conclude negotiations on
an ambitious, comprehensive and mutually beneficial
TTIP by the end of 2015.
2.The European Council will take regular stock of the
implementation of the above-mentioned orientations.
3.There is an urgent need to advance efforts in the fight
against tax avoidance and aggressive tax planning, both
at the global and EU levels. Stressing the importance of
transparency, the European Council looks forward to
the Commission’s proposal on the automatic exchange
of information on tax rulings in the EU. The Council will
discuss how to make progress on all these issues and report
back to the June 2015 European Council.
4.Closer coordination of economic policies is essential to
ensure the smooth functioning of the Economic and
Monetary Union. Following a discussion on this issue
on the basis of an analytical note at the informal meeting
of the Heads of State or Government in February, the
President of the Commission, in close cooperation with
the President of the Euro Summit, the President of the
Eurogroup and the President of the European Central
Bank, will report at the latest to the June 2015 European
Council. The Member States will be closely involved in
the preparatory work.
II.UKRAINE
5.The European Council congratulates Ukraine on its
new government and welcomes its determination to
carry out political and economic reforms. Following the
Commission´s second disbursement in December of
500 million Euro in macro-financial assistance, the EU
and its Member States stand ready to further facilitate
and support Ukraine's reform process, together with other
donors and in line with IMF conditionality. The European
Council welcomes the Commission's readiness to increase
humanitarian aid to the suffering people in Ukraine.
6.The situation in eastern Ukraine remains a strong
concern. The Union's policy of not recognising the
illegal annexation of Crimea and Sevastopol was further
tightened today. The EU will stay the course; the European
Council is ready to take further steps if necessary. All
parties, including Russia, should actively engage in and
implement fully the Minsk agreements. The European
Council calls for unhindered access to the crash site of
MH17 in the interest of the ongoing investigations.
59
QC-AO-14-001-EN-N
European Council
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The European Council in 2014
ISBN 978-92-824-4829-8
ISSN 2363-2828
doi:10.2860/08818
FEBRUARY 2015