The European Union

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The European Union
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What is the European Union?

• economic and political partnership between 27
  democratic European countries primarily located
  in Europe
• established by the Treaty of Mastricht on
  November 1, 1993 upon the fundations of the
  European Communities
• set up to bring peace, stability and prosperity
  for its citizens in fairer, safer world
• being strengthened and confirmed all across
  Europe half a billion people have chosen to live
  under the rule of law and in accordance with
  age-old values centred on humanity and human
  dignity

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How is EU organised?

• To realize all goals, EU countries set up bodies
  to run the EU and adopt its legislation
• The European Parliament
• The Council of the European Union
• The European Commission
• The Court of Justice
• The Court of Auditors
• The European Economic and Social Commitee
• The Commitee of the Regions
• The European Central Bank
• The Europe Investment Bank

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EU bodies
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The decision making triangle

• The European Parliament (representing the people
  of Europe)
• The Council of the Europen Union (representing
  national goverments)
• The European Commission (representing the common
  EU iterests)

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The decision making triangle
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The European Parliament

• Elected every five years by the people of Europe
• Main job is to pass European laws on the basis of
  proposals presented by the European Commission
• Parliament and Council share joint authority for
  approving the EU's 130 billion annual budget
• Has the power to dismiss the European Commission
• Members of the European Parliament are members of
  Europe-wide political groups
• The main meetings of the Parliament are held in
  Strasbourg (France)
• Parliament works in all 23 official EU languages
• Jerzy Buzek is the current President

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The Council of the European Union

• EUs principal decision making body
• Shares with Parliament the responsibility for
  passing EU laws
• Defines the general political direction and
  priorities of the European Union
• In charge of the EUs foreign, security and
  defence policies, and responsible for key
  decisions on justice and freedom issues
• Consists of the Heads of State or Government of
  the Member States, together with its President
  and the President of the Commission
• meets twice every six months, convened by its
  President
• consists of ministers from the national
  governments of all the EU countries

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The Council of the European Union

• Each country has a number of votes in the Council
  broadly reflecting the size of its population,
  but weighted in favour of smaller countries
• Most decisions are taken by majority vote,
  although sensitive issues in areas like taxation,
  asylum and immigration, or foreign policy,
  require unanimity
• Several times a year the presidents and/or prime
  ministers of the member states meet as the
  European Council. These summit meetings set
  overall EU policy
• Currently President is Herman Van Rompuy

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The European Commission

• EU's executive organ
• represents and upholds the interests of Europe as
  a whole
• drafts proposals for new European laws, which it
  presents to the European Parliament and the
  Council
• manages the day-to-day business of implementing
  EU policies and spending EU funds
• also seen as the motor of European integration
• currently composed of 27 commissioners for
  different areas of policy, one from each member
  state

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The European Commission

• The President of the Commission and all the other
  commissioners are nominated by the Council
• Appointment of the Commission President, and also
  the Commission in its entirety, have to be
  confirmed by Parliament
• Current Commission President is José Manuel
  Barroso

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Member states

• Six original founding states Belgium, France,
  (then West) Germany, Italy, Luxembourg and the
  Netherlands
• Today European Union is composed of 27 sovereign
  Member States 
• To join the EU a country must meet the Copenhagen
  criteria, defined at the 1993 Copenhagen European
  Council. These require
• a stable democracy that respects human rights and
  the rule of law
• a functioning market economy capable of
  competition within the EU
• the acceptance of the obligations of membership,
  including EU law

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Member states

• Evaluation of a country's fulfilment of the
  criteria is the responsibility of the European
  Council and they must have a public
  administration capable of applying and managing
  EU laws in practice.
• No member state has ever left the Union
• There are three official candidate countries,
  Croatia, Macedonia and Turkey.
• Albania, Bosnia and Herzegovina, Montenegro,
  Serbia and Iceland are officially recognised as
  potential candidates.

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Member states
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How citizents can exercise their rights

• Europeans have specific political rights.
• Every citizen of the Union, regardless of
  nationality, has the right to vote and to stand
  as a candidate in local elections in his or her
  country of residence and in elections to the
  European Parliament. This brings the EU closer to
  its people.
• Citizenship of the Union shall complement and not
  replace national citizenship.

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Economy

• Since its origin, the EU has established a single
  economic market across the territory of all its
  members.
• Currently, a single currency is in use between
  the 16 members of the eurozone.
• EU has the largest economy in the world and the
  second largest trade bloc economy in the world.
• It is the largest exporter, and the largest
  importer of goods and services, and the biggest
  trading partner to several large countries.

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Military and defence

• The predecessors of the European Union were not
  devised as a strong military alliance because
  NATO was largely seen as appropriate and
  sufficient for defence purposes.
• Twenty-one EU members are members of NATO while
  the remaining member states follow policies of
  neutrality.

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Humanitarian aid

• The European Commissions Humanitarian Aid Office,
  or ECHO, provides humanitarian aid from the EU
  to developing countries.
• In 2006 its budget amounted to 671 million, 48
  of which went to the African, Caribbean and
  Pacific countries.
• Counting the EU's own contributions and those of
  its member states together, the EU is the largest
  aid donor in the world.

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The EU symbols

• The European flag
• Symbol for the whole of Europe
• The 12 stars in a circle symbolise the ideals of
  unity, solidarity and harmony amog the people of
  Europe.
•  
• The European anthem
• The melody comes from the Ninth Symphony by
  Beethoven, it is called Ode to Joy
• When this music is used as the European anthem,
  it has no words.

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The EU symbols

• Europe Day, 9 May
• The ideas behind what is now the European Union
  were first put forward on 9 May 1950 in a speach
  by the then French Foreign Minister, Robert
  Schuman.
• Each year, 9 May is celebrated as the EUs
  birthday.
• Motto of the EU.
• United in diversity.

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EUs mission in the 21st century

• Provide peace, prosperity and stability for its
  people
• Overcome the divisions on the continent
• Ensure that its people can live in safety
• Promote balanced economic and social development
• Meet the challenges of globalisation and preserve
  the diversity of the people of Europe
• Uphold the values that Europeans share, such as
  sustainable development and a sound environment,
  respect for human rights and the social market
  economy.

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Some positive results so far

• Frontier free travel and trade
• The Euro (the single European Currency)
• Safer food and greener environment
• Better living standards in poorer regions
• Joint action on crime and terror
• Cheaper phone calls
• Millions of opportunities to study abroad
• Freedom, security and justice for all
• Equal chances for everyone

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Taxation in the European Union

• Governments retain sole responsibility for levels
  of direct taxation
• Tax rules must be consistent with the goals of
  job creation, the EUs competitiveness, the
  single market and free movement of capital
• Member states set the rate of tax on company
  profits, personal incomes, savings and capital
  gains themselves

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VAT

• VAT rates are an exception, as they are
  fundamental for single market
• Minimum rate of 15 of VAT on most goods and
  services exceptions are possible

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Excise taxes

• Subject to common rules as excise tax on petrol,
  alcoholic drinks or cigarettes, as they can
  distort competition
• Cultural and economic differences are recognised

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Revision

• Which EU institution represents national
  governments?
• Which institution is the executive organ of the
  EU?
• Which states are original founding states?
• Which countries are official candidates?
• What are symbols of the EU?
• Which are positive results of the EU so far?
• Who retains responsibility for levels of direct
  taxation?
• What is the minimum rate of VAT?