Brussels, 23/10/2011 (Agence Europe) - As wanted by France and Germany in particular, the European Council decided, in Brussels on Sunday 23 October, to appoint Herman Van Rompuy as chairman of meetings of the heads of state and government of the eurozone, at least until it is decided otherwise. This, then, will see Van Rompuy hold the posts of President of the European Council and chairman of eurozone summits (roles he has, in practice, been fulfilling).
The European Council states in its conclusions that “the President of the Euro Summit will be designated by the Heads of State or Government of the euro area at the same time the European Council elects its President and for the same term of office”. While awaiting this election, eurozone summits will be chaired by current European Council President Herman Van Rompuy, whose term of office comes to an end in May 2012.
These summits, which bring together the 17 countries that have adopted the single currency, have assumed increased importance within the EU with the sovereign debt crisis and Greece. In future, it is expected they will be held at least twice per year.
Van Rompuy has been European Council President since December 2009, following the Lisbon Treaty. With his now two-hatted role, he will have to coordinate Monetary Union discussions at the highest level while liaising with those EU countries which do not use the euro. He will not have a free hand in his new role, given the pre-eminence of German Chancellor Angela Merkel and French President Nicolas Sarkozy who are intent on being very much at the helm in the eurozone.
Growing discontent among those who are not members of the eurozone. Some of the 10 non-eurozone member states complained on Sunday of the increasing willingness of those states which have adopted the single currency to take decisions without consulting them. That is why the conclusions state that “the President of the Euro Summit will keep the non euro area Member States closely informed of the preparation and outcome of the Summits”.
Some countries are becoming increasingly annoyed at their peers in the eurozone wanting to meet as a group, to increase joint management of their economies and take decisions without the countries which are not part of the euro area. In the eyes of those being held at arms' length from important eurozone decision-making, the 27-member European project is being gradually stripped of its substance and being replaced by a two-speed Europe.
“The crisis in the eurozone affects all our economies, including the United Kingdom's”, said UK Prime Minister David Cameron. “It is in the interest of the United Kingdom that the countries of the eurozone settle their problems. But it is becoming dangerous - and I have spoken frankly about this with them - if they take decisions that are vital for the other countries of the single market, for example, on financial services that affect the whole of the single market”, Cameron stated. Consequently, the British and others demanded - and won - a summit of all the countries of the EU in Brussels on Wednesday, in addition to the eurozone summit.
The leaders of non-eurozone countries were given the backing of European Commission President José Manuel Barroso, who views the rise in power of the eurozone unfavourably. “There must be no separation between the eurozone and the rest of the European Union”¸ he said. The Commission is concerned by what it sees as a growing tendency towards “inter-governmental” management of Europe by France and Germany. France is seeking greater power for the eurozone as a separate entity to put flesh on the idea of economic government. This position is not one that is shared by all euro area leaders. The Netherlands and Finland have just issued a warning, in a letter jointly signed by Sweden, taking the view that “all member states must be involved in decisions” to maintain Europe's economic prosperity. Denmark said, too, that all important decisions have to be taken by all 27 members.
Van Rompuy said he was “fully aware of all the sensitivities between the two groups. We do not want to cause a split. It is the commission's responsibility to ensure that all member states are treated equally”, he said.
Polish Prime Minister Donald Tusk stated: “We very much support continued EU integration, including of the eurozone, because, unlike some EU states, Poland says it stands ready to join the eurozone once it has been reorganised and once Poland meets all the criteria”. (LC with MB/AN/CG/MD/FG/JK/DDstage/transl.rt)