Brussels, 27/10/2002 (Agence Europe) - The meeting of the European Council was "crowned with success" as was able to note, Friday evening, its president Anders Fogh Rasmussen who succeeded in his bet the day before of securing an agreement by 18.00 hrs.. This agreement on the financing of enlargement and the conditions applicable to the future members in the agriculture sector "will enable accession negotiations to be finalised and concluded in December" at the Copenhagen Summit, said the Danish Prime Minister listing the "important decisions" taken by the Fifteen: - confirmation of the analysis by which ten candidate countries will be ready for accession in 2004; - adoption of a common position on the financial package to ensure the gradual introduction of direct agricultural aid between 2004 and 2013; - placing a ceiling on agricultural expenditure from 2006, with an annual inflation coefficient of 1% which is "an implicit sliding scale element"; - a 23 billion euro envelope for structural funds; - a budgetary compensation mechanism to avoid candidate countries having a lesser budgetary balance after accession. Mr. Rasmussen recognised that the last phase of negotiations would doubtless be "very tough", but that the Fifteen had demonstrated determination to succeed in enlargement. "There are only seven weeks left. There is no time to lose", said Rasmussen, confirming that negotiations would begin as early as next week with a meeting, in Copenhagen on Monday, with the Heads of Government of the candidate countries. Asked about a possible postponement of the reform of the Common Agricultural Policy to 2006, the Council president repeated that "the mid-term review is still on the table".
Regarding Turkey, Mr. Rasmussen repeated that "the final decision will be taken in Copenhagen". "In the next seven weeks, we shall follow developments in the country closely", he added, stressing that the European Council had praised progress achieved by Turkey.
Mr. Rasmussen also spoke of the conclusions on Kaliningrad, hoping that that would allow for agreement to be reached with Russia at the 11 November summit in Copenhagen.
Prodi thanks France and Germany
European Commission president Romano Prodi stressed that the European Council had reached agreement on all issues on the table. "Today, we have received a very clear brief" and "we shall be able to fully respect our commitments" towards candidate countries, he said, while acknowledging that "these negotiations will still reveal themselves to be complex", but that there was now "a solid basis" on which to conclude. "Cohesion policy has not been affected", Mr. Prodi observed, noting that all Member states had made their contributions. "But I believe that it is my duty to praise the excellent Franco-German engine", he added sending a "special thank-you to France and Germany that allowed for this historic agreement to be formalised".
Commissioner Gunter Verheugen spoke of a "good package that respects the needs and capacities of the candidate countries". Responding to a journalist who qualified the package as an ultimatum to candidate countries, the commissioner recalled that "candidate countries know that the Berlin ceiling has to be respected".
Schroeder stresses importance of stabilising agricultural expenditure - Other expenditure is "not a forgotten subject"
German Chancellor Gerhard Schroeder said he was fully satisfied with the agreement on funding enlargement which, according to him "gives us a good chance of unifying this large Europe" under financial conditions that should guarantee its success. "We wanted to complete the process in Copenhagen in December, and today's outcome will enable us to do so". "It's a big day for Europe, and thus a big day for Germany", said Schroeder. Germany has always been in favour of this enlargement, and has always defended the idea that "this large and historical project" cannot run up against petty material considerations. Nevertheless, the fact remains that the financial conditions for enlargement are important, whence the need, for Germany, to stabilise agricultural spending, "as the success of enlargement will also depend on a reduction in spending" in the enlarged EU, said the Chancellor. However, certain "well-known sensitivities" in other Member states made it impossible to link the gradual introduction of direct agricultural aid to the new members in 2004 to a simultaneous phasing-out of direct aid in the current Member states from 2004. "The outcome is that phasing-in will only begin in 2007", said Schroeder. The Chancellor did not conceal the fact that he would have preferred that the ceiling on agricultural spending to be based on real expenditure in 2006 instead of forecasted spending in the 2006 budget (increased by 1% to take account of inflation). As for controlling spending in other areas than agriculture after 2006 (like regional aid and the British rebate), Mr. Schroeder said he was sure he was on the same wavelength as French President Chirac in considering that this spending (even though, according to the Brussels conclusions, it will not explicitly be subject to the same "principle of stability" as agricultural spending) will be among the "central subjects" in budgetary negotiations for the period 2007-2013. "This is not a forgotten subject", said Schroeder. The Chancellor also stressed that Franco-German relations would remain "central for the European Union's development".
Chirac says there is no question of modifying the CAP in 2003 and places emphasis on the need to review the British rebate
"The Summit has placed us in the situation of concluding negotiations with candidate countries in Copenhagen, in view of signing the accession treaties in March 2003", French President Jacques Chirac was pleased to say. He went on that the situation of those countries not yet ready to join the EU (Romania and Bulgaria) had been raised "and we decided to increase our aid so that they could be in a position to join us in 2007". He thought it was still "too soon" to set a date for the beginning of negotiations with Turkey. "All Europeans are impressed by Turkey's recent progress, especially in the field of human rights, but are obliged to note that this progress is still not sufficient", Chirac explained, before noting: "setting out from there, it is very difficult to set dates", but rather "hopes, ambitions". The Copenhagen criteria "are still far from having been gained, even if the path is encouraging", he added.
He returned to the sensitive discussions on the financial and agricultural chapters of enlargement by recalling that at the outset, it had "not been easy to find a common position between France and Germany". As the stances were far apart, they had had to "show imagination and will", he acknowledged. Germany, which found its financial participation excessive, had as goal to reduce agricultural expenditure, whereas "France was very attached to all decisions taken in Berlin being respected and that post-2006 global agricultural spending be guaranteed complying with our ambition and Europe's exporting position", he recalled. It being a "good" agreement on agricultural expenditure, he warned that the "rules of play of the CAP will not be modified until 2006" and that there was "no question of modifying the CAP in 2003". He considered that the ceiling should concern all spending, like the structural funds and particular spending like the budgetary correction granted to Britain in Fontainebleau in June 1984. Mr. Chirac repeated that the rebate granted to the United Kingdom led to a "particularly shocking situation" that needed remedying. Thanks to this rebate, the United Kingdom will be "dispensed with paying two-third of spending linked to enlargement (…) Clearly, its not a reasonable situation", he commented, stating that they would have to "review this affair which, from my point of view, is not justified".
Without agreement between France and Germany, "European construction falters or stops", the thought. This search for common positions will also continue in the context of work in the Convention, he assured journalists. Like other participants, the French President recalled that this summit had been marked by "the horror that the hostage taking in Moscow inspired in all of us", and that he "condemned terrorism in all its forms".
For Jack Straw, what is important is that the Fifteen reaffirmed their commitment to reforming the CAP
British Prime Minister Tony Blair reaffirmed in the afternoon already that the British rebate was not on the agenda. "Nobody raised the issue", confirmed his Foreign Minister Jack Straw at the end of the work. The decisions taken in Berlin in 1999 remain "fully valid", even after 2006, they considered. The conclusions of the European Council reaffirm the Fifteen's commitment to proceeding with the mid-term review of the CAP, said Straw.
"For those of us who are determined to secure a reform of the CAP, it was an important day. Pessure for the reform of the CAP is there", he declared. For the United Kingdom, the amounts approved Friday evening do not represent future agricultural aid, but a ceiling that may not be renegotiated depending on the reform of the CAP and undertakings in the Doha process (on which the Secretary to the Foreign Office placed great importance). Still regarding France's attitude to the British rebate, Mr. Straw declared that "even with the rebate, the United Kingdom will spend more per capita than France has ever done".
"France acknowledges that it gets a fair deal from the EU", and that others have a right to the same treatment, he added.
Jose Maria Aznar and Silvio Berlusconi satisfied that these "reasonable" conclusions do not mean savings on structural funds
Spanish Prime Minister Jose Maria Aznar welcomed the fact that the Summit's conclusions did not finally comprise commitments to cuts in the structural funds. Spain currently benefits from 7 billion euro a year under the Common Agricultural Policy and the cost will be 150 million a year to Spanish farmers in the period 2007-2013, noted Aznar, regarding the financial compromise as "reasonable satisfactory". Spanish farmers "may rest easy", he thought. He was especially pleased that no link was made between the reform of the CAP and the enlargement process. Asked about the future of the structural funds, he stressed how Spain had succeeded in catching-up economically: "Fortunately", thanks to progress in our economy, "several Spanish regions" will be able to emerge from Objective 1, reserved for the poorest regions, he stressed.
Italian Prime Minister Silvio Berlusconi said he was "personally convinced that the advantages of enlargement will far outweigh the inconveniences", and placed emphasis on the fact that the agreement reached among the Fifteen will "preserve the interests of the less well-off areas of the current Union".
"Therefore, our mountain crops and those of some particularly difficult areas will not suffer cuts in European aid", he said, noting that finally the structural funds would remain intact, whereas, at the outset, the draft conclusions provided for reductions. As to the Franco-German agreement, Mr. Berlusconi recognised that it should not be forgotten that France and Germany were the two member states with the largest agricultural sectors.
Bertie Ahern places emphasis on his country's commitment to the Convention
Irish Prime Minister Bertie Ahern placed emphasis on the fact that following the Irish "yes" vote to the Nice Treaty, his country was going to be very heavily involved in the debate on the future of Europe. I myself and my ministers will personally involve ourselves in the Convention, he stated. Without wanting to give Valery Giscard d'Estaing a blank cheque, the Taoiseach said he was quite satisfied with the work accomplished so far.
Guy Verhofstadt stresses Belgium's active role
Belgian Prime Minister Guy Verhofstadt noted with satisfaction: "today, we have reached four agreements: on enlargement to ten mew Member states, on a date for accession, 2007, for Bulgaria and Romania, on a message of encouragement to Turkey for it to continue with its reforms and on the financial and agricultural aspects of enlargement."
"I also want to stress that this agreement was secured without harming other decisions that could =be taken in the framework of Berlin and without harming the EU's international commitments, especially in relation to the Doha Agenda", he added. Verhofstadt stressed that the Belgian proposals for safeguarding the Doha Agenda and setting the annual inflation rate for agricultural expenditure at 1% had enabled negotiations to move forward.
"Now, it is up to the Danish Presidency to assume its responsibilities and negotiate all that with the candidate countries", he concluded.
With the Brussels Agreement, Balkenende believes he can convince the opposition
"I am very satisfied with the results, as we have won on two points", declared Dutch Prime Minister Jan Peter Balkenende. Firstly, on the question of the strengthened safeguard clause for candidate countries, "we wanted better guarantees and we secured them: three years instead of two, more domains concerned, the Council's involvement", he explained. Then, the financial aspects: the Netherlands managed to secure that the inflation rate for agricultural expenditure be reduced from 1.5% to 1%, he noted, going on: "everyone applauded me". Mr. Balkenende said, with this agreement, he felt himself "capable of convincing my opponents in the Dutch Parliament".
Juncker warns that they still need to discuss what is to be understood by "stabilisation" of expenditure
According to Luxembourg Prime Minister, Jean-Claude Juncker, the Summit's conclusions respond sufficiently to the wishes of President Chirac of not limiting budgetary rigour to agriculture alone, in the sense that "the text says that the same budgetary discipline will apply to other policies, without naming them". He went on to say that in the coming weeks, there would be talks "to see whether it is a question of a ceiling, a sliding-scale method, or the beginning of a sliding-scale". He warned that the mid-term review would be an adaptation of the current CAP and that "discussions on the grand reform will take place in 2006, with mumblings in 2005". Juncker, moreover, said that the British rebate and the amount of the structural funds would be reviewed in talks to be held in 2006 on the financial framework for 2007 to 2013.
For Durao Baroso, effect of agreement on agricultural spending will be insignificant for Portugal
Portuguese Prime Minister Jose Manuel Duaro Baroso acknowledged that the European Council of Copenhagen "will take a historic decision for Europe that has been divided for decades". "We fought during this summit, and we reached the desired outcome", he was pleased to announce. Mr. Durao Baroso stressed that it was primordial for his country that enlargement should not occur to the detriment of the structural funds or the Cohesion Fund. He also acknowledged that negotiations over the future financial perspectives would not simply be difficult, but "very difficult". Reductions in agricultural expenditure are "insignificant for Portugal", as they will be more than compensated by the summit's conclusions in favour of regions lagging behind in development (benefiting from the structural funds).
Schuessel: "We have a secure scenario for our farmers until 2013"
Austrian Chancellor Wolfgang Schuessel declared himself to be "quite pleased with the agreement, as we have a secure scenario for our farmers until 2013". Regarding direct payments, he said "for the Fifteen, from 2006 to 2013, the sum will be practically the same". Like his British, Dutch and Belgian counterparts, he added that they had to retain the spirit of the EU's international commitments, "especially the Doha Agenda". The Austrian Chancellor took advantage of his press conference to recall that the Transport Council would find a solution to the question of the ecopoints "before Copenhagen".
For Persson, the agreement is a positive signal for the Swedish referendum on EMU
Swedish Prime Minister Goran Persson declared that "this agreement fully corresponds to what we want to achieve". Explaining that enlargement was going to be paid by the countries that so far have benefited most from the EU budget. Stipulating that he had been one of those who had proposed an annual inflation of 1% for agricultural spending, Mr. Persson welcomed this "stabilised inflation". "The agreement concluded today is very important for the referendum on EMU" (which should be held in Sweden sometime next year), he concluded.
Double satisfaction for Simitis: on spending on rural development and on agreement on defence
Greek Prime Minister Konstas Simitis said in particular that he was "in perfect agreement" with the conclusions over Romania, Bulgaria and Turkey. He considers that developments in Turkey are "positive" but that Ankara still has progress to make. "We have always been in favour of the fact that Turkey should participate in developments in the EU, but it is necessary that it understands that it must adapt to European standards", he added, stipulating: "we shall back this process". Regarding the agricultural chapter, Mr. Simitis said he was in "relative agreement", especially as expenditure remains high for rural development. "The Greeks will lose a little", he acknowledged.
As for the agreement on EU relations with NATO in the framework of ESDP, Simitis commented: "Today, we reached a very important agreement". "Past experience has shown us that the procedure so far conducted does not work", he explained, considering: "we cannot continually return to the negotiating table". Asked about the possibility of finally reaching agreement on the text still on the table in Brussels over Turkey, he first said that "it is not a problem between Greece and Turkey, but a problem to settle between Member states and non Member states". "Messrs. Papandreou and Solana have had contacts with Turkey, and we have the impression that it will work". His conclusion: "I am optimistic, but without being certain of the outcome".
Lipponen criticises Giscard d'Estaing's methods
Finnish Prime Minister Paavo Lipponen observed with satisfaction that "enlargement may continue". He welcomed the agreement on the ceiling for agricultural expenditure and the fact that isolated agricultural regions would continue to benefit from structural aid, as well as the conclusions regarding Kaliningrad.
Lipponen, moreover, expressed strong criticism over developments in the European Convention, and was especially scathing at the concepts developed by its chairman Giscard d'Estaing. Thus, he expressed concern at the way the Convention was increasingly resembling the nature of an intergovernmental conference (He was referring to the confidential nature of the work of the Presidium and the growing representation of governments by incumbent ministers). Like all heads of government of the smaller countries (at the meeting, Verhofstadt expressed the Benelux position on the subject and was backed, notably, by Austria and Ireland), Mr. Lipponen insisted on the importance of the role of the European Commission, and said: "I'm not sure that Mr. Giscard d'Estaing is capable of taking account of this in his concept of Europe". While recognising that the Union had to speak as one, he again criticised the idea of a long-term Council president.
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