Brussels, 08/11/2002 (Agence Europe) - The debate on economic governance (see yesterday's EUROPE, p.3) demonstrated almost unanimity by Convention members not to alter anything to the statute and mandate of the ECB or the Stability Pact. A large majority wants an enhanced role for the European Commission regarding the broad economic policy guidelines (BEPGs).
During the debate, the representative of the British Government, Peter Hain pleaded in favour of maintaining unanimity for tax and social matters. As for tax, he received the backing of the representatives of the Swedish government, Lena Hjelm-Wallen, Portuguese, Ernani Lopes, and Irish Roche. Ernani Lopes, moreover, held a very conservative speech, as he wanted to retain the current system for monetary aspects and the informal character of the Eurogroup. He was also one of the rare Convention members to speak out against any strengthening of the Commission's powers regarding the BEPGs and the Stability Pact. On the other side of the fence, the representative of the Dutch Government, Gijs de Vries pleaded in favour of extending qualified majority voting to tax and social issues and the free movement of persons, without jeopardising national social security schemes. He said he agreed with Mr. Fini on the application of an enhanced co-operation mechanism for the Eurogroup. "Social Europe can no longer lag behind", said Belgian Foreign Minister Louis Michel, pleading in favour of setting goals for growth, full employment and economic and social cohesion. He also spoke out in favour of qualified majority voting and co-decision on tax issues, as well as for a "Euro board". The representative of the Luxembourg Government, Jacques Santer pleaded in favour of an increased role for the Commission in relation to the BEPGs and deficits, and said that the Stability pact worked well. "It is not always as he who reads", added the former president of the Commission. the representative of the European Trade Union Confederation, Emilio Gabaglio, and of the Economic and Social committee, Roger Briesch, pleaded in favour of inclusion in the treaty of the social market economy, the role of services of a general interest, the social dialogue, full employment and other social objectives. For Valery Giscard d'Estaing, this debate demonstrated a consensus on: (1) retaining the current distribution of powers regarding economic and monetary policy; (2) introduction of economic and social objectives; (3) better economic co-ordination with the possibility for the Commission to send out initial warnings directly to the Member states concerned regarding the respect of the BEPGs and excessive deficits; (4) incorporation of the open method of co-ordination. As for tax, he noted "a very large current" in favour of extending qualified majority voting to a list of measures, "but not a consensus yet".
Like the Belgian Socialist, Anne Van Lancker, several MEPs pleaded in favour of setting up a working group on social Europe, request backed by the Luxembourg parliamentarian, Ben Fayot, Irish Proinsias de Rosa, German, Jurgen Meyer and Dutch Frans Timmermans. Only the Dane Per Dalgaard spoke out against such a group of which Lancker said it should: (1) formulate ambitious goals for social Europe; (2) recognise the social dialogue as an essential EU pillar; (3) guarantee a genuine European employment policy; (4) introduce qualified majority voting and co-decision for tax and social issues as well as a horizontal clause for public services. In his reply, VGE said that "Europe must show strongly that it is not only a market". It cannot only be a question of a declaration, but there need also be policies, he acknowledged, announcing that the presidium would propose a working group on social Europe at the next plenary session. Something that Emilio Gabaglio and Johannes Voggenhuber were especially pleased to hear.