Brussels, 08/03/2004 (Agence Europe) - The 'Competitivity Council' (internal market, industry, research) taking place on Thursday 11 March, chaired by Mary Harney, Vice-President and Minister for Businesses, Trade and Employment for the Republic of Ireland, will be largely devoted to preparing for the European Council of 25 and 26 March. Ministers will have a political discussion based on the "Key Issues Priorities Paper" drawn up by the Presidency, and it is possible that this document will be adopted as the Competitivity Council contribution to the Spring Summit. The Council is also likely to adopt decisions on stimulating entrepreneurial spirit, competitivity of business-related services and key research. It will also examine a series of reports on the state of play on proposals for registering, evaluating and authorising chemical products (REACH), consumer protection cooperation and the fight against piracy and counterfeiting. After the break, in which the Commission will inform ministers of the latest developments in the Iter dossier, the Council will give the next instalment in the Community patent saga (see EUROPE 6 March p.10). Finally, Ministers will engage in an exchange of views on the European Space Policy.
Spring Summit. Ministers will discuss the Competitivity Council contribution scheme to the Spring Summit. Based on an integrated approach to competitivity, the "Key Issues Priority Paper" lists the tasks to be undertaken to meet the Lisbon objectives. It argues in favour of enhanced competition resulting from better-performing markets. In this respect, the contribution scheme to the European Council highlights the agreement on the Take-over Directive and progress made on the piracy and counterfeiting dossiers (see below). It also provides for the Council undertaking to reach an agreement before the end of 2004 on legislative proposals for recognising vocational qualifications and unfair commercial practices. The document underlines the importance of the recent proposed directive on services and invites Member States to step up efforts to reach the objectives set by the European Council regarding transposing internal market legislation and ensuring full implementation.
If the Council follows the Irish Presidency on regulatory reform, it will propose priorities for reviewing pertinent elements of existing EU legislation before the end of 2004 with a view to evaluating their collective impact on competitivity and will invite the Commission to consequently alter its simplification programme; in consultation with the Commission, it will re-examine and strengthen the competitivity element of the of the extended impact evaluation procedure and will invite the Commission to indicate how it intends to implement the new 'anticipatory' approach of competition policy. As for challenges for industry, the Council is likely to decide to deepen its analysis of de-industrialisation and ask the Commission and Member States to increase efforts to stimulate entrepreneurial spirit. It may also invite the Commission to give the results of the examination of allocation plans for Member State emission pollutant quotas and provide an evaluation of the incidence of the emission quota exchange system on competitivity in the EU. Finally, with regard to research and innovation, the Presidency draft provides that the Council will evaluate progress made in reaching the goal of 3% of GDP, that it will endeavour to strike an agreement on provisions on the mobility of third countries researchers at the end of 2004, that it will begin discussions this year on the priorities for the framework programme and that it will ask the Commission to update guidelines on state aid and research and development. After the discussion on the contribution to the Spring Summit, the Council should adopt conclusions based on recent Commission communications on entrepreneurial spirit (see EUROPE of 3 March, p 10 and 11).
Industry. Following the 'Environment' Council of last week, the 'Competitivity' Council will discuss the state of play on proposals to reform the system for registering, evaluating and authorising chemical products - REACH - (see also pages 17 and 18). At the centre of the dicussions will be the balance between competitivity and environmental protection under the new system and an evaluation of the administrative burden on industry and national authorities. Ministers are set to approve, by qualified majority, the Commission proposal to extend by one year the temporary defence mechanism for the naval construction sector (see EUROPE of 22 January, p. 10).
Services. Following a presentation of the draft directive on services (see EUROPE of 14 January, p.8) by European Internal Market Commissioner Frits Bolkestein, the Council is set to adopt conclusions on the competitivity of business-related services, conculsions backing measures recommended by the Commission in its communiaction of 5 December 2003 to enhance the competitivity of the services in question.
Intellectual property. In addition to working on the European patent, ministers are set to look into the proposal on the fight against piracy and counterfeiting in the light of the result of the Parliament vote in first reading expected on Tuesday 9 March (Fourtou report).
Research. After adopting the conclusions on the need for substantial support for key research, ministers will exchange views on European space policy. They should try to fix a timetable and develop an approach for short term space policies. Examining and implementing policies could be carried out in conjunction with the European Space Agency, possibly in the framework of an informal "Space Council".
Consumers. The Council will examine the state of play on the proposal for cooperation to protect the economic interests of consumers in the case of cross-boundary disputes. The points of friction in this dossier concerns the field of application of the proposal (a majority of Member States are in favour of a field of application limited to Community legislation cross-border infractions) and instruments of cooperation. On this point, several Member States favour the existing system, whilst others support the Commission idea to create a framework for mutual assistance and a network of authorties responsible for overseeing the application of the legislation in each Member State. An idea feared too costly by the former related to the administrative burden incurred by implementation.