Brussels, 10/07/2006 (Agence Europe) - While visiting Brussels, Moritz Leuenberger, president of the Swiss Confederation, presented the president of the Commission José Manuel Barroso on Monday 10 July with the recent “EUROPE 2006” report of his government, which provides the basis of a debate on future relations between the EU and Switzerland (EUROPE 9146). The forthcoming referendum on Swiss aid to new Member States, tax incentives enjoyed by European companies in certain Swiss cantons were also discussed, as well as the soon-to-be opened permanent Commission delegation in Berne.
Although the “EUROPE 2006” report is mainly addressed to the Swiss national parliament, it also examines the variety of European political instruments available within a perspective of an optimum defence of Swiss interests. Mr Leuenberger informed the press that it presents “several options”, namely, “the bilateral route” and that of “accession”. If the first solution is chosen, then it will be necessary to cooperate more in areas such as “energy, transport and the environment” he added. According to Mr Leuenberger, “there are political forces pushing towards accession, but if they had a vote today, it is likely that they would not obtain a majority”. The president of the Swiss Confederation also mentioned the possibility of a “general agreement” that would facilitate greater relations between the EU and Switzerland.
Asked about the possibilities of such a framework agreement, Mr Barroso referred to a spoken reflection that could include several options, including “accession”. He acknowledged that there will not be “any accession in the immediate future”, which was why they had to “think of an alternative solution, namely, a bilateral solution”. Nonetheless, he did think that such a framework agreement for the European Union should be concluded in the context of the “European Economic Area” and in the form of an “association agreement”.
As for the priorities in the short and medium term, the EUROPE 2006 report establishes the following stages: most efficient implementation as possible and the duration of the existing bilateral agreements; the adaptation, if necessary, and updating of these agreements; the deepening of contractual relations in areas where it appears opportune and possible; Switzerland's contribution to reducing economic and social disparities in Europe.
There will be a referendum next November in Switzerland on the allocation of a billion Swiss francs to the new Member States of the European Union via a contribution to the European cohesion funds. Asked about the subject in a survey that appeared to give the “no” vote victory, Mr Leuenberger declared that the election campaign had not yet kicked off. Mr Barroso stated that, “Switzerland has very clearly decided to support enlargement…We are hoping that the referendum result will be positive”.
In connection with some Swiss cantons that provide some European companies with tax breaks, Mr Barroso confirmed that this “is a problem we find worrying” and explained that it would be necessary to work together more to find a solution. A diplomatic source indicated that Switzerland's official position is to consider that these tax practices do not affect the free trade agreements between the two partners. The same source has been assessing the state of work at a technical level for nearly six months.
Mr Leutenberger and Mr Barroso welcomed the expected opening next autumn of a permanent European Commission delegation in Berne.