TREATY OF MAASTRICHT
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TREATY OF MAASTRICHT

TREATY ON EUROPEAN UNION (92 / C 191/01)

 

HIS MAJESTY THE KING OF THE BELGIANS,

 

HER MAJESTY THE QUEEN OF DENMARK,

 

THE PRESIDENT OF THE FEDERAL REPUBLIC OF GERMANY,

 

THE PRESIDENT OF THE HELLENIC REPUBLIC,

 

HIS MAJESTY THE KING OF SPAIN,

 

THE PRESIDENT OF THE FRENCH REPUBLIC,

 

THE PRESIDENT OF IRELAND,

 

THE PRESIDENT OF THE ITALIAN REPUBLIC,

 

HIS ROYAL HIGHNESS THE GRAND DUKE OF LUXEMBOURG,

 

HER MAJESTY THE QUEEN OF THE NETHERLANDS,

 

THE PRESIDENT OF THE PORTUGUESE REPUBLIC,

 

HER MAJESTY THE QUEEN OF THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND,

 

RESOLVED to take a new step in the process of European integration initiated by the creation of the European Communities,

 

RECALLING the historical importance of the end of the division of the European continent and the need to establish solid foundations for the architecture of future Europe.

 

CONFIRMING their attachment to the principles of liberty, democracy and respect for human rights and fundamental freedoms and the rule of law,

 

DESIROUS of deepening solidarity between their peoples while respecting their history, culture and traditions,

 

DESIROUS of strengthening the democratic character and the efficiency of the functioning of the institutions, in order to enable them to better fulfill, within a single institutional framework, the missions entrusted to them,

 

RESOLVED to strengthen their economies and to ensure their convergence, and to establish an economic and monetary union comprising, in accordance with the provisions of this Treaty, a single and stable currency,

 

DETERMINED to promote the economic and social progress of their peoples, within the framework of the completion of the internal market and the strengthening of cohesion and the protection of the environment, and to implement policies ensuring parallel progress in the economic integration and in other areas,

 

RESOLVED to establish a common citizenship for the nationals of their countries,

 

RESOLVED to implement a common foreign and security policy, including the eventual definition of a common defense policy which could lead, when the time comes, to a common defense, thus strengthening the identity of Europe and its independence in order to promote peace, security and progress in Europe and in the world,

 

REAFFIRMING their objective of facilitating the free movement of persons, while ensuring the safety and security of their peoples, by including provisions on justice and home affairs in this Treaty,

 

RESOLVED to continue the process of creating an ever closer union between the peoples of Europe, in which decisions are taken as close as possible to the citizens, in accordance with the principle of subsidiarity,

 

IN THE PERSPECTIVE of further steps to be taken in order to advance European integration,

 

HAVE DECIDED to establish a European Union and to this end have appointed as their plenipotentiaries:

 

 

HIS MAJESTY THE KING OF THE BELGIANS:

 

Mark EYSKENS,

 

Minister of Foreign Affairs;

 

Philippe MAYSTADT,

 

Minister of Finances;

 

HER MAJESTY THE QUEEN OF DENMARK:

 

Uffe ELLEMANN-JENSEN,

 

Minister of Foreign Affairs;

 

Anders FOGH RASMUSSEN,

 

Minister of Economic Affairs;

 

THE PRESIDENT OF THE FEDERAL REPUBLIC OF GERMANY:

 

Hans-Dietrich GENSCHER,

 

Federal Minister of Foreign Affairs;

 

Theodor WAIGEL,

 

Federal Minister of Finance;

 

THE PRESIDENT OF THE HELLENIC REPUBLIC:

 

Antonios SAMARAS,

 

Minister of Foreign Affairs;

 

Efthymios CHRISTODOULOU,

 

Minister of National Economy;

 

HIS MAJESTY THE KING OF SPAIN:

 

Francisco FERNÁNDEZ ORDÓÑEZ,

 

Minister of Foreign Affairs;

 

Carlos SOLCHAGA CATALÁN,

 

Minister of Economy and Finance;

 

THE PRESIDENT OF THE FRENCH REPUBLIC:

 

Roland DUMAS,

 

Minister of Foreign Affairs;

 

Pierre BEREGOVOY,

 

Minister of the Economy, Finance and Budget;

 

THE PRESIDENT OF IRELAND:

 

Gerard COLLINS,

 

Minister of Foreign Affairs;

 

Bertie AHERN,

 

Minister of Finances;

 

THE PRESIDENT OF THE ITALIAN REPUBLIC:

 

Gianni DE MICHELIS,

 

Minister of Foreign Affairs;

 

Guido CARLI,

 

Minister of the Treasury;

 

HIS ROYAL HIGHNESS THE GRAND DUKE OF LUXEMBOURG:

 

Jacques F. POOS,

 

Vice Prime Minister,

 

Minister of Foreign Affairs;

 

Jean-Claude JUNCKER,

 

Minister of Finances;

 

HER MAJESTY THE QUEEN OF THE NETHERLANDS:

 

Hans van den BROEK,

 

Minister of Foreign Affairs;

 

Willem KOK,

 

Minister of Finances;

 

THE PRESIDENT OF THE PORTUGUESE REPUBLIC:

 

João de Deus PINHEIRO,

 

Minister of Foreign Affairs;

 

Jorge BRAGA from MACEDO

 

Minister of Finances;

 

HER MAJESTY THE QUEEN OF THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND:

 

The Rt. Hon. Douglas HURD,

 

Minister of Foreign and Commonwealth Affairs;

 

The Hon. Francis MAUDE,

 

Financial Secretary to the Treasury;

 

WHO, having communicated their full powers, found in good and due form, have agreed upon the following provisions:

 

TITLE I

 

COMMON PROVISIONS

 

 

Article A

 

By this Treaty, the High Contracting Parties establish among themselves a European Union, hereinafter referred to as “the Union”.

 

This Treaty marks a new stage in the process of creating an ever closer union between the peoples of Europe, in which decisions are taken as close as possible to the citizens.

 

The Union is founded on the European Communities supplemented by the policies and forms of cooperation established by this Treaty. Its mission is to organize in a coherent and united manner the relations between the Member States and between their peoples.

 

 

 

Article B

 

The Union’s objectives are:

 

– promote balanced and sustainable economic and social progress, in particular by creating an area without internal borders, by strengthening economic and social cohesion and by establishing an economic and monetary union comprising, in the long term, a single currency, in accordance with the provisions of this Treaty;

 

– to assert its identity on the international scene, in particular through the implementation of a common foreign and security policy, including the eventual definition of a common defense policy, which could lead, when the time comes, to a common defense;

 

– strengthen the protection of the rights and interests of nationals of its Member States by establishing citizenship of the Union;

 

– develop close cooperation in the field of justice and home affairs;

 

– to fully maintain and develop the acquis communautaire in order to examine, in accordance with the procedure referred to in Article N (2), to what extent the policies and forms of cooperation established by this Treaty should be revised with a view to ” ensure the effectiveness of community mechanisms and institutions.

 

The objectives of the Union shall be achieved in accordance with the provisions of this Treaty, under the conditions and according to the rates provided for therein, while respecting the principle of subsidiarity as defined in Article 3b of the Treaty establishing the European Community.

 

Article C

 

The Union has a unique institutional framework which ensures the coherence and continuity of the actions carried out in order to achieve its objectives, while respecting and developing the acquis communautaire.

 

The Union ensures, in particular, the consistency of all of its external action within the framework of its policies in the fields of external relations, security, the economy and development. The Council and the Commission are responsible for ensuring this consistency. They ensure, each according to their skills, the implementation of these policies.

 

Article D

 

The European Council gives the Union the necessary impetus for its development and defines its general political guidelines.

 

The European Council brings together the Heads of State or Government of the Member States as well as the President of the Commission. These are assisted by the ministers responsible for foreign affairs of the Member States and by a member of the Commission. The European Council meets at least twice a year, under the chairmanship of the Head of State or Government of the Member State which holds the Presidency of the Council.

 

The European Council submits a report to the European Parliament following each of its meetings, as well as an annual written report on the progress made by the Union.

 

Article E

 

The European Parliament, the Council, the Commission and the Court of Justice shall exercise their powers under the conditions and for the purposes laid down, on the one hand, by the provisions of the Treaties establishing the European Communities and of the subsequent Treaties and acts which have amended them or supplemented and, on the other hand, by the other provisions of this Treaty.

 

Article F

 

1. The Union respects the national identity of its Member States, whose systems of government are founded on democratic principles.

 

2. The Union respects fundamental rights, as guaranteed by the European Convention for the Protection of Human Rights and Fundamental Freedoms, signed in Rome on 4 November 1950, and as they result from constitutional traditions. common to the Member States, as general principles of Community law.

 

3. The Union equips itself with the means necessary to achieve its objectives and carry out its policies.

 

 

TITLE II

 

PROVISIONS AMENDING THE TREATY ESTABLISHING THE EUROPEAN ECONOMIC COMMUNITY WITH A VIEW TO ESTABLISHING THE EUROPEAN COMMUNITY

 

 

Article G

 

The Treaty establishing the European Economic Community is amended in accordance with the provisions of this article in order to establish a European Community.

 

A. Throughout the treaty:

 

1) The terms “European Economic Community” are replaced by the terms “European Community”

 

B. In the first part “The principles”:

 

2.Article 2 is replaced by the following:

 

” Article 2

 

The mission of the Community, by establishing a common market, an economic and monetary union and by implementing the policies or common actions referred to in Articles 3 and 3a, is to promote harmonious and balanced development economic activities throughout the Community, sustainable and non-inflationary growth respecting the environment, a high degree of convergence of economic performance, a high level of employment and social protection, raising of the level and quality of life, economic and social cohesion and solidarity between the Member States. ”

 

3.Article 3 is replaced by the following:

 

“Article 3

 

For the purposes set out in Article 2, action by the Community shall include, under the conditions and at the rates provided for in this Treaty:

 

(a) the elimination, between Member States, of customs duties and quantitative restrictions on the entry and exit of goods, as well as all other measures having equivalent effect,

 

b) a common commercial policy,

 

(c) an internal market characterized by the abolition, between Member States, of obstacles to the free movement of goods, persons, services and capital,

 

d) measures relating to the entry and movement of persons in the internal market in accordance with Article 100c,

 

(e) a common policy in the fields of agriculture and fisheries,

 

(f) a common policy in the field of transport,

 

(g) a regime ensuring that competition is not distorted in the internal market,

 

h) the approximation of national laws to the extent necessary for the functioning of the common market,

 

i) a policy in the social field including a European Social Fund,

 

j) strengthening economic and social cohesion,

 

k) an environmental policy,

 

(l) strengthening the competitiveness of Community industry,

 

m) the promotion of research and technological development,

 

n) encouraging the establishment and development of trans-European networks,

 

o) a contribution to the achievement of a high level of health protection,

 

(p) a contribution to quality education and training and to the development of the cultures of the Member States,

 

q) a policy in the field of development cooperation,

 

r) the association of overseas countries and territories, with a view to increasing trade and jointly pursuing the effort of economic and social development,

 

s) a contribution to strengthening consumer protection,

 

(t) measures in the fields of energy, civil protection and tourism. ”

 

(4) the following article is inserted:

 

“Article 3 A

 

1. For the purposes set out in Article 2, the action of the Member States and of the Community shall include, under the conditions and at the rates provided for in this Treaty, the establishment of an economic policy based on close coordination economic policies of the Member States, on the internal market and on the definition of common objectives, and conducted in accordance with the principle of an open market economy where competition is free.

 

2. At the same time, under the conditions and in accordance with the rates and procedures provided for by this Treaty, this action shall include the irrevocable fixing of exchange rates leading to the establishment of a single currency, the ECU, as well as the definition and the conduct of a single monetary and exchange rate policy the main objective of which is to maintain price stability and, without prejudice to that objective, to support general economic policies in the Community, in accordance with the principle of an open market economy where competition is free.

 

3. This action by the Member States and the Community implies compliance with the following guiding principles: stable prices, sound public finances and monetary conditions and a stable balance of payments. ”

 

(5) the following article is inserted:

 

“Article 3 B

 

The Community shall act within the limits of the powers conferred on it and the objectives assigned to it by this Treaty.

 

In areas which do not fall under its exclusive competence, the Community intervenes, in accordance with the principle of subsidiarity, only if and to the extent that the objectives of the action envisaged cannot be sufficiently achieved by the Member States. and can therefore, because of the dimensions or the effects of the envisaged action, be better achieved at Community level.

 

Action by the Community does not go beyond what is necessary to achieve the objectives of this Treaty. ”

 

6.Article 4 is replaced by the following:

 

“Article 4

 

1. The tasks entrusted to the Community shall be carried out by:

 

– a EUROPEAN PARLIAMENT,

 

– an advice,

 

– a commission,

 

– a COURT OF JUSTICE,

 

– a COURT OF ACCOUNTS.

 

Each institution acts within the limits of the powers conferred on it by this Treaty.

 

2. The Council and the Commission shall be assisted by an Economic and Social Committee and a Committee of the Regions exercising advisory functions. ”

 

7) The following articles are inserted:

 

“Article 4 A

 

There is hereby established, in accordance with the procedures provided for in this Treaty, a European System of Central Banks, hereinafter referred to as “ESCB”, and a European Central Bank, hereinafter referred to as “ECB”; they act within the limits of the powers conferred on them by this Treaty and the Statute of the ESCB and of the ECB, hereinafter referred to as “the Statute of the ESCB”, which are annexed thereto.

 

Article 4B

 

A European Investment Bank is hereby established which shall act within the limits of the powers conferred on it by this Treaty and the Statutes annexed to it. ”

 

8. Article 6 is deleted and Article 7 becomes Article 6. Its second paragraph is replaced by the following:

 

“The Council, acting in accordance with the procedure referred to in article 189c, may adopt any regulations with a view to the prohibition of such discrimination.”

 

9) Articles 8, 8 A, 8 B and 8 C become respectively articles 7, 7 A, 7 B and 7 C.

 

C. The following part is inserted:

 

“SECOND PART

 

CITIZENSHIP OF THE UNION

 

Article 8

 

1. Citizenship of the Union is hereby established.

 

Any person having the nationality of a Member State is a citizen of the Union.

 

2. Citizens of the Union shall enjoy the rights and be subject to the duties provided for in this Treaty.

 

Article 8 A

 

1. Every citizen of the Union has the right to move and reside freely in the territory of the Member States, subject to the limitations and conditions provided for by this Treaty and by the provisions adopted for its application.

 

2. The Council may adopt provisions aimed at facilitating the exercise of the rights referred to in paragraph 1; Unless this Treaty provides otherwise, it shall act unanimously on a proposal from the Commission and after obtaining the assent of the European Parliament.

 

Article 8 B

 

1. Any citizen of the Union residing in a Member State of which he is not a national has the right to vote and to stand as a candidate in municipal elections in the Member State in which he resides, under the same conditions as nationals of that State. This right will be exercised subject to the arrangements to be adopted before 31 December 1994 by the Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament; these arrangements may provide for derogations when specific problems in a Member State so warrant.

 

2. Without prejudice to the provisions of Article 138 (3) and the provisions adopted for its application, any citizen of the Union residing in a Member State of which he is not a national shall have the right to vote and to stand as a candidate in elections. to the European Parliament in the Member State where he resides, under the same conditions as nationals of that State. This right will be exercised subject to the procedures to be adopted before 31 December 1993 by the Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament; these arrangements may provide for derogations when specific problems in a Member State so warrant.

 

Article 8c

 

Every citizen of the Union enjoys, on the territory of a third country where the Member State of which he is a national is not represented, from the protection of the diplomatic and consular authorities of any Member State, in the same conditions as nationals of that state. Before 31 December 1993, the Member States will establish among themselves the necessary rules and engage in the international negotiations required to ensure this protection.

 

Article 8d

 

Every citizen of the Union has the right to petition the European Parliament in accordance with the provisions of Article 138 D.

 

Any citizen of the Union may apply to the ombudsperson set up in accordance with the provisions of Article 138 E.

 

Article 8 E

 

The Commission shall report to the European Parliament, to the Council and to the Economic and Social Committee before 31 December 1993, and then every three years, on the application of the provisions of this part. This report takes into account the development of the Union.

 

On this basis, and without prejudice to the other provisions of this Treaty, the Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament, may adopt provisions tending to supplement the rights provided for in this part, provisions the adoption of which it will recommend by the Member States in accordance with their respective constitutional rules. ”

 

D. The second and third parts are grouped under the following heading:

 

“THIRD PART

 

COMMUNITY POLICIES ”

 

and in this part:

 

(10) in Article 49, the first sentence is replaced by the following:

 

‘As soon as this Treaty enters into force, the Council, acting in accordance with the procedure referred to in Article 189b and after consulting the Economic and Social Committee, shall adopt, by means of directives or regulations, the measures necessary with a view to gradually achieve the free movement of workers, as defined in Article 48, in particular: ”

 

(11) in Article 54, paragraph 2 is replaced by the following:

 

“2. In order to implement the general program or, in the absence of this program, to accomplish a stage in the achievement of freedom of establishment in a given activity, the Council, acting in accordance with the procedure referred to in Article 189b and after consulting the Economic and Social Committee, take a decision by means of directives. ”

 

(12) in Article 56, paragraph 2 is replaced by the following:

 

“2. Before the end of the transitional period, the Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament, shall adopt directives for the coordination of the aforementioned laws, regulations and administrative provisions. However, after the end of the second stage, the Council, acting in accordance with the procedure referred to in Article 189b, shall adopt directives for the coordination of the provisions which, in each Member State, fall within the regulatory or administrative field. ”

 

13.Article 57 is replaced by the following:

 

“Article 57

 

1. In order to facilitate access to and exercise of self-employed activities, the Council, acting in accordance with the procedure referred to in Article 189b, shall adopt directives aimed at the mutual recognition of diplomas, certificates and other titles.

 

2. For the same purposes, the Council shall, before the expiry of the transitional period, adopt directives aimed at coordinating the laws, regulations and administrative provisions of the Member States concerning access to and exercise of self-employed activities. -this. The Council shall act unanimously, on a proposal from the Commission and after consulting the European Parliament, on directives the implementation of which in at least one Member State entails an amendment of the existing legislative principles of the system of professions with regard to training and the conditions of access for natural persons. In other cases, the Council shall act in accordance with the procedure referred to in Article 189 B.

 

3. As regards the medical, paramedical and pharmaceutical professions, the gradual release of restrictions will be subject to the coordination of their conditions of exercise in the various Member States. ”

 

14) The title of Chapter 4 is replaced by the following title:

 

“Chapter 4

 

Capital and payments ”

 

15) The following articles are inserted:

 

“Article 73 A

 

From 1 January 1994, articles 67 to 73 are replaced by articles 73 B to 73 G.

 

Article 73b

 

1. Within the framework of the provisions of this Chapter, all restrictions on the movement of capital between Member States and between Member States and third countries are prohibited.

 

2. Within the framework of the provisions of this Chapter, all restrictions on payments between Member States and between Member States and third countries are prohibited.

 

Article 73c

 

1. Article 73 B is without prejudice to the application to third countries of the restrictions existing on 31 December 1993 by virtue of national or Community law as regards the movement of capital to or from third countries when they involve direct investments, including real estate investments, establishment, provision of financial services or admission of securities to the capital markets.

 

2. While endeavoring to achieve the objective of free movement of capital between Member States and third countries, to the greatest extent possible and without prejudice to the other chapters of this Treaty, the Council, acting by a qualified majority on a proposal Commission, may adopt measures relating to the movement of capital to or from third countries, where they involve direct investment, including real estate investment, establishment, provision of financial services or admission of securities in the capital markets. Unanimity is required for the

 

Article 73d

 

1. Article 73b is without prejudice to the right of Member States:

 

a) apply the relevant provisions of their tax legislation which distinguish between taxpayers who are not in the same situation as regards their residence or the place where their capital is invested;

 

b) take all necessary measures to prevent infringements of their laws and regulations, in particular in fiscal matters or prudential supervision of financial institutions, to provide for procedures for declaring capital movements for administrative or statistical information purposes , or to take measures justified on grounds of public order or public security.

 

2. This Chapter is without prejudice to the possibility of applying restrictions on the right of establishment which are compatible with this Treaty.

 

3. The measures and procedures referred to in paragraphs 1 and 2 must not constitute a means of arbitrary discrimination or a disguised restriction on the free movement of capital and payments as defined in Article 73 B.

 

Article 73e

 

By way of derogation from Article 73b, the Member States which benefit, on 31 December 1993, from a derogation under the Community law in force are authorized to maintain, until 31 December 1995 at the latest, the restrictions on movements of capital authorized by the exemptions existing on that date.

 

Article 73f

 

Where, in exceptional circumstances, movements of capital from or to third countries cause or threaten to cause serious difficulties for the functioning of Economic and Monetary Union, the Council, acting by a qualified majority on a proposal from the Commission and after consulting the ECB, may take safeguard measures with regard to third countries for a period not exceeding six months, provided that these measures are strictly necessary.

 

Article 73g

 

1. If, in the cases provided for in Article 228a, action by the Community is deemed necessary, the Council, in accordance with the procedure provided for in Article 228a, may take, with regard to the third countries concerned , urgent measures needed with regard to capital movements and payments.

 

2. Without prejudice to Article 224 and as long as the Council has not taken measures in accordance with paragraph 1, a Member State may, for serious political reasons and for reasons of urgency, take unilateral measures against a third country concerning capital movements and payments. The Commission and the other Member States shall be informed of these measures at the latest on the day of their entry into force.

 

The Council, acting by a qualified majority on a proposal from the Commission, may decide that the Member State concerned must modify or abolish the measures in question. The President of the Council informs the European Parliament of the decisions taken by the Council.

 

Article 73h

 

Until January 1, 1994, the following provisions are applicable:

 

1) Each Member State undertakes to authorize, in the currency of the Member State in which the creditor or beneficiary resides, payments relating to trade in goods, services and capital, as well as transfers of capital and wages, in so far as the movement of goods, services, capital and persons is free between Member States in application of this Treaty.

 

Member States declare their willingness to liberalize their payments beyond what is provided for in the previous paragraph, provided that their economic situation in general, and the state of their balance of payments in particular, theirs. allow.

 

2) Insofar as trade in goods and services and the movement of capital are limited only by restrictions on payments relating thereto, the provisions of this chapter shall be applied by analogy, for the purposes of the progressive abolition of these restrictions, the provisions of this chapter and chapters on the elimination of quantitative restrictions and the liberalization of services.

 

3. Member States undertake not to introduce between themselves any new restrictions on transfers relating to invisible transactions listed in the list set out in Annex III to this Treaty.

 

The gradual elimination of existing restrictions shall be carried out in accordance with the provisions of Articles 63 to 65 inclusive, insofar as it is not governed by the provisions of paragraphs 1 and 2 or by other provisions of this Chapter.

 

4) If necessary, the Member States shall consult each other on the measures to be taken to enable the payments and transfers referred to in this article to be carried out; such measures may not prejudice the objectives set out in this Treaty. ”

 

16.Article 75 is replaced by the following:

 

“Article 75

 

1. With a view to implementing Article 74 and taking into account the special aspects of transport, the Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall establish:

 

(a) common rules applicable to international transport carried out from or to the territory of a Member State, or crossing the territory of one or more Member States;

 

(b) the conditions for the admission of non-resident carriers to national transport operations in a Member State;

 

(c) measures to improve transport safety;

 

d) all other useful provisions.

 

2. The provisions referred to in points (a) and (b) of paragraph 1 shall be adopted during the transitional period.

 

3. By way of derogation from the procedure provided for in paragraph 1, the provisions relating to the principles of the transport system and the application of which would be liable to seriously affect the standard of living and employment in certain regions, as well as the operation transport equipment, taking into account the need to adapt to economic development resulting from the establishment of the common market, shall be adopted by the Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and the Economic and Social Committee. ”

 

17) In the third part, the title of Title I is replaced by the following:

 

“TITLE V

 

THE COMMON RULES ON COMPETITION, TAXATION AND APPROXIMATION OF LAWS ”

 

18) In Article 92 (3):

 

– the following point is inserted:

 

“(D) aid intended to promote culture and heritage conservation, when it does not adversely affect trade and competition conditions in the Community to an extent contrary to the common interest.”

 

– point d) becomes point e).

 

19.Article 94 is replaced by the following:

 

“Article 94

 

The Council, acting by a qualified majority on a proposal from the Commission and after consulting the European Parliament, may adopt any regulations useful for the application of Articles 92 and 93 and in particular lay down the conditions for the application of Article 93 (paragraph) 3, and the categories of aid which are exempt from this procedure. ”

 

20.Article 99 is replaced by the following:

 

“Article 99

 

The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and the Economic and Social Committee, shall adopt the provisions relating to the harmonization of legislation relating to turnover taxes, sales duties. excise and other indirect taxes insofar as this harmonization is necessary to ensure the establishment and functioning of the internal market within the time limit provided for in Article 7 A. ”

 

21.Article 100 is replaced by the following:

 

“Article 100

 

The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and the Economic and Social Committee, shall adopt directives for the approximation of the laws, regulations and administrative provisions of the Member States which have a direct impact on the establishment or operation of the common market. ”

 

(22) in Article 100a, paragraph 1 is replaced by the following:

 

“1. By way of derogation from Article 100 and unless this Treaty provides otherwise, the following provisions shall apply for the attainment of the objectives set out in Article 7 A. The Council, acting in accordance with the procedure referred to in Article 189 B and after consulting the Economic and Social Committee, adopt measures relating to the approximation of the laws, regulations and administrative provisions of the Member States which have as their object the establishment and functioning of the internal market. ”

 

23) the following article is inserted:

 

“Article 100 C

 

1. The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament, shall determine the third countries whose nationals must be in possession of a visa when crossing the external borders of the Member States.

 

2. However, in the event of an emergency situation arising in a third country confronting the Community with the threat of a sudden influx of nationals from that country, the Council may, acting by a qualified majority on a recommendation from the Commission, make it compulsory, for a period not to exceed six months, to obtain a visa by nationals of the country in question. The visa requirement established by this paragraph may be extended in accordance with the procedure referred to in paragraph 1.

 

3. As from 1 January 1996, the Council shall adopt by qualified majority the decisions referred to in paragraph 1. Before that date, the Council, acting by qualified majority on a proposal from the Commission and after consulting the European Parliament, shall adopt the measures relating to the introduction of a standard visa model.

 

4. In the areas referred to in this Article, the Commission shall be required to examine any request made by a Member State requesting that it make a proposal to the Council.

 

5. This Article is without prejudice to the exercise of the responsibilities incumbent on the Member States for the maintenance of public order and the safeguard of internal security.

 

6. This article is applicable to other matters if so decided under Article K.9 of the provisions of the Treaty on European Union relating to cooperation in the fields of justice and business. internal, subject to the voting conditions determined at the same time.

 

7. The provisions of conventions in force between the Member States governing matters covered by this Article shall remain in force until their content has been replaced by directives or by measures taken under this Article. ”

 

24) the following article is inserted:

 

“Article 100 D

 

The Coordination Committee composed of senior officials, established by Article K.4 of the Treaty on European Union, contributes, without prejudice to the provisions of Article 151, to the preparation of the work of the Council in the areas referred to in ‘Article 100 C. ”

 

25) In Part Three, Title II, Chapters 1, 2 and 3 are replaced by the following:

 

“TITLE VI

 

ECONOMIC AND MONETARY POLICY

 

Chapter 1

 

Economic policy

 

Article 102a

 

The Member States shall conduct their economic policies with a view to contributing to the achievement of the objectives of the Community, as defined in Article 2, and in the context of the broad guidelines referred to in Article 103 (2). The Member States and the Community act in accordance with the principle of an open market economy where competition is free, promoting an efficient allocation of resources, in accordance with the principles set out in Article 3 A.

 

Article 103

 

1. Member States shall consider their economic policies as a matter of common interest and coordinate them within the Council, in accordance with Article 102 A.

 

2. The Council, acting by a qualified majority on a recommendation from the Commission, shall draw up a draft for the broad guidelines of the economic policies of the Member States and of the Community and report thereon to the European Council.

 

The European Council, on the basis of the Council report, debates a conclusion on the broad guidelines of the economic policies of the Member States and of the Community.

 

On the basis of this conclusion, the Council, acting by a qualified majority, adopts a recommendation laying down these broad guidelines. The Council informs Parliament of its recommendation.

 

3. In order to ensure closer coordination of economic policies and sustained convergence of the economic performance of the Member States, the Council, on the basis of reports submitted by the Commission, shall monitor economic developments in each of the Member States and in the Community, as well as the conformity of economic policies with the broad guidelines referred to in paragraph 2, and regularly carry out an overall assessment.

 

For the purposes of this multilateral surveillance, the Member States send the Commission information on the important measures they have taken in the field of their economic policy and any other information they deem necessary.

 

4. Where it is found, under the procedure referred to in paragraph 3, that the economic policies of a Member State are not in conformity with the broad guidelines referred to in paragraph 2 or that they risk jeopardizing the proper functioning of Economic and Monetary Union, the Council, acting by a qualified majority on a recommendation from the Commission, may address the necessary recommendations to the Member State concerned. The Council, acting by a qualified majority on a proposal from the Commission, may decide to make its recommendations public.

 

The President of the Council and the Commission report to the European Parliament on the results of multilateral surveillance. The President of the Council may be invited to appear before the competent committee of the European Parliament if the Council has made its recommendations public.

 

5. The Council, acting in accordance with the procedure referred to in Article 189c, may adopt the detailed rules for the multilateral surveillance procedure referred to in paragraphs 3 and 4 of this article.

 

Article 103a

 

1. Without prejudice to the other procedures provided for in this Treaty, the Council, acting unanimously on a proposal from the Commission, may decide on measures appropriate to the economic situation, in particular if serious difficulties arise in the supply of certain products. .

 

2. When a Member State experiences difficulties or a serious threat of serious difficulties, owing to exceptional events beyond its control, the Council, acting unanimously on a proposal from the Commission, may grant, under certain conditions, Community financial assistance to the Member State concerned. When the serious difficulties are caused by natural disasters, the Council acts by qualified majority. The President of the Council informs the European Parliament of the decision taken.

 

Article 104

 

1. The ECB and the central banks of the Member States, hereinafter referred to as “national central banks”, are prohibited from granting overdrafts or any other type of credit to the institutions or bodies of the Community, to central administrations, to regional or local authorities, other public authorities, other public bodies or undertakings in the Member States; the direct acquisition, from them, by the ECB or the national central banks, of their debt instruments is also prohibited.

 

2. Paragraph 1 shall not apply to public credit institutions which, in the context of the provision of liquidity by central banks, benefit, from the national central banks and the ECB, from the same treatment as private credit institutions.

 

Article 104a

 

1. Any measure, not based on prudential considerations, which establishes privileged access for Community institutions or bodies, central administrations, regional or local authorities, other public authorities or other bodies or companies is prohibited. Member States’ public authorities to financial institutions.

 

2. Before 1 January 1994, the Council, acting in accordance with the procedure referred to in Article 189c, shall specify the definitions with a view to the application of the prohibition referred to in paragraph 1.

 

Article 104 B

 

1. The Community shall not be liable for the commitments of central administrations, regional or local authorities, other public authorities or other public bodies or undertakings of a Member State, nor assume them, without prejudice to financial guarantees. mutual funds for the joint realization of a specific project. A Member State shall not be liable for the commitments of central administrations, regional or local authorities, other public authorities or other public bodies or enterprises of another Member State, nor assume them, without prejudice to financial guarantees mutual funds for the joint realization of a specific project.

 

2. The Council, acting in accordance with the procedure referred to in Article 189c, may, if necessary, specify the definitions for the application of the prohibitions referred to in Article 104 and in this Article.

 

Article 104c

 

1. Member States avoid excessive government deficits.

 

2. The Commission shall monitor the development of the budgetary situation and the amount of public debt in the Member States with a view to detecting obvious errors. In particular, it examines whether budgetary discipline has been respected, on the basis of the following two criteria:

 

(a) if the ratio of the forecast or actual government deficit to the gross domestic product exceeds a reference value, unless:

 

– the ratio has not decreased substantially and constantly and has reached a level close to the reference value;

 

– or that the exceeding of the reference value is only exceptional and temporary and that said ratio remains close to the reference value;

 

b) if the ratio of public debt to gross domestic product exceeds a reference value, unless this ratio decreases sufficiently and approaches the reference value at a satisfactory pace.

 

The reference values ​​are specified in the Protocol on the excessive deficit procedure, which is annexed to this Treaty.

 

3. If a Member State does not meet the requirements of these criteria or any of them, the Commission shall draw up a report. The Commission report also examines whether the government deficit exceeds public investment expenditure and takes into account all other relevant factors, including the medium-term economic and budgetary position of the Member State.

 

The Commission may also draw up a report if, despite meeting the requirements arising from the criteria, it considers that there is a risk of an excessive deficit in a Member State.

 

4. The committee provided for in Article 109c shall deliver an opinion on the report of the Commission.

 

5. If the Commission considers that there is an excessive deficit in a Member State or that such a deficit is likely to occur, it shall address an opinion to the Council.

 

6. The Council, acting by a qualified majority on a recommendation from the Commission, and taking into account any observations from the Member State concerned, shall decide, after an overall assessment, whether or not there is an excessive deficit.

 

7. When the Council, in accordance with paragraph 6, decides that there is an excessive deficit, it shall address recommendations to the Member State concerned so that the latter put an end to the situation within a given period. Subject to the provisions of paragraph 8, these recommendations shall not be made public.

 

8. When the Council finds that no effective action has been taken in response to its recommendations within the prescribed time limit, it may make its recommendations public.

 

9. If a Member State persists in not acting on the Council’s recommendations, the Council may decide to give notice to the Member State concerned to take, within a specified period, measures aimed at reducing the deficit deemed necessary by the Council to remedy the situation.

 

In such a case, the Council may request the Member State concerned to submit reports according to a specific timetable, in order to be able to examine the adjustment efforts made by that Member State.

 

10. The rights of recourse provided for in Articles 169 and 170 may not be exercised within the framework of paragraphs 1 to 9 of this article.

 

11. As long as a Member State does not comply with a decision taken under paragraph 9, the Council may decide to apply or, where appropriate, to intensify one or more of the following measures:

 

– require the Member State concerned to publish additional information, to be specified by the Council, before issuing bonds and securities;

 

– invite the European Investment Bank to review its lending policy towards the Member State concerned;

 

– require the Member State concerned to make a non-interest bearing deposit of an appropriate amount with the Community until, in the opinion of the Council, the excessive deficit has been corrected;

 

– impose fines of an appropriate amount.

 

The President of the Council informs the European Parliament of the decisions taken.

 

12. The Council shall repeal all or some of its decisions referred to in paragraphs 6 to 9 and 11 to the extent that, in the opinion of the Council, the excessive deficit in the Member State concerned has been corrected. While the Council has previously made its recommendations public, it publicly declares, as soon as the decision referred to in paragraph 8 is repealed, that there is no longer an excessive deficit in that Member State.

 

13. When the Council takes its decisions referred to in paragraphs 7 to 9, 11 and 12, the Council shall act on the recommendation of the Commission by a two-thirds majority of the votes of its members, weighted in accordance with Article 148 (2), the votes of the representative of the Member State concerned being excluded.

 

14. Additional provisions relating to the implementation of the procedure described in this article are contained in the Protocol on the excessive deficit procedure, annexed to this Treaty.

 

The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and the ECB, shall adopt the appropriate provisions which will replace the said protocol.

 

Subject to the other provisions of this paragraph, the Council, acting by a qualified majority on a proposal from the Commission and after consulting the European Parliament, shall, before 1 January 1994, lay down the procedures and definitions for the application of the provisions of said protocol.

 

Chapter 2

 

Monetary policy

 

Article 105

 

1. The main objective of the ESCB is to maintain price stability. Without prejudice to the objective of price stability, the ESCB shall provide support for general economic policies in the Community, with a view to contributing to the achievement of the objectives of the Community, as defined in Article 2. The ESCB shall act in accordance with the principle of an open market economy where competition is free, promoting an efficient allocation of resources and respecting the principles set out in Article 3 A.

 

2. The fundamental tasks of the ESCB consist of:

 

– define and implement the monetary policy of the Community;

 

– conduct foreign exchange transactions in accordance with article 109;

 

– hold and manage the official foreign exchange reserves of the Member States;

 

– promote the proper functioning of payment systems.

 

3. The third indent of paragraph 2 shall apply without prejudice to the holding and management by the governments of the Member States of working capital in foreign currencies.

 

4. The ECB is consulted:

 

– on any Community act proposed in the fields falling within its competence;

 

– by the national authorities on any draft regulation in the fields falling within its competence, but within the limits and under the conditions set by the Council in accordance with the procedure provided for in Article 106 (6).

 

The ECB may, in the fields falling within its competence, submit opinions to the appropriate Community institutions or bodies or to national authorities.

 

5. The ESCB contributes to the proper conduct of the policies pursued by the competent authorities with regard to the prudential supervision of credit institutions and the stability of the financial system.

 

6. The Council, acting unanimously on a proposal from the Commission, after consulting the ECB and on the assent of the European Parliament, may entrust the ECB with specific tasks relating to policies on the prudential supervision of credit institutions. and other financial institutions, except insurance companies.

 

Article 105a

 

1. The ECB alone has the power to authorize the issue of banknotes in the Community. The ECB and national central banks can issue such banknotes. Banknotes issued by the ECB and national central banks are the only ones that are legal tender in the Community.

 

2. Member States may issue coins, subject to approval by the ECB of the volume of the issue. The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the ECB, may adopt measures to harmonize the unit values ​​and the technical specifications of all coins intended for circulation, to the extent that this is necessary to ensure their smooth circulation in the Community.

 

Article 106

 

1. The ESCB is made up of the ECB and the national central banks.

 

2. The ECB has legal personality.

 

3. The ESCB is governed by the decision-making bodies of the ECB, which are the Governing Council and the Executive Board.

 

4. The Statute of the ESCB is defined in a Protocol annexed to this Treaty.

 

5. Articles 5.1, 5.2, 5.3, 17, 18, 19.1, 22, 23, 24, 26, 32.2, 32.3, 32.4, 32.6, 33.1 a) and 36 of the Statute of the ESCB may be amended by the Council, acting either by qualified majority on the recommendation of the ECB and after consulting the Commission, or unanimously on a proposal from the Commission and after consulting the ECB. In both cases, the assent of the European Parliament is required.

 

6. The Council, acting by a qualified majority either on a proposal from the Commission and after consulting the European Parliament and the ECB, or on a recommendation from the ECB and after consulting the European Parliament and the Commission, shall adopt the provisions referred to in Articles 4, 5.4, 19.2, 20, 28.1, 29.2, 30.4 and 34.3 of the Statute of the ESCB.

 

Article 107

 

In the exercise of the powers and in the performance of the missions and duties conferred on them by this Treaty and the Statute of the ESCB, neither the ECB, nor a national central bank, nor any member of their decision-making bodies may not seek or accept instructions from Community institutions or bodies, from the governments of the Member States or from any other body. The Community institutions and bodies as well as the governments of the Member States undertake to respect this principle and not to seek to influence the members of the decision-making bodies of the ECB or of the national central banks in the performance of their duties.

 

Article 108

 

Each Member State shall ensure that its national legislation, including the statute of its national central bank, is compatible with this Treaty and the Statute of the ESCB, at the latest on the date of the establishment of the ESCB.

 

Article 108a

 

1. For the performance of the tasks entrusted to the ESCB, the ECB, in accordance with this Treaty and under the conditions laid down in the Statute of the ESCB:

 

– adopt regulations to the extent necessary for the performance of the tasks defined in the first indent of Article 3.1, in Articles 19.1, 22 or 25.2 of the Statute of the ESCB, as well as in the cases provided for in the acts of the Council referred to in Article 106 paragraph 6;

 

– take the decisions necessary for the performance of the tasks entrusted to the ESCB under this Treaty and the Statute of the ESCB;

 

– issues recommendations and opinions.

 

2. The regulation has general application. It is binding in its entirety and is directly applicable in all Member States.

 

Recommendations and opinions are not binding.

 

The decision is binding in all its elements for the addressees it designates.

 

Articles 190, 191 and 192 are applicable to regulations and decisions adopted by the ECB.

 

The ECB may decide to publish its decisions, recommendations and opinions.

 

3. Within the limits and under the conditions adopted by the Council in accordance with the procedure laid down in Article 106 (6), the ECB shall be empowered to impose fines and periodic penalty payments on undertakings in the event of non-compliance with its regulations and its decisions.

 

Article 109

 

1. By way of derogation from Article 228, the Council, acting unanimously on a recommendation from the ECB or the Commission, after consulting the ECB with a view to reaching a consensus compatible with the objective of price stability , and after consulting the European Parliament, in accordance with the procedure referred to in paragraph 3 for the arrangements mentioned therein, may conclude formal agreements relating to a system of exchange rates for the ECU, vis-à-vis non-Community currencies. The Council, acting by a qualified majority on a recommendation from the ECB or the Commission, and after consulting the ECB with a view to reaching a consensus compatible with the objective of price stability, may adopt, modify or abandon the prices central funds of the ECU in the exchange rate system.

 

2. In the absence of an exchange rate system vis-à-vis one or more non-Community currencies within the meaning of paragraph 1, the Council, acting by a qualified majority or on a recommendation from the Commission and thereafter consultation of the ECB, or on the recommendation of the ECB, may formulate general guidelines for exchange rate policy vis-à-vis these currencies. These general guidelines do not affect the main objective of the ESCB, namely the maintenance of price stability.

 

3. By way of derogation from Article 228, in the event that agreements on matters relating to the monetary or exchange rate regime are to be the subject of negotiations between the Community and one or more States or international organizations, the Council, acting at the qualified majority on the recommendation of the Commission and after consultation with the ECB, decides on the arrangements relating to the negotiations and the conclusion of these agreements. These arrangements must ensure that the Community expresses a unique position. The Commission is fully involved in the negotiations.

 

Agreements concluded under this paragraph are binding on the institutions of the Community, the ECB and the Member States.

 

4. Subject to paragraph 1, the Council, on a proposal from the Commission and after consulting the ECB, acting by a qualified majority, shall decide on the position of the Community at international level with regard to questions of relevance to particular interest for economic and monetary union, and, acting unanimously, decides on its representation, while respecting the distribution of powers provided for in Articles 103 and 105.

 

5. Without prejudice to Community competences and agreements in the field of Economic and Monetary Union, Member States may negotiate in international bodies and conclude international agreements.

 

Chapter 3

 

Institutional arrangements

 

Article 109a

 

1. The Governing Council of the ECB consists of the members of the Executive Board of the ECB and the governors of the national central banks.

 

2. a) The Management Board is made up of the chairman, the vice-chairman and four other members.

 

b) The President, the Vice-President and the other members of the Executive Board are appointed by common accord of the governments of the Member States at the level of Heads of State or Government, on the recommendation of the Council and after consultation of the European Parliament and of the Governing Council of the ECB, among persons of recognized authority and professional experience in the monetary or banking field.

 

Their term of office is eight years and is not renewable.

 

Only nationals of Member States can be members of the Management Board.

 

Article 109b

 

1. The President of the Council and a member of the Commission may participate without the right to vote in meetings of the Governing Council of the ECB.

 

The President of the Council may submit a motion for deliberation by the Governing Council of the ECB.

 

2. The President of the ECB shall be invited to participate in meetings of the Council when the latter is deliberating on matters relating to the objectives and tasks of the ESCB.

 

3. The ECB shall submit an annual report on the activities of the ESCB and on monetary policy for the previous year and the current year to the European Parliament, the Council and the Commission, as well as to the European Council. The President of the ECB presents this report to the Council and the European Parliament, which may hold a general debate on this basis.

 

The President of the ECB and the other members of the Executive Board may, at the request of the European Parliament or on their own initiative, be heard by the competent committees of the European Parliament.

 

Article 109c

 

1. In order to promote the coordination of the policies of the Member States to the full extent necessary for the functioning of the internal market, a Monetary Committee of an advisory nature is hereby set up.

 

This committee’s mission is:

 

– to monitor the monetary and financial situation of the Member States and of the Community, as well as the general system of payments of the Member States and to report regularly to the Council and the Commission on this subject;

 

– formulate opinions, either at the request of the Council or the Commission, or on its own initiative, for the benefit of these institutions;

 

– without prejudice to Article 151, to contribute to the preparation of the work of the Council referred to in Articles 73 F and 73 G, in Article 103 (2, 3, 4 and 5), in Articles 103 A, 104 A, 104 B and 104 C, in Article 109 E paragraph 2, in Article 109 F paragraph 6, in Articles 109 H and 109 I, in Article 109 J paragraph 2 and in Article 109 K paragraph 1;

 

– to examine, at least once a year, the situation with regard to the movement of capital and freedom of payments, as they result from the application of this Treaty and the measures taken by the Council; this review covers all measures relating to capital movements and payments; the Committee reports to the Commission and the Council on the results of this examination.

 

The Member States and the Commission shall each appoint two members of the Monetary Committee.

 

2. At the start of the third phase, an Economic and Financial Committee is set up. The Monetary Committee provided for in paragraph 1 is dissolved.

 

The Economic and Financial Committee is responsible for:

 

– formulate opinions, either at the request of the Council or the Commission, or on its own initiative, for the benefit of these institutions;

 

– to monitor the economic and financial situation of the Member States and of the Community and to report regularly to the Council and the Commission on this subject, in particular on financial relations with third countries and international institutions;

 

– without prejudice to Article 151, to contribute to the preparation of the work of the Council referred to in Articles 73 F and 73 G, in Article 103 paragraphs 2, 3, 4 and 5, in Articles 103 A, 104 A, 104 B and 104 C, in Article 105 paragraph 6, in Article 105 A paragraph 2, in Article 106 paragraphs 5 and 6, in Articles 109, 109 H, 109 I paragraphs 2 and 3, in Article 109 K paragraph 2 and in article 109 L paragraphs 4 and 5 and to carry out the other advisory and preparatory missions entrusted to it by the Council;

 

– to examine, at least once a year, the situation with regard to the movement of capital and freedom of payments, as they result from the application of the Treaty and the measures taken by the Council; this review covers all measures relating to capital movements and payments; the Committee reports to the Commission and the Council on the results of this examination.

 

The Member States, the Commission and the ECB each appoint a maximum of two members of the committee.

 

3. The Council, acting by a qualified majority on a proposal from the Commission and after consulting the ECB and the committee referred to in this Article, shall adopt the arrangements relating to the composition of the Economic and Financial Committee. The President of the Council shall inform the European Parliament of this decision.

 

4. In addition to the tasks set out in paragraph 2, if and for as long as Member States benefit from a derogation under Articles 109k and 109l, the committee shall monitor the monetary and financial situation as well as the general payment arrangements of these States. members, and reports regularly to the Council and the Commission thereon.

 

Article 109d

 

For matters falling within the scope of article 103 paragraph 4, article 104 C with the exception of paragraph 14, articles 109, 109 J, 109 K and article 109 L paragraphs 4 and 5, the Council or a Member State may request the Commission to make a recommendation or a proposal, as the case may be. The Commission shall examine this request and present its conclusions to the Council without delay.

 

Chapter 4

 

Transitional provisions

 

Article 109e

 

1. The second phase of the realization of Economic and Monetary Union begins on 1 January 1994.

 

2. Before this date:

 

(a) each Member State:

 

– adopt, as necessary, the appropriate measures to comply with the prohibitions provided for in Article 73 B, without prejudice to Article 73 E, Article 104 and Article 104 A paragraph 1;

 

– adopt, if necessary, in order to allow the evaluation provided for in point (b), multiannual programs intended to ensure the sustainable convergence necessary for the achievement of economic and monetary union, in particular as regards price stability and healthy public finances;

 

b) the Council, on the basis of a report from the Commission, assesses the progress made in the area of ​​economic and monetary convergence, in particular as regards price stability and sound public finances, as well as the progress made in completing the implementation of Community legislation on the internal market.

 

3. Article 104, article 104 A paragraph 1, article 104 B paragraph 1 and article 104 C with the exception of paragraphs 1, 9, 11 and 14, shall apply from the beginning of the second phase.

 

Article 103 A paragraph 2, article 104 C paragraphs 1, 9 and 11, articles 105, 105 A, 107, 109, 109 A and 109 B and article 109 C paragraphs 2 and 4 apply from the start of the third phase.

 

4. During the second phase, Member States shall endeavor to avoid excessive government deficits.

 

5. During the second phase, each Member State begins, where appropriate, the process leading to the independence of its central bank, in accordance with Article 108.

 

Article 109f

 

1. From the start of the second phase, a European Monetary Institute, hereinafter referred to as “EMI”, shall be set up and carry out its tasks; it has legal personality and is directed and managed by a Council composed of a president and the governors of the national central banks, one of whom is vice-president.

 

The President is appointed by common accord of the governments of the Member States at the level of Heads of State or Government, on the recommendation of the Committee of Governors of the Central Banks of the Member States, hereinafter referred to as the “Committee of Governors”, or of the Council of the EMI, as the case may be, and after consulting the European Parliament and the Council. The chairman is chosen from among people whose authority and professional experience in the monetary or banking field are recognized. The president of the EMI must be a national of a Member State. The Council of the EMI appoints the vice-president.

 

The statutes of the EMI are contained in a protocol annexed to this treaty.

 

The Board of Governors is dissolved from the start of the second phase.

 

2. The EMI:

 

– strengthen cooperation between national central banks;

 

– strengthen the coordination of the monetary policies of the Member States with a view to ensuring price stability;

 

– supervises the functioning of the European Monetary System;

 

– carry out consultations on matters which fall within the competence of the national central banks and affect the stability of financial institutions and markets;

 

– takes over the functions hitherto performed by the European Monetary Cooperation Fund, which has been dissolved; the methods of dissolution are laid down in the statutes of the EMI;

 

– facilitate the use of the ECU and monitor its development, including the proper functioning of the ECU clearing system.

 

3. In order to prepare for the third phase, the EMI:

 

– prepare the instruments and procedures necessary for the application of the single monetary policy during the third phase;

 

– encourage the harmonization, if necessary, of the rules and practices governing the collection, compilation and dissemination of statistics in the field falling within its competence;

 

– draw up the rules for the operations to be undertaken by the national central banks within the framework of the ESCB;

 

– encourages the efficiency of cross-border payments;

 

– supervises the technical preparation of banknotes denominated in ECU.

 

By 31 December 1996 at the latest, the EMI shall specify the regulatory, organizational and logistical framework which the ESCB needs to carry out its tasks during the third phase. This framework is submitted for decision to the ECB on the date of its establishment.

 

4. The EMI, acting by a two-thirds majority of the members of its Council, may:

 

– formulate opinions or recommendations on the general orientation of monetary and exchange rate policy as well as on the related measures taken in each Member State;

 

– submit opinions or recommendations to governments and to the Council on policies likely to affect the internal or external monetary situation in the Community and, in particular, the functioning of the European Monetary System;

 

– make recommendations to the monetary authorities of the Member States on the conduct of their monetary policy.

 

5. The EMI may decide unanimously to make its opinions and recommendations public.

 

6. The EMI shall be consulted by the Council on any proposed Community act in the field falling within its competence.

 

Within the limits and under the conditions set by the Council, acting by a qualified majority on a proposal from the Commission and after consulting the European Parliament and the EMI, the latter is consulted by the authorities of the Member States on any draft regulation in the field falling within its competence.

 

7. The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and the EMI, may entrust the EMI with other tasks for the preparation of the third phase.

 

8. In cases where this Treaty assigns an advisory role to the ECB, references to the ECB shall be deemed to refer to the EMI before the establishment of the ECB.

 

In cases where this Treaty attributes an advisory role to the EMI, references to the EMI shall be considered, before 1 January 1994, to refer to the Committee of Governors.

 

9. During the second phase, the term “ECB” in Articles 173, 175, 176, 177, 180 and 215 is considered to refer to the EMI.

 

Article 109g

 

The currency composition of the ECU basket remains unchanged.

 

From the start of the third phase, the value of the ECU is irrevocably fixed, in accordance with Article 109 L paragraph 4.

 

Article 109h

 

1. In the event of difficulties or serious threat of difficulties in the balance of payments of a Member State, arising either from an overall imbalance of the balance or from the nature of the currencies available to it, and liable in particular to jeopardize the operation of the common market or the progressive realization of the common commercial policy, the Commission shall immediately examine the situation of that State, as well as the action which it has taken or may take in accordance with the provisions of the present treaty, using all the means at its disposal. The Commission indicates the measures it recommends for adoption by the State concerned.

 

If the action taken by a Member State and the measures suggested by the Commission do not appear sufficient to overcome the difficulties or threats of difficulties encountered, the Commission shall recommend to the Council, after consulting the Committee referred to in Article 109c, the assistance mutual and appropriate methods.

 

The Commission keeps the Council regularly informed of the state of the situation and its development.

 

2. The Council, acting by a qualified majority, shall grant mutual assistance; it adopts the directives or decisions fixing its conditions and modalities. Mutual assistance can take the form of:

 

(a) concerted action with other international organizations, which Member States may have recourse to;

 

b) measures necessary to avoid deflection of trade when the country in difficulty maintains or re-establishes quantitative restrictions with regard to third countries;

 

(c) the granting of limited credits from other Member States, subject to their agreement.

 

3. If the mutual assistance recommended by the Commission has not been granted by the Council or if the mutual assistance granted and the measures taken are insufficient, the Commission shall authorize the State in difficulty to take the protective measures for which it defines the terms and conditions.

 

This authorization can be revoked and these conditions and modalities modified by the Council acting by a qualified majority.

 

4. Subject to Article 109k paragraph 6, this article is no longer applicable from the start of the third phase.

 

Article 109 I

 

1. In the event of a sudden crisis in the balance of payments and if a decision within the meaning of Article 109h (2) is not taken immediately, the Member State concerned may take the necessary protective measures as a precaution. These measures must bring the minimum disturbance to the functioning of the common market and not go beyond the scope strictly necessary to remedy the sudden difficulties which have arisen.

 

2. The Commission and the other Member States must be informed of these safeguard measures at the latest when they enter into force. The Commission may recommend mutual assistance to the Council in accordance with Article 109H.

 

3. On the advice of the Commission and after consulting the Committee referred to in Article 109c, the Council, acting by a qualified majority, may decide that the State concerned must modify, suspend or abolish the above-mentioned safeguard measures.

 

4. Subject to Article 109k paragraph 6, this article is no longer applicable from the start of the third phase.

 

Article 109j

 

1. The Commission and the EMI shall report to the Council on the progress made by the Member States in fulfilling their obligations for the achievement of economic and monetary union. These reports shall examine in particular whether the national legislation of each Member State, including the statute of its national central bank, is compatible with Articles 107 and 108 of this Treaty and with the Statute of the ESCB. The reports also examine whether a high degree of sustainable convergence has been achieved, analyzing the extent to which each Member State has fulfilled the following criteria:

 

– achievement of a high degree of price stability; this will emerge from an inflation rate close to that of at most the three Member States with the best results in terms of price stability;

 

– the sustainability of the public finance situation; this will emerge from a budgetary situation which does not show an excessive public deficit within the meaning of Article 104 C paragraph 6;

 

– compliance with the normal fluctuation margins provided for by the exchange rate mechanism of the European Monetary System for at least two years, without devaluing the currency against that of another Member State;

 

– the sustainability of the convergence achieved by the Member State and of its participation in the exchange rate mechanism of the European Monetary System, which is reflected in the levels of long-term interest rates.

 

The four criteria referred to in this paragraph and the relevant periods during which each must be observed are specified in a protocol annexed to this Treaty. The reports from the Commission and the EMI also take into account the development of the ECU, the results of market integration, the situation and development of current balances of payments, and a review of the evolution of unit labor costs and other price indices.

 

2. On the basis of these reports, the Council, acting by a qualified majority on a recommendation from the Commission, assesses:

 

– for each Member State, if it fulfills the necessary conditions for the adoption of a single currency;

 

– if a majority of the Member States fulfill the necessary conditions for the adoption of a single currency,

 

and transmits, in the form of recommendations, its conclusions to the Council meeting at the level of Heads of State or Government. The European Parliament is consulted and sends its opinion to the Council, meeting at the level of Heads of State or Government.

 

3. Taking due account of the reports referred to in paragraph 1 and the opinion of the European Parliament referred to in paragraph 2, the Council, meeting at the level of Heads of State or Government, acting by a qualified majority, no later than 31 December 1996:

 

– decide, on the basis of the Council recommendations referred to in paragraph 2, whether a majority of the Member States fulfills the necessary conditions for the adoption of a single currency;

 

– decide whether the Community should enter the third phase,

 

and, if so,

 

– fixes the date of entry into force of the third phase.

 

4. If, at the end of 1997, the date for the start of the third phase has not been fixed, the third phase shall begin on 1 January 1999. Before 1 July 1998, the Council, meeting at the level of heads of State or government, after repeating the procedure referred to in paragraphs 1 and 2, with the exception of the second indent of paragraph 2, taking into account the reports referred to in paragraph 1 and the opinion of the European Parliament, confirms, by majority qualified and on the basis of the Council recommendations referred to in paragraph 2, which Member States fulfill the necessary conditions for the adoption of a single currency.

 

Article 109k

 

1. If, in accordance with Article 109j (3), the decision to fix the date has been taken, the Council, on the basis of its recommendations referred to in Article 109j (2), acting by a qualified majority on a recommendation Commission, decide whether any Member States are subject to a derogation as defined in paragraph 3 of this Article and, if so, which ones. These Member States are hereinafter referred to as “Member States with a derogation”.

 

If the Council has confirmed, on the basis of Article 109j (4), which Member States fulfill the necessary conditions for the adoption of a single currency, the Member States which do not meet these conditions shall do so. subject to a derogation as defined in paragraph 3 of this article. These Member States are hereinafter referred to as “Member States with a derogation”.

 

2. At least every two years, or at the request of a Member State with a derogation, the Commission and the ECB shall report to the Council in accordance with the procedure laid down in Article 109j (1). After consultation of the European Parliament and discussion within the Council meeting at the level of Heads of State or Government, the Council, acting by a qualified majority on a proposal from the Commission, decides which Member States subject to a derogation fulfill the necessary conditions on the basis of the criteria set out in Article 109j (1), and terminates the derogations of the Member States concerned.

 

3. A derogation within the meaning of paragraph 1 implies that the following articles do not apply to the Member State concerned: Article 104 C paragraphs 9 and 11, Article 105 paragraphs 1, 2, 3 and 5, Articles 105 A , 108 A and 109 and Article 109 A paragraph 2 point b). The exclusion of this Member State and its national central bank from rights and obligations within the framework of the ESCB is provided for in Chapter IX of the Statute of the ESCB.

 

4. In Article 105 (1), (2) and (3), in Articles 105A, 108A and 109 and in Article 109A (2) (b), “Member States” means the Member States which do not ‘subject to a derogation.

 

5. The voting rights of Member States subject to a derogation shall be suspended for the decisions of the Council referred to in the Articles of this Treaty referred to in paragraph 3. In this case, by derogation from Article 148 and from the Article 189A (1), a qualified majority means two-thirds of the votes of the representatives of the Member States not subject to a derogation, weighted in accordance with Article 148 (2), and the unanimity of those Member States is required for any act requiring unanimity.

 

6. Articles 109 H and 109 I shall continue to apply to the Member State which is the subject of a derogation.

 

Article 109l

 

1. Immediately after the decision has been taken, in accordance with Article 109j (3), fixing the date for the start of the third stage or, where appropriate, immediately after 1 July 1998:

 

– the Council adopts the provisions referred to in Article 106 (6);

 

– the governments of the Member States not subject to a derogation appoint, in accordance with the procedure defined in Article 50 of the Statute of the ESCB, the President, the Vice-President and the other members of the Executive Board of the ECB. If there are Member States subject to a derogation, the number of members making up the Executive Board of the ECB may be lower than that provided for in Article 11.1 of the Statute of the ESCB, but it may not under any circumstances be less than four.

 

As soon as the Executive Board is appointed, the ESCB and the ECB are established and they prepare to take up their full function as described in this Treaty and in the Statute of the ESCB. They fully exercise their powers from the first day of the third phase.

 

2. As soon as it is established, the ECB will take over the tasks of the EMI, if necessary. The EMI is liquidated as soon as the ECB is established; the terms of liquidation are provided for in the statutes of the EMI.

 

3. If and as long as there are Member States subject to a derogation, and without prejudice to Article 106 (3) of this Treaty, the General Council of the ECB referred to in Article 45 of the Statute of the ESCB is set up as the ECB’s third decision-making body.

 

4. On the day of the entry into force of the third phase, the Council, acting unanimously on the Member States not subject to a derogation, on a proposal from the Commission and after consulting the ECB, shall adopt a decision the conversion rates at which their currencies are irrevocably fixed and the irrevocably fixed rate at which the ECU replaces these currencies, and the ECU will be a currency in its own right. This measure does not in itself modify the external value of the ECU. In accordance with the same procedure, the Council also takes the other measures necessary for the rapid introduction of the ECU as the single currency of these Member States.

 

5. If it is decided, in accordance with the procedure laid down in Article 109k (2), to abrogate a derogation, the Council, acting unanimously by the Member States not subject to a derogation and of the Member State concerned, on a proposal from the Commission and after consulting the ECB, fixes the rate at which the ECU replaces the currency of the Member State concerned, and decides on the other measures necessary for the introduction of the ECU as the single currency in the Member State concerned.

 

Article 109m

 

1. Until the start of the third phase, each Member State treats its exchange rate policy as a problem of common interest. In doing so, the Member States take into account the experiences acquired through cooperation within the framework of the European Monetary System (EMS) and through the development of the ECU, while respecting existing powers.

 

2. From the start of the third phase and as long as a Member State is subject to a derogation, paragraph 1 shall apply by analogy to the exchange rate policy of that Member State. ”

 

26) In Part Three, Title II, the heading of Chapter 4 is replaced by the following:

 

“TITLE VII

 

THE COMMON COMMERCIAL POLICY ”

 

27) Section 111 is repealed.

 

28) Article 113 is replaced by the following:

 

“Article 113

 

1. The common commercial policy is based on uniform principles, in particular as regards tariff changes, the conclusion of tariff and trade agreements, the standardization of liberalization measures, export policy, as well as measures of trade defense, including those to be taken in the event of dumping and subsidies.

 

2. The Commission, for the implementation of the common commercial policy, shall submit proposals to the Council.

 

3. If agreements with one or more States or international organizations have to be negotiated, the Commission shall submit recommendations to the Council, which authorizes it to open the necessary negotiations.

 

These negotiations are conducted by the Commission in consultation with a Special Committee appointed by the Council to assist it in this task, and within the framework of directives which the Council may address to it.

 

The relevant provisions of article 228 are applicable.

 

4. In exercising the powers conferred on it by this Article, the Council shall act by qualified majority. ”

 

29) Section 114 is repealed.

 

(30) Article 115 is replaced by the following:

 

“Article 115

 

For the purpose of ensuring that the execution of measures of commercial policy taken in accordance with this Treaty by any Member State is not prevented by deflection of trade, or where disparities in such measures cause economic difficulties in one or more States , the Commission recommends the methods by which other Member States provide the necessary cooperation. Failing this, it may authorize the Member States to take the necessary protection measures, the conditions and modalities of which it defines.

 

In the event of an emergency, the Member States shall request authorization to take the necessary measures themselves from the Commission, which takes a decision as soon as possible; the Member States concerned then notify them to the other Member States. The Commission may decide at any time that the Member States concerned must modify or abolish the measures in question.

 

As a priority, the measures which cause the least disturbance to the functioning of the common market must be chosen. ”

 

31) Section 116 is repealed.

 

32) In the third part, the title of Title III is replaced by the following:

 

“TITLE VIII

 

SOCIAL POLICY, EDUCATION, VOCATIONAL TRAINING AND YOUTH ”

 

33) in Article 118a (2), the first subparagraph is replaced by the following:

 

“2. To help achieve the objective provided for in paragraph 1, the Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall adopt by directive the minimum requirements to be applied progressively, taking into account taking into account the conditions and technical regulations existing in each of the Member States. ”

 

34) Article 123 is replaced by the following:

 

“Article 123

 

In order to improve the employment opportunities for workers in the internal market and thus contribute to raising the standard of living, a European Social Fund is hereby established, within the framework of the following provisions, which aims to promote within the Community, employment facilities and the geographical and professional mobility of workers, as well as to facilitate adaptation to industrial change and to changes in production systems, in particular through vocational training and retraining. ”

 

(35) Article 125 is replaced by the following:

 

“Article 125

 

The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall adopt implementing decisions relating to the European Social Fund. ”

 

36) Articles 126, 127 and 128 are replaced by the following:

 

“Chapter 3

 

Education, vocational training and youth

 

Article 126

 

1. The Community shall contribute to the development of quality education by encouraging cooperation between Member States and, if necessary, by supporting and supplementing their action while fully respecting the responsibility of the Member States for the content of education and the organization of the education system as well as their cultural and linguistic diversity.

 

2. Community action is aimed at:

 

– to develop the European dimension in education, in particular by learning and disseminating the languages ​​of the Member States;

 

– to promote the mobility of students and teachers, including by encouraging the academic recognition of diplomas and periods of study;

 

– promote cooperation between educational establishments;

 

– to develop the exchange of information and experience on issues common to the education systems of the Member States;

 

– to promote the development of exchanges of young people and youth workers;

 

– encourage the development of distance education.

 

3. The Community and the Member States shall promote cooperation with third countries and international organizations competent in the field of education and in particular with the Council of Europe.

 

4. To contribute to the achievement of the objectives referred to in this article, the Council shall adopt:

 

– acting in accordance with the procedure referred to in Article 189b and after consulting the Economic and Social Committee and the Committee of the Regions, incentive measures, excluding any harmonization of the laws and regulations of the Member States;

 

– acting by a qualified majority on a proposal from the Commission, making recommendations.

 

Article 127

 

1. The Community shall implement a vocational training policy which supports and supplements the actions of the Member States, while fully respecting the responsibility of the Member States for the content and organization of vocational training.

 

2. Community action is aimed at:

 

– to facilitate adaptation to industrial change, in particular through training and professional retraining;

 

– improve initial vocational training and continuing training in order to facilitate professional integration and reintegration into the labor market;

 

– facilitate access to vocational training and promote the mobility of trainers and people in training, especially young people;

 

– to stimulate cooperation in the field of training between educational or vocational training establishments and businesses;

 

– to develop the exchange of information and experience on issues common to the training systems of the Member States.

 

3. The Community and the Member States shall promote cooperation with third countries and the competent international organizations in the field of vocational training.

 

4. The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall adopt measures to help achieve the objectives referred to in this Article, excluding any harmonization of provisions. laws and regulations of the Member States. ”

 

37) The following text is inserted:

 

“TITLE IX

 

CULTURE

 

Article 128

 

1. The Community shall contribute to the development of the cultures of the Member States while respecting their national and regional diversity, while highlighting the common cultural heritage.

 

2. Community action shall aim to encourage cooperation between Member States and, if necessary, to support and complement their action in the following areas:

 

– improving knowledge and dissemination of the culture and history of European peoples,

 

– the conservation and safeguarding of cultural heritage of European significance,

 

– non-commercial cultural exchanges,

 

– artistic and literary creation, including in the audiovisual sector.

 

3. The Community and the Member States shall promote co-operation with third countries and the competent international organizations in the field of culture and in particular with the Council of Europe.

 

4. The Community shall take cultural aspects into account in its action under other provisions of this Treaty.

 

5. To contribute to the achievement of the objectives referred to in this article, the Council shall adopt:

 

– acting in accordance with the procedure referred to in Article 189b and after consulting the Committee of the Regions, incentive measures, excluding any harmonization of the laws and regulations of the Member States. The Council shall act unanimously throughout the procedure referred to in Article 189b;

 

– acting unanimously on a proposal from the Commission, make recommendations. ”

 

38) Titles IV, V, VI and VII are replaced by the following:

 

“TITLE X

 

PUBLIC HEALTH

 

Article 129

 

1. The Community shall contribute to ensuring a high level of protection of human health by encouraging cooperation between the Member States and, if necessary, by supporting their action.

 

The Community’s action relates to the prevention of diseases, and in particular of the major scourges, including drug addiction, by promoting research into their causes and transmission, as well as information and education in the field of health.

 

Health protection requirements are a component of other Community policies.

 

2. The Member States shall coordinate among themselves, in liaison with the Commission, their policies and programs in the fields referred to in paragraph 1. The Commission may, in close contact with the Member States, take any useful initiative to promote such coordination.

 

3. The Community and the Member States shall promote cooperation with third countries and the international organizations competent in the field of public health.

 

4. To contribute to the achievement of the objectives referred to in this article, the Council shall adopt:

 

– acting in accordance with the procedure referred to in Article 189b and after consulting the Economic and Social Committee and the Committee of the Regions, incentive measures, excluding any harmonization of the laws and regulations of the Member States;

 

– acting by a qualified majority on a proposal from the Commission, making recommendations.

 

TITLE XI

 

CONSUMER PROTECTION

 

Article 129a

 

1. The Community contributes to the achievement of a high level of consumer protection by:

 

(a) the measures which it adopts in application of Article 100a within the framework of the completion of the internal market;

 

(b) specific actions which support and complement the policy pursued by the Member States with a view to protecting the health, safety and economic interests of consumers and providing them with adequate information.

 

2. The Council, acting in accordance with the procedure referred to in Article 189b and after consulting the Economic and Social Committee, shall adopt the specific actions referred to in paragraph 1 (b).

 

3. Actions taken pursuant to paragraph 2 may not prevent a Member State from maintaining or establishing more stringent protective measures. These measures must be compatible with this Treaty. They are notified to the Commission.

 

TITLE XII

 

TRANS-EUROPEAN NETWORKS

 

Article 129b

 

1. With a view to contributing to the achievement of the objectives referred to in Articles 7 A and 130 A and to enable citizens of the Union, economic operators and regional and local authorities to fully benefit from the advantages deriving from the By establishing an area without internal frontiers, the Community is contributing to the establishment and development of trans-European networks in the sectors of transport, telecommunications and energy infrastructure.

 

2. Within the framework of a system of open and competitive markets, Community action aims to promote the interconnection and interoperability of national networks as well as access to these networks. It takes account in particular of the need to link island, landlocked and peripheral regions with central regions of the Community.

 

Article 129c

 

1. In order to achieve the objectives referred to in Article 129b, the Community:

 

– establish a set of guidelines covering the objectives, priorities and the main lines of the actions envisaged in the field of trans-European networks; these guidelines identify projects of common interest;

 

– implement any action which may prove necessary to ensure the interoperability of networks, in particular in the field of the harmonization of technical standards;

 

– may support the financial efforts of the Member States for projects of common interest financed by the Member States and identified within the framework of the guidelines referred to in the first indent, in particular in the form of feasibility studies, loan guarantees or interest subsidies; the Community may also contribute to the financing, in the Member States, of specific transport infrastructure projects through the Cohesion Fund to be created by 31 December 1993 at the latest in accordance with Article 130 D.

 

Community action takes into account the potential economic viability of the projects.

 

2. Member States shall coordinate among themselves, in liaison with the Commission, the policies pursued at national level which may have a significant impact on the achievement of the objectives referred to in Article 129 B. The Commission may take, in close collaboration with the Member States, any useful initiative to promote such coordination.

 

3. The Community may decide to cooperate with third countries to promote projects of common interest and to ensure the interoperability of networks.

 

Article 129d

 

The guidelines referred to in Article 129c (1) shall be adopted by the Council, acting in accordance with the procedure referred to in Article 189b and after consulting the Economic and Social Committee and the Committee of the Regions.

 

Guidelines and projects of common interest which concern the territory of a Member State require the approval of the Member State concerned.

 

The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee and the Committee of the Regions, shall adopt the other measures provided for in Article 129c (1).

 

TITLE XIII

 

INDUSTRY

 

Article 130

 

1. The Community and the Member States shall ensure that the conditions necessary for the competitiveness of Community industry exist.

 

To this end, in accordance with a system of open and competitive markets, their action aims to:

 

– accelerate the adaptation of industry to structural changes;

 

– encourage an environment favorable to initiative and to the development of enterprises throughout the Community, and in particular small and medium-sized enterprises;

 

– encourage an environment favorable to cooperation between companies;

 

– promote better exploitation of the industrial potential of innovation, research and technological development policies.

 

2. Member States shall consult each other in liaison with the Commission and, as far as necessary, coordinate their actions. The Commission may take any useful initiative to promote this coordination.

 

3. The Community shall contribute to the achievement of the objectives referred to in paragraph 1 through the policies and actions which it pursues under other provisions of this Treaty. The Council, acting unanimously on a proposal from the Commission, after consulting the European Parliament and the Economic and Social Committee, may decide on specific measures intended to support the actions carried out in the Member States in order to achieve the objectives referred to in paragraph 1 .

 

This Title does not constitute a basis for the introduction by the Community of any measure which may lead to distortions of competition.

 

TITLE XIV

 

ECONOMIC AND SOCIAL COHESION

 

Article 130a

 

In order to promote the harmonious development of the whole of the Community, the latter is developing and pursuing its action aimed at strengthening its economic and social cohesion.

 

In particular, the Community aims to reduce the gap between the levels of development of the various regions and the backwardness of the less favored regions, including rural areas.

 

Article 130b

 

Member States shall conduct their economic policy and coordinate it with a view also to attaining the objectives referred to in Article 130 A. The formulation and implementation of Community policies and actions as well as the implementation of the internal market shall take place take into account the objectives referred to in Article 130 A and participate in their achievement. The Community is also supporting this achievement through the action it carries out through structural funds (European Agricultural Guidance and Guarantee Fund, “Guidance” section; European Social Fund; European Regional Development Fund), the European Investment Bank and other existing financial instruments.

 

The Commission reports to the European Parliament, the Council, the Economic and Social Committee and the Committee of the Regions every three years on the progress made in achieving economic and social cohesion and on how the various means foreseen to this article have contributed. This report is, where appropriate, accompanied by appropriate proposals.

 

If specific actions prove to be necessary outside the funds, and without prejudice to the measures decided in the framework of other Community policies, these actions may be adopted by the Council, acting unanimously on a proposal from the Commission and thereafter. consultation of the European Parliament, the Economic and Social Committee and the Committee of the Regions.

 

Article 130c

 

The European Regional Development Fund is intended to help correct the main regional imbalances in the Community by participating in the development and structural adjustment of regions whose development is lagging behind and in the conversion of declining industrial regions.

 

Article 130d

 

Without prejudice to Article 130e, the Council, acting unanimously on a proposal from the Commission, after obtaining the assent of the European Parliament and after consulting the Economic and Social Committee and the Committee of the Regions, defines the missions and the priority objectives and the organization of structural funds, which may involve the pooling of funds. The general rules applicable to the funds, as well as the provisions necessary to ensure their effectiveness and the coordination of the funds among themselves and with the other existing financial instruments, are also defined by the Council, acting in accordance with the same procedure.

 

The Council, acting under the same procedure, creates, before 31 December 1993, a Cohesion Fund, which contributes financially to the implementation of projects in the field of the environment and in that of the trans-European networks in the field of transport infrastructure. .

 

Article 130e

 

Implementing decisions relating to the European Regional Development Fund shall be taken by the Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee and the Committee of the Regions.

 

As regards the European Agricultural Guidance and Guarantee Fund, “Guidance” section, and the European Social Fund, Articles 43 and 125 shall apply respectively.

 

TITLE XV

 

RESEARCH AND TECHNOLOGICAL DEVELOPMENT

 

Article 130f

 

1. The objective of the Community is to strengthen the scientific and technological bases of Community industry and to promote the development of its international competitiveness, as well as to promote research activities deemed necessary under other chapters of this Treaty. .

 

2. To these ends, it encourages enterprises throughout the Community, including small and medium-sized enterprises, research centers and universities, in their efforts at high quality research and technological development; it supports their cooperative efforts, with a particular focus on enabling businesses to fully exploit the potential of the internal market by means of, in particular, the opening up of national public markets, the definition of common standards and the elimination of legal and fiscal obstacles to this cooperation.

 

3. All Community actions under this Treaty, including demonstration actions, in the field of research and technological development shall be decided upon and implemented in accordance with the provisions of this Title.

 

Article 130g

 

In pursuit of these objectives, the Community is carrying out the following actions, which complement actions undertaken in the Member States:

 

(a) implementation of research, technological development and demonstration programs by promoting cooperation with and between enterprises, research centers and universities;

 

(b) promotion of cooperation in Community research, technological development and demonstration with third countries and international organizations;

 

(c) dissemination and promotion of the results of activities in Community research, technological development and demonstration;

 

(d) stimulation of the training and mobility of researchers in the Community.

 

Article 130h

 

1. The Community and the Member States shall coordinate their action in the field of research and technological development in order to ensure the reciprocal coherence of national policies and Community policy.

 

2. The Commission may take, in close collaboration with the Member States, any useful initiative to promote the coordination referred to in paragraph 1.

 

Article 130 I

 

1. A multiannual framework program, in which all of the Community’s actions are listed, shall be adopted by the Council, acting in accordance with the procedure referred to in Article 189b, after consulting the Economic and Social Committee. The Council shall act unanimously throughout the procedure referred to in Article 189 B.

 

The framework program:

 

– set the scientific and technological objectives to be achieved by the actions envisaged in Article 130g and the related priorities;

 

– indicates the main lines of these actions;

 

– fix the maximum overall amount and the procedures for the Community’s financial participation in the framework program, as well as the respective shares of each of the actions envisaged.

 

2. The framework program is adapted or supplemented as the situation evolves.

 

3. The framework program is implemented by means of specific programs developed within each of the actions. Each specific program specifies the terms of its implementation, sets its duration and provides for the resources deemed necessary. The sum of the amounts deemed necessary, fixed by the specific programs, may not exceed the maximum overall amount fixed for the framework program and for each action.

 

4. The Council, acting by a qualified majority on a proposal from the Commission and after consulting the European Parliament and the Economic and Social Committee, shall adopt the specific programs.

 

Article 130j

 

For the implementation of the multiannual framework program, the Council:

 

– sets the rules for the participation of companies, research centers and universities;

 

– sets the rules applicable to the dissemination of research results.

 

Article 130k

 

In the implementation of the multiannual framework program, additional programs may be decided upon in which only certain Member States participate, which finance them subject to possible Community participation.

 

The Council shall adopt the rules applicable to complementary programs, in particular as regards the dissemination of knowledge and access to other Member States.

 

Article 130l

 

In implementing the multiannual framework program, the Community may provide, in agreement with the Member States concerned, for participation in research and development programs undertaken by several Member States, including participation in structures created for the execution of these programs.

 

Article 130m

 

In implementing the multiannual framework program, the Community may provide for cooperation in Community research, technological development and demonstration with third countries or international organizations.

 

The modalities of this cooperation may be the subject of agreements between the Community and the third parties concerned, which shall be negotiated and concluded in accordance with Article 228.

 

Article 130n

 

The Community may set up joint undertakings or any other structure necessary for the proper execution of Community research, technological development and demonstration programs.

 

Article 130o

 

The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and the Economic and Social Committee, shall adopt the provisions referred to in Article 130 N.

 

The Council, acting in accordance with the procedure referred to in Article 189C after consulting the Economic and Social Committee, shall adopt the provisions referred to in Articles 130J, 130K and 130L. The adoption of additional programs requires the agreement of the States. concerned members.

 

Article 130p

 

At the start of each year, the Commission presents a report to the European Parliament and the Council. This report covers in particular the activities carried out in terms of research and technological development and dissemination of results during the previous year and the work program for the current year.

 

TITLE XVI

 

ENVIRONMENT

 

Article 130r

 

1. Community policy in the field of the environment shall contribute to the pursuit of the following objectives:

 

– the preservation, protection and improvement of the quality of the environment,

 

– protection of human health,

 

– the prudent and rational use of natural resources,

 

– the promotion, at the international level, of measures intended to deal with regional or global environmental problems.

 

2. Community policy in the field of the environment aims at a high level of protection, taking into account the diversity of situations in the different regions of the Community. It is based on the principles of precaution and preventive action, on the principle of correcting, by priority at the source, environmental damage, and on the polluter pays principle. Environmental protection requirements must be integrated into the definition and implementation of other Community policies.

 

In this context, harmonization measures meeting such requirements include, where appropriate, a safeguard clause authorizing Member States to take, for non-economic environmental reasons, provisional measures subject to a Community control procedure.

 

3. In drawing up its environmental policy, the Community shall take into account:

 

– available scientific and technical data,

 

– environmental conditions in the various regions of the Community,

 

– the advantages and charges which may result from the action or the lack of action,

 

– the economic and social development of the Community as a whole and the balanced development of its regions.

 

4. Within the framework of their respective powers, the Community and the Member States shall cooperate with third countries and the competent international organizations. The arrangements for Community cooperation may be the subject of agreements between the Community and the third parties concerned, which shall be negotiated and concluded in accordance with Article 228.

 

The preceding paragraph is without prejudice to the competence of the Member States to negotiate in international bodies and to conclude international agreements.

 

Article 130s

 

1. The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall decide on the actions to be taken by the Community with a view to achieving the objectives referred to in Article 130 R.

 

2. By way of derogation from the decision-making procedure provided for in paragraph 1 and without prejudice to Article 100a, the Council, acting unanimously on a proposal from the Commission, after consulting the European Parliament and the Economic and Social Committee, shall adopt a decision :

 

– provisions essentially of a fiscal nature;

 

– measures concerning land use planning, land use, with the exception of waste management and general measures, as well as the management of water resources;

 

– measures significantly affecting a Member State’s choice between different energy sources and the general structure of its energy supply.

 

The Council, acting under the conditions provided for in the first subparagraph, may define the matters referred to in this paragraph on which decisions must be taken by qualified majority.

 

3. In other areas, action programs of a general nature setting out the priority objectives to be achieved shall be adopted by the Council, acting in accordance with the procedure referred to in Article 189b and after consulting the Economic and Social Committee.

 

The Council, acting under the conditions provided for in paragraph 1 or in paragraph 2, as the case may be, shall adopt the measures necessary for the implementation of these programs.

 

4. Without prejudice to certain measures of a Community nature, the Member States shall finance and implement environmental policy.

 

5. Without prejudice to the polluter pays principle, where a measure based on paragraph 1 involves costs deemed disproportionate for the public authorities of a Member State, the Council shall, in the act adopting that measure, provide for the appropriate provisions in the form of:

 

– temporary exemptions and / or

 

– financial support from the Cohesion Fund which will be created by 31 December 1993 at the latest in accordance with Article 130 D.

 

Article 130t

 

The protective measures adopted under Article 130s shall not preclude the maintenance and establishment, by each Member State, of enhanced protective measures. These measures must be compatible with this Treaty. They are notified to the Commission.

 

TITLE XVII

 

DEVELOPMENT COOPERATION

 

Article 130 U

 

1. Community policy in the field of development cooperation, which is complementary to those pursued by the Member States, promotes:

 

– the sustainable economic and social development of developing countries and more particularly of the most disadvantaged among them;

 

– the harmonious and gradual integration of developing countries into the world economy;

 

– the fight against poverty in developing countries.

 

2. Community policy in this area contributes to the general objective of developing and consolidating democracy and the rule of law, as well as to the objective of respect for human rights and freedoms. fundamental.

 

3. The Community and the Member States shall respect the commitments and take account of the objectives which they have agreed to within the framework of the United Nations and other competent international organizations.

 

Article 130v

 

The Community shall take account of the objectives referred to in Article 130U in the policies which it implements and which are liable to affect developing countries.

 

Article 130 W

 

1. Without prejudice to the other provisions of this Treaty, the Council, acting in accordance with the procedure referred to in Article 189c, shall adopt the measures necessary for the pursuit of the objectives referred to in Article 130 U. These measures may take the form multi-year programs.

 

2. The European Investment Bank shall contribute, under the conditions provided for in its statute, to the implementation of the measures referred to in paragraph 1.

 

3. This article does not affect cooperation with the countries of Africa, the Caribbean and the Pacific within the framework of the ACP-EEC Convention.

 

Article 130 X

 

1. The Community and the Member States shall coordinate their development cooperation policies and consult each other on their aid programs, including in international organizations and at international conferences. They can take joint actions. Member States shall contribute, if necessary, to the implementation of Community aid programs.

 

2. The Commission may take any useful initiative to promote the coordination referred to in paragraph 1.

 

Article 130y

 

Within the framework of their respective competences, the Community and the Member States cooperate with third countries and the competent international organizations. The arrangements for Community cooperation may be the subject of agreements between the Community and the third parties concerned, which shall be negotiated and concluded in accordance with Article 228.

 

The first paragraph is without prejudice to the competence of the Member States to negotiate in international bodies and to conclude international agreements. ”

 

E. In the fifth part “The institutions of the Community”:

 

39) Article 137 is replaced by the following:

 

“Article 137

 

The European Parliament, composed of representatives of the peoples of the States united in the Community, exercises the powers conferred on it by this Treaty. ”

 

(40) in Article 138, paragraph 3 is replaced by the following:

 

“3. The European Parliament will develop plans to allow election by direct universal suffrage according to a uniform procedure in all Member States.

 

The Council, acting unanimously, after obtaining the assent of the European Parliament which decides by a majority of its component members, will adopt the provisions which it will recommend for adoption by the Member States, in accordance with their respective constitutional rules. ”

 

41) The following articles are inserted:

 

“Article 138a

 

Political parties at European level are important as a factor of integration within the Union. They contribute to the formation of a European conscience and to the expression of the political will of the citizens of the Union.

 

Article 138b

 

To the extent provided for in this Treaty, the European Parliament shall participate in the process leading to the adoption of Community acts, by exercising its powers within the framework of the procedures defined in Articles 189b and 189c, as well as by delivering opinions compliant or giving advisory opinions.

 

The European Parliament may, by a majority of its members, ask the Commission to submit any appropriate proposal on matters which it considers necessitating the drawing up of a Community act for the implementation of this Treaty.

 

Article 138c

 

In the performance of its tasks, the European Parliament may, at the request of a quarter of its members, set up a temporary committee of inquiry to examine, without prejudice to the powers conferred by this Treaty on other institutions or bodies, allegations of infringement or maladministration in the application of Community law, unless the alleged facts are at issue before a court and as long as the court proceedings have not been completed.

 

The existence of the temporary commission of inquiry ends with the filing of its report.

 

The procedures for exercising the right of inquiry are determined by common accord of the European Parliament, the Council and the Commission.

 

Article 138d

 

Any citizen of the Union, as well as any natural or legal person residing or having its registered office in a Member State, has the right to present, individually or in association with other citizens or persons, a petition to the European Parliament on a subject falling within the fields of activity of the Community and which concerns him or her directly.

 

Article 138e

 

1. The European Parliament shall appoint an ombudsperson, empowered to receive complaints from any citizen of the Union or any natural or legal person residing or having its registered office in a Member State and relating to cases of maladministration in the European Union. action by Community institutions or bodies, excluding the Court of Justice and the court of first instance in the exercise of their judicial functions.

 

In accordance with his mission, the Ombudsman carries out the inquiries he considers justified, either on his own initiative or on the basis of complaints submitted to him directly or through a Member of the European Parliament, unless the alleged facts are or have been the subject of judicial proceedings. In cases where the mediator has noted a case of maladministration, he refers the case to the institution concerned, which has three months to give it its opinion. The ombudsman then sends a report to the European Parliament and to the institution concerned. The person making the complaint is informed of the outcome of these investigations.

 

Each year, the Ombudsman presents a report to the European Parliament on the results of his inquiries.

 

2. The Ombudsman is appointed after each election of the European Parliament for the duration of the legislature. His mandate is renewable.

 

The Ombudsman may be declared to have resigned by the Court of Justice, at the request of the European Parliament, if he no longer fulfills the conditions necessary for the performance of his duties or if he has been guilty of serious misconduct.

 

3. The mediator exercises his functions in complete independence. In the performance of his duties, he neither solicits nor accepts instructions from any body. During his term of office, the mediator may not exercise any other professional activity, whether remunerated or not.

 

4. The European Parliament shall lay down the statutes and the general conditions of exercise of the functions of the mediator after consulting the Commission and with the approval of the Council acting by qualified majority. ”

 

42) In Article 144, the second paragraph is completed by the following sentence:

 

“In this case, the mandate of the members of the Commission appointed to replace them expires on the date on which the mandate of the members of the Commission compelled to collectively resign their functions should have expired.”

 

43) the following article is inserted:

 

“Article 146

 

The Council is made up of a representative of each Member State at ministerial level, empowered to commit the government of that Member State.

 

The Presidency is held in turn by each Member State of the Council for a period of six months in the following order of Member States:

 

– during a first cycle of six years: Belgium, Denmark, Germany, Greece, Spain, France, Ireland, Italy, Luxembourg, Netherlands, Portugal, United Kingdom;

 

– during the following six-year cycle: Denmark, Belgium, Greece, Germany, France, Spain, Italy, Ireland, Netherlands, Luxembourg, United Kingdom, Portugal. ”

 

44) the following article is inserted:

 

“Article 147

 

The Council meets when convened by its chairman on the initiative of the latter, one of its members or the Commission. ”

 

45) Section 149 is repealed.

 

46) the following article is inserted:

 

“Article 151

 

1. A committee composed of the permanent representatives of the Member States shall have the task of preparing the work of the Council and carrying out the mandates entrusted to it by the latter.

 

2. The Council is assisted by a General Secretariat, placed under the direction of a General Secretary. The Secretary General is appointed by the Council acting unanimously.

 

The Council decides on the organization of the general secretariat.

 

3. The Council shall adopt its own rules of procedure. ”

 

(47) the following article is inserted:

 

“Article 154

 

The Council, acting by a qualified majority, fixes the salaries, allowances and pensions of the President and members of the Commission, of the President, of the judges, of the Advocates General and of the Registrar of the Court of Justice. It also fixes, by the same majority, any compensation in lieu of compensation. ”

 

48) The following articles are inserted:

 

“Article 156

 

The Commission shall publish every year, at least one month before the opening of the session of the European Parliament, a general report on the activities of the Community.

 

Article 157

 

1. The Commission is made up of seventeen members chosen for their general competence and offering all guarantees of independence.

 

The number of members of the Commission may be changed by the Council acting unanimously.

 

Only nationals of Member States can be members of the Commission.

 

The Commission must include at least one national from each of the Member States, without the number of members having the nationality of the same Member State exceeding two.

 

2. The members of the Commission shall exercise their functions in full independence, in the general interest of the Community.

 

In the performance of their duties, they do not seek or accept instructions from any government or from any body. They refrain from any act incompatible with the character of their functions. Each Member State undertakes to respect this character and not to seek to influence the members of the Commission in the performance of their task.

 

The members of the Commission may not, during their term of office, exercise any other professional activity, whether remunerated or not. At the time of their installation, they make a solemn commitment to respect, during their term of office and after their termination, the obligations arising from their office, in particular the duties of honesty and delicacy as to the acceptance, after this termination, of certain functions or certain advantages. In the event of a breach of these obligations, the Court of Justice, referred to by the Council or by the Commission, may, as the case may be, order the automatic resignation under the conditions of Article 160 or the forfeiture of the pension entitlement of interested party or other benefits in lieu.

 

Article 158

 

1. The members of the Commission shall be appointed for a period of five years, in accordance with the procedure referred to in paragraph 2, subject, where appropriate, to Article 144.

 

Their mandate is renewable.

 

2. The governments of the Member States shall designate by common accord, after consulting the European Parliament, the person whom they intend to appoint as president of the Commission.

 

The governments of the Member States, in consultation with the President-designate, nominate the other personalities they intend to appoint as members of the Commission.

 

The President and the other members of the Commission thus appointed are subject, as a college, to a vote of approval by the European Parliament. After the approval of the European Parliament, the President and the other members of the Commission are appointed by common accord of the governments of the Member States.

 

3. Paragraphs 1 and 2 shall apply for the first time to the Chairman and to the other members of the Commission whose term of office begins on 7 January 1995.

 

The President and the other members of the Commission whose term of office begins on 7 January 1993 shall be appointed by common accord of the governments of the Member States. Their mandate expires on January 6, 1995.

 

Article 159

 

Apart from regular renewals and death, the functions of a member of the Commission end individually by voluntary resignation or ex officio.

 

The person concerned is replaced for the remainder of the term of office by a new member appointed by common accord of the governments of the Member States. The Council, acting unanimously, may decide that there is no need for replacement.

 

In the event of resignation or death, the chairman is replaced for the remainder of the term of office. The procedure provided for in Article 158 (2) is applicable for his replacement.

 

Except in the event of automatic resignation provided for in section 160, the members of the Commission shall remain in office until their replacement has been provided for.

 

Article 160

 

Any member of the Commission, if he no longer fulfills the conditions necessary for the performance of his duties or if he has been guilty of serious misconduct, may be declared resign by the Court of Justice, at the request of the Council or of the Commission.

 

Article 161

 

The Commission may appoint one or two vice-presidents from among its members.

 

Article 162

 

1. The Council and the Commission shall carry out reciprocal consultations and by mutual agreement organize the arrangements for their collaboration.

 

2. The Commission shall lay down its rules of procedure with a view to ensuring its functioning and that of its departments under the conditions provided for in this Treaty. It ensures the publication of these regulations.

 

Article 163

 

The decisions of the Commission are acquired by a majority of the number of members provided for in article 157.

 

The Commission can only sit validly if the number of members fixed in its rules of procedure is present. ”

 

49) Article 165 is replaced by the following:

 

“Article 165

 

The Court of Justice is made up of thirteen judges.

 

The Court of Justice sits in plenary session. However, it may create within it chambers each composed of three or five judges, with a view either to carrying out certain investigative measures or to judging certain categories of cases, under the conditions provided for by a regulation established for this purpose. effect.

 

The Court of Justice sits in plenary session when a Member State or a Community institution which is a party to the proceedings so requests.

 

If the Court of Justice so requests, the Council, acting unanimously, may increase the number of judges and make the necessary adjustments to the second and third paragraphs and to the second paragraph of Article 167. ”

 

50) Article 168a is replaced by the following:

 

“Article 168 A

 

1. The Court of Justice is a court responsible for hearing at first instance, subject to an appeal brought before the Court of Justice, limited to questions of law, under the conditions laid down by the Staff Regulations, of certain categories of remedies determined under the conditions set out in paragraph 2. The court of first instance has no jurisdiction to hear preliminary questions submitted under article 177.

 

2. At the request of the Court of Justice and after consulting the European Parliament and the Commission, the Council, acting unanimously, shall fix the categories of appeal referred to in paragraph 1 and the composition of the court of first instance and adopt the adaptations. and the additional provisions necessary for the statute of the Court of Justice. Unless the Council decides otherwise, the provisions of this Treaty relating to the Court of Justice, and in particular the provisions of the Protocol on the Statute of the Court of Justice, shall apply to the court of first instance.

 

3. The members of the court of first instance shall be chosen from among persons offering all the guarantees of independence and possessing the capacity required for the exercise of judicial functions; they are appointed by mutual agreement for six years by the governments of the member states. A partial renewal takes place every three years. Outgoing members can be reappointed.

 

4. The court of first instance shall establish its rules of procedure in agreement with the Court of Justice. This by-law is subject to the unanimous approval of the Council. ”

 

51) Article 171 is replaced by the following:

 

“Article 171

 

1. If the Court of Justice recognizes that a Member State has failed to fulfill any of its obligations under this Treaty, that State shall be required to take the measures necessary to comply with the judgment of the Court of Justice. .

 

2. If the Commission considers that the Member State concerned has not taken these measures, it shall, after giving that State the opportunity to present its observations, issue a reasoned opinion specifying the points on which the Member State concerned does not. did not comply with the judgment of the Court of Justice.

 

If the Member State concerned has not taken the necessary measures to comply with the judgment of the Court within the time limit set by the Commission, the latter may refer the matter to the Court of Justice. It indicates the amount of the lump sum or penalty payment to be paid by the Member State concerned which it considers appropriate in the circumstances.

 

If the Court of Justice recognizes that the Member State concerned has not complied with its judgment, it may impose the payment of a lump sum or a penalty payment.

 

This procedure is without prejudice to Article 170. ”

 

52) Article 172 is replaced by the following:

 

“Article 172

 

Regulations adopted jointly by the European Parliament and the Council, and by the Council by virtue of the provisions of this Treaty may confer on the Court of Justice unlimited jurisdiction with regard to the penalties provided for in those regulations. ”

 

53) Article 173 is replaced by the following:

 

“Article 173

 

The Court of Justice reviews the legality of acts adopted jointly by the European Parliament and the Council, of acts of the Council, of the Commission and of the ECB, other than recommendations and opinions, and of acts of the European Parliament intended to produce legal effects vis-à-vis third parties.

 

To this end, the Court has jurisdiction to rule on appeals for incompetence, violation of substantive formalities, violation of this Treaty or any rule of law relating to its application, or misuse of powers, brought by a Member State, the Council or the Commission.

 

The Court has jurisdiction, under the same conditions, to rule on appeals brought by the European Parliament and by the ECB which seek to safeguard their prerogatives.

 

Any natural or legal person may, under the same conditions, bring an appeal against decisions addressed to them, and against decisions which, although taken under the appearance of a regulation or a decision addressed to another person, concern her directly and individually.

 

The appeals provided for in this article must be brought within two months from, as the case may be, the publication of the document, its notification to the applicant, or, failing that, the day on which the latter received it. knowledge.”

 

54) Article 175 is replaced by the following:

 

“Article 175

 

In the event that, in violation of this Treaty, the European Parliament, the Council or the Commission fail to act, the Member States and the other institutions of the Community may apply to the Court of Justice with a view to establishing such violation.

 

This appeal is only admissible if the institution in question has been previously invited to act. If, at the end of a period of two months from this invitation, the institution has not taken a position, the appeal may be lodged within a further period of two months.

 

Any natural or legal person may apply to the Court of Justice under the conditions set out in the preceding paragraphs to complain that one of the Community institutions has failed to send it an act other than a recommendation or an opinion.

 

The Court of Justice has jurisdiction, under the same conditions, to rule on actions brought by the ECB in areas falling within its competence or brought against it. ”

 

55) Article 176 is replaced by the following:

 

“Article 176

 

The institution or institutions from which the annulled act emanates, or whose abstention has been declared to be contrary to this Treaty, are required to take the measures necessary for the execution of the judgment of the Court of Justice.

 

This obligation is without prejudice to the one which may result from the application of the second paragraph of Article 215.

 

This article also applies to the ECB. ”

 

56) Article 177 is replaced by the following:

 

“Article 177

 

The Court of Justice has jurisdiction to rule, on a preliminary basis:

 

(a) on the interpretation of this Treaty,

 

b) on the validity and interpretation of acts adopted by the institutions of the Community and by the ECB,

 

c) on the interpretation of the statutes of bodies created by an act of the Council, when these statutes so provide.

 

When such a question is raised before a court of one of the Member States, that court may, if it considers that a decision on this point is necessary in order to deliver its judgment, ask the Court of Justice to rule on this question.

 

When such a question is raised in a case pending before a national court whose decisions are not subject to judicial review under domestic law, that court is required to refer the matter to the Court of Justice. ”

 

57) Article 180 is replaced by the following:

 

“Article 180

 

The Court of Justice has jurisdiction, within the limits below, to hear disputes concerning:

 

(a) the fulfillment of the obligations of the Member States resulting from the statute of the European Investment Bank. The board of directors of the bank has in this regard the powers conferred on the Commission by Article 169,

 

b) the deliberations of the Board of Governors of the European Investment Bank. Each Member State, the Commission and the board of directors of the bank may bring an action in this matter under the conditions provided for in Article 173,

 

c) the deliberations of the board of directors of the European Investment Bank. Appeals against these decisions may be brought, under the conditions laid down in Article 173, only by the Member States or the Commission, and only for breach of the forms provided for in Article 21 (2) and (5 to 7) inclusive, of the bank statutes,

 

(d) the fulfillment by national central banks of the obligations resulting from this Treaty and the Statute of the ESCB. The Council of the ECB has in this regard, vis-à-vis the national central banks, the powers conferred on the Commission by Article 169 vis-à-vis the Member States. If the Court of Justice recognizes that a national central bank has failed to fulfill any of its obligations under this Treaty, that bank is required to take the measures necessary to comply with the judgment of the Court of Justice. ”

 

58) Article 184 is replaced by the following:

 

“Article 184

 

Notwithstanding the expiry of the period provided for in the fifth paragraph of Article 173, any party may, in the event of a dispute involving a regulation adopted jointly by the European Parliament and the Council or a regulation of the Council, of the Commission or the ECB, avail themselves of the means provided for in the second paragraph of Article 173 to invoke before the Court of Justice the inapplicability of this regulation. ”

 

59) The following section is inserted:

 

“Fifth section

 

The Court of Auditors

 

Article 188a

 

The Court of Auditors ensures the control of the accounts.

 

Article 188 B

 

1. The Court of Auditors is composed of twelve members.

 

2. The members of the Court of Auditors are chosen from among personalities belonging or having belonged in their respective countries to the external audit institutions or having a particular qualification for this function. They must offer all guarantees of independence.

 

3. The members of the Court of Auditors are appointed for six years by the Council, acting unanimously after consulting the European Parliament.

 

However, at the time of the first appointments, four members of the Court of Auditors, appointed by drawing lots, receive a term of office limited to four years.

 

Members of the Court of Auditors may be reappointed.

 

They appoint from among themselves, for three years, the president of the Court of Auditors. The latter’s mandate is renewable.

 

4. The members of the Court of Auditors shall exercise their functions in full independence, in the general interest of the Community.

 

In the performance of their duties, they do not seek or accept instructions from any government or from any body. They refrain from any act incompatible with the character of their functions.

 

5. Members of the Court of Auditors may not, during their term of office, exercise any professional activity, whether remunerated or not. At the time of their installation, they make a solemn commitment to respect, during their term of office and after their termination, the obligations arising from their office, in particular the duties of honesty and delicacy as to the acceptance, after this termination, of certain functions or certain advantages.

 

6. Apart from regular renewals and death, the functions of a member of the Court of Auditors end individually by voluntary resignation or by automatic resignation declared by the Court of Justice in accordance with the provisions of paragraph 7.

 

The person concerned is replaced for the remainder of the term of office.

 

Except in the event of automatic resignation, the members of the Court of Auditors remain in office until they are replaced.

 

7. Members of the Court of Auditors may not be relieved of their duties or declared void of their right to pension or other benefits in lieu thereof unless the Court of Justice finds, at the request of the Court of Auditors, that ” they have ceased to meet the required conditions or to meet the obligations arising from their office.

 

8. The Council, acting by a qualified majority, fixes the conditions of employment, and in particular the salaries, allowances and pensions, of the President and of the members of the Court of Auditors. It also fixes, acting by the same majority, any compensation in lieu of compensation.

 

9. The provisions of the Protocol on the privileges and immunities of the European Communities which are applicable to judges of the Court of Justice are also applicable to members of the Court of Auditors.

 

Article 188c

 

1. The Court of Auditors examines the accounts of all the revenue and expenditure of the Community. It also examines the accounts of all income and expenditure of any body created by the Community insofar as the founding act does not exclude this examination.

 

The Court of Auditors provides the European Parliament and the Council with a statement of assurance concerning the reliability of the accounts and the legality and regularity of the underlying transactions.

 

2. The Court of Auditors examines the legality and regularity of revenue and expenditure and ensures sound financial management.

 

The revenue is checked on the basis of findings such as payments of revenue to the Community.

 

The control of expenditure is carried out on the basis of commitments as well as payments.

 

These checks can be carried out before the accounts for the fiscal year in question are closed.

 

3. Checks shall be carried out on the basis of documents and, if necessary, on the spot at the other institutions of the Community, and in the Member States. Control in the Member States is carried out in conjunction with the national control institutions or, if these do not have the necessary skills, with the competent national services. These institutions or services inform the Court of Auditors whether they intend to participate in the audit.

 

Any document or information necessary for the accomplishment of the mission of the Court of Auditors shall be communicated to it, at its request, by the other institutions of the Community and by the national audit institutions or, if they do not do not have the necessary skills, by the competent national services.

 

4. The Court of Auditors draws up an annual report after the end of each financial year. This report is sent to the other institutions of the Community and published in the Official Journal of the European Communities, accompanied by the replies of the said institutions to the observations of the Court of Auditors.

 

The Court of Auditors may also present its observations at any time, in particular in the form of special reports, on specific questions and deliver opinions at the request of one of the other institutions of the Community.

 

It adopts its annual reports, special reports or opinions by a majority of its members.

 

It assists the European Parliament and the Council in the exercise of their function of controlling the implementation of the budget. ”

 

60) Article 189 is replaced by the following:

 

“Article 189

 

For the performance of their mission and under the conditions provided for in this Treaty, the European Parliament together with the Council, the Council and the Commission shall adopt regulations and directives, take decisions and formulate recommendations or opinions.

 

The regulation has general application. It is binding in its entirety and is directly applicable in all Member States.

 

The directive is binding on any recipient Member State as to the result to be achieved, while leaving to the national authorities competence as to the form and the means.

 

The decision is binding in all its elements for the addressees it designates.

 

Recommendations and opinions are not binding. ”

 

61) The following articles are inserted:

 

“Article 189 A

 

1. Where, by virtue of this Treaty, an act of the Council is taken on a proposal from the Commission, the Council may take an act constituting an amendment of the proposal only acting unanimously, subject to Article 189b paragraphs 4 and 5.

 

2. As long as the Council has not acted, the Commission may modify its proposal throughout the procedures leading to the adoption of a Community act.

 

Article 189b

 

1. Where reference is made to this Article in this Treaty for the adoption of an act, the following procedure shall apply.

 

2. The Commission shall present a proposal to the European Parliament and to the Council.

 

The Council, acting by a qualified majority, after consulting the European Parliament, adopts a common position. This common position is transmitted to the European Parliament. The Council fully informs the European Parliament of the reasons which led it to adopt its common position. The Commission fully informs the European Parliament of its position.

 

If, within three months of this transmission, the European Parliament:

 

(a) approve the common position, the Council finally adopts the act concerned in accordance with that common position;

 

(b) has not taken a decision, the Council shall adopt the act concerned in accordance with its common position;

 

c) indicates, by an absolute majority of its component members, that it intends to reject the common position, it shall immediately inform the Council of its intention. The Council may convene the Conciliation Committee referred to in paragraph 4 to clarify its position. Then, the European Parliament confirms, by an absolute majority of its component members, the rejection of the common position, in which case the proposed act is deemed not adopted, or proposes amendments in accordance with point d) of this paragraph;

 

d) proposes amendments to the common position by an absolute majority of its members, the text thus amended is forwarded to the Council and to the Commission, which delivers an opinion on these amendments.

 

3. If, within three months of receipt of the European Parliament’s amendments, the Council, acting by a qualified majority, approves all these amendments, it shall amend its common position accordingly and adopt the act concerned; however, the Council shall act unanimously on the amendments which have received a negative opinion from the Commission. If the Council does not adopt the act in question, the President of the Council, in agreement with the President of the European Parliament, shall immediately convene the Conciliation Committee.

 

4. The Conciliation Committee, which brings together the members of the Council or their representatives and as many representatives of the European Parliament, has the task of reaching an agreement on a common draft by a qualified majority of the members of the Council or of their representatives and by a majority of the representatives of the European Parliament. The Commission participates in the work of the Conciliation Committee and takes all the necessary initiatives to promote a reconciliation of the positions of the European Parliament and of the Council.

 

5. If, within six weeks of its convocation, the Conciliation Committee approves a joint draft, the European Parliament and the Council shall have six weeks from this approval to adopt the act concerned in accordance with the common draft, by an absolute majority of the votes cast in the case of the European Parliament and by a qualified majority in the case of the Council. In the absence of approval by one of the two institutions, the proposed act is deemed not adopted.

 

6. When the Conciliation Committee does not approve a joint project, the proposed act is deemed not adopted, unless the Council, acting by a qualified majority within six weeks from the expiry of the time limit. to the Conciliation Committee, confirms the common position on which it had given its agreement before the opening of the conciliation procedure, possibly accompanied by amendments proposed by the European Parliament. In this case, the act concerned is finally adopted, unless the European Parliament, within six weeks from the date of the confirmation by the Council, rejects the text by an absolute majority of its members, to which case the proposed act is deemed not adopted.

 

7. The three-month and six-week periods referred to in this Article may be extended respectively by one month or by a maximum of two weeks, by common accord between the European Parliament and the Council. The three-month period referred to in paragraph 2 is automatically extended by two months in cases where point (c) of that paragraph is applicable.

 

8. The scope of the procedure referred to in this Article may be extended, in accordance with the procedure provided for in Article N (2) of the Treaty on European Union, on the basis of a report which the Commission will submit to the Commission. Council no later than 1996.

 

Article 189c

 

Where in this Treaty reference is made to this Article for the adoption of an act, the following procedure shall apply:

 

a) The Council, acting by a qualified majority on a proposal from the Commission and after consulting the European Parliament, adopts a common position.

 

b) The Council’s common position is forwarded to the European Parliament. The Council and the Commission shall fully inform the European Parliament of the reasons which led the Council to adopt its common position and of the position of the Commission.

 

If, within three months after this communication, the European Parliament approves this common position or if it has not taken a decision within this period, the Council shall definitively adopt the act concerned in accordance with the common position.

 

c) The European Parliament, within the three-month period referred to in point b), may, by an absolute majority of its component members, propose amendments to the common position of the Council. It can also, by the same majority, reject the Council’s common position. The result of the deliberations is sent to the Council and the Commission.

 

If the European Parliament has rejected the Council’s common position, the Council can only act at second reading unanimously.

 

d) The Commission shall review, within one month, the proposal on the basis of which the Council adopted its common position on the basis of the amendments proposed by the European Parliament.

 

The Commission shall forward to the Council, at the same time as its re-examined proposal, the amendments of the European Parliament which it has not taken on board, expressing its opinion on them. The Council can adopt these amendments unanimously.

 

e) The Council, acting by a qualified majority, adopts the proposal re-examined by the Commission.

 

The Council can only amend the re-examined Commission proposal unanimously.

 

f) In the cases referred to in points c), d) and e), the Council is required to act within three months. In the absence of a decision within this period, the Commission proposal is deemed not adopted.

 

(g) The time limits referred to in points (b) and (f) may be extended by mutual agreement between the Council and the European Parliament by a maximum of one month. ”

 

62) Article 190 is replaced by the following:

 

“Article 190

 

Regulations, directives and decisions adopted jointly by the European Parliament and the Council, as well as the said acts adopted by the Council or the Commission, shall state the reasons on which they are based and refer to the proposals or opinions required to be obtained in implementation of this Treaty. ”

 

63) Article 191 is replaced by the following:

 

“Article 191

 

1. Regulations, directives and decisions adopted in accordance with the procedure referred to in Article 189b shall be signed by the President of the European Parliament and by the President of the Council, and published in the Official Journal of the Community. They come into force on the date they set or, failing that, on the twentieth day following their publication.

 

2. The regulations of the Council and of the Commission, as well as the directives of these institutions which are addressed to all the Member States, shall be published in the Official Journal of the Community. They come into force on the date they set, or, failing that, on the twentieth day following their publication.

 

3. The other directives, as well as the decisions, shall be notified to their addressees and shall take effect by such notification. ”

 

64) Article 194 is replaced by the following:

 

“Article 194

 

The number of members of the Economic and Social Committee is fixed as follows:

 

Belgium 12

 

Denmark 9

 

Germany24

 

Greece12

 

Spain21

 

France 24

 

Ireland 9

 

Italy24

 

Luxembourg 6

 

Netherlands12

 

Portugal12

 

United Kingdom24

 

The members of the Committee are appointed for four years by the Council acting unanimously. Their mandate is renewable.

 

The members of the Committee must not be bound by any imperative mandate. They exercise their functions in full independence, in the general interest of the Community.

 

The Council, acting by a qualified majority, fixes the allowances of the members of the Committee. ”

 

65) Article 196 is replaced by the following:

 

“Article 196

 

The Committee appoints its chairman and officers from among its members for a period of two years.

 

It establishes its internal regulations.

 

The Committee is convened by its chairman at the request of the Council or the Commission. It can also meet on its own initiative. ”

 

66) Article 198 is replaced by the following:

 

“Article 198

 

The Committee must be consulted by the Council or by the Commission in the cases provided for in this Treaty. It can be consulted by these institutions in all cases where they deem it appropriate. It can take the initiative to issue an opinion in cases where it deems it appropriate.

 

If it considers it necessary, the Council or the Commission shall set a time limit for the Committee to present its opinion which may not be less than one month from the communication which is sent to this effect to the President. At the end of the allotted time, the absence of notice can be overridden.

 

The opinion of the Committee and the opinion of the specialized section, as well as a report of the deliberations, are transmitted to the Council and to the Commission. ”

 

67) The following chapter is inserted:

 

“Chapter 4

 

The Committee of the Regions

 

Article 198a

 

A committee of an advisory nature composed of representatives of regional and local authorities, hereinafter referred to as “Committee of the Regions”, is hereby established.

 

The number of members of the Committee of the Regions is fixed as follows:

 

Belgium 12

 

Denmark 9

 

Germany24

 

Greece12

 

Spain21

 

France 24

 

Ireland 9

 

Italy24

 

Luxembourg 6

 

Netherlands12

 

Portugal12

 

United Kingdom24

 

The members of the Committee and an equal number of alternates are appointed, on a proposal from the respective Member States, for four years by the Council acting unanimously. Their mandate is renewable.

 

The members of the Committee must not be bound by any imperative mandate. They exercise their functions in full independence, in the general interest of the Community.

 

Article 198b

 

The Committee of the Regions appoints its chairman and officers from among its members for a period of two years.

 

It establishes its own rules of procedure and submits them to the approval of the Council acting unanimously.

 

The Committee is convened by its chairman at the request of the Council or the Commission. It can also meet on its own initiative.

 

Article 198c

 

The Committee of the Regions shall be consulted by the Council or by the Commission in the cases provided for in this Treaty and in all other cases where one of these two institutions considers it appropriate.

 

If it considers it necessary, the Council or the Commission shall set a time limit for the Committee to present its opinion which may not be less than one month from the communication which is sent to this effect to the President. At the end of the allotted time, the absence of notice can be overridden.

 

When the Economic and Social Committee is consulted in accordance with Article 198, the Committee of the Regions shall be informed by the Council or the Commission of this request for an opinion. The Committee of the Regions may, when it considers that specific regional interests are at stake, deliver an opinion thereon.

 

It can issue an opinion on its own initiative in cases where it deems it useful.

 

The Committee’s opinion, as well as a report of the deliberations, shall be sent to the Council and to the Commission. ”

 

68) The following chapter is inserted:

 

“Chapter 5

 

European Investment Bank

 

Article 198d

 

The European Investment Bank has legal personality.

 

The members of the European Investment Bank are the Member States.

 

The statutes of the European Investment Bank are the subject of a Protocol annexed to this Treaty.

 

Article 198e

 

The mission of the European Investment Bank is to contribute, by calling on the capital markets and its own resources, to the balanced and smooth development of the common market in the interest of the Community. To this end, it facilitates, by granting loans and guarantees, without profit-making, the financing of the following projects, in all sectors of the economy:

 

(a) projects envisaging the enhancement of less developed regions;

 

b) projects aiming at the modernization or conversion of enterprises or the creation of new activities called for by the progressive establishment of the common market, which, by their size or by their nature, cannot be fully covered by the various means of financing existing in each of the Member States;

 

(c) projects of common interest for several Member States which, by their size or nature, cannot be fully covered by the various means of financing existing in each of the Member States.

 

In carrying out its mission, the Bank facilitates the financing of investment programs in conjunction with interventions from the structural funds and other Community financial instruments. ”

 

69) Article 199 is replaced by the following:

 

“Article 199

 

All Community revenue and expenditure, including those relating to the European Social Fund, must be forecast for each financial year and entered in the budget.

 

The administrative expenditure incurred for the institutions by the provisions of the Treaty on European Union relating to the common foreign and security policy and to cooperation in the fields of justice and home affairs are charged to the budget. Operational expenditure entailed by the implementation of the said provisions may, under the conditions referred to therein, be charged to the budget.

 

The budget must be balanced in terms of income and expenditure. ”

 

70) Section 200 is repealed.

 

71) Article 201 is replaced by the following:

 

“Article 201

 

The budget is, without prejudice to other revenue, entirely financed by own resources.

 

The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament, shall adopt the provisions relating to the system of the Community’s own resources, the adoption of which it recommends by the Member States, in accordance with their respective constitutional rules. ”

 

72) the following article is inserted:

 

“Article 201 A

 

In order to ensure budgetary discipline, the Commission does not make a proposal for a Community act, does not modify its proposals and does not adopt implementing measures liable to have significant effects on the budget without giving the assurance that this proposal or measure can be financed within the limits of the Community’s own resources resulting from the provisions laid down by the Council under Article 201. ”

 

73) Article 205 is replaced by the following text;

 

“Article 205

 

The Commission implements the budget, in accordance with the provisions of the regulation adopted pursuant to Article 209, under its own responsibility and within the limits of the appropriations allocated, in accordance with the principle of sound financial management.

 

The regulation provides for the specific procedures according to which each institution participates in the execution of its own expenditure.

 

Within the budget, the Commission may proceed, within the limits and conditions fixed by the regulation adopted pursuant to Article 209, to transfers of appropriations, either from chapter to chapter, or from subdivision to subdivision. ”

 

74) Article 206 is replaced by the following:

 

“Article 206

 

1. The European Parliament, on a recommendation from the Council which acts by qualified majority, grants discharge to the Commission in respect of the implementation of the budget. To this end, it examines, following the Council, the accounts and the financial statement mentioned in Article 205a, the annual report of the Court of Auditors, accompanied by the responses of the audited institutions to the observations of the Court of Auditors, as well as the relevant special reports thereof.

 

2. Before granting discharge to the Commission, or for any other purpose falling within the framework of the exercise of its powers with regard to the implementation of the budget, the European Parliament may ask to hear the Commission on the execution of expenditure or operation of financial control systems. The Commission shall submit to the European Parliament, at the latter’s request, all necessary information.

 

3. The Commission shall take all appropriate steps to act on the observations accompanying the discharge decisions and on other observations of the European Parliament concerning the execution of expenditure as well as on the comments accompanying the discharge recommendations adopted by the Council.

 

At the request of the European Parliament or of the Council, the Commission reports on the measures taken in the light of these observations and comments and in particular on the instructions given to the departments responsible for implementing the budget. These reports are also sent to the Court of Auditors. ”

 

75) Articles 206 bis and 206 ter are repealed.

 

76) Article 209 is replaced by the following:

 

“Article 209

 

The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and opinion of the Court of Auditors:

 

(a) adopt the financial regulations specifying in particular the modalities relating to the establishment and implementation of the budget and to the presentation and verification of accounts;

 

b) lay down the arrangements and the procedure according to which the budgetary revenue provided for in the Community own resources system is made available to the Commission, and define the measures to be applied to meet, where appropriate, the cash flow requirements ;

 

c) determine the rules and organize the control of the liability of financial controllers, authorizing officers and accountants. ”

 

77) the following article is inserted:

 

“Article 209 A

 

Member States shall take the same measures to combat fraud affecting the financial interests of the Community as they take to combat fraud affecting their own financial interests.

 

Without prejudice to other provisions of this Treaty, Member States shall coordinate their action aimed at protecting the financial interests of the Community against fraud. To this end, they organize, with the help of the Commission, close and regular collaboration between the competent services of their administrations. ”

 

78) Article 215 is replaced by the following:

 

“Article 215

 

The contractual liability of the Community is governed by the law applicable to the contract in question.

 

In matters of non-contractual liability, the Community must make reparation, in accordance with the general principles common to the laws of the Member States, for damage caused by its institutions or by its agents in the performance of their duties.

 

The second paragraph applies under the same conditions to damage caused by the ECB or by its agents in the performance of their duties.

 

The personal liability of officials towards the Community is governed by the provisions establishing their statutes or the arrangements applicable to them. ”

 

79) Article 227 is amended as follows:

 

(a) paragraph 2 is replaced by the following:

 

“2. With regard to the French overseas departments, the specific and general provisions of this Treaty relating to:

 

– the free movement of goods,

 

– agriculture, with the exception of Article 40 (4),

 

– when services are released,

 

– competition rules,

 

– the safeguard measures provided for in Articles 109 H, 109 I and 226,

 

– institutions,

 

shall apply from the entry into force of this Treaty.

 

The conditions for the application of the other provisions of this Treaty shall be determined at the latest two years after its entry into force, by decisions of the Council acting unanimously on a proposal from the Commission.

 

The institutions of the Community will ensure, within the framework of the procedures provided for in this Treaty and in particular Article 226, to allow the economic and social development of these regions. ”;

 

(b) in paragraph 5, point (a) is replaced by the following:

 

“(A) This Treaty does not apply to the Faroe Islands.”

 

80) Article 228 is replaced by the following:

 

“Article 228

 

1. Where the provisions of this Treaty provide for the conclusion of agreements between the Community and one or more States or international organizations, the Commission shall submit recommendations to the Council, which shall authorize it to open the necessary negotiations. These negotiations are conducted by the Commission, in consultation with special committees appointed by the Council to assist it in this task and within the framework of directives which the Council may address to it.

 

In exercising the powers conferred on it by this paragraph, the Council shall act by a qualified majority, except in the cases provided for in the second sentence of paragraph 2, for which it shall act unanimously.

 

2. Subject to the powers recognized by the Commission in this area, the agreements shall be concluded by the Council, acting by a qualified majority on a proposal from the Commission. The Council shall act unanimously when the agreement relates to an area for which unanimity is required for the adoption of internal rules, as well as for the agreements referred to in Article 238.

 

3. The Council shall conclude the agreements after consulting the European Parliament, except for the agreements referred to in Article 113 (3), including where the agreement relates to an area for which the procedure referred to in Article 189b or that referred to in Article 189 C is required for the adoption of internal rules. The European Parliament delivers its opinion within a time limit which the Council may set according to the urgency. In the absence of an opinion within this period, the Council may take a decision.

 

By way of derogation from the provisions of the previous paragraph, the agreements referred to in Article 238, as well as the other agreements which create a specific institutional framework by organizing cooperation procedures, are concluded after obtaining the assent of the European Parliament, the agreements having implications significant budgetary resources for the Community and agreements involving an amendment to an act adopted in accordance with the procedure referred to in Article 189 B.

 

The Council and the European Parliament may, in urgent cases, agree on a time limit for the assent.

 

4. When concluding an agreement, the Council may, by way of derogation from the provisions of paragraph 2, empower the Commission to approve modifications on behalf of the Community where the agreement provides that such modifications are to be adopted under a simplified procedure. or by a body created by said agreement; the Board may attach certain specific conditions to this authorization.

 

5. When the Council intends to conclude an agreement amending this Treaty, the amendments must first be adopted in accordance with the procedure provided for in Article N of the Treaty on European Union.

 

6. The Council, the Commission or a Member State may obtain the opinion of the Court of Justice on the compatibility of an agreement envisaged with the provisions of this Treaty. The agreement which has been the subject of a negative opinion of the Court of Justice can enter into force only under the conditions laid down in Article N of the Treaty on European Union.

 

7. Agreements concluded under the conditions laid down in this Article shall bind the institutions of the Community and the Member States. ”

 

81) the following article is inserted:

 

“Article 228 A

 

Where a common position or a common action adopted under the provisions of the Treaty on European Union relating to the common foreign and security policy provide for action by the Community aimed at interrupting or reducing, in whole or in part, the economic relations with one or more third countries, the Council, acting by a qualified majority on a proposal from the Commission, shall take the necessary urgent measures. ”

 

82) Article 231 is replaced by the following:

 

“Article 231

 

The Community shall establish close collaboration with the Organization for Economic Co-operation and Development, the terms of which shall be determined by mutual agreement. ”

 

83) Sections 236 and 237 are repealed.

 

84) Article 238 is replaced by the following:

 

“Article 238

 

The Community may conclude with one or more States or international organizations agreements creating an association characterized by reciprocal rights and obligations, joint actions and special procedures. ”

 

F. In Annex III:

 

85) The title is replaced by the following:

 

“List of invisible transactions provided for in Article 73 H of the Treaty”.

 

G. In the Protocol on the Statute of the European Investment Bank:

 

86) The mention of Articles 129 and 130 is replaced by that of Articles 198 D and 198 E respectively.

 

 

TITLE III

 

PROVISIONS AMENDING THE TREATY ESTABLISHING THE EUROPEAN COAL AND STEEL COMMUNITY

 

 

Article H

 

The Treaty establishing the European Coal and Steel Community is amended in accordance with the provisions of this Article.

 

1.Article 7 is replaced by the following:

 

“Article 7

 

The institutions of the Community are:

 

– a HIGH AUTHORITY, hereinafter referred to as “the Commission”;

 

– a JOINT ASSEMBLY, hereinafter referred to as “the European Parliament”;

 

– a SPECIAL COUNCIL OF MINISTERS, hereinafter referred to as “the Council”;

 

– a COURT OF JUSTICE;

 

– a COURT OF ACCOUNTS.

 

The Commission shall be assisted by an advisory committee. ”

 

2) The following articles are inserted:

 

“Article 9

 

1. The Commission is made up of seventeen members chosen for their general competence and offering all guarantees of independence.

 

The number of members of the Commission may be changed by the Council acting unanimously.

 

Only nationals of Member States can be members of the Commission.

 

The Commission must include at least one national from each of the Member States, without the number of members having the nationality of the same Member State being greater than two.

 

2. The members of the Commission shall exercise their functions in full independence, in the general interest of the Community.

 

In the performance of their duties, they do not seek or accept instructions from any government or from any body. They refrain from any act incompatible with the character of their functions. Each Member State undertakes to respect this character and not to seek to influence the members of the Commission in the performance of their task.

 

The members of the Commission may not, during their term of office, exercise any other professional activity, whether remunerated or not. At the time of their installation, they make a solemn commitment to respect, during their term of office and after their termination, the obligations arising from their office, in particular the duties of honesty and delicacy as to the acceptance, after this termination, of certain functions or certain advantages. In the event of a breach of these obligations, the Court of Justice, referred to by the Council or by the Commission, may, as the case may be, pronounce the automatic resignation under the conditions of Article 12 A or the forfeiture of the right to a pension. of the interested party or other advantages in lieu.

 

Article 10

 

1. The members of the Commission shall be appointed for a period of five years, in accordance with the procedure referred to in paragraph 2, subject, where appropriate, to Article 24.

 

Their mandate is renewable.

 

2. The governments of the Member States shall designate by common accord, after consulting the European Parliament, the person whom they intend to appoint as president of the Commission.

 

The governments of the Member States, in consultation with the President-designate, nominate the other personalities they intend to appoint as members of the Commission.

 

The President and the other members of the Commission thus appointed are subject, as a college, to a vote of approval by the European Parliament. After the approval of the European Parliament, the President and the other members of the Commission are appointed, by common accord, by the governments of the Member States.

 

3. Paragraphs 1 and 2 shall apply for the first time to the Chairman and to the other members of the Commission whose term of office begins on 7 January 1995.

 

The President and the other members of the Commission whose term of office begins on 7 January 1993 shall be appointed by common accord of the governments of the Member States. Their mandate expires on January 6, 1995.

 

Article 11

 

The Commission may appoint one or two vice-presidents from among its members.

 

Article 12

 

Apart from regular renewals and death, the functions of a member of the Commission end individually by voluntary resignation or ex officio.

 

The person concerned is replaced for the remainder of the term of office by a new member appointed by common accord of the governments of the Member States. The Council, acting unanimously, may decide that there is no need for replacement.

 

In the event of resignation or death, the chairman is replaced for the remainder of the term of office. The procedure provided for in Article 10 (2) is applicable for his replacement.

 

Except in the event of automatic resignation provided for in Article 12 A, the members of the Commission shall remain in office until their replacement has been provided for.

 

Article 12a

 

Any member of the Commission, if he no longer fulfills the conditions necessary for the performance of his duties or if he has been guilty of serious misconduct, may be declared resign by the Court of Justice, at the request of the Council or of the Commission.

 

Article 13

 

The decisions of the Commission are acquired by a majority of the number of members provided for in article 9.

 

The Commission can only sit validly if the number of members fixed in its rules of procedure is present. ”

 

3.Article 16 is replaced by the following:

 

“Article 16

 

The Commission takes all internal measures to ensure the functioning of its services.

 

It may set up study committees and in particular an economic studies committee.

 

The Council and the Commission hold reciprocal consultations and by mutual agreement organize the arrangements for their collaboration.

 

The Commission shall lay down its rules of procedure with a view to ensuring its functioning and that of its departments under the conditions provided for in this Treaty. It ensures the publication of these regulations. ”

 

(4) the following article is inserted:

 

“Article 17

 

The Commission shall publish every year, at least one month before the opening of the session of the European Parliament, a general report on the activities of the Community. ”

 

(5) in Article 18, the following paragraph is added:

 

“The Council, acting by a qualified majority, fixes all compensation in lieu of compensation.”

 

6) The following articles are inserted:

 

“Article 20 A

 

The European Parliament may, by a majority of its members, ask the Commission to submit any appropriate proposal on matters which it considers necessitating the drawing up of a Community act for the implementation of this Treaty.

 

Article 20 B

 

In the performance of its tasks, the European Parliament may, at the request of a quarter of its members, set up a temporary committee of inquiry to examine, without prejudice to the powers conferred by this Treaty on other institutions or bodies, allegations of infringement or maladministration in the application of Community law, unless the alleged facts are at issue before a court and as long as the court proceedings have not been completed.

 

The existence of the temporary commission of inquiry ends with the filing of its report.

 

The procedures for exercising the right of inquiry are determined by common accord of the European Parliament, the Council and the Commission.

 

Article 20c

 

Any citizen of the Union, as well as any natural or legal person residing or having its registered office in a Member State, has the right to present, individually or in association with other citizens or persons, a petition to the European Parliament on a subject falling within the fields of activity of the Community and which concerns him or her directly.

 

Article 20d

 

1. The European Parliament shall appoint an ombudsperson, empowered to receive complaints from any citizen of the Union or any natural or legal person residing or having its registered office in a Member State and relating to cases of maladministration in the European Union. action by Community institutions or bodies, excluding the Court of Justice and the court of first instance in the exercise of their judicial functions.

 

In accordance with his mission, the Ombudsman carries out the inquiries he considers justified, either on his own initiative or on the basis of complaints submitted to him directly or through a Member of the European Parliament, unless the alleged facts are or have been the subject of judicial proceedings. In cases where the mediator has noted a case of maladministration, he refers the case to the institution concerned, which has three months to give it its opinion. The ombudsman then sends a report to the European Parliament and to the institution concerned. The person making the complaint is informed of the outcome of these investigations.

 

Each year, the Ombudsman presents a report to the European Parliament on the results of his inquiries.

 

2. The Ombudsman is appointed after each election of the European Parliament for the duration of the legislature. His mandate is renewable.

 

The Ombudsman may be declared to have resigned by the Court of Justice, at the request of the European Parliament, if he no longer fulfills the conditions necessary for the performance of his duties or if he has been guilty of serious misconduct.

 

3. The mediator exercises his functions in complete independence. In the performance of his duties, he neither solicits nor accepts instructions from any body. During his term of office, the mediator may not exercise any other professional activity, whether remunerated or not.

 

4. The European Parliament shall lay down the statutes and the general conditions of exercise of the functions of the mediator after consulting the Commission and with the approval of the Council acting by qualified majority. ”

 

7.in Article 21, paragraph 3 is replaced by the following:

 

“3. The European Parliament will develop plans to allow election by direct universal suffrage according to a uniform procedure in all Member States.

 

The Council, acting unanimously after obtaining the assent of the European Parliament, which decides by a majority of its component members, will adopt the provisions which it will recommend for adoption by the Member States, in accordance with their respective constitutional rules. ”

 

8.Article 24 is replaced by the following:

 

“Article 24

 

The European Parliament discusses the general report submitted to it by the Commission in public sitting.

 

The European Parliament, seized of a motion of censure on the management of the Commission, cannot vote on this motion until at least three days after its tabling and by a public ballot.

 

If the motion of censure is adopted by a two-thirds majority of the votes cast and a majority of the members who make up the European Parliament, the members of the Commission must collectively relinquish their functions. They will continue to deal with current business until their replacement in accordance with article 10. In this case, the mandate of the members of the Commission appointed to replace them expires on the date on which the mandate of the members of the Commission should have expired. obliged to give up their duties collectively. ”

 

9) The following articles are inserted:

 

“Article 27

 

The Council is made up of a representative of each Member State at ministerial level, empowered to commit the government of that Member State.

 

The Presidency is held in turn by each Member State of the Council for a period of six months in the following order of Member States:

 

– during a first cycle of six years: Belgium, Denmark, Germany, Greece, Spain, France, Ireland, Italy, Luxembourg, Netherlands, Portugal, United Kingdom;

 

– during the following six-year cycle: Denmark, Belgium, Greece, Germany, France, Spain, Italy, Ireland, Netherlands, Luxembourg, United Kingdom, Portugal.

 

Article 27a

 

The Council meets when convened by its chairman, on the initiative of the latter, one of its members or the Commission. ”

 

10) The following articles are inserted:

 

“Article 29

 

The Council, acting by a qualified majority, fixes the salaries, allowances and pensions of the President and members of the Commission, of the President, of the judges, of the Advocates General and of the Registrar of the Court of Justice. It also fixes, by the same majority, any compensation in lieu of compensation.

 

Article 30

 

1. A committee composed of the permanent representatives of the Member States shall have the task of preparing the work of the Council and carrying out the mandates entrusted to it by the latter.

 

2. The Council is assisted by a General Secretariat, placed under the direction of a General Secretary. The Secretary General is appointed by the Council acting unanimously.

 

The Council decides on the organization of the general secretariat.

 

3. The Council shall adopt its own rules of procedure. ”

 

11.Article 32 is replaced by the following:

 

“Article 32

 

The Court of Justice is made up of thirteen judges.

 

The Court of Justice sits in plenary session. However, it may create within it chambers each composed of three or five judges, with a view either to carrying out certain investigative measures or to judging certain categories of cases, under the conditions provided for by a regulation established for this purpose. effect.

 

The Court of Justice sits in plenary session when a Member State or a Community institution which is a party to the proceedings so requests.

 

If the Court of Justice so requests, the Council, acting unanimously, may increase the number of judges and make the necessary adjustments to the second and third paragraphs and to the second paragraph of Article 32b. ”

 

12) Article 32 quinto is replaced by the following:

 

“Article 32 quinto

 

1. The Court of Justice is a court responsible for hearing at first instance, subject to an appeal brought before the Court of Justice, limited to questions of law, under the conditions laid down by the Staff Regulations, of certain categories of remedies determined under the conditions set out in paragraph 2. The court of first instance has no jurisdiction to hear preliminary questions submitted under Article 41.

 

2. At the request of the Court of Justice and after consulting the European Parliament and the Commission, the Council, acting unanimously, shall fix the categories of appeal referred to in paragraph 1 and the composition of the court of first instance and adopt the adaptations. and the additional provisions necessary for the statute of the Court of Justice. Unless the Council decides otherwise, the provisions of this Treaty relating to the Court of Justice, and in particular the provisions of the Protocol on the Statute of the Court of Justice, shall apply to the court of first instance.

 

3. The members of the court of first instance shall be chosen from among persons offering all the guarantees of independence and possessing the capacity required for the exercise of judicial functions; they are appointed by mutual agreement for six years by the governments of the member states. A partial renewal takes place every three years. Outgoing members can be reappointed.

 

4. The court of first instance shall establish its rules of procedure in agreement with the Court of Justice. This by-law is subject to the unanimous approval of the Council. ”

 

13.Article 33 is replaced by the following:

 

“Article 33

 

The Court of Justice is competent to rule on actions for annulment for incompetence, violation of substantive procedures, violation of the treaty or any rule of law relating to its application, or misuse of powers, brought against the decisions and recommendations of the Commission by one of the Member States or by the Council. However, the examination by the Court of Justice may not relate to the assessment of the situation arising from the facts or economic circumstances in the light of which the said decisions or recommendations arose, unless the Commission is criticized for having committed a misuse of power or having manifestly disregarded the provisions of the treaty or any rule of law relating to its application.

 

The companies or associations referred to in Article 48 may, under the same conditions, appeal against individual decisions and recommendations concerning them or against general decisions and recommendations which they consider to be vitiated by misuse of powers in their regard.

 

The appeals provided for in the first two paragraphs of this article must be brought within one month from, as the case may be, the notification or publication of the decision or recommendation.

 

The Court of Justice is competent under the same conditions to rule on actions brought by the European Parliament which seek to safeguard the latter’s prerogatives. ”

 

14) The following chapter is inserted:

 

“Chapter V

 

From the Court of Auditors

 

Article 45a

 

The Court of Auditors ensures the control of the accounts.

 

Article 45 B

 

1. The Court of Auditors is composed of twelve members.

 

2. The members of the Court of Auditors are chosen from among personalities belonging or having belonged in their respective countries to the external audit institutions or having a particular qualification for this function. They must offer all guarantees of independence.

 

3. The members of the Court of Auditors are appointed for six years by the Council, acting unanimously after consulting the European Parliament.

 

However, at the time of the first appointments, four members of the Court of Auditors, appointed by drawing lots, receive a term of office limited to four years.

 

Members of the Court of Auditors may be reappointed.

 

They appoint from among themselves, for three years, the president of the Court of Auditors. The latter’s mandate is renewable.

 

4. The members of the Court of Auditors shall exercise their functions in full independence, in the general interest of the Community.

 

In the performance of their duties, they do not seek or accept instructions from any government or from any body. They refrain from any act incompatible with the character of their functions.

 

5. Members of the Court of Auditors may not, during their term of office, exercise any professional activity, whether remunerated or not. At the time of their installation, they make a solemn commitment to respect, during their term of office and after their termination, the obligations arising from their office, in particular the duties of honesty and delicacy as to the acceptance, after this termination, of certain functions or certain advantages.

 

6. Apart from regular renewals and death, the functions of a member of the Court of Auditors end individually by voluntary resignation or by automatic resignation declared by the Court of Justice in accordance with the provisions of paragraph 7.

 

The person concerned is replaced for the remainder of the term of office.

 

Except in the event of automatic resignation, the members of the Court of Auditors remain in office until they are replaced.

 

7. Members of the Court of Auditors may not be relieved of their duties or declared void of their right to pension or other benefits in lieu thereof unless the Court of Justice finds, at the request of the Court of Auditors, that ” they have ceased to meet the required conditions or to meet the obligations arising from their office.

 

8. The Council, acting by a qualified majority, fixes the conditions of employment, and in particular the salaries, allowances and pensions, of the President and of the members of the Court of Auditors. It also fixes, acting by the same majority, any compensation in lieu of compensation.

 

9. The provisions of the Protocol on the privileges and immunities of the European Communities which are applicable to judges of the Court of Justice are also applicable to members of the Court of Auditors.

 

Article 45c

 

1. The Court of Auditors examines the accounts of all the revenue and expenditure of the Community. It also examines the accounts of all income and expenditure of any body created by the Community insofar as the founding act does not exclude this examination.

 

The Court of Auditors provides the European Parliament and the Council with a statement of assurance concerning the reliability of the accounts and the legality and regularity of the underlying transactions.

 

2. The Court of Auditors shall examine the legality and regularity of the revenue and expenditure referred to in paragraph 1 and ensure sound financial management.

 

The revenue is checked on the basis of findings such as payments of revenue to the Community.

 

The control of expenditure is carried out on the basis of commitments as well as payments.

 

These checks can be carried out before the accounts for the fiscal year in question are closed.

 

3. Checks shall be carried out on the basis of documents and, if necessary, on the spot at the other institutions of the Community, and in the Member States. Control in the Member States is carried out in conjunction with the national control institutions or, if these do not have the necessary skills, with the competent national services. These institutions or services inform the Court of Auditors whether they intend to participate in the audit.

 

Any document or information necessary for the accomplishment of the mission of the Court of Auditors shall be communicated to it, at its request, by the other institutions of the Community and by the national audit institutions or, if they do not do not have the necessary skills, by the competent national services.

 

4. The Court of Auditors draws up an annual report after the end of each financial year. This report is sent to the other institutions of the Community and published in the Official Journal of the European Communities, accompanied by the replies of the said institutions to the observations of the Court of Auditors.

 

The Court of Auditors may also present its observations at any time, in particular in the form of special reports, on specific questions and deliver opinions at the request of one of the other institutions of the Community.

 

It adopts its annual reports, special reports or opinions by a majority of its members.

 

It assists the European Parliament and the Council in the exercise of their function of controlling the implementation of the budget.

 

5. The Court of Auditors shall also draw up a separate report each year on the regularity of accounting operations other than those relating to the expenditure and revenue referred to in paragraph 1, as well as on the regularity of the financial management of the Commission relating to these operations. It shall draw up this report no later than six months after the end of the financial year to which the account relates and send it to the Commission and to the Council. The Commission shall communicate it to the European Parliament. ”

 

15.Article 78c is replaced by the following:

 

“Article 78c

 

The Commission implements the administrative budget, in accordance with the provisions of the regulation adopted pursuant to Article 78 nono, under its own responsibility and within the limits of the appropriations available, in accordance with the principle of sound financial management.

 

The regulation provides for the specific procedures according to which each institution participates in the execution of its own expenditure.

 

Within the administrative budget, the Commission may proceed, within the limits and conditions fixed by the regulation adopted pursuant to Article 78 nono, to transfers of appropriations, either from chapter to chapter, or from subdivision to subdivision. ”

 

16) Articles 78 sext and 78 septimo are repealed.

 

17) Article 78 octavo is replaced by the following:

 

“Article 78 octavo

 

1. The European Parliament, on a recommendation from the Council which acts by qualified majority, grants discharge to the Commission in respect of the implementation of the administrative budget. To this end, it examines, following the Council, the accounts and the financial statement mentioned in article 78 quinto, the annual report of the Court of Auditors, accompanied by the responses of the audited institutions to the observations of the Court of Auditors , as well as the relevant special reports thereof.

 

2. Before granting discharge to the Commission, or for any other purpose falling within the framework of the exercise of its powers with regard to the implementation of the administrative budget, the European Parliament may ask to hear the Commission on the matter. ‘execution of expenditure or operation of financial control systems. The Commission shall submit to the European Parliament, at the latter’s request, all necessary information.

 

3. The Commission shall take all appropriate steps to act on the observations accompanying the discharge decisions and on other observations of the European Parliament concerning the execution of expenditure as well as on the comments accompanying the discharge recommendations adopted by the Council.

 

At the request of the European Parliament or of the Council, the Commission reports on the measures taken in the light of these observations and comments and in particular on the instructions given to the departments responsible for implementing the administrative budget. These reports are also sent to the Court of Auditors. ”

 

18) Article 78 nono is replaced by the following:

 

“Article 78 nono

 

The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and opinion of the Court of Auditors:

 

a) adopt the financial regulations specifying in particular the modalities relating to the establishment and implementation of the administrative budget and to the presentation and verification of accounts;

 

b) lay down the arrangements and the procedure according to which the budgetary revenue provided for in the system of own resources of the Communities is made available to the Commission, and define the measures to be applied to meet, where appropriate, the cash flow requirements;

 

c) determine the rules and organize the control of the liability of financial controllers, authorizing officers and accountants. ”

 

19) the following article is inserted:

 

“Article 78 decimo

 

Member States shall take the same measures to combat fraud affecting the financial interests of the Community as they take to combat fraud affecting their own financial interests.

 

Without prejudice to other provisions of this Treaty, Member States shall coordinate their action aimed at protecting the financial interests of the Community against fraud. To this end, they organize, with the help of the Commission, close and regular collaboration between the competent services of their administrations. ”

 

20) in Article 79, point (a) is replaced by the following:

 

“(A) This Treaty does not apply to the Faroe Islands.”

 

21) Sections 96 and 98 are repealed.

 

 

TITLE IV

 

PROVISIONS AMENDING THE TREATY ESTABLISHING THE EUROPEAN ATOMIC ENERGY COMMUNITY

 

 

Article I

 

The Treaty establishing the European Atomic Energy Community is amended in accordance with this Article.

 

1.Article 3 is replaced by the following:

 

“Article 3

 

1. The tasks entrusted to the Community shall be carried out by:

 

– a EUROPEAN PARLIAMENT,

 

– an advice,

 

– a commission,

 

– a COURT OF JUSTICE,

 

– a COURT OF ACCOUNTS.

 

Each institution acts within the limits of the powers conferred on it by this Treaty.

 

2. The Council and the Commission shall be assisted by an Economic and Social Committee exercising advisory functions. ”

 

2) The following articles are inserted:

 

“Article 107 A

 

The European Parliament may, by a majority of its members, ask the Commission to submit any appropriate proposal on matters which it considers necessitating the drawing up of a Community act for the implementation of this Treaty.

 

Article 107 B

 

In the performance of its tasks, the European Parliament may, at the request of a quarter of its members, set up a temporary committee of inquiry to examine, without prejudice to the powers conferred by this Treaty on other institutions or bodies, allegations of infringement or maladministration in the application of Community law, unless the alleged facts are at issue before a court and as long as the court proceedings have not been completed.

 

The existence of the temporary commission of inquiry ends with the filing of its report.

 

The procedures for exercising the right of inquiry are determined by common accord of the European Parliament, the Council and the Commission.

 

Article 107c

 

Any citizen of the Union, as well as any natural or legal person residing or having its registered office in a Member State, has the right to present, individually or in association with other citizens or persons, a petition to the European Parliament on a subject falling within the fields of activity of the Community and which concerns him or her directly.

 

Article 107d

 

1. The European Parliament shall appoint an ombudsperson, empowered to receive complaints from any citizen of the Union or any natural or legal person residing or having its registered office in a Member State and relating to cases of maladministration in the European Union. action by Community institutions or bodies, excluding the Court of Justice and the court of first instance in the exercise of their judicial functions.

 

In accordance with his mission, the Ombudsman carries out the inquiries he considers justified, either on his own initiative or on the basis of complaints submitted to him directly or through a Member of the European Parliament, unless the alleged facts are or have been the subject of judicial proceedings. In cases where the mediator has noted a case of maladministration, he refers the case to the institution concerned, which has three months to give it its opinion. The ombudsman then sends a report to the European Parliament and to the institution concerned. The person making the complaint is informed of the outcome of these investigations.

 

Each year, the Ombudsman presents a report to the European Parliament on the results of his inquiries.

 

2. The Ombudsman is appointed after each election of the European Parliament for the duration of the legislature. His mandate is renewable.

 

The Ombudsman may be declared to have resigned by the Court of Justice, at the request of the European Parliament, if he no longer fulfills the conditions necessary for the performance of his duties or if he has been guilty of serious misconduct.

 

3. The mediator exercises his functions in complete independence. In the performance of his duties, he neither solicits nor accepts instructions from any body. During his term of office, the mediator may not exercise any other professional activity, whether remunerated or not.

 

4. The European Parliament shall lay down the statutes and the general conditions of exercise of the functions of the mediator after consulting the Commission and with the approval of the Council acting by qualified majority. ”

 

(3) in Article 108, paragraph 3 is replaced by the following:

 

“3. The European Parliament will develop plans to allow election by direct universal suffrage according to a uniform procedure in all Member States.

 

The Council, acting unanimously after obtaining the assent of the European Parliament, which decides by a majority of its component members, will adopt the provisions which it will recommend for adoption by the Member States, in accordance with their respective constitutional rules. ”

 

4) In Article 114, the second paragraph is completed by the following sentence:

 

“In this case, the mandate of the members of the Commission appointed to replace them expires on the date on which the mandate of the members of the Commission compelled to collectively resign their functions should have expired.”

 

5) The following articles are inserted:

 

“Article 116

 

The Council is made up of a representative of each Member State at ministerial level, empowered to commit the government of that Member State.

 

The Presidency is held in turn by each Member State of the Council for a period of six months in the following order of Member States:

 

– during a first cycle of six years: Belgium, Denmark, Germany, Greece, Spain, France, Ireland, Italy, Luxembourg, Netherlands, Portugal, United Kingdom;

 

– during the following six-year cycle: Denmark, Belgium, Greece, Germany, France, Spain, Italy, Ireland, Netherlands, Luxembourg, United Kingdom, Portugal.

 

Article 117

 

The Council meets when convened by its chairman, on the initiative of the latter, one of its members or the Commission. ”

 

(6) the following article is inserted:

 

“Article 121

 

1. A committee composed of the permanent representatives of the Member States shall have the task of preparing the work of the Council and carrying out the mandates entrusted to it by the latter.

 

2. The Council is assisted by a General Secretariat, placed under the direction of a General Secretary. The Secretary General is appointed by the Council acting unanimously.

 

The Council decides on the organization of the general secretariat.

 

3. The Council shall adopt its own rules of procedure. ”

 

7.The following article is inserted:

 

“Article 123

 

The Council, acting by a qualified majority, fixes the salaries, allowances and pensions of the President and members of the Commission, of the President, of the judges, of the Advocates General and of the Registrar of the Court of Justice. It also fixes, by the same majority, any compensation in lieu of compensation. ”

 

8) The following articles are inserted:

 

“Article 125

 

The Commission shall publish every year, at least one month before the opening of the session of the European Parliament, a general report on the activities of the Community.

 

Article 126

 

1. The Commission is made up of seventeen members chosen for their general competence and offering all guarantees of independence.

 

The number of members of the Commission may be changed by the Council acting unanimously.

 

Only nationals of Member States can be members of the Commission.

 

The Commission must include at least one national from each of the Member States, without the number of members having the nationality of the same Member State exceeding two.

 

2. The members of the Commission shall exercise their functions in full independence, in the general interest of the Community.

 

In the performance of their duties, they do not seek or accept instructions from any government or from any body. They refrain from any act incompatible with the character of their functions. Each Member State undertakes to respect this character and not to seek to influence the members of the Commission in the performance of their task.

 

The members of the Commission may not, during their term of office, exercise any other professional activity, whether remunerated or not. At the time of their installation, they make a solemn commitment to respect, during their term of office and after their termination, the obligations arising from their office, in particular the duties of honesty and delicacy as to the acceptance, after this termination, of certain functions or certain advantages. In the event of a breach of these obligations, the Court of Justice, referred to by the Council or by the Commission, may, as the case may be, pronounce the automatic resignation under the conditions referred to in Article 129 or the forfeiture of the right to a pension. of the interested party or other advantages in lieu.

 

Article 127

 

1. The members of the Commission shall be appointed for a period of five years, in accordance with the procedure referred to in paragraph 2, subject, where appropriate, to Article 114.

 

Their mandate is renewable.

 

2. The governments of the Member States shall designate by common accord, after consulting the European Parliament, the person whom they intend to appoint as president of the Commission.

 

The governments of the Member States, in consultation with the President-designate, nominate the other personalities they intend to appoint as members of the Commission.

 

The President and the other members of the Commission thus appointed are subject, as a college, to a vote of approval by the European Parliament. After the approval of the European Parliament, the President and the other members of the Commission are appointed by common accord of the governments of the Member States.

 

3. Paragraphs 1 and 2 shall apply for the first time to the Chairman and to the other members of the Commission whose term of office begins on 7 January 1995.

 

The President and the other members of the Commission whose term of office begins on 7 January 1993 shall be appointed by common accord of the governments of the Member States. Their mandate expires on January 6, 1995.

 

Article 128

 

Apart from regular renewals and death, the functions of a member of the Commission end individually by voluntary resignation or ex officio.

 

The person concerned is replaced for the remainder of the term of office by a new member appointed by common accord of the governments of the Member States. The Council, acting unanimously, may decide that there is no need for replacement.

 

In the event of resignation or death, the chairman is replaced for the remainder of the term of office. The procedure provided for in Article 127 (2) is applicable for his replacement.

 

Except in the event of automatic resignation provided for in section 129, the members of the Commission shall remain in office until their replacement has been provided for.

 

Article 129

 

Any member of the Commission, if he no longer fulfills the conditions necessary for the performance of his duties or if he has been guilty of serious misconduct, may be declared resign by the Court of Justice, at the request of the Council or of the Commission.

 

Article 130

 

The Commission may appoint one or two vice-presidents from among its members.

 

Article 131

 

The Council and the Commission hold reciprocal consultations and by mutual agreement organize the arrangements for their collaboration.

 

The Commission shall lay down its rules of procedure with a view to ensuring its functioning and that of its departments under the conditions provided for in this Treaty. It ensures the publication of these regulations.

 

Article 132

 

The decisions of the Commission are acquired by a majority of the number of members provided for in article 126.

 

The Commission can only sit validly if the number of members fixed in its rules of procedure is present. ”

 

9) Section 133 is repealed.

 

10.Article 137 is replaced by the following:

 

“Article 137

 

The Court of Justice is made up of thirteen judges.

 

The Court of Justice sits in plenary session. However, it may create within it chambers each composed of three or five judges, with a view either to carrying out certain investigative measures or to judging certain categories of cases, under the conditions provided for by a regulation established for this purpose. effect.

 

The Court of Justice sits in plenary session when a Member State or a Community institution which is a party to the proceedings so requests.

 

If the Court of Justice so requests, the Council, acting unanimously, may increase the number of judges and make the necessary adjustments to the second and third paragraphs and to the second paragraph of Article 139. ”

 

11.Article 140a is replaced by the following:

 

“Article 140 A

 

1. A court responsible for hearing at first instance is attached to the Court of Justice, subject to an appeal brought before the Court of Justice limited to questions of law, under the conditions laid down by the statute, of certain categories of appeal. determined under the conditions set out in paragraph 2. The court of first instance does not have jurisdiction to hear preliminary questions submitted under Article 150.

 

2. At the request of the Court of Justice and after consulting the European Parliament and the Commission, the Council, acting unanimously, shall fix the categories of appeal referred to in paragraph 1 and the composition of the court of first instance and adopt the adaptations. and the additional provisions necessary for the statute of the Court of Justice. Unless the Council decides otherwise, the provisions of this Treaty relating to the Court of Justice, and in particular the provisions of the Protocol on the Statute of the Court of Justice, shall apply to the court of first instance.

 

3. The members of the court of first instance shall be chosen from among persons offering all the guarantees of independence and possessing the capacity required for the exercise of judicial functions; they are appointed by mutual agreement for six years by the governments of the member states. A partial renewal takes place every three years. Outgoing members can be reappointed.

 

4. The court of first instance shall establish its rules of procedure in agreement with the Court of Justice. This by-law is subject to the unanimous approval of the Council. ”

 

12.Article 143 is replaced by the following:

 

“Article 143

 

1. If the Court of Justice recognizes that a Member State has failed to fulfill any of its obligations under this Treaty, that State shall be required to take the measures necessary to comply with the judgment of the Court of Justice. .

 

2. If the Commission considers that the Member State concerned has not taken these measures, it shall, after giving that State the opportunity to present its observations, issue a reasoned opinion specifying the points on which the Member State concerned does not. did not comply with the judgment of the Court of Justice.

 

If the Member State concerned has not taken the necessary measures to comply with the judgment of the Court within the time limit set by the Commission, the latter may refer the case to the Court of Justice. It indicates the amount of the lump sum or penalty payment to be paid by the Member State concerned which it considers appropriate in the circumstances.

 

If the Court of Justice recognizes that the Member State concerned has not complied with its judgment, it may impose the payment of a lump sum or a penalty payment.

 

This procedure is without prejudice to article 142. ”

 

13.Article 146 is replaced by the following:

 

“Article 146

 

The Court of Justice reviews the legality of acts of the Council or of the Commission, other than recommendations and opinions, and of acts of the European Parliament intended to produce legal effects vis-à-vis third parties.

 

To this end, the Court has jurisdiction to rule on appeals for incompetence, violation of substantive formalities, violation of this Treaty or any rule of law relating to its application, or misuse of powers, brought by a Member State, the Council or the Commission.

 

The Court has jurisdiction, under the same conditions, to rule on actions brought by the European Parliament which seek to safeguard its prerogatives.

 

Any natural or legal person may, under the same conditions, bring an appeal against decisions addressed to them, and against decisions which, although taken under the appearance of a regulation or a decision addressed to another person, concern her directly and individually.

 

The appeals provided for in this article must be brought within two months from, as the case may be, the publication of the document, its notification to the applicant, or, failing that, the day on which the latter received it. knowledge.”

 

14) The following section is inserted:

 

“Section V

 

The Court of Auditors

 

Article 160a

 

The Court of Auditors ensures the control of the accounts.

 

Article 160b

 

1. The Court of Auditors is composed of twelve members.

 

2. The members of the Court of Auditors are chosen from among personalities belonging or having belonged in their respective countries to the external audit institutions or having a particular qualification for this function. They must offer all guarantees of independence.

 

3. The members of the Court of Auditors are appointed for six years by the Council, acting unanimously after consulting the European Parliament.

 

However, at the time of the first appointments, four members of the Court of Auditors, appointed by drawing lots, receive a term of office limited to four years.

 

Members of the Court of Auditors may be reappointed.

 

They appoint from among themselves, for three years, the president of the Court of Auditors. The latter’s mandate is renewable.

 

4. The members of the Court of Auditors shall exercise their functions in full independence, in the general interest of the Community.

 

In the performance of their duties, they do not seek or accept instructions from any government or from any body. They refrain from any act incompatible with the character of their functions.

 

5. Members of the Court of Auditors may not, during their term of office, exercise any professional activity, whether remunerated or not. At the time of their installation, they make a solemn commitment to respect, during their term of office and after their termination, the obligations arising from their office, in particular the duties of honesty and delicacy as to the acceptance, after this termination, of certain functions or certain advantages.

 

6. Apart from regular renewals and death, the functions of a member of the Court of Auditors end individually by voluntary resignation or by automatic resignation declared by the Court of Justice in accordance with the provisions of paragraph 7.

 

The person concerned is replaced for the remainder of the term of office.

 

Except in the event of automatic resignation, the members of the Court of Auditors remain in office until they are replaced.

 

7. Members of the Court of Auditors may not be relieved of their duties or declared void of their right to pension or other benefits in lieu thereof unless the Court of Justice finds, at the request of the Court of Auditors, that ” they have ceased to meet the required conditions or to meet the obligations arising from their office.

 

8. The Council, acting by a qualified majority, fixes the conditions of employment, and in particular the salaries, allowances and pensions, of the President and of the members of the Court of Auditors. It also fixes, acting by the same majority, any compensation in lieu of compensation.

 

9. The provisions of the Protocol on the privileges and immunities of the European Communities which are applicable to judges of the Court of Justice are also applicable to members of the Court of Auditors.

 

Article 160c

 

1. The Court of Auditors examines the accounts of all the revenue and expenditure of the Community. It also examines the accounts of all income and expenditure of any body created by the Community insofar as the founding act does not exclude this examination.

 

The Court of Auditors provides the European Parliament and the Council with a statement of assurance concerning the reliability of the accounts and the legality and regularity of the underlying transactions.

 

2. The Court of Auditors examines the legality and regularity of revenue and expenditure and ensures sound financial management.

 

The revenue is checked on the basis of findings such as payments of revenue to the Community.

 

The control of expenditure is carried out on the basis of commitments as well as payments.

 

These checks can be carried out before the accounts for the fiscal year in question are closed.

 

3. Checks shall be carried out on the basis of documents and, if necessary, on the spot at the other institutions of the Community, and in the Member States. Control in the Member States is carried out in conjunction with the national control institutions or, if these do not have the necessary skills, with the competent national services. These institutions or services inform the Court of Auditors whether they intend to participate in the audit.

 

Any document or information necessary for the accomplishment of the mission of the Court of Auditors shall be communicated to it, at its request, by the other institutions of the Community and by the national audit institutions or, if they do not do not have the necessary skills, by the competent national services.

 

4. The Court of Auditors draws up an annual report after the end of each financial year. This report is sent to the other institutions of the Community and published in the Official Journal of the European Communities, accompanied by the replies of the said institutions to the observations of the Court of Auditors.

 

The Court of Auditors may also present its observations at any time, in particular in the form of special reports, on specific questions and deliver opinions at the request of one of the other institutions of the Community.

 

It adopts its annual reports, special reports or opinions by a majority of its members.

 

It assists the European Parliament and the Council in the exercise of their function of controlling the implementation of the budget. ”

 

15.Article 166 is replaced by the following:

 

“Article 166

 

The number of members of the Economic and Social Committee is fixed as follows:

 

Belgium 12

 

Denmark 9

 

Germany 24

 

Greece 12

 

Spain 21

 

France 24

 

Ireland 9

 

Italy 24

 

Luxembourg 6

 

Netherlands 12

 

Portugal 12

 

United Kingdom 24

 

The members of the Committee are appointed for four years by the Council acting unanimously. Their mandate is renewable.

 

The members of the Committee must not be bound by any imperative mandate. They exercise their functions in full independence, in the general interest of the Community.

 

The Council, acting by a qualified majority, fixes the allowances of the members of the Committee. ”

 

16.Article 168 is replaced by the following:

 

“Article 168

 

The Committee appoints its chairman and officers from among its members for a period of two years.

 

It establishes its internal regulations.

 

The Committee is convened by its chairman at the request of the Council or the Commission. It can also meet on its own initiative. ”

 

17.Article 170 is replaced by the following:

 

“Article 170

 

The Committee must be consulted by the Council or by the Commission in the cases provided for in this Treaty. It can be consulted by these institutions in all cases where they deem it appropriate. It can take the initiative to issue an opinion in cases where it deems it appropriate.

 

If it considers it necessary, the Council or the Commission shall set a time limit for the Committee to present its opinion which may not be less than one month from the communication which is sent to this effect to the President. At the end of the allotted time, the absence of notice can be overridden.

 

The opinion of the Committee and the opinion of the specialized section, as well as a report of the deliberations, are transmitted to the Council and to the Commission. ”

 

18) In Article 172, paragraphs 1, 2 and 3 are repealed.

 

19.Article 173 is replaced by the following:

 

“Article 173

 

The budget is, without prejudice to other revenue, entirely financed by own resources.

 

The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament, shall adopt the provisions relating to the system of the Community’s own resources, the adoption of which it recommends by the Member States, in accordance with their respective constitutional rules. ”

 

20) the following article is inserted:

 

“Article 173 A

 

In order to ensure budgetary discipline, the Commission does not make a proposal for a Community act, does not modify its proposals and does not adopt implementing measures liable to have significant effects on the budget without giving the assurance that this proposal or measure can be financed within the limits of the Community’s own resources resulting from the provisions laid down by the Council under Article 173. ”

 

21.Article 179 is replaced by the following:

 

“Article 179

 

The Commission implements the budgets, in accordance with the provisions of the regulation adopted pursuant to Article 183, under its own responsibility and within the limits of the appropriations allocated, in accordance with the principle of sound financial management.

 

The regulation provides for the specific procedures according to which each institution participates in the execution of its own expenditure.

 

Within each budget, the Commission may proceed, within the limits and conditions fixed by the regulation adopted pursuant to Article 183, to transfers of appropriations, either from chapter to chapter, or from subdivision to subdivision. ”

 

22) Articles 180 and 180 bis are repealed.

 

23) Article 180b is replaced by the following:

 

“Article 180b

 

1. The European Parliament, on a recommendation from the Council which acts by qualified majority, grants discharge to the Commission in respect of the implementation of the budget. To this end, it examines, following the Council, the accounts and the financial statement mentioned in Article 179a, the annual report of the Court of Auditors, accompanied by the responses of the audited institutions to the observations of the Court of Auditors, as well as the relevant special reports thereof.

 

2. Before granting discharge to the Commission, or for any other purpose falling within the framework of the exercise of its powers with regard to the implementation of the budget, the European Parliament may ask to hear the Commission on the execution of expenditure or operation of financial control systems. The Commission shall submit to the European Parliament, at the latter’s request, all necessary information.

 

3. The Commission shall take all appropriate steps to act on the observations accompanying the discharge decisions and on other observations of the European Parliament concerning the execution of expenditure as well as on the comments accompanying the discharge recommendations adopted by the Council.

 

At the request of the European Parliament or of the Council, the Commission reports on the measures taken in the light of these observations and comments and in particular on the instructions given to the departments responsible for implementing the budgets. These reports are also sent to the Court of Auditors. ”

 

24) Article 183 is replaced by the following:

 

“Article 183

 

The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and opinion of the Court of Auditors:

 

(a) adopt the financial regulations specifying in particular the modalities relating to the establishment and implementation of the budget and to the presentation and verification of accounts;

 

b) lay down the arrangements and the procedure according to which the budgetary revenue provided for in the Community own resources system is made available to the Commission, and define the measures to be applied to meet, where appropriate, the cash flow requirements ;

 

c) determine the rules and organize the control of the liability of financial controllers, authorizing officers and accountants. ”

 

25) the following article is inserted:

 

“Article 183 A

 

Member States shall take the same measures to combat fraud affecting the financial interests of the Community as they take to combat fraud affecting their own financial interests.

 

Without prejudice to other provisions of this Treaty, Member States shall coordinate their action aimed at protecting the financial interests of the Community against fraud. To this end, they organize, with the help of the Commission, close and regular collaboration between the competent services of their administrations. ”

 

26) in Article 198, point (a) is replaced by the following:

 

“(A) This Treaty does not apply to the Faroe Islands.”

 

27) Article 201 is replaced by the following:

 

“Article 201

 

The Community shall establish close collaboration with the Organization for Economic Co-operation and Development, the terms of which shall be determined by mutual agreement.

 

28) Sections 204 and 205 are repealed.

 

29) Article 206 is replaced by the following:

 

“Article 206

 

The Community may conclude with one or more States or international organizations agreements creating an association characterized by reciprocal rights and obligations, joint actions and specific procedures.

 

These agreements are concluded by the Council, acting unanimously after consulting the European Parliament.

 

When these agreements require amendments to this Treaty, the amendments must first be adopted in accordance with the procedure provided for in Article N of the Treaty on European Union. ”

 

 

TITLE V

 

PROVISIONS CONCERNING A FOREIGN POLICY

 

AND COMMON SECURITY

 

 

Article J

 

A common foreign and security policy is hereby established, governed by the following provisions.

 

 

 

Article J.1

 

1. The Union and its Member States shall define and implement a common foreign and security policy, governed by the provisions of this Title and covering all areas of foreign and security policy.

 

2. The objectives of the common foreign and security policy are:

 

– safeguarding the common values, fundamental interests and independence of the Union;

 

– strengthening the security of the Union and its Member States in all its forms;

 

– the maintenance of peace and the strengthening of international security, in accordance with the principles of the Charter of the United Nations, as well as the principles of the Helsinki Final Act and the objectives of the Charter of Paris;

 

– promotion of international cooperation;

 

– the development and strengthening of democracy and the rule of law, as well as respect for human rights and fundamental freedoms.

 

3. The Union pursues these objectives:

 

– by establishing systematic cooperation between the Member States for the conduct of their policies, in accordance with Article J.2;

 

– gradually implementing, in accordance with Article J.3, joint actions in areas where the Member States have important interests in common.

 

4. Member States shall actively and unreservedly support the Union’s foreign and security policy in a spirit of loyalty and mutual solidarity. They shall refrain from any action contrary to the interests of the Union or likely to undermine its effectiveness as a coherent force in international relations. The Board ensures that these principles are respected.

 

 

 

Article J.2

 

1. Member States shall inform each other and consult each other within the Council on any matter of foreign and security policy of general interest, with a view to ensuring that their combined influence is exercised in the most effective manner through convergence of their actions.

 

2. Whenever it considers it necessary, the Council shall define a common position.

 

Member States ensure that their national policies comply with the common positions.

 

3. Member States shall coordinate their action within international organizations and at international conferences. They defend common positions in these forums.

 

In international organizations and at international conferences in which not all Member States participate, those who participate defend common positions.

 

 

 

Article J.3

 

The procedure for adopting common action in the fields of foreign and security policy is as follows:

 

1) the Council decides, on the basis of general guidelines from the European Council, that an issue will be the subject of joint action.

 

When the Council decides on the principle of joint action, it sets its precise scope, the general and specific objectives that the Union sets itself in the pursuit of this action, as well as the means, procedures, conditions and, if necessary , the duration applicable to its implementation;

 

2) when adopting the joint action and at any stage of its development, the Council shall define the questions on which decisions must be taken by qualified majority.

 

For Council deliberations which require a qualified majority in accordance with the first subparagraph, the votes of the members shall be weighted as referred to in Article 148 (2) of the Treaty establishing the European Community and the deliberations shall be acquired if they have received at least fifty – four votes expressing the favorable vote of at least eight members;

 

3) if there is a change in circumstances having a significant impact on a matter which is the subject of joint action, the Council shall review the principles and objectives of such action and adopt the necessary decisions. As long as the Council has not taken a decision, the joint action is maintained;

 

4) joint actions commit the Member States in their positions and in the conduct of their action;

 

5) any statement of position or any national action envisaged in application of a joint action shall be the subject of information within a timeframe allowing, if necessary, prior consultation within the Council. The obligation of prior information does not apply to measures which constitute a simple transposition at national level of the decisions of the Council;

 

6) in the event of imperative need linked to developments in the situation and in the absence of a Council decision, the Member States may take the necessary measures as a matter of urgency, taking into account the general objectives of the action common. The Member State which takes such measures shall immediately inform the Council thereof;

 

7) in the event of major difficulties in applying a joint action, a Member State refers the matter to the Council, which deliberates and seeks the appropriate solutions. These cannot run counter to the objectives of the action or undermine its effectiveness.

 

 

 

Article J.4

 

1. The common foreign and security policy includes all questions relating to the security of the European Union, including the eventual definition of a common defense policy, which could lead, when the time comes, to a defense. common.

 

2. The Union calls on the Western European Union (WEU), which is an integral part of the development of the European Union, to draw up and implement the decisions and actions of the Union which have implications in the field of defense. The Council, in agreement with the WEU institutions, adopts the necessary practical arrangements.

 

3. Matters which have defense implications and which are governed by this article are not subject to the procedures defined in article J.3.

 

4. Union policy within the meaning of this Article does not affect the specific nature of the security and defense policy of certain Member States, it respects the obligations arising for certain Member States from the North Atlantic Treaty and it is compatible with the common security and defense policy adopted within this framework.

 

5. This article does not preclude the development of closer cooperation between two or more Member States at bilateral level, within the framework of WEU and the Atlantic Alliance, to the extent that such cooperation does not contravene to that provided for in this title nor hinders it.

 

6. In order to promote the objective of this Treaty and taking into account the 1998 deadline under Article XII of the Brussels Treaty, this Article may be revised, as provided for in Article N paragraph 2 , on the basis of a report which the Council will submit to the European Council in 1996, which includes an assessment of the progress made and the experience gained so far.

 

 

 

Article J.5

 

1. The Presidency represents the Union in matters relating to the common foreign and security policy.

 

2. The presidency is responsible for the implementation of joint actions; as such, it expresses in principle the Union’s position in international organizations and in international conferences.

 

3. In the tasks referred to in paragraphs 1 and 2, the Presidency shall be assisted, where appropriate, by the Member State which held the previous Presidency and by the one which will hold the next Presidency. The Commission is fully associated with these tasks.

 

4. Without prejudice to the provisions of Article J.2 paragraph 3 and Article J.3 point 4), the Member States represented in international organizations or international conferences in which all the Member States are not held the latter informed on any matter of common interest.

 

Member States which are also members of the United Nations Security Council will coordinate and keep other Member States fully informed. The Member States which are permanent members of the Security Council will, in the exercise of their functions, take care to defend the positions and the interests of the Union, without prejudice to the responsibilities incumbent upon them by virtue of the provisions of the Charter of Nations. united.

 

 

 

Article J.6

 

The diplomatic and consular missions of the Member States and the Commission delegations in third countries and international conferences, as well as their representations to international organizations, work together to ensure that common positions and joint actions are respected and implemented. adopted by the Council.

 

They shall intensify their cooperation by exchanging information, by carrying out joint evaluations and by contributing to the implementation of the provisions referred to in Article 8c of the Treaty establishing the European Community.

 

 

 

Article J.7

 

The Presidency consults the European Parliament on the main aspects and fundamental choices of the common foreign and security policy and ensures that the views of the European Parliament are duly taken into account. The European Parliament is kept regularly informed by the Presidency and the Commission of developments in the Union’s foreign and security policy.

 

The European Parliament can address questions or make recommendations to the Council. Each year, it holds a debate on the progress made in the implementation of the common foreign and security policy.

 

 

 

Article J.8

 

1. The European Council shall define the principles and general guidelines of the common foreign and security policy.

 

2. The Council shall take the decisions necessary for the definition and implementation of the common foreign and security policy, on the basis of the general guidelines adopted by the European Council. It ensures the unity, consistency and effectiveness of the Union’s action.

 

The Council acts unanimously, except for questions of procedure and in the case referred to in Article J.3 point 2).

 

3. Each Member State or the Commission may refer to the Council any matter relating to the common foreign and security policy and submit proposals to the Council.

 

4. In cases requiring a rapid decision, the Presidency shall convene, either ex officio or at the request of the Commission or of a Member State, within 48 hours or, in the event of absolute necessity, within 48 hours. a shorter deadline, an extraordinary meeting of the Council.

 

5. Without prejudice to Article 151 of the Treaty establishing the European Community, a political committee made up of political directors monitors the international situation in areas relating to the common foreign and security policy and contributes to the definition of policies by issuing opinions for the benefit of the Board, at the Board’s request or on its own initiative. It also monitors the implementation of agreed policies, without prejudice to the competences of the Presidency and the Commission.

 

 

 

Article J.9

 

The Commission is fully associated with work in the field of common foreign and security policy.

 

 

 

Article J.10

 

In the event of a possible revision of the provisions relating to security in accordance with Article J.4, the conference convened for this purpose shall also consider whether further amendments should be made to the provisions relating to the common foreign and security policy. .

 

 

 

Article J.11

 

1. The provisions referred to in Articles 137, 138, 139 to 142, 146, 147, 150 to 153, 157 to 163 and 217 of the Treaty establishing the European Community shall apply to the provisions relating to the areas referred to in this Title.

 

2. The administrative expenditure incurred for the institutions by the provisions relating to the common foreign and security policy shall be charged to the budget of the European Communities.

 

The Council may also:

 

– either decide unanimously that the operational expenditure entailed by the implementation of the said provisions shall be charged to the budget of the European Communities; in this case, the budgetary procedure provided for in the Treaty establishing the European Community applies;

 

– or ascertain that such expenditure is the responsibility of the Member States, possibly according to an allocation key to be determined.

 

 

TITLE VI

 

PROVISIONS ON COOPERATION IN THE FIELDS OF JUSTICE AND HOME AFFAIRS

 

 

Article K

 

Cooperation in the fields of justice and home affairs is governed by the following provisions.

 

 

 

Article K.1

 

For the purposes of achieving the objectives of the Union, in particular the free movement of persons, and without prejudice to the competences of the European Community, the Member States shall consider the following areas to be matters of common interest:

 

1) asylum policy;

 

2) the rules governing the crossing of the external borders of the Member States by persons and the exercise of control over such crossing;

 

3) immigration policy and policy towards third country nationals:

 

(a) the conditions of entry and movement of nationals of third countries on the territory of the Member States;

 

(b) the conditions of stay of third-country nationals in the territory of the Member States, including family reunification and access to employment;

 

(c) the fight against illegal immigration, stay and work of third-country nationals on the territory of the Member States;

 

4) the fight against drug addiction insofar as this field is not covered by points 7), 8) and 9);

 

5) the fight against international fraud insofar as this area is not covered by points 7), 8) and 9);

 

6) judicial cooperation in civil matters;

 

7) judicial cooperation in criminal matters;

 

8) customs cooperation;

 

9) police cooperation with a view to preventing and combating terrorism, illicit drug trafficking and other serious forms of international crime, including, if necessary, certain aspects of customs cooperation, in conjunction with the organization at Union level of an information exchange system within a European Police Office (Europol).

 

 

 

Article K.2

 

1. The questions referred to in article K.1 are dealt with in compliance with the European Convention for the Protection of Human Rights and Fundamental Freedoms, of 4 November 1950, and the Convention relating to the Status of Refugees, of July 28, 1951, and taking into account the protection afforded by member states to politically persecuted persons.

 

2. This Title is without prejudice to the exercise of the responsibilities incumbent on the Member States for the maintenance of public order and the safeguard of internal security.

 

 

 

Article K.3

 

1. In the areas referred to in Article K.1, the Member States shall inform and consult each other within the Council, with a view to coordinating their action. To this end, they establish collaboration between the competent services of their administrations.

 

2. The Council may:

 

– on the initiative of any Member State or of the Commission in the areas referred to in points 1) to 6) of Article K.1,

 

– on the initiative of any Member State in the areas referred to in points 7), 8) and 9) of Article K.1:

 

(a) adopt common positions and promote, in the form and according to the appropriate procedures, any cooperation useful for the pursuit of the objectives of the Union;

 

(b) adopt joint actions, insofar as the Union’s objectives can be better achieved by joint action than by Member States acting in isolation, due to the size or effects of the action envisaged; it may decide that the measures for implementing a joint action will be adopted by qualified majority;

 

c) without prejudice to Article 220 of the Treaty establishing the European Community, draw up conventions the adoption of which it will recommend by the Member States in accordance with their respective constitutional rules.

 

Unless otherwise provided for in these conventions, any measures to apply them shall be adopted within the Council, by a two-thirds majority of the High Contracting Parties.

 

These conventions may provide that the Court of Justice is competent to interpret their provisions and to rule on any dispute concerning their application, according to the terms they may specify.

 

 

 

Article K.4

 

1. A Coordination Committee composed of senior officials is hereby established. In addition to its coordination role, this Committee’s mission is:

 

– formulate opinions for the benefit of the Board, either at the latter’s request or on its own initiative;

 

– to contribute, without prejudice to Article 151 of the Treaty establishing the European Community, to the preparation of the work of the Council in the fields referred to in Article K.1, as well as, under the conditions provided for in Article 100d of the Treaty establishing the European Community, in the areas referred to in Article 100c of that Treaty.

 

2. The Commission shall be fully associated with the work in the fields referred to in this title.

 

3. The Council shall act unanimously, except on questions of procedure and in cases where Article K.3 expressly provides for another voting rule.

 

In the event that the deliberations of the Council require a qualified majority, the votes of the members shall be weighted as referred to in Article 148 (2) of the Treaty establishing the European Community and the deliberations shall be acquired if they have received at least fifty-four votes casting a favorable vote of at least eight members.

 

 

 

Article K.5

 

Member States shall express the common positions adopted in accordance with this Title in international organizations and at international conferences in which they participate.

 

 

 

Article K.6

 

The Presidency and the Commission shall keep the European Parliament regularly informed of the work carried out in the fields covered by this title.

 

The Presidency shall consult the European Parliament on the main aspects of the activity in the fields referred to in this Title and ensure that the views of the European Parliament are duly taken into account.

 

The European Parliament can address questions or make recommendations to the Council. Each year, it holds a debate on the progress made in the implementation of the areas referred to in this title.

 

 

 

Article K.7

 

The provisions of this Title shall not preclude the establishment or development of closer cooperation between two or more Member States, to the extent that such cooperation does not contravene or impede that provided for in this Title.

 

 

 

Article K.8

 

1. The provisions referred to in Articles 137, 138, 139 to 142, 146, 147, 150 to 153, 157 to 163 and 217 of the Treaty establishing the European Community shall apply to the provisions relating to the areas referred to in this Title.

 

2. The administrative expenditure incurred for the institutions by the provisions relating to the fields referred to in this Title shall be charged to the budget of the European Communities.

 

The Council may also:

 

– or decide unanimously that the operational expenditure entailed by the implementation of the said provisions shall be charged to the budget of the European Communities; in this case, the budgetary procedure provided for in the Treaty establishing the European Community applies;

 

– or ascertain that such expenditure is the responsibility of the Member States, possibly according to an allocation key to be determined.

 

 

 

Article K.9

 

The Council, acting unanimously on the initiative of the Commission or of a Member State, may decide to make Article 100c of the Treaty establishing the European Community applicable to actions falling within the fields referred to in Article K .1, points 1) to 6), by determining the attached voting conditions. It recommends the adoption of this decision by the Member States in accordance with their respective constitutional rules.

 

 

TITLE VII

 

FINAL PROVISIONS

 

 

Article L

 

The provisions of the Treaty establishing the European Community, of the Treaty establishing the European Coal and Steel Community, of the Treaty establishing the European Atomic Energy Community which relate to the jurisdiction of the Court of Justice of the European Communities and to the exercise of this jurisdiction shall apply only to the following provisions of this Treaty:

 

(a) the provisions amending the Treaty establishing the European Economic Community with a view to establishing the European Community, the Treaty establishing the European Coal and Steel Community and the Treaty establishing the European Atomic Energy Community;

 

b) the third subparagraph of Article K.3 (2) (c);

 

c) Articles L to S.

 

 

 

Article M

 

Subject to the provisions amending the Treaty establishing the European Economic Community with a view to establishing the European Community, the Treaty establishing the European Coal and Steel Community and the Treaty establishing the European Atomic Energy Community and hereof final provisions, nothing in this Treaty shall affect the Treaties establishing the European Communities or the subsequent Treaties and acts which have amended or supplemented them.

 

 

 

Article N

 

1. The government of any Member State, or the Commission, may submit to the Council proposals for the revision of the treaties on which the Union is founded.

 

If the Council, after consulting the European Parliament and, where appropriate, the Commission, delivers a favorable opinion on the meeting of a conference of representatives of the governments of the Member States, it shall be convened by the President of the Council with a view to to decide by mutual agreement on the modifications to be made to the said treaties. In the event of institutional changes in the monetary field, the Council of the European Central Bank is also consulted.

 

The amendments will enter into force after being ratified by all member states in accordance with their respective constitutional rules.

 

2. A conference of representatives of the governments of the Member States shall be convened in 1996 to examine, in accordance with the objectives set out in Articles A and B of the Common Provisions, the provisions of this Treaty for which revision is planned.

 

 

 

Article O

 

Any European state can apply to become a member of the Union. It addresses its request to the Council, which decides unanimously after consulting the Commission and after obtaining the assent of the European Parliament, which decides by an absolute majority of its members.

 

The conditions for admission and the adjustments which such admission entails with regard to the Treaties on which the Union is founded, shall be the subject of an agreement between the Member States and the requesting State. The said Agreement is subject to ratification by all Contracting States, in accordance with their respective constitutional requirements.

 

 

 

Article P

 

1. Articles 2 to 7 and 10 to 19 of the Treaty establishing a Single Council and a Single Commission of the European Communities, signed in Brussels on 8 April 1965, are hereby repealed.

 

2. Article 2, article 3, paragraph 2 and Title III of the Single European Act, signed in Luxembourg on February 17, 1986 and in The Hague on February 28, 1986, are hereby repealed.

 

 

 

Item Q

 

This Treaty is concluded for an unlimited period.

 

 

 

Article R

 

1. This Treaty shall be ratified by the High Contracting Parties in accordance with their respective constitutional requirements. The instruments of ratification shall be deposited with the Government of the Italian Republic.

 

2. This Treaty shall enter into force on 1 January 1993, provided that all the instruments of ratification have been deposited, or, failing this, on the first day of the month following the deposit of the instrument of ratification by the signatory State which will be the last to complete this formality.

 

 

 

Article S

 

This Treaty, drawn up in a single copy, in the Danish, German, English, French, Greek, Irish, Italian, Dutch and Portuguese languages, the texts drawn up in each of these languages ​​being equally authentic, shall be deposited in the archives of the Government. of the Italian Republic, which will deliver a certified true copy to each of the governments of the other signatory states.

 

 

 

In fe de lo cual, los plenipotenciarios abajo firmantes suscriben el presente Tratado.

 

Til bekræftelse heraf har undertegnede befuldmægtigede underskrevet denne Traktat.

 

Zu Urkund dessen haben die unterzeichneten Bevollmächtigten ihre Unterschriften unter diesen Vertrag gesetzt.

 

Εις πίστωση των ανωτέρω, οι υπογεγραμμένοι πληρεξούσιοι υπέγραψαν την παρούσα συνθήκη.

 

In witness whereof the undersigned Plenipotentiaries have signed this Treaty.

 

In witness whereof, the undersigned Plenipotentiaries have affixed their signatures below this Treaty.

 

Dá fhianú sin, chuir na Lánchumhachtaigh thíos-sínithe a lámh leis an gConradh seo.

 

In fede di che, i plenipotenziari sottoscritti hanno apposto le loro firm in calce al presente trattato.

 

Ten blijke waarvan de ondergetekende gevolmachtigden hun handtekening onder dit Verdrag hebben gesteld.

 

Em fé do que, os plenipotenciários abaixo assinados apuseram as suas assinaturas no final do presente Tratado.

 

Hecho en Maastricht, el siete de febrero de mil novecientos noventa y dos.

 

Udfærdiget i Maastricht, den syvende februar nitten hundrede og tooghalvfems.

 

Geschehen zu Maastricht am siebten Februar neunzehnhundertzweiundneunzig.

 

Έγινε στο Μάαστριχτ, στις εφτά Φεβρουαρίου χίλια εννιακόσια ενενήντα δύο.

 

Done at Maastricht on the seventh day of February in the year one thousand nine hundred and ninety-two.

 

Done at Maastricht on the seventh day of February in the year one thousand nine hundred and ninety-two.

 

Arna dhéanamh i Maastricht, an seachtú lá d’Fheabhra, míle naoi gcéad nócha a dó.

 

Fatto in Maastricht, addì sette febbraio millenovecentonovantadue.

 

Gedaan te Maastricht, from zevende februari negentienhonderd twee-en-negentig.

 

Feito em Maastricht, em sete de Fevereiro de mil novecentos e noventa e fait.

 

For His Majesty the King of the Belgians

 

Voor Zijne Majesteit by Koning der Belgen

 

***PICTURE***

 

 

For Hendes Majestæt Danmarks Dronning

 

***PICTURE***

 

 

Für den Präsidenten der Bundesrepublik Deutschland

 

***PICTURE***

 

 

Για τον Πρόεδρο της Ελληνικής Δημοκρατίας

 

***PICTURE***

 

 

Por Su Majestad el Rey de España

 

***PICTURE***

 

 

For the President of the French Republic

 

***PICTURE***

 

 

Thar ceann Uachtarán na hEireann

 

For the President of Ireland

 

***PICTURE***

 

 

Per il Presidente della Repubblica italiana

 

***PICTURE***

 

 

For His Royal Highness the Grand Duke of Luxembourg

 

***PICTURE***

 

 

Voor Hare Majesteit by Koningin der Nederlanden

 

***PICTURE***

 

 

Pelo Presidente da República Portuguesa

 

***PICTURE***

 

 

For Her Majesty the Queen of the United Kingdom of Great Britain and

 

Northern Ireland

 

***PICTURE***

 

 

 

 

PROTOCOLS

 

PROTOCOL on the acquisition of real estate in Denmark

THE HIGH CONTRACTING PARTIES,

 

DESIROUS of resolving certain specific problems of interest to Denmark,

 

HAVE AGREED on the following provision, which is annexed to the Treaty establishing the European Community:

 

 

 

Notwithstanding the provisions of the Treaty, Denmark can maintain its existing legislation on the acquisition of second homes.

 

 

PROTOCOL on Article 119 of the Treaty establishing the European Community

THE HIGH CONTRACTING PARTIES,

 

HAVE AGREED on the following provision, which is annexed to the Treaty establishing the European Community:

 

 

 

For the purposes of applying Article 119, benefits under an occupational social security scheme shall not be considered as remuneration if and to the extent that they can be attributed to periods of employment prior to 17 May 1990 , with the exception of workers or their beneficiaries who have, before this date, taken legal action or lodged an equivalent claim under the applicable national law.

 

 

PROTOCOL on the statute of the European System of Central Banks and of the European Central Bank

THE HIGH CONTRACTING PARTIES,

 

DESIRING to lay down the Statutes of the European System of Central Banks and of the European Central Bank referred to in Article 4 A of the Treaty establishing the European Community,

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

 

 

CHAPTER I

 

CONSTITUTION OF THE ESCB

 

 

Article 1

 

The European System of Central Banks

 

1.1. The European System of Central Banks (ESCB) and the European Central Bank (ECB) are established under Article 4A of the Treaty; they perform their functions and exercise their activities in accordance with the provisions of the Treaty and of these Statutes.

 

1.2. In accordance with Article 106 (1) of the Treaty, the ESCB is made up of the European Central Bank and the central banks of the Member States (national central banks). The Luxembourg Monetary Institute is the central bank of Luxembourg.

 

 

CHAPTER II

 

OBJECTIVES AND MISSIONS OF THE ESCB

 

 

Article 2

 

Goals

 

In accordance with Article 105 (1) of the Treaty, the main objective of the ESCB is to maintain price stability. Without prejudice to the objective of price stability, the ESCB shall provide support for general economic policies in the Community, with a view to contributing to the achievement of the objectives of the Community, as defined in Article 2 of the Treaty. The ESCB acts in accordance with the principle of an open market economy where competition is free, promoting an efficient allocation of resources and respecting the principles set out in Article 3 A of the Treaty.

 

 

 

Article 3

 

Missions

 

3.1. In accordance with Article 105 (2) of the Treaty, the fundamental tasks of the ESCB consist of:

 

– define and implement the monetary policy of the Community;

 

– conduct foreign exchange transactions in accordance with Article 109 of the Treaty;

 

– hold and manage the official foreign exchange reserves of member states;

 

– promote the proper functioning of payment systems.

 

3.2. In accordance with Article 105 (3) of the Treaty, the third indent of Article 3.1 applies without prejudice to the holding and management by the governments of the Member States of working capital in foreign currencies.

 

3.3. In accordance with Article 105 (5) of the Treaty, the ESCB contributes to the proper conduct of the policies pursued by the competent authorities with regard to the prudential supervision of credit institutions and the stability of the financial system.

 

 

 

Article 4

 

Advisory functions

 

In accordance with Article 105 (4) of the Treaty:

 

a) the ECB is consulted:

 

– on any Community act proposed in the fields falling within its competence;

 

– by the national authorities on any draft regulation in the fields falling within its competence, but within the limits and under the conditions set by the Council in accordance with the procedure provided for in Article 42;

 

(b) the ECB may, in areas within its competence, submit opinions to the appropriate Community institutions or bodies or to national authorities.

 

 

 

Article 5

 

Collection of statistical information

 

5.1. In order to carry out the tasks of the ESCB, the ECB, assisted by the national central banks, collects the necessary statistical information, either from the competent national authorities or directly from economic agents. For these purposes, it cooperates with Community institutions or bodies and with the competent authorities of Member States or third countries and with international organizations.

 

5.2. National central banks perform, as far as possible, the tasks described in Article 5.1.

 

5.3. The ECB is responsible for promoting the harmonization, as necessary, of the rules and practices governing the collection, compilation and dissemination of statistics in the fields falling within its competence.

 

5.4. The Council defines, in accordance with the procedure provided for in Article 42, the natural and legal persons subject to the reporting obligations, the confidentiality regime and the appropriate enforcement and sanction provisions.

 

 

 

Article 6

 

International cooperation

 

6.1. In the field of international cooperation concerning the tasks entrusted to the ESCB, the ECB decides how the ESCB is represented.

 

6.2. The ECB and, subject to its agreement, the national central banks are empowered to participate in international monetary institutions.

 

6.3. Articles 6.1 and 6.2 apply without prejudice to Article 109 (4) of the Treaty.

 

 

CHAPTER III

 

ORGANIZATION OF THE ESCB

 

 

Article 7

 

Independence

 

In accordance with Article 107 of the Treaty, in the exercise of the powers and in the performance of the missions and duties conferred on them by the Treaty and by these Statutes, neither the ECB, nor a national central bank, nor any member of their decision-making bodies may not seek or accept instructions from Community institutions or bodies, from the governments of the Member States or from any other body. The Community institutions and bodies as well as the governments of the Member States undertake to respect this principle and not to seek to influence the members of the decision-making bodies of the ECB or of the national central banks in the performance of their duties.

 

 

 

Article 8

 

General principle

 

The ESCB is governed by the decision-making bodies of the ECB.

 

 

 

Article 9

 

The European Central Bank

 

9.1. The ECB which, by virtue of Article 106 (2) of the Treaty, has legal personality, enjoys, in each of the Member States, the broadest legal capacity granted to legal persons by national law; the ECB may in particular acquire or dispose of movable and immovable property and institute legal proceedings.

 

9.2. The ECB shall ensure that the tasks conferred on the ESCB by virtue of Article 105 (2), (3) and (5) of the Treaty are carried out by its own activities, in accordance with these Statutes, or by the national central banks in accordance with Articles 12.1 and 14 .

 

9.3. In accordance with Article 106 (3) of the Treaty, the decision-making bodies of the ECB are the Governing Council and the Executive Board.

 

 

 

Article 10

 

The Board of Governors

 

10.1. In accordance with Article 109 A paragraph 1 of the Treaty, the Board of Governors is composed of the members of the Executive Board and of the governors of the national central banks.

 

10.2. Subject to Article 10.3, only members of the Board of Governors present at meetings have the right to vote. By way of derogation from this rule, the internal regulations referred to in Article 12.3 may provide that members of the Board of Governors may vote by teleconference. These regulations may also provide that a member of the Board of Governors unable to vote for an extended period may appoint an alternate to replace him as a member of the Board of Governors.

 

Subject to Articles 10.3 and 11.3, each member of the Board of Governors has one vote. Unless otherwise provided in these statutes, decisions of the Board of Governors are taken by simple majority. In the event of a tie, that of the president is decisive.

 

In order for the Board of Governors to vote, the quorum set is two-thirds of the members. If the quorum is not reached, the president can call an extraordinary meeting during which decisions can be taken without this quorum.

 

10.3. For all decisions to be taken under Articles 28, 29, 30, 32, 33, and 51, the votes of the members of the Governing Council shall be weighted in accordance with the distribution of the subscribed capital of the ECB among the national central banks. The weighting of the votes of the members of the Management Board is equal to zero. A decision requiring a qualified majority is adopted if the votes cast in favor represent at least two thirds of the subscribed capital of the ECB and at least half of the shareholders. If a governor cannot be present, he can appoint a substitute to exercise his weighted vote.

 

10.4. Meetings are confidential. The Board of Governors may decide to make the results of its deliberations public.

 

10.5. The Board of Governors meets at least ten times a year.

 

 

 

Article 11

 

The Directory

 

11.1. In accordance with Article 109 A paragraph 2 point a) of the Treaty, the Management Board is made up of the chairman, the vice-chairman and four other members.

 

Members perform their duties on a full-time basis. No member may exercise a profession, remunerated or not, unless an exception has been granted to him on an exceptional basis by the Board of Governors.

 

11.2. In accordance with Article 109 A paragraph 2 (b) of the Treaty, the President, the Vice-President and the other members of the Executive Board are appointed by common accord by the governments of the Member States at the level of Heads of State or of government, on the recommendation of the Council and after consulting the European Parliament and the Board of Governors, from among persons whose authority and professional experience in the monetary or banking field are recognized.

 

Their term of office is eight years and is not renewable.

 

Only nationals of Member States can be members of the Management Board.

 

11.3. The conditions of employment of the members of the Management Board, in particular their emoluments, pensions and other social security benefits are the subject of contracts concluded with the ECB and are set by the Governing Council on the proposal of a committee comprising three appointed members. by the Board of Governors and three members appointed by the Board. Members of the Management Board do not have the right to vote on matters governed by this paragraph.

 

11.4. If a member of the Management Board no longer fulfills the conditions necessary for the performance of his duties or if he has committed serious misconduct, the Court of Justice may, at the request of the Board of Governors or the Management Board, automatically dismiss him. of its functions.

 

11.5. Each member of the Management Board present at meetings has the right to vote and has one vote for this purpose. Unless otherwise provided, the decisions of the Management Board are taken by a simple majority of the votes cast. In the event of a tie, that of the president is decisive. The voting methods are specified in the internal regulations referred to in article 12.3.

 

11.6. The Executive Board is responsible for the day-to-day management of the ECB.

 

11.7. Any vacancy on the Management Board is filled by the appointment of a new member, in accordance with article 11.2.

 

 

 

Article 12

 

Responsibilities of decision-making bodies

 

12.1. The Governing Council shall adopt the guidelines and take the decisions necessary for the performance of the tasks entrusted to the ESCB by the Treaty and these Statutes. The Governing Council shall define the monetary policy of the Community, including, where appropriate, decisions concerning intermediate monetary objectives, key rates and the supply of reserves in the ESCB and adopt the guidelines necessary for their implementation.

 

The Executive Board implements monetary policy in accordance with the guidelines and decisions adopted by the Board of Governors. In this context, the Executive Board gives the necessary instructions to the national central banks. In addition, the Management Board may be delegated certain powers by decision of the Board of Governors.

 

To the extent considered possible and adequate and without prejudice to this Article, the ECB shall have recourse to national central banks for the execution of operations forming part of the tasks of the ESCB.

 

12.2. The Management Board is responsible for preparing the meetings of the Board of Governors.

 

12.3. The Governing Council adopts internal regulations determining the internal organization of the ECB and its decision-making bodies.

 

12.4. The advisory functions referred to in Article 4 shall be exercised by the Board of Governors.

 

12.5. The Board of Governors shall take the decisions referred to in Article 6.

 

 

 

Article 13

 

President

 

13.1. The President or, in his absence, the Vice-President, chairs the Governing Council and the Executive Board of the ECB.

 

13.2. Without prejudice to Article 39, the President or the person designated by him for this purpose represents the ECB externally.

 

 

 

Article 14

 

National central banks

 

14.1. In accordance with Article 108 of the Treaty, each Member State shall ensure the compatibility of its national legislation, including the statutes of its national central bank, with the treaty and these statutes, at the latest on the date of implementation. in place of the ESCB.

 

14.2. In particular, the statutes of national central banks provide that the term of office of the governor of a national central bank is not less than five years.

 

A governor can only be relieved of his functions if he no longer fulfills the conditions necessary for the exercise of his functions or if he has committed a serious fault. An appeal against the decision taken to this effect may be lodged with the Court of Justice by the governor concerned or the Board of Governors for violation of the Treaty or of any rule of law relating to its application. These appeals must be lodged within two months from, as the case may be, the publication of the document, its notification to the applicant, or, failing that, the day on which the latter became aware of it.

 

14.3. National central banks are an integral part of the ESCB and act in accordance with the guidelines and instructions of the ECB. The Governing Council shall take the necessary measures to ensure compliance with the guidelines and instructions of the ECB, and require that all necessary information be provided to it.

 

14.4. National central banks may exercise other functions than those specified in these statutes, unless the Governing Council decides, by a two-thirds majority of the votes cast, that these functions interfere with the objectives and missions. of the ESCB. These functions, which the national central banks exercise under their own responsibility and at their own risk, are not considered to be part of the functions of the ESCB.

 

 

 

Article 15

 

Duty to report

 

15.1. The ECB draws up and publishes reports on the activities of the ESCB at least quarterly.

 

15.2. A consolidated financial situation of the ESCB is published weekly.

 

15.3. In accordance with Article 109b (3) of the Treaty, the ECB sends the European Parliament, the Council and the Commission, as well as the European Council, an annual report on the activities of the ESCB and on the monetary policy for the year previous and current year.

 

15.4. The reports and situations referred to in this article are made available free of charge to interested persons.

 

 

 

Article 16

 

Tickets

 

In accordance with Article 105a (1) of the Treaty, the Governing Council alone is empowered to authorize the issue of banknotes in the Community. The ECB and national central banks can issue such banknotes. Banknotes issued by the ECB and national central banks are the only ones that are legal tender in the Community.

 

The ECB respects as far as possible existing practices regarding the issuance and presentation of banknotes.

 

 

CHAPTER IV

 

MONETARY FUNCTIONS AND OPERATIONS

 

INSURED BY THE ESCB

 

Article 17

 

Accounts with the ECB and national central banks

 

In order to carry out their operations, the ECB and national central banks may open accounts with credit institutions, public bodies and other market participants and accept assets, including current account securities, as collateral.

 

Article 18

 

Open market and credit operations

 

18.1. In order to achieve the objectives of the ESCB and carry out its tasks, the ECB and the national central banks may:

 

– intervene in the capital markets, either by buying and selling outright (cash and forward), or by taking and repoing, or by lending or borrowing debts and negotiable securities, denominated in community currencies or non-EU, as well as precious metals;

 

– carry out credit operations with credit institutions and other market participants on the basis of an appropriate security for the loans.

 

18.2. The ECB defines the general principles of open market and credit operations carried out by itself or by national central banks, including the announcement of the conditions under which they are prepared to carry out these operations.

 

Article 19

 

Mandatory reserves

 

19.1. Subject to Article 2, the ECB is empowered to require credit institutions established in Member States to build up minimum reserves with the ECB and national central banks, in accordance with monetary policy objectives. The methods of calculation and the determination of the amount required may be fixed by the Board of Governors. Any breach found in this regard entitles the ECB to charge interest as a penalty and to impose other penalties having a similar effect.

 

19.2. For the purposes of applying this article, the Council shall define, in accordance with the procedure provided for in article 42, the basis for minimum reserves and the maximum authorized ratios between these reserves and their basis, as well as the appropriate penalties in the event of no respect.

 

Article 20

 

Other monetary control instruments

 

The Governing Council may decide, by a two-thirds majority of the votes cast, to use such other operational methods of monetary control as it deems appropriate, subject to Article 2.

 

If these methods entail obligations for third parties, the Council shall define their scope in accordance with the procedure provided for in Article 42.

 

Article 21

 

Transactions with public bodies

 

21.1. In accordance with Article 104 of the Treaty, the ECB and national central banks are prohibited from granting overdrafts or any other type of credit to Community institutions or bodies, central administrations, regional or local authorities, other public authorities, other public bodies or undertakings in the Member States; the direct acquisition, from them, by the ECB or the national central banks, of their debt instruments is also prohibited.

 

21.2. The ECB and the national central banks may act as fiscal agents on behalf of the entities referred to in Article 21.1.

 

21.3. This article does not apply to public credit institutions which, in the context of the provision of liquidity by central banks, benefit, from the national central banks and the ECB, from the same treatment as institutions deprived of credit.

 

Article 22

 

Clearing and payment systems

 

The ECB and the national central banks may grant facilities, and the ECB may adopt regulations, with a view to ensuring the efficiency and soundness of clearing and payment systems within the Community and with third countries

 

Article 23

 

External operations

 

The ECB and national central banks can:

 

– enter into contact with central banks and financial institutions in third countries and, as necessary, with international organizations;

 

– acquire and sell, cash and forward, all categories of foreign exchange reserve assets and precious metals. The term “foreign exchange assets” includes securities and all other assets denominated in the currency of any country or in units of account, regardless of the form in which they are held;

 

– hold and manage the assets referred to in this article;

 

– carry out all types of banking operations with third countries and international organizations, including lending and borrowing operations.

 

Article 24

 

Other operations

 

In addition to the operations resulting from their tasks, the ECB and the national central banks may carry out operations for the purposes of their administrative infrastructure, or for the benefit of their staff.

 

 

CHAPTER V

 

PRUDENTIAL CONTROL

Article 25

 

Prudential supervision

 

25.1. The ECB is empowered to give opinions and to be consulted by the Council, the Commission and the competent authorities of the Member States on the scope and application of Community legislation concerning the prudential supervision of credit institutions and the stability of the financial system .

 

25.2. In accordance with any Council decision taken under Article 105 (6) of the Treaty, the ECB may perform specific tasks relating to policies on the prudential supervision of credit and other financial institutions, with the exception of undertakings. insurance.

 

CHAPTER VI

 

FINANCIAL PROVISIONS OF THE ESCB

Article 26

 

Financial accounts

 

26.1. The fiscal year of the ECB and the national central banks begins on the first day of January and ends on the last day of December.

 

26.2. The annual accounts of the ECB are drawn up by the Executive Board in accordance with the principles determined by the Governing Council. The accounts are approved by the Board of Governors and are then published.

 

26.3. For the purposes of analysis and management, the Executive Board draws up a consolidated balance sheet of the ESCB comprising the assets and liabilities of the national central banks, which come under the ESCB.

 

26.4. For the purposes of applying this article, the Governing Council shall adopt the rules necessary for the standardization of accounting and information procedures relating to the operations of national central banks.

 

Article 27

 

Account verification

 

27.1. The accounts of the ECB and the national central banks are audited by independent external auditors appointed on the recommendation of the Governing Council and approved by the Council. The auditors have full power to examine all the books and accounts of the ECB and the national central banks, and to obtain all information on their operations.

 

27.2. The provisions of Article 188c of the Treaty apply only to a review of the management efficiency of the ECB.

 

Article 28

 

ECB capital

 

28.1. The capital of the ECB, which becomes operational as soon as it is established, amounts to 5 billion ECU. The capital may be increased, if necessary, by decision of the Board of Governors acting by the qualified majority provided for in Article 10.3, within the limits and under the conditions set by the Council in accordance with the procedure provided for in Article 42.

 

28.2. National central banks alone are authorized to subscribe to and hold the capital of the ECB. The capital is subscribed according to the distribution key determined in accordance with article 29.

 

28.3. The Board of Governors, acting by the qualified majority provided for in Article 10.3, determines the amount payable and the terms of payment of the capital.

 

28.4. Subject to Article 28.5, the shares of national central banks in the subscribed capital of the ECB may not be transferred, pledged or seized.

 

28.5. If the allocation key referred to in Article 29 is changed, the national central banks shall transfer the corresponding capital shares among themselves so that the distribution of these shares corresponds to the new key. The Board of Governors sets the terms of these transfers.

 

Article 29

 

Allocation key for the capital subscription

 

29.1. The key for subscription to the capital of the ECB is determined when the ESCB and the ECB have been established in accordance with the procedure referred to in Article 109l (1) of the Treaty. Each national central bank is assigned a weight in this key, which is equal to the sum of:

 

– 50% of the share of the Member State concerned in the population of the Community the penultimate year preceding the establishment of the ESCB;

 

– 50% of the share of the Member State concerned in the gross domestic product of the Community at market prices, as observed during the five years preceding the penultimate year before the establishment of the ESCB;

 

Percentages are rounded to the nearest half decimal.

 

29.2. The statistical data necessary for the application of this Article shall be established by the Commission in accordance with the rules which are adopted by the Council in accordance with the procedure provided for in Article 42.

 

29.3. The weights allocated to national central banks are adjusted every five years after the establishment of the ESCB, by analogy with the provisions of Article 29.1. The adapted key takes effect on the first day of the following year.

 

29.4. The Board of Governors shall take all other measures necessary for the application of this article.

 

Article 30

 

Transfer of foreign exchange reserve assets to the ECB

 

30.1. Without prejudice to Article 28, the ECB shall be provided by the national central banks with foreign exchange reserve assets other than the currencies of the Member States, ECUs, reserve positions with the IMF and SDRs, up to up to an amount equivalent to 50 billion ECU. The Governing Council decides on the proportions to be called by the ECB after its establishment and on the amounts called up subsequently. The ECB is fully empowered to hold and manage the reserve assets transferred to it and to use them for the purposes set out in these Statutes.

 

30.2. The contribution of each national central bank is set in proportion to its share in the subscribed capital of the ECB.

 

30.3. Each national central bank receives from the ECB a claim equivalent to its contribution. The Board of Governors determines the name and the remuneration of these debts.

 

30.4. Additional reserve assets may be called by the ECB, in accordance with Article 30.2, beyond the limit set in Article 30.1, within the limits and under the conditions set by the Council in accordance with the procedure provided for in Article 30.1. article 42.

 

30.5. The ECB can hold and manage reserve positions with the IMF and SDRs, and accept the pooling of these assets.

 

30.6. The Board of Governors shall take all other measures necessary for the application of this article.

 

Article 31

 

Foreign exchange reserve assets held by national central banks

 

31.1. National central banks are authorized to carry out operations related to the fulfillment of their obligations towards international organizations in accordance with Article 23.

 

31.2. All other operations on foreign exchange reserve assets which remain in the national central banks after the transfers referred to in Article 30 and the transactions carried out by the Member States with their working capital in foreign currency shall exceed one certain limit to be set within the framework of Article 31.3, subject to the authorization of the ECB in order to ensure consistency with the exchange rate and monetary policy of the Community.

 

31.3. The Board of Governors adopts guidelines to facilitate these operations.

 

Article 32

 

Distribution of monetary income of national central banks

 

32.1. The income generated by the national central banks in the performance of the ESCB’s monetary policy tasks, hereinafter referred to as “monetary income”, is allocated at the end of each financial year in accordance with this article.

 

32.2. Subject to Article 32.3, the amount of monetary income of each national central bank is equal to the annual income that it derives from the assets held in exchange for banknotes in circulation and from commitments resulting from deposits made by credit institutions. These assets are identified by the national central banks in accordance with guidelines determined by the Board of Governors.

 

32.3. If the Governing Council considers, after the start of the third phase, that the balance sheet structures of the national central banks do not allow the application of Article 32.2, it may decide, by a qualified majority, that, by way of derogation from Article 32.2, monetary income must be calculated by another method for a period not exceeding five years.

 

32.4. The amount of monetary income of each national central bank is reduced by any interest charge paid by that central bank on the liabilities resulting from deposits made by credit institutions in accordance with Article 19.

 

The Governing Council may decide to compensate the national central banks for the costs incurred in connection with the issue of banknotes or, in exceptional circumstances, for specific losses relating to monetary policy operations carried out on behalf of the ESCB. . Compensation takes such form as the Board of Governors deems appropriate; these amounts can be offset against the monetary income of national central banks.

 

32.5. The sum of the monetary income of the national central banks is distributed among them in proportion to their paid-up shares in the capital of the ECB, subject to any decision taken by the Governing Council in accordance with Article 33.2.

 

32.6. The clearing and settlement of balances arising from the distribution of monetary income is carried out by the ECB in accordance with guidelines established by the Governing Council.

 

32.7. The Board of Governors shall take all other measures necessary for the application of this article.

 

Article 33

 

Breakdown of net profits and losses of the ECB

 

33.1. The net profit of the ECB is transferred in the following order:

 

a) an amount to be determined by the Board of Governors, which may not exceed 20% of the net profit, is transferred to the general reserve fund within the limit of 100% of the capital;

 

b) the remaining net profit is distributed to the holders of ECB units in proportion to the units they have paid up.

 

33.2. If the ECB records a loss, it is covered by the general reserve fund of the ECB and, if necessary, after decision of the Governing Council, by the monetary income for the financial year concerned on a pro rata basis and up to amounts allocated to national central banks in accordance with Article 32.5.

 

CHAPTER VII

 

GENERAL PROVISIONS

Article 34

 

Legal acts

 

34.1. In accordance with Article 108a of the Treaty, the ECB:

 

– adopt regulations to the extent necessary for the performance of the tasks defined in the first indent of Article 3.1, in Articles 19.1, 22 or 25.2 of the Statute of the ESCB, as well as in the cases provided for in the acts of the Council referred to in section 42;

 

– take the decisions necessary for the performance of the tasks entrusted to the ESCB by virtue of the Treaty and the Statute of the ESCB;

 

– issues recommendations and opinions.

 

34.2. The regulation has general application. It is binding in its entirety and is directly applicable in all Member States.

 

Recommendations and opinions are not binding.

 

The decision is binding in all its elements for the addressees it designates.

 

Articles 190, 191 and 192 of the Treaty are applicable to regulations and decisions adopted by the ECB.

 

The ECB may decide to publish its decisions, recommendations and opinions.

 

34.3. Within the limits and under the conditions adopted by the Council in accordance with the procedure provided for in Article 42 of the Statutes, the ECB is empowered to impose fines and periodic penalty payments on undertakings in the event of non-compliance with its regulations and decisions. .

 

Article 35

 

Judicial review and related matters

 

35.1. The Court of Justice may hear acts or omissions of the ECB or be seized of their interpretation in the cases and under the conditions laid down by the Treaty. The ECB may appeal in the cases and under the conditions set by the Treaty.

 

35.2. Disputes between the ECB, on the one hand, and its creditors, debtors or any other person, on the other hand, are settled by the competent national courts, unless the Court of Justice has been declared competent.

 

35.3. The ECB is subject to the liability regime provided for in Article 215 of the Treaty. The responsibility of national central banks is determined according to their respective national law.

 

35.4. The Court of Justice has jurisdiction to rule by virtue of an arbitration clause contained in a public law or private law contract entered into by the ECB or on behalf of the latter.

 

35.5. The ECB’s decision to refer the matter to the Court of Justice is taken by the Governing Council.

 

35.6. The Court of Justice is competent to rule on disputes relating to the fulfillment by national central banks of their obligations under these statutes. If the ECB considers that a national central bank has failed to fulfill one of its obligations under these statutes, it issues a reasoned opinion on the case after giving the national central bank concerned the opportunity to present its observations. If the national central bank concerned does not comply with the said opinion within the time limit set by the ECB, the latter may apply to the Court of Justice.

Article 36

 

Staff

 

36.1. The Governing Council, on a proposal from the Executive Board, decides on the regime applicable to the staff of the ECB.

 

36.2. The Court of Justice has jurisdiction to hear any dispute between the ECB and its agents within the limits and under the conditions provided for by the regime applicable to them.

 

Article 37

 

Seat

 

The decision on the seat of the ECB is taken, before the end of 1992, by common accord of the governments of the Member States at the level of Heads of State or Government.

 

Article 38

 

Professional secret

 

38.1. Members of the decision-making bodies and staff of the ECB and national central banks are required, even after leaving office, not to disclose information which, by its nature, is covered by professional secrecy.

 

38.2. Persons having access to data subject to Community legislation imposing the obligation of secrecy are subject to this legislation.

 

Article 3

Signatories

 

The ECB is legally bound towards third parties by the president or two members of the Management Board, or by the signature of two members of its staff duly authorized by the president to sign on behalf of the ECB.

 

Article 40

 

Privileges and immunities

 

The ECB enjoys on the territory of the Member States the privileges and immunities necessary for the performance of its missions, under the conditions defined in the Protocol on the privileges and immunities of the European Communities annexed to the Treaty establishing a Single Council and a Single Commission of the European Communities .

 

CHAPTER VIII

 

REVISION OF THE STATUTES AND LEGISLATION

 

COMPLEMENTARY

Article 41

 

Simplified review procedure

 

41.1. In accordance with Article 106 (5) of the Treaty, Articles 5.1, 5.2, 5.3, 17, 18, 19.1, 22, 23, 24, 26, 32.2, 32.3, 32.4 and 32.6, Article 33.1 point a) and l Article 36 of these Statutes may be revised by the Council, acting either by qualified majority on the recommendation of the ECB, after consulting the Commission, or unanimously on a proposal from the Commission and after consulting the ECB. In both cases, the assent of the European Parliament is required.

 

41.2. A recommendation made by the ECB under this article requires a unanimous decision of the Governing Council.

 

Article 42

 

Complementary legislation

In accordance with Article 106 (6) of the Treaty, and immediately after the decision on the date for the start of the third phase, the Council, acting by a qualified majority, either on a proposal from the Commission and after consulting the European Parliament and the ECB, either on the recommendation of the ECB, and after consulting the European Parliament and the Commission, adopt the provisions referred to in Articles 4, 5.4, 19.2, 20, 28.1, 29.2, 30.4 and 34.3 of these statutes.

 

 

CHAPTER IX

 

TRANSITIONAL AND OTHER PROVISIONS

 

PROVISIONS CONCERNING THE ESCB

 

Article 43

 

General provisions

 

43.1. The derogation referred to in Article 109k paragraph 1 of the Treaty has the effect that the following articles of these statutes confer no rights and impose no obligations on the Member State concerned: 3, 6, 9.2, 12.1, 14.3, 16, 18, 19, 20, 22, 23, 26.2, 27, 30, 31, 32, 33, 34, 50 and 52.

 

43.2. The central banks of the Member States with a derogation, as defined in Article 109k (1) of the Treaty, retain their powers in the field of monetary policy, in accordance with national law.

 

43.3. In accordance with Article 109k paragraph 4 of the Treaty, “Member States” means the Member States which are not subject to a derogation from the following articles of these statutes: 3, 11.2, 19, 34.2 and 50.

 

43.4. By “national central banks”, we mean the central banks of the Member States not subject to an exemption from the following articles of these statutes: 9.2, 10.1, 10.3, 12.1, 16, 17, 18, 22, 23, 27, 30, 31, 32, 33.2 and 52.

 

43.5. In Articles 10.3 and 33.1, “shareholders” are understood to mean the central banks of the Member States which are not subject to a derogation.

 

43.6. In Articles 10.3 and 30.2, “subscribed capital” means the capital of the ECB subscribed by the central banks of the Member States which are not subject to a derogation.

 

Article 44

 

Transitional missions of the ECB

 

The ECB performs the tasks of the EMI which, due to the derogations to which one or more Member States are subject, still have to be carried out during the third phase.

 

The ECB advises during the preparations for the repeal of the derogations referred to in Article 109k of the Treaty.

 

Article 45

 

The General Council of the ECB

 

45.1. Without prejudice to Article 106 (3) of the Treaty, the General Council is constituted as the third decision-making body of the ECB.

 

45.2. The General Council is made up of the President and Vice-President of the ECB as well as the governors of the national central banks. The other members of the Management Board may participate, without the right to vote, in meetings of the General Council.

 

45.3. The responsibilities of the General Council are exhaustively enumerated in article 47 of these statutes.

 

Article 46

 

Rules of procedure of the General Council

 

46.1. The President or, in his absence, the Vice-President of the ECB chairs the General Council of the ECB.

 

46.2. The President of the Council and a member of the Commission may participate, without the right to vote, in meetings of the General Council.

 

46.3. The president prepares the meetings of the General Council.

 

46.4. By way of derogation from Article 12.3, the General Council adopts its rules of procedure.

 

46.5. The secretariat of the General Council is provided by the ECB.

 

Article 47

 

Responsibilities of the General Council

 

47.1. The General Council:

 

– perform the tasks referred to in Article 44;

 

– contributes to the advisory functions referred to in Articles 4 and 25.1.

 

47.2. The General Council contributes:

 

– to collect the statistical information referred to in Article 5;

 

– to draw up the activity reports of the ECB referred to in Article 15;

 

– to establish the rules, provided for in Article 26.4, necessary for the application of Article 26;

 

– to take all the other measures, provided for in Article 29.4, necessary for the application of Article 29;

 

– to define the conditions of employment of the staff of the ECB, provided for in Article 36.

 

47.3. The General Council shall contribute to the preparations necessary for the irrevocable fixing of the exchange rates of the currencies of the Member States which are subject to a derogation in relation to the currencies, or the single currency, of the Member States which are not subject to the exemption. a derogation, as provided for in Article 109l, paragraph 5 of the Treaty.

 

47.4. The General Council is informed of the decisions of the Governing Council by the President of the ECB.

 

Article 48

 

Transitional provisions concerning the capital of the ECB

 

In accordance with Article 29.1, each national central bank is assigned a weighting in the allocation key for subscription to the capital of the ECB. By way of derogation from Article 28.3, the central banks of the Member States subject to a derogation shall not release their subscribed capital, unless the General Council, acting by a majority representing at least two thirds of the subscribed capital of the ECB and at least half of the shareholders, decides that a minimum percentage must be released as a contribution to the operating costs of the ECB.

 

Article 49

 

Deferred payment of capital, reserves and provisions of the ECB

 

49.1. The central bank of a Member State whose derogation has ended releases its subscribed share in the capital of the ECB in the same proportions as the other central banks of the Member States not subject to a derogation and transfers to the ECB its foreign exchange reserve assets, in accordance with Article 30.1. The amount to be transferred is determined by multiplying the value in ECU, at the exchange rates in force, of the above-mentioned reserve assets which have already been transferred to the ECB, in accordance with Article 30.1, by the ratio between the number of units subscribed by the national central bank concerned and the number of shares already paid up by the other national central banks.

 

49.2. In addition to the payment provided for in Article 49.1, the central bank concerned shall contribute to the reserves of the ECB, to provisions equivalent to reserves and to the amount which has yet to be allocated to reserves and provisions, which corresponds to the balance of the loss account and profits at December 31 of the year preceding the waiver of the exemption. The amount payable is calculated by multiplying the amount of reserves, as defined above and as they appear in the approved balance sheet of the ECB, by the ratio between the number of units subscribed by the central bank concerned and the number of shares already paid up by other central banks.

 

Article 50

Initial appointment of members of the Management Board

 

When the Executive Board of the ECB is set up, its president, vice-president and other members are appointed by mutual agreement by the governments of the member states at the level of heads of state or government, on the recommendation of the Council. and after consulting the European Parliament and the Council of the EMI. The Chairman of the Management Board is appointed for eight years. By way of derogation from article 11.2, the vice-chairman is appointed for four years and the other members of the Management Board for a term of between five and eight years. No mandate is renewable. The number of members of the Management Board may be less than that provided for in article 11.1, but in no case less than four.

 

Article 51

 

Derogation from Article 3

51.1. If, after the start of the third phase, the Governing Council decides that the application of Article 32 significantly changes the relative income position of the national central banks, the amount of income to be allocated in accordance with the Article 32 is lowered by a uniform percentage which does not exceed 60% during the first financial year following the start of the third phase and which will decrease by at least 12 percentage points duringach of the following financial years

51.2. Article 51.1 applies for a maximum of five full exercises after the start of the third phase.

 

Article 52

 

Exchange of banknotes denominated in Community currencies

 

After the irrevocable fixing of exchange rates, the Governing Council takes the necessary measures to ensure that banknotes denominated in currencies with irrevocably fixed exchange rates are exchanged at par by the national central banks.

Article 53

 

Applicability of transitional measures

 

Articles 43 to 48 are applicable as long as Member States are subject to a derogation.

 

 

PROTOCOL on the statutes of the European Monetary Institute

THE HIGH CONTRACTING PARTIES,

 

DESIROUS of establishing the statutes of the European Monetary Institute,

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

 

Article 1

 

Constitution and name

 

1.1. The European Monetary Institute (EMI) is established in accordance with Article 109f of the Treaty; it performs its functions and exercises its activities in accordance with the provisions of the treaty and of these statutes.

 

1.2. The central banks of the Member States (national central banks) are members of the EMI. For the purposes of applying these statutes, the Luxembourg Monetary Institute is considered to be the central bank of Luxembourg.

 

1.3. Pursuant to Article 109F of the Treaty, the Committee of Governors and the European Monetary Cooperation Fund (FECOM) are dissolved. All the assets and liabilities of the FECOM are transferred automatically and in full to the EMI.

 

Article 2

 

Goals

 

The EMI contributes to creating the conditions necessary for the transition to the third stage of Economic and Monetary Union, in particular by:

 

– strengthening the coordination of monetary policies with a view to ensuring price stability;

 

– ensuring the necessary preparation for the establishment of the European System of Central Banks (ESCB), the conduct of the single monetary policy and the creation of a single currency, during the third phase;

 

– supervising the development of the ECU.

 

 

Article 3

 

General principles

 

3.1. The EMI shall perform the tasks and functions conferred on it by the Treaty and these Statutes, without prejudice to the responsibility of the competent authorities for the conduct of monetary policy in the respective Member States.

 

3.2. The EMI acts in accordance with the objectives and principles set out in Article 2 of the Statute of the ESCB.

 

Article 4

 

Main tasks

 

4.1. In accordance with Article 109F paragraph 2 of the Treaty, the EMI:

 

– strengthen cooperation between national central banks;

 

– strengthen the coordination of the monetary policies of the Member States with a view to ensuring price stability;

 

– supervises the functioning of the European Monetary System (EMS);

 

– carry out consultations on matters which fall within the competence of the national central banks and affect the stability of financial institutions and markets;

 

– takes over the functions of FECOM; in particular, he performs the functions referred to in Articles 6.1, 6.2 and 6.3;

 

– facilitate the use of the ECU and monitor its development, including the proper functioning of the ECU clearing system.

 

In addition, the IME:

 

– hold regular consultations on the stance of monetary policies and the use of monetary policy instruments;

 

– is normally consulted by national monetary authorities before they take decisions on the stance of monetary policy in the context of the common ex ante coordination framework.

 

4.2. By 31 December 1996 at the latest, the EMI shall specify the regulatory, organizational and logistical framework which the ESCB needs to accomplish its tasks during the third phase, in accordance with the principle of an open market economy where competition is free . This framework is submitted by the Council of the EMI for decision to the ECB on the date of its establishment.

 

In particular, in accordance with Article 109f paragraph 3 of the Treaty, the EMI:

 

– prepare the instruments and procedures necessary for the application of the single monetary policy during the third phase;

 

– encourage the harmonization, if necessary, of the rules and practices governing the collection, compilation and dissemination of statistics in the field falling within its competence;

 

– draw up the rules for the operations to be undertaken by the national central banks within the framework of the ESCB;

 

– encourages the efficiency of cross-border payments;

 

– supervises the technical preparation of banknotes denominated in ECU.

 

Article 5

 

Advisory functions

 

5.1. In accordance with Article 109f (4) of the Treaty, the EMI may formulate opinions or recommendations on the general orientation of monetary and exchange rate policy as well as on related measures taken in each Member State. It may submit to governments and to the Council opinions or recommendations on policies likely to affect the internal or external monetary situation in the Community and in particular the functioning of the EMS.

 

5.2. The Council of the EMI may also make recommendations to the monetary authorities of the Member States concerning the conduct of their monetary policy.

 

5.3. In accordance with Article 109F (6) of the Treaty, the EMI is consulted by the Council on any Community act proposed in the field falling within its competence.

 

Within the limits and under the conditions set by the Council, acting by a qualified majority on a proposal from the Commission and after consulting the European Parliament and the EMI, the latter is consulted by the authorities of the Member States on any draft regulation in the field falling within its competence, in particular as regards article 4.2.

 

5.4. In accordance with Article 109F paragraph 5 of the Treaty, the EMI may decide to make its opinions and recommendations public.

 

Article 6

 

Operational and technical functions

 

6.1. LIME:

 

– ensures the multilateralisation of positions resulting from interventions by national central banks in community currencies and the multilateralisation of intra-community settlements;

 

– administers the very short-term financing mechanism provided for in the agreement fixing between the central banks of the Member States of the European Economic Community the operating procedures of the European Monetary System, hereinafter referred to as the “EMS agreement”, of 13 March 1979, and the system of short-term monetary support provided for in the Agreement between the Central Banks of the Member States of the European Economic Community of February 9, 1970, as amended;

 

– perform the functions referred to in Article 11 of Council Regulation (EEC) No 1969/88 of 24 June 1988 establishing a single medium-term financial support mechanism for the balance of payments of the Member States.

 

6.2. The EMI may receive monetary reserves from national central banks and issue ECUs in return for these assets in order to implement the EMS agreement. These ECUs may be used by the EMI and the national central banks as a means of settlement and for transactions between them and the EMI. The EMI shall take the administrative measures necessary for the implementation of this paragraph.

 

6.3. The EMI may grant the monetary authorities of third countries and international monetary institutions the status of “third-party holders” of ECUs and lay down the terms and conditions governing the acquisition, holding or use of these ECUs by others. holders.

 

6.4. The EMI is authorized to hold and manage foreign reserves as an agent and at the request of national central banks. Profits and losses relating to these reserves are charged to the account of the national central banks depositing the reserves. The EMI performs this function on the basis of bilateral contracts, in accordance with the rules laid down in a decision of the EMI. The purpose of these rules is to ensure that the operations carried out with these reserves do not affect the monetary policy and the exchange rate policy carried out by the monetary authority of a Member State and that they respect the objectives of the EMI and the proper functioning of the EMS exchange rate mechanism.

 

Article 7

 

Other tasks

 

7.1. Once a year, the EMI reports to the Council on the state of preparations for the third phase. These reports include an assessment of the progress made towards convergence in the Community and deal in particular with the adaptation of monetary policy instruments and the preparation of the measures necessary for the conduct of a single monetary policy during the third phase as well as the regulatory requirements that national central banks must meet in order to be an integral part of the ESCB.

 

7.2. In accordance with the Council decisions referred to in Article 109f (7) of the Treaty, the EMI may perform other tasks for the preparation of the third phase.

 

Article 8

 

Independence

 

The members of the Council of the EMI who are the representatives of their institutions act under their own responsibility within the framework of their activities. In exercising the powers and carrying out the missions and duties conferred on it by the Treaty and by these Statutes, the Council of the EMI may not seek or accept instructions from the Community institutions or bodies or from governments of member states. The Community institutions and bodies as well as the governments of the Member States undertake to respect this principle and not to seek to influence the Council of the EMI in the performance of its missions.

 

Article 9

 

Administration

 

9.1. In accordance with Article 109F paragraph 1 of the Treaty, the EMI is directed and managed by the Council of the EMI.

 

9.2. The Council of the EMI consists of the President and the Governors of the National Central Banks, one of whom is Vice-President. If a governor is prevented from attending a meeting, he may appoint another representative of his institution.

 

9.3. The President is appointed by common accord of the governments of the Member States at the level of Heads of State or Government, on the recommendation of the Committee of Governors or the Council of the EMI, as the case may be, and after consulting the European Parliament and the Council. The chairman is chosen from among people whose authority and professional experience in the monetary or banking field are recognized. Only nationals of a Member State can be president of the EMI. The Council of the EMI appoints a vice-president. The president and the vice-president are appointed for a period of three years.

 

9.4. The president performs his duties on a full-time basis. Unless he has obtained an exceptional exemption from the Council of the EMI, he undertakes not to exercise any other professional activity, whether remunerated or not.

 

9.5. President:

 

– prepare and chair the meetings of the Council of the EMI;

 

– without prejudice to Article 22, present the point of view of the EMI to the outside world;

 

– is responsible for the day-to-day management of the EMI.

 

In the absence of the president, the latter’s functions are exercised by the vice-president.

 

9.6. The conditions of employment of the president, in particular his emoluments, his pension and his other social security benefits, are the subject of a contract concluded with the EMI and are fixed by the Council of the EMI on the proposal of a committee comprising three members appointed by the Board of Governors or, where appropriate, by the Council of the EMI and three members appointed by the Council. The chairman does not have the right to vote on matters governed by this paragraph.

 

9.7. If the President no longer fulfills the conditions necessary for the exercise of his functions or if he has been guilty of serious misconduct, the Court of Justice may, at the request of the Council of the EMI, remove him ex officio from his functions. .

 

9.8. The Council of the EMI adopts the rules of procedure of the EMI.

 

Article 10

 

EMI Council meetings and voting procedures

 

10.1. The Council of the EMI meets at least ten times a year. Its meetings are confidential. The Council of the EMI, acting unanimously, may decide to make the results of its deliberations public.

 

10.2. Each member of the Council of the EMI or his representative has one vote.

 

10.3. Unless otherwise provided in these statutes, the Council of the EMI decides by a simple majority of its members.

 

10.4. The decisions to be taken under Articles 4.2, 5.4, 6.2 and 6.3 require the unanimity of the members of the Council of the EMI.

 

The adoption of opinions and recommendations under Articles 5.1 and 5.2, the adoption of decisions under Articles 6.4, 16 and 23.6 and the adoption of directives under Article 15.3 require a qualified majority of both third of the members of the Council of the EMI.

 

Article 11

 

Inter-institutional cooperation and the obligation to report

 

11.1. The President of the Council and a member of the Commission may participate in the meetings of the Council of the EMI, without having the right to vote.

 

11.2. The President of the EMI is invited to participate in the meetings of the Council when the latter discusses questions relating to the objectives and missions of the EMI.

 

11.3. On a date fixed by the rules of procedure, the EMI draws up an annual report on its activities and on the monetary and financial situation in the Community. The annual report, as well as the annual accounts of the EMI, are sent to the European Parliament, the Council and the Commission, as well as to the European Council.

 

The President of the EMI may, at the request of the European Parliament or on his own initiative, be heard by the competent committees of the European Parliament.

 

11.4. The reports published by the EMI are made available free of charge to interested persons.

 

 

Article 12

 

Currency used

 

EMI operations are denominated in ECU

Article 13

 

Seat

 

The decision on the seat of the EMI will be taken, before the end of 1992, by common accord of the governments of the Member States at the level of Heads of State or Government.

 

 

 

Article 14

 

Juridic people

 

The EMI, which has legal personality by virtue of Article 109F paragraph 1 of the Treaty, enjoys, in each of the Member States, the broadest legal capacity granted to legal persons by national law; he may in particular acquire or alienate movable or immovable property and institute legal proceedings.

 

Article 15

 

Legal acts

 

15.1. In the exercise of its functions and under the conditions provided for in these statutes, the EMI:

 

– formulating opinions,

 

– makes recommendations,

 

– adopt directives and take decisions which are addressed to the national central banks.

 

15.2. The opinions and recommendations of the EMI are not binding.

 

15.3. The Council of the EMI may adopt directives laying down the methods for implementing the conditions necessary for the ESCB to perform its tasks in the third phase. The EMI guidelines are not binding; they are submitted to the ECB for decision.

 

15.4. Without prejudice to article 3.1, a decision of the EMI is binding in all its elements for the addressees it designates. Articles 190 and 191 of the Treaty are applicable to these decisions.

 

Article 16

 

Financial ressources

 

16.1. The EMI has its own resources. The amount of these is determined by the Council of the EMI, with a view to ensuring the income deemed necessary to cover the administrative expenses resulting from the performance of the tasks and functions of the EMI.

 

16.2. The resources of the EMI, determined in accordance with Article 16.1, consist of contributions from the national central banks in accordance with the distribution key referred to in Article 29.1 of the Statute of the ESCB and released when the EMI is created. . To this end, the statistical data used for the determination of the key are provided by the Commission, in accordance with the rules adopted by the Council, acting by qualified majority on a proposal from the Commission and after consulting the European Parliament, the Committee of Governors and of the committee referred to in Article 109c of the Treaty.

 

16.3. The Council of the EMI determines the modalities of the release of contributions.

 

Article 1

Annual accounts and auditing

 

17.1. The IME fiscal year begins on the first day of January and ends on the last day of December.

 

17.2. The Council of the EMI adopts an annual budget before the start of each financial year.

 

17.3. The annual accounts are drawn up in accordance with the principles set by the Council of the EMI. The annual accounts are approved by the Council of the EMI and are then published.

 

17.4. The annual accounts are audited by independent external auditors approved by the Council of the EMI. The auditors have full power to examine all the books and accounts of the EMI and to obtain all information on its operations.

 

The provisions of Article 188c of the Treaty apply only to an examination of the efficiency of the management of the EMI.

 

17.5. Any surplus EMI is transferred in the following order:

 

(a) an amount to be determined by the Council of the EMI is transferred to the general reserve fund of the EMI;

 

b) the balance is distributed to the national central banks according to the key referred to in Article 16.2.

 

17.6. If the financial year of the EMI results in a loss, this is offset by a withdrawal from the general reserve fund of the EMI. The balance of the loss is offset by contributions from the national central banks according to the key referred to in Article 16.2.

 

Article 18

 

Staff

 

18.1. The Council of the EMI shall adopt the arrangements applicable to the staff of the EMI.

 

18.2. The Court of Justice has jurisdiction to hear any dispute between the EMI and its agents within the limits and under the conditions provided for by the rules applicable to them.

 

 

Article 19

 

Judicial review and related matters

 

19.1. The Court of Justice may hear acts or omissions of the EMI or be seized of their interpretation in the cases and under the conditions laid down by the Treaty. The EMI may lodge appeals in the cases and under the conditions laid down by the treaty.

 

19.2. Disputes between the EMI, on the one hand, and its creditors, debtors or any other person, on the other hand, fall within the jurisdiction of the competent national courts, unless the Court of Justice has been declared competent.

 

19.3. The EMI is subject to the liability regime provided for in Article 215 of the Treaty.

 

19.4. The Court of Justice has jurisdiction to rule by virtue of an arbitration clause contained in a public or private law contract entered into by the EMI or on behalf of the latter.

 

19.5. The decision of the EMI to apply to the Court of Justice is taken by the Council of the EMI.

 

Article 20

 

Professional secret

 

20.1. The members of the Council of the EMI and the staff of this institution are required, even after leaving office, not to disclose information which, by its nature, is covered by professional secrecy.

 

20.2. Persons having access to data subject to Community legislation imposing the obligation of secrecy are subject to this legislation.

 

 

Article 21

 

Privileges and immunities

 

The EMI enjoys, on the territory of the Member States, the privileges and immunities to the extent necessary for the performance of its missions, under the conditions provided for by the Protocol on the privileges and immunities of the European Communities annexed to the Treaty establishing a Single Council and a single Commission of the European Communities.

 

Article 22

 

Signatories

 

The EMI is legally bound vis-à-vis third parties by its president or vice-president or by the signature of two members of the staff of the EMI duly authorized by the president to sign on behalf of the EMI.

 

Article 23

 

Liquidation of the EMI

 

23.1. In accordance with Article 109l of the Treaty, the EMI is liquidated upon the creation of the ECB. All the assets and liabilities of the EMI are then automatically transferred to the ECB. The latter shall liquidate the EMI in accordance with this article. The liquidation is completed at the start of the third phase.

 

23.2. The mechanism for creating ECUs in exchange for gold and US dollars, as provided for in article 17 of the SME agreement, is abrogated from the first day of the third phase according to article 20 of said agreement.

 

23.3. All claims and debts resulting from the very short-term financing mechanism and the short-term monetary support mechanism are settled from the first day of the start of the third phase within the framework of the agreements referred to in article 6.1.

 

23.4. All remaining assets of the EMI are liquidated and all outstanding debts of this institution are settled.

 

23.5. The proceeds of the liquidation described in Article 23.4 are distributed to the national central banks according to the key referred to in Article 16.2.

 

23.6. The Council of the EMI may take the measures necessary for the application of Articles 23.4 and 23.5.

 

23.7. As soon as the ECB is established, the President of the EMI leaves office.

 

 

 

PROTOCOL on the excessive deficit procedure

THE HIGH CONTRACTING PARTIES,

 

DESIRING to lay down the details of the excessive deficit procedure referred to in Article 104c of the Treaty establishing the European Community,

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

 

Article 1

 

The reference values ​​referred to in Article 104c paragraph 2 of the Treaty are as follows:

 

– 3% for the ratio between the forecast or actual public deficit and the gross domestic product at market prices;

 

– 60% for the ratio between public debt and gross domestic product at market prices.

 

Article 2

 

In Article 104c of the Treaty and in this Protocol, the following definitions apply:

 

– public: what relates to general government, i.e. central administrations, regional or local authorities and social security funds, excluding commercial operations, as defined in the European System of integrated economic accounts;

 

– deficit: the net financing need, as defined in the European System of Integrated Economic Accounts;

 

– investment: gross fixed capital formation, as defined in the European System of Integrated Economic Accounts;

 

– debt: the total of gross debts, at their nominal value, outstanding at the end of the year and consolidated within the sectors of general government as defined in the first indent.

 

Article 3

 

In order to ensure the effectiveness of the excessive deficit procedure, the governments of the Member States are responsible, under the terms of this procedure, for the deficits of the general government as defined in the first indent of Article 2. Member States shall ensure that national budgetary procedures enable them to fulfill their obligations in this area under the Treaty. Member States promptly and regularly notify the Commission of their planned and actual deficits as well as the level of their debt.

 

Article 4

 

The statistical data used for the application of this protocol are provided by the Commission.

 

 

PROTOCOL on the convergence criteria referred to in Article 109j of the Treaty establishing the European Community

THE HIGH CONTRACTING PARTIES,

 

DESIRING to lay down the modalities of the convergence criteria which are to guide the Community in the decisions it will take during the transition to the third stage of economic and monetary union referred to in Article 109j (1) of the Treaty establishing the European Community ,

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

Article 1

 

The price stability criterion, referred to in the first indent of Article 109j (1) of the Treaty, means that a Member State has a lasting degree of price stability and an average rate of inflation observed over a period of one year before the review, which does not exceed by more than 1.5% that of the three Member States with the best price stability results. Inflation is calculated using the Consumer Price Index on a comparable basis, taking into account differences in national definitions.

Article 2

 

The criterion of the state of public finances, referred to in the second indent of Article 109j (1) of the Treaty, means that a Member State is not, at the time of examination, the subject of a Council decision referred to in Article 104c (6) of the Treaty concerning the existence of an excessive deficit in the Member State concerned.

 

Article 3

 

The criterion for participation in the exchange rate mechanism of the European Monetary System, referred to in the third indent of Article 109j (1) of the Treaty, means that a Member State has respected the normal fluctuation margins provided for by the exchange rate mechanism of the European Monetary System without experiencing serious stress for at least the last two years preceding the examination. In particular, the Member State has not, on its own initiative, devalued the bilateral central rate of its currency against the currency of another Member State during the same period.

 

Article 4

 

The criterion for the convergence of interest rates, referred to in the fourth indent of Article 109j (1) of the Treaty, during a period of one year preceding the examination, means that a Member State has had a rate d long-term average nominal interest which does not exceed by more than 2% that of the three Member States with the best price stability performance. Interest rates are calculated on the basis of long-term government bonds or comparable securities, taking into account differences in national definitions.

 

Article 5

 

The statistical data used for the application of this protocol are provided by the Commission.

 

Article 6

 

The Council, acting unanimously, on a proposal from the Commission and after consulting the European Parliament, the EMI or the ECB as the case may be, and the committee referred to in Article 109c of the Treaty, shall adopt the provisions appropriate to specify in detail the convergence criteria referred to in Article 109j of the Treaty, which then replace this Protocol.

 

PROTOCOL amending the Protocol on the privileges and immunities of the European Communities

THE HIGH CONTRACTING PARTIES,

 

WHEREAS under Article 40 of the Statute of the European System of Central Banks and of the European Central Bank and Article 21 of the Statute of the European Monetary Institute, the European Central Bank and the European Monetary Institute enjoy , in the territory of the Member States, privileges and immunities to the extent necessary for the performance of their tasks,

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

Single article

 

The Protocol on the privileges and immunities of the European Communities, annexed to the Treaty establishing a Single Council and a Single Commission of the European Communities, is supplemented by the following provisions:

 

“Article 23

 

This Protocol shall also apply to the European Central Bank, to the members of its organs and to its staff, without prejudice to the provisions of the Protocol on the Statute of the European System of Central Banks and of the European Central Bank.

 

The European Central Bank will also be exempt from all fiscal and parafiscal taxation on the occasion of increases in its capital as well as the various formalities that these operations may involve in the State of the seat. The activity of the Bank and its bodies, carried out under the conditions provided for by the statutes of the European System of Central Banks and of the European Central Bank, will not give rise to the application of turnover taxes. .

 

The above provisions also apply to the European Monetary Institute. Its dissolution and liquidation will not entail any collection. ”

 

PROTOCOL on Denmark

THE HIGH CONTRACTING PARTIES,

 

DESIROUS of resolving certain specific problems relating to Denmark,

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

The provisions of Article 14 of the Protocol on the Statute of the European System of Central Banks do not affect the right of the National Bank of Denmark to exercise the tasks which it currently performs in relation to the territories of the Kingdom of Denmark which are not part of the Community.

 

 

PROTOCOL on Portugal

THE HIGH CONTRACTING PARTIES,

 

DESIROUS of resolving certain specific problems relating to Portugal,

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

 

 

1. Portugal is authorized to maintain the faculty conferred on the autonomous regions of the Azores and Madeira to benefit from interest-free loans with the Banco de Portugal under the conditions laid down by Portuguese law in force.

 

2. Portugal undertakes to do everything in its power to bring the abovementioned regime to an end as soon as possible.

 

 

PROTOCOL on the transition to the third stage of Economic and Monetary Union

THE HIGH CONTRACTING PARTIES,

 

Affirm that the signing of the new Treaty provisions relating to Economic and Monetary Union makes the Community’s progress towards the third stage of Economic and Monetary Union irreversible.

 

Consequently, all Member States, whether or not they fulfill the conditions necessary for the adoption of a single currency, respect the desire for the Community to rapidly enter the third phase; therefore, no Member State will prevent entry into the third phase.

 

If, at the end of 1997, the date for the start of the third phase has not been fixed, the Member States concerned, the institutions of the Community and the other bodies concerned shall carry out all the preparatory work diligently during the phase. year 1998, in order to allow the Community to enter irrevocably into the third phase on 1 January 1999 and to allow the ECB and the ESCB to start fully exercising their functions from that date.

 

This Protocol is annexed to the Treaty establishing the European Community.

 

 

PROTOCOL on certain provisions relating to the United Kingdom of Great Britain and Northern Ireland

THE HIGH CONTRACTING PARTIES,

 

RECOGNIZING that the UK is not obligated and has not made a commitment to move into Stage Three of Economic and Monetary Union without a separate decision to do so from its government and parliament;

 

NOTING that it is the practice of the UK government to finance its borrowing through the sale of debt securities to the private sector;

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

1. The United Kingdom shall notify the Council whether it intends to proceed to the third stage before the Council carries out the assessment provided for in Article 109j (2) of the Treaty.

 

The UK is not required to proceed to Stage Three unless it notifies the Council of its intention to do so.

 

If no date is set for the start of the third phase in accordance with Article 109j (3) of the Treaty, the United Kingdom may give notice of its intention to proceed to the third phase before 1 January 1998.

 

2. Points 3 to 9 shall apply if the United Kingdom notifies the Council that it does not intend to proceed to the third stage.

 

3.The United Kingdom is not included in the majority of Member States which fulfill the necessary conditions referred to in Article 109j (2) second indent and paragraph 3 first indent of the Treaty.

 

4.The United Kingdom retains its powers in the area of ​​monetary policy in accordance with its national law.

 

5 Article 3 A paragraph 2, Article 104 C paragraphs 1, 9 and 11, Article 105 paragraphs 1 to 5, Article 105 A, Articles 107, 108, 108 A and 109, Article 109A (1) and (2) (b) and Article 109L (4) and (5) of the Treaty do not apply to the United Kingdom. In these provisions, references to the Community and to the Member States do not include the United Kingdom and references to national central banks do not include the Bank of England.

 

6.Article 109e (4) and Articles 109h and 109 I of the Treaty continue to apply in the United Kingdom. Article 109 C paragraph 4 and Article 109 M apply to the United Kingdom as if it were the subject of a derogation.

 

7.The voting rights of the United Kingdom are suspended for the acts of the Council referred to in the articles listed in point 5. To this end, the weighted votes of the United Kingdom are excluded from any calculation of a qualified majority within the meaning of l Article 109k paragraph 5 of the Treaty.

 

Nor does the United Kingdom have the right to participate in the appointment of the President, Vice-President and other members of the Executive Board of the ECB provided for in Article 109 A (2) (b) and in Article 109 L paragraph 1 of the Treaty.

 

8.Articles 3, 4, 6, 7, 9.2, 10.1, 10.3, 11.2, 12.1, 14, 16, 18, 19, 20, 22, 23, 26, 27, 30, 31, 32, 33, 34, 50 and 52 of the Protocol on the Statute of the European System of Central Banks and of the European Central Bank (“the Statutes”) do not apply to the United Kingdom.

 

In these articles, references to the Community or Member States do not relate to the United Kingdom and references to national central banks or shareholders do not relate to the Bank of England.

 

References in Articles 10.3 and 30.2 of the Articles to “subscribed capital of the ECB” do not include capital subscribed by the Bank of England.

 

9.Article 109L (3) of the Treaty and Articles 44 to 48 of the Statutes apply, whether or not a Member State is subject to a derogation, subject to the following modifications:

 

(a) in Article 44, references to the tasks of the ECB and the EMI include the tasks which have yet to be completed during the third phase due to a possible decision by the United Kingdom not to move to this phase;

 

(b) in addition to the tasks referred to in Article 47, the ECB shall perform an advisory and assistance function in the preparation of any decision which the Council may need to take with regard to the United Kingdom in accordance with the provisions of the point 10 (a) and (c);

 

(c) the Bank of England pays its contribution to the capital of the ECB as a contribution to its operating costs on the same basis as the national central banks of the Member States with a derogation.

 

10.If the UK does not move on to Stage Three, it can change its notification at any time after this stage has started. In that case:

 

a) the United Kingdom is entitled to proceed to the third stage provided it fulfills the necessary conditions. The Council, acting at the request of the United Kingdom, under the conditions and in accordance with the procedure laid down in Article 109k (2) of the Treaty, shall decide whether it fulfills the necessary conditions;

 

(b) the Bank of England pays its share of subscribed capital and transfers reserve assets in foreign currency to the ECB and contributes to its reserves on the same basis as the national central bank of a Member State whose derogation has expired;

 

(c) the Council, acting under the conditions and in accordance with the procedure laid down in Article 109l (5) of the Treaty, take any other decision necessary to enable the United Kingdom to pass to the third stage.

 

If the United Kingdom proceeds to the third stage in accordance with the provisions of this point, points 3 to 9 cease to be applicable.

 

11. By way of derogation from Article 104 and Article 109e paragraph 3 of the Treaty and Article 21.1 of the Statutes, the Government of the United Kingdom may retain the “Ways and Means” line of credit available to it with of the Bank of England if and as long as the United Kingdom does not move on to the third phase.

 

 

PROTOCOL on certain provisions relating to Denmark

THE HIGH CONTRACTING PARTIES,

 

DESIROUS of settling, in accordance with the general objectives of the Treaty establishing the European Community, certain particular problems which currently arise,

 

CONSIDERING that the Danish constitution contains provisions likely to make it necessary to organize a referendum in Denmark before this country enters the third phase of Economic and Monetary Union;

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

 

 

1. The Danish Government shall notify the Council of its position on its participation in the third stage before the Council carries out its assessment under Article 109j (2) of the Treaty.

 

2. In the event that Denmark notifies that it will not participate in the third phase, it will benefit from a derogation. This derogation has the effect of making applicable in Denmark all the articles and all the provisions of the Treaty and the Statute of the ESCB referring to a derogation.

 

3. In this case, Denmark is not included in the majority of Member States which fulfill the necessary conditions referred to in Article 109j (2) second indent and paragraph 3 first indent of the Treaty.

 

4.The procedure provided for in Article 109k (2) to terminate the derogation shall only be initiated at the request of Denmark.

 

5.If the exemption is terminated, the provisions of this Protocol shall cease to be applicable.

 

 

PROTOCOL on France

THE HIGH CONTRACTING PARTIES,

 

DESIROUS of taking into account a particular element concerning France,

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

 

 

France will retain the privilege of issuing currencies in its overseas territories according to the terms established by its national legislation and it will be the only one empowered to determine the parity of the CFP franc.

 

 

PROTOCOL on social policy

THE HIGH CONTRACTING PARTIES,

 

NOTING that eleven Member States, namely the Kingdom of Belgium, the Kingdom of Denmark, the Federal Republic of Germany, the Hellenic Republic, the Kingdom of Spain, the French Republic, Ireland, the Italian Republic, the Grand Duchy of Luxembourg, the Kingdom of the Netherlands and the Portuguese Republic, are keen to continue along the path traced by the Social Charter of 1989; that they have reached an agreement to this end between them; whereas the said Agreement is annexed to this Protocol; whereas this Protocol and the said Agreement are without prejudice to the provisions of the Treaty, in particular those relating to social policy which form an integral part of the acquis communautaire:

 

 

 

1) Agree to authorize these eleven Member States to have recourse to the institutions, procedures and mechanisms of the Treaty for the purposes of taking among themselves and applying, as far as they are concerned, the acts and decisions necessary for the implementation of the agreement referred to above.

 

2) The United Kingdom of Great Britain and Northern Ireland is not taking part in the deliberations and in the adoption by the Council of Commission proposals made on the basis of this Protocol and the above-mentioned Agreement.

 

By way of derogation from Article 148 (2) of the Treaty, acts of the Council adopted under this Protocol which must be adopted by qualified majority shall be adopted if they have received at least forty-four votes. Unanimity of the members of the Council, with the exception of the United Kingdom of Great Britain and Northern Ireland, is necessary for acts of the Council which must be adopted unanimously, as well as for those constituting an amendment to the Commission proposal.

 

Acts adopted by the Council and all financial consequences other than administrative costs incurred by the institutions do not apply to the United Kingdom of Great Britain and Northern Ireland.

 

3) This Protocol is annexed to the Treaty establishing the European Community.

 

 

AGREEMENT on social policy concluded between the Member States of the European Community with the exception of the United Kingdom of Great Britain and Northern Ireland

The eleven undersigned HIGH CONTRACTING PARTIES, namely the Kingdom of Belgium, the Kingdom of Denmark, the Federal Republic of Germany, the Hellenic Republic, the Kingdom of Spain, the French Republic, Ireland, the Italian Republic, the Grand -Duchy of Luxembourg, the Kingdom of the Netherlands and the Portuguese Republic, hereinafter referred to as “Member States”,

 

DESIROUS of implementing, on the basis of the Community acquis, the Social Charter of 1989,

 

HAVING REGARD to the Protocol relating to social policy:

 

HAVE AGREED on the following provisions:

 

 

 

 

Article 1

 

The objectives of the Community and the Member States are to promote employment, improve living and working conditions, adequate social protection, social dialogue and the development of human resources allowing a high and sustainable level of employment. and the fight against exclusion. To this end, the Community and the Member States shall implement measures which take into account the diversity of national practices, in particular in the field of contractual relations, as well as the need to maintain the competitiveness of the Community economy. .

 

 

 

Article 2

 

1. With a view to achieving the objectives referred to in Article 1, the Community shall support and supplement the action of the Member States in the following fields:

 

– improvement, in particular, of the working environment to protect the health and safety of workers,

 

-work conditions,

 

-information and consultation of workers,

 

-equality between men and women with regard to their chances on the labor market and treatment at work,

 

-integration of people excluded from the labor market, without prejudice to the provisions of Article 127 of the Treaty establishing the European Community, hereinafter referred to as “the Treaty”.

 

2. To this end, the Council may adopt, by means of a directive, minimum requirements to be applied progressively, taking into account the conditions and technical regulations existing in each of the Member States. These directives avoid imposing administrative, financial and legal constraints such as to hamper the creation and development of small and medium-sized enterprises.

 

The Council shall act in accordance with the procedure referred to in Article 189c of the Treaty and after consulting the Economic and Social Committee.

 

3. However, the Council shall act unanimously on a proposal from the Commission, after consulting the European Parliament and the Economic and Social Committee in the following areas:

 

– social security and social protection for workers,

 

-the protection of workers in the event of termination of the employment contract,

 

-the representation and collective defense of the interests of workers and employers, including co-determination, subject to paragraph 6,

 

-the conditions of employment of nationals of third countries legally residing in the territory of the Community,

 

-financial contributions aimed at promoting employment and job creation, without prejudice to the provisions relating to the Social Fund.

 

4. A Member State may entrust the social partners, at their joint request, with the implementation of the directives adopted pursuant to paragraphs 2 and 3.

 

In this case, it ensures that, at the latest by the date on which a directive must be transposed in accordance with Article 189, the social partners have put in place the necessary provisions by agreement, the Member State concerned who must take all necessary measures enabling him to be able at all times to guarantee the results imposed by the said directive.

 

5. The provisions adopted under this Article may not prevent a Member State from maintaining or establishing more stringent protective measures compatible with the Treaty.

 

6. The provisions of this article do not apply to remuneration, the right of association, the right to strike or the right to lock-out.

 

 

 

Article 3

 

1. The task of the Commission is to promote consultation of the social partners at Community level and take all useful measures to facilitate their dialogue while ensuring balanced support from the parties.

 

2. To this end, the Commission, before presenting proposals in the field of social policy, shall consult the social partners on the possible direction of Community action.

 

3. If the Commission, after this consultation, considers that Community action is desirable, it shall consult the social partners on the content of the proposed proposal. The social partners provide the Commission with an opinion or, where appropriate, a recommendation.

 

4. On the occasion of this consultation, the social partners may inform the Commission of their desire to initiate the process provided for in Article 4. The duration of the procedure may not exceed nine months, except for an extension decided jointly by the social partners concerned and the Commission.

 

 

 

Article 4

 

1. Dialogue between social partners at Community level may lead, if the latter so wish, to contractual relations, including agreements.

 

2. The implementation of agreements concluded at Community level shall take place either according to the procedures and practices specific to the social partners and to the Member States, or, in matters falling under Article 2, at the joint request of the signatory parties, by a Council decision on a proposal from the Commission.

 

The Council shall act by qualified majority, except where the agreement in question contains one or more provisions relating to one of the areas referred to in Article 2 (3), in which case it shall act unanimously.

 

 

 

Article 5

 

With a view to achieving the objectives referred to in Article 1 and without prejudice to the other provisions of the Treaty, the Commission shall encourage cooperation between the Member States and facilitate the coordination of their action in the areas of social policy covered by this Agreement.

 

 

 

Article 6

 

1. Each Member State shall ensure the application of the principle of equal pay for men and women workers for the same work.

 

2. For the purposes of this article, remuneration means: the ordinary basic or minimum wage or salary, and any other benefits paid directly or indirectly, in cash or in kind, by the employer to the worker by reason of the employment of the last.

 

Equal pay, without discrimination based on sex, involves:

 

a) that the remuneration granted for the same work paid by the task is established on the basis of the same unit of measurement,

 

b) that the remuneration granted for time-paid work is the same for the same job.

 

3. This Article may not prevent a Member State from maintaining or adopting measures providing for specific advantages intended to facilitate the exercise of a professional activity by women or to prevent or compensate for disadvantages in their professional career.

 

 

 

Article 7

 

The Commission shall draw up an annual report on progress in achieving the objectives referred to in Article 1, including the demographic situation in the Community. It forwards this report to the European Parliament, the Council and the Economic and Social Committee.

 

The European Parliament can ask the Commission to draw up reports on particular problems concerning the social situation.

 

Statements

 

1. Declaration relating to Article 2, paragraph 2

 

The eleven High Contracting Parties note that, during the discussions on Article 2 paragraph 2 of this Agreement, it was agreed that the Community does not intend, by establishing minimum obligations for the protection of safety and employee health, to discriminate against employees of small and medium-sized enterprises that is not justified by the circumstances.

 

2. Declaration relating to article 4, paragraph 2

 

The eleven High Contracting Parties declare that the first modality of application of the agreements between the social partners at Community level – to which reference is made in Article 4 paragraph 2 – will consist in development, through collective bargaining and according to standards. of each Member State, of the content of these agreements and that, consequently, this modality does not imply, for the Member States, the obligation to apply these agreements directly or to draw up standards for transposing them. ci, nor the obligation to modify the internal provisions in force to facilitate their implementation.

 

 

 

PROTOCOL on economic and social cohesion

THE HIGH CONTRACTING PARTIES,

 

RECALLING that the Union has set itself the objective of promoting economic and social progress, inter alia by strengthening economic and social cohesion;

 

RECALLING that Article 2 of the Treaty establishing the European Community mentions, among other tasks, the promotion of economic and social cohesion and solidarity between the Member States and that the strengthening of economic and social cohesion is one of the actions of the Community listed in Article 3 of the Treaty;

 

RECALLING that the provisions of the whole of Part Three, Title XIV, devoted to economic and social cohesion, provide the legal basis for consolidating and further developing Community action in the field of economic and social cohesion , in particular to create a new Fund;

 

RECALLING that the provisions of Part Three, Titles XII, concerning trans-European networks, and XVI, relating to the environment, provide for the creation of a Cohesion Fund before 31 December 1993;

 

DECLARING that we are convinced that the march towards Economic and Monetary Union will contribute to the economic growth of all Member States;

 

NOTING that the Community’s structural funds will have been doubled in real terms between 1987 and 1993, resulting in significant transfers, in particular in terms of the share of the GDP of the less prosperous Member States;

 

NOTING that the European Investment Bank (EIB) is lending considerable and increasing amounts for the benefit of the poorest regions;

 

NOTING the desire for greater flexibility in the modalities for granting resources from the structural funds;

 

NOTING the wish for a modulation of the levels of community participation in programs and projects in certain countries;

 

NOTING the proposal to take more account in the own resources system of the relative prosperity of the Member States,

 

 

 

REAFFIRM that the promotion of economic and social cohesion is vital for the integral development and sustainable success of the Community and stress the importance of including economic and social cohesion in Articles 2 and 3 of the Treaty;

 

REAFFIRM their conviction that the structural funds must continue to play a considerable role in achieving the Community’s objectives in the field of cohesion;

 

REAFFIRM their conviction that the EIB must continue to devote the majority of its resources to the promotion of economic and social cohesion and declare their willingness to review the capital which the EIB needs, as soon as it is necessary for this purpose;

 

REAFFIRM the need to carry out a full assessment of the functioning and efficiency of the structural funds in 1992 and to re-examine on this occasion the size that these funds should have, taking into account the Community’s missions in the field of economic cohesion and social;

 

AGREE that the Cohesion Fund, to be created before 31 December 1993, will allocate financial contributions from the Community to projects relating to the environment and to trans-European networks in Member States with a GNP per capita of less than 90% of the Community average and which have set up a program aimed at meeting the conditions for economic convergence referred to in Article 104c of the Treaty;

 

DECLARE that they intend to allow greater flexibility in the granting of credits from the Structural Funds in order to take into account the specific needs which are not met under the current regulation of the Structural Funds;

 

DECLARE their willingness to adjust the levels of Community participation in the framework of structural fund programs and projects, in order to avoid excessive increases in budgetary expenditure in the less prosperous Member States;

 

RECOGNIZE the need to closely follow the progress made towards economic and social cohesion and declare their readiness to study all necessary measures in this regard;

 

AFFIRM their intention to take more account of the contributory capacity of the various Member States to the own resources system and to study ways of correcting, for the less prosperous Member States, the regressive elements of the current own resources system;

 

AGREE to annex this Protocol to the Treaty establishing the European Community.

 

 

PROTOCOL on the Economic and Social Committee and the Committee of the Regions

THE HIGH CONTRACTING PARTIES,

 

HAVE AGREED on the following provisions, which are annexed to the Treaty establishing the European Community:

 

 

 

The Economic and Social Committee and the Committee of the Regions have a common organizational structure.

 

 

PROTOCOL annexed to the Treaty on European Union and to the Treaties establishing the European Communities

THE HIGH CONTRACTING PARTIES,

 

HAVE AGREED on the following provisions, which are annexed to the Treaty on European Union and to the Treaties establishing the European Communities:

 

 

 

Nothing in the Treaty on European Union, in the Treaties establishing the European Communities or in the Treaties and acts amending or supplementing the said Treaties shall affect the application in Ireland of Article 40.3.3. of the Constitution of Ireland.

 

 

FINAL ACT

1. The conferences of representatives of the governments of the Member States convened in Rome on 15 December 1990 to adopt by common accord the modifications to be made to the Treaty establishing the European Economic Community with a view to the achievement of political union and with a view to final stages of Economic and Monetary Union, as well as those convened in Brussels on 3 February 1992 with a view to making changes to the Treaties establishing respectively the European Coal and Steel Community and the European Atomic Energy Community as a consequence of the modifications envisaged to the Treaty establishing the European Economic Community, have adopted the following texts:

 

I. Treaty on European Union

 

II. Protocols

 

1. Protocol on the acquisition of real estate in Denmark

 

2. Protocol on Article 119 of the Treaty establishing the European Community

 

3. Protocol on the Statute of the European System of Central Banks and of the European Central Bank

 

4. Protocol on the statutes of the European Monetary Institute

 

5. Protocol on the excessive deficit procedure

 

6. Protocol on the convergence criteria referred to in Article 109j of the Treaty establishing the European Community

 

7. Protocol amending the Protocol on the privileges and immunities of the European Communities

 

8. Protocol on Denmark

 

9. Protocol on Portugal

 

10. Protocol on the transition to the third stage of Economic and Monetary Union

 

11. Protocol on certain provisions relating to the United Kingdom of Great Britain and Northern Ireland

 

12. Protocol on certain provisions relating to Denmark

 

13. Protocol on France

 

14. Protocol on Social Policy, to which is annexed an Agreement concluded between the Member States of the European Community with the exception of the United Kingdom of Great Britain and Northern Ireland, to which are attached two Declarations

 

15. Protocol on economic and social cohesion

 

16. Protocol on the Economic and Social Committee and on the Committee of the Regions

 

17. Protocol annexed to the Treaty on European Union and to the Treaties establishing the European Communities

 

The conferences have agreed that the protocols mentioned in points 1 to 16 above will be annexed to the Treaty establishing the European Community and that the protocol mentioned in point 17 above will be annexed to the Treaty on European Union and to the Treaties establishing the Communities European.

 

2. At the time of signing these texts, the Conferences adopted the declarations listed below and annexed to this Final Act:

 

III. Statements

 

1. Declaration on civil protection, energy and tourism

 

2. Declaration on the nationality of a Member State

 

3. Declaration relating to Part Three, Titles III and VI, of the Treaty establishing the European Community

 

4. Declaration relating to Part Three, Title VI, of the Treaty establishing the European Community

 

5. Declaration on monetary cooperation with third countries

 

6. Declaration on monetary relations with the Republic of San Marino, Vatican City and the Principality of Monaco

 

7. Declaration relating to Article 73d of the Treaty establishing the European Community

 

8. Declaration relating to Article 109 of the Treaty establishing the European Community

 

9. Declaration relating to Part Three, Title XVI, of the Treaty establishing the European Community

 

10. Declaration relating to Articles 109, 130 R and 130 Y of the Treaty establishing the European Community

 

11. Declaration relating to the directive of 24 November 1988 (Emissions)

 

12. Declaration on the European Development Fund

 

13. Declaration on the role of national parliaments in the European Union

 

14. Declaration on the Conference of Parliaments

 

15. Declaration on the number of members of the Commission and of the European Parliament

 

16. Declaration relating to the hierarchy of Community acts

 

17. Declaration on the right of access to information

 

18. Statement of estimated costs resulting from Commission proposals

 

19. Declaration on the application of Community law

 

20. Declaration on the environmental impact assessment of Community measures

 

21. Declaration relating to the Court of Auditors

 

22. Declaration on the Economic and Social Committee

 

23. Declaration on cooperation with solidarity associations

 

24. Declaration on the protection of animals

 

25. Declaration on the representation of the interests of the overseas countries and territories referred to in Article 227 (3) and (5) (a) and (b) of the Treaty establishing the European Community

 

26. Declaration on the outermost regions of the Community

 

27. Declaration on votes in the field of common foreign and security policy

 

28. Declaration on practical arrangements in the field of the common foreign and security policy

 

29. Declaration on the language regime in the field of common foreign and security policy

 

30. Declaration on Western European Union

 

31. Declaration on asylum

 

32. Declaration on police cooperation

 

33. Declaration on disputes between the ECB and the EMI, on the one hand, and their agents, on the other

 

Done at Maastricht on February seventh, one thousand nine hundred and ninety-two.

 

 

DECLARATION on civil protection, energy and tourism

The Conference declares that the question of the introduction into the Treaty establishing the European Community of titles relating to the fields referred to in Article 3 (t) of the said Treaty will be examined, in accordance with the procedure provided for in Article N (2) of the Treaty. on the European Union, on the basis of a report which the Commission will submit to the Council no later than 1996.

 

The Commission declares that Community action in these fields will be continued on the basis of the current provisions of the Treaties establishing the European Communities.

 

 

DECLARATION on the nationality of a Member State

The Conference declares that, whenever the Treaty establishing the European Community refers to the nationals of the Member States, the question whether a person has the nationality of a particular Member State is settled solely by reference to the national law of the State. concerned. Member States may specify, for information, who are to be considered as their nationals for the purposes pursued by the Community by submitting a declaration to the Presidency; they can, if necessary, modify their declaration.

 

 

DECLARATION relating to Part Three, Titles III and VI, of the Treaty establishing the European Community

The Conference affirms that, for the purposes of applying the provisions referred to in Part Three, in Title III, Chapter 4, on capital and payments, and in Title VI, on economic and monetary policy, of the Treaty establishing the Community European Union, the usual practice, according to which the Council meets in its composition of the ministers responsible for economic affairs and finance, will be continued, without prejudice to the provisions of Article 109 J paragraphs 2 to 4 and Article 109 K paragraph 2.

 

 

DECLARATION relating to Part Three, Title VI, of the Treaty establishing the European Community

The Conference affirms that the President of the European Council invites the Ministers of Economic Affairs and Finance to participate in the sessions of the European Council when the latter examines questions relating to Economic and Monetary Union.

 

 

DECLARATION on monetary cooperation with third countries

The Conference affirms that the Community seeks to contribute to the stability of international monetary relations. To this end, the Community is ready to cooperate with other European countries as well as with non-European countries with which it maintains close economic relations.

 

 

DECLARATION on monetary relations with the Republic of San Marino, Vatican City and the Principality of Monaco

The Conference agrees that the monetary relations existing between Italy and San Marino, between Italy and Vatican City and between France and Monaco will not be affected by this Treaty as long as the ECU has not was introduced as the single currency of the Community.

 

The Community undertakes to facilitate the renegotiation of existing arrangements to the extent necessary following the introduction of the ECU as the single currency.

 

 

DECLARATION relating to Article 73d of the Treaty establishing the European Community

The Conference affirms that the right of the Member States to apply the relevant provisions of their tax legislation referred to in Article 73 D paragraph 1 (a) of the Treaty establishing the European Community relates only to the provisions which exist at the end of 1993. However, this declaration only applies to movements of capital and payments between Member States.

 

 

DECLARATION relating to Article 109 of the Treaty establishing the European Community

The Conference emphasizes that the term “formal agreement” used in Article 109 (1) is not intended to create a new category of international agreements within the meaning of Community law.

 

 

DECLARATION relating to Part Three, Title XVI, of the Treaty establishing the European Community

The Conference considers that, given the growing interest in the protection of nature at national, Community and international level, the Community should, in exercising its powers under the provisions appearing in Part Three, under Title XVI, of the Treaty, take into account the specific requirements of this area.

 

 

DECLARATION relating to Articles 109, 130 R and 130 Y of the Treaty establishing the European Community

The Conference considers that the provisions of Article 109 (5), of Article 130R paragraph 4, second subparagraph, and of Article 130Y do not affect the principles resulting from the judgment delivered by the Court of Justice in the AETR case.

 

DECLARATION relating to the directive of 24 November 1988 (emissions)

The Conference declares that the modifications made to Community legislation cannot affect the derogations granted to Spain and Portugal until 31 December 1999 by virtue of the Council Directive of 24 November 1988 relating to the limitation of emissions. certain pollutants in the atmosphere from large combustion plants.

 

DECLARATION on the European Development Fund

The Conference agrees that the European Development Fund will continue to be financed by national contributions in accordance with the current arrangements.

 

 

DECLARATION on the role of national parliaments in the European Union

The Conference considers it important to encourage greater participation of national parliaments in the activities of the European Union.

 

To this end, the exchange of information between national parliaments and the European Parliament should be stepped up. In this context, the governments of the Member States ensure, inter alia, that the national parliaments are able to have the legislative proposals of the Commission in good time for their information or for a possible examination.

 

Likewise, the Conference considers it important that contacts between national parliaments and the European Parliament be intensified, in particular through the granting of appropriate reciprocal facilities and regular meetings between parliamentarians interested in the same questions.

 

DECLARATION on the Conference of Parliaments

The Conference invites the European Parliament and the national parliaments to meet as necessary to form a Conference of Parliaments (or Assises).

 

The Conference of Parliaments is consulted on the broad guidelines of the European Union, without prejudice to the competences of the European Parliament and the rights of national parliaments. The President of the European Council and the President of the Commission report to each session of the Conference of Parliaments on the state of the Union.

 

 

DECLARATION on the number of members of the Commission and of the European Parliament

The Conference agrees to examine questions relating to the number of Members of the Commission and the number of Members of the European Parliament by the end of 1992 at the latest, with a view to reaching an agreement which will establish the necessary legal basis. the fixing of the number of Members of the European Parliament in time for the 1994 elections. Decisions will be taken in particular having regard to the need to fix the total number of Members of the European Parliament in an enlarged Community.

 

DECLARATION relating to the hierarchy of Community acts

The Conference agrees that the intergovernmental conference to be convened in 1996 will examine to what extent it would be possible to review the classification of Community acts with a view to establishing an appropriate hierarchy between the different categories of standards.

 

DECLARATION on the right of access to information

The Conference considers that the transparency of the decision-making process strengthens the democratic character of the institutions, as well as the public’s confidence in the administration. Consequently, the Conference recommends that the Commission submit to the Council, no later than 1993, a report on measures to increase public access to the information available to the institutions.

DECLARATION on estimated costs resulting from Commission proposals

The Conference notes that the Commission undertakes, on the basis, where appropriate, on the consultations it deems necessary and by strengthening its system for evaluating Community legislation, to take into account, as regards its legislative proposals. , costs and benefits for the public authorities of the Member States and for all concerned.

 

DECLARATION on the application of Community law

1. The Conference stresses that it is essential, for the coherence and unity of the process of European construction, that each Member State fully and faithfully transposes into its national law the Community directives addressed to it, within the deadlines set by those directives. -this.

 

Moreover, the Conference – while recognizing that it is for each Member State to determine the best way to apply the provisions of Community law, having regard to the institutions, the legal system and other conditions which are specific to it, but, in any event, with due regard for the provisions of Article 189 of the Treaty establishing the European Community – considers it essential, for the proper functioning of the Community, that the measures taken in the various Member States lead to this that Community law be applied there with an efficiency and rigor equivalent to those deployed in the application of their national law.

2. The Conference invites the Commission to ensure, in the exercise of the powers conferred on it by Article 155 of the Treaty establishing the European Community, that the Member States comply with their obligations. It calls on the Commission to periodically publish a comprehensive report for the Member States and the European Parliament.

 

DECLARATION on the environmental impact assessment of Community measures

The Conference notes the commitment of the Commission in the context of its proposals, and of the Member States in the context of implementation, to take full account of the effects on the environment, as well as the principle of sustainable growth.

 

DECLARATION relating to the Court of Auditors

The Conference stresses the particular importance it attaches to the mission which Articles 188 A, 188 B, 188 C and 206 of the Treaty establishing the European Community confer on the Court of Auditors.

 

It asks the other Community institutions to examine with the Court of Auditors all the appropriate means to strengthen the effectiveness of its work.

 

DECLARATION on the Economic and Social Committee

The Conference agrees that the Economic and Social Committee enjoys the same independence as that enjoyed by the Court of Auditors until now with regard to its budget and staff management.

 

DECLARATION on cooperation with solidarity associations

The Conference stresses the importance, in pursuing the objectives of Article 117 of the Treaty establishing the European Community, of cooperation between the latter and solidarity associations and foundations as institutions responsible for establishments and social services.

DECLARATION on the protection of animals

The Conference invites the European Parliament, the Council and the Commission, as well as the Member States, to take full account, when drawing up and implementing Community legislation in the fields of the common agricultural policy, transport , internal market and research, animal welfare requirements.

 

DECLARATION on the representation of the interests of the overseas countries and territories referred to in Article 227 (3) and (5) (a) and (b) of the Treaty establishing the European Community

The Conference, noting that, in exceptional circumstances, there may be divergences between the interests of the Union and those of the overseas countries and territories referred to in Article 227 (3) and (5) (a) and (b) ) of the Treaty establishing the European Community, agrees that the Council will endeavor to find a solution in accordance with the Union’s position. However, should this prove to be impossible, the Conference agrees that the Member State concerned may act separately in the interest of the said overseas countries and territories without this prejudicing the interest of the Community. That Member State will inform the Council and the Commission when such a divergence of interests is likely to arise and, if separate action is unavoidable, will clearly indicate that

This declaration also applies to Macao and East Timor.

DECLARATION on the outermost regions of the Community

The Conference recognizes that the outermost regions of the Community (French overseas departments, Azores and Madeira and the Canary Islands) are undergoing significant structural backwardness aggravated by several phenomena (great remoteness, insularity, small area, difficult relief and climate, dependence economic vis-à-vis a few products) whose consistency and accumulation are seriously detrimental to their economic and social development.

It considers that, although the provisions of the Treaty establishing the European Community and of secondary legislation apply as of right to the outermost regions, it remains possible to adopt specific measures in their favor, to the extent and for as long as they exist. an objective need to take such measures for the economic and social development of these regions. These measures must aim both at completing the internal market and at recognizing regional reality with a view to enabling these regions to catch up with the average economic and social level of the Community.

 

DECLARATION on votes in the field of common foreign and security policy

The Conference agrees that, for decisions which require unanimity, Member States will, as far as possible, avoid preventing unanimity when a qualified majority is in favor of the decision.

 

 

DECLARATION on practical arrangements in the field of common foreign and security policy

The Conference agrees that the articulation of the work between the Political Committee and the Permanent Representatives Committee will be examined later, as will the practical modalities of the merger of the Secretariat of Political Cooperation with the General Secretariat of the Council and of the collaboration between this Secretariat. last and the Commission.

 

DECLARATION on the language regime in the field of common foreign and security policy

The Conference agrees that the applicable language regime is that of the European Communities.

For COREU communications, the current practice of European political cooperation will serve as a model for the time being.

All texts relating to the common foreign and security policy which are presented or adopted at European Council or Council sessions, as well as all texts to be published, are translated immediately and simultaneously into all the official languages ​​of the Community.

DECLARATION on Western European Union

The Conference takes note of the following statements:

I. DECLARATION

Belgium, Germany, Spain, France, Italy, Luxembourg, the Netherlands, Portugal and the United Kingdom, which are members of the Union of Europe Western Union as well as members of the European Union, on the role of the Western European Union and on its relations with the European Union and with the Atlantic Alliance

Introduction

1. The Member States of Western European Union (WEU) agree on the need to form a genuine European security and defense identity and to assume increased European responsibilities in the field of defense. This identity will be developed gradually according to a process comprising successive stages. WEU will be an integral part of the development of the European Union and will strengthen its contribution to solidarity within the Atlantic Alliance. The WEU member states agree to strengthen the role of WEU with the long-term perspective of a common defense policy within the European Union, which could ultimately lead to a common defense compatible with that of the European Union. ‘Atlantic Alliance.

2. WEU will be developed as a defense component of the European Union and as a means of strengthening the European pillar of the Atlantic Alliance. To this end, it will formulate a common European defense policy and ensure its concrete implementation by further developing its own operational role.

The WEU member states take note of Article J.4 relating to the common foreign and security policy of the Treaty on European Union, which reads as follows:

“1. The common foreign and security policy includes all questions relating to the security of the European Union, including the eventual definition of a common defense policy, which could lead, when the time comes, to a common defense.

2. The Union calls on the Western European Union (WEU), which is an integral part of the development of the European Union, to draw up and implement the decisions and actions of the Union which have implications in the field of defense. The Council, in agreement with the WEU institutions, adopts the necessary practical arrangements.

3. Matters which have defense implications and which are governed by this article are not subject to the procedures defined in article J.3.

4. Union policy within the meaning of this Article does not affect the specific nature of the security and defense policy of certain Member States, it respects the obligations arising for certain Member States from the North Atlantic Treaty and it is compatible with the common security and defense policy adopted within this framework.

5. The provisions of this article shall not preclude the development of closer cooperation between two or more Member States at bilateral level, within the framework of WEU and the Atlantic Alliance, to the extent that such cooperation does not does not contravene or obstruct that provided for in this title.

6. In order to promote the objective of this Treaty and taking into account the 1998 deadline in the context of Article XII of the amended Brussels Treaty, the provisions of this Article may be revised, as provided for in Article N paragraph 2, on the basis of a report which the Council will submit to the European Council in 1996, which includes an assessment of the progress made and the experience gained so far. ‘

A. WEU’s relations with the European Union

3. The objective is to build WEU in stages as a defense component of the European Union. To this end, WEU is ready to develop and implement, at the request of the European Union, decisions and actions of the Union which have defense implications.

To this end, WEU will establish close working relations with the European Union by taking the following measures:

– in an appropriate manner, synchronization of meeting dates and places as well as harmonization of working methods;

– establishment of close cooperation between the Council and the General Secretariat of WEU, on the one hand, and the Council of the Union and the General Secretariat of the Council, on the other;

– examination of the harmonization of the succession and the duration of the respective presidencies;

– development of appropriate modalities to ensure that the Commission of the European Communities is regularly informed and, where appropriate, consulted on WEU activities, in accordance with the role of the Commission in the common foreign and security policy, as as defined in the Treaty on European Union;

– encouragement of closer co-operation between the Parliamentary Assembly of WEU and the European Parliament.

The WEU Council will make the necessary practical arrangements in agreement with the competent institutions of the European Union.

B. WEU’s relations with the Atlantic Alliance

4. The objective is to develop WEU as a means of strengthening the European pillar of the Atlantic Alliance. To this end, WEU stands ready to develop the close working relations between WEU and the Alliance and to strengthen the role, responsibilities and contributions of WEU member states within the Alliance. This will be done on the basis of the necessary transparency and complementarity between the European security and defense identity, as it emerges, and the Alliance. WEU will act in accordance with the positions adopted in the Atlantic Alliance.

– WEU Member States will intensify their coordination on issues within the Alliance which represent an important common interest, in order to introduce concerted joint positions within WEU into the Alliance’s consultation process , which will remain the essential forum for consultation between the allies and the forum where they agree on policies affecting their security and defense commitments under the North Atlantic Treaty.

– Where appropriate, the dates and places of meetings will be synchronized and the working methods will be harmonized.

– Close cooperation will be established between the Secretariats General of WEU and NATO.

C. The operational role of WEU

5. The operational role of WEU will be strengthened by examining and determining the appropriate missions, structures and means, covering in particular:

– a WEU planning unit;

– closer military cooperation in addition to the Alliance, in particular in the field of logistics, transport, training and strategic surveillance;

– meetings of the WEU Chiefs of Staff;

– military units under WEU.

Other proposals will be studied further, including:

– enhanced cooperation in the field of armaments, with a view to creating a European armaments agency;

– the transformation of the WEU Institute into a European Security and Defense Academy.

Measures to strengthen WEU’s operational role will be fully compatible with the military arrangements necessary to ensure the collective defense of all allies.

D. Various measures

6. As a consequence of the above measures and in order to facilitate the strengthening of the role of WEU, the seat of the Council and of the WEU General Secretariat will be transferred to Brussels.

7. Representation on the WEU Council must be such that it can exercise its functions permanently, in accordance with Article VIII of the modified Brussels Treaty. Member States will be able to use a so-called “double hat” formula, to be developed, made up of their representatives to the Alliance and to the European Union.

8. WEU notes that, in accordance with the provisions of Article J.4 paragraph 6 relating to the common foreign and security policy of the Treaty on European Union, the Union will decide to review the provisions of this article in order to promote the objective it sets according to the defined procedure. WEU will conduct a review of these provisions in 1996. This review will take into account the progress and experience acquired, and will extend to relations between WEU and the Atlantic Alliance.

II. DECLARATION

Belgium, Germany, Spain, France, Italy, Luxembourg, the Netherlands, Portugal and the United Kingdom, which are members of the Union of Europe western

“The WEU member states welcome the development of the European identity in the field of security and defense. They are determined, taking into account the role of WEU as an element of defense of the European Union and as a means of strengthening the European pillar of the Atlantic Alliance, to place relations between WEU and the other European countries on the new foundations for stability and security in Europe. With this in mind, they offer the following:

States which are members of the European Union are invited to accede to WEU under the conditions to be agreed in accordance with Article XI of the modified Brussels Treaty, or to become observers if they so wish. At the same time, other European NATO member states are invited to become associate members of WEU in a way which gives them the opportunity to participate fully in WEU activities.

The WEU member states assume that the treaties and agreements corresponding to the above proposals will be concluded before 31 December 1992. ”

DECLARATION on asylum

1. The Conference agrees that, in the framework of the work provided for in Articles K.1 and K.3 of the provisions on cooperation in the fields of justice and home affairs, the Council will give priority to examining questions concerning asylum policy. Member States, with the objective of adopting, by the beginning of 1993, a joint action aimed at harmonizing aspects thereof, in the light of the work program and the timetable contained in the report on asylum drawn up at the request of the Luxembourg European Council of June 28 and 29, 1991.

2. In this context, the Council, before the end of 1993, on the basis of a report, will also examine the question of a possible application of Article K.9 to these matters.

DECLARATION on police cooperation

The Conference confirms the agreement of the Member States on the objectives of the proposals made by the German delegation at the meeting of the European Council in Luxembourg on 28 and 29 June 1991.

In the immediate future, the Member States agree to examine, as a priority, the projects submitted to them, on the basis of the work program and the timetable agreed in the report drawn up at the request of the Luxembourg European Council, and are ready to consider the adoption of concrete measures in areas such as those suggested by this delegation with regard to the following tasks of exchanging information and experiences:

– assistance to national authorities responsible for criminal prosecution and security, in particular in the coordination of investigations and research;

– creation of data banks;

– centralized evaluation and use of information with a view to taking stock of the situation and determining the different approaches to investigation;

– collection and use of information on national approaches to prevention with a view to transmitting it to the Member States and defining preventive strategies at European level;

– measures concerning further training, research, forensics and forensic anthropometry.

The Member States agree to examine on the basis of a report no later than 1994 whether the scope of this cooperation should be extended.

DECLARATION on disputes between the ECB and the EMI, on the one hand, and their agents, on the other

The Conference considers that the court of first instance should hear this category of appeal in accordance with Article 168a of this Treaty. The Conference therefore invites the institutions to adapt the relevant provisions accordingly.

The High Contracting Parties to the Treaty on European Union adopted, on May 1, 1992 in Guimaraes (Portugal), the following declaration.

DECLARATION BY THE HIGH CONTRACTING PARTIES TO THE TREATY ON EUROPEAN UNION

The High Contracting Parties to the Treaty on European Union, signed in Maastricht on February 7, 1992,

having examined the terms of Protocol No 17 of the said Treaty on European Union, annexed to that Treaty and to the Treaties establishing the European Communities

give the following legal interpretation:

their intention was and remains that the Protocol does not restrict the freedom to move between Member States or, in accordance with conditions which may be laid down in accordance with Community law by Irish law, to obtain or provide in Ireland information concerning services authorized by law in the Member States.

At the same time, the High Contacting Parties solemnly declare that, in the event of a future revision of the constitution of Ireland which relates to the object of Article 40.3.3 of said constitution and which is not contrary for the High Contracting Parties expressed above, they will be in favor, following the entry into force of the Treaty on European Union, for a modification of the said Protocol aimed at extending its application to the provision of the constitution thus revised if Ireland so requests.

Hecho en Maastricht, el siete de febrero de mil novecientos noventa y dos.

Udfærdiget i Maastricht, den syvende februar nitten hundrede og tooghalvfems.

Geschehen zu Maastricht am siebten Februar neunzehnhundertzweiundneunzig.

Έγινε στο Μάαστριχτ, στις εφτά Φεβρουαρίου χίλια εννιακόσια ενενήντα δύο.

Done at Maastricht on the seventh day of February in the year one thousand nine hundred and ninety-two.

Done at Maastricht on the seventh day of February in the year one thousand nine hundred and ninety-two.

Arna dhéanamh i Maastricht, an seachtú lá d’Fheabhra, míle naoi gcéad nócha a dó.

Fatto in Maastricht, addì sette febbraio millenovecentonovantadue.

Gedaan te Maastricht, from zevende februari negentienhonderd twee-en-negentig.

Feito em Maastricht, em sete de Fevereiro de mil novecentos e noventa e fait.

For His Majesty the King of the Belgians

Voor Zijne Majesteit by Koning der Belgen

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For Hendes Majestæt Danmarks Dronning

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Für den Präsidenten der Bundesrepublik Deutschland

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Για τον Πρόεδρο της Ελληνικής Δημοκρατίας

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Por Su Majestad el Rey de España

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For the President of the French Republic

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Thar ceann Uachtarán na hEireann

For the President of Ireland

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Per il Presidente della Repubblica italiana

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For His Royal Highness the Grand Duke of Luxembourg

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Voor Hare Majesteit by Koningin der Nederlanden

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Pelo Presidente da República Portuguesa

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Fr Her Majesty the Queen of the United Kingdom of Great Britain and

Northern Ireland

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