New EU President to cost taxpayers €6 million a year
Belgian daily De Netto reports that, according to a document from the European Council, the new EU President will earn €350,000 a year, taxed at 25 percent, and will have a staff of 22 press officers, assistants and administrators, in addition to 10 security agents. The paper notes that this is double the current salary of the Belgian Prime Minister Herman Van Rompuy, who is the current frontrunner for the post. It also notes that it is significantly more than US President Barack Obama's salary, which is around $400,000 a year or €269,000. The total cost of the President and his team will be €6 million a year.
Netto
Angela Merkel backs Belgian PM for EU President job;
Opposition grows to German-French "stitch-up" for Van Rompuy
The Times reports that the German Ambassador to Belgium, Reinhard Bettzuege, has revealed that Angela Merkel is backing Belgian PM Herman Van Rompuy for the EU President job. He told Belgian newspaper De Morgen: "Germany thinks the Belgian Prime Minister is a good candidate for the EU presidency. Chancellor Angela Merkel and her Government are behind Van Rompuy for this job." The EU President and Foreign Minister job are due to be discussed at a summit of all 27 EU leaders in Brussels tonight.
Jean Quatremer's Coulisses de Bruxelles blog reports that, in a telephone conversation, Angela Merkel herself told her Latvian counterpart Valdis Dombrovskis that she and Nicolas Sarkozy continued to support Herman Van Rompuy's candidacy for EU President. However, the blog notes that, having justified her support for Van Rompuy, "at no point did Merkel seek to kill [former Latvian President Vaira] Vike-Freiberga's candidacy, which leaves Riga with a glimpse of a possible rallying of Berlin if the Belgian Prime Minister comes up against a blocking minority organised by the Brits." It notes that, at the moment, Latvia only has the support of Lithuania and Italy. Quatremer says: "According to my sources, Rome will vote in the first round for Tony Blair, and then will rally for Vike-Freiberga, with Riga supporting the Italian Massimo D'Alema for the EU Foreign Minister job." He notes that there is unlikely to be a decision this evening, and if talks fail over the weekend, another EU summit could be convened on 1 December.
The Guardian reports that Angela Merkel has also said: "Germany and France will reach an agreement together on this issue and not oppose each other". However, the article quotes a Polish official saying: "We're not having a replay of the bad old days when the big guys fixed all the deals". Gavin Hewitt's BBC blog reports that the Germans and the French are likely to hold a joint press conference before the dinner tonight.
The Telegraph reports that the attempted "stitch-up" has angered Britain, Spain, Italy and Poland, along with other central and east European countries. The headline in the Sun reads: "Germans to block Blair", and the Independent reports an unconfirmed rumour in Brussels that Britain might pull a surprise and push for Mr Blair to become EU Foreign Minister, rather than President.
Open Europe's Lorraine Mullally appeared on CNBC's Europe Today programme, CNN news and BBC Radio 5 Live to discuss the secrecy surrounding the negotiations on the EU President, and the fact that whoever is appointed EU President will have no democratic mandate. Lorraine also pointed out that EU leaders' disagreements over this first test of the Lisbon Treaty demonstrate the folly of trying to appoint a 'single voice' for Europe, and also the irony that the very person who is supposed to represent unity in Europe is causing so much division already.
Belgium's most-watched Flemish news programme Terzake last night ran a feature on the Head of Open Europe's Brussels office, Pieter Cleppe, after he briefed the British media on Belgian Prime Minister Herman Van Rompuy's views about the EU this week. Pieter argued: "People in Great Britain are unhappy about the possible choice of a Belgian politician who wants to give the EU more and more power. Van Rompuy can be relied upon to quietly make sure that the EU gets more and more powers, with less and less say for voters". He added: "Just because he is Belgian does not mean Belgians should automatically be in favour of him, especially since he is defending the same old conservative ideas opposing reform of the EU." A separate piece looked at Open Europe's work, mentioning the 50 new examples of EU waste and work on the pay and perks received by EU Commissioners. Pieter noted that Open Europe is one of the few think tanks looking at EU affairs, which is not receiving any EU money.
In an op-ed in Belgian daily De Morgen, Pieter argues that "the appointment of Van Rompuy would not be a good thing for small countries". He says that "talk of an EU tax on financial transactions distracts from the problem that the EU's accounts have not been signed off for 15 years in a row, while countries such as Belgium remain net contributors to the EU budget. Moreover harmonising tariffs will in practice lead to higher taxes. Just ask restaurant and bar owners. For years they were demanding a lowering of VAT from 21 percent, and despite the fact that all democratically elected Belgian politicians agreed with that, it has only become possible this year, because an EU agreement was necessary. It's not a difficult concept: if a small country allows the EU to take more decisions, it loses a lot of power."
Le Monde reports that Herman Van Rompuy is attracting opposition within Belgium. French-speaking MP Denis Ducarme, whose liberal party is part of the governing coalition, has said he does not want to see a Flemish EU President because "Flanders simply does not respect European law." He said: "Flanders violates rules of free establishment and free circulation, mistreats its minorities and pursues action which is contrary to European ideals." Mr Ducarme has appealed to the European Commission and plans to appeal to the European Parliament against Mr Van Rompuy.
The Irish Times reports that the name of former Finnish President Martti Ahtisaari, winner of the 2008 Nobel Peace Prize, was circulating last night as an alternative to Mr Van Rompuy.
The WSJ reports that Swedish Prime Minister Fredrik Reinfeldt, in charge of the selection process, said yesterday there had been little progress on a decision despite marathon phone calls. The FT reports that three teams of interpreters have been booked for the summit, each expected to work for seven to eight hours, with the meeting starting at 5.15pm. PA reports that it is still unclear how a decision will be reached, and that if Mr Reinfeldt cannot broker a compromise, he might even "pass round bits of paper for everyone to write a name, gradually eliminating those that don't get enough support. There may be a show of hands. Maybe he'll stick all the names in a hat and draw lots."
Meanwhile, the Telegraph reports that Mr Van Rompuy is an opponent of Turkey's bid to join the EU. Speaking in the Belgian Parliament in 2004, when in opposition, he argued: "Turkey is not a part of Europe and will never be part of Europe...The universal values which are in force in Europe, and which are fundamental values of Christianity, will loose vigour with the entry of a large Islamic country such as Turkey."
The front page of the Express reports that Mr Van Rompuy's sister Christine, of a rival political party, produced a poster showing her brother posing as a clown during a recent election. Ms Van Rompuy is quoted saying: "We have not spoken since."
Le Monde Coulisses de Bruxelles Times Irish Times Guardian Telegraph Telegraph 2 Telegraph 3 EUobserver Express WSJ Times: Walden Sun Sun: Leader Mail FT IHT Guardian 2 Independent Independent: Chalmers BBC BBC 2 BBC: Hewitt blog EUobserver EUobserver 2 EurActiv EUobserver European Voice FT: Barber FT: Delors Economist: Charlemagne notebook Terzake De Morgen: Cleppe OE blog OE blog 2
New EU Foreign Minister to control £45bn foreign policy
The Express reports that the new EU Foreign Minister will gain control of a £45bn budget and a staff of 7,000, designed to be "the biggest diplomatic staff in the world". It is planned that the EU will have embassies around the world, plus military command structures. The article notes that the Foreign Minister and the new EU President will operate from a new £280million HQ in Brussels. The details of the diplomatic corps are revealed in a leaked document from the Swedish EU presidency, obtained Open Europe. Director Lorraine Mullally is quoted saying, "Whoever gets this job will be in charge of the biggest diplomatic service in the world, without even having to get elected or answer to the public. The last thing Europe needs is yet another bloated EU institution, costing billions and with no democratic mandate and yet here we are creating a blueprint for a fully-fledged EU Foreign Office. It's ridiculous."
Express
EU seeks to upgrade its status and presence at the UN
The Times reports that the EU is pushing to upgrade its status at the United Nations to put it on a par with quasi-states such as the Vatican and Palestine. The resolution, if adopted, would give the EU its own seat and nameplate in UN General Assembly chamber and committees and allow it to take part in debates and co-sponsor resolutions - but not vote. The new EU Foreign Minister would be able to address the UN on behalf of the EU. The article notes that, at the same time, the EU will increase its diplomatic staff at the UN headquarters in New York from 15 to around 50.
Times
David Cameron: EU budget negotiations and future EU treaties on enlargement will provide "leverage" for repatriation of powers
Speaking to the BBC Today programme about Conservative plans to try and repatriate powers from the EU in areas of criminal justice, the Charter of Fundamental Rights, and social and employment policy David Cameron said: "I would argue they are realistic goals. Why? Well there are other countries that have bigger opt-outs than we do over criminal justice. There are other countries that have made clear they don't want the Charter of Fundamental Rights to apply to them and in the past we ourselves had an opt-out in the Social Chapter...they are very realistic powers I am seeking the return of...there will be many opportunities during that [future Parliament], when for instance Europe is discussing its future financing, when it's discussing future Treaties to enlarge the European Union, when the UK will have a significant amount of leverage."
Meanwhile, writing in Prospect magazine, Anne Mcelvoy argues that while David Cameron's tone on Europe is "hostile" his commitments remain "vague". She argues that "Quietly, the new Tories want to delay battles on Europe."
Today programme Open Europe briefing Prospect Magazine
45% of 2010 EU budget will go to agricultural subsidies
Swedish Radio reports that EU ministers and MEPs yesterday agreed that the EU budget for 2010 should be €122.9 billion, with 45% of this amount going to agricultural subsidies in various forms. €300 million has been earmarked in support for dairy farmers. In European Voice, Jack Thurston of farmsubsidy.org looks at the controversial document from the Commission, leaked earlier this month, which proposed a re-orientation of the EU budget away from agriculture. He warns that the "good draft set of proposals" set out in the document stand the risk of being watered down, amid strong political pressure from member states such as Spain and France, as well as from within the Commission itself.
Swedish Radio European Voice
European Ombudsman issues strong sanction against Commission over Intel case
The WSJ reports that the European Ombudsman has said the European Commission had committed "maladministration" in their antitrust case against Intel by not documenting an interview with a witness that could have helped Intel's defence. The finding of maladministration is the most serious sanction the Ombudsman can issue. The HT notes that a lawyer for Intel said the finding called into question the unchecked nature of the Commission's investigative power.
WSJ IHT
Member states desperate to reach fisheries agreements before MEPs gain new powers
European Voice notes that the Commission and member state governments are desperate to reach an agreement on a complex regulation that sets the technical EU rules on how to catch fish, before MEPs get equal powers to national ministers on all fisheries laws, which would complicate negotiations further. Under the Lisbon Treaty, to come into force on 1 December, the European Parliament will have so-called 'co-decision' with the Council of Ministers on fisheries policy. The article notes, "The law will have a big impact on how fishing crews work. The detail extends to the thickness of net twine down to the millimetre and the minimum catch size for 11 kinds of fish down to the centimetre, starting with cod all the way down to anchovy, as well as minimum sizes for molluscs, octopus and scallop. The fact that so many species are involved adds to the complexity of the negotiations."
European Voice
Trichet wants stricter EU rules for insurance companies
European Central Bank President Jean-Claude Trichet yesterday called for stricter regulations for insurance companies, warning that these companies could pose a "systemic risk". The comments come as a committee of insurance and pension-fund regulators from EU national governments is studying the so-called Solvency II Directive - setting out a series of regulations for the insurance sector to come into force in 2012 - and considering watering down the capital requirements. The UK is leading a push for a lighter Solvency II, arguing that the new rules are excessive and could raise costs for consumers, the WSJ reports.
WSJ
EU reaches deal on energy labelling;
Consumer groups warn new system is confusing
EUobserver reports that the European Parliament and member states reached a deal after closed-door talks on Tuesday that will see the EU's Energy Labelling Directive extended to cover all energy-related products, like windows and outer doors that do not directly use energy but help to save it. Euractiv notes that the deal will add more classes to the closed A-G format for determining energy efficiency, with three additional 'A' classes added on top of the traditional best-performing 'A' category. Consumer and environmental groups have criticised the scheme saying that will confuse consumers.
FT EUobserver EurActiv
CBI Director General: EU must obtain strong guarantees on emissions reductions from other nations
In the Times, Richard Lambert, Director General of the CBI, notes that the EU has undertaken to cut emissions by 20 per cent by 2020, or 30 per cent in the event of a successful global agreement at the Copenhagen summit. He writes "the big worry is that the higher target - coming on top of the EU's costly renewable policies - could drive carbon-intensive industries out of Europe. So other countries would have to make strong commitments to contain emissions before British business agreed that this extra step was justified."
Times: Lambert
An article in Irish regional paper the Southern Star cites Open Europe's 50 examples of EU waste.
Southern Star Open Europe press release Open Europe research
The Mail reports that engineers have warned that energy saving light bulbs designed to replace the incandescent variety, which are banned under EU regulations, will lose up to 40 percent of their brightness long before their advertised lifespan of five or six years is reached.
The Guardian reports that EU Trade Commissioner Catherine Ashton has said that Latin American countries and the EU are approaching a deal to end the "banana trade war", which could see prices reduced for British consumers. However, campaigners argue that the deal would be "devastating" for growers in African, Caribbean and Pacific countries as it would effectively eliminate their favorable deals with the EU.
Guardian
The largest centre-right grouping in the European Parliament, the EPP, has said it will attempt to block prospective EU Commissioners if they are considered to have collaborated with repressive Communist regimes or with governments "tainted by corruption."
EUobserver European Voice
City AM notes that the European Commission yesterday approved restructuring plans for Lloyds Banking Group, Dutch firm ING and Belgian banking and insurance group KBC. The Commission has forced lenders to divest assets, close branches, reduce market share and temporarily stop paying dividends.
FT City AM
In the WSJ, former Belgian PM Guy Verhofstadt argues that the EU should be leading efforts to stabilise the economies of central and eastern Europe rather than the IMF.
WSJ: Verhofstadt
Open Europe is an independent think tank campaigning for radical reform of the EU. For information on our research, events and other activities, please visit our website: openeurope.org.uk or call us on 0207 197 2333.
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