European Council, Stockholm, 23-24 March 2001

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Series Details 25.3.01
Publication Date 26/03/2001
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Heads of State and Government of the European Union met in Stockholm on 23-24 March, for the European Council's first Annual Spring Meeting on economic and social issues. Amongst the headline achievements declared by the Swedish Presidency were agreements on creating a single market for financial services, and on increasing employment rates for people over 55 and for women. However, no agreement was reached on the deregulation of the gas and electricity markets, on a single air traffic control system or on a Community patent.

Background

Spring Summits were established at the Lisbon European Council in March 2000. Known as the 'dot.com' Summit, the main issue discussed at Lisbon was the Union's desire to tackle unemployment and promote economic reform and social cohesion by developing a digital, knowledge-based economy. EU leaders adopted a new strategic objective for the Union with the aim of making Europe 'the most competitive and dynamic knowledge-based economy in the world capable of sustainable economic growth with more and better jobs and greater social cohesion.' The main purpose of the Spring Summits is to assess the EU's progress towards the goals set at Lisbon, which can be broadly described as:

- preparing for the transition to a knowledge-based economy and society by enhancing relevant policies, including the information society, research and development, structural reform, and the internal market- modernising the European social model, by investing in people and combating social exclusion- sustaining the current economic outlook and growth prospects by applying appropriate macro-economic policies

The agenda for Stockholm was therefore largely pre-ordained, with little scope for substantive discussion on other issues. (Foot-and-mouth disease, despite being an issue of considerable importance to a growing number of Member States, was not the sort of issue such meetings are intended to discuss - although it was mentioned very briefly in Part II of the Presidency Conclusions, in the context of problems facing the agricultural sector and rural communities).

Discussions in Stockholm led to four new issues being added to the Lisbon strategy:

  • demographic change (the ageing workforce)
  • the significance of biotechnology for the European economy
  • sustainable development and environmentally oriented economic growth
  • involvement of the candidate countries

[The role of the European Council is described in Topic Guide: The European Council].

European Council, Stockholm, 23-24 March 2001

The Presidency Conclusions [pdf] divide the discussions into two main parts. Part I summarises discussions on the main agenda items; Part II reports on two additional topics - the problems facing agriculture, and the Union's external relations.

With reference to agriculture, leaders called for the proposed European Food Authority to be established before the end of the year, and issued the following statement:

'The European Council expresses its concern about the severity of the situation in the agricultural sector and its solidarity with farmers and others in rural communities. It welcomes and stresses the importance of effective cooperation among national authorities and endorses the thorough measures being taken by the Council, the Commission and the Member States. It is determined to contain and ultimately eradicate foot-and- mouth disease and BSE. What has occurred underlines the importance of having a food chain which is safe and sustainable in order to restore consumer confidence. It urges third countries to lift measures taken which are not proportionate to either the extent of the problem or to the precautionary principle. The European Council stresses that Community measures need to respect the financial perspective.'

Discussions on external relations focused largely on Russia and the Western Balkans. Both Russia and the Former Yugoslav Republic of Macedonia (FYROM) were represented at the Summit, by Presidents Putin and Trajkovski respectively. Situations in the Middle East and the Korean Peninsula were also discussed, as were the 4th World Trade Organisation Ministerial Conference in Doha (November 2001) and climate change.

The Swedish Presidency summarised the main outcomes of the meeting under three main headings:

Economic issues

- The meeting has decided to create a European market for financial services and risk capital, based on the Lamfallussy report.
- A manifestation of the objective of the EU to deregulate the European gas and electricity markets was made.
- The European Council has urged the ministers of transport and communications to adopt a common standpoint and in conjunction with the Parliament, to draw up a final directive on further deregulation of the postal services market.- Air transport in Europe will be facilitated by establishing a common European air space.
- To promote a functioning market, government subsidies to the business sector that artificially contort the market will be reduced at the latest by 2003.
- The work to get a new round of WTO negotiations going will be intensified. Greater free trade promotes growth and employment.
- The heads of state and government have agreed to speed up legislation on the internal market at the national level.
- To develop eEurope, promote electronic commerce and to exploit its growth-stimulating effects, Internet must be made more secure. A report of such measures will be submitted during the summit in Göteborg.
- The transport ministers were assigned the task of working further to realise the new satellite navigation system, Galileo.

Social issues

- A new aim for employment has been established. The aim is that among people over the age of 55 years, at least 50 per cent will be employed by year 2010.Today only 38 per cent of this group is employed.
- A new partial objective has been established for 2005. The target for the general level of employment in 2005 is 67% and for women, 57%.
- Before 2002, common measuring systems will be established in order for countries in the EU to be able to compare the availability of child care. Equivalent measuring systems will be set up for the care of the elderly.
- In the area of gender equality, it has been decided on greater pressure in order to get rid of salary differences between women and men, here too, by producing common measuring systems.
- In the area of gender equality, it has also been decided to make the Equal Treatment Directive more stringent, as early as this year.
- Quality in work will be promoted through measures to improve the working environment, increase skills development, strengthen gender equality and improve working organisation.
- The participation in working life of persons with disabilities will be promoted. Common measurement systems will be produced in the autumn.
- It has been decided that a first evaluation of the work in promoting a long-term sustainable pension system in Europe will be made during the summit in Göteborg.

Foreign policy issues

- The EU has decided that the European Investment Bank (EIB) will, under certain conditions, be prepared to take part in the financing of environmental projects in Russia with up to €100 million.
- The EU will take part in the celebrations of St Petersburg's 300-year jubilee to stress the historical ties between Europe and Russia.
- The EU affirms its solidarity with FYROM in the crisis that has emerged, it supports the country's independence and territorial integrity and urges the parties to take all possible measures to avoid military escalation.
- In order to support a multiethnic and democratic FYROM, the EU gives its backing to legal reforms, firm rights for minorities and a more efficient organisation for local administration. EU assistance has increased from €25 million to €40 million.
- The President of the European Council will, on behalf of the EU, visit Pyongyang and Seoul in order to express support for the reconciliation process between North and South Korea.
- The EU High Representative Javier Solana has been assigned the task, in conjunction with the Commission, of drawing up a report on how the EU can play a more defined role in order to promote peaceful development in the Middle East. The report will be completed at the latest by the summit in Göteborg.

(The Göteborg European Council referred to above will take place in June 2001).

Further information within European Sources Online:

European Sources Online: In FocusEuropean Council, Nice, 7-11 December 2000 / Treaty of NiceInformal European Council, Biarritz, 13-14 October 2000European Council, Feira, 19-20 June 2000European Council, Lisbon, 22-23 March 2000European Council, Helsinki, 10-11 December 1999

European Sources Online: European Voice
- 01.03.01: Finns press for early decision on food agency- 01.03.01: Russia urged to settle key trade disputes- 22.02.01: Russian President Vladimir Putin will attend the Stockholm summit of EU leaders on 23-24 March, diplomats have confirmed- 08.02.01: Prodi attacks lack of progress on goals for Stockholm summit- 14.12.00: Job market reforms will be top priority

European Sources Online: Financial Times
- 24.03.01: Stockholm summit leaders give backing to Macedonia coalition- 22.03.01: Editorial comment: No time for complacency- 13.03.01: Blair set to focus on Europe- 07.03.01: Brussels moots rules revamp

Further information can be seen in these external links:
(long-term access cannot be guaranteed)

Sweden: EU Presidency
- homepage
- Stockholm Summit
- Conclusions from the European Council
- Summary of the conclusions of the EU summit in Stockholm
- Close of the Stockholm summit
- Voices from the European Parliament and the EU Commission
- Summit opens with discussions on the serious foot-and-mouth situation
- ECOFIN Council agree on Lamfalussy report based resolution

Council of the European Union
- homepage
- Stockholm European Council: Presidency conclusions

European Commission
- europa server
- European Council, Stockholm, 23-24 March 2001
- Speech by Romano Prodi to the European Council European Council Stockholm, 23.03.01

European Parliament
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- President Nicole Fontaine: Speech at the opening of the European Council meeting in Stockholm

BBC News
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- 24.03.01: EU presses Bush on global warming
- 24.03.01: EU turns to economy
- 24.03.01: Summit 'could have done more'
- 23.03.01: The Stockholm agenda
- 22.03.01: Europe's baby shortage crisis

FT.com
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United Kingdom: Foreign and Commonwealth Office
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- Benefits to Britain of the Stockholm Summit

The European Policy Centre
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- A Modest Summit - with Modest Conclusions

Eric Davies
KnowEurope Researcher
Compiled: 25 March 2001

Heads of State and Government of the European Union met in Stockholm on 23-24 March, for the European Council's first Annual Spring Meeting on economic and social issues. Amongst the headline achievements declared by the Swedish Presidency were agreements on creating a single market for financial services, and on increasing employment rates for people over 55 and for women.

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