ROME 15 DECEMBER 1990 14- THE EUROPEAN COUNCIL …aei.pitt.edu/1406/1/Rome_dec_1990.pdf~ Rome...

THE EUROPEAN COUNCIL

ROME14-15 DECEMBER 1990

Documents in the dossier include:

Rome European CouncilReproduced from the Bulletin of the European Communities, No. 12/1990

Press Conference by President Delors before the Rome European CouncilStrasbourg, 12 December 1990

~ Rome European Council

Rome, 14 and 15 December

1.1. With the Italian Prime Minister, MrAndreotti, in the chair, this meeting Heads of State or Government of the Mem-ber States was attended by Mr Oelors , Presi-dent, and Mr Andriessen, Vice-President,representing the Commission. It first hearda statement by Mr Baron Crespo, Presidentof the European Parliament, on the situationin the Community and Parliament s viewson the questions to be discussed at the twoIntergovernmental Conferences.

The European Council held an in-depth dis-cussion on the Community s internal devel-opment and on the contribution it plansto make towards shaping the new face ofEurope.

It expressed its determination to define thestages in the process of transforming the

Community into a political union, whichwill act as a focus of stability in Europe.

It noted with satisfaction all the reparatorywork designed to serve as a basis for theIntergovernmental Conference on PoliticalUnion.

Without prejudice to other subjects raisedby Governments or by the Commission inthe preparatory work, it asked the Confer-ence to give particular attention to demo-cratic legitimacy, common foreign andsecurity policy, European citizenship, andthe extending and strengthening of Com-munity action.

Moving on to the organization of theIntergovernmental Conferences, the Euro-

pean Council confirmed that they shouldproceed in parallel and be concluded rapidlyand at the same time, so that the resultscould be submitted for simultaneous ratifi~cation by the end of 1992 if possible.

On the internal market, the EuropeanCouncil took note of the Commission s pro-gress report, observing that the main fea-tures of the European internal market werenow in place. It called for rapid completionof proceedings on V AT and excise duties,and welcomed the Commission proposal for

Bull. EC 12-1990

a major infrastructure networK. u aSKeQ lOrevery effort to be made to ensure that allthe internal market measures embodied inthe programme annexed to the Commissioncommunication were adopted in 1991.

Regretting the delay in work in the freemovement of persons, the EuropeanCouncil asked that all the necessarydecisions be taken under the Single Actparticularly on the crossing of external bor-ders. It took note of the recent reports onimmigration

, .

and invited the Council andthe Commission to consider the mostappropriate measures regarding assistanceto countries of emigration.

It then considered the situation regardingthe social dimension and stressed theimportance of pressing ahead more activelywith application of the action programmefor the implementation of the SocialCharter.

The European Council noted the consider-able importance attaching to the systematicand sustained strengthening of the actiontaken by the Community to combat drugs.It stressed the importance of the role playedby Celad and asked the Council to reach anagreement on money laundering.

The European Council then took generalstock of external relations questions.

In particular, it expressed the hope that theforthcoming ministerial conference betweenthe EEC and EFT A would enable decisiveprogress to be made, and welcomed thecompletion of work on the new Mediter-ranean policy.

It called for closer political and economiclinks between the Community, the RioGroup countries and the other countries ofLatin America; it welcomed the accessionof Namibia to the Lome IV Conventionand called for a swift examination of theCommission paper on debt relief for theA CPcountries.

While regretting the developments in theUruguay Round negotiations, the EuropeanCouncil stressed the need for a global

Rome European Council

approach based on balanced concessions. Itasked all parties concerned to .show thepolitical will needed to resolve these prob-lems and called on the Commission to stepup its contacts in order to conclude a bal-anced agreement covering all sectors in theshortest possible time.

The European Council then considered thesituation in the Middle East and adoptedthree declarations on the Gulf crisis, theMiddle East and the Lebanon.

It also adopted a declaration welcoming theinitiatives taken to establish a united, non-racial and democratic South Africa. It recal-led that sanctions could be relaxed as soonas the South African Government had takenmeasures to repeal the Group Areas Act andthe Land Acts , and decided to lift the ban onnew investments forthwith. It also agreed tointensify the programme of positive meas-ures to assist the victims of apartheid.

There was also a general debate on relationswith the USSR and the countries of Centraland Eastern Europe, upon which con-clusions were adopted.

On the basis of guidelines set out in a reportprepared by the Commission as requestedby the Dublin European Council, and fol-lowing consultations with the IMF, theWorld Bank, the EIB, the OECD and thePresident of the EBRD, the EuropeanCouncil decided to grant the Soviet Unionfood aid worth up to ECU 750 million andtechnical assistance worth ECU 400 millionin 1991 to support the reorganization ofthe Soviet economy. The European Councilparticularly emphasized energy questions.

Regarding the other countries of Centraland Eastern Europe , the European Councilcalled for the swift conclusion of the firstset of European Agreements, and agreedthat measures should be taken, notablywithin the G-24 context, to meet the finan-cing requirements of those countries whichwere not covered by public or privateinitiatives. It agreed that Community finan-cing could in certain conditions be givenover and .above that provided by inter-national financial institutions.

The European Council noted that theCouncil would release the second trancheof ECU 260 million granted to Hungary tosupport its balance of payments, togetherwith Community support for Czechoslo-vakia s programme to stabilize and mod~ernize its economy and make its currencyconvertible.

It approved emergency aid of ECU100 million for Romania and Bulgaria , andasked the Council to presS ahead withexamination of the Commission proposalson credit insurance for exports to Centraland Eastern Europe.

Conclusions of the Pres.idency(Part 1)

2. The European Council heard a statement bythe President of the European Parliament on thesituation in the Community and Parliament s viewson the questions to be discussed at the twoIntergovernmental Conferences.

1.3. On the eve of the opening of the two Confer-ences on EMU and Political Union and followingthe recent CSCE meeting in Paris, the EuropeanCouncil held an in-depth discussion on the Com-munity s internal development and on the contri.burion it plans to make to shaping the new faceof Europe.

With regard to its internal development the Headsof State or Government expressed their determi-nation to complete the large single market withinthe periods laid down, to continue strengtheningeconomic and social cohesion and to define thestages in the process of transforming the Com-munity into a political union, which will act as afocus of stability in Europe.

For the European Council, the Communityinternal development is closely linked with theadoption of an open approach to the world ingeneral and, in particular, with its resolve to coop-erate ever more closely with the other Europeancountries. This cooperation must today beexpressed in particular by showing active solidaritywith the USSR and the countries of Central andEastern Europe in their efforts to overcome thedifficulties they are experiencing.

The European Council adopted the following con-clusions:

Bull. EC 12- 1990


Politicailinion

It References:

Conclusions of the special meeting of the EuropeanCouncil, Dublin: Bull. EC 4-1990, point 1.12

Conclusions of the Council and informal meeting ofthe Foreign Ministers, Parknasilla: Bull. EC 5-1990, point1.1.1

Conclusions of the Dublin European Council, 25 and26 June 1990: Bull. EC 6-1990, pointI.!1

Conclusions of the special meeting of the EuropeanCouncil, Rome: Bull. EC 10-1990, point 1.4

Commission opinion on the proposal for amendmentof the Treaty establishing the European Economic Com-munity with a view to political union: COM(90) 600;Bull. .EC 10-1990, point 1.1.5

Resolution embodying Parliament s opinion on theconvening of the Intergovernmental Conferences: OJ

C 324, 24. 12.1990; Bull. EC 11-1990, point 1.1.2Council opinion and decision convening the

Intergovernmental Conferences: -+ point 1.1.3First meeting of the Intergovernmental Conferenc:e

on Political Union: -+ point 1.1.7

1.4. The European Council notes with satisfac-tion all the preparatory work which is to serve asa basis for the Intergovernmental Conference onPolitical Union.

The Union will' be based on the solidarity of itsMember States, the fullest realization of its citi-zens ' aspirations, economic and social cohesionproper balance between the responsibilities of theindividual States and the Community and betweenthe Toles of the institutions, coherence of the over-all external action of the Community in the frame.work of its foreign, security, economic and devel-opment policies and of its efforts to eliminate racialdiscrimination and xenophobia in order to ensurerespect for human dignity.

Without prejudice to other subjects raised byGovernments or by the Commission in the pre-paratory work, the European Council asks theConference to give particular attention to the fol-lowing:

Democratic legitimacy

1.5. In order to strengthen the role of the Euro-pean Parliament, the European Council asks theConference to consider the following measures:(i) extension and improvement of .the cooper-ation procedure;(ii) extension of the procedure for assent to inter-national agreements which require unanimousapproval by the Council;

(iii) involvement of the European Parliament inthe appointment of the Commission and its Presi-dent;

Bull. EC 12- 1990

(iv) increased powers on budget control and fin-ancial accountability;

(v) closer monitoring of the implementation ofCommunity policies;(vi) consolidation of the rights of petition andenquiry as regards Community matters.

The European Council also discussed further-reaching reforms on the role of the European Par-liament and asks the Conference to considerdeveloping co-decision procedures for acts of alegislative nature, within the framework of thehierarchy of Community acts.

Consideration should be given to artangementsallowing national parliaments to play their fullrole in the Community s development.

The European Council notes the particular import-ance which some Member States attach to:(i) the adoption of arrangements that takeaccount of the special competence of regional orlocal institutions as regards certain Communitypolicies;

(ii) the need to consider suitable procedures for

the consultation of such institutions.

Common foreign and security policy

6. The European Council welcomes the broadagreement on basic principles concerning thevocation of the Union to deal with aspects of

foreign and security policy, in accordance with asustained evolutive process and in a unitary man-ner, on the basis of general objectives laid downin the Treaty.

The common foreign and security policy shouldaim at maintaining peace and international stab-ility, developing friendly relations with allcountries, promoting democracy, the rule of lawand respects for human rights, and encouragingthe economic development of all nations, and

should also bear in mind the special relations ofindividual Member States.

To this end, the Conference will in particular

address the Union s objectives, the scope of itspolicies and the means of fostering and ensuringtheir effective implementation within an insti-tutional framework.

Such an institutional framework would be basedon the following elements:

(i) one decision-making centre, namely theCouncil; (ii) harmonization and , where appropriate , unifi-cation of the preparatory work; a unified Sec-retariat;


(iii) a reinforced role for the Commissionthrough a non-exclusive right of initiative;

(iv) adequate procedures for consulting andinforming the European Parliament;

(v) detailed procedures ensuring that the Unioncan speak effectively with one voice on the inter-national stage, in particular in international organ-izations and vis-a-vis third countries.

The foIlowing elements should be considered as abasis for the decision-making process:

(i) the rule of consensus in defining general guide-lines; in this context, non-participation or absten-tion in the voting asa means of not preventingunanimity;

(ii) the possibility of reCourse to qualified.majority voting for the implementation of agreedpolicies.

As regards common security, the gradual extensionof the Union s role in this area should be con.sidered, in particular with reference, initially, to

issues debated in international organizations: armscontrol, disarmament and related issues; CSCEmatters; certain questions debated in the UnitedNations, including peacekeeping operations; econ.omic and technological cooperation in the arma-ments field; coordination of armaments exportpolicy; and non-proliferation.

Furthermore, the European Council emphasizesthat, with a view to the future, the prospect of arole for the Union in defence matters should beconsidered , without prejudice to Member Statesexisting obligations in this area , bearing in mindthe importance of maintaining and strengthening

the ties within the Atlantic alliance and withoUtprejudice to the traditional positions of otherMember States. The idea of a commitment byMember States to provide mutual assistance, as

well as proposals pur forward by some MemberStates on the future of Western European Unionshould also be addressed.

European citizenship

1.7. The European Council notes with satisfac-tion the consensus among Member States that theconcept of European citizenship should be exam-ined.

It asks the Conference to consider the extent to

which the following rights could be enshrined inthe Treaty so as to give substance to this concept:

(i) civil rights: participation in elections to theEuropean Parliament in the country of residence;possible participation in municipal elections;

(ii) social and economic rights: freedom of move-ment and residence irrespective of engagement ineconomic activity, equality of opportunity and oftreatment for all Community citizens;(iii) joint protection of Community citizens Out-side the Community s borders.

Consideration should be given to the possible insti-tution of a mechanism for the defence of citizensrights as regards Community matters

ombudsman

In the implementation of any such provisionsappropriate consideration should be given to par-ticular problems in some Member States.

4. Extension and strengtheningof Community action

8. The European Council notes that there is awide recognition of the need to extend or redefinethe Community s competence in specific areas.

It asks the Conference to bear in mind inter alia,the following areas:(i) the social dimension , including the need forsocial dialogue;

(ii) economic and social cohesion among theMember States;

(iii) improved protection of the environment inorder to ensure sustainable growth;

(iv) the health sector and in particular the com-bating of major diseases;(v) a research effort commensurate with thedevelopment of the Community s competitivecapacity;

(vi) an energy policy aiming at greater securityand efficiency, bearing also in mind cooperationin the whole of Europe;

(vii) providing the Community with major infra-structures, in order also to permit the completionof a trans-European network;(viii) safeguarding the diversity of the Europeanheritage and promoting cultural exchanges andeducation.

It should also be considered whether and howactivities currently conducted in an intergovern-mental framework could be brought into the ambitof the Union, such as certain key areas of homeaffairs and justice, namely immigration , visas, asy-lum and the fight against drugs and organizedCrIme.

The European Council agrees on the importanceof the principle of subsidiarity, not only whenconsidering the extension of Union competence

Bull. EC 12- 1990


but also in the implementation of Union policiesand decisions.

The European Council stresses the fact that theUnion must have at its disposal all the necessaryresources to achieve the objectives that it sets andto carry out the resulting policies.

5. Effectiveness and efficiencyof the Union

1.9. The European Council discussed how toensure the effectiveness and efficiency of theUnion s institutions.

It agreed that the essential role that the EuropeanCouncil has played over recent years in creatingfundamental political momentum will continue.The Conference will consider whether the Com-munity s development towards the Union necessi-tateS an accentuation of this role.

Regarding the Council, the extension of majorityvoting will be examined by the Conference, includ-ing the possibility of making it the general rulewith a limited number of exceptions.

Regarding the Commission, the European Councilemphasized that extending the responsibilities ofthe Union must be accompanied by a strengtheningof the Commission s role and in particular of itsimplementing powers so that it may, like the otherinstitutions, help to make Community action moreeffective.

As for the Community s other institutions andorgans, the Conference will examine the questionof how to improve their effectiveness and efficiencyin the light of the suggestions presented by thoseinstitutions and by Member States.

Economic and monetary lInion

References:Conclusions of the special meeting of the European

Council , Dublin: Bull. EC 4-1990, point 1.7Commission communication to the Council on econ-

omic and monetary union: Bull. EC 7/8-1990, point 1.3.Conclusions of the special meeting of the European

Council , Rome: Bull. EC 10- 1990, point 1.5Resolution embodying the European Parliament's

opinion on the convening of the Intergovernmental Con-ferences: OJ C 324, 24. 12.1990; Bull. EC 11-1990, point1.1.2

Council opinion and decision convening theIntergovernmental Conferences: ~ point 1.1.3

10. The European Council takes note of theReport by the Committee of Governors of theCentral Banks, of the draft stature and of the

Bull. EC 12-1990

draft Treaty on Economic and Monetary Unionsubmitted by the Commission.

The European Council notes that the Intergovern-mental Conferences on Political Union and Econ-omic and Monetary Union will open in Rome on15 December 1990. The Conferences will take dueaccount of the opinions given by the EuropeanParliament and by the Commission under Article236 of the Treaty.

The European Council confirms that the work ofthe twO Conferences will proceed in parallel andshould be concluded rapidly and at the same time.The results will be submitted for ratification simul-taneously with the objective of ratification beforethe end of 1992.

The European Council takes note of the Presidentreport on his discussions with the EuropeanParlia-ment concerning, inter alia the contacts betweenthe Conferences and the European Parliament.

The European Council decides to take the fullestaccount of the European Parliament's views duringthe Intergovernmental Conferences and at the timeof their conclusion.

Internal market

It References:

White Paper on completing the internal market: anarea without internal frontiers: COM(85) 310; Bull. EC

1985, poiurs 1.3. 1 to 1.3.Commission report on progress in completing the

internal market: COM(90) 552; Bull. EC 11-1990, point1.3.

Commission communication on trans-European net"works: ~ point 1.3.

Council conclusions on the new V AT arrangements:~ point 1.3.4

Council conclusions on the new excise dutiesarrangements: ~ point 1.3.5

1.11. The European Council took note of the

Commission report on the progress made towardscompletion of the internal market.

The report shows that the main features of thelarge European internal market are now present.The credibility which the project has therebyacquired has given rise to a feeling of anticipationon the part of economic operators who, in theirturn , are helping to speed up the process.

On the subject of indirect taxation, the EuropeanCouncil took note of the results recently achieved.As regards VAT and excise duties, it considers thatproceedings must be completed in the near futureand be accompanied by the approximation necess.ary to satisfy the requirements of a true internalmarket.


All the advantages of tbe large market will fullyemerge only if it is supported by a major transportenergy and telecommunications infrastructure net-work. The European Council welcomed the Com-mission proposal in this area.

The European Council invites the Council, theCommission, the European Parliament and theMember States to make every effort to ensure thatall the measures concerning the internal marketand embodied in the programme annexed to theCommission communication are adopted in 1991.Since the time available is short, it requests thatan assessment be made of the work that remains

to be done. The European Council undertakesto take every useful initiative to ensure that thedeadline of 1 January 1993 is met.

It underlines the importance of timely implemen.tation and adequate enforcement of agreed meas-ures and notes with satisfaction that the measurestaken by the Commission and the Member Statesto effect the full and rapid incorporation of thedirective into national law have made it possibleto reduce the delay that has occurred.

Free movement of persons

Reference:Conclusions of the Madrid European Council: Bull.

EC 6-1989, point 1.1.7Experts ' report on immigration policies and the social

integration of immigrants in the Community: BuIl. EC1990, point 1.2.190

1.12. The European Council notes with regretthat a delay has occurred in relation to the pro-gramme. It considers it necessary to give full scopeto the provisions of the Single Act on the freemovement of persons. It wants the necessarydecisions, in particular on the crossing of externalborders, to be taken at an early date to ensure thatthe 1 January 1993 deadline is met.

The European Council invites the Commission tosubmit, on the basis of information to be providedby the Member States, the study which has beenannounced on measures designed to reinforce theinfrastructure necessary for controls at external

borders.

The European Council took note of the reports onimmigration and asks the General Affairs Counciland the Commission to examine the most appro-priate measures and actions regarding aid tocountries of emigration, entry conditions and aidfor social integration, taking particular account ofthe need for a harmonized policy on the right ofasylum.

Transport policy

It References:

Proposal for a Directive on the harmonization of thestrUctures of excise duty on mineral oils: OJ C 32221.12.1990; COM(9O) 434; Bull EC 9-1990, point 1.2.

Amended proposal for a Council Directive on thecharging of transport infrastructure costs to heavy goodsvehicles: COM(9O) 54Q; Bull. EC 11-1990, point 1.3.182

Harmonaauon of condftronsof competition

1.13. The European Council noted the Com-mission s latest proposals, which address certainaspects of the problem (excise duties on fuel, taxeS,tolls). It asks the Council to reach decisions by 30June 1991.

Netherlands memorandum

14. Having taken note of the TransportCouncil's report on this matter, the EuropeanCouncil requests the Commission and the Councilto take the necessary decisions to ensure that the

deadline of 1 January 1993 is met. The EuropeanCouncil stresses the importance of making pro-gresson the other aspects of the common transportpolicy (relationship with the environment, socialaspects and major infrastructures).

Situation of peripheral countries

1.15. The European Council calls for special heedto be paid to the .situation of the peripheralcountries in the context of the common transportpolicy.

Social dimension

References:Commission communication ~oncerning the action

programme for the implementation of the CommunityCharter of Fundamental Social Rights: COM(89) 568;Bull. EC 11-1989, point 2.1.80

Commission proposals to the Council for threeDirectives on atypical work: OJ C 224, 8. 1990; Bull.EC 6-1990, points 1.3.70 to 1.3.

Commission memorandum on the rationalizationand coordination of Community vocational training pro-grammes: Bull. EC 7/8-1990, point 1.3.

Opinion of the Steering Group on the creation of aEuropean oc~upational and geographical mobility areaand improving the operation of the labour market inEurope: Bull. EC 7/8-1990, point 1.3.

Agreement of the Social Dialogue Steering Group:Bull. EC 1/2-1990, point 1.1.91

BulL EC 12- 1990


Third Community action programme on equalopportunities for women and men: COM(90) 449; Bull.EC 10-1990, point 1.3.

1.16. The European Council referred to the needin the context of European integration, to give

equal weight to social aspects and to economicaspects. The establishment of the large single mar-ket must result in a genuine improvement inemployment and in the living and working con.ditions of all Community citizens.

The European Council stresses the importance ofpressing ahead more actively with the applicationof the action programme for the implementationof the Social Charter.

This applies in particular to the proposals health protection and safety at work, which shouldbe adopted without delay in order to ensure thatthe Community s legislation in the essential area

of social protection is complete.

With regard to the other proposals on workingconditions and industrial relations (including non-standard employment), vocational training, freemovement of workers, the information and consul-tation of workers and equal treatment for menand women , the European Council requests thatproceedings be speeded up, starting with the mat.ters on which rapid progress is possible. It asksthat in each case the solutions sought should be

those which best serve the spirit of the SocialCharter, taking account of the respective responsi-bilities of the Community, the Member States andthe social partners, the aim of creating anddeveloping employment and the need to respectthe different.customs and traditions of the MemberStates in the social area.

The European Council emphasizes the importanceof the family as an essential aspect of solidarity

and social cohesion. It also stresses the importanceof the support which young people can bring toEuropean integration and hopes that Communityaction in both these areas will be extended.

Combating drllgsand organized crime

It References:

Meeting of the European Coordinators' Group onDrugs (Celad), Brussels , 29 and 30 May 1990, and prep-aration of guidelines for a European programme to com-bat drugs: BulI. EC 5-1990, point 1.2.250

Condusions of the Dublin European Council, 25 and26 June 1990: Bull. EC 6-1990, point 1.16

Proposal for a Directive on the manufacture and theplacing on the market of certain substances used in theillicit manufacture of narcotic drugs and psychotropicsubstances: COM(90) 597; -+ point 1.3.

Bull. EC 12-1990

Council Regulation (EEC) No 3677/90 laying downmeasures to be taken to discourage the diversion ofcertain substances for the illicit manufacture of narcoticdrugs and psychotropic substances: OJ L 35720. 12.1990; -+ point 1.3.

Council agreement on the proposal for a Directiveon prevention of use of the financial system for thepurpose of money laundering: -+ point 1.3.

1.17. The European Council notes the consider~

able importance attaching to the systematic andsustained strengthening of the action taken by theCommunity and its Member States to combatdrugs and organized crime.

It asks the bodies responsible to ensure rapid

implementation of the programme drawn up byCelad, with particular regard to the objective ofreducing demand for drugs. It asks the Council toreach an agreement at its meeting on 17 Decemberon money laundering and expreSses the wish thata swift decision should be taken on the principleof a European Drug Monitoring Centre.

The European Council considers that policiestowards third countries must take account of theobjective of combating drugs.

The role of Celad should be to encourage andcoordinate Member States ' action at internationallevel.

External relations

Relations with European countries

1.18. The European Council held an in-depth dis-cussion on the Community s relations with otherEuropean countries , including the USSR, which

are especially important at a time when thegroundwork for the new structure of Europe isbeing established, in particular in the context ofthe CSCE.

The European Council adopted conclusions onrelations with the USSR and relations with thecountries of Central and Eastern Europe and theseare to be found in Part 2 of the present Con-

clusions.

Relations with the EFTA countries

.. References:

Condusions of the Dublin European Council: Bull.EC 6-1990, point 1.18

EEC/EFTA Ministerial Conference: -+ point 1.4.

1.19. Given the political importance of the nego-tiations with these countries, the European Councilhopes that the meeting at ministerial level on


19 December 1990 will enable decisive progress tobe made towards the conclusion of negotiationsnext spring.

Other third countries

Mediterranean policy

.. Reference: Council conclusions on the implementation

of a new Mediterranean policy: -+ point 1.4.

20. The European Council notes with .satisfac-tion the progress made in redirecting Mediter"ranean policy, which involves inter alia Com-munity support for structural adjustments. It asksthe Council to complete its discussions as quicklyas possible so that negotiations on the Financial

Protocols can be opened.

Relations with the countriesof Latin America

It References:

Council agreement on guidelines for technical andfinancial cooperation with developing countries in LatinAmerica and Asia (1991-2000): -+ point 1.4.

Proposal for a Council decision on general guidelinesfor technical and finandal cooperation with developingcountries in Latin America and Asia (1991-2000):-+ point 1.4.34

Ministerial Conference EEC/Latin Americancountries of the Rio Group: -+ point 1.4.

21. The European Council stresses the import-ance of relations between the Community and themember States of the Rio Group, as well as theother countries of Latin America. It hopes that theMinisterial Conference to be held in Rome on 20December 1990 will add a new dimension to itspolitical and economic ties.

Relations with the ACP countries

References:Commission Decision on the conclusion of the

Fourth ACP-EEC Lome Convention: COM(90) 302; Bull.EC 7/8-1990, point 1.4.49

Accession of Namibia to the ACP-EEC Lome Con-vention: OJ C 295 , 26. 11.1990; Bull. EC 10-1990, point1.4.28; -+ point 1.4.47

Commission communication on relieving the ACPcountries' debt to the Community: Bull. EC 11- 1990point 1.4.36

1.22. The European Council notes with satisfac-tion both the entry into force of the new LomeConvention at the beginning of next year and theplanned signing on 19 December 1990 concerningthe accession of Namibia to the Lome Convention.The European Council takes note of the recent

Commission communication concerning relief ofthe ACP countries ' debt to the Community andrequests a swift examination of that communi-cation by the appropriate bodies in accordance

with international strategy for debt management.

GATT

It References:

Council conclusions on the Community position inthe Uruguay Round negotiations: -+ point 1.4.

Uruguay Round Ministerial Conference in Brussels:-+ point 1.4.

1.23. The European Council regrets the develop-ments which have occurred in the Uruguay Roundnegotiations. It stresses that only a global approachbased on balanced concessions made by all partici-pants will enable the negotiations to be broughtto a successful conclusion. The European Councilpoints out that the aim of the negotiations is to

strengthen the open multilateral trading system , soas to make possible the further development ofworld trade, the extension of the system to newsectors and the introduction of a mechanism forthe settlement of disputes which prohibits recourseto unilateral action and on the contrary ensuresthe application of common rules.

The European Council asks all parties concernedto show the political will needed to resolve theseproblems and to endeavour to seek constructivesolutions to the problems outstanding. The Euro~pean Council calls upon the Commission as nego-tiator to step up its contacts with all the partici-pants in order to conclude a balanced agreementcovering all sectors in the shortest possible time.

Gulf crisis and the Middle East

24. The European Council discussed the Gulfcrisis and the situation in the Middle East andadopted the declarations in Annexes I , II and III.

South Africa

1.25. The European Council examined the waythe situation in South Africa .is developing andadopted the declaration given in Annex IV.

Annex I

Declaration on the Gulf crisis

411 References:Declarations by the Community and its Member

States in political cooperation: Bull. EC 7/8-1990, points

Bull. EC 12-1990


1.5. , 1.5.11, 1.5.14 and 1.5. 16; Bull. EC 9-1990, points1.4. 1.4.3 and 1.4.4; Bull. EC 11-1990, point 1.5.

Commission decisions on emergency aid and emer-gency food aid: Bull. EC 7/8-1990, points 1.4.65 and1.4.67; Bull. EC 9-1990, point 1.3.18; Bull. EC 10-1990,point 1.4.

Regulation (EEC) No 3155/90 amending Regulation(EEC) No 2340/90 preventing trade by the Communityas regards Iraq and Kuwait: OJ L 304, 1.11.1990; Bull.EC 10-1990, point 1.4.

Regulation (EEC) No 3557/90 on financial aid forthe countries most directly affected by the Gulf crisis:OJ L 347, 12. 12. 1990; ..... point 1.4,.

26. The European Community and its MemberStates remain firmly committed to full implemen-tation of the UN Security Council resolutions.Complete Iraqi withdrawal from Kuwait and therestoration of Kuwaiti sovereignty and of its legit-imate government remain the absolute conditionsfor a peaceful solution of the crisis.

Security Council Resolution 678 sends the clearestpossible signal to Iraq that the international com-munity is determined to ensure full restoration ofinternational legality. The responsibility lies on theIraqi Government to ensure peace for its peopleby complying fully with the demands of the UNSecurity Council, in particular by a complete with-drawal from Kuwait by 15 january.

The European Community and its Member Statesearnestly hope that implementation of the UNSecurity Council resolutions can be secured peace-fully. To this end, they support a dialogue of thesort President Bush has offered. They also favouraction by the UN Secretary-General and hope thatthe UN Security Council's Permanent Memberswill remain actively involved as well. They wishArab countries to continue to play an importantrole in the efforts for a peaceful solution. TheEuropean Community and its Member Statesunderline the value of a contact between the Presi-dency and the Foreign Minister of Iraq, aimed atsecuring, in coordination with other members ofthe international community, full compliance withUN Security Council resolutions.

The European Council expresses relief at Iraqdecision to release all foreign hostages, but under-lines its deep concern at Iraq s failure to withdrawat its oppressive and inhuman occupation ofKuwait and its attempt to destroy the fabric of thecountry.

Annex /I

Declaration on the Middle East

GI Reference: Conclusions of Rome European Council I:Bull. EC 10-1990, point 1.16

Bull. EC 12-1990

1.27. The European Council expresses its dismayat the continuing lack of clear prospects for asolution to the Arab-Israeli conflict and to thePalestinian problem, and at the renewed acts ofterrorism and violence. It expresses its deep con-cern at the rising incomprehension and tension inthe Occupied Territories. It renews its call to theparties concerned to refrain from violence whichcan only engender new violence. It expresses itsconcern about the Israeli practices of collectivereprisals, such as the destruction of houses orrestrictions on freedom of movement, and deploresthe recent decision to place moderate Palestiniansunder administrative arrest.

The European Council calls once again on Israelto comply with Resolutions 672 and 673 of the UNSecurity Council, to act in conformity with itsobligations under the Fourth Geneva Conventionon the Protection of the Civilian Population, andto cooperate with the United Nations. It welcomesthe recommendations by the UN Secretary-Generalin this regard and fully supports every effort of theUN Security Council to achieve a better protectionof the Palestinian population and to promote peacein the area. It reaffirms the determination of theEuropean Community and its Member States tofurther assist the Palestinian population in its seri-ous plight.

The European Council reiterates its longstandingcommitment to a just and lasting solution to theseproblems, in conformity with the relevant resol-utions of the UN Security Council and with theprinciples expressed by the European Communityin its previous declarations. To this end, the Euro-pean Council reaffirms its support for the principleof convening, at an appropriate time, an inter-national peace conference under the auspices ofthe UN.

The serious deterioration in the economic situationin the Occupied Territories is a source of greatconcern to the Community. In this connection, theEuropean Council reaffirms its commitment to theeconomic and social development of the Palestin.ian people and considers that, in the new circum-stances, the doubling of Community aid to theOccupied Territories decided on by the StrasbourgEuropean Council appears particularly appropri-ate and timely.

The European Council also considers it vital forall efforts to be made to create the conditionsfor facilitating and increasing trade between theOccupied Territories and the Community.

As expressed in its Declaration of 28 October 1990,the European Council remains .convinced thatrelations of mutual confidence and cooperationmust be encouraged among the countries of theregion, with a view to establishing a situation of


stability, security, economic and social well-being,and respect for civil and political rights, to fore-stalling the recurrence of crises, and to preventingthe spread of weapons of mass destruction. TheEuropean Community and its Member Statesremain ready to cooperate actively with thecountries concerned to achieve these goals and tocontribute to the success of the task entrusted

by the relevant resolutions to the UN Sel:retary-General to examine measures to enhance securityand stability in the region. In this connection, theEuropean Council reaffirms the importance of ameaningful and constructive Euro-Arab Dialogue.

Annex III

Declaration on Lebanon

It Reference: Condusions of the Madrid EuropeanCouncil: Bull. EC 6-1989, point 2.3.

1.28. The European Council expresses its satis-faction at the implementation of the security planin greater Beirut following the withdrawal of allmilitias from the Lebanese I:apital. It expresses thehope that the recent developments can foster theprol:eSS of national reconciliation and lead to thefull implementation of the T aif Agreements, thusbringing about the restoration of the sovereignty,independence, unity and territorial integrity of aLebanon free of all foreign troops and enablingthe Lebanese people to express their will throughfree elections.

It appeals to the parties concerned to release allremaining hostages.

The European Community and its Member Statesreaffirm their commitment to help provide Leb-anon with the assistance needed to build its futureand view favourably the participation of the Com-munity in the pledging conference for the creationof a Lebanon Assistance Fund.

Annex IV

Declaration on South Africa

It References:

Positive measures for the victims of apartheid: Bull.EC 9-1985, point 2.5.

Commission communication on reorientation of thespecial Community programme of measures to assist thevictims of apartheid in South Africa: Bull. EC 6-1990,point 1.4.48

Condusions of the Dublin European Council: Bull.EC 6-1990, point 1.38

1.29. The Community and its Member Stateshave consistently followed developments in SouthAfrica with the greatest attention and have givena favourable reception to the initiatives which havebeen taken to bring about the abolition of apart-heid and the establishment of a united, non-racialand democratic South Africa. They have alreadyexpressed approval of the results of the talks

between the Government and the ANC, in particu-lar those of the Pretoria meeting in August whichopened the way to the negotiation of a new consti-tution.

They deplore the phase of serious violence throughwhich South Africa is passing which may endangerthese developments. They welcome, howeverfurther indications serving to confirm that the pro-cess of change already begun is going ahead in thedirel:tion advocated by the Strasbourg EuropeanCouncil. They have decided to continue to encour-age this process.

Against this background, the European Councilhas decided that as soon as legislative action istaken by the South African Government to repealthe Group Areas Al:t and the Land Acts, the Com-munity and its Member States wiIlproceed to aneasing of the set of measures adopted in 1986.

As of now, so as to contribute to I:ombating unem-ployment and improving the economic and socialsituation in South Africa, and to enl:ourage themovement under way aimed at the complete abol-ition of apartheid, the European Council hasdecided to lift the ban on new investments.

At the same time, the Community and its MemberStates, with the objective of sending a clear signalof political support to the victims of apartheid,and intending to contribute to a new economicand social balance in South Africa, have agreed tostrengthen the programme of positive measuresand to adapt it to the requirements of the newsituation, including requirements related to thereturn and resettlement of the exiles.

The Community and its Member States hope inthis way to be able to contribute to the speeding

up of the process under way by sending to all theparties involved in negotiation a concrete sign ofsupport for the establishment of a new SouthAfrica, united, non-racial and democratic, andcapable of resuming the plal:e which it deserves inthe international community.

Concl usions of the Presidency(Part 2)

It References:Agreement between the European Economic Com-

munity and the Soviet Union on trade and commercial

Bull. EC 12-1990


and economic cooperation: OJ L 68, 15. 1990; Bun. EC1/2-1990, points 1.2.23 and 1.2.

Conclusions of the special meeting of the EuropeanCouncil, Dublin: Bun. EC 4-1990, point 1.8

Commission plan of action for coordinated assist-ance from the Group of 24 to Bulgaria, Czechoslovakia,the German Democratic Republic, Romania and Yugo-slavia: Bull. EC 5-1990, point 1.

Conclusions of Dublin European Council: Bun. EC1990, point 1.19

Council Regulation (EEC) No 2698/90 amendingRegulation (EEC) No 3906/89 in order to extend econ-omic aid given to Hungary and Poland to other countriesof Central and Eastern Europe: OJ L 257, 21.9.1990;Bull. EC 9-1990, point 1.3.3

Ministerial meeting of the Group of 24: Bull. EC 7/1990, point 1.4.

Conclusions of the Rome European Council I: Bun.EC 10-1990, points 1.8 and 1.9

Commission communication on measures tostrengthen export credit insurance and investment pro-tection and promotion in connection with . the countriesof Central .and Eastern Europe; proposal for a CouncilRegulation concerning the establishment of a reinsurancepool for export credits to Central and Eastern Europeancountries: Bull. EC 11-1990, point 1.4.3

Council decision authorizing the Commission tonegotiate European Agreements with the Czech and Slo.vak Federative Republic, the Republic of Hungary andthe Republic of poland: -+ point 1.4.

Proposal for a Council Regulation introducing a

CommunitY guarantee for exports of foodstuffs from theEuropean CommunitY to the Union of Soviet SocialistRepublics; proposal for a Council Regulation on urgentaction to supply agricultural products to the USSR , Rom.ania and Bulgaria: -+ point 1.4.

Relations with the USSR

1.30. The European Council fully supports thereforms undertaken by the President and the com-petent authorities of the Union. In order to contrib-ute to their success, it has adopted the followingguidelines for the short, medium and long term onthe basis of a Commission statement:

In order to satisfy the urgent food and healthrequirements reported by the authorities of theUnion, the Community will be making availableto the USSR food aid up to an amount of ECU750 million, 250 million of which will be in theform of gi&s under the 1990 farm budget. Therest will be in the form of a medium-term loanguarantee in accordance with the procedures laiddown by the Economic and Financial AffairsCouncil on 17 December. This aid will be routedin accordance with arrangements to be finalizedwith the authorities of the Union guaranteeingthat the aid actually reaches those for whom itis intended and does not jeopardize the gradualadvance towards normality of supplies in accord-ance with market rules. Such aid will commenceas soon as possible and will continue in 1991 underthe conditions as stated above, in the light ofdeveloping requirements.

Bull. EC 12-1990

Regarding the reorganization and rehabilitation ofthe Soviet economy, the European Council feelsthat the Community s role must, above all, be tocooperate with the USSR in order to help it tomobilize its own resources.

The Community will provide as soon as possibletechnical assistance in the fields of public andprivate management, financial services, energy,transport and foodstuffs distribution. With refer-ence to the energy sector, technical assistance

should give priority to nuclear safety, energy sav-ing, electricity, gas and oil transport systems andthe administrative and legal framework.

Technical assistance will be the subject of a practi-cal programme geared to specific projects and willbe eligible for overall support of ECU 400 millionin 1991 and a sum yet to be determined in 1992,to be released in tranches as projects actuallymaterialize.

In the case of longer-term economic relations insectors of common interest essential for the devel.opment of the Soviet economy, such as energy,telecommunications, transport and the agri-food-stuffs industry, the European Council requests theCommission to propose the instruments andframework for effective cooperation, with dueregard for the ideas put forward by the Nether-lands, Italy and the United Kingdom.

With regard, more generally, to energy and onthe basis in particular of the proposals from theNetherlands Prime Minister and the Commissionthe European Council deemed it necessary to insti-tute long-term cooperation in Europe, in order

to increase security of supplies, to optimize theexploitation of resources and investment, improvenetworks, increase trade and ensure more rationaluse of energy, which~in the light, particularly,of joint responsibility for the environment-willgreatly benefit the whole of Europe. The EuropeanCouncil hopes that an international conference canbe organized in 1991 to prepare a Pan-EuropeanEnergy Charter.

The Commission is requested to explore with theSoviet authorities the idea of a major agreementbetween the Community and the USSRencompassing a political dialogue and covering allaspects of close economic cooperation and cooper-ation in the cultural sphere, with a view to conclud-ing such an agreement as quickly as possible andcertainly by the end of 1991.

The Community s endeavours in the context ofcooperation with the Soviet Union support theobjective of the Government of the Union ofachieving its gradual integration into the worldeconomy. The Community and its Member Stateswill use their influence to facilitate the USSR'


membership of international financial institutionsin particular the IMF, which must form the mainframework for macroeconomic assistance.

The European Council would like the present pro-visions of the EBRD, which limit the possibility ofaid grants for the USSR, to be examined.

The European Council stresses the importance ofeffective coordination by the Commission of theefforts made by the Community and its MemberStates acting individually, including efforts in thefield of credits granted to ensure the urgent pro-vision of supplies to Soviet industry.

The European Council would like cooperationwith the USSR to be given priority by the Councilthe Commission and the European Parliament. Inparticular all the necessary measures, includingbudgetary decisions, will have to be decided on intime to make it possible for food aid to begin earlyin 1991 and to enable the Commission to makethe necessary arrangements to implement technicalassistance as quickly as possible.

Countries of Centraland Eastern Europe

1.31. Right from the start the Community hasadopted a clear policy of helping the countries ofCentral and Eastern Europe to succeed with theirpolitical and economic reforms. This policyinvolves actions and initiatives within the frame.work of the Group of 24 and bilateral cooperationwith each of the countries concerned. The Com-munity hopes to conclude 'European Agreementsas quickly as possible and these will mark a newstage in the Community policy of developingincreasingly close relations with those countries.

The general process of reform embarked on withthe help of such support is being threatened, how-ever, by external disturbances and constraints aris.ing from inter alia, the Gulf crisis, which are veryseriously affecting their financial situation.

The European Council agreed that initiatives willbe taken, within the framework of the Group of24 in particular, to meet the financing requirements

of those countries which are not covered by publicor private contributions and which are estimatedat USD 4 000 million.

The Community initiative could take the form offinancing over and above that provided by inter-national financial institutions, which would besubject to a time-limit and to which the Com-munity and the Member States would contributetogether with the other countries of G-24 andpossibly other third countries. Such aid would beconditional. It would be subject to agreement withthe IMF and would be granted on a case-by-casebasis, with the proviso that it met the real needsand specific conditions of each country in such away as to ensure maximum effectiveness.

The European Council noted, moreover, that atits meeting on 17 December 1990 the Economicand Financial Affairs Council would adopt thesecond tranche of ECU 260 million granted toHungary to support its balance of payments. Inaddition it confirmed that in the context 24 the Community would support the pro-

gramme undertaken by Czechoslovakia to stabilizeand modernize its economy and to make its cur.rency convertible.

The European Council decided on emergency aidof ECU 100 million in the form of food and med-icinal products for Bulgaria and Romania. Inaddition, the European Council called for urgentexamination of the problem arising for thesecountries because of the risk of interruption oftheir oil supplies. The countries estimated theirimmediate requirements at approximately ECU150 million.

The European Council asked the Council to pressahead with examination of the proposals on creditinsurance for exports to the countries of Central

and Eastern Europe, tabled by the Commission inline with the conclusions of the Dublin EuropeanCouncil on 28 April 1990.

Finally, the European Council stated that it wasfollowing recent developments in Albania withgreat interest, and it expressed the hope that thatcountry would gradually move towardsdemocracy.

Bull. EC 12- 1990

PRESS CONFERENCE BY PRES I DENT DElORS

BEFORE THE ROME EUROPEAN COUNC Il ON 14 AND 15 DECEMBER

Strasbourg, 12 December 1990

Introductory remarks

Lad I as and Gent I emen

You have seen the letter from Mr Andreott i, the I tal ian Pr ime Minister,setting the agenda for the upcoming European Counci I .

You know that the European Counci I. is responsible for assessing theprogress and problems of European integration. Its role Is

to provide impetus in oew areas or in the no-man land betweenpol itical cooperation and Community competences - in this case thepolicies to be implemented towards the Soviet Union and the countriesof eastern Europe

to go beyond the present Treaty - In this case a discussion, anexchange of views, on political union.

Let us loOk at the four topics in turn: the Gulf crisis, a progressreport on the Single European Act, pol icies towards the Soviet Unio~andthe countries of eastern EuroPa and, last but not least, political union.

On the Gulf crisis, you are aware of the recent decisions taken by theCouncil of Foreign Ministers, of the Community s intention to maintaina presence. A dialogue is beginning in circumstances of which you arewe II aware between the Un i ted States and I raq and the Commun i ty willbe there in the Parson of Mr De Michel is, the President of theCouncil. Undoubtedly, the situation in the Gulf, and therepercussions and aftermath of the cr Isis, wi II be discussed in depthat the dinner of the Heads of state and Government on Fr iday evening.

Other foreign policy Issues Wi" be dealt with concurrently by theForeign Ministers. The burning topics wi i I almost certainly includethe GATT negotiations and I believe that Mr Andriessen will be givenan opportunity of reviewing the situation and outlining theconclusions he has drawn.

on the pol ieies to be Implemented vis-a-vis the Soviet Union and thecountries of Central and Eastern Europe, J hardly need to remind youwhy the two are being considered together. It is a matter of equityand po I I t I ca 1 ba lance.

The European Counci I wi II have to answer four quest Ions. Three relateto the Soviet Union, the fourth to the countries of Central. andEastern Europe , given what has a I ready been done and what is now inhand.

- 2 -

The three quest ions re I at i ng to the Sov iet Un ion are:

(1) What substance are we to give to the trade and cooperationagreement signed between the Soviet Union and the Community,bear Ing in mind what we now know about the bi lateral agreementsthat certain countries have signed with the USSR? The Commissionwi II be making proposals on this.

(2) Is the Community prepared , as an extension to its pol iticaldeclarat ion in support of Mr Gorbachev s perestroika, to providebacking, at this difficult time, for the reforms proposed orInitiated by Mr Gorbachev in the two closely-linked areas ofeconom.1 c reform and i nst I tut ional reform?

(3) Finally, should we - as the last European Counci I suggested - beth ink i ng I n terms of a new broader-based agreement with the Sov letUnion that would go beyond the traditional avenues of cooperationand trade and embrace pol itical issues?

On the countr les of Centra I and Eastern Europe, we wi II beg in byappraising the trade and cooperation agreements signed with thosecountr les, and then move on to the coordlnat ion operat Ion mounted the Commission within the Group of 24 OECD countries.

We will also touch on the Commission practical proposal for amandate to negotiate ' European agreements . with the countries ofCentral and Eastern Europe , which would go further than trade andcooperation agreements, would be more comprehensive in economic termsand would cover pol itical and cultural aspects too, to make thesecountries feel that they are now part of the European fami Iy althoughthe conditions for accession to the Community are not yet satisfied.This in no way pre-empts the future. We need several blueprints fOfthe architecture .of the Greater Europe.

That said , the question now , in the wake of the initiatives taken bythe Comm i ss ion in the second ha I f of August is whether , over andabove the activities of the Group of 24, we should consider a specialoperation to fund the difficult period of transition that thesecountries are experiencing, in the light of recent developments thathave aggravated their situation: the Gulf crisis , the rise in oilprices and the other consequences of that crisis, the dismantl jng ofComecon rules and the indirect repercussions of German unification onthe terms of trade between them and the former German Democrat icRepubl ic.

We estimate the deterioration in the balance of payments of thecountries - Hungary, Czechoslovakia, Romania, Bulgaria, PolandYugoslavia at 14 to 18 bi II ion dollars. Thi.s allowsuncertainties but our diagnosis tends to coincide with theassessment of the s i tuat ion.

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Th~se then are the four questions the European Council will have totackle.

- 3 -

On political union. the Heads of State and Government will have athird opportunity. in an exchange of views. to clarify what theyunderstand by pol itical union and the points they see as Important.whether I t be widen i ng the Commun i ty ' s competences. enhanc I ng thedemocratic legitimacy of the Community and its Institutions. theeffectiveness of Community action or. finally. the move towardS acommon fore i gn and secur I ty po II Cy.

Besides the papers we already know about - which Include threePar I lament reports by Mr Mart In . Mr Colero and Mr Glscard d' Estalng -they wi II have before them the Commission s opinion of 21 October onpol itlcal union in accordance with Article 236 of the Treaty. Theywill also have a report produced by the personal representatives ofthe Foreign Ministers and a note setting out the Foreign Ministersconclusions drawn up under the responSibility of the President of theCounc il .

In the normal course of events they should issue a communique onpolitical union as they did for economic and monetary union. No doubtit wi II be less detal led since work is less advanced. After all, workon economIc and monetary union began for all practical purposes September 1988. whi Ie work on pol itical union only began In June ofthis year. But it will lay down the terms of reference fordiscussions at the Intergovernmental Conference that will open thenext day.

Finally. If time allows, the CommiSSion will report on implementationof the Single European Act at the Ital ianpresidency s request.

The record Is positive on the whole but I will be obi iged to mention afew points that are causing problems. including the common transportpoliCY. the common transport market , the disappointments over the socialdimension of the single market for highly specific reasons - whichincidental Iy in no way reflect on the Commission which has honoured allits commitments to the trade unions amongst others - the free movement ofpersons and last but not least . the problems of harm on i zing indirecttaxation and excise duties.

This is a somewhat more detal led bi II of fare than that given Mr Andreott i ' letter. So it was not a comp I ete waste of your timecoming here today.

Thank you.

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