From SEA till Formation of European Union

Mohammed Ajmal Sreejish S

1

Chief Objective of SEA

• To add new momentum to the process of the European construction so as to complete the internal market.– Aiming to create a single market by 1992

"The Single Act means, in a few words, the commitment of implementing simultaneously the great market without frontiers, more economic and social cohesion, an European research and technology policy, the strengthening of the European Monetary System, the beginning of an European social area and significant actions in environment“

- Jacques Delors

How it helped overcoming difficulty?

• Agreeing and implementing to complete all requirements by removing– Physical barriers– Fiscal barriers– Technical barriers

Contributions of SEA

• Qualified majority voting instead of unanimity• Established the European Council, which

formalises the conferences or summits of the Heads of States and Government.

• Creates the foundations for the Court of First Instance (CFI)

Contributions of SEA

• Created single biggest market and trading power in the world in the world

• Gave community institutions responsibility over new policy areas

• Made economic and monetary union an EC objective and promoted cohesion-coordinate the monetary policy of the member States

• Setting up EAGGF, ERDF and ESF

Road towards European Union

“ To try to suppress nationhood and concentrate power at the centre of a European conglomerate would be highly damaging (...) We certainly do not need new regulations which raise the cost of employment and make Europe's labour market less flexible and less competitive with overseas suppliers (...) And certainly we in Britain would fight attempts to introduce collectivism and corporatism at the European level - although what people wish to do in their own countries is a matter for them ”

-Margaret Thatcher

“ History is accelerating and we should make it with her ”-Jacques Delors

Road towards European Union

• What may be the external factors contributed towards integration?• External• Internal

Road towards European Union

• Collapse of communism– Fall of Berlin wall– Disintegration of USSR and Yugoslavia

• Unified Germany-overpowering France and UK

• Francois Mitterand & Helmut Kohl-encouraging European integration process

• Change in political position of EEC

Road towards European Union

• Political Union — Sleeping Beauty and the princes.’ In 1992, inspired by the fairy tale La Belle au Bois Dormant, Sleeping Beauty, written by the French author Charles Perrault, German cartoonist, Hanel, illustrates the efforts of the German Chancellor, Helmut Kohl, and of the President of the French Republic, François Mitterrand, to promote the implementation of a European Political Union, while the British Prime Minister, John Major, is quite lukewarm about the idea.

Road towards European Union

• Financial uncertainty during the period– Devaluation of Lira and Pound– Stock Exchange crash(1987)

• 1990- two IGCs– Monetary and Economic Union– Political Union

Delors Report (1989)

• Jacques Delors – EC president 1985– Entered at an age of “Eurosclerosis”– Phases of economic integration– Outline of EMU– Steps for Common market

Treaty of Maastricht

• Milestone of EU development• Signed on 7/Feb/1992• Came to force in 1/Nov/1993

Driving forces

• 1986-1993; Period of major change• Final stages of cold war• Collapse of USSR• Fall of berlin wall (1989)

Driving forces

• Reunification of Germany– Helmut Kohl(German chancellor)– François Mitterrand(French president )

• Democratization in communist states• Need for common market• Need for political union

“the future architecture of Germany must be fitted into the future architecture of Europe as a whole”

- Helmut Kohl

Economic policy of EU

• Implemented in three phases– Free circulation of capital (1990-1993)– Coordination to meet fixed objective(1994-1999)• Convergence Criteria

– New currency and European Central Bank(199-2002)

Pillars of EU

First Pillars

• First Pillar – European Communities– Democratic structure character of EU

• Principle of subsidiarity– No insolvent in national issues

• European Citizenship• Cohesion– Redistribution of money

Second Pillar

• Common Foreign and Security Policy(CFSP)• Unified Voice of Europe• Proposed common defence policy

Third Pillar

• Justice and home affairs(JHA)• Judicial and civil cooperation• Control of external borders• Foundation of Europol(European Police office)

Challenges faced by TEU

• European economic crisis• Failed to solve Yugoslavia war– Unable to implement CFSP

• Monetary tension on EMS and EMU

• Ratification failed in Denmark, Less public support in France

Challenges faced by TEU

Challenges faced by TEU

References

• http://www.telegraph.co.uk/news/worldnews/europe/6181087/Timeline-history-of-the-European-Union.html• http://europa.eu/about-eu/eu-history/index_en.htm

http://europa.eu/about-eu/eu-history/1990-1999/index_en.htm• http://en.wikipedia.org/wiki/Delors_Commission• http://www.historiasiglo20.org/europe/acta.htm• http://www.historiasiglo20.org/europe/maastricht.htm

• http://europa.eu/legislation_summaries/institutional_affairs/treaties/treaties_maastricht_en.htm

• http://www.historiasiglo20.org/europe/maastricht.htm• http://www.e-ir.info/2011/02/26/why-is-the-maastricht-treaty-

considered-to-be-so-significant/