The Cardiff summit next week should start the process of clearly demarcating the role of member-states and that of the EU, the German Chancellor, Dr Helmut Kohl, and President Chirac of France have said in a letter to the British Prime Minister, Mr Blair.
In their traditional eve-of-summit joint initiative - an important affirmation of Franco-German leadership in Europe - the two leaders warn that the EU must bridge the gap with its sceptical citizens by reassuring them that all decisions taken at EU level are both absolutely necessary and can genuinely not be taken at national level.
Dr Kohl and Mr Chirac want to see the summit make an important declaration on subsidiarity, one of Germany's strongest concerns in Europe - with Germany in election mode such a debate will provide an important platform for the Chancellor to flex his muscles in what may well be his last summit.
The letter argues that the EU must make it clear the intention is not to create a "European central state" while strengthening the capacity of the EU to do what it must - this is no Eurosceptical manifesto. In that context, the leaders suggest a discussion of the need for institutional changes the Amsterdam Treaty failed to make, particularly reform of the workings of the Council of Ministers.
The letter also suggests that the structures and services of the Commission "require a thorough change".
Some member-states are already lobbying behind the scenes for another mini-Inter-Governmental Conference next year to deal exclusively with institutional issues.
The discussion on these issues is likely to take place during one of the informal summit sessions over a meal when the British presidency has suggested a general debate on the "future of the EU". A British spokeswoman said that the presidency had no specific ideas to put forward but was sounding out views during Mr Blair's pre-summit tour of capitals.
The letter suggests that the opportunity should be used to work out a timetable for the political priorities of the EU in the years ahead.
