The Institutions

One of the greatest challenges to negotiators of Amsterdam was to streamline the Union's internal decision-making procedures …

One of the greatest challenges to negotiators of Amsterdam was to streamline the Union's internal decision-making procedures for enlargement. It was a challenge met, many would say, with limited success.

Indeed Amsterdam explicitly acknowledges the failure by providing for a further treaty-changing Inter-Governmental Conference before the Union expands beyond 20 member states "to carry out a comprehensive review of the provisions of the treaties on the composition and functions of the institutions"

The Council of Ministers

Qualified majority voting (QMV) : Although the heads of government agreed that a few more areas of policy would move from unanimity to qualified majority voting (see panels), unanimity is still the rule in crucial areas.

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Some of the new areas where QMV now applies include: the employment guidelines and incentive measures, social exclusion, equality of men and women, public health, transparency, countering fraud, customs co-operation, treatment of foreign nationals, and research.

Unanimity is retained in, among others, the following areas: citizenship rights, social security co-ordination, state aids, taxation, special financial assistance to member states, financial regulations, member states' contributions, excessive deficits, amendments to the treaties and to the statutes of the European Central Bank, structural funds and cohesion funds, some environmental provisions, the size of Commission, appointment of certain key positions, most foreign policy and security decisions, most inter-governmental co-operation under the Third Pillar, enlargement and association agreements with applicant countries . . .

Voting weights : The weighting of votes in the Council of Ministers is seen by the larger countries as favouring the smaller states. They sought a re-balancing, but agreement, linked to the desire to reduce the number of commissioners, was not forthcoming.

An institutional protocol attached to the treaty now provides that before the Union expands at all agreement will be reached on either a re-weighting of votes or a system of "dual majority" in which there is a requirement for a QMV majority to reflect a certain proportion of the Union's population.

The Commission

One of Ireland's principle concerns was to retain the right of every member state to at least one commissioner. It was successful in doing so although the four larger countries did agree in principle to give up their second commissioner if and when agreement on the re-weighting of votes in the Council of Ministers is agreed (see above).

Amsterdam also very significantly strengthens the power of the president of the Commission over the other members of the Commission and his/her own democratic credentials. The nominee of the member states will have to be approved by MEPs ahead of the nomination of the members of the Commission.

Most significantly, the member states agree to nominate their individual commissioners "by common accord with the nominee for President" and the college of commissioners remains subject to collective ratification by MEPs. It "shall work under the political guidance of its President" .

A declaration attached to the treaty notes the Commission's intention to reform its own structure and expresses the view that the President must enjoy some broad discretion on the issue.

The Parliament

Of the EU's triumvirate of institutions, the Council of Ministers, the Commission, and the European Parliament, the latter wins the most important extension of its powers from the new treaty.

MEPs wield most legislative power when they are operating in the process known as "co-decision", in which they are "co-legislators" with the Council of Ministers in the right to a final say over new laws. If agreement between the two institutions is not possible after conciliation talks, the Parliament may block legislation.

The scope of co-decision has been significantly expanded in the treaty to encompass most of the new powers created by it, but also extending the process to fields where it has traditionally not been used.

Those areas where MEPs gain new co-decision powers include legislation on employment, social policy, freedom of information, countering fraud, freedom of movement, various internal market regulations, transport, implementation of research decisions, and development policy.

The treaty cuts the numbers of different legislative procedures from over 20 to three while streamlining co-decision.

MEPs also gain some additional powers over the budgets in the foreign policy and justice co-operation fields. The treaty sets a ceiling of 700 MEPs in the Parliament after enlargement (626 now), and requires the Parliament to draw up proposals for a harmonised system of elections, almost certainly to be based on proportional representation. In order to ensure that small countries are not unduly squeezed by any future rebalancing of member states's MEP numbers once 700 is reached, the allocation must be done so that "the number of representatives elected in each member state must ensure appropriate representation of the peoples of the states brought together in the Community" .

A protocol also promises a better flow of information to national legislatures and co-ordination with the group representing national parliaments' European affairs committees (COSAC).

Other institutions

The European Court of Justice sees its remit extended to some aspects of police and justice co-operation. It will be able to review the legality of decisions taken under the Third Pillar and to interpret conventions between the member states.

The court will also be empowered to rule on the legality of the use of the flexibility provisions in the treaty.

Amsterdam strengthens the status of the Court of Auditors, the body which keeps watch on the Union's finances. It extends the right of both the Committee of the Regions and the Economic and Social Committee to be consulted on legislation. The latter draws together representatives of industry, unions, farm and social organisations.

Nowhere like home . . .

Amsterdam copperfastens the political agreement on the locations of the Union's institutions, most particularly the expensive bilocation of the parliament in Brussels and Strasbourg (Officially, its seat is in the latter, where it must meet 12 times a year). Its general secretariat is in Luxembourg, half way between the two cities!