EURO ZONE leaders will open the door to examine the need for any changes to the EU treaties at their summit tomorrow, but the process is set to be a long one with little prospect of any drive for a speedy amendment.
German chancellor Angela Merkel has been pushing to change the treaties to reinforce the management of the euro, giving Europe greater powers to impose its will on the economic policy of recalcitrant member states.
French president Nicolas Sarkozy backs her on this front. European Commission president José Manuel Barroso and outgoing European Central Bank chief Jean-Claude Trichet have also said the treaties may need to be changed.
The Government has no desire to go down this road, fearing it might be faced with a difficult referendum campaign to facilitate the change. However, draft summit conclusions to be signed off tomorrow by the leaders show that the question will not be tackled immediately. Only a passing reference is made to treaties and the conclusions do not go into any detail as to the nature of any proposed change.
European Council president Herman Van Rompuy will be asked tomorrow to examine how to strengthen Europe’s economic union to make it commensurate with the single-currency system.
He must produce an interim report by December but it is only in a follow-on report – to be produced in March or June next year – that the need for any treaty change may be raised.
While the leaders will not exclude that possibility, a senior European diplomat said the process would emphasise the need for a thorough analysis of new measures to strengthen the operation of the single currency.
These include the recently reinforced stability and growth pact, the EuroPlus agreement on measures to boost competitiveness, and the European semester budget review process. The draft conclusions leave open the question as to how far euro zone leaders might go beyond these initiatives.
“We need to focus on the what, only then on the how,” the senior European diplomat said.
The draft conclusions say Mr Van Rompuy will work in collaboration with Mr Barroso and euro-group president Jean-Claude Juncker to identify possible steps to bolster the euro zone’s rulebook. “The focus should be on how to further strengthen economic convergence within the euro area, to improve the effectiveness of the enforcement mechanisms, and to deepen fiscal integration,” it says.
It goes on to say Mr Van Rompuy’s full report will include a road map on how to implement his recommendations.
“This report will indicate any issues that require treaty change pursuant to article 48 of the Treaty on European Union.”
The article in question sets out the rules under which Europe can amend the treaty.
The draft sets out 10 further measures to improve the governance of the euro zone, including twice-yearly summits of the leaders of the 17 euro countries.
“Clear rules and mechanisms will be set up to improve communication and ensure more consistent messages,” it says.
