Mr President, Members of the Council, Ms Halonen, the start of Finland's first presidential term in the European Union marks a time of great change. Parliament, in its new assembly, will start newly invigorated by its recently acquired constitutional rights as bestowed on it under the Treaty of Amsterdam; in place of the former Commission that resigned before its term was over we await the appointment of the new Commission, and Council is preparing for reforms in its working practices. The undeniable fact is that we shall be unable to restore the confidence of the people in the Union to take decisions, without reforming the way we do things and this concerns all institutions: the Commission, the Council and Parliament. One of the most pressing matters we are expecting Parliament and the Council to resolve is a proper arrangement relating to members' pay and expenses. The reform of the Union's institutions is a crucial part of the Finnish presidential programme, as Ms Halonen mentioned in her speech. We note with particular satisfaction that the programme includes an aim to reform working practices in the Council. The principle of transparency will be promoted in a very real sense with the development of open sessions of the Council, better accessibility to documents, and the general availability of Council and working party agendas and meeting schedules. In acknowledgement of decisions taken by the Cologne European Council, Finland will oversee preparations to convene an Intergovernmental Conference. The aim must be for a conference which leads to a new agreement to make enlargement possible and create the right conditions for more effective action on the part of the Union after enlargement has taken place. It must be said, however, that the efficient functioning of the Union has already met with obstacles during this session. I cannot help wondering why the right-wing group in the Parliament is attempting to postpone the appointment of the Commission using the report by the Committee of Independent Experts as an excuse. I shall be frank and say that tactics like these will make it difficult for the Finnish Presidency to succeed. We must speed up the drawing up of the report and the proper debate on it in Parliament in every way possible, but we cannot surrender the legal rights of the Parliament to an unofficial investigative body and give in to the timetable it imposes. We also need to strengthen the Union's credibility, to enable us to become fully involved in serious problems that are our responsibility, the most pressing of which is the drawing up of the timetable for the rebuilding programme in Kosovo. That will be the start of our task to strengthen stability in the whole Balkan region. The Finnish President, Martti Ahtisaari, made a sound contribution to the achievement of a solution for Kosovo, showing that a non-aligned state can also successfully represent the common view of the Union as a whole. A properly functioning Union is a pre-condition of a successful conclusion to the enlargement process that is under way in respect of the countries of Central and Eastern Europe. The starting point must be insistence on uniform membership criteria, which also means an attempt at the truth when discussing a timetable for enlargement. Finland has quite rightly pointed out that it is necessary to connect the enlargement process with Europe's influence on developments in the areas of environmental protection and social welfare. The aim must be sustainable development and the inclusion of the issue of environmental protection in all community policy, which means obligations not only for future members but for the present members also. The enlargement process can make headway if co-operation with the Union's neighbouring regions is strengthened. The northern dimension policy, which has been approved by the Union, covers inter alia co-operation in the Baltic region, but it also supports the implementation of the approved strategy on Russia. The main issue in need of reform is genuine cross-border co-operation, which needs to be strengthened. Another current challenge for the Union also is the realisation of economic and monetary union in a way that will generate jobs. So there are various challenges. Finally, I would sincerely like to wish the Finnish Presidency luck in the implementation of its programme, favourably inclined as it is, to reform. (Applause)

Political group: PSE