Draft Treaty establishing a Constitution for Europe
Date: 2003-07-18
Institutions: European Council
Subjects: European Constitution, Treaty on European Union

Draft

TREATY
ESTABLISHING A

CONSTITUTION FOR EUROPE

Adopted by consensus by the European Convention on 13 June and 10 July 2003

SUBMITTED TO THE PRESIDENT OF THE EUROPEAN COUNCIL IN ROME

— 18 July 2003 —

(2003/C 169/01)

18.7.2003

EN

Official Journal of the European Union

C 169/3

TABLE OF CONTENTS

PREFACE …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PREAMBLE …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART I …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE I -

DEFINITION AND OBJECTIVES OF THE UNION …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE II -

FUNDAMENTAL RIGHTS AND CITIZENSHIP OF THE UNION …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE III - UNION COMPETENCES …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE IV - THE UNION'S INSTITUTIONS …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter I -

The institutional framework …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter II - Other institutions and bodies …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE V -

EXERCISE OF UNION COMPETENCE …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter I -

Common provisions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter II -

Specific provisions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter III -

Enhanced cooperation …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE VI - THE DEMOCRATIC LIFE OF THE UNION …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE VII - THE UNION'S FINANCES …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE VIII - THE UNION AND ITS IMMEDIATE ENVIRONMENT …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE IX - UNION MEMBERSHIP …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART II: THE CHARTER OF FUNDAMENTAL RIGHTS OF THE UNION …. . . . . . . . . . . . . . . . . . . . . . . . . .

PREAMBLE …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE I -

DIGNITY …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE II -

FREEDOMS …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE III -

EQUALITY …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE IV -

SOLIDARITY …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE V -

CITIZENS' RIGHTS …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE VI -

JUSTICE …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE VII -

GENERAL PROVISIONS GOVERNING THE INTERPRETATION AND APPLICATION OF THE
CHARTER …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART III: THE POLICIES AND FUNCTIONING OF THE UNION …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE I -

CLAUSES OF GENERAL APPLICATION …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE II -

NON-DISCRIMINATION AND CITIZENSHIP …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE III -

INTERNAL POLICIES AND ACTION …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter I - Internal market …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 1 - Establishment of the Internal Market …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 2 - Free movement of persons and services …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 1 - Workers …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 2 - Freedom of establishment …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 3 - Freedom to provide services …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Page

7

8

8

8

9

10

12

12

15

16

16

17

19

19

20

21

21

22

22

23

24

25

25

27

28

28

29

29

29

30

30

30

31

31

32

33

C 169/4

EN

Official Journal of the European Union

18.7.2003

Section 3 - Free movement of goods …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 1 - Customs Union …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 2 - Customs cooperation …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 3 - Prohibition of quantitative restrictions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 4 - Capital and payments …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 5 - Rules on competition …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 1 - Rules applying to undertakings …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 2 - Aids granted by Member States …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 6 - Fiscal provisions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 7 - Approximation of legislation …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter II - Economic and monetary policy …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 1 - Economic policy …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 2 - Monetary policy …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 3 - Institutional provisions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 3a - Provisions specific to Member States which are part of the euro area …. . . . . . . . . . . . . . . . .

Section 4 - Transitional provisions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter III - Policies in other specific areas …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 1 - Employment …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 2 - Social policy …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 1 - The European Social Fund …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 3 - Economic, social and territorial cohesion …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 4 - Agriculture and fisheries …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 5 - Environment …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 6 - Consumer protection …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 7 - Transport …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 8 - Trans-European networks …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 9 - Research and Technological Development, and Space …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 10 - Energy …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter IV - Area of freedom, security and justice …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 1 - General provisions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 2 - Policies on border checks, asylum and immigration …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 3 - Judicial cooperation in civil matters …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 4 - Judicial cooperation in criminal matters …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 5 - Police cooperation …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Page

33

33

34

34

34

35

35

36

37

38

39

39

42

43

44

45

47

47

48

50

50

51

52

53

54

55

55

57

57

57

58

59

60

61

18.7.2003

EN

Official Journal of the European Union

C 169/5

Chapter V - Areas where the union may take coordinating, complementary or supporting action …. . . .

Section 1 - Public health …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 2 - Industry …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 3 - Culture …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 4 - Education, vocational training, youth and sport …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 5 - Civil protection …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 6 - Administrative cooperation …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE IV - ASSOCIATION OF THE OVERSEAS COUNTRIES AND TERRITORIES …. . . . . . . . . . . . . . . . . . . . . . .

TITLE V - THE UNION'S EXTERNAL ACTION …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter I - Provisions having general application …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter II - Common foreign and security policy …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 1 - The common security and defence policy …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 2 - Financial provisions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter III - Common commercial policy …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter IV - Cooperation with third countries and humanitarian aid …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 1 - Development cooperation …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 2 - Economic, financial and technical cooperation with third countries …. . . . . . . . . . . . . . . . . . . .

Section 3 - Humanitarian aid …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter V - Restrictive measures …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter VI - International agreements …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter VII - The Union's relations with international organisations and third countries and Union
delegations …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter VIII - Implementation of the solidarity clause …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

TITLE VI - THE FUNCTIONING OF THE UNION …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Chapter I - Provisions governing the institutions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 1 - The Institutions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 1 - The European Parliament …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 2 - The European Council …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 3 - The Council of Ministers …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 4 - The Commission …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 5 - The Court of Justice …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 6 - The Court of Auditors …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 2 - The Union's advisory bodies …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 1 - The Committee of the Regions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Subsection 2 - The Economic and Social Committee …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 3 - The European Investment Bank …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 4 - Provisions common to Union institutions, bodies and agencies …. . . . . . . . . . . . . . . . . . . . . . . . .

Page

61

61

62

63

63

64

64

64

65

65

66

68

70

70

71

71

71

72

72

72

74

74

74

74

74

74

76

76

76

77

81

82

82

83

83

84

C 169/6

EN

Official Journal of the European Union

18.7.2003

Chapter II - Financial provisions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section 1 - The multiannual financial framework …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section 2 - The Union's annual budget …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section 3 - Implementation of the budget and discharge …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section 4 - Common provisions …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Section 5 - Combating fraud …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Chapter III - Enhanced cooperation …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
TITLE VII - COMMON PROVISIONS …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART IV: GENERAL AND FINAL PROVISIONS …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
PROTOCOL ON THE ROLE OF NATIONAL PARLIAMENTS IN THE EUROPEAN UNION …. . . . . . . . . . . . . . .
PROTOCOL ON THE APPLICATION OF THE PRINCIPLES OF SUBSIDIARITY AND PROPORTIONALITY …

PROTOCOL ON THE REPRESENTATION OF CITIZENS IN THE EUROPEAN PARLIAMENT AND THE
WEIGHTING OF VOTES IN THE EUROPEAN COUNCIL AND THE COUNCIL OF MINISTERS …. . . . . . . . . .
PROTOCOL ON THE EURO GROUP …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
PROTOCOL AMENDING THE EURATOM TREATY …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

DECLARATION ATTACHED TO THE PROTOCOL ON THE REPRESENTATION OF CITIZENS IN THE
EUROPEAN PARLIAMENT AND THE WEIGHTING OF VOTES IN THE EUROPEAN COUNCIL AND THE
COUNCIL OF MINISTERS …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
DECLARATION ON THE CREATION OF A EUROPEAN EXTERNAL ACTION SERVICE …. . . . . . . . . . . . . . . . . .

DECLARATION IN THE FINAL ACT OF SIGNATURE OF THE TREATY ESTABLISHING THE CONSTITU-
TION …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
List of members of the European Convention …. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Page

85

85

86

87

87

88

88

90

91

94

95

96

97

98

99

99

99

100

18.7.2003

EN

Official Journal of the European Union

C 169/7

PREFACE

to Parts I and II of the draft Treaty establishing a Constitution for Europe submitted to the
European Council meeting in Thessaloniki on 20 June 2003.

Noting that the European Union was coming to a turning point in its existence, the European Council
which met in Laeken, Belgium, on 14 and 15 December 2001 convened the European Convention on the
Future of Europe.

The Convention was asked to draw up proposals on three subjects: how to bring citizens closer to the
European design and European Institutions; how to organise politics and the European political area in an
enlarged Union; and how to develop the Union into a stabilising factor and a model in the new world
order.

The Convention has identified responses to the questions put in the Laeken declaration:
— it proposes a better division of Union and Member State competences;
— it recommends a merger of the Treaties and the attribution of legal personality to the Union;
— it establishes a simplification of the Union's instruments of action;
— it proposes measures to increase the democracy, transparency and efficiency of the European Union, by
developing the contribution of national Parliaments to the legitimacy of the European design, by
simplifying the decision-making processes, and by making the functioning of the European Institutions
more transparent and comprehensible;

— it establishes the necessary measures to improve the structure and enhance the role of each of the

Union's three institutions, taking account, in particular, of the consequences of enlargement.

The Laeken declaration also asked whether the simplification and reorganisation of the Treaties should not
pave the way for the adoption of a constitutional text. The Convention's proceedings ultimately led to the
drawing up of a draft Treaty establishing a Constitution for Europe, which achieved a broad consensus at
the plenary session on 13 June 2003.

That is the text which it is our privilege to present today, 20 June 2003, to the European Council meeting
in Thessaloniki, on behalf of the European Convention, in the hope that it will constitute the foundation
of a future Treaty establishing the European Constitution.

Valéry Giscard d'Estaing

Président de la Convention

Giuliano Amato

Vice-Président

Jean-Luc Dehaene

Vice-Président

C 169/8

EN

Official Journal of the European Union

18.7.2003

Draft
TREATY ESTABLISHING A CONSTITUTION FOR EUROPE

PREAMBLE

Our Constitution ... is called a democracy because power is in the hands not of a minority but of the greatest number.

Thucydides II, 37

Conscious that Europe is a continent that has brought forth civilisation; that its inhabitants, arriving in
successive waves from earliest times, have gradually developed the values underlying humanism: equality of
persons, freedom, respect for reason,

Drawing inspiration from the cultural, religious and humanist inheritance of Europe, the values of which,
still present in its heritage, have embedded within the life of society the central role of the human person
and his or her inviolable and inalienable rights, and respect for law,

Believing that reunited Europe intends to continue along the path of civilisation, progress and prosperity,
for the good of all its inhabitants, including the weakest and most deprived; that it wishes to remain a
continent open to culture, learning and social progress; and that it wishes to deepen the democratic and
transparent nature of its public life, and to strive for peace, justice and solidarity throughout the world,

Convinced that, while remaining proud of their own national identities and history, the peoples of Europe
are determined to transcend their ancient divisions and, united ever more closely, to forge a common
destiny,
Convinced that, thus ‘united in its diversity’, Europe offers them the best chance of pursuing, with due
responsibilities towards future
regard for
generations and the Earth, the great venture which makes of it a special area of human hope,

the rights of each individual and in awareness of

their

Grateful to the members of the European Convention for having prepared this Constitution on behalf of
the citizens and States of Europe,

[Who, having exchanged their full powers, found in good and due form, have agreed as follows:]

PART I

TITLE I

Article 2

DEFINITION AND OBJECTIVES OF THE UNION

The Union's values

Article 1

Establishment of the Union

The Union is founded on the values of respect for human
dignity, liberty, democracy, equality, the rule of law and respect
for human rights. These values are common to the Member
States in a society of pluralism, tolerance, justice, solidarity and
non-discrimination.

this Constitution establishes

Reflecting the will of the citizens and States of Europe to
1.
build a common future,
the
European Union, on which the Member States confer compe-
tences to attain objectives they have in common. The Union
shall coordinate the policies by which the Member States aim to
achieve these objectives, and shall exercise in the Community
way the competences they confer on it.

The Union shall be open to all European States which
its values and are committed to promoting them

2.
respect
together.

Article 3

The Union's objectives

The Union's aim is to promote peace, its values and the

1.
well-being of its peoples.

The Union shall offer its citizens an area of

2.
security and justice without
market where competition is free and undistorted.

freedom,
frontiers, and a single

internal

18.7.2003

EN

Official Journal of the European Union

C 169/9

The Union shall work for the sustainable development of
3.
Europe based on balanced economic growth, a social market
economy, highly competitive and aiming at full employment
and social progress, and with a high level of protection and
improvement of
shall
promote scientific and technological advance.

the environment.

the quality of

It

It shall combat social exclusion and discrimination, and shall
promote social justice and protection, equality between women
and men, solidarity between generations and protection of
children's rights.

jeopardise the attainment of
Constitution.

the objectives set out

in the

Article 6

Legal personality

The Union shall have legal personality.

TITLE II

It shall promote economic, social and territorial cohesion, and
solidarity among Member States.

FUNDAMENTAL RIGHTS AND CITIZENSHIP OF THE UNION

The Union shall respect its rich cultural and linguistic diversity,
and shall ensure that Europe's cultural heritage is safeguarded
and enhanced.

Article 7

Fundamental rights

4.
In its relations with the wider world, the Union shall
uphold and promote its values and interests. It shall contribute
to peace, security, the sustainable development of the earth,
solidarity and mutual respect among peoples, free and fair trade,
eradication of poverty and protection of human rights and in
particular children's rights, as well as to strict observance and
development of
for the
principles of the United Nations Charter.

including respect

international

law,

5.
These objectives shall be pursued by appropriate means,
depending on the extent to which the relevant competences are
attributed to the Union in the Constitution.

Article 4

Fundamental freedoms and non-discrimination

1.
Free movement of persons, goods, services and capital,
and freedom of establishment shall be guaranteed within and by
the Union, in accordance with the provisions of the Constitu-
tion.

2.
In the field of application of the Constitution, and without
prejudice to any of its specific provisions, any discrimination on
grounds of nationality shall be prohibited.

Article 5

Relations between the Union and the Member States

identities of

the national

The Union shall respect

1.
the
Member States, inherent in their fundamental structures, poli-
inclusive of regional and local self-
tical and constitutional,
their essential State functions,
government.
including those for ensuring the territorial integrity of the State,
and for maintaining law and order and safeguarding internal
security.

It shall

respect

Following the principle of loyal cooperation, the Union
2.
and the Member States shall, in full mutual respect, assist each
other in carrying out tasks which flow from the Constitution.

the
The Member States shall
Union's tasks and refrain from any measure which could

facilitate the achievement of

The Union shall recognise the rights, freedoms and prin-
in the Charter of Fundamental Rights which

1.
ciples set out
constitutes Part II of the Constitution.

2.
The Union shall seek accession to the European Conven-
tion for the Protection of Human Rights and Fundamental
Freedoms. Such accession shall not affect the Union's compe-
tences as defined in the Constitution.

Fundamental

3.
rights, as guaranteed by the European
Convention for the Protection of Human Rights and Funda-
mental Freedoms, and as they result from the constitutional
traditions common to the Member States, shall constitute
general principles of the Union's law.

Article 8

Citizenship of the Union

1.
Every national of a Member State shall be a citizen of the
Union. Citizenship of the Union shall be additional to national
citizenship; it shall not replace it.

2.
Citizens of the Union shall enjoy the rights and be subject
to the duties provided for in the Constitution. They shall have:

— the right to move and reside freely within the territory of

the Member States;

— the right to vote and to stand as candidates in elections to
the European Parliament and in municipal elections in their
Member State of residence, under the same conditions as
nationals of that State;

— the right to enjoy,

in the territory of a third country in
which the Member State of which they are nationals is not
represented, the protection of the diplomatic and consular
authorities of any Member State on the same conditions as
the nationals of that State;

— the right to petition the European Parliament, to apply to
the European Ombudsman, and to address the Institutions
and advisory bodies of the Union in any of the Constitu-
languages and to obtain a reply in the same
tion's
language.

C 169/10

EN

Official Journal of the European Union

18.7.2003

These rights shall be exercised in accordance with the
3.
conditions and limits defined by the Constitution and by the
measures adopted to give it effect.

Article 11

Categories of competence

TITLE III

UNION COMPETENCES

Article 9

Fundamental principles

The limits of Union competences are governed by the
is

1.
principle of conferral. The use of Union competences
governed by the principles of subsidiarity and proportionality.

Under

the principle of conferral,

2.
the Union shall act
within the limits of the competences conferred upon it by the
Member States in the Constitution to attain the objectives set
out in the Constitution. Competences not conferred upon the
Union in the Constitution remain with the Member States.

Under the principle of subsidiarity, in areas which do not
3.
fall within its exclusive competence the Union shall act only if
and insofar as the objectives of the intended action cannot be
sufficiently achieved by the Member States, either at central level
or at regional and local level, but can rather, by reason of the
scale or effects of the proposed action, be better achieved at
Union level.

The Union Institutions shall apply the principle of subsidiarity
as laid down in the Protocol on the application of the principles
of subsidiarity and proportionality, annexed to the Constitution.
National Parliaments shall ensure compliance with that principle
in accordance with the procedure set out in the Protocol.

4.
Under the principle of proportionality, the content and
form of Union action shall not exceed what is necessary to
achieve the objectives of the Constitution.

The Institutions shall apply the principle of proportionality as
laid down in the Protocol referred to in paragraph 3.

1. When the Constitution confers on the Union exclusive
competence in a specific area, only the Union may legislate and
adopt legally binding acts, the Member States being able to do
so themselves only if so empowered by the Union or for the
implementation of acts adopted by the Union.

2. When the Constitution confers on the Union a compe-
tence shared with the Member States in a specific area, the
Union and the Member States shall have the power to legislate
and adopt legally binding acts in that area. The Member States
shall exercise their competence to the extent that the Union has
not exercised, or has decided to cease exercising, its competence.

3.
The Union shall have competence to promote and coord-
inate the economic and employment policies of the Member
States.

The Union shall have competence to define and imple-
including the

4.
ment a common foreign and security policy,
progressive framing of a common defence policy.

5.
In certain areas and in the conditions laid down in the
Constitution, the Union shall have competence to carry out
actions to support, coordinate or supplement the actions of
the Member States, without thereby superseding their compe-
tence in these areas.

6.
The scope of and arrangements for exercising the Union's
competences shall be determined by the provisions specific to
each area in Part III.

Article 12

Exclusive competence

The Union shall have exclusive competence to establish
the

1.
the competition rules necessary for the functioning of
internal market, and in the following areas:

— monetary policy,
adopted the euro,

for

the Member States which have

Article 10

Union law

— common commercial policy,

— customs union,

1.
The Constitution, and law adopted by the Union's Institu-
tions in exercising competences conferred on it, shall have
primacy over the law of the Member States.

— the conservation of marine biological resources under the

common fisheries policy.

2. Member States shall take all appropriate measures, general
or particular, to ensure fulfilment of the obligations flowing
from the Constitution or resulting from the Union Institutions'
acts.

2.
the
The Union shall have exclusive competence for
conclusion of an international agreement when its conclusion
is provided for in a legislative act of the Union, is necessary to
to exercise its internal competence, or affects an
enable it
internal Union act.

18.7.2003

EN

Official Journal of the European Union

C 169/11

Article 13

Article 15

Areas of shared competence

The common foreign and security policy

The Union shall share competence with the Member States
1.
where the Constitution confers on it a competence which does
not relate to the areas referred to in Articles 12 and 16.

Shared competence applies in the following principal

2.
areas:

— internal market,

— area of freedom, security and justice,

— agriculture and fisheries, excluding the conservation of

marine biological resources,

— transport and trans-European networks,

— energy,

— social policy, for aspects defined in Part III,

— economic, social and territorial cohesion,

— environment,

— consumer protection,

The Union's competence in matters of common foreign
1.
and security policy shall cover all areas of foreign policy and all
questions relating to the Union's security, including the progres-
sive framing of a common defence policy, which might lead to
a common defence.

2. Member States shall actively and unreservedly support the
Union's common foreign and security policy in a spirit of
loyalty and mutual solidarity and shall comply with the acts
adopted by the Union in this area. They shall refrain from
action contrary to the Union's interests or likely to impair its
effectiveness.

Article 16

Areas of

supporting, coordinating or complementary

action

The Union may take supporting, coordinating or comple-

1.
mentary action.

The areas for supporting, coordinating or complementary

2.
action shall be, at European level:

— common safety concerns in public health matters.

— industry,

3.
In the areas of research, technological development and
space, the Union shall have competence to carry out actions, in
particular to define and implement programmes; however, the
exercise of that competence may not result in Member States
being prevented from exercising theirs.

4.
In the areas of development cooperation and humani-
tarian aid, the Union shall have competence to take action and
that
conduct a common policy; however,
competence may not result in Member States being prevented
from exercising theirs.

the exercise of

Article 14

The coordination of economic and employment policies

The Union shall adopt measures to ensure coordination of
1.
the economic policies of the Member States,
in particular by
adopting broad guidelines for these policies. The Member States
shall coordinate their economic policies within the Union.

Specific provisions shall apply to those Member States

2.
which have adopted the euro.

The Union shall adopt measures to ensure coordination of
3.
the employment policies of the Member States, in particular by
adopting guidelines for these policies.

— protection and improvement of human health,

— education, vocational training, youth and sport,

— culture,

— civil protection.

3.
Legally binding acts adopted by the Union on the basis of
the provisions specific to these areas in Part III may not entail
harmonisation of Member States' laws or regulations.

Article 17

Flexibility clause

1.
If action by the Union should prove necessary within the
framework of the policies defined in Part III to attain one of the
objectives set by the Constitution, and the Constitution has not
provided the necessary powers, the Council of Ministers, acting
unanimously on a proposal from the Commission and after
obtaining the consent of the European Parliament, shall take the
appropriate measures.

2.
Using the procedure for monitoring the subsidiarity prin-
ciple referred to in Article 9(3), the Commission shall draw
Member States' national Parliaments' attention to proposals
based on this Article.

The Union may adopt initiatives to ensure coordination of

4.
Member States' social policies.

3.
Provisions adopted on the basis of this Article may not
entail harmonisation of Member States' laws or regulations in
cases where the Constitution excludes such harmonisation.

C 169/12

EN

Official Journal of the European Union

18.7.2003

TITLE IV

THE UNION'S INSTITUTIONS

C h a pte r I

THE INSTITUTIONAL FRAMEWORK

Article 18

The Union's Institutions

The Union shall be served by a single institutional frame-

1.
work which shall aim to:

— advance the objectives of the Union,

— promote the values of the Union,

— serve the interests of the Union, its citizens and its Member

States,

and ensure the consistency, effectiveness and continuity of the
policies and actions which it undertakes in pursuit of
its
objectives.

2.

This institutional framework comprises:

The European Parliament,

The European Council,

The Council of Ministers,

The European Commission,

The Court of Justice.

3.
Each Institution shall act within the limits of the powers
conferred on it in the Constitution, and in conformity with the
procedures and conditions set out in it. The Institutions shall
practice full mutual cooperation.

Article 19

The European Parliament

1.
The European Parliament shall, jointly with the Council of
Ministers, enact legislation, and exercise the budgetary function,
as well as functions of political control and consultation as laid
down in the Constitution. It shall elect the President of the
European Commission.

The European Parliament

shall be elected by direct
2.
universal suffrage of European citizens in free and secret ballot
for a term of five years. Its members shall not exceed seven
hundred and thirty-six in number. Representation of European
citizens shall be degressively proportional, with a minimum
threshold of four members per Member State.

Sufficiently in advance of the European Parliamentary elections
in 2009, and, as necessary thereafter for further elections, the
European Council shall adopt by unanimity, on the basis of a
proposal from the European Parliament and with its consent, a

decision establishing the composition of the European Parlia-
ment, respecting the principles set out above.

The European Parliament shall elect its President and its

3.
officers from among its members.

Article 20

The European Council

1.
The European Council shall provide the Union with the
necessary impetus for its development, and shall define its
general political directions and priorities. It does not exercise
legislative functions.

2.
The European Council shall consist of the Heads of State
or Government of the Member States, together with its Presi-
dent and the President of the Commission. The Union Minister
for Foreign Affairs shall take part in its work.

3.
The European Council shall meet quarterly, convened by
its President. When the agenda so requires, its members may
decide to be assisted by a minister and,
in the case of the
President of the Commission, a European Commissioner. When
the situation so requires, the President shall convene a special
meeting of the European Council.

Except where the Constitution provides otherwise, deci-

4.
sions of the European Council shall be taken by consensus.

Article 21

The European Council Chair

1.
The European Council shall elect its President, by qualified
majority, for a term of two and a half years, renewable once. In
the event of an impediment or
the
European Council can end his or her mandate according to the
same procedure.

serious misconduct,

2.

The President of the European Council:

— shall chair it and drive forward its work,

— shall ensure its proper preparation and continuity in coop-
eration with the President of the Commission, and on the
basis of the work of the General Affairs Council,

— shall endeavour to facilitate cohesion and consensus within

the European Council,

— shall present a report to the European Parliament after each

of its meetings.

The President of the European Council shall at his or her level
and in that capacity ensure the external representation of the
Union on issues concerning its common foreign and security
policy, without prejudice to the responsibilities of the Union
Minister for Foreign Affairs.

The President of the European Council may not hold a

3.
national mandate.

18.7.2003

EN

Official Journal of the European Union

C 169/13

Article 22

The Council of Ministers

consist of the majority of Member States, representing at least
three fifths of the population of the Union.

The Council of Ministers shall, jointly with the European
1.
Parliament, enact
legislation, exercise the budgetary function
and carry out policy-making and coordinating functions, as
laid down in the Constitution.

The Council of Ministers shall consist of a representative
2.
of each Member State at ministerial level for each of its forma-
tions. Only this representative may commit the Member State in
question and cast its vote.

3.
Except where the Constitution provides otherwise, deci-
sions of the Council of Ministers shall be taken by qualified
majority.

Article 23

Formations of the Council of Ministers

The Legislative and General Affairs Council shall ensure

1.
consistency in the work of the Council of Ministers.

When it acts in its General Affairs function, it shall, in liaison
with the Commission, prepare, and ensure follow-up to, meet-
ings of the European Council.

When it acts in its legislative function, the Council of Ministers
shall consider and, jointly with the European Parliament, enact
European laws and European framework laws,
in accordance
with the provisions of the Constitution. In this function, each
Member State's representation shall include one or two repre-
sentatives at ministerial level with relevant expertise, reflecting
the business on the agenda of the Council of Ministers.

2.
The Foreign Affairs Council shall, on the basis of strategic
guidelines laid down by the European Council, flesh out the
Union's external policies, and ensure that its actions are consis-
tent.
It shall be chaired by the Union Minister for Foreign
Affairs.

The European Council shall adopt a European decision
3.
establishing further formations in which the Council of Minis-
ters may meet.

The Presidency of Council of Ministers formations, other
4.
than that of Foreign Affairs, shall be held by Member State
representatives within the Council of Ministers on the basis of
equal rotation for periods of at least a year. The European
Council shall adopt a European decision establishing the rules
of such rotation, taking into account European political and
geographical balance and the diversity of Member States.

Article 24

Qualified majority

1. When the European Council or the Council of Ministers
takes decisions by qualified majority, such a majority shall

2. When the Constitution does not require the European
Council or the Council of Ministers to act on the basis of a
proposal of the Commission, or when the European Council or
the Council of Ministers is not acting on the initiative of the
the required qualified
Union Minister
majority shall consist of
the Member States,
representing at least three fifths of the population of the Union.

for Foreign Affairs,

two thirds of

3.
The provisions of paragraphs 1 and 2 shall take effect on
1 November 2009, after the European Parliament elections have
taken place, according to the provisions of Article 19.

4. Where the Constitution provides in Part III for European
laws and framework laws to be adopted by the Council of
Ministers according to a special
the
European Council can adopt, on its own initiative and by
unanimity, after a period of consideration of at least six months,
a decision allowing for the adoption of such European laws or
framework laws according to the ordinary legislative procedure.
The European Council shall act after consulting the European
Parliament and informing the national Parliaments.

legislative procedure,

Where the Constitution provides in Part III for the Council of
Ministers to act unanimously in a given area, the European
Council can adopt, on its own initiative and by unanimity, a
European decision allowing the Council of Ministers to act by
qualified majority in that area. Any initiative taken by the
to
European Council under this subparagraph shall be sent
national Parliaments no less than four months before any
decision is taken on it.

5. Within the European Council, its President and the Presi-
dent of the Commission do not vote.

Article 25

The European Commission

1.
The European Commission shall promote the general
European interest and take appropriate initiatives to that end. It
shall ensure the application of the Constitution, and steps taken
by the Institutions under the Constitution. It shall oversee the
application of Union law under the control of the Court of
Justice. It shall execute the budget and manage programmes. It
shall exercise coordinating, executive and management func-
tions, as laid down in the Constitution. With the exception of
the common foreign and security policy, and other cases
provided for in the Constitution,
it shall ensure the Union's
external representation. It shall initiate the Union's annual and
multiannual programming with a view to achieving interinstitu-
tional agreements.

2.
Except where the Constitution provides otherwise, Union
legislative acts can be adopted only on the basis of a Commis-
sion proposal. Other acts are adopted on the basis of a
Commission proposal where the Constitution so provides.

C 169/14

EN

Official Journal of the European Union

18.7.2003

The Commission shall consist of a College comprising its
3.
President, the Union Minister of Foreign Affairs/Vice-President,
and thirteen European Commissioners selected on the basis of a
system of equal rotation between the Member States. This
system shall be established by a European decision adopted by
the European Council on the basis of the following principles:

(a) Member States shall be treated on a strictly equal footing
as regards determination of the sequence of, and the time
spent by, their nationals as Members of the College; conse-
quently, the difference between the total number of terms
of office held by nationals of any given pair of Member
States may never be more than one;

(b) subject to point

(a), each successive College shall be so
composed as to reflect satisfactorily the demographic and
geographical range of all the Member States of the Union.

The Commission President shall appoint non-voting Commis-
sioners, chosen according to the same criteria as apply for
Members of the College and coming from all other Member
States.

for

their

the proposed lists, the President-elect shall select the thirteen
European Commissioners
competence, European
commitment, and guaranteed independence. The President and
the persons so nominated for membership of
the College,
including the future Union Minister for Foreign Affairs, as well
as the persons nominated as non-voting Commissioners, shall
be submitted collectively to a vote of approval by the European
Parliament. The Commission's term of office shall be five years.

3.

President of the Commission shall:

— lay down guidelines within which the Commission is to

work;

— decide its internal organisation, ensuring that it acts consis-

tently, efficiently and on a collegiate basis;

— appoint Vice-Presidents from among the members of the

College.

A European Commissioner or Commissioner shall resign if the
President so requests.

These arrangements shall take effect on 1 November 2009.

Article 27

4.
In carrying out its responsibilities, the Commission shall
be completely independent. In the discharge of their duties, the
European Commissioners and Commissioners shall neither seek
nor take instructions from any government or other body.

The Commission, as a College, shall be responsible to the
5.
European Parliament. The Commission President
shall be
responsible to the European Parliament for the activities of the
Commissioners. Under the procedures set out in Article III-243,
the European Parliament may pass a censure motion on the
Commission. If such a motion is passed, the European Commis-
sioners and Commissioners must all resign. The Commission
shall continue to handle everyday business until a new College
is nominated.

Article 26

The President of the European Commission

1.
Taking into account the elections to the European Parlia-
ment and after appropriate consultations, the European Council,
deciding by qualified majority, shall put to the European Parlia-
ment its proposed candidate for the Presidency of the Commis-
sion. This candidate shall be elected by the European Parliament
by a majority of its members. If this candidate does not receive
the required majority support,
the European Council shall
within one month propose a new candidate to the European
Parliament, following the same procedure.

Each Member State determined by the system of rotation
2.
shall establish a list of three persons,
in which both genders
shall be represented, whom it considers qualified to be a
European Commissioner. By choosing one person from each of

The Union Minister for Foreign Affairs

the President of

The European Council, acting by qualified majority, with
1.
the agreement of
shall
appoint the Union Minister for Foreign Affairs. He or she shall
conduct the Union's common foreign and security policy. The
European Council may end his or her tenure by the same
procedure.

the Commission,

2.
The Union Minister for Foreign Affairs shall contribute by
his or her proposals to the development of the common foreign
policy, which he or she shall carry out as mandated by the
Council of Ministers. The same shall apply to the common
security and defence policy.

3.
The Union Minister for Foreign Affairs shall be one of the
Vice-Presidents of the Commission. He or she shall be respon-
sible there for handling external relations and for coordinating
other aspects of the Union's external action. In exercising these
responsibilities within the Commission, and only for
these
responsibilities, the Union Minister for Foreign Affairs shall be
bound by Commission procedures.

Article 28

The Court of Justice

1.
The Court of Justice shall include the European Court of
Justice, the High Court and specialised courts. It shall ensure
respect for the law in the interpretation and application of the
Constitution.

Member States shall provide rights of appeal sufficient to ensure
effective legal protection in the field of Union law.

18.7.2003

EN

Official Journal of the European Union

C 169/15

The European Court of Justice shall consist of one judge
2.
from each Member State, and shall be assisted by Advocates-
General.

The High Court shall
include at least one judge per Member
State: the number shall be fixed by the Statute of the Court of
Justice.

The judges and the Advocates-General of the European Court of
Justice and the judges of the High Court, chosen from persons
whose independence is beyond doubt and who satisfy the
in Articles III-260 and III-261, shall be
conditions set out
appointed by common accord of
the
Member States for a term of six years, renewable.

the governments of

3.

The Court of Justice shall:

— rule on actions brought by a Member State, an Institution
or a natural or legal person in accordance with the provi-
sions of Part III;

— give preliminary rulings, at the request of Member State
courts, on the interpretation of Union law or the validity of
acts adopted by the Institutions;

— rule on the other cases provided for in the Constitution.

System of Central Banks and the European Central Bank. In
accordance with these same provisions, those Member States
which have not adopted the euro, and their central banks, shall
retain their powers in monetary matters.

the European Central
5. Within its areas of competence,
Bank shall be consulted on all proposed Union acts, and all
proposals for regulation at national
level, and may give an
opinion.

The decision-making organs of

6.
the European Central
Bank, their composition and operating methods are set out in
Articles III-84 to III-87, as well as in the Statute of the European
System of Central Banks and of the European Central Bank.

Article 30

The Court of Auditors

The Court of Auditors is the Institution which shall carry

1.
out the audit.

It shall examine the accounts of all Union revenue and

2.
expenditure, and shall ensure good financial management.

Chapter I I

OTHER INSTITUTIONS AND BODIES

It shall consist of one national of each Member State. In
3.
the performance of their duties, its members shall be completely
independent.

Article 29

Article 31

The European Central Bank

The Union's advisory bodies

The European Central Bank, together with the national
1.
central banks, shall constitute the European System of Central
Banks. The European Central Bank, together with the national
central banks of the Member States which have adopted the
Union currency, the euro, shall conduct the monetary policy of
the Union.

2.
The European System of Central Banks shall be governed
by the decision-making bodies of the European Central Bank.
The primary objective of the European System of Central Banks
shall be to maintain price stability. Without prejudice to the
objective of price stability,
it shall support general economic
policies in the Union with a view to contributing to the
achievement of the Union's objectives. It shall conduct other
Central Bank tasks according to the provisions of Part III and
the Statute of the European System of Central Banks and the
European Central Bank.

The European Central Bank is an Institution which has
3.
legal personality. It alone may authorise the issue of the euro. In
the exercise of
it shall be
independent. Union Institutions and bodies, and the govern-
ments of the Member States, shall undertake to respect this
principle.

its powers and for its finances,

4.
The European Central Bank shall adopt such measures as
are necessary to carry out its tasks in accordance with the
provisions of Articles III-77 to III-83 and Article III-90, and
with the conditions laid down in the Statute of the European

The European Parliament, the Council of Ministers and the
1.
Commission shall be assisted by a Committee of the Regions
and an Economic and Social Committee, exercising advisory
functions.

2.
The Committee of the Regions shall consist of representa-
tives of regional and local bodies who either hold a regional or
local authority electoral mandate or are politically accountable
to an elected assembly.

3.
The Economic and Social Committee shall consist of
representatives of organisations of employers, of the employed,
and of others representative of civil society, notably in socio-
economic, civic, professional and cultural areas.

4.
The members of the Committee of the Regions and the
Economic and Social Committee must not be bound by any
mandatory instructions. They shall be completely independent,
in the performance of
in the Union's general
their duties,
interest.

5.
Rules governing the composition of these Committees, the
designation of their members, their powers and their opera-
tions, are set out
in Articles III-292 to III-298. The rules
governing their composition shall be reviewed at regular inter-
vals by the Council of Ministers, on the basis of a Commission
in the light of economic, social and demographic
proposal,
developments within the Union.

C 169/16

EN

Official Journal of the European Union

18.7.2003

TITLE V

EXERCISE OF UNION COMPETENCE

In the cases specifically provided for in Article III-165, European
laws and European framework laws may be adopted at the
initiative of a group of Member States in accordance with
Article III-302.

C h a pte r I

COMMON PROVISIONS

Article 32

The legal acts of the Union

In exercising the competences conferred on it
the Union shall use as legal

in the
1.
instruments,
in
Constitution,
accordance with the provisions of Part
III, European laws,
European framework laws, European regulations, European
decisions, recommendations and opinions.

A European law shall be a legislative act of general application.
It shall be binding in its entirety and directly applicable in all
Member States.

A European framework law shall be a legislative act binding, as
to the result to be achieved, on the Member States to which it is
addressed, but leaving the national authorities entirely free to
choose the form and means of achieving that result.

A European regulation shall be a non-legislative act of general
application for the implementation of
legislative acts and of
certain specific provisions of the Constitution. It may either be
binding in its entirety and directly applicable in all Member
States, or be binding, as regards the result to be achieved, on all
Member States to which it is addressed, but leaving the national
authorities entirely free to choose the form and means of
achieving that result.

A European decision shall be a non-legislative act, binding in its
entirety. A decision which specifies
is
addressed shall be binding only on them.

those to whom it

Recommendations and opinions adopted by the Institutions
shall have no binding force.

2. When considering proposals
the
European Parliament and the Council of Ministers shall refrain
from adopting acts not provided for by this Article in the area
in question.

legislative acts,

for

Article 33

Legislative acts

European laws and European framework laws shall be
1.
adopted, on the basis of proposals from the Commission,
jointly by the European Parliament and the Council of Ministers
under the ordinary legislative procedure as set out in Article III-
302. If the two Institutions cannot reach agreement on an act, it
shall not be adopted.

2.
In the specific cases provided for by the Constitution,
European laws and European framework laws shall be adopted
by the European Parliament with the participation of
the
Council of Ministers, or by the latter with the participation of
the European Parliament, in accordance with special legislative
procedures.

Article 34

Non-legislative acts

The Council of Ministers and the Commission shall adopt
1.
European regulations or European decisions in the cases referred
to in Articles 35 and 36 and in the cases specifically provided
for in the Constitution. The European Council shall adopt
European decisions in the cases specifically provided for in the
Constitution. The European Central Bank shall adopt European
regulations and European decisions when authorised to do so
by the Constitution.

The Council of Ministers and the Commission, and the
2.
European Central Bank when so authorised in the Constitution,
adopt recommendations.

Article 35

Delegated regulations

1.
European laws and European framework laws may dele-
gate to the Commission the power to enact delegated regula-
tions to supplement or amend certain non-essential elements of
the European law or framework law.

The objectives, content, scope and duration of the delegation
shall be explicitly defined in the European laws and framework
laws. A delegation may not cover the essential elements of an
area. These shall be reserved for the European law or framework
law.

2.
The conditions of application to which the delegation is
subject shall be explicitly determined in the European laws and
framework laws. They may consist of the following possibilities:

— the European Parliament or the Council of Ministers may

decide to revoke the delegation;

— the delegated regulation may enter into force only if no
objection has been expressed by the European Parliament
or the Council of Ministers within a period set by the
European law or framework law.

For the purposes of
Parliament shall act by a majority of
Council of Ministers by a qualified majority.

the preceding paragraph, the European
its members, and the

18.7.2003

EN

Official Journal of the European Union

C 169/17

Article 36

Implementing acts

1. Member States shall adopt all measures of national
necessary to implement legally binding Union acts.

law

2. Where uniform conditions
implementing binding
Union acts are needed, those acts may confer implementing
powers on the Commission, or, in specific cases duly justified
and in the cases provided for in Article 39, on the Council of
Ministers.

for

The European laws shall lay down in advance rules and
3.
general principles for the mechanisms for control by Member
States of Union implementing acts.

Union implementing acts shall take the form of European
4.
implementing regulations or European implementing decisions.

Article 37

Principles common to the Union's legal acts

Unless the Constitution contains a specific stipulation, the
1.
in compliance with the procedures
Institutions shall decide,
in
applicable,
to be adopted in each case,
accordance with the principle of proportionality set out
in
Article 9.

the type of act

2.
European laws, European framework laws, European regu-
lations and European decisions shall state the reasons on which
they are based and shall refer to any proposals or opinions
required by the Constitution.

Article 38

Publication and entry into force

1.
European laws and framework laws adopted under the
ordinary legislative procedure shall be signed by the President of
the European Parliament and by the President of the Council of
Ministers. In other cases they shall be signed by the President of
the European Parliament or by the President of the Council of
Ministers. European laws and European framework laws shall be
published in the Official Journal of the European Union and
shall enter into force on the date specified in them or, in the
absence of such a stated date, on the twentieth day following
their publication.

2.
European regulations and European decisions which do
not specify to whom they are addressed or which are addressed
to all Member States shall be signed by the President of the
Institution which adopts them, shall be published in the Official
Journal of the European Union and shall enter into force on the
date specified in them or, in the absence of such a stated date,
on the twentieth day following their publication.

C h a pter I I

SPECIFIC PROVISIONS

Article 39

Specific provisions for implementing common foreign and
security policy

1.
The European Union shall conduct a common foreign and
security policy, based on the development of mutual political
solidarity among Member States, the identification of questions
of general
interest and the achievement of an ever-increasing
degree of convergence of Member States' actions.

2.
The European Council shall identify the Union's strategic
interests and determine the objectives of its common foreign
and security policy. The Council of Ministers shall frame this
policy within the framework of the strategic guidelines estab-
lished by the European Council and in accordance with the
arrangements in Part III.

The European Council and the Council of Ministers shall

3.
adopt the necessary European decisions.

4.
The common foreign and security policy shall be put into
effect by the Union Minister for Foreign Affairs and by the
Member States, using national and Union resources.

5. Member States
shall consult one another within the
European Council and the Council of Ministers on any foreign
and security policy issue which is of general interest in order to
determine a common approach. Before undertaking any action
on the international scene or any commitment which could
affect the Union's interests, each Member State shall consult the
others within the European Council or the Council of Ministers.
Member States shall ensure, through the convergence of their
actions, that the Union is able to assert its interests and values
on the international scene. Member States shall show mutual
solidarity.

6.
The European Parliament shall be regularly consulted on
the main aspects and basic choices of the common foreign and
security policy and shall be kept informed of how it evolves.

7.
European decisions relating to the common foreign and
security policy shall be adopted by the European Council and
in the cases
the Council of Ministers unanimously, except
referred to in Part III. The European Council and the Council
of Ministers shall act on a proposal from a Member State, from
the Union Minister for Foreign Affairs or from that Minister
with the Commission's support. European laws and European
framework laws are excluded.

Other decisions shall be notified to those to whom they

3.
are addressed and shall take effect upon such notification.

8.
The European Council may unanimously decide that the
Council of Ministers should act by qualified majority in cases
other than those referred to in Part III.

C 169/18

EN

Official Journal of the European Union

18.7.2003

Article 40

in order to protect the Union's values and serve its interests.
The execution of such a task shall be governed by Article III-
211.

Specific provisions

for

implementing

the

common

security and defence policy

1.
The common security and defence policy shall be an
integral part of the common foreign and security policy. It shall
provide the Union with an operational capacity drawing on
assets civil and military. The Union may use them on missions
outside the Union for peace-keeping, conflict prevention and
strengthening international security in accordance with the
principles of the United Nations Charter. The performance of
these tasks shall be undertaken using capabilities provided by
the Member States.

2.
The common security and defence policy shall include the
progressive framing of a common Union defence policy. This
will
lead to a common defence, when the European Council,
acting unanimously, so decides. It shall in that case recommend
to the Member States the adoption of such a decision in
accordance with their respective constitutional requirements.

The policy of the Union in accordance with this Article shall
not prejudice the specific character of the security and defence
policy of certain Member States and shall respect the obligations
of certain Member States, which see their common defence
realised in the North Atlantic Treaty Organisation, under the
North Atlantic Treaty, and be compatible with the common
security and defence policy established within that framework.

3. Member States shall make civilian and military capabilities
available to the Union for the implementation of the common
to contribute to the objectives
security and defence policy,
defined by the Council of Ministers. Those Member States which
together establish multinational
forces may also make them
available to the common security and defence policy.

Member States shall undertake progressively to improve their
military capabilities. A European Armaments, Research and
Military Capabilities Agency shall be established to identify
operational requirements, to promote measures to satisfy those
requirements, to contribute to identifying and, where appro-
implementing any measure needed to strengthen the
priate,
industrial and technological base of
to
participate in defining a European capabilities and armaments
policy, and to assist the Council of Ministers in evaluating the
improvement of military capabilities.

the defence sector,

implementation of

European decisions on the

4.
the
common security and defence policy, including those initiating
a mission as referred to in this Article, shall be adopted by the
Council of Ministers acting unanimously on a proposal from the
Union Minister for Foreign Affairs or from a Member State. The
Union Minister for Foreign Affairs may propose the use of both
national resources and Union instruments, together with the
Commission where appropriate.

Those Member States whose military capabilities fulfil
6.
higher criteria and which have made more binding commit-
ments to one another in this area with a view to the most
demanding missions
shall establish structured cooperation
within the Union framework. Such cooperation shall be
governed by the provisions of Article III-213.

7.
Until such time as the European Council has acted in
accordance with paragraph 2 of this Article, closer cooperation
shall be established, in the Union framework, as regards mutual
defence. Under this cooperation, if one of the Member States
participating in such cooperation is the victim of armed aggres-
sion on its territory, the other participating States shall give it
aid and assistance by all the means in their power, military or
the United Nations
other,
Charter.
In the execution of closer cooperation on mutual
defence, the participating Member States shall work in close
cooperation with the North Atlantic Treaty Organisation. The
detailed arrangements for participation in this cooperation and
its operation, and the relevant decision-making procedures, are
set out in Article III-214.

in accordance with Article 51 of

The European Parliament shall be regularly consulted on
8.
the main aspects and basic choices of the common security and
defence policy, and shall be kept informed of how it evolves.

Article 41

Specific provisions for implementing the area of freedom,
security and justice

The Union shall constitute an area of freedom, security

1.
and justice:

— by adopting European laws and framework laws intended,
where necessary, to approximate national laws in the areas
listed in Part III;

— by promoting mutual confidence between the competent
authorities of the Member States, in particular on the basis
of mutual recognition of judicial and extrajudicial decisions;

— by operational cooperation between the competent autho-
rities of the Member States,
including the police, customs
and other services specialising in the prevention and detec-
tion of criminal offences.

2. Within the area of freedom, security and justice, national
parliaments may participate in the evaluation mechanisms fore-
seen in Article III-161, and shall be involved in the political
monitoring of Europol and the evaluation of Eurojust's activities
in accordance with Articles III-177 and III-174.

The Council of Ministers may entrust the execution of a
5.
task, within the Union framework, to a group of Member States

In the field of police and judicial cooperation in criminal
initiative in

3.
matters, Member States shall have a right of
accordance with Article III-160 of the Constitution.

18.7.2003

EN

Official Journal of the European Union

C 169/19

Article 42

Solidarity clause

The Union and its Member States shall act jointly in a
1.
spirit of solidarity if a Member State is the victim of terrorist
attack or natural or man-made disaster. The Union shall mobi-
lise all the instruments at its disposal,
including the military
resources made available by the Member States, to:

(a) — prevent

the terrorist

threat

in the territory of

the

Member States;

— protect democratic institutions and the civilian popula-

tion from any terrorist attack;

— assist a Member State in its territory at the request of
its political authorities in the event of a terrorist attack;

(b) — assist a Member State in its territory at the request of
its political authorities in the event of a disaster.

be defined as a majority of the votes of the representatives of
the participating States, representing at least three fifths of the
population of those States. Where the Constitution does not
require the Council of Ministers to act on the basis of a
Commission proposal, or where the Council of Ministers is not
acting upon initiative of the Minister for Foreign Affairs, the
required qualified majority shall be defined as a majority of two
thirds of
the participating States, representing at least three
fifths of the population of those States.

4.
Acts adopted in the framework of enhanced cooperation
shall bind only participating States. They shall not be regarded
as an acquis which has to be accepted by candidates for
accession to the Union.

TITLE VI

THE DEMOCRATIC LIFE OF THE UNION

Article 44

The detailed arrangements for implementing this provision

2.
are at Article III-231.

The principle of democratic equality

Ch apte r I II

ENHANCED COOPERATION

Article 43

Enhanced cooperation

In all its activities, the Union shall observe the principle of the
equality of citizens. All shall receive equal attention from the
Union's Institutions.

Article 45

The principle of representative democracy

1. Member States which wish to establish enhanced coopera-
tion between themselves within the framework of the Union's
non-exclusive competences may make use of its Institutions and
exercise those competences by applying the relevant provisions
of the Constitution, subject to the limits and in accordance with
the procedures laid down in this Article and in Articles III-322
to III-329.

Enhanced cooperation shall aim to further the objectives of the
Union, protect its interests and reinforce its integration process.
Such cooperation shall be open to all Member States when it is
being established and at any time, in accordance with Article III-
324.

2.
Authorisation to proceed with enhanced cooperation shall
be granted by the Council of Ministers as a last resort, when it
has been established within the Council of Ministers that the
objectives of such cooperation cannot be attained within a
reasonable period by the Union as a whole, and provided that
it brings together at least one third of the Member States. The
Council of Ministers shall act in accordance with the procedure
laid down in Article III-325.

3.
Only members of the Council of Ministers representing
the States participating in enhanced cooperation shall take part
in the adoption of acts. All Member States may, however, take
part in the deliberations of the Council of Ministers.

The working of

1.
principle of representative democracy.

the Union shall be founded on the

2.
in the
Citizens are directly represented at Union level
European Parliament. Member States are represented in the
European Council and in the Council of Ministers by their
governments, themselves accountable to national parliaments,
elected by their citizens.

3.
Every citizen shall have the right to participate in the
democratic life of the Union. Decisions shall be taken as openly
as possible and as closely as possible to the citizen.

4.
Political parties at European level contribute to forming
European political awareness and to expressing the will of
Union citizens.

Article 46

The principle of participatory democracy

1.
The Union Institutions shall, by appropriate means, give
citizens and representative associations the opportunity to make
known and publicly exchange their views in all areas of Union
action.

Unanimity shall be constituted by the votes of the representa-
tives of the participating States only. A qualified majority shall

2.
The Union Institutions shall maintain an open, transparent
and regular dialogue with representative associations and civil
society.

C 169/20

EN

Official Journal of the European Union

18.7.2003

The Commission shall carry out broad consultations with
3.
parties concerned in order to ensure that the Union's actions
are coherent and transparent.

4.
No less than one million citizens coming from a signifi-
cant number of Member States may invite the Commission to
submit any appropriate proposal on matters where citizens
consider that a legal act of
the Union is required for the
purpose of
implementing the Constitution. A European law
shall determine the provisions for the specific procedures and
conditions required for such a citizens' initiative.

A European law shall lay down the rules relating to the
2.
protection of
individuals with regard to the processing of
personal data by Union Institutions, bodies and agencies, and
by the Member States when carrying out activities which come
under the scope of Union law, and the rules relating to the free
movement of such data. Compliance with these rules shall be
subject to the control of an independent authority.

Article 51

Article 47

Status of churches and non-confessional organisations

The social partners and autonomous social dialogue

The European Union recognises and promotes the role of the
social partners at Union level, taking into account the diversity
of national systems; it shall facilitate dialogue between the social
partners, respecting their autonomy.

The Union respects and does not prejudice the status
law of churches and religious associations or

1.
under national
communities in the Member States.

The Union equally respects the status of philosophical and

2.
non-confessional organisations.

Article 48

The European Ombudsman

Recognising their identity and their specific contribution,
transparent and regular

3.
the Union shall maintain an open,
dialogue with these churches and organisations.

A European Ombudsman appointed by the European Parlia-
ment shall receive, investigate and report on complaints about
maladministration within the Union Institutions, bodies or
agencies. The European Ombudsman shall be completely inde-
pendent in the performance of his or her duties.

TITLE VII

THE UNION'S FINANCES

Article 49

Article 52

Transparency of the proceedings of Union Institutions

Budgetary and financial principles

In order to promote good governance and ensure the
1.
participation of civil society, the Union Institutions, bodies and
agencies shall conduct their work as openly as possible.

2.
The European Parliament shall meet in public, as shall the
Council of Ministers when examining and adopting a legislative
proposal.

3.
Any citizen of the Union, and any natural or legal person
residing or having its registered office in a Member State shall
have a right of access to documents of the Union Institutions,
bodies and agencies in whatever form they are produced,
in
accordance with the conditions laid down in Part III.

A European law shall lay down the general principles and
4.
limits which, on grounds of public or private interest, govern
the right of access to such documents.

Each Institution,

5.
to in
body or
paragraph 3 shall determine in its own rules of procedure
specific provisions regarding access to its documents, in accor-
dance with the European law referred to in paragraph 4.

referred

agency

Article 50

Protection of personal data

Everyone has the right to the protection of personal data

1.
concerning him or her.

All

1.
items of Union revenue and expenditure shall be
included in estimates drawn up for each financial year and shall
be shown in the budget, in accordance with the provisions of
Part III.

The revenue and expenditure shown in the budget shall be

2.
in balance.

The expenditure shown in the budget shall be authorised
the annual budgetary period in accordance with the

3.
for
European law referred to in Article III-318.

The implementation of expenditure shown in the budget
4.
shall require the prior adoption of a binding legal act providing
a legal basis for Union action and for the implementation of the
expenditure in accordance with the European law referred to in
Article III-318. This act must take the form of a European law, a
European framework law, a European regulation or a European
decision.

5. With a view to maintaining budgetary discipline,
the
Union shall not adopt any act which is likely to have appre-
ciable implications for the budget without providing an assur-
ance that the proposal or measure in question is capable of
being financed within the limit of the Union's own resources
framework referred to in
and the multiannual
Article 54.

financial

18.7.2003

EN

Official Journal of the European Union

C 169/21

The Union's budget shall be implemented in accordance
6.
with the principle of sound financial management. Member
States shall cooperate with the Union to ensure that the appro-
priations entered in the budget are used in accordance with the
principles of sound financial management.

7.
The Union and the Member States shall counter fraud and
any other illegal activities affecting the financial interests of the
Union in accordance with the provisions of Article III-321.

TITLE VIII

THE UNION AND ITS IMMEDIATE ENVIRONMENT

Article 56

The Union and its immediate environment

Article 53

The Union's resources

The Union shall provide itself with the means necessary to

1.
attain its objectives and carry through its policies.

2. Without prejudice to other revenue, the Union's budget
shall be financed wholly from its own resources.

A European law of the Council of Ministers shall lay down
3.
the limit of
the Union's resources and may establish new
categories of resources or abolish an existing category. That
law shall not enter into force until it is approved by the Member
States in accordance with their respective constitutional require-
ments. The Council of Ministers shall act unanimously after
consulting the European Parliament.

A European law of

4.
lay down the
modalities relating to the Union's resources. The Council of
Ministers shall act after obtaining the consent of the European
Parliament.

the Council shall

The Union shall develop a special relationship with neigh-
1.
bouring States, aiming to establish an area of prosperity and
good neighbourliness, founded on the values of the Union and
characterised by close and peaceful relations based on coopera-
tion.

2.
For this purpose, the Union may conclude and implement
specific agreements with the countries concerned in accordance
with Article III-227. These agreements may contain reciprocal
rights and obligations as well as the possibility of undertaking
activities jointly. Their implementation shall be the subject of
periodic consultation.

TITLE IX

UNION MEMBERSHIP

Article 57

Conditions of eligibility and procedure for accession to
the Union

Article 54

The multiannual financial framework

1.
The Union shall be open to all European States which
respect the values referred to in Article 2, and are committed to
promoting them together.

financial

The multiannual

1.
framework shall ensure that
Union expenditure develops in an orderly manner and within
the own resources limits. It shall determine the amounts of the
annual ceilings for commitment appropriations by category of
expenditure in accordance with the provisions of Article III-308.

2.
A European law of the Council of Ministers shall lay down
the multiannual financial framework. The Council of Ministers
shall act after obtaining the consent of the European Parliament,
which shall be given by a majority of its component members.

The annual budget of the Union shall comply with the

3.
multiannual financial framework.

The Council of Ministers shall act unanimously when
framework following

4.
adopting the first multiannual
financial
the entry into force of the Constitution.

Article 55

The Union's budget

The European Parliament and the Council of Ministers shall, on
a proposal from the Commission and in accordance with the
arrangements laid down in Article III-310, adopt the European
law determining the Union's annual budget.

2.
Any European State which wishes to become a member of
the Union shall address its application to the Council of
Ministers. The European Parliament and the Member States'
national Parliaments shall be notified of this application. The
Council of Ministers shall act unanimously after consulting the
Commission and after obtaining the consent of the European
Parliament. The conditions and arrangements for admission
shall be the subject of an agreement between the Member States
and the candidate State. That agreement shall be subject to
ratification by each contracting State,
in accordance with its
respective constitutional requirements.

Article 58

Suspension of Union membership rights

On a reasoned proposal by one third of

1.
the Member
States, by the European Parliament or by the Commission, the
Council of Ministers, acting by a majority of four fifths of its
members after obtaining the consent of the European Parlia-
ment, may adopt a European decision determining that there is
a clear risk of a serious breach by a Member State of the values
mentioned in Article 2. Before making such a determination,
the Council of Ministers shall hear the Member State in question
and, acting in accordance with the same procedure, may address
recommendations to that State.

C 169/22

EN

Official Journal of the European Union

18.7.2003

The Council of Ministers shall regularly verify that the grounds
on which such a determination was made continue to apply.

For the purposes of paragraphs 1 and 2, the European
6.
Parliament shall act by a two-thirds majority of the votes cast,
representing the majority of its Members.

2.
The European Council, acting by unanimity on a proposal
by one third of the Member States or by the Commission and
after obtaining the consent of the European Parliament, may
adopt a European decision determining the existence of a
serious and persistent breach by a Member State of the values
mentioned in Article 2, after inviting the Member State in
question to submit its observations.

3. Where a determination under paragraph 2 has been made,
the Council of Ministers, acting by a qualified majority, may
the rights
adopt a European decision suspending certain of
deriving from the application of
the Constitution to the
Member State in question, including the voting rights of that
Member State in the Council of Ministers.
In so doing, the
Council of Ministers shall take into account the possible conse-
quences of such a suspension on the rights and obligations of
natural and legal persons.

That Member State shall in any case continue to be bound by its
obligations under the Constitution.

4.
The Council of Ministers, acting by a qualified majority,
may subsequently adopt a European decision varying or
revoking measures taken under paragraph 3 in response to
changes in the situation which led to their being imposed.

5.
For the purposes of this Article, the Council of Ministers
shall act without taking into account the vote of the Member
State in question. Abstentions by members present in person or
represented shall not prevent the adoption of decisions referred
to in paragraph 2.

Article 59

Voluntary withdrawal from the Union

1.
Any Member State may decide to withdraw from the
European Union in accordance with its own constitutional
requirements.

A Member State which decides to withdraw shall notify
2.
the European Council of its intention; the European Council
shall examine that notification. In the light of the guidelines
provided by the European Council, the Union shall negotiate
and conclude an agreement with that State, setting out the
arrangements for its withdrawal, taking account of the frame-
work for its future relationship with the Union. That agreement
shall be concluded on behalf of the Union by the Council of
Ministers, acting by a qualified majority, after obtaining the
consent of the European Parliament.

The representative of the withdrawing Member State shall not
participate in Council of Ministers or European Council discus-
sions or decisions concerning it.

3.
The Constitution shall cease to apply to the State in
question from the date of entry into force of the withdrawal
the notification
agreement or,
referred to in paragraph 2, unless the European Council,
in
agreement with the Member State concerned, decides to extend
this period.

two years after

failing that,

This paragraph shall also apply in the event of voting rights
being suspended pursuant to paragraph 3.

4.
If a State which has withdrawn from the Union asks to re-
join, its request shall be subject to the procedure referred to in
Article 57.

PART II

THE CHARTER OF FUNDAMENTAL RIGHTS OF THE UNION

PREAMBLE

The peoples of Europe, in creating an ever closer union among them, are resolved to share a peaceful future
based on common values.

Conscious of its spiritual and moral heritage, the Union is founded on the indivisible, universal values of
human dignity, freedom, equality and solidarity; it is based on the principles of democracy and the rule of
law. It places the individual at the heart of its activities, by establishing the citizenship of the Union and by
creating an area of freedom, security and justice. The Union contributes to the preservation and to the
development of these common values while respecting the diversity of the cultures and traditions of the
peoples of Europe as well as the national identities of the Member States and the organisation of their
public authorities at national, regional and local
it seeks to promote balanced and sustainable
development and ensures free movement of persons, goods, services and capital, and the freedom of
establishment.

levels;

18.7.2003

EN

Official Journal of the European Union

C 169/23

To this end, it is necessary to strengthen the protection of fundamental rights in the light of changes in
society, social progress and scientific and technological developments by making those rights more visible in
a Charter.

This Charter reaffirms, with due regard for the powers and tasks of the Union and the principle of
in particular, from the constitutional traditions and international
subsidiarity, the rights as they result,
obligations common to the Member States, the European Convention for the Protection of Human Rights
and Fundamental Freedoms, the Social Charters adopted by the Union and by the Council of Europe and the
case law of the Court of Justice of the European Union and of the European Court of Human Rights. In this
context the Charter will be interpreted by the courts of the Union and the Member States with due regard
to the explanations prepared at the instigation of the Praesidium of the Convention which drafted the
Charter.

Enjoyment of these rights entails responsibilities and duties with regard to other persons, to the human
community and to future generations.

The Union therefore recognises the rights, freedoms and principles set out hereafter.

TITLE I

DIGNITY

Article II-1

Human dignity

(a) the free and informed consent of the person concerned,

according to the procedures laid down by law,

(b) the prohibition of eugenic practices,
aiming at the selection of persons,

in particular

those

(c) the prohibition on making the human body and its parts

as such a source of financial gain,

Human dignity is inviolable. It must be respected and protected.

beings.

(d) the prohibition of

the reproductive cloning of human

Article II-2

Right to life

1.

Everyone has the right to life.

No one shall be condemned to the death penalty, or

2.
executed.

Article II-4

Prohibition of torture and inhuman or degrading treat-
ment or punishment

No one shall be subjected to torture or
degrading treatment or punishment.

to inhuman or

Article II-5

Article II-3

Prohibition of slavery and forced labour

Right to the integrity of the person

1.

No one shall be held in slavery or servitude.

Everyone has the right to respect for his or her physical

1.
and mental integrity.

No one shall be required to perform forced or compulsory

2.
labour.

In the fields of medicine and biology, the following must

2.
be respected in particular:

3.

Trafficking in human beings is prohibited.

C 169/24

EN

Official Journal of the European Union

18.7.2003

TITLE II

FREEDOMS

Article II-6

Right to liberty and security

Everyone has the right to liberty and security of person.

Article II-7

Respect for private and family life

Everyone has the right to respect for his or her private and
family life, home and communications.

Article II-8

Protection of personal data

Everyone has the right to the protection of personal data

1.
concerning him or her.

2.
Such data must be processed fairly for specified purposes
and on the basis of the consent of the person concerned or
some other legitimate basis laid down by law. Everyone has the
right of access to data which has been collected concerning him
or her, and the right to have it rectified.

Compliance with these rules shall be subject to control by

3.
an independent authority.

Article II-9

Right to marry and right to found a family

The right to marry and the right to found a family shall be
guaranteed in accordance with the national laws governing the
exercise of these rights.

The freedom and pluralism of

2.
respected.

the media shall be

Article II-12

Freedom of assembly and of association

Everyone has the right to freedom of peaceful assembly
1.
and to freedom of association at all
in particular in
political, trade union and civic matters, which implies the right
of everyone to form and to join trade unions for the protection
of his or her interests.

levels,

Political parties at Union level contribute to expressing the

2.
political will of the citizens of the Union.

Article II-13

Freedom of the arts and sciences

The arts and scientific research shall be free of constraint.
Academic freedom shall be respected.

Article II-14

Right to education

Everyone has the right to education and to have access to

1.
vocational and continuing training.

This right includes the possibility to receive free compul-

2.
sory education.

3.
The freedom to found educational establishments with due
respect for democratic principles and the right of parents to
ensure the education and teaching of their children in confor-
mity with their religious, philosophical and pedagogical convic-
tions shall be respected, in accordance with the national laws
governing the exercise of such freedom and right.

Article II-10

Article II-15

Freedom of thought, conscience and religion

Freedom to choose an occupation and right to engage in
work

1.
Everyone has the right to freedom of thought, conscience
and religion. This right includes freedom to change religion or
belief and freedom, either alone or in community with others
in
and in public or in private, to manifest religion or belief,
worship, teaching, practice and observance.

The right

2.
accordance with the national
this right.

to conscientious objection is recognised,

in
laws governing the exercise of

Article II-11

Freedom of expression and information

Everyone has the right to freedom of expression. This
1.
right shall
include freedom to hold opinions and to receive
and impart information and ideas without interference by public
authority and regardless of frontiers.

Everyone has the right to engage in work and to pursue a

1.
freely chosen or accepted occupation.

Every citizen of

2.
the Union has the freedom to seek
employment, to work, to exercise the right of establishment
and to provide services in any Member State.

Nationals of third countries who are authorised to work in
3.
the territories of the Member States are entitled to working
conditions equivalent to those of citizens of the Union.

Article II-16

Freedom to conduct a business

The freedom to conduct a business in accordance with Union
law and national laws and practices is recognised.

18.7.2003

EN

Official Journal of the European Union

C 169/25

Article II-17

Right to property

Article II-23

Equality between men and women

Everyone has the right

1.
to own, use, dispose of and
bequeath his or her lawfully acquired possessions. No one may
be deprived of his or her possessions, except in the public
interest and in the cases and under the conditions provided for
by law, subject to fair compensation being paid in good time for
their loss. The use of property may be regulated by law insofar
as is necessary for the general interest.

2.

Intellectual property shall be protected.

Article II-18

Right to asylum

The right to asylum shall be guaranteed with due respect for the
the Geneva Convention of 28 July 1951 and the
rules of
Protocol of 31 January 1967 relating to the status of refugees
and in accordance with the Constitution.

Article II-19

Protection in the event of removal, expulsion or extradi-
tion

1.

Collective expulsions are prohibited.

2.
No one may be removed, expelled or extradited to a State
where there is a serious risk that he or she would be subjected
to the death penalty, torture or other inhuman or degrading
treatment or punishment.

TITLE III

EQUALITY

Article II-20

Equality between men and women must be ensured in all areas,
including employment, work and pay.

The principle of equality shall not prevent the maintenance or
adoption of measures providing for specific advantages in
favour of the under-represented sex.

Article II-24

The rights of the child

1.
Children shall have the right to such protection and care
as is necessary for their well-being. They may express their
views freely. Such views shall be taken into consideration on
matters which concern them in accordance with their age and
maturity.

In all actions relating to children, whether taken by public
2.
authorities or private Institutions, the child's best interests must
be a primary consideration.

Every child shall have the right to maintain on a regular
3.
basis a personal relationship and direct contact with both his or
her parents, unless that is contrary to his or her interests.

Article II-25

The rights of the elderly

The Union recognises and respects the rights of the elderly to
lead a life of dignity and independence and to participate in
social and cultural life.

Equality before the law

Article II-26

Everyone is equal before the law.

Integration of persons with disabilities

Article II-21

Non-discrimination

The Union recognises and respects the right of persons with
disabilities to benefit from measures designed to ensure their
independence, social and occupational integration and participa-
tion in the life of the community.

1.
Any discrimination based on any ground such as sex, race,
colour, ethnic or social origin, genetic features, language, reli-
gion or belief, political or any other opinion, membership of a
national minority, property, birth, disability, age or sexual
orientation shall be prohibited.

2. Within the scope of application of the Constitution and
without prejudice to any of its specific provisions, any discrimi-
nation on grounds of nationality shall be prohibited.

Article II-22

Cultural, religious and linguistic diversity

The Union shall respect cultural, religious and linguistic diver-
sity.

TITLE IV

SOLIDARITY

Article II-27

Workers' right to information and consultation within the
undertaking

Workers or their representatives must, at the appropriate levels,
be guaranteed information and consultation in good time in the
cases and under the conditions provided for by Union law and
national laws and practices.

C 169/26

EN

Official Journal of the European Union

18.7.2003

Article II-28

Right of collective bargaining and action

To reconcile family and professional

life, everyone shall
2.
have the right
for a reason
to protection from dismissal
connected with maternity and the right to paid maternity leave
and to parental leave following the birth or adoption of a child.

Workers and employers, or their respective organisations, have,
in accordance with Union law and national laws and practices,
the right to negotiate and conclude collective agreements at the
appropriate levels and, in cases of conflicts of interest, to take
collective action to defend their interests, including strike action.

Article II-29

Right of access to placement services

Everyone has the right of access to a free placement service.

Article II-30

Protection in the event of unjustified dismissal

Every worker has the right to protection against unjustified
dismissal, in accordance with Union law and national laws and
practices.

Article II-31

Fair and just working conditions

Every worker has the right to working conditions which

1.
respect his or her health, safety and dignity.

2.
Every worker has the right to limitation of maximum
working hours, to daily and weekly rest periods and to an
annual period of paid leave.

Article II-32

Prohibition of child labour and protection of young
people at work

The employment of children is prohibited. The minimum age of
admission to employment may not be lower than the minimum
school-leaving age, without prejudice to such rules as may be
more favourable to young people and except for limited deroga-
tions.

Young people admitted to work must have working conditions
appropriate to their age and be protected against economic
exploitation and any work likely to harm their safety, health or
physical, mental, moral or social development or to interfere
with their education.

Article II-34

Social security and social assistance

1.
to
The Union recognises and respects the entitlement
social security benefits and social services providing protection
in cases such as maternity, illness, industrial accidents, depen-
dency or old age, and in the case of loss of employment, in
accordance with the rules laid down by Union law and national
laws and practices.

2.
Everyone residing and moving legally within the European
Union is entitled to social security benefits and social advan-
tages in accordance with Union law and national
laws and
practices.

3.
the
In order to combat social exclusion and poverty,
Union recognises and respects the right to social and housing
assistance so as to ensure a decent existence for all those who
lack sufficient resources, in accordance with the rules laid down
by Union law and national laws and practices.

Article II-35

Health care

Everyone has the right of access to preventive health care and
the right to benefit from medical treatment under the condi-
tions established by national laws and practices. A high level of
human health protection shall be ensured in the definition and
implementation of all Union policies and activities.

Article II-36

Access to services of general economic interest

The Union recognises and respects access to services of general
economic interest as provided for in national laws and practices,
in accordance with the Constitution, in order to promote the
social and territorial cohesion of the Union.

Article II-37

Article II-33

Environmental protection

Family and professional life

The family shall enjoy legal, economic and social protec-

1.
tion.

A high level of environmental protection and the improvement
of the quality of the environment must be integrated into the
the Union and ensured in accordance with the
policies of
principle of sustainable development.

18.7.2003

EN

Official Journal of the European Union

C 169/27

Article II-38

Consumer protection

Every person may write to the Institutions of the Union in
4.
one of the languages of the Constitution and must have an
answer in the same language.

Union policies shall ensure a high level of consumer protection.

Article II-42

TITLE V

CITIZENS' RIGHTS

Article II-39

Right of access to documents

Any citizen of
the Union, and any natural or legal person
residing or having its registered office in a Member State, has a
right of access to documents of the Institutions, bodies and
agencies of the Union, in whatever form they are produced.

Right to vote and to stand as a candidate at elections to
the European Parliament

Every citizen of the Union has the right to vote and to
1.
stand as a candidate at elections to the European Parliament in
the Member State in which he or she resides, under the same
conditions as nationals of that State.

2. Members of the European Parliament shall be elected by
direct universal suffrage in a free and secret ballot.

Article II-40

Right to vote and to stand as a candidate at municipal
elections

Every citizen of the Union has the right to vote and to stand as
a candidate at municipal elections in the Member State in which
he or she resides under the same conditions as nationals of that
State.

Article II-41

Right to good administration

Every person has the right

1.
to have his or her affairs
handled impartially, fairly and within a reasonable time by the
Institutions, bodies and agencies of the Union.

2.

This right includes:

Article II-43

European Ombudsman

Any citizen of
the Union and any natural or legal person
residing or having its registered office in a Member State has
the right to refer to the European Ombudsman cases of malad-
the Institutions, bodies or
ministration in the activities of
agencies of
the European
the Union, with the exception of
Court of Justice and the High Court acting in their judicial role.

Article II-44

Right to petition

Any citizen of
the Union and any natural or legal person
residing or having its registered office in a Member State has
the right to petition the European Parliament.

Article II-45

Freedom of movement and of residence

Every citizen of the Union has the right to move and

1.
reside freely within the territory of the Member States.

(a) the right of every person to be heard, before any individual
measure which would affect him or her adversely is taken;

Freedom of movement and residence may be granted, in
2.
accordance with the Constitution, to nationals of third countries
legally resident in the territory of a Member State.

(b) the right of every person to have access to his or her file,
while respecting the legitimate interests of confidentiality
and of professional and business secrecy;

(c) the obligation of the administration to give reasons for its

decisions.

Article II-46

Diplomatic and consular protection

3.
Every person has the right to have the Union make good
any damage caused by its Institutions or by its servants in the
in accordance with the general
performance of
principles common to the laws of the Member States.

their duties,

Every citizen of the Union shall,
in the territory of a third
country in which the Member State of which he or she is a
national
is not represented, be entitled to protection by the
diplomatic or consular authorities of any Member State, on the
same conditions as the nationals of that Member State.

C 169/28

EN

Official Journal of the European Union

18.7.2003

TITLE VI

JUSTICE

Article II-47

Right to an effective remedy and to a fair trial

Everyone whose rights and freedoms guaranteed by the law of
the Union are violated has the right to an effective remedy
before a tribunal in compliance with the conditions laid down
in this Article.

Everyone is entitled to a fair and public hearing within a
reasonable time by an independent and impartial
tribunal
previously established by law. Everyone shall have the possibility
of being advised, defended and represented.

Legal aid shall be made available to those who lack sufficient
resources insofar as such aid is necessary to ensure effective
access to justice.

Article II-48

Presumption of innocence and right of defence

Everyone who has been charged shall be presumed inno-

1.
cent until proved guilty according to law.

Respect for the rights of the defence of anyone who has

2.
been charged shall be guaranteed.

Article II-49

Principles of

legality and proportionality of criminal

offences and penalties

1.
No one shall be held guilty of any criminal offence on
account of any act or omission which did not constitute a
criminal offence under national law or international law at the
time when it was committed. Nor shall a heavier penalty be
imposed than that which was applicable at the time the criminal
offence was committed. If, subsequent to the commission of a
criminal offence, the law provides for a lighter penalty, that
penalty shall be applicable.

2.
This Article shall not prejudice the trial and punishment
of any person for any act or omission which, at the time when
it was committed, was criminal according to the general princi-
ples recognised by the community of nations.

The severity of penalties must not be disproportionate to

3.
the criminal offence.

Article II-50

finally acquitted or convicted within the Union in accordance
with the law.

TITLE VII

GENERAL PROVISIONS GOVERNING THE INTERPRETATION
AND APPLICATION OF THE CHARTER

Article II-51

Field of application

1.
The provisions of this Charter are addressed to the Institu-
tions, bodies and agencies of the Union with due regard for the
principle of subsidiarity and to the Member States only when
they are implementing Union law. They shall therefore respect
the rights, observe the principles and promote the application
thereof
and
respecting the limits of the powers of the Union as conferred
on it in the other Parts of the Constitution.

in accordance with their

respective powers

This Charter does not extend the field of application of
2.
Union law beyond the powers of the Union or establish any
new power or task for the Union, or modify powers and tasks
defined in the other Parts of the Constitution.

Article II-52

Scope and interpretation of rights and principles

1.
Any limitation on the exercise of the rights and freedoms
recognised by this Charter must be provided for by law and
respect the essence of those rights and freedoms. Subject to the
principle of proportionality,
limitations may be made only if
they are necessary and genuinely meet objectives of general
interest recognised by the Union or the need to protect the
rights and freedoms of others.

2.
Rights recognised by this Charter for which provision is
made in other Parts of the Constitution shall be exercised under
the conditions and within the limits defined by these relevant
Parts

3.
Insofar as this Charter contains rights which correspond
to rights guaranteed by the Convention for the Protection of
Human Rights and Fundamental Freedoms, the meaning and
scope of those rights shall be the same as those laid down by
the said Convention. This provision shall not prevent Union law
providing more extensive protection.

Right not

to be tried or punished twice in criminal

proceedings for the same criminal offence

No one shall be liable to be tried or punished again in criminal
proceedings for an offence for which he or she has already been

4.
Insofar as this Charter recognises fundamental rights as
they result from the constitutional traditions common to the
Member States, those rights shall be interpreted in harmony
with those traditions.

18.7.2003

EN

Official Journal of the European Union

C 169/29

The provisions of this Charter which contain principles
5.
may be implemented by legislative and executive acts taken by
Institutions and bodies of the Union, and by acts of Member
States when they are implementing Union law, in the exercise of
their respective powers. They shall be judicially cognisable only
in the interpretation of such acts and in the ruling on their
legality.

Full account shall be taken of national laws and practices

6.
as specified in this Charter.

Article II-53

Level of protection

Nothing in this Charter shall be interpreted as restricting or
adversely affecting human rights and fundamental freedoms as

in their respective fields of application, by Union
recognised,
law and international
law and by international agreements to
which the Union or all the Member States are party, including
the European Convention for the Protection of Human Rights
and Fundamental Freedoms, and by the Member States' consti-
tutions.

Article II-54

Prohibition of abuse of rights

Nothing in this Charter shall be interpreted as implying any
right to engage in any activity or to perform any act aimed at
the destruction of any of the rights and freedoms recognised in
this Charter or at their limitation to a greater extent than is
provided for herein.

PART III

THE POLICIES AND FUNCTIONING OF THE UNION

TITLE I

Article III-6

CLAUSES OF GENERAL APPLICATION

Article III-1

The Union shall ensure consistency between the different poli-
cies and activities referred to in this Part, taking all of the
Union's objectives into account and in accordance with the
principle of conferring of powers.

Article III-2

In all the activities referred to in this Part, the Union shall aim
to eliminate inequalities, and to promote equality, between men
and women.

Article III-3

In defining and implementing the policies and activities referred
to in this Part, the Union shall aim to combat discrimination
based on sex, racial or ethnic origin, religion or belief, disability,
age or sexual orientation.

Article III-4

Environmental protection requirements must be integrated into
the definition and implementation of the Union policies and
activities referred to in this Part, in particular with a view to
promoting sustainable development.

Article III-5

Consumer protection requirements shall be taken into account
in defining and implementing other Union policies and activ-
ities.

Without prejudice to Articles III-55,
III-56 and III-136, and
given the place occupied by services of general economic
interest as services to which all in the Union attribute value as
well as their role in promoting social and territorial cohesion,
the Union and the Member States, each within their respective
powers and within the scope of application of the Constitution,
shall
take care that such services operate on the basis of
principles and conditions, in particular economic and financial,
which enable them to fulfil their missions. European laws shall
define these principles and conditions.

TITLE II

NON-DISCRIMINATION AND CITIZENSHIP

Article III-7

European laws or framework laws may lay down rules to
prohibit discrimination on grounds of nationality as referred to
in Article I-4.

Article III-8

1. Without prejudice to the other provisions of the Constitu-
tion and within the limits of the powers conferred by it upon
the Union, a European law or framework law of the Council of
Ministers may establish the measures needed to combat discri-
mination based on sex, racial or ethnic origin, religion or belief,
disability, age or sexual orientation. The Council of Ministers
the
shall act unanimously after obtaining the consent of
European Parliament.

C 169/30

EN

Official Journal of the European Union

18.7.2003

European laws or framework laws may establish basic
2.
principles for Union incentive measures and define such incen-
tive measures,
to support action taken by Member States,
excluding any harmonisation of their laws and regulations.

Article III-9

If action by the Union should prove necessary to facilitate
1.
the exercise of the right, referred to in Article I-8, of every
Union citizen to move and reside freely and the Constitution
has not provided the necessary powers, European laws or
framework laws may establish measures for that purpose.

2.
For the same purpose and unless the Constitution has
provided for powers of action in this area, measures concerning
passports,
identity cards, residence permits or any other such
document and measures concerning social security or social
protection may be laid down by a European law or framework
law of the Council of Ministers. The Council of Ministers shall
act unanimously after consulting the European Parliament.

Article III-10

A European law or framework law of the Council of Ministers
shall determine the detailed arrangements for exercising the
right, referred to in Article I-8, for every Union citizen to vote
and to stand as a candidate in municipal elections and elections
to the European Parliament in their Member State of residence
without being a national of that State. The Council of Ministers
shall act unanimously after consulting the European Parliament.
These
for derogations where
warranted by problems specific to a Member State.

arrangements may provide

The right to vote and to stand as a candidate in elections to the
European Parliament shall be exercised without prejudice to
Article III-232(2) and the measures adopted for its implementa-
tion.

Article III-11

Article III-13

The Commission shall report to the European Parliament, to the
Council of Ministers and to the Economic and Social Committee
every three years on the application of
the provisions of
Article I-8 and of this Title. This report shall take account of
the development of the Union.

On this basis, and without prejudice to the other provisions of
the
the Constitution, a European law or framework law of
Council of Ministers may add to the rights laid down in
Article I-8. The Council of Ministers shall act unanimously after
obtaining the consent of the European Parliament. The law or
framework law concerned shall not enter into force until it is
approved by the Member States in accordance with their
respective constitutional requirements.

TITLE III

INTERNAL POLICIES AND ACTION

Ch apte r I

Internal market

Section 1

Establishment of the Internal Market

Article III-14

1.
The Union shall adopt measures with the aim of estab-
in accordance with this Article,
lishing the internal market,
Article III-15, Article III-26(1) and Articles III-29, III-39, III-62,
III-65 and III-143 and without prejudice to the other provisions
of the Constitution.

The internal market

shall comprise an area without
2.
internal
in which the free movement of goods,
persons, services and capital is ensured in accordance with the
Constitution.

frontiers

Member States shall adopt the necessary provisions to secure
diplomatic and consular protection of citizens of the Union in
third countries, as referred to in Article I-8.

The Council of Ministers, on a proposal

3.
from the
Commission, shall adopt European regulations and decisions
determining the guidelines and conditions necessary to ensure
balanced progress in all the sectors concerned.

A European law of the Council of Ministers may establish the
measures necessary to facilitate such protection. The Council of
Ministers shall act after consulting the European Parliament.

Article III-15

Article III-12

The languages in which every citizen of the Union has the right
to address the institutions or advisory bodies under Article I-8,
and to have an answer, are those listed in Article IV. The
institutions and advisory bodies referred to in this Article are
I-30 and I-31 and also the
those listed in Articles I-18(2),
European Ombudsman.

When drawing up its proposals with a view to achieving the
objectives set out in Article III-14, the Commission shall take
into account the extent of the effort that certain economies
showing differences in development will have to sustain for the
establishment of the internal market and it may propose appro-
priate measures.

If these measures take the form of derogations, they must be of
a temporary nature and must cause the least possible distur-
bance to the functioning of the internal market.

18.7.2003

EN

Official Journal of the European Union

C 169/31

Article III-16

This Article shall not apply to employment in the public

4.
service.

Member States shall consult each other with a view to taking
together the steps needed to prevent the functioning of the
internal market being affected by steps which a Member State
may be called upon to take in the event of serious internal
disturbances affecting the maintenance of law and order, in the
event of war, serious international tension constituting a threat
of war, or in order to carry out obligations it has accepted for
the purpose of maintaining peace and international security.

Article III-17

If steps taken in the circumstances referred to in Articles III-6
and III-34 have the effect of distorting the conditions of
competition in the internal market,
the Commission shall,
together with the State concerned, examine how these steps
can be adjusted to the rules laid down in the Constitution.

By way of derogation from the procedure laid down in
Articles III-265 and III-266, the Commission or any Member
State may bring the matter directly before the Court of Justice if
it considers that another Member State is making improper use
of the powers provided for in Articles III-6 and III-34. The
Court of Justice shall give its ruling in camera.

SECTION 2

Free movement of persons and services

S ubsec tion 1

Workers

Article III-18

1. Workers shall have the right to move freely within the
Union.

2.
Any discrimination based on nationality between workers
of the Member States as regards employment, remuneration and
other conditions of work and employment shall be prohibited.

3. Workers shall have the right, subject to limitations justi-
fied on grounds of public policy, public security or public
health:

(a) to accept offers of employment actually made;

(b) to move freely within the territory of Member States for

this purpose;

(c) to stay in a Member State for the purpose of employment
in accordance with the provisions governing the employ-
ment of nationals of that State laid down by law, regula-
tion or administrative action;

(d) to remain in the territory of a Member State after having
been employed in that State, subject to conditions which
shall be embodied in European regulations adopted by the
Commission.

Article III-19

European laws or framework laws shall establish the measures
needed to bring about freedom of movement for workers, as
defined in Article III-18. They shall be adopted after consulta-
tion of the Economic and Social Committee.

Such European laws or framework laws shall aim, in particular,
to:

(a) ensure close cooperation between national employment

services;

(b) abolish those administrative procedures and practices and
those qualifying periods in respect of eligibility for available
employment, whether resulting from national legislation or
from agreements previously concluded between Member
States, the maintenance of which would form an obstacle
to liberalisation of the movement of workers;

(c) abolish all such qualifying periods and other restrictions
legislation or under
provided for either under national
agreements previously concluded between Member States
as impose on workers of other Member States conditions
regarding the free choice of employment other than those
imposed on workers of the State concerned;

(d) set up appropriate machinery to bring offers of employ-
ment into touch with applications for employment and to
facilitate the achievement of a balance between supply and
demand in the employment market in such a way as to
avoid serious threats to the standard of living and level of
employment in the various regions and industries.

Article III-20

Member States
shall, within the
programme, encourage the exchange of young workers.

framework of

a

joint

Article III-21

In the field of social security, European laws or framework laws
shall establish such measures as are necessary to bring about
freedom of movement for workers by introducing a system to
secure for employed and self-employed migrant workers and
their dependants:

(a) aggregation, for the purpose of acquiring and retaining the
right to benefit and of calculating the amount of benefit, of
all periods taken into account under the laws of the several
countries;

(b) payment of benefits to persons resident in the territories of

Member States.

C 169/32

EN

Official Journal of the European Union

18.7.2003

S ubsec tion 2

Freedom of establishment

Article III-22

Within the framework of this Subsection, restrictions on the
freedom of establishment of nationals of a Member State in the
territory of another Member State shall be prohibited. Such
prohibition shall also apply to restrictions on the setting-up of
agencies, branches or subsidiaries by nationals of any Member
State established in the territory of any Member State.

Nationals of a Member State shall have the right, in the territory
of another Member State, to take up and pursue activities as
self-employed persons and to set up and manage undertakings,
in particular companies or firms within the meaning of the
second paragraph of Article III-27, under the conditions laid
down for its own nationals by the law of the Member State
where such establishment is effected, subject to the provisions
of the Section relating to capital.

agencies, branches or subsidiaries in the territory of a
Member State and as regards the conditions governing the
entry of personnel belonging to the main establishment
into managerial or supervisory posts in such agencies,
branches or subsidiaries;

(g) by coordinating to the necessary extent

the safeguards
which, for the protection of the interests of members and
others, are required by Member States of companies or
firms within the meaning of
the second paragraph of
Article III-27 with a view to making such safeguards
equivalent throughout the Union;

(h) by satisfying themselves that the conditions of establish-
ment are not distorted by aids granted by Member States.

Article III-24

This Subsection shall not apply, so far as any given Member
State is concerned,
to activities which in that State are
connected, even occasionally, with the exercise of official
authority.

Article III-23

European laws or framework laws may exempt certain activities
from application of this Subsection.

1.
European framework laws shall establish measures in
order to attain freedom of establishment as regards a particular
the
activity. They shall be adopted after consultation of
Economic and Social Committee.

2.
The European Parliament, the Council of Ministers and the
Commission shall carry out the duties devolving upon them
under paragraph 1, in particular:

(a) by according, as a general

to
activities where freedom of establishment makes a particu-
larly valuable contribution to the development of produc-
tion and trade;

rule, priority treatment

(b) by ensuring close cooperation between the competent
authorities in the Member States in order to ascertain the
particular situation within the Union of the various activ-
ities concerned;

(c) by abolishing those administrative procedures and practices,
whether resulting from national legislation or from agree-
ments previously concluded between Member States, the
maintenance of which would form an obstacle to freedom
of establishment;

(d) by

ensuring

that workers

from one Member State
employed in the territory of another Member State may
remain in that
taking up
activities
self-employed persons, where they
satisfy the conditions which they would be required to
satisfy if they were entering that State at the time when
they intended to take up such activities;

the purpose of

territory for

therein as

Article III-25

1.
This Subsection and measures adopted in pursuance
thereof shall not prejudice the applicability of provisions laid
down by law, regulation or administrative action in Member
States providing for special treatment for foreign nationals on
grounds of public policy, public security or public health.

European framework laws shall coordinate the national

2.
provisions referred to in paragraph 1.

Article III-26

European framework laws shall make it easier for persons
1.
to take up and pursue activities as self-employed persons. It
shall cover:

(a) the mutual recognition of diplomas, certificates and other

evidence of formal qualifications;

(b) the coordination of

the provisions

laid down by law,
regulation or
action in Member States
concerning the taking-up and pursuit of activities as self-
employed persons.

administrative

2.
In the case of the medical and allied and pharmaceutical
professions, the progressive abolition of restrictions shall be
dependent upon coordination of the conditions for their exer-
cise in the various Member States.

(e) by enabling a national of one Member State to acquire and
use land and buildings situated in the territory of another
insofar as this does not conflict with the
Member State,
principles laid down in Article III-123(2);

(f) by effecting the progressive abolition of restrictions on
freedom of establishment in every branch of activity under
consideration, both as regards the conditions for setting up

Article III-27

Companies or firms formed in accordance with the law of a
Member State and having their registered office, central admin-
istration or principal place of business within the Union shall,
for the purposes of this Subsection, be treated in the same way
as natural persons who are nationals of Member States.

18.7.2003

EN

Official Journal of the European Union

C 169/33

‘Companies or firms’ means companies or firms constituted
under civil or commercial law, including cooperative societies,
and other legal persons governed by public or private law, save
for those which are non-profit-making.

Article III-28

Member States shall accord nationals of
the other Member
States the same treatment as their own nationals as regards
participation in the capital of companies or firms within the
meaning of Article III-27, without prejudice to the application
of the other provisions of the Constitution.

S ubsec tion 3

Freedom to provide services

Article III-29

this Subsection,

Within the framework of
restrictions on
freedom to provide services within the Union shall be prohib-
ited in respect of nationals of Member States who are estab-
lished in a Member State other than that of the person for
whom the services are intended.

European laws or framework laws may extend this Subsection
to nationals of a third country who provide services and who
are established within the Union.

Article III-30

Services shall be considered to be ‘services’ within the meaning
the Constitution where they are normally provided for
of
remuneration,
insofar as they are not governed by the provi-
sions relating to freedom of movement for goods, capital and
persons.

‘Services’ shall in particular include:

(a) activities of an industrial character;

(b) activities of a commercial character;

(c) activities of craftsmen;

(d) activities of the professions.

adopted after
Committee.

consultation of

the Economic

and Social

2.
As regards the European framework law referred to in
paragraph 1, priority shall as a general rule be given to those
services which directly affect production costs or the liberal-
isation of which helps to promote trade in goods.

Article III-33

The Member States declare their readiness to undertake the
liberalisation of services beyond the extent required by the
European framework law adopted pursuant to Article III-32(1),
if
their general economic situation and the situation of the
economic sector concerned so permit.

To this end, the Commission shall make recommendations to
the Member States concerned.

Article III-34

As long as restrictions on freedom to provide services have not
been abolished, each Member State shall apply such restrictions
without distinction on grounds of nationality or of residence to
all persons providing services within the meaning of the first
paragraph of Article III-29.

Article III-35

Articles III-24 to III-27 shall apply to the matters covered by
this Subsection.

SECTION 3

Free movement of goods

S ubs ection 1

Customs union

Article III-36

Without prejudice to the Subsection relating to the right of
establishment, the person providing a service may, in order to
do so, temporarily pursue his or her activity in the Member
State where the service is provided, under the same conditions
as are imposed by that State on its own nationals.

Article III-31

Freedom to provide services in the field of transport shall

1.
be governed by the Section relating to transport.

2.
The liberalisation of banking and insurance services
connected with movements of capital shall be effected in step
with the liberalisation of movement of capital.

Article III-32

A European framework law shall establish the measures in
1.
order to achieve the liberalisation of a specific service. It shall be

The Union shall comprise a customs union which shall
1.
cover all trade in goods and which shall involve the prohibition
between Member States of customs duties on imports and
exports and of all charges having equivalent effect, and the
adoption of a common customs tariff in their relations with
third countries.

2.
Article III-38 and Subsection 3 of this Section shall apply
to products originating in Member States and to products
coming from third countries which are in free circulation in
Member States.

Article III-37

Products coming from a third country shall be considered to be
in free circulation in a Member State if the import formalities
have been complied with and any customs duties or charges
having equivalent effect which are payable have been levied in
that Member State, and if they have not benefited from a total
or partial drawback of such duties or charges.

C 169/34

EN

Official Journal of the European Union

18.7.2003

Article III-38

Customs duties on imports and exports and charges having
equivalent effect shall be prohibited between Member States.
This prohibition shall also apply to customs duties of a fiscal
nature.

Article III-39

The Council of Ministers, on a proposal from the Commission,
shall adopt
fixing
Common Customs Tariff duties.

the European regulations and decisions

Article III-40

In carrying out the tasks entrusted to it under this Subsection
the Commission shall be guided by:

(a) the need to promote trade between Member States and

third countries;

(b) developments

in conditions of competition within the
in the

Union insofar as they lead to an improvement
competitive capacity of undertakings;

(c) the requirements of the Union as regards the supply of raw
materials and semi-finished goods;
in this connection the
Commission shall take care to avoid distorting conditions
in respect of
of competition between Member States
finished goods;

(d) the need to avoid serious disturbances in the economies of
Member States and to ensure rational development of
production and an expansion of consumption within the
Union.

S ubsec tion 2

Customs cooperation

Article III-41

Within the scope of application of the Constitution, European
laws or framework laws shall establish measures in order to
strengthen customs cooperation between Member States and
between the latter and the Commission.

S ubsec tion 3

Prohibition of quantitative restrictions

Article III-42

Quantitative restrictions on imports and exports and all
measures having equivalent effect shall be prohibited between
Member States.

Article III-43

Article III-42 shall not preclude prohibitions or restrictions on
imports, exports or goods in transit justified on grounds of
public morality, public policy or public security; the protection
of health and life of humans, animals or plants; the protection
of national treasures possessing artistic, historic or archaeolo-
industrial and commercial
gical value; or the protection of

property. Such prohibitions or restrictions shall not, however,
constitute a means of arbitrary discrimination or a disguised
restriction on trade between Member States.

Article III-44

1. Member States shall adjust any State monopolies of a
commercial character so as to ensure that no discrimination
regarding the conditions under which goods are procured and
marketed exists between nationals of Member States.

This Article shall apply to any body through which a Member
State, in law or in fact, either directly or indirectly supervises,
exports
determines or
between Member States. It shall likewise apply to monopolies
delegated by the State to others.

appreciably influences

imports or

2. Member States shall refrain from any new step which is
contrary to the principles laid down in paragraph 1 or which
restricts the scope of the Articles dealing with the prohibition of
customs duties and quantitative restrictions between Member
States.

3.
If a State monopoly of a commercial character has rules
which are designed to make it easier to dispose of agricultural
products or obtain for them the best return, steps should be
taken in applying this Article to ensure equivalent safeguards for
the producers
the employment and standard of
concerned.

living of

SECTION 4

Capital and payments

Article III-45

Within the framework of this Section, restrictions both on the
movement of capital and on payments between Member States
and between Member States and third countries shall be prohib-
ited.

Article III-46

1.
Article III-45 shall be without prejudice to the application
to third countries of any restrictions which existed on
31 December 1993 under national or Union law adopted in
respect of the movement of capital to or from third countries
investment — including in real estate —,
involving direct
establishment, the provision of financial services or the admis-
sion of securities to capital markets.

European laws or framework laws shall enact measures on
2.
the movement of capital to or from third countries involving
direct investment — including investment in real estate —,
establishment, the provision of financial services or the admis-
sion of securities to capital markets.

The European Parliament and the Council of Ministers shall
endeavour to achieve the objective of free movement of capital
between Member States and third countries to the greatest
extent possible and without prejudice to other provisions of
the Constitution.

18.7.2003

EN

Official Journal of the European Union

C 169/35

Notwithstanding paragraph 2, only a European law or
3.
framework law of the Council of Ministers may enact measures
which constitute a step back in Union law as regards the
liberalisation of
to or from third
the movement of capital
countries. The Council of Ministers shall act unanimously after
consulting the European Parliament.

Article III-47

Article III-45 shall be without prejudice to the right of

1.
Member States:

(a) to apply the relevant provisions of

their tax law which
distinguish between taxpayers who are not
in the same
situation with regard to their place of residence or with
regard to the place where their capital is invested;

(b) to take all

infringements of
requisite steps to prevent
national provisions laid down by law or regulation,
in
particular in the field of taxation and the prudential super-
vision of financial institutions, or to lay down procedures
for the declaration of capital movements for purposes of
administrative or statistical
information, or to take steps
which are justified on grounds of public policy or public
security.

2.
This Section shall be without prejudice to the applicability
of restrictions on the right of establishment which are compa-
tible with the Constitution.

3.
The steps and procedures referred to in paragraphs 1 and
2 shall not constitute a means of arbitrary discrimination or a
disguised restriction on the free movement of capital and
payments as defined in Article III-45.

The Council of Ministers, on a proposal from the Commission,
shall adopt European regulations or European decisions in order
to implement the laws referred to in the first paragraph.

SECTION 5

Rules on competition

S ubs ection 1

Rules applying to undertakings

Article III-50

1.
The following shall be prohibited as incompatible with the
internal market: all agreements between undertakings, decisions
by associations of undertakings and concerted practices which
may affect trade between Member States and which have as
their object or effect the prevention, restriction or distortion of
competition within the internal market, and in particular those
which:

(a) directly or indirectly fix purchase or selling prices or any

other trading conditions;

(b) limit or control production, markets,

technical develop-

ment, or investment;

(c) share markets or sources of supply;

(d) apply dissimilar conditions to equivalent transactions with
other trading parties, thereby placing them at a competitive
disadvantage;

(e) make the conclusion of contracts subject to acceptance by
the other parties of supplementary obligations which, by
their nature or according to commercial usage, have no
connection with the subject of such contracts.

Article III-48

Any agreements or decisions prohibited pursuant to this

2.
Article shall be automatically void.

Where, in exceptional circumstances, movements of capital to
or from third countries cause, or threaten to cause, serious
difficulties for the operation of economic and monetary union,
the Council of Ministers, on a proposal from the Commission,
may adopt European regulations or decisions introducing safe-
guard measures with regard to third countries for a period not
exceeding six months if such measures are strictly necessary. It
shall act after consulting the European Central Bank.

Article III-49

Where necessary to achieve the objectives set out in Article III-
158,
in particular as regards prevention of and fight against
organised crime, terrorism and trafficking in human beings,
European laws may define a framework for measures with
regard to capital movements and payments, such as the freezing
of funds, financial assets or economic gains belonging to, or
owned or held by, natural or legal persons, groups or non-state
entities.

Paragraph 1 may, however, be declared inapplicable in the

3.
case of:

— any agreement or category of agreements between under-

takings;

— any decision or category of decisions by associations of

undertakings;

— any concerted practice or category of concerted practices,

which contributes to improving the production or distribution
of goods or to promoting technical or economic progress,
while allowing consumers a fair share of the resulting benefit,
and which does not:

(a) impose on the undertakings concerned restrictions which
are not indispensable to the attainment of these objectives;

(b) afford such undertakings

the possibility of eliminating
competition in respect of a substantial part of the products
in question.

C 169/36

EN

Official Journal of the European Union

18.7.2003

Article III-51

Article III-54

Any abuse by one or more undertakings of a dominant position
within the internal market or in a substantial part of it shall be
prohibited as incompatible with the internal market insofar as it
may affect trade between Member States.

Such abuse may, in particular, consist in:

(a) directly or indirectly imposing unfair purchase or selling

prices or other unfair trading conditions;

(b) limiting production, markets or technical development to

the prejudice of consumers;

(c) applying dissimilar conditions to equivalent
trading parties,

transactions
thereby placing them at a

with other
competitive disadvantage;

(d) making the conclusion of contracts subject to acceptance
by the other parties of supplementary obligations which,
by their nature or according to commercial usage, have no
connection with the subject of such contracts.

Article III-52

The Council of Ministers, on a proposal

from the
1.
Commission, shall adopt the European regulations to give effect
to the principles set out in Articles III-50 and III-51. It shall act
after consulting the European Parliament.

The European regulations referred to in paragraph 1 shall

2.
be designed in particular:

1. Without prejudice to Article III-53, the Commission shall
ensure the application of the principles laid down in Articles III-
50 and III-51. On application by a Member State or on its own
initiative, and in cooperation with the competent authorities in
the Member States, which shall give it
the
Commission shall
investigate cases of suspected infringement
of these principles. If it finds that there has been an infringe-
ment, it shall propose appropriate measures to bring it to an
end.

their assistance,

2.
If the infringement is not brought to an end, the Commis-
sion shall adopt a reasoned European decision recording the
infringement of the principles. The Commission may publish its
decision and authorise Member States to take the steps, the
conditions and details of which it shall determine, needed to
remedy the situation.

3.
The Commission may adopt European regulations relating
to the categories of agreement in respect of which the Council
of Ministers has acted pursuant to Article III-52(2)(b).

Article III-55

1.
In the case of public undertakings and undertakings to
which Member States grant special or exclusive rights, Member
States shall neither enact nor maintain in force any provision
in particular
contrary to the provisions of the Constitution,
Article I-4(2) and Articles III-55 to III-58.

(a) to ensure compliance with the prohibitions laid down in
Article III-50(1) and in Article III-51 by making provision
for fines and periodic penalty payments;

(b) to lay down detailed rules for the application of Article III-
the need to ensure effective
50(3),
supervision on the one hand, and to simplify administra-
tion to the greatest possible extent on the other;

taking into account

2.
Undertakings entrusted with the operation of services of
general economic interest or having the character of a revenue-
producing monopoly shall be subject to the provisions of the
Constitution, in particular to the rules on competition, insofar
as the application of such rules does not obstruct the perfor-
mance,
in law or in fact, of the particular tasks assigned to
them. The development of trade must not be affected to such
an extent as would be contrary to the Union's interests.

(c) to define,
economy,
and III-51;

if need be,
the scope of

in the various branches of
the
the provisions of Articles III-50

this
The Commission shall ensure the application of
3.
Article and shall, where necessary, adopt appropriate European
regulations or decisions.

(d) to define the respective functions of the Commission and
Justice in applying the provisions laid

the Court of

of
down in this paragraph;

(e) to determine the relationship between national

laws and
this Section or the European regulations adopted pursuant
to this Article.

Article III-53

S ubs ection 2

Aids granted by Member States

Article III-56

Until the entry into force of the European regulations adopted
pursuant to Article III-52, the authorities in Member States shall
rule on the admissibility of agreements, decisions and concerted
practices and on abuse of a dominant position in the internal
market in accordance with their internal law and Articles III-50,
in particular paragraph 3, and Article III-51.

Save as otherwise provided in the Constitution, any aid
1.
granted by a Member State or through State resources in any
form whatsoever which distorts or threatens to distort competi-
tion by favouring certain undertakings or the production of
certain goods shall, insofar as it affects trade between Member
States, be incompatible with the internal market.

18.7.2003

EN

Official Journal of the European Union

C 169/37

The following shall be compatible with the internal

2.
market:

(a) aid having a social character, granted to individual consu-
mers, provided that such aid is granted without discrimina-
tion related to the origin of the products concerned;

(b) aid to make good the damage caused by natural disasters

or exceptional occurrences;

(c) aid granted to the economy of certain areas of the Federal
Republic of Germany affected by the division of Germany,
insofar as such aid is required in order to compensate for
the economic disadvantages caused by that division.

The following may be considered to be compatible with

3.
the internal market:

(a) aid to promote the economic development of areas where
the standard of living is abnormally low or where there is
serious underemployment;

(b) aid to promote the execution of an important project of
common European interest or to remedy a serious distur-
bance in the economy of a Member State;

(c) aid to facilitate the development of certain economic
activities or of certain economic areas, where such aid
does not adversely affect trading conditions to an extent
contrary to the common interest;

(d) aid to promote culture and heritage conservation where
such aid does not affect trading conditions and competition
in the Union to an extent that is contrary to the common
interest;

(e) such other categories of aid as may be specified by
European regulations or decisions adopted by the Council
of Ministers on a proposal from the Commission.

Article III-57

The Commission,

1.
in cooperation with Member States,
shall keep under constant review all systems of aid existing in
It shall propose to the latter any appropriate
those States.
measures required by the progressive development or by the
functioning of the internal market.

2.
If, after giving notice to the parties concerned to submit
their comments, the Commission finds that aid granted by a
Member State or through State resources is not compatible with
the internal market having regard to Article III-56, or that such
aid is being misused,
it shall adopt a European decision
requiring the State concerned to abolish or alter such aid within
a period of time to be determined by the Commission.

If the State concerned does not comply with this European
decision within the prescribed time, the Commission or any
in derogation from
other
Articles III-265 and III-266, refer the matter to the Court of
Justice direct.

interested Member State may,

On application by a Member State, the Council of Ministers may
adopt unanimously a European decision that aid which that

State is granting or intends to grant shall be considered to be
compatible with the internal market,
in derogation from
Article III-56 or from European regulations provided for in
Article III-58,
if such a decision is justified by exceptional
circumstances. If, as regards the aid in question, the Commis-
sion has already initiated the procedure provided for in the first
subparagraph of
the State
concerned has made its application to the Council of Ministers
shall have the effect of suspending that procedure until the
Council of Ministers has made its attitude known.

this paragraph,

that

fact

the

If, however, the Council of Ministers has not made its attitude
known within three months of the said application being made,
the Commission shall act.

3.
The Commission shall be informed by the Member States,
in sufficient time to enable it to submit its comments, of any
plans to grant or alter aid. If it considers that any such plan is
not compatible with the internal market having regard to
Article III-56,
it shall without delay initiate the procedure
provided for in paragraph 2. The Member State concerned shall
not put its proposed measures into effect until this procedure
has resulted in a final decision.

4.
The Commission may adopt European regulations relating
to the categories of State aid that the Council of Ministers has,
pursuant to Article III-58, determined may be exempted from
the procedure provided for by paragraph 3.

Article III-58

The Council of Ministers, on a proposal from the Commission,
may adopt European regulations
application of
Articles III-56 and III-57 and for determining in particular the
conditions in which Article III-57(3) shall apply and the cate-
gories of aid exempted from this procedure. It shall act after
consulting the European Parliament.

the

for

SECTION 6

Fiscal provisions

Article III-59

No Member State shall
impose, directly or indirectly, on the
products of other Member States any internal taxation of any
kind in excess of that imposed directly or indirectly on similar
domestic products.

Furthermore, no Member State shall impose on the products of
other Member States any internal taxation of such a nature as to
afford indirect protection to other products.

Article III-60

Where products are exported by a Member State to the territory
of another Member State, any repayment of internal taxation
shall not exceed the internal taxation imposed on them whether
directly or indirectly.

C 169/38

EN

Official Journal of the European Union

18.7.2003

Article III-61

In the case of charges other than turnover taxes, excise duties
and other forms of indirect taxation, remissions and repayments
in respect of exports to other Member States may not be
granted and countervailing charges in respect of imports from
Member States may not be imposed unless the provisions
contemplated have been previously approved for a limited
period by a European decision adopted by the Council of
Ministers on a proposal from the Commission.

Article III-62

A European law or framework law of

the Council of
1.
Ministers shall
lay down measures for the harmonisation of
legislation concerning turnover taxes, excise duties and other
forms of indirect taxation provided that such harmonisation is
necessary for the functioning of the internal market and to
avoid distortion of competition. The Council of Ministers shall
act unanimously after consulting the European Parliament and
the Economic and Social Committee.

2. Where the Council of Ministers, acting unanimously on a
proposal from the Commission, finds that the measures referred
to in paragraph 1 relate to administrative cooperation or to
combating tax fraud and tax evasion,
it shall act, notwith-
standing paragraph 1, by a qualified majority when adopting
the European law or framework law adopting these measures.

Article III-63

finds

from the Commission,

Where the Council of Ministers, acting unanimously on a
proposal
that measures on
company taxation relate to administrative cooperation or
combating tax fraud and tax evasion,
it shall adopt, by a
qualified majority, a European law or framework law laying
down these measures, provided that they are necessary for the
functioning of the internal market and to avoid distortion of
competition.

That law or framework law shall be adopted after consultation
of
the European Parliament and the Economic and Social
Committee.

SECTION 7

Approximation of legislation

Article III-64

Without prejudice to Article III-65, a European framework law
of the Council of Ministers shall establish measures for the
approximation of such laws, regulations or administrative provi-
sions of the Member States as directly affect the establishment
or functioning of the internal market. The Council of Ministers
shall act unanimously after consulting the European Parliament
and the Economic and Social Committee.

in Article III-14. European laws or framework laws shall estab-
lish measures for the approximation of the provisions laid down
by law, regulation or administrative action in Member States
which have as their object the establishment and functioning of
the internal market. Such laws shall be adopted after consulta-
tion of the Economic and Social Committee.

2.
Paragraph 1 shall not apply to fiscal provisions, to those
relating to the free movement of persons or to those relating to
the rights and interests of employed persons.

in its proposals

The Commission,

3.
submitted under
paragraph 1 concerning health, safety, environmental protection
and consumer protection, will take as a base a high level of
protection, taking account in particular of any new development
based on scientific facts. Within their respective powers, the
European Parliament and the Council of Ministers will also seek
to achieve this objective.

4.
If, after the adoption of a harmonisation measure by
means of a European law, framework law or regulation of the
Commission, a Member State deems it necessary to maintain
national provisions on grounds of major needs referred to in
Article III-43, or relating to the protection of the environment
or the working environment, it shall notify the Commission of
these provisions as well as the grounds for maintaining them.

5. Moreover, without prejudice to paragraph 4, if, after the
adoption of a harmonisation measure by means of a European
law, framework law or regulation of the Commission, a Member
State deems it necessary to introduce national provisions based
on new scientific evidence relating to the protection of the
environment or the working environment on grounds of a
problem specific to that Member State arising after the adoption
of the harmonisation measure, it shall notify the Commission of
the envisaged provisions and the reasons for them.

6.
The Commission shall, within six months of the notifica-
tions referred to in paragraphs 4 and 5, adopt a European
decision approving or rejecting the national provisions involved
after having verified whether or not
they are a means of
arbitrary discrimination or a disguised restriction on trade
between Member States and whether or not they constitute an
obstacle to the functioning of the internal market.

In the absence of a decision by the Commission within this
period the national provisions referred to in paragraphs 4 and 5
shall be deemed to have been approved.

When justified by the complexity of the matter and in the
the Commission may
absence of danger for human health,
notify the Member State concerned that the period referred to
in this paragraph may be extended for a further period of up to
six months.

Article III-65

Save where otherwise provided in the Constitution, this
1.
Article shall apply for the achievement of the objectives set out

7. When, pursuant
to paragraph 6, a Member State is
authorised to maintain or introduce national provisions dero-
gating from a harmonisation measure, the Commission shall
immediately examine whether to propose an adaptation to that
measure.

18.7.2003

EN

Official Journal of the European Union

C 169/39

8. When a Member State raises a specific problem on public
health in a field which has been the subject of prior harmonisa-
tion measures, it shall bring it to the attention of the Commis-
sion which shall
to propose
appropriate measures.

immediately examine whether

the Council of Ministers shall establish
A European law of
language arrangements
the European instruments. The
Council of Ministers shall act unanimously after consulting the
European Parliament.

for

9.
By way of derogation from the procedure laid down in
Articles III-265 and III-266, the Commission and any Member
State may bring the matter directly before the Court of Justice if
it considers that another Member State is making improper use
of the powers provided for in this Article.

The harmonisation measures referred to in this Article
10.
include a safeguard clause author-
in appropriate cases,
shall,
ising the Member States to take, for one or more of the non-
economic reasons referred to in Article III-43, provisional steps
subject to a Union control procedure.

Article III-66

Where the Commission finds that a difference between the
provisions laid down by law, regulation or administrative action
in Member States is distorting the conditions of competition in
the internal market and that the resultant distortion needs to be
eliminated, it shall consult the Member States concerned.

If such consultation does not result in agreement, European
framework laws shall eliminate the distortion in question. Any
other appropriate measures provided for in the Constitution
may be adopted.

Article III-67

1. Where there is a reason to fear that the adoption or
amendment of a national provision laid down by law, regulation
or administrative action may cause distortion within the
meaning of Article III-66, a Member State desiring to proceed
therewith shall consult the Commission. After consulting the
Member States, the Commission shall address to the Member
States concerned a recommendation on such measures as may
be appropriate to avoid the distortion in question.

If a Member State desiring to introduce or amend its own
2.
provisions does not
recommendation
comply with the
addressed to it by the Commission, other Member States shall
not be required, pursuant to Article III-66, to amend their own
provisions in order to eliminate such distortion. If the Member
State which has ignored the recommendation of the Commis-
sion causes distortion detrimental only to itself, Article III-66
shall not apply.

Article III-68

In establishing an internal market, measures for the introduction
of European instruments to provide uniform intellectual-prop-
erty rights protection throughout the Union and for the setting
up of centralised Union-wide authorisation, coordination and
supervision arrangements shall be established in European laws
or framework laws.

C h a pter I I

ECONOMIC AND MONETARY POLICY

Article III-69

For the purposes set out in Article I-3, the activities of the
1.
Member States and the Union shall include, as provided in the
Constitution,
the adoption of an economic policy which is
based on the close coordination of Member States' economic
policies, on the internal market and on the definition of
common objectives, and conducted in accordance with the
principle of an open market economy with free competition.

2.
Concurrently with the foregoing, and as provided in the
Constitution and in accordance with the procedures set out
therein, these activities shall include a single currency, the euro,
and the definition and conduct of a single monetary policy and
exchange-rate policy, the primary objective of both of which
shall be to maintain price stability and, without prejudice to this
the general economic policies in the
objective,
Union,
in accordance with the principle of an open market
economy with free competition.

to support

These activities of the Member States and the Union shall
3.
entail compliance with the following guiding principles: stable
prices, sound public finances and monetary conditions and a
stable balance of payments.

SECTION 1

Economic policy

Article III-70

Member States shall conduct their economic policies in order to
the Union's objectives, as
contribute to the achievement of
defined in Article I-3, and in the context of the broad guidelines
referred to in Article III-71(2). The Member States and the
Union shall act in accordance with the principle of an open
market economy with free competition, favouring an efficient
allocation of resources, and in compliance with the principles
set out in Article III-69.

Article III-71

1. Member States shall regard their economic policies as a
matter of common concern and shall coordinate them within
the Council of Ministers, in accordance with Article III-70.

2.
The Council of Ministers, on a recommendation from the
Commission, shall formulate a draft for the broad guidelines of
the economic policies of the Member States and of the Union,
and shall report its findings to the European Council.

C 169/40

EN

Official Journal of the European Union

18.7.2003

The European Council, on the basis of the report from the
Council of Ministers, shall discuss a conclusion on the broad
guidelines of the economic policies of the Member States and of
the Union. On the basis of this conclusion, the Council of
Ministers shall adopt a recommendation setting out these broad
its
guidelines.
recommendation.

inform the European Parliament of

It shall

3.
In order to ensure closer coordination of economic poli-
cies and sustained convergence of the economic performances
of the Member States, the Council of Ministers, on the basis of
reports submitted by the Commission, shall monitor economic
developments in each of the Member States and in the Union,
as well as the consistency of economic policies with the broad
guidelines referred to in paragraph 2, and shall regularly carry
out an overall assessment.

For the purpose of this multilateral surveillance, Member States
forward information to the Commission on important
shall
steps taken by them in the field of their economic policy and
such other information as they deem necessary.

consistent with the broad guidelines

4. Where it is established, under the procedure referred to in
paragraph 3, that the economic policies of a Member State are
not
referred to in
paragraph 2 or that they risk jeopardising the proper func-
tioning of economic and monetary union, the Commission may
address a warning to the Member State concerned. The Council
of Ministers, on a recommendation from the Commission, may
address the necessary recommendations to the Member State
concerned. The Council of Ministers, on a proposal from the
Commission, may decide to make its recommendations public.

Within the scope of this paragraph, the Council of Ministers
shall act without taking into account the vote of the representa-
tive of the Member State concerned, and a qualified majority
shall be defined as the majority of
the other
Member States, representing at least three fifths of their popula-
tion.

the votes of

The President of

5.
the Council of Ministers and the
Commission shall report to the European Parliament on the
results of multilateral surveillance. The President of the Council
of Ministers may be invited to appear before the competent
committee of the European Parliament if the Council of Minis-
ters has made its recommendations public.

6.
European laws may lay down detailed rules for the multi-
lateral surveillance procedure referred to in paragraphs 3 and 4.

Article III-72

1. Without prejudice to any other procedures provided for by
the Constitution, the Council of Ministers, on a proposal from
the Commission, may adopt a European decision laying down
in parti-
the measures appropriate to the economic situation,
cular if severe difficulties arise in the supply of certain products.

2. Where a Member State is in difficulties or is seriously
threatened with severe difficulties caused by natural disasters or
the Council of
exceptional occurrences beyond its control,

Ministers, on a proposal from the Commission, may adopt a
European decision granting, under certain conditions, Union
financial assistance to the Member State concerned. The Presi-
dent of the Council of Ministers shall
inform the European
Parliament of the decision adopted.

Article III-73

referred to as

1.
Overdraft facilities or any other type of credit facility with
the European Central Bank or with the central banks of the
‘national central
Member States (hereinafter
banks’)
in favour of Union institutions, bodies or agencies,
central governments, regional, local or other public authorities,
other bodies governed by public law, or public undertakings of
Member States shall be prohibited, as shall the purchase directly
from them by the European Central Bank or national central
banks of debt instruments.

2.
Paragraph 1 shall not apply to publicly owned credit
institutions which, in the context of the supply of reserves by
central banks, shall be given the same treatment by national
central banks and the European Central Bank as private credit
institutions.

Article III-74

1.
Any measure or provision, not based on prudential
considerations, establishing privileged access by Union institu-
tions, bodies or agencies, central governments, regional, local or
other public authorities, other bodies governed by public law, or
public undertakings of Member States to financial institutions
shall be prohibited.

The Council of Ministers, on a proposal

2.
from the
Commission, may adopt European regulations or decisions
specifying definitions for the application of
the prohibition
It shall act after consulting the
referred to in paragraph 1.
European Parliament.

Article III-75

The Union shall not be liable for or assume the commit-
1.
ments of central governments, regional,
local or other public
authorities, other bodies governed by public law, or public
undertakings of any Member State, without prejudice to mutual
financial guarantees for the joint execution of a specific project.
A Member State shall not be liable for or assume the commit-
ments of central governments, regional,
local or other public
authorities, other bodies governed by public law, or public
undertakings of another Member State, without prejudice to
mutual financial guarantees for the joint execution of a specific
project.

The Council of Ministers, on a proposal

2.
from the
Commission, may adopt European regulations or decisions
specifying definitions for the application of the prohibitions
referred to in Article III-73 and in this Article. It shall act after
consulting the European Parliament.

18.7.2003

EN

Official Journal of the European Union

C 169/41

Article III-76

1. Member States shall avoid excessive government deficits.

2.
The Commission shall monitor the development of the
budgetary situation and of the stock of government debt in the
Member States in order to identify gross errors. In particular it
shall examine compliance with budgetary discipline on the basis
of the following two criteria:

(a) whether the ratio of

the planned or actual government
deficit to gross domestic product exceeds a reference value,
unless:

(i) either the ratio has declined substantially and continu-
that comes close to the

ously and reached a level
reference value;

(ii) or, alternatively, the excess over the reference value is
only exceptional and temporary and the ratio remains
close to the reference value;

(b) whether the ratio of government debt to gross domestic
the ratio is
reference

product exceeds a reference value, unless
diminishing sufficiently and approaching the
value at a satisfactory pace.

The reference values are specified in the Protocol on the
excessive deficit procedure.

3.
If a Member State does not fulfil the requirements under
one or both of these criteria, the Commission shall prepare a
the Commission shall also take into
report. The report of
account whether the government deficit exceeds government
investment expenditure and take into account all other relevant
factors,
including the medium-term economic and budgetary
position of the Member State.

The Commission may also prepare a report if, notwithstanding
the fulfilment of the requirements under the criteria, it is of the
opinion that there is a risk of an excessive deficit in a Member
State.

The Economic and Financial Committee shall formulate an

4.
opinion on the report of the Commission.

The Council of Ministers, on a recommendation from the
7.
Commission, shall adopt the European decisions and recom-
mendations referred to in paragraphs 8 to 11.
It shall act
without taking into account the vote of the representative of
the Member State concerned, and a qualified majority shall be
defined as the majority of the other Member States, representing
at least three fifths of their population.

8. Where it establishes that there has been no effective action
in response to its recommendations within the period laid
down, the Council of Ministers may make its recommendations
public.

If a Member State persists in failing to put into practice
9.
the recommendations of the Council of Ministers, the Council
of Ministers may adopt a European decision giving notice to the
Member State to take, within a specified time-limit, steps for the
deficit reduction which is judged necessary by the Council of
Ministers in order to remedy the situation.

the Council of Ministers may request

In such a case,
the
Member State concerned to submit reports in accordance with
a specific timetable in order to examine the adjustment efforts
of that Member State.

10.
As long as a Member State fails to comply with a
European decision adopted in accordance with paragraph 9,
the Council of Ministers may decide to apply or, as the case
may be, intensify one or more of the following measures:

(a) to require the Member State concerned to publish addi-
to be specified by the Council of

tional
Ministers, before issuing bonds and securities;

information,

(b) to invite the European Investment Bank to reconsider its

lending policy towards the Member State concerned;

(c) to require the Member State concerned to make a non-
interest-bearing deposit of an appropriate size with the
the
Union until
excessive deficit has been corrected;

the Council of Ministers considers that

(d) to impose fines of an appropriate size.

If the Commission considers that an excessive deficit in a
5.
Member State exists or may occur, it shall address an opinion to
the Member State concerned.

The President of
European Parliament of the measures adopted.

the Council of Ministers shall

inform the

The Council of Ministers shall, on a proposal from the
6.
Commission, having considered any observations which the
Member State concerned may wish to make and after an overall
assessment, decide whether an excessive deficit exists. In that
case it shall adopt, according to the same procedures, recom-
mendations addressed to the Member State concerned with a
view to bringing that situation to an end within a given period.
Subject to paragraph 8, those recommendations shall not be
made public.

Within the scope of this paragraph, the Council of Ministers
shall act without taking into account the vote of the representa-
tive of the Member State concerned, and a qualified majority
shall be defined as the majority of
the other
Member States, representing at least three fifths of their popula-
tion.

the votes of

The Council of Ministers shall abrogate some or all of the
11.
measures referred to in paragraph 6 and paragraphs 8 to 10 if it
considers the excessive deficit in the Member State concerned to
have been corrected. If the Council of Ministers has previously
made public recommendations, it shall state publicly, as soon as
the decision under paragraph 8 has been abrogated, that there is
no longer an excessive deficit in the Member State concerned.

12.
The rights to bring actions provided for in Articles III-
265 and III-266 may not be exercised within the framework of
paragraphs 1 to 6 or paragraphs 8 and 9.

13.
Further provisions relating to the implementation of the
procedure described in this Article are set out in the Protocol
on the excessive deficit procedure.

C 169/42

EN

Official Journal of the European Union

18.7.2003

A European law of the Council of Ministers shall lay down the
appropriate measures to replace the said Protocol. The Council
of Ministers shall act unanimously after consulting the European
Parliament and the European Central Bank.

The European System of Central Banks shall contribute to
5.
the smooth conduct of policies pursued by the competent
authorities relating to the prudential supervision of credit insti-
tutions and the stability of the financial system.

Subject to the other provisions of this paragraph, the Council of
Ministers, on a proposal
from the Commission, shall adopt
European regulations or decisions laying down detailed rules
and definitions for the application of the said Protocol. It shall
act after consulting the European Parliament.

6.
European laws may confer upon the European Central
Bank specific tasks concerning policies relating to the prudential
supervision of credit institutions and other financial institutions
with the exception of insurance undertakings. Such laws shall
be adopted after consultation of the European Central Bank.

SECTION 2

Monetary policy

Article III-77

1.
The primary objective of the European System of Central
Banks shall be to maintain price stability. Without prejudice to
the European System of Central Banks shall
this objective,
support the general economic policies in the Union in order to
contribute to the achievement of itsobjectives as laid down in
Article I-3. The European System of Central Banks shall act in
accordance with the principle of an open market economy with
free competition, favouring an efficient allocation of resources,
and in compliance with the principles set out in Article III-69.

The basic tasks to be carried out through the European

2.
System of Central Banks shall be:

Article III-78

1.
The European Central Bank shall have the exclusive right
to authorise the issue of euro bank notes in the Union. The
European Central Bank and the national central banks may issue
such notes. Only the bank notes issued by the European Central
Bank and the national central banks shall have the status of
legal tender within the Union.

2. Member States may issue euro coins subject to approval
by the European Central Bank of the volume of the issue. The
Council of Ministers, on a proposal from the Commission, may
adopt European regulations laying down measures to harmonise
the denominations and technical specifications of all coins
intended for circulation to the extent necessary to permit their
smooth circulation within the Union. The Council of Ministers
shall act after consulting the European Parliament and the
European Central Bank.

(a) to define and implement the Union's monetary policy;

Article III-79

(b) to conduct

foreign-exchange operations consistent with

Article III-228;

1.
The European System of Central Banks shall be composed
of the European Central Bank and of the national central banks.

(c) to hold and manage the official

foreign reserves of

the

Member States;

2.

The European Central Bank shall have legal personality.

(d) to promote the smooth operation of payment systems.

3.
Paragraph 2(c) shall be without prejudice to the holding
and management by the governments of Member States of
foreign-exchange working balances.

4.

The European Central Bank shall be consulted:

(a) on any proposed Union act in its fields of competence;

(b) by national authorities regarding any draft legislative provi-
sion in its fields of competence, but within the limits and
under the conditions set out by the Council of Ministers in
accordance with the procedure laid down in Article III-
79(6).

3.
The European System of Central Banks shall be governed
by the decision-making bodies of the European Central Bank,
which shall be the Governing Council and the Executive Board.

The Statute of the European System of Central Banks is
the European

4.
laid down in the Protocol on the Statute of
System of Central Banks and the European Central Bank.

5.
Articles 5.1, 5.2, 5.3, 17, 18, 19.1, 22, 23, 24, 26, 32.2,
32.3, 32.4, 32.6, 33.1(a) and 36 of the Statute of the European
System of Central Banks and the European Central Bank may be
amended by European laws:

(a) either on a proposal from the Commission after consulta-

tion of the European Central Bank;

The European Central Bank may submit opinions to the Union
institutions, bodies or agencies or to national authorities on
matters in its fields of competence.

(b) or on a recommendation from the European Central Bank

after consultation of the Commission.

18.7.2003

EN

Official Journal of the European Union

C 169/43

The Council of Ministers shall adopt the European regula-
6.
tions and decisions laying down the measures referred to in
Articles 4, 5.4, 19.2, 20, 28.1, 29.2, 30.4 and 34.3 of the
the System of European Central Banks and the
Statute of
European Central Bank.
shall act after consulting the
European Parliament:

It

(a) either on a proposal from the Commission after consulting

the European Central Bank;

(b) or on a recommendation from the European Central Bank

after consulting the Commission.

Article III-80

When exercising the powers and carrying out the tasks and
duties conferred upon them by the Constitution and the Statute
of the European System of Central Banks and the European
Central Bank, neither the European Central Bank, nor a national
central bank, nor any member of their decision-making bodies
shall seek or take instructions from Union institutions, bodies
or agencies, from any government of a Member State or from
any other body. The Union institutions, bodies or agencies and
the governments of the Member States undertake to respect this
principle and not to seek to influence the members of the
decision-making bodies of the European Central Bank or of the
national central banks in the performance of their tasks.

lishing the limits and conditions under which the European
Central Bank shall be entitled to impose fines or periodic
penalty payments on undertakings for failure to comply with
obligations under its European regulations and decisions.

Article III-83

Without prejudice to the powers of the European Central Bank,
a European law or framework law shall lay down the measures
necessary for use of the euro as the single currency of the
Member States. Such law or framework law shall be adopted
after consultation of the European Central Bank.

SECTION 3

Institutional provisions

Article III-84

the European Central Bank
The Governing Council of
1.
the
the Executive Board of
shall comprise the members of
European Central Bank and the Governors of
the national
central banks of the Member States without a derogation as
referred to in Article III-91.

Article III-81

2.

(a) The Executive Board shall comprise the President, the

Vice-President and four other members.

legislation,
Each Member State shall ensure that its national
including the statutes of its national central bank, is compatible
with the Constitution and the Statute of the European System of
Central Banks and the European Central Bank.

Article III-82

1.
In order to carry out the tasks entrusted to the European
System of Central Banks, the European Central Bank shall, in
accordance with the Constitution and under the conditions laid
down in the Statute of the European System of Central Banks
and the European Central Bank, adopt:

(a) European regulations to the extent necessary to implement
the tasks defined in Article 3.1, first indent, Articles 19.1,
22 and 25.2 of
the European System of
Central Banks and the European Central Bank and in cases
which shall be laid down in European regulations and
decisions as referred to in Article III-79(6);

the Statute of

(b) European decisions necessary for carrying out

the tasks
entrusted to the European System of Central Banks under
the Constitution and the Statute of the European System of
Central Banks and the European Central Bank;

(c) recommendations and opinions.

The European Central Bank may decide to publish its

2.
European decisions, recommendations and opinions.

The Council of Ministers shall, under the procedure laid
3.
down in Article III-79(6), adopt the European regulations estab-

(b) The President, the Vice-President and the other members
of the Executive Board shall be appointed from among
persons of recognised standing and professional experi-
ence in monetary or banking matters by common
accord of the governments of the Member States at the
level of Heads of State or Government, on a recommen-
dation from the Council of Ministers, after
it has
consulted the European Parliament and the Governing
Council of the European Central Bank.

Their term of office shall be eight years and shall not be
renewable.

Only nationals of Member States may be members of
the Executive Board.

Article III-85

1.
The President of the Council of Ministers and a member
of the Commission may participate, without having the right to
vote,
in meetings of the Governing Council of the European
Central Bank.

The President of the Council of Ministers may submit a motion
for deliberation to the Governing Council of
the European
Central Bank.

The President of

2.
the European Central Bank shall be
invited to participate in meetings of the Council of Ministers
when it is discussing matters relating to the objectives and tasks
of the European System of Central Banks.

C 169/44

EN

Official Journal of the European Union

18.7.2003

The European Central Bank shall address an annual report
3.
on the activities of the European System of Central Banks and
on the monetary policy of both the previous and the current
year to the European Parliament, the Council of Ministers and
the Commission, and also to the European Council. The Presi-
dent of the European Central Bank shall present this report to
the Council of Ministers and to the European Parliament, which
may hold a general debate on that basis.

the European Central Bank and the other
The President of
members of the Executive Board may, at the request of the
European Parliament or on their own initiative, be heard by the
competent committees of the European Parliament.

Article III-86

In order

1.
the policies of
to promote coordination of
Member States to the full extent needed for the functioning of
the internal market, an Economic and Financial Committee is
hereby set up.

2.

The Committee shall have the following tasks:

(a) to deliver opinions at

the Council of
Ministers or of the Commission, or on its own initiative,
for submission to those institutions;

the request of

(b) to keep under review the economic and financial situation
of the Member States and of the Union and to report on it
regularly to the Council of Ministers and to the Commis-
sion,
in particular with regard to financial relations with
third countries and international institutions;

the work of

(c) without prejudice to Article III-247, to contribute to the
the Council of Ministers
preparation of
referred to in Article III-48, Article III-71(2), (3), (4) and
(6), Articles III-72, III-74, III-75 and III-76, Article III-77(6),
Article III-78(2), Article III-79(5) and (6), Articles III-83
III-95,
and III-90, Article
Article III-96(2) and (3) and Articles III-224 and III-228,
and to carry out other advisory and preparatory tasks
assigned to it by the Council of Ministers;

and (3), Article

III-92(2)

from the application of

(d) to examine, at least once a year, the situation regarding the
movement of capital and the freedom of payments, as they
result
the Constitution and of
the examination shall cover all measures
Union acts;
the
capital movements
to
relating
Committee shall report
to the Commission and to the
Council of Ministers on the outcome of this examination.

payments;

and

The Member States, the Commission and the European Central
Bank shall each appoint no more than two members of the
Committee.

The Council of Ministers, on a proposal

3.
from the
Commission, shall adopt a European decision laying down
detailed provisions
the
Economic and Financial Committee. It shall act after consulting
the European Central Bank and the Committee. The President of
the Council of Ministers shall inform the European Parliament
of that decision.

composition of

concerning

the

In addition to the tasks set out in paragraph 2, if and as
4.
long as there are Member States with a derogation as referred to
in Article III-91, the Committee shall keep under review the
monetary and financial situation and the general payments
system of
those Member States and report regularly to the
Council of Ministers and to the Commission on the matter.

Article III-87

For matters within the scope of Article III-71(4), Article III-76
with the exception of paragraph 13, Articles III-83, III-90 and
III-91, Article III-92(3) and Article III-228,
the Council of
Ministers or a Member State may request the Commission to
make a recommendation or a proposal, as appropriate. The
Commission shall examine this request and submit its conclu-
sions to the Council of Ministers without delay.

SECTION 3a

Provisions specific to Member States which are part of
the euro area

Article III-88

In order to ensure that economic and monetary union
1.
works properly, and in accordance with the relevant provisions
of the Constitution, measures specific to those Member States
which are members of the euro area shall be adopted:

(a) to strengthen the coordination of their budgetary discipline

and surveillance of it;

(b) to set out economic policy guidelines for

them, while
ensuring that they are compatible with those adopted for
the whole of the Union and are kept under surveillance.

2.
For those measures set out in paragraph 1, only members
of the Council of Ministers representing Member States which
are part of the euro area shall vote. A qualified majority shall be
defined as the majority of the votes of the representatives of the
Member States which are part of the euro area, representing at
least
those
members of the Council of Ministers shall be required for an
act requiring unanimity.

their population. Unanimity of

three fifths of

Article III-89

Arrangements for meetings between ministers of those Member
States which are part of the euro area shall be laid down in the
Protocol on the Euro Group.

Article III-90

1.
In order to secure the euro's place in the international
monetary system, the Council of Ministers, on a proposal from
the Commission and after consulting the European Central
Bank, shall adopt a European decision establishing common
positions on matters of particular interest for economic and
monetary union within the competent international financial
institutions and conferences.

18.7.2003

EN

Official Journal of the European Union

C 169/45

the measures

referred to in paragraph 1, only
For
2.
members of
the Council of Ministers representing Member
States which are part of the euro area shall vote. A qualified
majority shall be defined as the majority of the votes of the
representatives of the Member States which are part of the euro
their population.
area,
Unanimity of those members of the Council of Ministers shall
be required for an act requiring unanimity.

representing at

three fifths of

least

The Council of Ministers, on a proposal

3.
from the
Commission, may adopt appropriate measures to ensure unified
representation within the international financial institutions and
conferences. The procedural provisions of paragraphs 1 and 2
shall apply.

SECTION 4

Transitional provisions

Article III-91

1. Member States which the Council of Ministers has decided
do not fulfil the necessary conditions for the adoption of the
euro shall hereinafter be referred to as ‘Member States with a
derogation’.

The following provisions of
2.
apply to Member States with a derogation:

the Constitution shall not

(a) adoption of the parts of the broad economic-policy guide-
lines which concern the euro area generally (Article III-
71(2));

(b) coercive means of remedying excessive deficits (Article III-

76(9) and (10));

(c) the objectives and tasks of the European System of Central

Banks (Article III-77(1), (2), (3) and (5));

(d) issue of the euro (Article III-78);

(e) acts of the European Central Bank (Article III-82);

(f) measures governing the use of the euro (Article III-83);

(g) monetary agreements

and other measures

relating to

exchange-rate policy (Article III-228);

(h) appointment of members of

the Executive Board of

the

European Central Bank (Article III-84(2)(b)).

In the Articles referred to above, ‘Member States’ shall therefore
mean Member States without a derogation.

3.
Under Chapter IX of the Statute of the European System
of Central Banks and the European Central Bank, Member States
with a derogation and their national central banks are excluded
from rights and obligations within the European System of
Central Banks.

4.
The voting rights of members of the Council of Ministers
representing Member States with a derogation shall be
suspended for the adoption by the Council of Ministers of the

measures referred to in the Articles listed in paragraph 2. A
qualified majority shall be defined as a majority of the votes of
the representatives of the Member States without a derogation,
representing at least three fifths of their population. Unanimity
of those Member States shall be required for any act requiring
unanimity.

Article III-92

At least once every two years, or at the request of a
1.
Member State with a derogation,
the Commission and the
European Central Bank shall report to the Council of Ministers
on the progress made by the Member States with a derogation
in fulfilling their obligations regarding the achievement of
economic and monetary union. These reports shall include an
examination of the compatibility between each of these Member
States' national legislation, including the statutes of its national
central bank, and Articles III-80 and III-81 and the Statute of
the European System of Central Banks and the European
Central Bank. The reports shall also examine whether a high
degree of
sustainable convergence has been achieved, by
analysing how far each of these Member States has fulfilled the
following criteria:

(a) the achievement of a high degree of price stability; this will
be apparent from a rate of inflation which is close to that
of, at most, the three best performing Member States in
terms of price stability;

(b) the sustainability of the government financial position; this
from having achieved a government
is excessive as

will be apparent
budgetary position without a deficit
determined in accordance with Article III-76(6);

that

(c) the observance of the normal fluctuation margins provided
for by the exchange-rate mechanism for at least two years,
without devaluing against the euro;

(d) the durability of convergence achieved by the Member State
with a derogation and of its participation in the exchange-
rate mechanism, being reflected in the long-term interest-
rate levels.

The four criteria mentioned in this paragraph and the relevant
periods over which they are to be respected are developed
further in the Protocol on the convergence criteria. The reports
of the Commission and the European Central Bank shall also
take account of the results of the integration of markets, the
situation and development of
the balances of payments on
current account and an examination of the development of
unit labour costs and other price indices.

2.
After consulting the European Parliament and after discus-
sion in the European Council, the Council of Ministers, on a
proposal from the Commission, shall adopt a European decision
establishing which Member States with a derogation fulfil the
necessary conditions on the basis of
the criteria set out in
paragraph 1, and shall abrogate the derogations of the Member
States concerned.

C 169/46

EN

Official Journal of the European Union

18.7.2003

If it is decided, according to the procedure set out in
3.
paragraph 2, to abrogate a derogation, the Council of Ministers
shall, on a proposal from the Commission, with the unanimity
of the members representing Member States without a deroga-
tion and the Member State concerned, adopt
the European
regulations or decisions irrevocably fixing the rate at which the
euro is to be substituted for the currency of the Member State
concerned, and laying down the other measures necessary for
the euro as the single currency in that
the introduction of
Member State. The Council of Ministers
after
consulting the European Central Bank.

shall

act

Article III-93

1.
If and as long as there are Member States with a deroga-
tion, and without prejudice to Article III-79(3), the General
Council of the European Central Bank referred to in Article 45
of the Statute of the European System of Central Banks and the
European Central Bank shall be constituted as a third decision-
making body of the European Central Bank.

If the action taken by a Member State with a derogation and the
measures suggested by the Commission do not prove sufficient
to overcome the difficulties which have arisen or which
threaten, the Commission shall, after consulting the Economic
and Financial Committee, recommend to the Council of Minis-
ters the granting of mutual assistance and appropriate methods.

The Commission shall keep the Council of Ministers regularly
informed of the situation and of how it evolves.

The Council of Ministers shall grant such mutual assis-
2.
tance;
it shall adopt European regulations or decisions laying
down the conditions and details of such assistance, which may
take such forms as:

(a) a concerted approach to or within any other international
organisations to which Member States with a derogation
may have recourse;

2.
If and as long as there are Member States with a deroga-
tion, the European Central Bank shall, as regards those Member
States:

(b) measures needed to avoid deflection of

trade where the
Member State with a derogation which is in difficulties
maintains or reintroduces quantitative restrictions against
third countries;

(a) strengthen cooperation between the national central banks;

(c) the granting of

limited credits by other Member States,

subject to their agreement.

(b) strengthen the coordination of the monetary policies of the
Member States, with the aim of ensuring price stability;

(c) monitor the functioning of the exchange-rate mechanism;

(d) hold consultations concerning issues

falling within the
competence of the national central banks and affecting the
stability of financial institutions and markets;

(e) carry out

the former

the European Monetary
tasks of
Cooperation Fund, previously taken over by the European
Monetary Institute.

Article III-94

Each Member State with a derogation shall treat its exchange-
rate policy as a matter of common interest. In so doing, it shall
take account of the experience acquired in cooperation within
the framework of the exchange-rate mechanism.

Article III-95

1. Where a Member State with a derogation is in difficulties
or is seriously threatened with difficulties as regards its balance
of payments either as a result of an overall disequilibrium in its
balance of payments, or as a result of the type of currency at its
disposal, and where such difficulties are liable in particular to
jeopardise the functioning of the internal market or the imple-
mentation of the common commercial policy, the Commission
shall immediately investigate the position of the State in ques-
tion and the action which, making use of all the means at its
disposal, that State has taken or may take in accordance with
the Constitution. The Commission shall state what measures it
recommends the Member State concerned to adopt.

3.
If the mutual assistance recommended by the Commission
is not granted by the Council of Ministers or if the mutual
assistance granted and the measures taken are insufficient, the
Commission shall authorise the Member State with a derogation
which is in difficulties to take protective measures, the condi-
tions and details of which the Commission shall determine.

Such authorisation may be revoked and such conditions and
details may be changed by the Council of Ministers.

Article III-96

1. Where a sudden crisis in the balance of payments occurs
is not
and an act within the meaning of Article III-95(2)
immediately adopted, a Member State with a derogation may,
as a precaution, take the necessary protective measures. Such
measures must cause the least possible disturbance in the
functioning of the internal market and must not be wider in
scope than is strictly necessary to remedy the sudden difficulties
which have arisen.

2.
The Commission and the other Member States shall be
informed of such protective measures not later than when they
enter into force. The Commission may recommend to the
Council of Ministers the granting of mutual assistance under
Article III-95.

3.
After the Commission has delivered an opinion and the
Economic and Financial Committee has been consulted, the
Council of Ministers may adopt a decision stipulating that the
Member State concerned shall amend, suspend or abolish the
protective measures referred to above.

18.7.2003

EN

Official Journal of the European Union

C 169/47

Ch apte r I II

POLICIES IN OTHER SPECIFIC AREAS

Each Member State shall provide the Council of Ministers
3.
and the Commission with an annual report on the principal
steps taken to implement its employment policy in the light of
the guidelines for employment as referred to in paragraph 2.

SECTION 1

Employment

Article III-97

The Union and the Member States shall, in accordance with this
Section, work towards developing a coordinated strategy for
employment and particularly for promoting a skilled, trained
and adaptable workforce and labour markets responsive to
economic change with a view to achieving the objectives
defined in Article I-3.

Article III-98

1. Member States, through their employment policies, shall
contribute to the achievement of the objectives referred to in
Article III-97 in a way consistent with the broad guidelines of
the economic policies of the Member States and of the Union
adopted pursuant to Article III-71(2).

2. Member States, having regard to national practices related
to the responsibilities of
regard
promoting employment as a matter of common concern and
shall coordinate their action in this respect within the Council
of Ministers, in accordance with Article III-100.

the social partners,

shall

Article III-99

1.
The Union shall contribute to a high level of employment
by encouraging cooperation between Member States and by
supporting and,
In
doing so,
the Member States shall be
respected.

if necessary, complementing their action.

the competences of

2.
The objective of a high level of employment shall be taken
into consideration in the formulation and implementation of
Union policies and activities.

The Council of Ministers, on the basis of

the reports
4.
referred to in paragraph 3 and having received the views of
the Employment Committee, shall each year carry out an
examination of the implementation of the employment policies
of the Member States in the light of the guidelines for employ-
ment. The Council of Ministers, on a recommendation from the
Commission, may adopt
shall
address to Member States.

recommendations which it

On the basis of

5.
the
the results of
Council of Ministers and the Commission shall make a joint
annual report to the European Council on the employment
situation in the Union and on the implementation of
the
guidelines for employment.

that examination,

Article III-101

European laws or
framework laws may establish incentive
measures designed to encourage cooperation between Member
States and to support their action in the field of employment
through initiatives aimed at developing exchanges of informa-
tion and best practices, providing comparative analysis and
advice as well as promoting innovative approaches and evalu-
ating experiences,
in particular by recourse to pilot projects.
They shall be adopted after consultation with the Committee of
the Regions and the Economic and Social Committee.

Such European laws or
harmonisation of
States.

framework laws shall not

the laws and regulations of

include
the Member

Article III-102

The Council of Ministers shall, by simple majority, adopt a
European decision establishing an Employment Committee
with advisory status to promote coordination between Member
States on employment and labour market policies. It shall act
after consulting the European Parliament.

Article III-100

The tasks of the Committee shall be:

The European Council

the
1.
employment situation in the Union and adopt conclusions
thereon, on the basis of a joint annual report by the Council
of Ministers and the Commission.

shall each year consider

2.
On the basis of the conclusions of the European Council,
the Council of Ministers, on a proposal from the Commission,
shall each year adopt guidelines which the Member States shall
take into account in their employment policies. It shall act after
the
consulting the European Parliament,
Regions, the Economic and Social Committee and the Employ-
ment Committee.

the Committee of

(a) to monitor

the employment situation and employment

policies in the Member States and the Union;

(b) without prejudice to Article III-247, to formulate opinions
at the request of either the Council of Ministers or the
Commission or on its own initiative, and to contribute to
the preparation of
the Council of Ministers proceedings
referred to in Article III-100.

In fulfilling its mandate, the Committee shall consult the social
partners.

These guidelines shall be consistent with the broad guidelines
adopted pursuant to Article III-71(2).

Each Member State and the Commission shall appoint
members of the Committee.

two

C 169/48

EN

Official Journal of the European Union

18.7.2003

SECTION 2

Social policy

Article III-103

The Union and the Member States, having in mind fundamental
social rights such as those set out
in the European Social
Charter signed at Turin on 18 October 1961 and in the 1989
the Fundamental Social Rights of
Community Charter of
Workers,
the promotion of
their objectives
shall have as
employment, improved living and working conditions, so as to
make possible their harmonisation while the improvement is
being maintained, proper social protection, dialogue between
the social partners, the development of human resources with a
view to lasting high employment and the combating of exclu-
sion.

To this end the Union and the Member States shall act taking
account of the diverse forms of national practices, in particular
in the field of contractual relations, and the need to maintain
the competitiveness of the Union economy.

They believe that such a development will ensue not only from
the functioning of the internal market, which will favour the
harmonisation of social systems, but also from the procedures
provided for in the Constitution and from the approximation of
provisions laid down by law, regulation or administrative action.

Article III-104

1. With a view to achieving the objectives of Article III-103,
the Union shall support and complement the activities of the
Member States in the following fields:

(a) improvement in particular of the working environment to

protect workers' health and safety;

(b) working conditions;

(c) social security and social protection of workers;

(d) protection of workers where their employment contract is

terminated;

(e) the information and consultation of workers;

(f) representation and collective defence of

the interests of
workers and employers, including co-determination, subject
to paragraph 6;

(g) conditions of

for
legally residing in Union territory;

employment

third-country nationals

(h) the integration of persons excluded from the labour

market, without prejudice to Article III-183;

(i) equality between men and women with regard to labour

market opportunities and treatment at work;

(j) the combating of social exclusion;

2.

To this end:

(a) European laws or framework laws may establish measures
designed to encourage cooperation between Member States
through initiatives aimed at improving knowledge, devel-
oping
information and best practices,
promoting innovative approaches and evaluating experi-
ences, excluding any harmonisation of the laws and regula-
tions of the Member States;

exchanges of

(b) in the fields referred to in paragraph 1(a) to (i), European
framework laws may establish minimum requirements for
gradual
implementation, having regard to the conditions
and technical rules obtaining in each of the Member States.
Such European framework laws
shall avoid imposing
administrative,
financial and legal constraints in a way
which would hold back the creation and development of
small and medium-sized undertakings.

In all cases, such European laws or framework laws shall be
adopted after consultation of the Committee of the Regions and
the Economic and Social Committee.

By way of derogation from paragraph 2,

3.
in the fields
referred to in paragraph 1(c), (d), (f) and (g), European laws or
framework laws shall be adopted by the Council of Ministers
acting unanimously after consulting the European Parliament,
the Committee of the Regions and the Economic and Social
Committee.

The Council of Ministers may, on a proposal from the Commis-
sion, adopt a European decision making the ordinary legislative
procedure applicable to paragraph 1(d), (f) and (g). It shall act
unanimously after consulting the European Parliament.

4.
A Member State may entrust the social partners, at their
joint request, with the implementation of European framework
laws adopted pursuant to paragraph 2.

In this case, it shall ensure that, no later than the date on which
a European framework law must be transposed,
the social
partners have introduced the necessary measures by agreement,
the Member State concerned being required to take any neces-
sary step enabling it at any time to be in a position to guarantee
the results imposed by that framework law.

The

5.
pursuant to this Article:

European laws

and framework

laws

adopted

(a) shall not affect the right of Member States to define the
fundamental principles of their social security systems and
must not
equilibrium
thereof;

significantly affect

financial

the

(b) shall not prevent any Member State from maintaining or
introducing more stringent protective measures compatible
with the Constitution.

(k) the modernisation of social protection systems without

prejudice to point (c).

This Article shall not apply to pay, the right of association,

6.
the right to strike or the right to impose lock-outs.

18.7.2003

EN

Official Journal of the European Union

C 169/49

Article III-105

(g) the right of association and collective bargaining between

employers and workers.

The Commission shall have the task of promoting the
1.
consultation of
the social partners at Union level and shall
adopt any relevant measure to facilitate their dialogue by
ensuring balanced support for the parties.

2.
To this end, before submitting proposals in the social
policy field, the Commission shall consult the social partners
on the possible direction of Union action.

If, after such consultation,

3.
the Commission considers
Union action desirable, it shall consult the social partners on
the content of the envisaged proposal. The social partners shall
forward to the Commission an opinion or, where appropriate, a
recommendation.

On the occasion of such consultation, the social partners
4.
their wish to initiate the
may inform the Commission of
process provided for in Article III-106. The duration of the
procedure shall not exceed nine months, unless the social
partners concerned and the Commission decide jointly to
extend it.

Article III-106

Should the social partners so desire, the dialogue between
1.
them at Union level may lead to contractual relations, including
agreements.

2.
Agreements concluded at Union level shall be imple-
mented either in accordance with the procedures and practices
specific to the social partners and the Member States or,
in
matters covered by Article III-104, at the joint request of the
signatory parties, by European regulations or decisions adopted
by the Council of Ministers on a proposal from the Commis-
sion. The European Parliament shall be informed.

Where the agreement in question contains one or more provi-
sions relating to one of
the areas for which unanimity is
required by virtue of Article III-104(3), the Council of Ministers
shall act unanimously.

Article III-107

With a view to achieving the objectives of Article III-103 and
without prejudice to the other provisions of the Constitution,
the Commission shall encourage cooperation between the
Member States and facilitate the coordination of their action in
all social policy fields under this Section, particularly in matters
relating to:

(a) employment;

(b) labour law and working conditions;

To this end, the Commission shall act in close contact with
Member States by making studies, delivering opinions and
arranging consultations both on problems arising at national
level and on those of concern to international organisations, in
particular initiatives aiming at the establishment of guidelines
and indicators, the organisation of exchange of best practice,
and the preparation of
the necessary elements for periodic
monitoring and evaluation. The European Parliament shall be
kept fully informed.

Before delivering the opinions provided for in this Article, the
Commission shall consult the Economic and Social Committee.

Article III-108

1.
Each Member State shall ensure that the principle of equal
pay for male and female workers for equal work or work of
equal value is applied.

For the purpose of this Article, ‘pay’ means the ordinary
2.
basic or minimum wage or salary and any other consideration,
whether in cash or in kind, which the worker receives directly
or indirectly, in respect of his employment, from his employer.

Equal pay without discrimination based on sex means:

(a) that pay for the same work at piece rates shall be calcu-

lated on the basis of the same unit of measurement;

(b) that pay for work at time rates shall be the same for the

same job.

European laws or framework laws shall establish measures
3.
to ensure the application of the principle of equal opportunities
and equal treatment of men and women in matters of employ-
ment and occupation, including the principle of equal pay for
equal work or work of equal value. They shall be adopted after
consultation of the Economic and Social Committee.

4. With a view to ensuring full equality in practice between
men and women in working life, the principle of equal treat-
ment shall not prevent any Member State from maintaining or
adopting measures providing for specific advantages in order to
make it easier for the under-represented sex to pursue a voca-
tional activity or to prevent or compensate for disadvantages in
professional careers.

Article III-109

Member States shall endeavour to maintain the existing equiva-
lence between paid holiday schemes.

(c) basic and advanced vocational training;

Article III-110

(d) social security;

(e) prevention of occupational accidents and diseases;

(f) occupational hygiene;

The Commission shall draw up a report each year on progress
in achieving the objectives of Article III-103,
including the
demographic situation in the Union. It shall forward the report
to the European Parliament, the Council of Ministers and the
Economic and Social Committee.

C 169/50

EN

Official Journal of the European Union

18.7.2003

Article III-111

Article III-115

The Council of Ministers shall, by a simple majority, adopt a
European decision establishing a Social Protection Committee
with advisory status to promote cooperation on social protec-
tion policies between Member States and with the Commission.
The Council of Ministers shall act after consulting the European
Parliament.

The tasks of the Committee shall be:

(a) to monitor the social situation and the development of
social protection policies in the Member States and the
Union;

(b) to promote exchanges of information, experience and good
practice between Member States and with the Commission;

(c) without prejudice to Article III-247,

to prepare reports,
formulate opinions or undertake other work within its
fields of competence, at the request of either the Council
of Ministers or the Commission or on its own initiative.

In fulfilling its mandate, the Committee shall establish appro-
priate contacts with the social partners.

Implementing measures relating to the European Social Fund
shall be enacted in European laws. Such laws shall be adopted
after consultation of the Committee of the Regions and the
Economic and Social Committee.

SECTION 3

Economic, social and territorial cohesion

Article III-116

In order to promote its overall harmonious development, the
Union shall develop and pursue its action leading to the
strengthening of its economic, social and territorial cohesion.

the Union shall aim at

In particular,
reducing disparities
between the levels of development of the various regions and
islands,
the backwardness of
including rural areas.

favoured regions or

the least

Each Member State and the Commission shall appoint
members of the Committee.

two

Article III-117

Article III-112

The Commission shall
include a separate chapter on social
developments within the Union in its annual report to the
European Parliament.

The European Parliament may invite the Commission to draw
up reports on any particular problems concerning social condi-
tions.

S ubsec tion 1

The European Social Fund

Article III-113

In order to improve employment opportunities for workers in
the internal market and to contribute thereby to raising the
standard of living, a European Social Fund is hereby established;
it shall aim to render the employment of workers easier and to
increase their geographical and occupational mobility within the
Union, and to facilitate their adaptation to industrial changes
in particular through
and to changes in production systems,
vocational training and retraining.

Member States shall conduct their economic policies and shall
coordinate them in such a way as,
in addition, to attain the
objectives set out in Article III-116. The formulation and imple-
mentation of the Union's policies and action and the imple-
mentation of the internal market shall take into account those
objectives and shall contribute to their achievement. The Union
shall also support the achievement of these objectives by the
action it takes through the Structural Funds (European Agricul-
Section;
tural Guidance
European Social Fund; European Regional Development Fund),
the European Investment Bank and the other existing financial
instruments.

Fund, Guidance

and Guarantee

The Commission shall submit a report to the European Parlia-
ment, the Council of Ministers, the Committee of the Regions
and the Economic and Social Committee every three years on
the progress made towards achieving economic, social and
territorial cohesion and on the manner in which the various
means provided for in this Article have contributed to it. This
report shall, if necessary, be accompanied by appropriate propo-
sals.

European laws or framework laws may establish any specific
measure outside the Funds, without prejudice to measures
adopted within the framework of the Union's other policies.
They shall be adopted after consultation of the Committee of
the Regions and the Economic and Social Committee.

Article III-114

Article III-118

The Commission shall administer the Fund.

It shall be assisted in this task by a Committee presided over by
a Member of the Commission and composed of representatives
of Member States, trade unions and employers' organisations.

The European Regional Development Fund is intended to help
to redress the main regional imbalances in the Union through
participation in the development and structural adjustment of
is lagging behind and in the
regions whose development
conversion of declining industrial regions.

18.7.2003

EN

Official Journal of the European Union

C 169/51

Article III-119

Article III-123

Without prejudice to Article III-120, European laws shall define
the tasks, priority objectives and the organisation of the Struc-
tural Funds — which may involve grouping the Funds —, the
general rules applicable to them and the provisions necessary to
ensure their effectiveness and the coordination of the Funds
with one another and with the other existing financial instru-
ments.

A Cohesion Fund set up by a European law shall provide a
financial contribution to projects in the fields of environment
and trans-European networks in the area of transport infra-
structure.

In all cases, such European laws shall be adopted after consulta-
tion of the Committee of the Regions and the Economic and
Social Committee. The Council of Ministers shall act unan-
imously until 1 January 2007.

Article III-120

Implementing measures
relating to the European Regional
Development Fund shall be enacted in European laws. Such
laws shall be adopted after consultation of the Committee of
the Regions and the Economic and Social Committee.

With regard to the European Agricultural Guidance and Guar-
antee Fund, Guidance Section, and the European Social Fund,
Articles III-127 and III-115 respectively shall apply.

SECTION 4

Agriculture and fisheries

Article III-121

The Union shall define and implement a common agriculture
and fisheries policy.

‘Agricultural products’ means the products of the soil, of stock-
farming and of fisheries and products of first-stage processing
directly related to these products. References to the common
agricultural policy or to agriculture, and the use of the term
‘agricultural’, shall be understood as also referring to fisheries,
having regard to the specific characteristics of this sector.

Article III-122

The internal market shall extend to agriculture and trade

1.
in agricultural products.

2.
Save as otherwise provided in Articles III-123 to III-128,
the rules laid down for the establishment of the internal market
shall apply to agricultural products.

The products listed in Annex I (*) shall be subject

3.
Articles III-123 to III-128.

to

The operation and development of the internal market for
4.
agricultural products must be accompanied by the establishment
of a common agricultural policy.

1.

The objectives of the common agricultural policy shall be:

(a) to increase agricultural productivity by promoting technical
progress and by ensuring the rational development of
agricultural production and the optimum utilisation of the
factors of production, in particular labour;

(b) thus to ensure a fair standard of living for the agricultural
community, in particular by increasing the individual earn-
ings of persons engaged in agriculture;

(c) to stabilise markets;

(d) to assure the availability of supplies;

(e) to ensure that supplies reach consumers at

reasonable

prices.

In working out the common agricultural policy and the

2.
special methods for its application, account shall be taken of:

(a) the particular nature of agricultural activity, which results
from the social structure of agriculture and from structural
and natural disparities between the various agricultural
regions;

(b) the need to effect the appropriate adjustments by degrees;

(c) the fact that in the Member States agriculture constitutes a

sector closely linked with the economy as a whole.

Article III-124

In order to attain the objectives set out in Article III-123,
1.
a common organisation of agricultural markets shall be estab-
lished.

This organisation shall
depending on the product concerned:

take one of

the following forms,

(a) common rules on competition;

(b) compulsory coordination of

the various national market

organisations;

(c) a European market organisation.

2.
The common organisation established in accordance with
paragraph 1 may include all measures required to attain the
objectives set out in Article III-123, in particular regulation of
prices, aids for the production and marketing of the various
products, storage and carryover arrangements and common
machinery for stabilising imports or exports.

The common organisation shall be limited to pursuit of the
in Article III-123 and shall exclude any
objectives set out
discrimination between producers or consumers within the
Union.

(*)

This Annex, which corresponds to Annex I to the TEC, is to be
drawn up.

Any common price policy shall be based on common criteria
and uniform methods of calculation.

C 169/52

EN

Official Journal of the European Union

18.7.2003

In order to enable the common organisation referred to in
3.
paragraph 1 to attain its objectives, one or more agricultural
guidance and guarantee funds may be set up.

In accordance with paragraph 2,

the national market
4.
organisations may be replaced by the common organisation
provided for in Article III-124(1) if:

Article III-125

To enable the objectives set out
in Article III-123 to be
attained, provision may be made within the framework of the
common agricultural policy for measures such as:

(a) an effective coordination of efforts in the spheres of voca-
tional
the dissemination of
agricultural knowledge; this may include joint financing of
projects or institutions;

training, of research and of

(b) joint measures

to promote

consumption of

certain

products.

Article III-126

The Section relating to rules on competition shall apply to
1.
production of and trade in agricultural products only to the
extent determined by European laws or framework laws in
accordance with Article III-127(2), having regard to the objec-
tives set out in Article III-123.

The Council of Ministers, on a proposal

2.
from the
Commission, may adopt a European regulation or decision
authorising the granting of aid:

(a) for the protection of enterprises handicapped by structural

or natural conditions;

(b) within

the
programmes.

framework

of

economic

development

Article III-127

The Commission shall submit proposals for working out
1.
and implementing the common agricultural policy,
including
the replacement of the national organisations by one of the
forms of common organisation provided for in Article III-
124(1), and for implementing the measures referred to in this
Section.

(a) the common organisation offers Member States which are
opposed to this measure and which have an organisation
their own for the production in question equivalent
of
living of
safeguards for the employment and standard of
the producers concerned, account being taken of
the
adjustments that will be possible and the specialisation
that will be needed with the passage of time;

(b) such an organisation ensures conditions for trade within
the Union similar to those existing in a national market.

5.
If a common organisation for certain raw materials is
established before a common organisation exists for the corre-
sponding processed products, such raw materials as are used for
processed products intended for export to third countries may
be imported from outside the Union.

Article III-128

Where in a Member State a product is subject to a national
market organisation or to internal rules having equivalent effect
which affect the competitive position of similar production in
another Member State, a countervailing charge shall be applied
by Member States to imports of this product coming from the
Member State where such organisation or rules exist, unless that
State applies a countervailing charge on export.

The Commission shall adopt European regulations or decisions
fixing the amount of these charges at the level required to
redress the balance; it may also authorise other measures, the
conditions and details of which it shall determine.

SECTION 5

Environment

Article III-129

Union policy on the environment shall contribute to

1.
pursuit of the following objectives:

(a) preserving, protecting and improving the quality of

the

environment;

These proposals shall take account of the interdependence of
the agricultural matters mentioned in this Section.

(b) protecting human health;

European laws or

framework laws shall establish the
2.
common organisation of the market provided for in Article III-
124(1) and the other provisions necessary for the achievement
of the objectives of the common agricultural policy and the
common fisheries policy. They shall be adopted after consulta-
tion of the Economic and Social Committee.

The Council of Ministers, on a proposal

3.
from the
Commission, shall adopt the European regulations or decisions
on fixing prices, levies, aid and quantitative limitations and on
the fixing and allocation of fishing opportunities.

(c) prudent and rational utilisation of natural resources;

(d) promoting measures at

international

level

to deal with

regional or worldwide environmental problems.

Union policy on the environment shall aim at a high level
2.
of protection taking into account the diversity of situations in
the various regions of
It shall be based on the
precautionary principle and on the principles that preventive
action should be taken, that environmental damage should as a
priority be rectified at source and that the polluter should pay.

the Union.

18.7.2003

EN

Official Journal of the European Union

C 169/53

In this context, harmonisation measures answering environ-
mental protection requirements shall
include, where appro-
priate, a safeguard clause allowing Member States to take provi-
sional steps, for non-economic environmental reasons, subject
to a procedure of inspection by the Union.

In preparing its policy on the environment, the Union

3.
shall take account of:

(a) available scientific and technical data;

(b) environmental conditions in the various regions of

the

Union;

(c) the potential benefits and costs of action or lack of action;

(d) the economic and social development of the Union as a

whole and the balanced development of its regions.

4. Within their respective spheres of competence, the Union
and the Member States shall cooperate with third countries and
with the competent international organisations. The arrange-
ments for
the Union's cooperation may be the subject of
agreements between the Union and the third parties concerned,
which shall be negotiated and concluded in accordance with
Article III-272.

The previous
subparagraph shall be without prejudice to
Member States' competence to negotiate in international bodies
and to conclude international agreements.

Article III-130

1.
European laws or framework laws shall establish what
action is to be taken in order to achieve the objectives referred
to in Article III-129. They shall be adopted after consultation of
the Committee of the Regions and the Economic and Social
Committee.

2.
By way of derogation from paragraph 1 and without
prejudice to Article III-65, the Council of Ministers shall unan-
imously adopt European laws or framework laws establishing:

(a) measures primarily of a fiscal nature;

(b) measures affecting:

(i) town and country planning;

(ii) quantitative management

or
affecting, directly or indirectly, the availability of those
resources;

of water

resources

(iii) land use, with the exception of waste management;

(c) measures significantly affecting a Member State's choice
between different energy sources and the general structure
of its energy supply.

The Council of Ministers may unanimously adopt a European
decision making the ordinary legislative procedure applicable to
the matters referred to in the first subparagraph of this para-
graph.

In all cases, the Council of Ministers shall act after consulting
the European Parliament, the Committee of the Regions and the
Economic and Social Committee.

General action programmes which set out priority objec-
3.
tives to be attained shall be enacted by European laws. Such
laws shall be adopted after consultation of the Committee of
the Regions and the Economic and Social Committee.

these
The measures necessary for
programmes shall be adopted under the terms of paragraph 1
or paragraph 2, according to the case.

the implementation of

4. Without prejudice to certain measures adopted by the
Union, the Member States shall
the
environment policy.

finance and implement

5. Without prejudice to the principle that
the polluter
should pay, if a measure based on paragraph 1 involves costs
deemed disproportionate
authorities of a
Member State, such measure shall provide in appropriate form
for:

the public

for

(a) temporary derogations, and/or

(b) financial support from the Cohesion Fund.

Article III-131

The protective provisions adopted pursuant to Article III-130
shall not prevent any Member State from maintaining or
introducing more stringent protective provisions. Such provi-
sions must be compatible with the Constitution. They shall be
notified to the Commission.

SECTION 6

Consumer protection

Article III-132

1.
In order to promote the interests of consumers and to
ensure a high level of consumer protection, the Union shall
contribute to protecting the health, safety and economic inter-
ests of consumers, as well as to promoting their right
to
information, education and to organise themselves in order to
safeguard their interests.

The Union shall contribute to the attainment of

2.
objectives referred to in paragraph 1 through:

the

(a) measures adopted pursuant to Article III-65 in the context

of the completion of the internal market;

(b) measures which support,

supplement and monitor

the

policy pursued by the Member States.

3.
The measures referred to in paragraph 2(b) shall be
enacted by European laws or framework laws. Such laws shall
be adopted after consultation of
the Economic and Social
Committee.

Acts adopted pursuant to paragraph 3 shall not prevent
4.
any Member State from maintaining or
introducing more
stringent protective provisions. Such provisions must be compa-
tible with the Constitution. They shall be notified to the
Commission.

C 169/54

EN

Official Journal of the European Union

18.7.2003

SECTION 7

Transport

Article III-133

The objectives of the Constitution shall, in matters governed by
this Title, be pursued within the framework of a common
transport policy.

Article III-134

European laws or framework laws shall implement Article III-
133, taking into account the distinctive features of transport.
They shall be adopted after consultation of the Committee of
the Regions and the Economic and Social Committee.

Such European laws or framework laws shall contain:

(a) common rules applicable to international transport to or
from the territory of a Member State or passing across the
territory of one or more Member States;

(b) the conditions under which non-resident carriers may

operate transport services within a Member State;

(c) measures to improve transport safety;

(d) any other appropriate measure.

Article III-135

Until the European laws or framework laws referred to in the
first paragraph of Article III-134 have been adopted, no Member
State may, unless the Council of Ministers has unanimously
adopted a European decision granting a derogation, make the
various provisions governing the subject on 1 January 1958 or,
for acceding States, the date of their accession less favourable in
their direct or indirect effect on carriers of other Member States
as compared with carriers who are nationals of that State.

Article III-136

Aids shall be compatible with the Constitution if they meet the
needs of coordination of transport or if they represent reimbur-
sement for the discharge of certain obligations inherent in the
concept of a public service.

State of origin or of destination of the goods in question shall
be prohibited.

Paragraph 1 shall not prevent

2.
the adoption of other
European laws or framework laws pursuant to the first para-
graph of Article III-134.

The Council of Ministers, on a proposal

3.
from the
Commission, shall adopt European regulations or decisions for
It shall act after consulting the
implementing paragraph 1.
European Parliament and the Economic and Social Committee.

The Council of Ministers may in particular adopt the European
regulations and decisions needed to enable the institutions to
secure compliance with the rule laid down in paragraph 1 and
to ensure that users benefit from it to the full.

The Commission, acting on its own initiative or on
4.
application by a Member State, shall
investigate any cases of
discrimination falling within paragraph 1 and, after consulting
any Member State concerned, adopt the necessary European
decisions within the framework of
the European regulations
and decisions referred to in paragraph 3.

Article III-139

1.
The imposition by a Member State, in respect of transport
operations carried out within the Union, of rates and conditions
involving any element of support or protection in the interest of
one or more particular undertakings or industries shall be
prohibited, unless authorised by a European decision of the
Commission.

2.
The Commission, acting on its own initiative or on
application by a Member State, shall examine the rates and
conditions referred to in paragraph 1, taking account in parti-
cular of the requirements of an appropriate regional economic
policy, the needs of underdeveloped areas and the problems of
areas seriously affected by political circumstances on the one
the effects of such rates and conditions on
hand, and of
competition between the different modes of transport on the
other.

After consulting each Member State concerned, the Commission
shall adopt the necessary European decisions.

The prohibition provided for in paragraph 1 shall not

3.
apply to tariffs fixed to meet competition.

Article III-137

Article III-140

Any measures adopted within the framework of the Constitu-
tion in respect of
take
account of the economic circumstances of carriers.

transport rates and conditions shall

Article III-138

Charges or dues in respect of the crossing of frontiers which are
charged by a carrier in addition to the transport rates shall not
exceed a reasonable level after taking the costs actually incurred
thereby into account.

1.
In the case of transport within the Union, discrimination
which takes the form of carriers charging different rates and
the same
imposing different conditions for the carriage of
goods over the same transport links on grounds of the Member

Member States shall endeavour to reduce these costs.

The Commission may make recommendations
States for the application of this Article.

to Member

18.7.2003

EN

Official Journal of the European Union

C 169/55

Article III-141

The provisions of this Section shall not form an obstacle to the
application of measures
taken in the Federal Republic of
Germany to the extent that such measures are required in order
to compensate for the economic disadvantages caused by the
division of Germany to the economy of certain areas of the
Federal Republic affected by that division.

Article III-142

An Advisory Committee consisting of experts designated by the
governments of Member States
shall be attached to the
Commission. The Commission, whenever it considers it desir-
able, shall consult the Committee on transport matters.

Article III-143

This Section shall apply to transport by rail, road and

1.
inland waterway.

European laws or framework laws may lay down appro-
2.
priate measures for sea and air transport. They shall be adopted
after consultation of the Committee of the Regions and the
Economic and Social Committee.

SECTION 8

Trans-European networks

Article III-144

To help achieve the objectives referred to in Articles III-14
1.
and III-116 and to enable citizens of
the Union, economic
operators and regional and local communities to derive full
benefit from the setting-up of an area without internal frontiers,
the Union shall contribute to the establishment and develop-
transport,
trans-European networks in the areas of
ment of
telecommunications and energy infrastructures.

(c) may support projects of common interest supported by
Member States, which are identified in the framework of
the guidelines referred to in point (a), particularly through
feasibility studies, loan guarantees or interest-rate subsidies;
the Union may also contribute,
through the Cohesion
Fund, to the financing of specific projects in Member States
in the area of transport infrastructure.

The Union's activities shall
economic viability of the projects.

take into account

the potential

The guidelines

and other measures

2.
referred to in
paragraph 1 shall be enacted by European laws or framework
the
laws. Such laws shall be adopted after consultation of
Committee of
the Regions and the Economic and Social
Committee.

Guidelines and projects of common interest which relate to the
territory of a Member State shall require the agreement of the
Member State concerned.

in liaison with the Commission,
3. Member States shall,
coordinate among themselves the policies pursued at national
level which may have a significant impact on the achievement
of the objectives referred to in Article III-144. The Commission
may,
in close cooperation with the Member State, take any
useful initiative to promote such coordination.

4.
The Union may cooperate with third countries to promote
projects of mutual interest and to ensure the interoperability of
networks.

SECTION 9

Research and Technological Development, and Space

Article III-146

2. Within the framework of a system of open and competi-
tive markets, action by the Union shall aim at promoting the
interconnection and interoperability of national networks as
well as access to such networks.
in
particular of the need to link island, landlocked and peripheral
regions with the central regions of the Union.

take account

It shall

1.
The Union shall aim to strengthen the scientific and
technological bases of Union industry and encourage it
to
level, while
at
become more
promoting all the research activities deemed necessary by virtue
of other Chapters of the Constitution.

international

competitive

Article III-145

In order to achieve the objectives referred to in Article III-

1.
144, the Union:

(a) shall establish a series of guidelines covering the objectives,
priorities and broad lines of measures envisaged in the
sphere of trans-European networks; these guidelines shall
identify projects of common interest;

(b) shall implement any measures that may prove necessary to
ensure the interoperability of the networks, in particular in
the field of technical standardisation;

For this purpose, the Union shall, throughout the Union,
2.
encourage undertakings,
including small and medium-sized
undertakings, research centres and universities in their research
and technological development activities of high quality; it shall
support their efforts to cooperate with one another, aiming,
notably, at enabling researchers to cooperate freely across
borders and undertakings to exploit the internal market poten-
tial,
in particular through the opening-up of national public
contracts, the definition of common standards and the removal
of legal and fiscal obstacles to that cooperation.

All the Union's activities under the Constitution in the
3.
area of
including
research and technological development,
demonstration projects, shall be decided on and implemented
in accordance with this Section.

C 169/56

EN

Official Journal of the European Union

18.7.2003

Article III-147

In pursuing these objectives,
the
following activities, complementing the activities carried out in
the Member States:

the Union shall carry out

(a) implementation of research, technological development and
demonstration programmes, by promoting cooperation
with and between undertakings,
research centres and
universities;

necessary. The sum of the amounts deemed necessary, fixed in
the specific programmes, may not exceed the overall maximum
amount fixed for the framework programme and each activity.

The Council of Ministers, on a proposal

4.
from the
Commission, shall adopt the European regulations or decisions
establishing the specific programmes. It shall act after consulting
the European Parliament
and Social
Committee.

and the Economic

(b) promotion of cooperation in the field of

the Union's
technological development and demonstration

research,
with third countries and international organisations;

(c) dissemination and optimisation of the results of activities
technological development and

in the Union's research,
demonstration;

(d) stimulation of the training and mobility of researchers in

the Union.

Article III-150

the

For
programme, European laws or framework laws shall establish:

implementation of

the multiannual

framework

(a) the rules for the participation of undertakings, research

centres and universities;

(b) the rules governing the dissemination of research results.

Article III-148

Such European laws or framework laws shall be adopted after
consultation of the Economic and Social Committee.

1.
The Union and the Member States shall coordinate their
research and technological development activities so as to
ensure that national policies and the Union's policy are mutually
consistent.

In close

cooperation with the Member States,

the
2.
Commission may take any useful
initiative to promote the
coordination referred to in paragraph 1, in particular initiatives
aiming at the establishment of guidelines and indicators, the
organisation of exchange of best practice, and the preparation of
the necessary elements for periodic monitoring and evaluation.
The European Parliament shall be kept fully informed.

Article III-149

1.
A multiannual framework programme, setting out all the
activities of the Union, shall be enacted by European laws. Such
laws shall be adopted after consultation of the Economic and
Social Committee.

The framework programme shall:

(a) establish the scientific and technological objectives to be
achieved by the activities provided for in Article III-147 and
fix the relevant priorities;

(b) indicate the broad lines of such activities;

(c) fix the maximum overall amount and the detailed rules for
framework
the

the Union's
programme and the respective shares
activities provided for.

financial participation in the

in each of

The framework programme shall be adapted or supple-

2.
mented as the situation changes.

Article III-151

framework programme,
In implementing the multiannual
European laws may establish supplementary programmes invol-
ving the participation of certain Member States only, which
shall
to possible participation by the
Union.

finance them subject

Such laws shall determine the rules applicable to supplementary
programmes, particularly as regards the dissemination of knowl-
edge and access by other Member States. They shall be adopted
after consultation of the Economic and Social Committee and
with the agreement of the Member States concerned.

Article III-152

framework programme,
In implementing the multiannual
in agreement with the
European laws may make provision,
Member States concerned,
for participation in research and
development programmes undertaken by several Member States,
including participation in the structures created for the execu-
tion of those programmes.

Such laws shall be adopted after consultation of the Economic
and Social Committee.

Article III-153

In implementing the multiannual framework programme the
Union may make provision for cooperation in the Union's
research,
technological development and demonstration with
third countries or international organisations.

3.
The framework programme shall be implemented through
specific programmes developed within each activity. Each
specific programme shall define the detailed rules for imple-
menting it, fix its duration and provide for the means deemed

The detailed arrangements for such cooperation may be the
subject of agreements between the Union and the third parties
concerned, which shall be negotiated and concluded in accord-
ance with Article III-227.

18.7.2003

EN

Official Journal of the European Union

C 169/57

Article III-154

ture of
130(2)(c).

its energy supply, without prejudice to Article III-

The Council of Ministers, on a proposal from the Commission
may adopt European regulations or decisions to set up joint
undertakings or any other structure necessary for the efficient
execution of the Union's research, technological development
and demonstration programmes. It shall act after consulting the
European Parliament and the Economic and Social Committee.

Article III-155

To promote scientific and technical progress,

industrial
1.
the
competitiveness and the implementation of
Union shall draw up a European space policy. To this end, it
may promote joint initiatives, support research and technolo-
gical development and coordinate the efforts needed for the
exploration and exploitation of space.

its policies,

2.
To contribute to attaining the objectives referred to in
paragraph 1, European laws or framework laws shall establish
the necessary measures, which may take the form of a European
space programme.

Article III-156

At the beginning of each year the Commission shall send a
report to the European Parliament and the Council of Ministers.
The report shall include information on research and technolo-
gical development activities and the dissemination of results
during the previous year, and the work programme for the
current year.

SECTION 10

Energy

Article III-157

1.
In establishing an internal market and with regard for the
need to preserve and improve the environment, Union policy
on energy shall aim to:

(a) ensure the functioning of the energy market,

(b) ensure security of energy supply in the Union, and

(c) promote energy efficiency and saving and the development

of new and renewable forms of energy.

2.
in
The measures necessary to achieve the objectives
paragraph 1 shall be enacted in European laws or framework
the
laws. Such laws shall be adopted after consultation of
Committee of
the Regions and the Economic and Social
Committee.

Such laws or framework laws shall not affect a Member State's
choice between different energy sources and the general struc-

Ch apte r I V

AREA OF FREEDOM, SECURITY AND JUSTICE

SECTION 1

General provisions

Article III-158

The Union shall constitute an area of freedom, security
1.
and justice with respect
taking into
account the different legal traditions and systems of the Member
States.

for fundamental rights,

2.
It shall ensure the absence of internal border controls for
persons and shall frame a common policy on asylum, immigra-
tion and external border control, based on solidarity between
Member States, which is fair towards third-country nationals.
For the purpose of this chapter, stateless persons shall be treated
as third-country nationals.

3.
The Union shall endeavour to ensure a high level of
security by measures to prevent and combat crime, racism and
xenophobia, and measures for coordination and cooperation
between police and judicial authorities and other competent
authorities, as well as by the mutual recognition of judgments
in criminal matters and,
the approximation of
criminal laws.

if necessary,

4.
The Union shall facilitate access to justice, in particular by
the principle of mutual recognition of judicial and extrajudicial
decisions in civil matters.

Article III-159

The European Council shall define the strategic guidelines for
legislative and operational planning within the area of freedom,
security and justice.

Article III-160

1. Member States' national Parliaments shall ensure that the
proposals and legislative initiatives submitted under Sections 4
and 5 of this Chapter comply with the principle of subsidiarity,
in accordance with the arrangements in the Protocol on the
application of the principles of subsidiarity and proportionality.

Member States' national Parliaments may participate in the
evaluation mechanisms contained in Article III-161 and in the
political monitoring of Europol and the evaluation of Eurojust's
activities in accordance with Articles III-177 and III-174.

C 169/58

EN

Official Journal of the European Union

18.7.2003

Article III-161

(a) ensuring the absence of any controls on persons, whatever

their nationality, when crossing internal borders;

Without prejudice to Articles III-265 to III-267, the Council of
Ministers may, on a proposal
from the Commission, adopt
European regulations or decisions laying down the arrange-
in collaboration with the
ments whereby Member States,
Commission, conduct objective and impartial evaluation of the
implementation of the Union policies referred to in this Chapter
by Member States' authorities, in particular in order to facilitate
the principle of mutual recognition. The
full application of
European Parliament and Member States' national Parliaments
shall be informed of the content and results of the evaluation.

(b) carrying out checks on persons and efficient monitoring of

the crossing of external borders;

(c) the gradual

introduction of an integrated management

system for external borders.

For this purpose, European laws or framework laws shall

2.
establish measures concerning:

(a) the common policy on visas and other short-stay residence

Article III-162

permits;

A standing committee shall be set up within the Council of
Ministers in order to ensure that operational cooperation on
internal security is promoted and strengthened within the
Union. Without prejudice to Article III-247,
it shall facilitate
coordination of the action of Member States' competent autho-
the Union bodies and agencies
rities. Representatives of
concerned may be
this
committee. The European Parliament and Member States'
national parliaments shall be kept informed of the proceedings.

involved in the proceedings of

(b) the controls to which persons crossing external borders are

subject;

(c) the conditions under which nationals of

third countries
shall have the freedom to travel within the Union for a
short period;

(d) any measure necessary for the gradual establishment of an

integrated management system for external borders;

Article III-163

(e) the absence of any controls on persons, whatever their

nationality, when crossing internal borders.

This Chapter shall not affect the exercise of the responsibilities
incumbent upon Member States with regard to maintaining law
and order and safeguarding internal security.

This Article shall not affect

3.
the
Member States concerning the geographical demarcation of
their borders, in accordance with international law.

the competence of

Article III-164

Article III-167

The Council of Ministers shall adopt European regulations to
ensure administrative cooperation between the relevant depart-
ments of
the Member States in the areas covered by this
Chapter, as well as between those departments and the
Commission. It shall act on a Commission proposal, without
prejudice to Article III-165, and after consulting the European
Parliament.

The Union shall develop a common policy on asylum and
1.
temporary protection with a view to offering appropriate status
to any third-country national requiring international protection
and ensuring compliance with the principle of non-refoulement.
This policy must be in accordance with the Geneva Convention
of 28 July 1951 and the Protocol of 31 January 1967 relating to
the status of refugees and other relevant treaties.

Article III-165

The acts referred to in Sections 4 and 5 of this Chapter shall
be adopted:

(a) on a proposal from the Commission, or

(b) on the initiative of a quarter of the Member States.

2.
For this purpose, European laws or framework laws shall
lay down measures for a common European asylum system
comprising:

(a) a uniform status of asylum for nationals of third countries,

valid throughout the Union;

(b) a uniform status of subsidiary protection for nationals of
third countries who, without obtaining European asylum,
are in need of international protection;

SECTION 2

(c) a common system of temporary protection for displaced

persons in the event of a massive inflow;

Policies on border checks, asylum and immigration

Article III-166

1.

The Union shall develop a policy with a view to:

(d) common procedures for the granting and withdrawing of

uniform asylum or subsidiary protection status;

(e) criteria and mechanisms for determining which Member
responsible for considering an application for

State is
asylum or subsidiary protection;

18.7.2003

EN

Official Journal of the European Union

C 169/59

(f) standards concerning the conditions for the reception of

applicants for asylum or subsidiary protection;

Article III-169

(g) partnership and cooperation with third countries for the
purpose of managing inflows of people applying for
asylum or subsidiary or temporary protection.

3.
In the event of one or more Member States being
confronted by an emergency situation characterised by a sudden
inflow of nationals of third countries, the Council of Ministers,
on a proposal
from the Commission, may adopt European
regulations or decisions comprising provisional measures for
the benefit of the Member State(s) concerned. It shall act after
consulting the European Parliament.

Article III-168

1.
The Union shall develop a common immigration policy
aimed at ensuring, at all stages, the efficient management of
migration flows,
third-country nationals
treatment of
residing legally in Member States, and the prevention of, and
enhanced measures to combat,
immigration and traf-
ficking in human beings.

illegal

fair

To this end, European laws or framework laws shall

2.
establish measures in the following areas:

(a) the conditions of entry and residence, and standards on the
long-term visas and residence
issue by Member States of
permits, including those for the purpose of family reunion;

(b) the definition of

the rights of

third-country nationals
residing legally in a Member State, including the conditions
governing freedom of movement and of residence in other
Member States;

(c) illegal

immigration and unauthorised residence,

removal and repatriation of persons
authorisation;

including
residing without

(d) combating trafficking in persons, in particular women and

children.

3.
The Union may conclude readmission agreements with
third countries for the readmission of third-country nationals
residing without authorisation to their countries of origin or
provenance, in accordance with Article III-227.

4.
European laws or framework laws may establish measures
to provide incentives and support for the action of Member
States with a view to promoting the integration of third-country
territories, excluding any
nationals residing legally in their
harmonisation of
the Member
States.

the laws and regulations of

This Article shall not affect the right of Member States to
5.
determine volumes of admission of
third-country nationals
coming from third countries to their territory in order to seek
work, whether employed or self-employed.

The policies of the Union set out in this Section and their
implementation shall be governed by the principle of solidarity
and fair sharing of responsibility, including its financial implica-
tions, between the Member States. Whenever necessary, the acts
of the Union adopted pursuant to this Section shall contain
appropriate measures to give effect to this principle.

SECTION 3

Judicial cooperation in civil matters

Article III-170

The Union shall develop judicial cooperation in civil
1.
matters having cross-border implications, based on the principle
of mutual recognition of judgments and decisions in extrajudi-
cial cases. Such cooperation may include the adoption of
measures for the approximation of the laws and regulations of
the Member States.

To this end,

2.
measures aimed inter alia at ensuring:

laws or framework laws shall

lay down

(a) the mutual recognition and enforcement between Member
States of judgments and decisions in extrajudicial cases;

(b) the cross-border service of judicial and extrajudicial docu-

ments;

(c) the compatibility of

the rules applicable in the Member

States concerning conflict of laws and of jurisdiction;

(d) cooperation in the taking of evidence;

(e) a high level of access to justice;

(f) the proper functioning of civil proceedings, if necessary by
promoting the compatibility of the rules on civil procedure
applicable in the Member States;

(g) the development of alternative methods of dispute settle-

ment;

(h) support for the training of the judiciary and judicial staff.

3.
Notwithstanding paragraph 2, measures concerning family
law with cross-border implications shall be laid down in a
European law or framework law of the Council of Ministers.
The Council of Ministers shall act unanimously after consulting
the European Parliament.

The Council of Ministers, on a proposal from the Commission,
may adopt a European decision determining those aspects of
family law with cross-border implications which may be the
subject of acts adopted by the ordinary legislative procedure.
The Council of Ministers shall act unanimously after consulting
the European Parliament.

C 169/60

EN

Official Journal of the European Union

18.7.2003

SECTION 4

Judicial cooperation in criminal matters

Article III-171

1.
Judicial cooperation in criminal matters in the Union shall
be based on the principle of mutual recognition of judgments
include the approximation of
and judicial decisions and shall
the laws and regulations of the Member States in the areas
referred to in paragraph 2 and in Article III-172.

European laws or framework laws shall establish measures to:

(a) establish rules and procedures to ensure the recognition
judgments and

the Union of all

forms of

throughout
judicial decisions;

(b) prevent and settle conflicts of jurisdiction between Member

States;

(c) encourage the training of the judiciary and judicial staff;

(d) facilitate cooperation between judicial or equivalent autho-
rities of the Member States in relation to proceedings in
criminal matters and the enforcement of decisions.

2.
In order to facilitate mutual recognition of judgments and
judicial decisions and police and judicial cooperation in criminal
matters having a cross-border dimension, European framework
laws may establish minimum rules concerning:

(a) mutual admissibility of evidence between Member States;

(b) the rights of individuals in criminal procedure;

(c) the rights of victims of crime;

(d) any other specific aspects of criminal procedure which the
identified in advance by a
Council of Ministers has
European decision. The Council of Ministers
shall act
unanimously after obtaining the consent of the European
Parliament.

On the basis of developments in crime, the Council of Ministers
may adopt a European decision identifying other areas of crime
that meet the criteria specified in this paragraph. It shall act
unanimously after obtaining the consent of the European Parlia-
ment.

2.
If the approximation of criminal legislation proves essen-
tial to ensure the effective implementation of a Union policy in
an area which has been subject to harmonisation measures,
European framework laws may establish minimum rules with
regard to the definition of criminal offences and sanctions in
the area concerned.

Without prejudice to Article III-165, such framework laws shall
be adopted by the same procedure as was followed for the
adoption of
the harmonisation measures referred to in the
preceding subparagraph.

Article III-173

European laws or framework laws may establish measures to
promote and support the action of Member States in the field
of crime prevention. Such measures shall not
include the
legislative and regulatory
approximation of Member States'
provisions.

Article III-174

1.
Eurojust's mission shall be to support and strengthen
coordination and cooperation between national prosecuting
authorities in relation to serious crime affecting two or more
Member States or requiring a prosecution on common bases,
on the basis of operations conducted and information supplied
by the Member States' authorities and by Europol.

European laws shall determine Eurojust's structure, work-

2.
ings, scope of action and tasks. Those tasks may include:

Adoption of such minimum rules shall not prevent Member
States from maintaining or introducing a higher level of protec-
tion for the rights of individuals in criminal procedure.

(a) the initiation and coordination of criminal prosecutions
conducted by competent national authorities, particularly
those relating to offences against the financial
interests of
the Union;

Article III-172

European framework laws may establish minimum rules
1.
concerning the definition of criminal offences and sanctions in
the areas of particularly serious crime with cross-border dimen-
sions resulting from the nature or impact of such offences or
from a special need to combat them on a common basis.

These areas of crime are the following: terrorism, trafficking in
human beings and sexual exploitation of women and children,
illicit drug trafficking, illicit arms trafficking, money laundering,
corruption, counterfeiting of means of payment, computer
crime and organised crime.

(b) the strengthening of

including by
resolution of conflicts of jurisdiction and by close coopera-
tion with the European Judicial Network.

judicial cooperation,

European laws shall also determine arrangements for involving
the European Parliament and Member States' national Parlia-
ments in the evaluation of Eurojust's activities.

3.
In the prosecutions referred to in this Article, and without
prejudice to Article III-175, formal acts of judicial procedure
shall be carried out by the competent national officials.

18.7.2003

EN

Official Journal of the European Union

C 169/61

Article III-175

Article III-177

1.
In order to combat serious crime having a cross-border
dimension, as well as crimes affecting the interests of the Union,
a European law of the Council of Ministers may establish a
European Public Prosecutor's Office from Eurojust. The Council
of Ministers shall act unanimously after obtaining the consent
of the European Parliament.

1.
Europol's mission is to support and strengthen action by
the Member States' police authorities and other law enforcement
services and their mutual cooperation in preventing and
combating serious crime affecting two or more Member States,
terrorism and forms of crime which affect a common interest
covered by a Union policy.

2.
The European Public Prosecutor's Office shall be respon-
sible for investigating, prosecuting and bringing to judgment,
where appropriate in liaison with Europol, the perpetrators of
and accomplices in serious crimes affecting more than one
the Union's financial
Member State and of offences against
interests, as determined by the European law provided for in
paragraph 1. It shall exercise the functions of prosecutor in the
competent courts of
the Member States in relation to such
offences.

3.
The European law referred to in paragraph 1 shall deter-
mine the general rules applicable to the European Public Prose-
cutor's Office, the conditions governing the performance of its
functions, the rules of procedure applicable to its activities, as
well as those governing the admissibility of evidence, and the
rules applicable to the judicial review of procedural measures
taken by it in the performance of its functions.

SECTION 5

Police cooperation

Article III-176

The Union shall establish police cooperation involving all
1.
the Member States' competent authorities,
including police,
customs and other specialised law enforcement services in
relation to the prevention, detection and investigation of crim-
inal offences.

To this end, European laws or

2.
establish measures concerning:

framework laws may

(a) the collection, storage, processing, analysis and exchange of

relevant information;

(b) support for the training of staff, and cooperation on the
exchange of staff, on equipment and on research into
crime-detection;

(c) common investigative techniques in relation to the detec-

tion of serious forms of organised crime.

A European law or framework law of

3.
the Council of
Ministers may establish measures concerning operational coop-
eration between the authorities referred to in this Article. The
Council of Ministers shall act unanimously after consulting the
European Parliament.

European laws shall determine Europol's structure, opera-

2.
tion, field of action and tasks. These tasks may include:

(a) the collection, storage, processing, analysis and exchange of
information forwarded particularly by the authorities of the
Member States or third countries or bodies;

(b) the

coordination, organisation and implementation of
jointly
investigative and operational action carried out
with the Member States' competent authorities or in the
context of joint investigative teams, where appropriate in
liaison with Eurojust.

European laws shall also lay down the procedures for scrutiny
of Europol's activities by the European Parliament, together with
Member States' national parliaments.

3.
Any operational action by Europol must be carried out in
liaison and in agreement with the authorities of the Member
States whose territory is concerned. The application of coercive
measures shall be the exclusive responsibility of the competent
national authorities.

Article III-178

A European law or framework law of the Council of Ministers
shall lay down the conditions and limitations under which the
competent authorities of
the Member States referred to in
Articles III-171 and III-176 may operate in the territory of
another Member State in liaison and in agreement with the
authorities of
that State. The Council of Ministers shall act
unanimously after consulting the European Parliament.

C h a pter V

AREAS WHERE THE UNION MAY TAKE COORDINATING, COMPLE-
MENTARY OR SUPPORTING ACTION

SECTION 1

Public health

Article III-179

1.
A high level of human health protection shall be ensured
in the definition and implementation of all the Union's policies
and activities.

C 169/62

EN

Official Journal of the European Union

18.7.2003

Action by the Union, which shall complement national policies,
shall be directed towards improving public health, preventing
human illness and diseases, and obviating sources of danger to
physical and mental health. Such action shall cover the fight
against the major health scourges, by promoting research into
their causes, their transmission and their prevention, as well as
health information and education.

fully
Union action in the field of public health shall
7.
respect the responsibilities of the Member States for the organi-
sation and delivery of health services and medical care.
In
particular, measures referred to in paragraph 4(a) shall not affect
national provisions on the donation or medical use of organs
and blood.

The Union shall complement
reducing drugs-related health damage,
and prevention.

the Member States' action in
including information

The Union shall encourage cooperation between the
if

2.
Member States in the areas referred to in this Article and,
necessary, lend support to their action.

Member States shall, in liaison with the Commission, coordinate
among themselves their policies and programmes in the areas
referred to in paragraph 1. The Commission may,
in close
contact with the Member States, take any useful
initiative to
promote such coordination,
in particular initiatives aiming at
the establishment of guidelines and indicators, the organisation
of exchange of best practice, and the preparation of the neces-
sary elements for periodic monitoring and evaluation. The
European Parliament shall be kept fully informed.

3.
The Union and the Member States shall foster cooperation
with third countries and the competent international organisa-
tions in the sphere of public health.

European laws or framework laws shall contribute to the
4.
achievement of
the objectives referred to in this Article by
establishing the following measures in order to meet common
safety concerns:

(a) measures setting high standards of quality and safety of
organs and substances of human origin, blood and blood
derivatives; these measures shall not prevent any Member
introducing more stringent
State from maintaining or
protective measures;

(b) measures in the veterinary and phytosanitary fields which
have as their direct objective the protection of public
health;

European laws or
consultation of
Economic and Social Committee.

framework laws
the Committee of

shall be adopted after
the Regions and the

5.
European laws or framework laws may also establish
incentive measures designed to protect and improve human
health and to combat the major cross-border health scourges,
excluding any harmonisation of the laws and regulations of the
Member States. It shall be adopted after consultation of the
the Regions and the Economic and Social
Committee of
Committee.

SECTION 2

Industry

Article III-180

The Union and the Member States shall ensure that the
the Union's

1.
conditions necessary for the competitiveness of
industry exist.

For that purpose,
competitive markets, their action shall be aimed at:

in accordance with a system of open and

(a) speeding up the adjustment of

industry to structural

changes;

(b) encouraging an environment favourable to initiative and to
the Union,

the development of undertakings throughout
particularly small and medium-sized undertakings;

(c) encouraging an environment

favourable to cooperation

between undertakings;

(d) fostering better exploitation of the industrial potential of
policies of innovation, research and technological develop-
ment.

2.
The Member States shall consult each other in liaison with
the Commission and, where necessary, shall coordinate their
action. The Commission may take any useful
initiative to
promote such coordination,
in particular initiatives aiming at
the establishment of guidelines and indicators, the organisation
of exchange of best practice, and the preparation of the neces-
sary elements for periodic monitoring and evaluation. The
European Parliament shall be kept fully informed.

The Union shall contribute to the achievement of

the
3.
objectives set out
in paragraph 1 through the policies and
activities it pursues under other provisions of the Constitution.
European laws or
framework laws may establish specific
measures in support of action taken in the Member States to
achieve the objectives set out in paragraph 1, excluding any
harmonisation of
the Member
States. They shall be adopted after consultation of the Economic
and Social Committee.

the laws and regulations of

6.
For the purposes set out in this Article, the Council of
Ministers, on a proposal from the Commission, may also adopt
recommendations.

This Section shall not provide a basis for the introduction by
the Union of any measure which could lead to distortion of
competition or contains tax provisions or provisions relating to
the rights and interests of employed persons.

18.7.2003

EN

Official Journal of the European Union

C 169/63

SECTION 3

Culture

Article III-181

1.
the
The Union shall contribute to the flowering of
cultures of the Member States, while respecting their national
and regional diversity and at
the same time bringing the
common cultural heritage to the fore.

Action by the Union shall be aimed at encouraging
2.
cooperation between Member
if necessary,
supporting and complementing their action in the following
areas:

States

and,

(a) improvement of the knowledge and dissemination of the

culture and history of the European peoples;

(b) conservation and safeguarding of

cultural heritage of

European significance;

(c) non-commercial cultural exchanges;

(d) artistic and literary creation,

including in the audiovisual

sector.

3.
The Union and the Member States shall foster cooperation
with third countries and the competent international organisa-
tions in the sphere of culture,
in particular the Council of
Europe.

4.
The Union shall take cultural aspects into account in its
action under other provisions of the Constitution, in particular
in order to respect and to promote the diversity of its cultures.

In order to contribute to the achievement of the objectives

5.
referred to in this Article:

(a) European laws or framework laws shall establish incentive
actions, excluding any harmonisation of
the laws and
regulations of the Member States. They shall be adopted
after consultation of the Committee of the Regions;

(b) the Council of Ministers, on a proposal from the Commis-

sion, shall adopt recommendations.

SECTION 4

Education, vocational training, youth and sport

(b) encouraging mobility of students and teachers, inter alia by
encouraging the academic recognition of diplomas and
periods of study;

(c) promoting cooperation between educational establishments;

(d) developing exchanges of

information and experience on
issues common to the education systems of the Member
States;

(e) encouraging the development of youth exchanges and of
exchanges of socio-educational instructors and encouraging
the participation of young people in democratic life in
Europe.

(f) encouraging the development of distance education;

(g) developing the European dimension in sport, by promoting
fairness in competitions and cooperation between sporting
bodies and by protecting the physical and moral integrity
of
young
sportsmen and sportswomen.

sportswomen,

sportsmen

especially

and

The Union and the Member States shall foster cooperation
3.
with third countries and the competent international organisa-
tions in the field of education,
in particular the Council of
Europe.

In order to contribute to the achievement of the objec-

4.
tives referred to in this Article,

(a) European laws or framework laws shall establish incentive
the laws and
actions, excluding any harmonisation of
regulations of the Member States. They shall be adopted
after consultation of the Committee of the Regions and the
Economic and Social Committee.

(b) the Council of Ministers, on a proposal from the Commis-

sion, shall adopt recommendations.

Article III-183

The Union shall

1.
implement a vocational training policy
which shall support and complement the action of the Member
States, while fully respecting the responsibility of the Member
States for the content and organisation of vocational training.

Article III-182

2.

Union action shall aim to:

The Union shall contribute to the development of quality
1.
education by encouraging cooperation between Member States
and,
if necessary, by supporting and complementing their
action. It shall fully respect the responsibility of the Member
States for the content of
teaching and the organisation of
education systems and their cultural and linguistic diversity.

(a) facilitate adaptation to industrial change,
through vocational training and retraining;

in particular

(b) improve initial and continuing vocational training in order
to facilitate vocational integration and reintegration into the
labour market;

The Union shall contribute to the promotion of European
sporting issues, given the social and educational function of
sport.

(c) facilitate access to vocational training and encourage mobi-
instructors and trainees and particularly young

lity of
people;

2.

Union action shall be aimed at:

(a) developing the European dimension in education, particu-
the

teaching and dissemination of

larly through the
languages of the Member States;

(d) stimulate cooperation on training between educational or

training establishments and firms;

(e) develop exchanges of information and experience on issues
common to the training systems of the Member States.

C 169/64

EN

Official Journal of the European Union

18.7.2003

The Union and the Member States shall foster cooperation
3.
with third countries and the competent international organisa-
tions in the sphere of vocational training.

providing for administrative cooperation among the Member
States and between them and the Union.

the objectives

4.
European laws or framework laws shall contribute to the
referred to in this Article,
achievement of
excluding any harmonisation of the laws and regulations of the
Member States. They shall be adopted after consultation of the
Committee of
the Regions and the Economic and Social
Committee.

SECTION 5

Civil protection

Article III-184

The Union shall encourage cooperation between Member
1.
States in order to improve the effectiveness of systems for
preventing and protecting against natural or man-made disasters
within the Union.

Union action shall aim to:

(a) support and complement Member States' action at national,
in preparing
and in responding to

regional and local
their
natural or man-made disasters;

civil-protection personnel

in risk prevention,

level

(b) promote swift, effective operational cooperation between

national civil-protection services;

(c) promote consistency in international civil-protection work.

2.
The measures necessary to help achieve the objectives
referred to in paragraph 1 shall be enacted in European laws
or framework laws, excluding any harmonisation of the laws
and regulations of the Member States.

SECTION 6

Administrative cooperation

Article III-185

Effective national

1.
implementation of Union law by the
Member States, which is essential for the proper functioning of
the Union, shall be regarded as a matter of common interest.

2.
The Union may support the efforts of Member States to
improve their administrative capacity to implement Union law.
Such action may include facilitation of exchange of information
and of civil servants as well as supporting training schemes. No
Member State shall be obliged to avail itself of such support.
European laws shall establish the necessary measures to this
end, excluding any harmonisation of the laws and regulations of
the Member States.

3.
of
prerogatives and duties of the Commission.
without prejudice to other provisions of

This Article shall be without prejudice to the obligations
the Member States to implement Union law or to the
It shall also be
the Constitution

TITLE IV

ASSOCIATION OF THE OVERSEAS COUNTRIES AND TERRI-
TORIES

Article III-186

The non-European countries and territories which have special
relations with Denmark, France, the Netherlands and the United
Kingdom shall be associated with the Union. These countries
and territories (hereinafter called the ‘countries and territories’)
are listed in Annex II (*).

The purpose of association shall be to promote the economic
and social development of the countries and territories and to
establish close economic relations between them and the Union
as a whole.

Association shall serve primarily to further the interests and
prosperity of the inhabitants of these countries and territories in
order to lead them to the economic, social and cultural devel-
opment to which they aspire.

Article III-187

Association shall have the following objectives:

(a) Member States shall apply to their trade with the countries
and territories the same treatment as they accord each
other pursuant to the Constitution;

(b) Each country or

territory shall apply to its trade with
Member States and with the other countries and territories
to the
that which it applies
the same treatment as
European State with which it has special relations;

(c) Member States shall contribute to the investments required
these countries and

for the progressive development of
territories;

(d) For investments financed by the Union, participation in
tenders and supplies shall be open on equal terms to all
natural and legal persons who are nationals of a Member
State or of one of the countries and territories;

(e) In relations between Member States and the countries and
territories,
the right of establishment of nationals and
companies or firms shall be regulated in accordance with
the provisions and procedures laid down in the Subsection
relating to the right of establishment and on a non-
discriminatory basis,
to any special measures
adopted pursuant to Article III-191.

subject

Article III-188

1.
Customs duties on imports into the Member States of
goods originating in the countries and territories shall be
prohibited in conformity with the prohibition of customs duties
between Member States provided for by the Constitution.

(*)

This Annex, which corresponds to Annex II to the TEC, is to be
drawn up.

18.7.2003

EN

Official Journal of the European Union

C 169/65

Customs duties on imports into each country or territory
2.
from Member States or from the other countries or territories
shall be prohibited in accordance with Article III-38.

TITLE V

THE UNION'S EXTERNAL ACTION

The countries and territories may, however, levy customs
3.
duties which meet the needs of their development and indus-
trialisation or produce revenue for their budgets.

The duties referred to in the first subparagraph may not exceed
the level of those imposed on imports of products from the
Member State with which each country or territory has special
relations.

4.
Paragraph 2 shall not apply to countries and territories
which, by reason of the particular international obligations by
which they are bound, already apply a non-discriminatory
customs tariff.

5.
The introduction of or any change in customs duties
imposed on goods imported into the countries and territories
shall not, either in law or in fact, give rise to any direct or
indirect discrimination between imports
from the various
Member States.

Article III-189

the level of

If
the duties applicable to goods from a third
country on entry into a country or territory is liable, when
Article III-188(1) has been applied, to cause deflections of trade
to the detriment of any Member State, the latter may request
the Commission to propose to the other Member States that
they take the necessary steps to remedy the situation.

Article III-190

to the provisions relating to public health, public
Subject
security or public policy, freedom of movement within Member
States for workers from the countries and territories, and within
the countries and territories for workers from Member States,
shall be regulated by measures adopted in accordance with
Article III-191.

Ch apte r I

PROVISIONS HAVING GENERAL APPLICATION

Article III-193

1.
The Union's action on the international scene shall be
guided by, and designed to advance in the wider world, the
principles which have inspired its own creation, development
and enlargement: democracy, the rule of law, the universality
and indivisibility of human rights and fundamental freedoms,
for human dignity, equality and solidarity, and for
respect
international
the
law in accordance with the principles of
United Nations Charter.

The Union shall seek to develop relations and build partnerships
with third countries, and international, regional or global orga-
nisations, which share these values. It shall promote multilateral
solutions to common problems, in particular in the framework
of the United Nations.

2.
The Union shall define and pursue common policies and
actions, and shall work for a high degree of cooperation in all
fields of international relations, in order to:

(a) safeguard the

common values,
security, independence and integrity of the Union;

fundamental

interests,

(b) consolidate and support democracy, the rule of law, human

rights and international law;

(c) preserve peace, prevent conflicts and strengthen interna-
the

in conformity with the principles of

tional security,
United Nations Charter;

(d) foster the sustainable economic, social and environmental
development of developing countries, with the primary aim
of eradicating poverty;

(e) encourage the integration of all countries into the world
including through the progressive abolition of

economy,
restrictions on international trade;

(f) help develop international measures

and
improve the quality of the environment and the sustainable
management of global natural resources, in order to ensure
sustainable development;

to preserve

Article III-191

The Council of Ministers shall adopt unanimously, on the basis
of the experience acquired under the association of the coun-
tries and territories with the Union, European regulations and
decisions as regards the detailed rules and the procedure for the
association of the countries and territories with the Union.

Article III-192

Articles III-186 to III-191 shall apply to Greenland, subject to
in the Protocol on special
the specific provisions set out
arrangements for Greenland.

(g) assist populations,

countries
natural or man-made disasters;

and regions

confronting

(h) promote an international system based on stronger multi-

lateral cooperation and good global governance.

The Union shall respect the principles and pursue the
3.
objectives listed in paragraphs 1 and 2 in the development and
implementation of the different areas of the Union's external
action covered by this Title and the external aspects of its other
policies.

The Union shall ensure consistency between the different areas
of its external action and between these and its other policies.
The Council of Ministers and the Commission, assisted by the
Union Minister for Foreign Affairs, shall ensure that consistency
and shall cooperate to that effect.

C 169/66

EN

Official Journal of the European Union

18.7.2003

Article III-194

Article III-196

1.
On the basis of the principles and objectives referred to in
Article III-193, the European Council shall identify the strategic
interests and objectives of the Union.

The European Council shall define the general guidelines
including for
the common foreign and security policy,

1.
for
matters with defence implications.

European decisions of the European Council on the strategic
interests and objectives of the Union shall relate to the common
foreign and security policy and to other areas of the external
action of the Union. Such decisions may concern the relations
of the Union with a specific country or region or may be
thematic in approach. They shall define their duration, and the
means to be made available by the Union and the Member
States.

The European Council shall act unanimously on a recommenda-
tion from the Council of Ministers, adopted by the latter under
the arrangements laid down for each area. European decisions
of the European Council shall be implemented in accordance
with the procedures provided for by the Constitution.

2.
The Union Minister for Foreign Affairs, for the field of
common foreign and security policy, and the Commission, for
other fields of external action, may submit joint proposals to
the Council of Ministers.

Chapter I I

COMMON FOREIGN AND SECURITY POLICY

Article III-195

In the context of

its
1.
external action,
the Union shall define and implement a
common foreign and security policy covering all areas of
foreign and security policy.

the principles and objectives of

2.
The Member States shall support the common foreign and
security policy actively and unreservedly in a spirit of loyalty
and mutual solidarity.

The Member States shall work together to enhance and develop
their mutual political solidarity. They shall refrain from any
action which is contrary to the interests of the Union or likely
to impair its effectiveness as a cohesive force in international
relations.

The Council of Ministers and the Union Minister for Foreign
Affairs shall ensure that these principles are complied with.

The Union shall conduct

3.
security policy by:

the common foreign and

(a) defining the general guidelines;

(b) adopting European decisions on:

(i) actions of the Union,

(ii) positions of the Union,

(iii) implementation of actions and positions;

If international developments so require, the President of the
European Council shall convene an extraordinary meeting of
the European Council in order to define the strategic lines of
the Union's policy in the face of such developments.

2.
The Council of Ministers shall adopt the European deci-
sions necessary for defining and implementing the common
foreign and security policy on the basis of the general guidelines
and strategic lines defined by the European Council.

Article III-197

The Union Minister for Foreign Affairs, who shall chair the
1.
Council of Ministers
shall contribute
for Foreign Affairs,
through his or her proposals towards the preparation of the
common foreign and security policy and shall ensure imple-
mentation of the European decisions adopted by the European
Council and the Council of Ministers.

2.
For matters relating to the common foreign and security
policy, the Union shall be represented by the Union Minister for
Foreign Affairs. He or she shall conduct political dialogue on the
Union's behalf and shall express the Union's position in inter-
national organisations and at international conferences.

3.
In fulfilling his or her mandate, the Union Minister for
Foreign Affairs shall be assisted by a European External Action
Service. This service shall work in cooperation with the diplo-
matic services of the Member States (1).

Article III-198

1. Where the international
situation requires operational
action by the Union, the Council of Ministers shall adopt the
necessary European decisions. Such decisions shall lay down the
objectives, the scope, the means to be made available to the
Union, if necessary the duration, and the conditions for imple-
mentation of the action.

If there is a change in circumstances having a substantial effect
on a question subject to such a European decision, the Council
of Ministers shall review the principles and objectives of the
action and adopt the necessary European decisions. As long as
the Council of Ministers has not acted, the European decision
on action by the Union shall stand.

2.
Such European decisions shall commit the Member States
in the positions they adopt and in the conduct of their activity.

3. Whenever there is any plan to adopt a national position
or take national action pursuant to a European decision as
referred to in paragraph 1,
information shall be provided in
time to allow, if necessary, for prior consultations within the
Council of Ministers. The obligation to provide prior informa-
tion shall not apply to arrangements which are merely a
national transposition of European decisions.

(c) strengthening systematic

cooperation between Member

(1) See the Declaration on the creation of a European External Action

States in the conduct of policy.

Service.

18.7.2003

EN

Official Journal of the European Union

C 169/67

In cases of imperative need arising from changes in the
4.
situation and failing a new European decision, Member States
may make the necessary arrangements as a matter of urgency,
having regard to the general objectives of the European decision
referred to in paragraph 1. The Member State concerned shall
inform the Council of Ministers immediately of any such
arrangements.

5.
Should there be any major difficulties in implementing a
European decision as referred to in this Article, a Member State
shall refer them to the Council of Ministers which shall discuss
them and seek appropriate solutions. Such solutions shall not
run counter
its
effectiveness.

to the objectives of

the action or

impair

Article III-199

The Council of Ministers shall adopt European decisions which
shall define the approach of the Union to a particular matter of
a geographical or thematic nature. Member States shall ensure
that their national policies conform to the positions of the
Union.

Article III-200

Any Member State, the Union Minister for Foreign Affairs,
1.
or that Minister with the Commission's support, may refer to
the Council of Ministers any question relating to the common
foreign and security policy and may submit proposals to it.

2.
In cases requiring a rapid decision, the Union Minister for
Foreign Affairs, of the Minister's own motion or at the request
of a Member State, shall convene an extraordinary meeting of
in an
the Council of Ministers within forty-eight hours or,
emergency, within a shorter period.

Article III-201

1.
European decisions referred to in this Chapter shall be
adopted by the Council of Ministers acting unanimously.
Abstentions by members present in person or represented shall
not prevent the adoption of such decisions.

When abstaining in a vote, any member of the Council of
Ministers may qualify its abstention by making a formal declara-
tion. In that case, it shall not be obliged to apply the European
decision, but shall accept that the latter commits the Union. In a
spirit of mutual solidarity, the Member State concerned shall
refrain from any action likely to conflict with or impede Union
action based on that decision and the other Member States shall
respect its position. If the members of the Council of Ministers
qualifying their abstention in this way represent at least one
third of the Member States representing at least one third of the
population of the Union, the decision shall not be adopted.

European Council relating to the Union's strategic interests
and objectives, as referred to in Article III-194(1);

(b) when adopting a decision on a Union action or position,
on a proposal which the Minister has put to it following a
specific request to him or her from the European Council
made on its own initiative or that of the Minister;

(c) when adopting any European decision implementing a

Union action or position;

(d) when adopting a European decision concerning the
appointment of a special representative in accordance with
Article III-203.

If a member of the Council of Ministers declares that, for vital
and stated reasons of national policy, it intends to oppose the
adoption of a European decision to be adopted by qualified
majority, a vote shall not be taken. The Union Minister for
Foreign Affairs will, in close consultation with the Member State
involved, search for a solution acceptable to it. If he or she does
not succeed, the Council of Ministers may, acting by a qualified
majority, request that the matter be referred to the European
Council for decision by unanimity.

3.
The European Council may decide unanimously that the
Council of Ministers shall act by a qualified majority in cases
other than those referred to in paragraph 2.

Paragraphs 2 and 3 shall not apply to decisions having

4.
military or defence implications.

Article III-202

1. When the Union has defined a common approach within
the meaning of Article I-39(5), the Union Minister for Foreign
Affairs and the Ministers for Foreign Affairs of the Member
States shall coordinate their activities within the Council of
Ministers.

2.
The diplomatic missions of the Member States and the
delegations of the Union shall cooperate in third countries and
in international organisations and shall contribute to formu-
lating and implementing a common approach.

Article III-203

The Council of Ministers shall, whenever it deems it necessary,
appoint, on the initiative of the Union Minister for Foreign
Affairs, a special representative with a mandate in relation to
particular policy issues. The special representative shall carry out
his or her mandate under the authority of the Union Minister
for Foreign Affairs.

By derogation from paragraph 1, the Council of Ministers

2.
shall act by qualified majority:

Article III-204

(a) when adopting European decisions on Union actions and
the
positions on the basis of a European decision of

The Union may conclude agreements with one or more States
in
to this Chapter,
or
accordance with the procedure described in Article III-227.

international organisations pursuant

C 169/68

EN

Official Journal of the European Union

18.7.2003

Article III-205

step up cooperation by exchanging information and carrying
out joint assessments.

the common foreign and security policy,

1.
The Union Minister for Foreign Affairs shall consult the
European Parliament on the main aspects and the basic choices
including the
of
common security and defence policy, and shall ensure that the
views of the European Parliament are duly taken into considera-
tion. The European Parliament shall be kept regularly informed
by the Union Minister for Foreign Affairs of the development of
the common foreign and security policy, including the common
security and defence policy. Special representatives may be
involved in briefing the European Parliament.

the
The European Parliament may ask questions of
2.
Council of Ministers and of the Union Minister for Foreign
Affairs or make recommendations to them. Twice a year it shall
hold a debate on progress in implementing the common foreign
and security policy, including the common security and defence
policy.

Article III-206

1. Member States shall coordinate their action in interna-
tional organisations and at international conferences. They shall
uphold the Union's positions in such fora. The Union Minister
for Foreign Affairs shall organise this coordination.

In international organisations and at international conferences
where not all the Member States participate, those which do
take part shall uphold the Union's positions.

2. Without prejudice to paragraph 1 and Article III-198(3),
Member States represented in international organisations or
the Member States
international conferences where not all
participate shall keep the latter, as well as the Union Minister
for Foreign Affairs, informed of any matter of common interest.

Member States which are also members of the United Nations
Security Council shall concert and keep the other Member
States and the Union Minister for Foreign Affairs fully informed.
Member States which are members of the Security Council will,
in the execution of their functions, defend the positions and the
interests of the Union, without prejudice to their responsibilities
under the provisions of the United Nations Charter.

When the Union has defined a position on a subject which is
on the United Nations Security Council agenda, those Member
States which sit on the Security Council shall request that the
Union Minister for Foreign Affairs be asked to present
the
Union's position.

Article III-207

The diplomatic and consular missions of the Member States and
the Union delegations in third countries and international
conferences, and their representations to international organisa-
tions, shall cooperate in ensuring that the European decisions
relating to Union positions and actions adopted by the Council
of Ministers are complied with and implemented. They shall

They shall contribute to the implementation of the provisions
referred to in Article I-8(2) on the rights of European citizens to
protection in the territory of a third country and the measures
adopted pursuant to Article III-11.

Article III-208

Without prejudice to Article III-247, a Political and Security
Committee shall monitor the international situation in the areas
covered by the common foreign and security policy and contri-
bute to the definition of policies by delivering opinions to the
Council of Ministers at the request of the latter, or of the Union
Minister for Foreign Affairs, or on its own initiative. It shall also
monitor the implementation of agreed policies, without preju-
dice to the responsibility of the Union Minister for Foreign
Affairs.

Within the scope of this Chapter, this Committee shall exercise,
under the responsibility of the Council of Ministers and of the
Union Minister for Foreign Affairs, political control and strategic
direction of crisis management operations, as defined in
Article III-210.

The Council of Ministers may authorise the Committee, for the
purpose and for the duration of a crisis management operation,
as determined by the Council of Ministers, to take the relevant
measures concerning the political control and strategic direction
of the operation.

Article III-209

The implementation of the common foreign and security policy
shall not affect the competences listed in Articles I-12 to I-14
and I-16. Likewise, the implementation of the policies listed in
those articles shall not affect the competence referred to in
Article I-15.

The Court of Justice shall have jurisdiction to monitor compli-
ance with this Article.

SECTION 1

The common security and defence policy

Article III-210

1.
The tasks referred to in Article I-40(1), in the course of
which the Union may use civilian and military means, shall
include joint disarmament operations, humanitarian and rescue
tasks, military advice and assistance tasks, conflict prevention
and peace-keeping tasks,
in crisis
management, including peacemaking and post-conflict stabilisa-
tion. All
these tasks may contribute to the fight against
terrorism, including by supporting third countries in combating
terrorism in their territories.

tasks of combat

forces

18.7.2003

EN

Official Journal of the European Union

C 169/69

tasks

The Council of Ministers, acting unanimously, shall adopt
2.
European decisions
referred to in
relating to the
paragraph 1, defining their objectives and scope and the general
conditions for their implementation. The Union Minister for
Foreign Affairs, acting under the authority of the Council of
Ministers and in close and constant contact with the Political
and Security Committee, shall ensure coordination of the civi-
lian and military aspects of such tasks.

The Agency shall be open to all Member States wishing to
2.
be part of
it. The Council of Ministers, acting by qualified
majority, shall adopt a European decision defining the Agency's
statute, seat and operational rules. That decision should take
account of the level of effective participation in the Agency's
activities. Specific groups shall be set up within the Agency
bringing together Member States engaged in joint projects. The
Agency shall carry out its tasks in liaison with the Commission
where necessary.

Article III-211

Article III-213

1. Within the framework of the European decisions adopted
in accordance with Article III-210, the Council of Ministers may
entrust the implementation of a task to a group of Member
States having the necessary capability and the desire to under-
take the task. Those Member States in association with the
Union Minister for Foreign Affairs shall agree between them-
selves on the management of the task.

2.
The Council of Ministers shall be regularly informed by
its progress.
the Member States participating in the task of
Should the completion of the task involve major new conse-
quences or require amendment of
the objective, scope and
conditions
implementation adopted by the Council of
Ministers under Article III-210, the Member States participating
shall refer the matter to the Council of Ministers forthwith. In
such cases, the Council of Ministers shall adopt the necessary
European decisions.

for

Article III-212

The European Armaments, Research and Military Capabil-
1.
ities Agency, subject to the authority of the Council of Ministers,
shall have as its task to:

(a) contribute

to identifying the Member States' military
the

capability objectives and evaluating observance of
capability commitments given by the Member States;

(b) promote harmonisation of operational needs and adoption

of effective, compatible procurement methods;

(c) propose multilateral projects to fulfil

in
terms of military capabilities, ensure coordination of the
programmes
implemented by the Member States and
management of specific cooperation programmes;

the objectives

(d) support defence technology research, and coordinate and
technical

plan joint research activities and the study of
solutions meeting future operational needs;

(e) contribute to identifying and,

implementing
any useful measure for strengthening the industrial and
technological base of the defence sector and for improving
the effectiveness of military expenditure.

if necessary,

1.
The Member States listed in the Protocol [title], which fulfil
higher military capability criteria and wish to enter into more
binding commitments in this matter with a view to the most
demanding tasks, hereby establish structured cooperation
between themselves within the meaning of Article I-40(6). The
military capability criteria and commitments which those
Member States have defined are set out in that Protocol.

2.
If a Member State wishes to participate in such coopera-
tion at a later stage, and thus subscribe to the obligations it
imposes, it shall inform the European Council of its intention.
The Council of Ministers shall deliberate at the request of that
Member State. Only the members of the Council of Ministers
that represent
in structured
the Member States taking part
cooperation shall participate in the vote.

3. When the Council of Ministers adopts European decisions
relating to matters covered by structured cooperation, only the
members of the Council of Ministers that represent the Member
States taking part in structured cooperation shall participate in
the deliberations and the adoption of such decisions. The Union
Minister for Foreign Affairs shall attend the deliberations. The
representatives of the other Member States shall be duly and
regularly informed by the Union Minister for Foreign Affairs of
developments in structured cooperation.

4.
The Council of Ministers may ask the Member States
participating in such cooperation to carry out at Union level a
task referred to in Article III-210.

5.
Notwithstanding the previous paragraphs, the appropriate
provisions relating to enhanced cooperation shall apply to the
structured cooperation governed by this Article.

Article III-214

1.
The closer cooperation on mutual defence provided for in
Article I-40(7) shall be open to all Member States of the Union.
A list of Member States participating in closer cooperation shall
be set out in the declaration [title]. If a Member State wishes to
take part in such cooperation at a later stage, and thus accept
the obligations it imposes, it shall inform the European Council
of its intention and shall subscribe to that declaration.

C 169/70

EN

Official Journal of the European Union

18.7.2003

A Member State participating in such cooperation which
2.
is the victim of armed aggression on its territory shall inform
the other participating States of the situation and may request
aid and assistance from them. Participating Member States shall
meet at ministerial level, assisted by their representatives on the
Political and Security Committee and the Military Committee.

When it is planning a task as referred to in Article I-40(1)
which cannot be charged to the Union's budget, the Council of
Ministers shall authorise the Union Minister for Foreign Affairs
to use the fund. The Union Minister for Foreign Affairs shall
report to the Council of Ministers on the implementation of this
remit.

3.
The United Nations Security Council shall be informed
immediately of any armed aggression and the measures taken as
a result.

4.
This Article shall not affect the rights and obligations
resulting, for the Member States concerned, from the North
Atlantic Treaty.

Ch a pte r I I I

COMMON COMMERCIAL POLICY

Article III-216

SECTION 2

Financial provisions

Article III-215

Administrative expenditure which the provisions referred
1.
to in this Chapter entail for the institutions shall be charged to
the Union budget.

Operating expenditure to which the implementation of
2.
those provisions gives rise shall also be charged to the Union
budget, except for such expenditure arising from operations
having military or defence implications and cases where the
Council of Ministers decides otherwise.

In cases where expenditure is not charged to the Union's budget
it shall be charged to the Member States in accordance with the
gross national product scale, unless the Council of Ministers
decides otherwise. As for expenditure arising from operations
having military or defence implications, Member States whose
representatives in the Council of Ministers have made a formal
declaration under Article III-201(1), second subparagraph, shall
not be obliged to contribute to the financing thereof.

The Council of Ministers shall adopt a European decision
3.
establishing the specific procedures
for guaranteeing rapid
access to appropriations in the Union budget for urgent finan-
cing of initiatives in the framework of the common foreign and
security policy, and in particular for preparatory activities for
tasks as referred to in Article I-40(1). It shall act after consulting
the European Parliament.

Preparatory activities for tasks as referred to in Article I-40(1)
which are not charged to the Union budget shall be financed by
a start-up fund made up of Member States' contributions.

The Council of Ministers shall adopt by a qualified majority on
a proposal
for Foreign Affairs
European decisions establishing:

from the Union Minister

(a) the procedures for setting up and financing the start-up
fund, in particular the amounts allocated to the fund and
the procedures for reimbursement;

(b) the procedures for administering the start-up fund;

(c) the financial control procedures.

By establishing a customs union between the Member States,
the Union aims to contribute, in the common interest, to the
harmonious development of world trade, the progressive aboli-
tion of restrictions on international trade and on foreign direct
investment, and the lowering of customs and other barriers.

Article III-217

1.
The common commercial policy shall be based on
uniform principles, particularly with regard to changes in tariff
rates, the conclusion of tariff and trade agreements relating to
trade in goods and services and the commercial aspects of
intellectual property, foreign direct investment, the achievement
of uniformity in measures of liberalisation, export policy and
measures to protect trade such as those to be taken in the event
of dumping or subsidies. The common commercial policy shall
be conducted in the context of the principles and objectives of
the Union's external action.

European laws or

required to implement

framework laws shall establish the
the common commercial

2.
measures
policy.

3. Where agreements with one or more States or interna-
tional organisations need to be negotiated and concluded, the
relevant provisions of Article III-227 shall apply. The Commis-
sion shall make recommendations to the Council of Ministers,
which shall authorise the Commission to open the necessary
negotiations. The Council of Ministers and the Commission
shall be responsible for ensuring that the agreements negotiated
are compatible with internal Union policies and rules.

The Commission shall conduct these negotiations in consulta-
tion with a special committee appointed by the Council of
Ministers to assist the Commission in this task and within the
framework of such directives as the Council of Ministers may
issue to it. The Commission shall report regularly to the special
committee and to the European Parliament on the progress of
negotiations.

For the negotiation and conclusion of agreements in the
4.
fields of trade in services involving the movement of persons
and the commercial aspects of intellectual property, the Council
of Ministers shall act unanimously where such agreements
include provisions for which unanimity is required for the
adoption of internal rules.

18.7.2003

EN

Official Journal of the European Union

C 169/71

The Council shall also act unanimously for the negotiation and
conclusion of agreements in the field of trade in cultural and
audiovisual services, where these risk prejudicing the Union's
cultural and linguistic diversity.

The negotiation and conclusion of international agreements in
the field of
to the provisions of
transport shall be subject
Section 7 of Chapter III of Title III and Article III-227.

5.
The exercise of the competences conferred by this Article
in the field of commercial policy shall not affect the delimita-
tion of
internal competences between the Union and the
Member States, and shall not lead to harmonisation of legisla-
tive or regulatory provisions of Member States insofar as the
Constitution excludes such harmonisation.

Ch apte r I V

Article III-220

1.
In order to promote the complementarity and efficiency of
their action, the Union and the Member States shall coordinate
their policies on development cooperation and shall consult
each other on their aid programmes, including in international
organisations and during international conferences. They may
undertake joint action. Member States shall contribute if neces-
sary to the implementation of Union aid programmes.

The Commission may take any useful initiative to promote

2.
the coordination referred to in paragraph 1.

3. Within their respective spheres of competence, the Union
and the Member States shall cooperate with third countries and
the competent international organisations.

COOPERATION WITH THIRD COUNTRIES AND HUMANITARIAN
AID

SECTION 2

SECTION 1

Development cooperation

Article III-218

Union policy in the sphere of development cooperation
1.
shall be conducted within the framework of the principles and
objectives of the Union's external action. The Union's develop-
ment cooperation policy and that of the Member States comple-
ment and reinforce each other.

Union development cooperation policy shall have as its primary
objective the reduction and, in the long term, the eradication of
the objectives of
poverty. The Union shall
implements
development cooperation in the policies that
which are likely to affect developing countries.

take account of

it

The Union and the Member States shall comply with the
the objectives they have
the United Nations and other

2.
commitments and take account of
approved in the context of
competent international organisations.

Article III-219

European laws or

1.
framework laws shall establish the
measures necessary for the implementation of development
cooperation policy, which may relate to multiannual coopera-
tion programmes with developing countries or programmes
with a thematic approach.

The Union may conclude with third countries and compe-
2.
tent
international organisations any agreement helping to
achieve the objectives referred to in Article III-193. Such agree-
ments shall be negotiated and concluded in accordance with
Article III-227.

The first subparagraph shall be without prejudice to Member
States' competence to negotiate in international bodies and to
conclude international agreements.

3.
The European Investment Bank shall contribute, under the
terms laid down in its Statute, to the implementation of the
measures referred to in paragraph 1.

Economic, financial and technical cooperation with third
countries

Article III-221

1. Without prejudice to the other provisions of the Constitu-
tion, and in particular those of Articles III-218 to III-220, the
Union shall carry out economic, financial and technical coop-
eration measures, including financial aid in particular, with third
countries other than developing countries. Such measures shall
be consistent with the development policy of the Union and
shall be carried out within the framework of the principles and
objectives of its external action. The Union's measures and those
of
the Member States shall complement and reinforce each
other.

European laws or

2.
measures necessary for the implementation of paragraph 1.

framework laws shall establish the

3. Within their respective spheres of competence, the Union
and the Member States shall cooperate with third countries and
the competent international organisations. The arrangements for
Union cooperation may be the subject of agreements between
the Union and the third parties concerned, which shall be
negotiated and concluded pursuant
to Article III-227. The
Council of Ministers shall act unanimously for the association
agreements referred to in Article III-226(2) and for the agree-
ments with the States which are candidates for accession to the
Union.

The first subparagraph shall be without prejudice to Member
States' competence to negotiate in international bodies and to
conclude international agreements.

Article III-222

When the situation in a third country requires urgent financial
aid from the Union, the Council of Ministers shall adopt the
necessary European decisions on a proposal from the Commis-
sion.

C 169/72

EN

Official Journal of the European Union

18.7.2003

SECTION 3

Humanitarian aid

Article III-223

1.
The Union's operations in the field of humanitarian aid
shall be conducted within the framework of the principles and
objectives of the external action of the Union. Such operations
shall be intended to provide ad hoc assistance,
relief and
protection for people in third countries and victims of natural
or man-made disasters, in order to meet the humanitarian needs
resulting from these different situations. The Union's operations
and those of the Member States shall complement and reinforce
each other.

Humanitarian aid operations

2.
conducted in
compliance with the principles of international humanitarian
law, in particular the principles of impartiality and non-discri-
mination.

shall be

European laws or

3.
framework laws shall establish the
measures defining the framework within which the Union's
humanitarian aid operations shall be implemented.

4.
The Union may conclude with third countries and compe-
international organisations any agreement helping to
tent
achieve the objectives referred to in Article III-193. Such agree-
ments shall be negotiated and concluded pursuant to Article III-
227.

The first subparagraph shall be without prejudice to Member
States' competence to negotiate in international bodies and to
conclude international agreements.

In order to establish a framework for joint contributions
5.
from young Europeans to the humanitarian actions of
the
Union, a European Voluntary Humanitarian Aid Corps shall be
set up. European law shall determine the rules and operation of
the Corps.

6.
The Commission may take any useful initiative to promote
coordination between actions of the Union and those of the
Member States, in order to enhance the efficiency and comple-
mentarity of Union and national humanitarian aid measures.

The Union shall ensure that its humanitarian operations
international
in particular those forming part of

7.
are coordinated and consistent with those of
organisations and bodies,
the United Nations system.

Chapter V

RESTRICTIVE MEASURES

Article III-224

economic and financial relations with one or more third coun-
tries, the Council of Ministers, acting by a qualified majority on
a joint proposal from the Union Minister for Foreign Affairs and
the Commission, shall adopt the necessary European regulations
or decisions. It shall inform the European Parliament thereof.

2.
In the areas referred to in paragraph 1, the Council of
Ministers may adopt restrictive measures under the same proce-
dure against natural or legal persons and non-State groups or
bodies.

Ch apte r V I

INTERNATIONAL AGREEMENTS

Article III-225

1.
The Union may conclude agreements with one or more
third countries or international organisations where the Consti-
tution so provides or where the conclusion of an agreement is
necessary in order to achieve, within the framework of the
Union's policies, one of the objectives fixed by the Constitution,
where there is provision for it in a binding Union legislative act
or where it affects one of the Union's internal acts.

Agreements concluded by the Union are binding upon the

2.
institutions of the Union and on its Member States.

Article III-226

The Union may conclude association agreements with one or
more third countries or international organisations. Such agree-
ments shall establish an association involving reciprocal rights
and obligations, common actions and special procedures.

Article III-227

1. Without prejudice to the specific provisions laid down in
Article III-217, agreements between the Union and third States
or international organisations shall be negotiated and concluded
in accordance with the following procedure.

The Council of Ministers shall authorise negotiations to be

2.
opened, adopt negotiating directives and conclude agreements.

the Union Minister

The Commission, or

for Foreign
3.
Affairs where the agreement exclusively or principally relates to
the common foreign and security policy, shall submit recom-
mendations to the Council of Ministers, which shall adopt a
European decision authorising the opening of negotiations.

4.
In connection with the European decision authorising
negotiation, depending on the subject of the future agreement,
the Council of Ministers shall nominate the negotiator or leader
of the Union's negotiating team.

1. Where a European decision on a Union position or action
adopted in accordance with the provisions on the common
foreign and security policy in Chapter II of this Title provides
in part or completely, of
for the interruption or reduction,

5.
The Council of Ministers may address negotiating direc-
tives to the Union's negotiator and may designate a special
committee in consultation with which the negotiations must
be conducted.

18.7.2003

EN

Official Journal of the European Union

C 169/73

On a proposal from the negotiator, the Council of Minis-
6.
ters shall adopt a European decision authorising the signing of
the agreement and, if necessary, its provisional application.

7.
The Council of Ministers shall adopt a European decision
concluding the agreement on a proposal by the agreement
negotiator.

Except where agreements relate exclusively to the common
foreign and security policy, the Council of Ministers shall adopt
the decision referred to in the
subparagraph after
consulting the European Parliament. The European Parliament
shall deliver its opinion within a time-limit which the Council
of Ministers may lay down according to the urgency of the
matter. In the absence of an opinion within that time-limit, the
Council of Ministers may act.

first

The European Parliament's consent shall be required for:

(a) association agreements;

(b) Union accession to the European Convention for

the

Protection of Human Rights and Fundamental Freedoms;

(c) agreements establishing a specific institutional

framework

by organising cooperation procedures;

(d) agreements with important budgetary implications for the

Union;

(e) agreements covering fields to which the legislative proce-

dure applies.

The European Parliament and the Council of Ministers may, in
an urgent situation, agree upon a time-limit for consent.

8. When concluding an agreement, the Council of Ministers
may, by way of derogation from paragraphs 6, 7 and 10,
authorise the negotiator to approve on the Union's behalf
modifications to the agreement where it provides for them to
be adopted by a simplified procedure or by a body set up by the
agreement; the Council of Ministers may attach specific condi-
tions to such authorisation.

9.
The Council of Ministers shall act by a qualified majority
throughout the procedure. It shall act unanimously when the
agreement covers a field for which unanimity is required for the
adoption of a Union act as well as for association agreements
and for Union accession to the European Convention for the
Protection of Human Rights and Fundamental Freedoms.

The Council of Ministers, on a proposal from the Union
10.
Minister for Foreign Affairs or the Commission, shall adopt a
European decision suspending application of an agreement and
establishing the positions to be adopted on the Union's behalf
in a body set up by an agreement, when that body is called
upon to adopt acts having legal effects, with the exception of
acts supplementing or amending the institutional framework of
the agreement.

The European Parliament shall be immediately and fully

11.
informed at all stages of the procedure.

A Member State, the European Parliament, the Council of
12.
Ministers or the Commission may obtain the opinion of the
Court of
Justice as to whether an agreement envisaged is
compatible with the provisions of the Constitution. Where the
opinion of
the agreement
envisaged may not enter into force unless it is amended or the
Constitution is revised in accordance with the procedure laid
down in Article IV-6.

Justice is adverse,

the Court of

Article III-228

By way of derogation from Article III-227, the Council of
1.
Ministers, acting unanimously on a recommendation from the
European Central Bank or from the Commission,
following
consultation with the European Central Bank with a view to
reaching a consensus compatible with the objective of price
stability and after consultation with the European Parliament, in
accordance with the procedure laid down in paragraph 3 for the
arrangements there referred to, may conclude formal agree-
ments on a system of exchange rates for the euro in relation
to currencies other than those that are legal tender within the
Union.

The Council of Ministers, acting by a qualified majority either
recommendation from the Commission and after
on a
consulting the European Central Bank, or on a recommendation
from the European Central Bank and in an endeavour to reach a
consensus consistent with the objective of price stability, may
adopt, adjust or abandon the central rates of the euro within the
exchange-rate system. The President of the Council of Ministers
shall inform the European Parliament of the adoption, adjust-
ment or abandonment of the central rates of the euro.

acting either on a

2.
In the absence of an exchange-rate system in relation to
one or more currencies other than those that are legal tender
within the Union as referred to in paragraph 1, the Council of
Ministers,
recommendation from the
Commission and after consulting the European Central Bank
or on a recommendation from the European Central Bank, may
formulate general orientations for exchange-rate policy in rela-
tion to these currencies. These general orientations shall be
the European
without prejudice to the primary objective of
System of Central Banks, to maintain price stability.

3.
By way of derogation from Article III-227, where agree-
ments on matters relating to the monetary or exchange-rate
system are to be the subject of negotiations between the Union
and one or more States or international organisations,
the
Council of Ministers, acting on a recommendation from the
Commission and after consulting the European Central Bank,
shall decide the arrangements for the negotiation and for the
conclusion of the agreements. These arrangements shall ensure
that the Union expresses a single position. The Commission
shall be fully associated with the negotiations.

4. Without prejudice to Union competence and agreements
as regards economic and monetary union, Member States may
negotiate in international bodies and conclude international
agreements.

C 169/74

EN

Official Journal of the European Union

18.7.2003

C h a pte r VI I

TITLE VI

THE UNION'S RELATIONS WITH INTERNATIONAL ORGANISA-
TIONS AND THIRD COUNTRIES AND UNION DELEGATIONS

Article III-229

The Union shall establish all appropriate forms of coop-
1.
eration with the United Nations, the Council of Europe, the
Organisation for Security and Cooperation in Europe and the
Organisation for Economic Cooperation and Development.

It shall also maintain such relations as are appropriate

2.
with other international organisations.

The Union Minister for Foreign Affairs and the Commis-

3.
sion shall be instructed to implement this Article.

Article III-230

Union delegations in third countries and to international

1.
organisations shall represent the Union.

2.
Union delegations shall operate under the authority of the
Union Minister for Foreign Affairs and in close cooperation with
Member States' diplomatic missions.

Chapte r V II I

IMPLEMENTATION OF THE SOLIDARITY CLAUSE

Article III-231

1.
Acting on a joint proposal by the Commission and the
Union Minister for Foreign Affairs, the Council of Ministers shall
adopt a European decision defining the arrangements for the
implementation of the solidarity clause referred to in Article I-
42. The European Parliament shall be informed.

2.
Should a Member State fall victim to a terrorist attack or a
natural or man-made disaster, the other Member States shall
assist it at the request of its political authorities. To that end, the
Member States shall coordinate between themselves in the
Council of Ministers.

For the purposes of this Article, the Council of Ministers
3.
shall be assisted by the Political and Security Committee, with
the support of the structures developed in the context of the
common security and defence policy, and by the Committee
provided for in Article III-162, which shall, if necessary, submit
joint opinions.

4.
The European Council shall regularly assess the threats
facing the Union in order to enable the Union to take effective
action.

THE FUNCTIONING OF THE UNION

Ch apte r I

PROVISIONS GOVERNING THE INSTITUTIONS

SECTION 1

The Institutions

S ubs ection 1

The European Parliament

Article III-232

A European law or framework law of

1.
the Council of
Ministers shall establish the necessary measures for the election
of the Members of the European Parliament by direct universal
suffrage in accordance with a uniform procedure in all Member
States or in accordance with principles common to all Member
States.

The Council of Ministers shall act unanimously on a proposal
from and after obtaining the consent of the European Parlia-
ment, which shall act by a majority of its component members.
This law or framework law shall not enter into force until it has
been approved by the Member States in accordance with their
respective constitutional requirements.

A European law of

the European Parliament shall

lay
2.
down the regulations and general conditions governing the
performance of the duties of its Members. The European Parlia-
ment shall act on its own initiative after seeking an opinion
from the Commission and with the approval of the Council of
Ministers. The Council of Ministers shall act unanimously on all
rules or conditions relating to the taxation of Members or
former Members.

Throughout the 2004-2009 Parliament, the composition
3.
of the European Parliament shall be as set out in the Protocol
on the representation of citizens in the European Parliament.

Article III-233

A European law shall
lay down the regulations governing
political parties at European level referred to in Article I-45(4),
and in particular the rules regarding their funding.

Article III-234

its
The European Parliament may, acting by a majority of
component Members, request the Commission to submit any
appropriate proposal on matters on which it considers that a
Union act is required for the purpose of
implementing the
Constitution. If the Commission does not submit a proposal, it
shall inform the European Parliament of the reasons.

18.7.2003

EN

Official Journal of the European Union

C 169/75

Article III-235

In the course of its duties, the European Parliament may, at the
request of a quarter of
its component Members, set up a
temporary Committee of Inquiry to investigate, without preju-
dice to the powers conferred by the Constitution on other
institutions or bodies, alleged contraventions or maladministra-
tion in the implementation of Union law, except where the
alleged facts are being examined before a court and while the
case is still subject to legal proceedings.

The temporary Committee of Inquiry shall cease to exist on the
submission of its report.

A European law of the European Parliament shall lay down the
detailed provisions governing the exercise of
the right of
inquiry. The European Parliament shall act on its own initiative
after obtaining the approval of the Council of Ministers and of
the Commission.

Article III-236

Any citizen of
the Union, and any natural or legal person
residing or having its registered office in a Member State, shall
have the right to address,
individually or in association with
other citizens or persons, a petition to the European Parliament
on a matter which comes within the Union's fields of activity
and which affects him directly.

Article III-237

shall

appoint

The European Parliament

1.
a European
Ombudsman. The European Ombudsman shall be empowered
to receive complaints from any citizen of the Union or any
natural or legal person residing or having its registered office in
a Member State concerning instances of maladministration in
the activities of the Union's institutions, bodies or agencies, with
the exception of the Court of Justice acting in its judicial role.

In accordance with his or her duties, the European Ombudsman
shall conduct inquiries for which he or she finds grounds, either
on his or her own initiative or on the basis of complaints
submitted to him or her direct or through a Member of the
European Parliament, except where the alleged facts are or have
been the subject of
legal proceedings. Where the European
Ombudsman establishes an instance of maladministration, he
or she shall refer the matter to the institution, body or agency
concerned, which shall have a period of three months in which
to inform him or her of its views. The European Ombudsman
shall then forward a report to the European Parliament and the
institution, body or agency concerned. The person lodging the
complaint shall be informed of the outcome of such inquiries.

The European Ombudsman shall submit an annual report to the
European Parliament on the outcome of his or her inquiries.

2.
The European Ombudsman shall be appointed after each
election of the European Parliament for the duration of its term
of office. The European Ombudsman shall be eligible for
reappointment.

The European Ombudsman may be dismissed by the Court of
Justice at the request of the European Parliament if he or she no
longer fulfils the conditions required for the performance of his
or her duties or if he or she is guilty of serious misconduct.

The European Ombudsman shall be completely indepen-
3.
dent in the performance of his or her duties. In the performance
of those duties he or she shall neither seek nor take instructions
from any body. The European Ombudsman may not, during his
or her term of office, engage in any other occupation, whether
gainful or not.

A European law of

the European Parliament shall

4.
lay
down the regulations and general conditions governing the
the European Ombudsman's duties. The
performance of
European Parliament shall act on its own initiative after seeking
an opinion from the Commission and with the approval of the
Council of Ministers.

Article III-238

The European Parliament shall hold an annual session. It shall
meet, without requiring to be convened, on the second Tuesday
in March.

The European Parliament may meet
in extraordinary part-
session at the request of a majority of its component Members
or at the request of the Council of Ministers or of the Commis-
sion.

Article III-239

The Commission may attend all meetings of the European

1.
Parliament and shall, at its request, be heard.

The Commission shall reply orally or in writing to questions
put to it by the European Parliament or by its Members.

2.
The European Council and the Council of Ministers shall
be heard by the European Parliament in accordance with the
conditions laid down in the procedural rules of the European
Council and the Rules of Procedure of the Council of Ministers.

Article III-240

Save as otherwise provided in the Constitution, the European
Parliament shall act by a majority of the votes cast. The Rules of
Procedure shall determine the quorum.

Article III-241

The European Parliament shall adopt its Rules of Procedure,
acting by a majority of its component Members.

The proceedings of the European Parliament shall be published
in the manner laid down in the Constitution and its Rules of
Procedure.

Article III-242

The European Parliament shall discuss in open session the
annual general report submitted to it by the Commission.

C 169/76

EN

Official Journal of the European Union

18.7.2003

Article III-243

If a motion of censure on the activities of the Commission is
tabled before it, the European Parliament shall not vote thereon
until at least three days after the motion has been tabled and
only by open vote.

If the motion of censure is carried by a two-thirds majority of
the votes cast,
the component
representing a majority of
Members of the European Parliament, the Commission shall
resign. It shall continue to deal with current business until it is
replaced in accordance with Articles I-25 and I-26. In this case,
the term of office of the Commission appointed to replace it
shall expire on the date on which the term of office of the
Commission which was obliged to resign would have expired.

S ubsec tion 2

The European Council

Article III-244

1. Where a vote is taken, any member of
the European
Council may also act on behalf of not more than one other
member.

Abstentions by members present in person or represented shall
not prevent the adoption by the European Council of decisions
which require unanimity.

The President of the European Parliament may be invited

2.
to be heard by the European Council.

The European Council shall establish its procedural rules

3.
by a simple majority.

The European Council shall be assisted by the General Secre-
tariat of the Council of Ministers.

S ubsec tion 3

The Council of Ministers

Article III-245

1.
The Council of Ministers shall meet when convened by its
President on his or her own initiative, or at the request of one
of its members or of the Commission.

The European Council

2.
shall adopt by unanimity a
European decision establishing the rules governing the rotation
of the Presidency of the formations of the Council of Ministers.

Abstentions by members present in person or represented
3.
shall not prevent the adoption by the Council of Ministers of
acts which require unanimity.

Article III-247

1.
A committee consisting of the Permanent Representatives
of the Member States shall be responsible for preparing the
work of the Council of Ministers and for carrying out the tasks
assigned to it by the latter. The Committee may adopt proce-
dural decisions in cases provided for in the Rules of Procedure
of the Council of Ministers.

The Council of Ministers shall be assisted by a General
the responsibility of a Secretary-General

2.
Secretariat, under
appointed by the Council of Ministers.

The Council of Ministers shall decide on the organisation of the
General Secretariat by a simple majority.

3.
The Council of Ministers shall act by a simple majority
regarding procedural matters and for the adoption of its Rules
of Procedure.

Article III-248

The Council of Ministers, acting by a simple majority, may
request the Commission to undertake any studies the Council
of Ministers considers desirable for
the
common objectives, and to submit to it any appropriate propo-
sals. If the Commission does not submit a proposal,
it shall
inform the Council of Ministers of the reasons.

the attainment of

Article III-249

The Council of Ministers shall adopt European decisions laying
down the rules governing the committees provided for in the
Constitution. It shall act by a simple majority after consulting
the Commission.

S ubs ection 4

The Commission

Article III-250

be
shall
European Commissioners
appointed for a period of five years, subject,
if need be, to
Article III-243. Only nationals of Member States may be
European Commissioners or Commissioners.

and Commissioners

Article III-246

Article III-251

1. Where a vote is taken, any member of the Council of
Ministers may also act on behalf of not more than one other
member.

2. Where it is required to act by a simple majority, the
Council of Ministers shall act by a majority of its members.

European Commissioners and Commissioners shall refrain from
any action incompatible with their duties. Each Member State
undertakes to respect this principle and not to seek to influence
the European Commissioners and Commissioners in the per-
formance of their tasks.

18.7.2003

EN

Official Journal of the European Union

C 169/77

European Commissioners and Commissioners may not, during
their term of office, engage in any other occupation, whether
gainful or not. When entering upon their duties they shall give
a solemn undertaking that, both during and after their term of
office, they will respect the obligations arising therefrom and in
particular their duty to behave with integrity and discretion as
regards the acceptance, after they have ceased to hold office, of
certain appointments or benefits. In the event of any breach of
these obligations, the Court of Justice may, on application by
the Council of Ministers, acting by a simple majority, or the
Commission, rule that the person concerned be, according to
the circumstances, either compulsorily retired in accordance
with Article III-253 or deprived of his or her right to a pension
or other benefits in its stead.

Article III-252

1.
Apart from normal replacement, or death, the duties of a
European Commissioner or Commissioner shall end when he or
she resigns or is compulsorily retired. A European Commis-
sioner or Commissioner shall resign if the President so requests.

A vacancy caused by resignation, compulsory retirement
2.
or death shall be filled for the remainder of
the European
Commissioner or Commissioner's term of office by a new
European Commissioner or Commissioner appointed by the
President of the Commission in accordance with Articles I-25
and I-26.

3.
In the event of resignation, compulsory retirement or
death, the President shall be replaced for the remainder of his
or her term of office in accordance with Article I-26(1).

4.
In the case of the resignation of all European Commis-
sioners and Commissioners, they shall remain in office until
they have been replaced, for the remainder of their term of
office, in accordance with Articles I-25 and I-26.

Article III-253

If any European Commissioner or Commissioner no longer
fulfils the conditions required for the performance of his or
her duties or if he or she has been guilty of serious misconduct,
the Court of Justice may, on application by the Council of
Ministers, acting by a simple majority, or by the Commission,
compulsorily retire him or her.

Article III-254

The responsibilities incumbent upon the Commission shall be
structured and allocated among its members by its President, in
accordance with Article I-26(3) of the Constitution. The Presi-
dent may reshuffle the allocation of those responsibilities during
the Commission's term of office. European Commissioners and
Commissioners shall carry out the duties devolved upon them
by the President under his or her authority.

Article III-256

The Commission shall adopt its Rules of Procedure so as to
ensure both its own operation and that of its departments. It
shall ensure that these rules are published.

Article III-257

The Commission shall publish annually, not
month before the opening of
Parliament, a general report on the activities of the Union.

later than one
the European

the session of

S ubs ection 5

The Court of Justice

Article III-258

The European Court of Justice shall sit in chambers, as a Grand
Chamber or as a full Court, in accordance with the Statute of
the Court of Justice.

Article III-259

The European Court of Justice shall be assisted by eight Advo-
cates-General. Should the European Court of Justice so request,
the Council of Ministers may, acting unanimously, adopt a
European decision to increase the number of Advocates-General.

It shall be the duty of
complete impartiality and independence,
court, reasoned submissions on cases which,
with the Statute of the Court of
involvement.

the Advocate-General, acting with
in open
in accordance
Justice, require his or her

to make,

Article III-260

The Judges and Advocates-General of the European Court of
Justice shall be chosen from persons whose independence is
beyond doubt and who possess the qualifications required for
appointment to the highest judicial offices in their respective
countries or who are jurisconsults of recognised competence;
they shall be appointed by common accord of the governments
of the Member States after consulting the panel provided for in
Article III-262.

Every three years there shall be a partial replacement of the
Judges and Advocates-General,
in accordance with the condi-
tions laid down in the Statute of the Court of Justice.

The Judges shall elect the President of the European Court of
Justice from among their number for a term of three years. He
or she may be re-elected.

The European Court of Justice shall adopt its Rules of Proce-
dure. Those Rules shall require the approval of the Council of
Ministers.

Article III-255

Article III-261

The Commission shall act by a majority of the members of the
College. The Rules of Procedure shall determine the quorum.

The number of Judges of the High Court shall be determined by
the Statute of the Court of Justice. The Statute may provide for
the High Court to be assisted by Advocates-General.

C 169/78

EN

Official Journal of the European Union

18.7.2003

The members of the High Court shall be chosen from persons
whose independence is beyond doubt and who possess the
ability required for appointment to high judicial office. They
shall be appointed by common accord of the governments of
the Member States after consultation of the panel provided for
in Article III-262.

The membership of the High Court shall be partially renewed
every three years. Retiring members may be reappointed.

The Judges shall elect the President of the High Court from
among their number for a term of three years. He or she may
be re-elected.

The High Court shall establish its Rules of Procedure in agree-
ment with the European Court of Justice. The Rules shall be
subject to the approval of the Council of Ministers.

Unless the Statute of the Court of Justice provides otherwise,
the provisions of
the Constitution relating to the European
Court of Justice shall apply to the High Court.

Article III-262

A panel shall be set up in order
to give an opinion on
candidates' suitability to perform the duties of Judge and Advo-
cate-General of the European Court of Justice and the High
Court before the governments of the Member States take the
decisions referred to in Articles III-260 and III-261.

The panel shall comprise seven persons chosen from among
former members of the European Court of Justice and the High
Court, members of national supreme courts and lawyers of
recognised competence, one of whom shall be proposed by the
European Parliament. The Council of Ministers shall adopt a
European decision establishing the panel's operating rules and a
European decision appointing its members. It shall act on the
initiative of the President of the European Court of Justice.

Article III-263

1.
The High Court shall have jurisdiction to hear and deter-
mine at first instance actions or proceedings referred to in
Articles III-270, III-272, III-275, III-277 and III-279, with the
exception of those assigned to a specialised court and those
reserved in the Statute for the European Court of Justice. The
Statute may provide for the High Court to have jurisdiction for
other classes of action or proceeding.

Decisions given by the High Court under this paragraph may be
subject to a right of appeal to the European Court of Justice on
points of law only, under the conditions and within the limits
laid down by the Statute of the Court of Justice.

the Statute, where there is a serious risk of
consistency of Union law being affected.

the unity or

The High Court shall have jurisdiction to hear and deter-
3.
mine questions
a preliminary ruling under
Article III-274, in specific areas laid down by the Statute of the
Court of Justice.

referred for

Where the High Court considers that
the case requires a
decision of principle likely to affect the unity or consistency of
Union law,
it may refer the case to the European Court of
Justice for a ruling.

Decisions given by the High Court on questions referred for a
preliminary ruling may exceptionally be subject to review by the
European Court of Justice, under the conditions and within the
limits laid down by the Statute, where there is a serious risk of
the unity or consistency of Union law being affected.

Article III-264

European laws may establish specialised courts attached to
1.
the High Court to hear and determine at first instance certain
classes of action or proceeding brought in specific areas. They
shall be adopted either on a proposal from the Commission
after consultation of the Court of Justice or at the request of the
Court of Justice after consultation of the Commission.

2.
The European law establishing a specialised court shall lay
down the rules on the organisation of the court and the extent
of the jurisdiction conferred upon it.

3.
Decisions given by specialised courts may be subject to a
right of appeal on points of law only or, when provided for in
the European law establishing the specialised court, a right of
appeal also on matters of fact, before the High Court.

4.
The members of the specialised courts shall be chosen
from persons whose independence is beyond doubt and who
possess the ability required for appointment to judicial office.
They shall be appointed by the Council of Ministers, acting
unanimously.

5.
The specialised courts shall establish their Rules of Proce-
dure in agreement with the Court of Justice. Those Rules shall
require the approval of the Council of Ministers.

6.
Unless the European law establishing the specialised court
provides otherwise, the provisions of the Constitution relating
to the Court of Justice and the provisions of the Statute of the
Court of Justice shall apply to the specialised courts.

Article III-265

2.
The High Court shall have jurisdiction to hear and deter-
mine actions or proceedings brought against decisions of the
specialised courts set up under Article III-264.

If the Commission considers that a Member State has failed to
fulfil an obligation under the Constitution,
it shall deliver a
reasoned opinion on the matter after giving the State concerned
the opportunity to submit its observations.

Decisions given by the High Court under this paragraph may
exceptionally be subject to review by the European Court of
Justice, under the conditions and within the limits laid down by

If the State concerned does not comply with the opinion within
the period laid down by the Commission, the latter may bring
the matter before the Court of Justice.

18.7.2003

EN

Official Journal of the European Union

C 169/79

Article III-266

Article III-269

A Member State which considers that another Member State has
failed to fulfil an obligation under the Constitution may bring
the matter before the Court of Justice.

Before a Member State brings an action against another Member
State for an alleged infringement of an obligation under the
Constitution, it shall bring the matter before the Commission.

The Commission shall deliver a reasoned opinion after each of
the States concerned has been given the opportunity to submit
its own case and its observations on the other party's case both
orally and in writing.

If the Commission has not delivered an opinion within three
months of the date on which the matter was brought before it,
the absence of such opinion shall not prevent the matter from
being brought before the Court of Justice.

Article III-267

1.
If the Court of Justice finds that a Member State has failed
to fulfil an obligation under the Constitution, the State shall be
required to take the necessary measures to comply with the
judgment of the Court of Justice.

If

that

the Commission considers

the Member State
2.
concerned has not taken the necessary measures to comply
with the Court's judgment,
it may bring the case before the
Justice after giving that State the opportunity to
Court of
submit
the
lump sum or penalty payment to be paid by the Member State
concerned which it considers appropriate in the circumstances.

It shall specify the amount of

its observations.

If the Court of Justice finds that the Member State concerned
has not complied with its judgment it may impose a lump sum
or penalty payment on it.

This procedure shall be without prejudice to Article III-266.

3. When the Commission brings a case before the Court of
Justice pursuant to Article III-265 on the grounds that the State
concerned has failed to fulfil its obligations to notify measures
transposing a European framework law, it may, when it deems
appropriate, request that, in the course of the same proceedings,
the Court of Justice impose the payment of a lump sum or
penalty if the Court finds that there has been such a failure. If
the Court of Justice complies with the Commission's request,
the payment in question shall take effect within the time limit
laid down by the Court of Justice in its judgment.

Without prejudice to the other provisions of the Constitution, a
European law may confer on the Court of Justice, to the extent
jurisdiction in disputes relating to the
that it shall determine,
application of acts adopted on the basis of the Constitution
which create European intellectual property rights.

Article III-270

1.
The Court of Justice shall review the legality of European
laws and framework laws, of acts of the Council of Ministers, of
the Commission and of the European Central Bank, other than
recommendations and opinions, and of acts of the European
Parliament
intended to produce legal effects vis-à-vis third
parties. It shall also review the legality of acts of bodies or
agencies of the Union intended to produce legal effects vis-à-vis
third parties.

It shall

this purpose have jurisdiction in actions
for
2.
brought by a Member State,
the
Council of Ministers or the Commission on grounds of lack of
competence,
infringement of an essential procedural require-
ment, infringement of the Constitution or of any rule of law
relating to its application, or misuse of powers.

the European Parliament,

3.
The Court of Justice shall have jurisdiction under the same
conditions in actions brought by the Court of Auditors, by the
European Central Bank and by the Committee of the Regions
for the purpose of protecting their prerogatives.

4.
Any natural or legal person may, under the same condi-
institute proceedings against an act addressed to that
tions,
person or which is of direct and individual concern to him or
her, and against a regulatory act which is of direct concern to
him or her and does not entail implementing measures.

5.
Acts setting up bodies and agencies of the Union may lay
down specific conditions and arrangements concerning actions
brought by natural or legal persons against acts of these bodies
or agencies intended to produce legal effects.

6.
The proceedings provided for in this Article shall be
instituted within two months of the publication of the act, or
of its notification to the plaintiff, or, in the absence thereof, of
the day on which it came to the knowledge of the latter, as the
case may be.

Article III-271

Article III-268

If the action is well founded the Court of Justice shall declare
the act concerned to be void.

European laws and European regulations of
the Council of
Ministers may give the Court of Justice unlimited jurisdiction
with regard to the penalties provided for in them.

However, the Court of Justice shall, if it considers this necessary,
state which of the effects of the act which it has declared void
shall be considered as definitive.

C 169/80

EN

Official Journal of the European Union

18.7.2003

Article III-272

Should the European Parliament, the Council of Ministers, the
Commission or the European Central Bank, in infringement of
the Constitution, fail to act, the Member States and the other
Institutions of the Union may bring an action before the Court
of Justice to have the infringement established. This provision
shall apply, under the same conditions, to bodies and agencies
of the Union which fail to act.

The action shall be admissible only if the Institution, body or
agency concerned has first been called upon to act. If, within
two months of being so called upon, the Institution, agency or
body concerned has not defined its position, the action may be
brought within a further period of two months.

Any natural or legal person may, under the conditions laid
down in the preceding paragraphs, complain to the Court of
Justice that an Institution, body or agency of the Union has
failed to address to that person any act other than a recom-
mendation or an opinion.

Article III-273

The Institution or Institutions, body or agency whose act has
been declared void, or whose failure to act has been declared
contrary to the Constitution, shall be required to take the
necessary measures to comply with the judgment of the Court
of Justice.

This obligation shall not affect any obligation which may result
from the application of the second paragraph of Article III-337.

Article III-274

The Court of Justice shall have jurisdiction to give preliminary
rulings concerning:

(a) the interpretation of the Constitution;

(b) the validity and interpretation of acts of the Institutions of

the Union.

Where such a question is raised before any court or tribunal of
a Member State, that court or tribunal may, if it considers that a
decision on the question is necessary to enable it
to give
judgment, request the Court of Justice to give a ruling thereon.

Where any such question is raised in a case pending before a
court or tribunal of a Member State against whose decisions
there is no judicial remedy under national
law, that court or
tribunal shall bring the matter before the Court of Justice.

If such a question is raised in a case pending before a court or
tribunal of a Member State with regard to a person in custody,
the Court of Justice shall act with the minimum of delay.

Article III-275

The Court of Justice shall have jurisdiction in disputes relating
to compensation for damage provided for in the second para-
graph of Article III-337.

pursuant to Article I-58, the European Court of Justice shall
have jurisdiction solely on the procedural stipulations contained
in that Article. The Court shall rule within one month from the
date of that determination.

Article III-277

The Court of
Justice shall have jurisdiction in any dispute
between the Union and its servants within the limits and under
the conditions laid down in the Staff Regulations of Officials
and the Conditions of Employment of other servants of the
Union.

Article III-278

The Court of Justice shall, within the limits hereinafter laid
down, have jurisdiction in disputes concerning:

(a) the fulfilment by Member States of obligations under the
Statute of the European Investment Bank. In this connec-
tion, the Board of Directors of the Bank shall enjoy the
powers conferred upon the Commission by Article III-265;

(b) measures adopted by the Board of Governors of
connection,

the
European Investment Bank.
any
Member State, the Commission or the Board of Directors
of the Bank may institute proceedings under the conditions
laid down in Article III-270;

In this

(c) measures adopted by the Board of Directors of

the
such
European Investment Bank.
measures may be instituted only by Member States or by
the Commission, under
laid down in
Article III-270, and solely on the grounds of non-compli-
ance with the procedure provided for in Article 21(2), (5),
(6) and (7) of the Statute of the Bank;

the conditions

Proceedings

against

(d) the fulfilment by national central banks of obligations
under the Constitution and the Statute of
the European
System of Central Banks and the European Central Bank. In
this connection, the powers of the Council of the European
Central Bank in respect of national central banks shall be
the same as those conferred upon the Commission in
respect of Member States by Article III-265. If the Court
of Justice finds that a national central bank has failed to
fulfil an obligation under the Constitution, that bank shall
be required to take the necessary measures to comply with
the judgment of the Court of Justice.

Article III-279

The Court of Justice shall have jurisdiction to give judgment
to any arbitration clause contained in a contract
pursuant
concluded by or on behalf of the Union, whether that contract
be governed by public or private law.

Article III-280

Article III-276

At the request of the Member State concerned by a determina-
tion made by the European Council or the Council of Ministers

The Court of
Justice shall have jurisdiction in any dispute
between Member States which relates to the subject matter of
the Constitution if the dispute is submitted to it under a special
agreement between the parties.

18.7.2003

EN

Official Journal of the European Union

C 169/81

Article III-281

Article III-289

Save where jurisdiction is conferred on the Court of Justice by
the Constitution, disputes to which the Union is a party shall
not on that ground be excluded from the jurisdiction of the
courts or tribunals of the Member States.

Article III-282

The Court of Justice shall not have jurisdiction with respect to
Articles I-39 and I-40 and the provisions of Chapter II of
Title V of Part III concerning the common foreign and security
policy.

However, the Court of Justice shall have jurisdiction to rule on
proceedings reviewing the legality of restrictive measures against
natural or legal persons, adopted by the Council on the basis of
Article III-224, and brought in accordance with the conditions
laid down in Article III-270(4).

Article III-283

In exercising its competences
regarding the provisions of
Sections 4 and 5 of Chapter IV of Title III concerning the area
of freedom, security and justice, the Court of Justice shall have
no jurisdiction to review the validity or proportionality of
operations carried out by the police or other law-enforcement
services of a Member State or the exercise of the responsibilities
incumbent upon Member States with regard to the maintenance
of
internal security,
law and order and the safeguarding of
where such action is a matter of national law.

Article III-284

Member States undertake not to submit a dispute concerning
the interpretation or application of
the Constitution to any
method of settlement other than those provided for therein.

Article III-285

the period laid down in
Notwithstanding the expiry of
in proceedings in which a
Article III-270(6), any party may,
European law or a European regulation of
the Council of
Ministers, of the Commission, or of the European Central Bank
is at issue, plead the grounds specified in Article III-270(2) in
order to invoke before the Court of Justice the inapplicability of
that act.

Article III-286

Justice shall not have
Actions brought before the Court of
suspensory effect. The Court of
it
considers that circumstances so require, order that application
of the contested act be suspended.

Justice may, however,

if

Article III-287

The Court of Justice may in any cases before it prescribe any
necessary interim measures.

Article III-288

The judgments of the Court of Justice shall be enforceable under
the conditions laid down in Article III-307.

The Statute of the Court of Justice shall be laid down in a
Protocol.

A European law may amend the provisions of the Statute, with
the exception of Title I and Article 64. It shall be adopted either
at the request of the Court of Justice and after consultation of
the Commission, or on a proposal from the Commission and
after consultation of the Court of Justice.

S ubs ection 6

The Court of Auditors

Article III-290

1.
The Court of Auditors shall examine the accounts of all
revenue and expenditure of the Union. It shall also examine the
accounts of all revenue and expenditure of all bodies set up by
the Union insofar as the relevant constituent instrument does
not preclude such examination.

The Court of Auditors shall provide the European Parliament
and the Council of Ministers with a statement of assurance as to
the reliability of the accounts and the legality and regularity of
the underlying transactions which shall be published in the
Journal of the European Union. This statement may be
Official
supplemented by specific assessments for each major area of
Union activity.

2.
The Court of Auditors shall examine whether all revenue
has been received and all expenditure incurred in a lawful and
regular manner and whether the financial management has been
sound. In doing so, it shall report in particular on any cases of
irregularity.

The audit of revenue shall be carried out on the basis both of
the amounts established as due and the amounts actually paid
to the Union.

The audit of expenditure shall be carried out on the basis both
of commitments undertaken and payments made.

These audits may be carried out before the closure of accounts
for the financial year in question.

the Union and in the Member States,

The audit shall be based on records and,

3.
if necessary,
performed on the spot in the other Institutions, on the premises
of any body which manages revenue or expenditure on behalf
of
including on the
premises of any natural or legal person in receipt of payments
from the budget. In the Member States the audit shall be carried
out in liaison with national audit bodies or, if these do not have
the necessary powers, with the competent national departments.
The Court of Auditors and the national audit bodies of the
Member States shall cooperate in a spirit of trust while main-
taining their independence. These bodies or departments shall
inform the Court of Auditors whether they intend to take part
in the audit.

C 169/82

EN

Official Journal of the European Union

18.7.2003

The other Institutions, any bodies managing revenue or expen-
diture on behalf of the Union, any natural or legal person in
receipt of payments from the budget, and the national audit
bodies or,
the
competent national departments, shall forward to the Court of
Auditors, at its request, any document or information necessary
to carry out its task.

these do not have the necessary powers,

if

In respect of the European Investment Bank's activity in mana-
ging Union expenditure and revenue, rights of access by the
Court of Auditors to information held by the Bank shall be
governed by an agreement between the Court, the Bank and the
Commission. In the absence of an agreement, the Court shall
nevertheless have access to information necessary for the audit
of Union expenditure and revenue managed by the Bank.

4.
The Court of Auditors shall draw up an annual report
after the close of each financial year. It shall be forwarded to the
other Institutions and shall be published,
together with the
replies of these Institutions to the observations of the Court of
Auditors, in the Official Journal of the European Union.

The Court of Auditors may also, at any time, submit observa-
tions, particularly in the form of special reports, on specific
questions and deliver opinions at the request of one of the other
Institutions.

its Members. However,

It shall adopt its annual reports, special reports or opinions by a
it may establish internal
majority of
chambers in order to adopt certain categories of reports or
opinions under
the conditions laid down by its Rules of
Procedure.

It shall assist
the European Parliament and the Council of
Ministers in exercising their powers of control over the imple-
mentation of the budget.

The Court of Auditors shall adopt its Rules of Procedure. Those
rules shall require the approval of the Council of Ministers.

Article III-291

1.
The Members of the Court of Auditors shall be chosen
from among persons who belong or have belonged in their
respective countries to external audit bodies or who are espe-
cially qualified for this office. Their independence must be
beyond doubt.

2.
The Members of the Court of Auditors shall be appointed
for a term of six years. Their term of office shall be renewable.
The Council of Ministers shall adopt a European decision
establishing the list of Members drawn up in accordance with
the proposals made by each Member State. It shall act after
consulting the European Parliament.

The Members of the Court of Auditors shall elect their President
from among their number for a term of three years. He or she
may be re-elected.

The Members of

3.
Union's general
performance of their duties.

the Court of Auditors shall,
interest, be completely independent

in the
in the

They shall refrain from any action incompatible with their
duties.

4.
The Members of the Court of Auditors may not, during
their term of office, engage in any other occupation, whether
gainful or not. When entering upon their duties they shall give
a solemn undertaking that, both during and after their term of
office, they will respect the obligations arising therefrom and in
particular their duty to behave with integrity and discretion as
regards the acceptance, after they have ceased to hold office, of
certain appointments or benefits.

5.
Apart from normal replacement, or death, the duties of a
Member of the Court of Auditors shall end when he or she
resigns, or is compulsorily retired by a ruling of the Court of
Justice pursuant to paragraph 6.

The vacancy thus caused shall be filled for the remainder of the
Member's term of office.

Save in the case of compulsory retirement, Members of the
Court of Auditors shall remain in office until they have been
replaced.

6.
A Member of the Court of Auditors may be deprived of
his or her office or of his or her right to a pension or other
benefits in its stead only if the Court of Justice, at the request of
the Court of Auditors, finds that he or she no longer fulfils the
requisite conditions or meets the obligations arising from his or
her office.

SECTION 2

The Union's advisory bodies

S ubs ection 1

The Committee of the Regions

Article III-292

The number of members of the Committee of the Regions shall
not exceed 350. The Council of Ministers shall unanimously
adopt a European decision determining the Committee's compo-
sition.

The members of
the Committee and an equal number of
alternate members shall be appointed for five years. Their term
of office shall be renewable.

The Council of Ministers shall adopt the European decision
establishing the list of members and alternate members drawn
up in accordance with the proposals made by each Member
State.

When the mandate referred to in Article I-31(2) on the basis of
which they were proposed comes to an end, the term of office
of members of the Committee shall terminate automatically and
they shall then be replaced for the remainder of the said term of
office in accordance with the same procedure.

In the performance of these duties, they shall neither seek nor
take instructions from any government or from any other body.

No member of the Committee shall at the same time be a
Member of the European Parliament.

18.7.2003

EN

Official Journal of the European Union

C 169/83

Article III-293

Article III-297

The Committee of the Regions shall elect its chairman and
officers from among its members for a term of two and a half
years.

The Economic and Social Committee shall elect its chairman
and officers from among its members for a term of two and a
half years.

It shall adopt its Rules of Procedure.

It shall adopt its Rules of Procedure.

The Committee shall be convened by its chairman at the request
of the European Parliament, of the Council of Ministers or of
the Commission. It may also meet on its own initiative.

It shall be convened by its chairman at the request of
the Council of Ministers or of
European Parliament, of
Commission. It may also meet on its own initiative.

the
the

Article III-294

Article III-298

The Committee of
the Regions shall be consulted by the
European Parliament, by the Council of Ministers or by the
Commission where the Constitution so provides and in all other
cases, in particular those which concern cross-border coopera-
tion, in which one of these Institutions considers it appropriate.

The Economic and Social Committee must be consulted by the
European Parliament, by the Council of Ministers or by the
Commission where the Constitution so provides. In all other
cases, it may be consulted by these Institutions. It may also issue
an opinion on its own initiative.

if

for the submission of

the Council of Ministers or
set
considers

The European Parliament,
the
Commission shall,
it
the
its opinion, a time-limit
Committee,
which may not be less than one month from the date on which
the chairman receives notification to this effect. Upon expiry of
the time-limit, the absence of an opinion shall not prevent
further action.

it necessary,

if

for the submission of

the Council of Ministers or
set
considers

The European Parliament,
the
Commission shall,
it
the
its opinion, a time-limit
Committee,
which may not be less than one month from the date on which
the chairman receives notification to this effect. Upon expiry of
the time-limit, the absence of an opinion shall not prevent
further action.

it necessary,

Where the Economic and Social Committee is consulted
pursuant to Article III-298, the Committee of the Regions shall
be informed by the European Parliament, the Council of Minis-
ters or the Commission of the request for an opinion. It may
issue an opinion on its own initiative in cases in which it
considers such action appropriate.

The opinion of the Committee, together with a record of the
proceedings, shall be forwarded to the European Parliament, to
the Council of Ministers and to the Commission.

S ubsec tion 2

The Economic and Social Committee

Article III-295

The number of members of
and Social
Committee shall not exceed 350. The Council of Ministers shall
unanimously adopt a European decision determining the
Committee's composition.

the Economic

The opinion of the Committee together with a record of the
proceedings shall be forwarded to the European Parliament, to
the Council of Ministers and to the Commission.

SECTION 3

The European Investment Bank

Article III-299

The European Investment Bank shall have legal personality.

The members of the European Investment Bank shall be the
Member States.

The Statute of the European Investment Bank is laid down in a
Protocol. European laws may amend Articles 4, 11 and 12 and
Article 18(5) of the Statute of the Bank, either at the request of
the European Investment Bank and after consultation of the
Commission, or on a proposal from the Commission and after
consultation of the European Investment Bank.

Article III-296

Article III-300

The members of the Economic and Social Committee shall be
appointed for five years. Their term of office shall be renewable.
The Council of Ministers shall adopt the European decision
establishing the list of members drawn up in accordance with
the proposals made by each Member State.

The Council of Ministers shall act after consulting the Commis-
sion. It may obtain the opinion of European bodies which are
representative of the various economic and social sectors and of
civil society to which the Union's activities are of concern.

The task of the European Investment Bank shall be to contri-
bute, by having recourse to the capital market and utilising its
own resources, to the balanced and steady development of the
internal market in the Union's interest. For this purpose the
Bank shall, operating on a non-profit-making basis, grant loans
and give guarantees which facilitate the financing of
the
following projects in all sectors of the economy:

(a) projects for developing less-developed regions;

C 169/84

EN

Official Journal of the European Union

18.7.2003

(b) projects for modernising or converting undertakings or for
developing fresh activities called for by the progressive
establishment of the internal market, where these projects
are of such a size or nature that they cannot be entirely
financed by the various means available in the individual
Member States;

(c) projects of common interest

to several Member States
which are of such a size or nature that they cannot be
entirely financed by the various means available in the
individual Member States.

In carrying out its task, the Bank shall facilitate the financing of
investment programmes in conjunction with assistance from the
Structural Funds and other Union financial instruments.

SECTION 4

Provisions common to Union institutions, bodies and
agencies

Article III-301

to the Constitution,

1. Where, pursuant
the Council of
Ministers acts on a proposal from the Commission, unanimity
shall be required for an act constituting an amendment to that
proposal, subject to Articles I-54, III-302(10) and (13), and III-
310.

2.
As long as the Council of Ministers has not acted, the
Commission may alter its proposal at any time during the
procedures leading to the adoption of a Union act.

(a) approves the position of the Council of Ministers at first
reading or has not taken a decision, the proposed act shall
be deemed to have been adopted;

(b) rejects, by a majority of

the
position of the Council of Ministers at first reading, the
proposed act shall be deemed not to have been adopted;

its component members,

(c) proposes, by a majority of

its component members,
amendments to the position of the Council of Ministers at
first reading, the text thus amended shall be forwarded to
the Council of Ministers and to the Commission, which
shall deliver an opinion on those amendments.

If, within three months of receiving the European Parlia-
the Council of Ministers, acting by a

8.
ment's amendments,
qualified majority,

(a) approves all those amendments, the act in question shall be

deemed to have been adopted;

(b) does not approve all the amendments, the President of the
Council of Ministers,
in agreement with the President of
the European Parliament, shall within six weeks convene a
meeting of the Conciliation Committee.

9.
The Council of Ministers shall act unanimously on the
amendments on which the Commission has delivered a negative
opinion.

Article III-302

C o n c i l i a t i o n

1. Where, pursuant to the Constitution, European laws or
framework laws are adopted under
the ordinary legislative
procedure the following provisions shall apply.

The Commission shall submit a proposal to the European

2.
Parliament and the Council of Ministers.

Fir st reading

The European Parliament shall adopt its position at first

3.
reading and communicate it to the Council of Ministers.

If the Council of Ministers approves the European Parlia-

4.
ment's position, the proposed act shall be adopted.

5.
If the Council of Ministers does not approve the European
Parliament's position, it shall adopt its position at first reading
and communicate it to the European Parliament.

6.
The Council of Ministers shall inform the European Parlia-
ment fully of the reasons which led it to adopt its position at
first reading. The Commission shall inform the European Parlia-
ment fully of its position.

S e c o nd r e a di ng

If, within three months of such communication,

7.
European Parliament

the

10.
The Conciliation Committee, which shall be composed of
the members of the Council of Ministers or their representatives
and an equal number of members representing the European
Parliament, shall have the task of reaching agreement on a joint
text, by a qualified majority of the members of the Council of
Ministers or their representatives and by a majority of
the
representing the European Parliament within six
members
weeks of its being convened, on the basis of the positions of
the Parliament and the Council of Ministers at second reading.

The Commission shall

in the Conciliation
11.
Committee's proceedings and shall take all the necessary initia-
tives with a view to reconciling the positions of the European
Parliament and the Council of Ministers.

take part

12.
If, within six weeks of its being convened, the Concilia-
tion Committee does not approve the joint text, the proposed
act shall be deemed not to have been adopted.

T h i r d re a d i n g

If, within that period,

13.
the Conciliation Committee
approves a joint text, the European Parliament, acting by a
majority of the votes cast, and the Council of Ministers, acting
by a qualified majority, shall each have a period of six weeks
in question in
from that date in which to adopt
the
to do so,
If
accordance with the joint
proposed act shall be deemed not to have been adopted.

the act
they fail

text.

18.7.2003

EN

Official Journal of the European Union

C 169/85

The periods of three months and six weeks referred to in
14.
this Article shall be extended by a maximum of one month and
two weeks respectively at the initiative of the European Parlia-
ment or the Council of Ministers.

S pe c i al pr ov i sio ns

in the cases specifically provided for

15. Where,
in the
Constitution, a law or framework law is submitted to the
ordinary legislative procedure on the initiative of a group of
Member States, on a recommendation by the European Central
Bank, or at the request of the Court of Justice or the European
Investment Bank, paragraph 2,
second sentence of
paragraph 6, and paragraph 9 shall not apply.

the

The European Parliament and the Council of Ministers shall
communicate the proposed act to the Commission with their
positions at first and second readings.

The European Parliament or
the Council of Ministers may
request the opinion of the Commission throughout the proce-
dure. The Commission also may deliver an opinion on its own
in the
initiative.
in
Conciliation Committee
paragraph 11.

it deems it necessary,
terms

take part
laid

It may,

down

the

on

if

Article III-303

The European Parliament,
the Council of Ministers and the
Commission shall consult each other and by common agree-
ment make arrangements for their cooperation. To that end,
they may, in compliance with the Constitution, conclude inter-
institutional agreements which may be of a binding nature.

Article III-304

In carrying out their missions, the Institutions, bodies and
the Union shall have the support of an open,

1.
agencies of
efficient and independent European administration.

2. Without prejudice to Article III-332, European laws shall
establish specific provisions to that end.

Article III-305

1.
The Institutions, bodies and agencies of the Union shall
recognise the importance of transparency in their work and
shall, in application of Article I-49, lay down in their rules of
procedure the specific provisions for public access to docu-
ments. The Court of Justice and the European Central Bank
shall be subject
to the provisions of Article I-49(3) when
exercising their administrative tasks.

(a) the salaries, allowances and pensions of the President of
the European Council, the President of the Commission,
the Union Minister
the European
Commissioners and Commissioners, the President, Members
and Registrar of
Justice and the
the European Court of
Members and Registrar of the High Court.

for Foreign Affairs,

(b) the conditions of employment,

in particular the salaries,
allowances and pensions, of the President and Members of
the Court of Auditors.

It shall also determine any payment to be made instead of
remuneration.

The Council of Ministers shall adopt European regulations
2.
and decisions determining the allowances of the Members of
the Economic and Social Committee.

Article III-307

Acts of the Council of Ministers, of the Commission or of the
European Central Bank which impose a pecuniary obligation on
persons other than States shall be enforceable.

Enforcement shall be governed by the rules of civil procedure in
force in the Member State in the territory of which it is carried
out. The order for its enforcement shall be appended to the
the
decision, without other
authenticity of the decision, by the national authority which
the government of each Member State shall designate for this
purpose and shall make known to the Commission and the
Court of Justice.

formality than verification of

When these formalities have been completed on application by
the party concerned, the latter may proceed to enforcement by
bringing the matter directly before the competent authority in
accordance with the national law.

Enforcement may be suspended only by a decision of the Court
of Justice. However, the courts of the country concerned shall
is being
have jurisdiction over complaints that enforcement
carried out in an irregular manner.

C h a pter I I

FINANCIAL PROVISIONS

SECTION 1

The multiannual financial framework

Article III-308

The European Parliament and the Council of Ministers
the documents relating to the

2.
shall ensure publication of
legislative procedures.

1.
The multiannual financial framework shall be established
for a period of at least five years in accordance with Article I-
54.

Article III-306

The Council of Ministers shall adopt European regulations

1.
and decisions determining:

The financial

framework shall

2.
the
annual ceilings on commitment appropriations by category of
expenditure and of the annual ceiling on payment appropria-
few in number, shall
tions. The categories of expenditure,
correspond to the Union's major sectors of activity.

fix the amounts of

C 169/86

EN

Official Journal of the European Union

18.7.2003

The financial framework shall lay down any other provi-
the annual budgetary procedure to run

3.
sions required for
smoothly.

Parliament, in agreement with the President of the Council
of Ministers, shall
immediately convene a meeting of the
Conciliation Committee.

4. Where no European law of
the Council of Ministers
establishing a new financial framework has been adopted by
the end of the previous financial framework, the ceilings and
other provisions corresponding to the last year of that frame-
work shall be extended until such time as that law is adopted.

5.
Throughout the procedure leading to the adoption of the
financial framework, the European Parliament, the Council of
Ministers and the Commission shall take any measure necessary
to facilitate the successful completion of the procedure.

SECTION 2

The Union's annual budget

Article III-309

The financial year shall run from 1 January to 31 December.

Article III-310

European laws shall establish the Union's annual budget
accordance with the following provisions:

in

1.
Each Institution shall, before 1 July, draw up estimates of
its expenditure. The Commission shall consolidate these esti-
mates in a draft budget. It shall attach thereto an opinion which
may contain different estimates.

The draft budget shall contain an estimate of revenue and an
estimate of expenditure.

The Commission may amend the draft budget during the
procedure until
such time as the Conciliation Committee,
referred to in paragraph 5 below, is convened.

2.
The Commission shall submit the draft budget to the
European Parliament and to the Council of Ministers not later
than 1 September of
in which the
budget is to be implemented.

the year preceding that

3.
The Council of Ministers shall adopt its position on the
draft budget and forward it to the European Parliament not later
than 1 October of the year preceding that in which the budget
is to be implemented. The Council of Ministers shall inform the
European Parliament fully of the reasons which led it to adopt
its position.

If, within forty-two days of such communication,

4.
European Parliament:

the

(a) approves the position of the Council of Ministers or has
not taken a decision, the European budget law shall be
deemed to have been adopted;

(b) proposes amendments to the position of the Council of
Ministers by a majority of
its component members, the
amended text shall be forwarded to the Council of Minis-
ters and to the Commission. The President of the European

the Council of Ministers informs the
If, within ten days,
European Parliament that it has approved all its amendments,
the Conciliation Committee shall not meet.

The Conciliation Committee, which shall be composed of
5.
the members of the Council of Ministers or their representatives
and an equal number of members representing the European
Parliament, shall have the task of reaching agreement on a joint
text, by a qualified majority of the members of the Council of
the
Ministers or their representatives and by a majority of
members representing the European Parliament within twenty-
one days of its being convened, on the basis of the positions of
the European Parliament and the Council of Ministers.

The Commission shall

6.
in the Conciliation
Committee's proceedings and shall take all the necessary initia-
tives with a view to reconciling the positions of the European
Parliament and the Council of Ministers.

take part

7.
If, within the twenty-one days referred to in paragraph 5,
the Conciliation Committee approves a joint text, the European
the votes cast, and the
Parliament, acting by a majority of
Council of Ministers, acting by a qualified majority, shall each
have a period of fourteen days from that date in which to adopt
the joint text.

8.
If, within the twenty-one days referred to in paragraph 5,
the Conciliation Committee does not approve a joint text or if
the Council of Ministers rejects the joint text, the Parliament
may, within fourteen days, acting by a majority of its compo-
nent members and three fifths of the votes cast, confirm its
Parliament
amendments. Where
is not
the
confirmed, the position of
the Council of Ministers on the
budget item which is the subject of the amendment shall be
deemed to be adopted.

amendment

However, if the Parliament, acting by a majority of its compo-
nent members and three fifths of the votes cast, rejects the joint
text, it may ask for a new draft budget to be submitted.

9. When the procedure provided for in this Article has been
completed,
the European Parliament shall
declare that the European budget law has been finally adopted.

the President of

Article III-311

If no European budget

law has been adopted at

1.
the
beginning of a financial year, a sum equivalent to not more
than one twelfth of the budget appropriations entered in the
European budget law for the preceding financial year may be
spent each month in respect of any chapter or other subdivision
of
the
European law referred to in Article III-318; this arrangement
shall not, however, have the effect of placing at the disposal of
the Commission appropriations in excess of one twelfth of
those provided for in the draft budget under consideration.

in accordance with the provisions of

the budget

18.7.2003

EN

Official Journal of the European Union

C 169/87

The Council of Ministers, on a proposal by the Commis-
2.
sion and in compliance with the other conditions laid down in
paragraph 1, may adopt a European decision authorising expen-
diture in excess of one twelfth. The Council of Ministers shall
forward the decision immediately to the European Parliament.

The Commission shall also submit to the European Parliament
and to the Council of Ministers an evaluation report on the
Union's finances based on the results achieved, in particular in
relation to the indications given by the European Parliament and
the Council of Ministers pursuant to Article III-315.

The European decision shall lay down the necessary measures
relating to resources to ensure application of this Article.

It shall enter into force thirty days following its adoption if the
European Parliament, acting by a majority of its component
members, has not decided to reduce this expenditure within that
time-limit.

Article III-312

In accordance with the conditions laid down by the European
law referred to in Article III-318, any appropriations, other than
those relating to staff expenditure, that are unexpended at the
end of the financial year may be carried forward to the next
financial year only.

Appropriations
shall be classified under different chapters
grouping items of expenditure according to their nature or
purpose and subdivided in accordance with the European law
referred to in Article III-318.

The expenditure of the European Parliament, the Council of
Ministers, the Commission and the Court of Justice shall be set
out in separate parts of the budget, without prejudice to special
arrangements for certain common items of expenditure.

SECTION 3

Implementation of the budget and discharge

Article III-313

The Commission shall
implement the budget in cooperation
with the Member States, in accordance with the European law
referred to in Article III-318, on its own responsibility and
within the limits of the appropriations allocated, having regard
to the principles of sound financial management. Member States
shall cooperate with the Commission to ensure that the appro-
priations are used in accordance with those principles.

The European law referred to in Article III-318 shall establish
the control and audit obligations of the Member States in the
implementation of the budget and the resulting responsibilities.

The European law referred to in Article III-318 shall establish
for each Institution
the responsibilities and detailed rules
concerning its part in effecting its own expenditure.

The Commission may, subject to the limits and conditions laid
down by the European law referred to in Article III-318, make
transfers of appropriations between chapters or between subdi-
visions within the budget.

Article III-314

The Commission shall submit annually to the European Parlia-
ment and to the Council of Ministers the accounts of
the
preceding financial year relating to the implementation of the
budget. The Commission shall also forward to them a financial
statement of the Union's assets and liabilities.

Article III-315

1.
The European Parliament, on a recommendation from the
Council of Ministers, shall give a discharge to the Commission
in respect of the implementation of the budget. To this end, the
Council of Ministers and the European Parliament in turn shall
examine the accounts, the financial statement and the evalua-
tion report referred to in Article III-314, the annual report by
the Court of Auditors together with the replies of the Institu-
tions under audit to the observations of the Court of Auditors,
the statement of assurance referred to in the second subpara-
graph of Article III-290(1) and any relevant special reports by
the Court of Auditors.

2.
Before giving a discharge to the Commission, or for any
other purpose in connection with the exercise of its powers
over the implementation of the budget, the European Parlia-
ment may ask to hear the Commission give evidence with
regard to the execution of expenditure or the operation of
financial control systems. The Commission shall submit any
necessary information to the European Parliament at the latter's
request.

3.
The Commission shall take all appropriate steps to act on
the observations in the decisions giving discharge and on other
observations by the European Parliament relating to the execu-
tion of expenditure, as well as on comments accompanying the
recommendations on discharge adopted by the Council of
Ministers.

At the request of the European Parliament or the Council
4.
of Ministers,
the Commission shall report on the measures
taken in the light of these observations and comments and in
particular on the instructions given to the departments which
are responsible for the implementation of the budget. These
reports shall also be forwarded to the Court of Auditors.

SECTION 4

Common provisions

Article III-316

The multiannual financial framework and the annual budget
shall be drawn up in euro.

Article III-317

the Member States concerned,

The Commission may, provided it notifies the competent autho-
rities of
into the
the Member States its holdings in the
currency of one of
currency of another Member State, to the extent necessary to
enable them to be used for purposes which come within the
the Constitution. The Commission shall as far as
scope of
it possesses cash or
possible avoid making such transfers if
liquid assets in the currencies which it needs.

transfer

C 169/88

EN

Official Journal of the European Union

18.7.2003

The Commission shall deal with each Member State concerned
through the authority designated by that State. In carrying out
financial operations the Commission shall employ the services
of the bank of issue of the Member State concerned or of any
other financial institution approved by that State.

Article III-318

1.

European laws shall:

(a) lay down the financial rules which determine in particular
the procedure to be adopted for establishing and imple-
menting the budget and for presenting and auditing
accounts;

(b) lay down rules concerning the responsibility of

financial

controllers, authorising officers and accounting officers.

They shall be adopted after consultation of
Auditors.

the Court of

The Council of Ministers shall, on a proposal from the
2.
Commission, adopt a European regulation laying down the
methods and procedure whereby the budget revenue provided
under the arrangements relating to the Union's own resources
shall be made available to the Commission, and the measures to
be applied, if need be, to meet cash requirements. The Council
of Ministers shall act after consulting the European Parliament
and the Court of Auditors.

The Council of Ministers shall act unanimously until

3.
1 January 2007 in all the cases referred to by this Article.

These measures shall act as a deterrent and be such as to afford
effective protection in the Member States.

2. Member States shall take the same steps to counter fraud
affecting the Union's financial interests as they take to counter
fraud affecting their own financial interests.

3. Without prejudice to other provisions of the Constitution,
the Member States shall coordinate their action aimed at
protecting the Union's financial interests against fraud. To this
end they shall organise, together with the Commission, close
and regular cooperation between the competent authorities.

European laws or framework laws shall

lay down the
4.
necessary measures in the fields of the prevention of and fight
against fraud affecting the Union's financial interests with a view
to affording effective and equivalent protection in the Member
States. They shall be adopted after consultation of the Court of
Auditors.

The Commission,

5.
in cooperation with Member States,
shall each year submit to the European Parliament and to the
Council of Ministers a report on the measures and provisions
adopted for the implementation of this Article.

Ch a pte r I I I

ENHANCED COOPERATION

Article III-322

Article III-319

Any enhanced cooperation proposed shall comply with the
Union's Constitution and law.

The European Parliament,
the Council of Ministers and the
Commission shall ensure that the financial means are made
available to allow the Union to fulfil
its legal obligations in
respect of third parties.

Such cooperation shall not undermine the internal market or
economic, social and territorial cohesion. It shall not constitute
a barrier to or discrimination in trade between Member States,
nor shall it distort competition between them.

Article III-320

Article III-323

Regular meetings between the Presidents of the European Parlia-
ment, the Council of Ministers and the Commission shall be
convened on the initiative of
the
budgetary procedures referred to in this Chapter. The Presidents
shall take all the necessary steps to promote consultation and
the reconciliation of the Institutions' positions to facilitate the
implementation of the provisions of this Chapter.

the Commission under

SECTION 5

Combating fraud

Article III-321

Any enhanced cooperation proposed shall respect the compe-
tences, rights and obligations of those Member States which do
not participate in it. Those Member States shall not impede its
implementation by the participating Member States.

Article III-324

1. When enhanced cooperation is being established, it shall
be open to all Member States, subject to compliance with any
conditions of participation laid down by the European author-
ising decision. It shall also be open to them at any other time,
subject to compliance with the acts already adopted within that
framework, in addition to any such conditions.

1.
The Union and the Member States shall counter fraud and
any other illegal activities affecting the Union's financial interests
through measures adopted in accordance with this Article.

The Commission and the Member States participating in
enhanced cooperation shall ensure that they facilitate participa-
tion by as many Member States as possible.

18.7.2003

EN

Official Journal of the European Union

C 169/89

The Commission and, where appropriate,

the Union
2.
Minister for Foreign Affairs shall keep all members of
the
Council of Ministers and the European Parliament regularly
informed regarding developments in enhanced cooperation.

Article III-325

1. Member States which wish to establish enhanced coopera-
tion between themselves in one of the areas covered by the
Constitution, with the exception of the common foreign and
security policy, shall address a request
to the Commission,
specifying the scope and objectives of the enhanced cooperation
to the
proposed. The Commission may submit a proposal
Council of Ministers to that effect. In the event of the Commis-
sion not submitting a proposal,
inform the Member
States concerned of the reasons for not doing so.

it shall

Authorisation to proceed with enhanced cooperation shall be
granted by a European decision of the Council of Ministers,
acting on a proposal from the Commission and after obtaining
the consent of the European Parliament.

2.
In the framework of the common foreign and security
policy, the request of the Member States which wish to establish
enhanced cooperation between themselves shall be addressed to
the Council of Ministers. It shall be forwarded to the Union
Minister for Foreign Affairs, who shall give an opinion on
whether
the enhanced cooperation is consistent with the
Union's common foreign and security policy, and to the
Commission, which shall give its opinion in particular on
whether the enhanced cooperation proposed is consistent with
other Union policies. It shall also be forwarded to the European
Parliament for information.

Authorisation to proceed with enhanced cooperation shall be
granted by a European decision of the Council of Ministers.

Article III-326

Any Member State which wishes

in
1.
enhanced cooperation in one of
the areas referred to in
Article III-325(1) shall notify its intention to the Council of
Ministers and the Commission.

to participate

the notification, confirm the participation of

the date of
The Commission shall, within four months of
the
receipt of
Member State concerned.
It shall note where necessary that
any conditions of participation have been fulfilled and shall
adopt any transitional measures deemed necessary with regard
to the application of the acts already adopted within the frame-
work of enhanced cooperation.

However, if the Commission considers that any conditions of
participation have not been fulfilled,
indicate the
arrangements to be adopted to fulfil those conditions and shall
set a deadline for re-examining the request for participation. It
shall re-examine the request, in accordance with the procedure

shall

it

If

in the preceding subparagraph.

the Commission
set out
considers that any conditions of participation have still not
been met, the Member State concerned may refer the matter to
the Council of Ministers, which shall act in accordance with
Article I-43(3). The Council of Ministers may also adopt the
transitional measures referred to in the second subparagraph on
a proposal from the Commission.

Any Member State which wishes

in
2.
enhanced cooperation in the framework of the common foreign
and security policy shall notify its intention to the Council of
Ministers,
for Foreign Affairs and the
Commission.

the Union Minister

to participate

The Council of Ministers shall confirm the participation of the
Member State concerned, after consulting the Union Minister
It shall note where necessary that any
for Foreign Affairs.
conditions of participation have been fulfilled. The Council of
Ministers, on a proposal from the Union Minister for Foreign
Affairs, may also adopt any transitional measures deemed
necessary with regard to the application of the acts already
enhanced cooperation.
framework of
adopted within the
However, if the Council of Ministers considers that any condi-
tions of participation have not been fulfilled, it shall indicate the
arrangements to be adopted to fulfil those conditions and shall
set a deadline for re-examining the request for participation.

For the purposes of this paragraph, the Council of Ministers
shall act in accordance with Article I-43(3).

Article III-327

Expenditure resulting from implementation of enhanced coop-
eration, other than administrative costs entailed for the Institu-
tions, shall be borne by the participating Member States, unless
all members of the Council of Ministers, acting unanimously
after consulting the European Parliament, decide otherwise.

Article III-328

Where a provision of the Constitution which may be applied in
the context of enhanced cooperation stipulates that the Council
of Ministers shall act unanimously, the Council of Ministers,
acting unanimously in accordance with the arrangements laid
down in Article I-43(3), may, on its own initiative, decide to act
by qualified majority.

Where a provision of the Constitution which may be applied in
the context of enhanced cooperation stipulates that the Council
of Ministers shall adopt European laws or framework laws
under a special legislative procedure, the Council of Ministers,
acting unanimously in accordance with the arrangements laid
down in Article I-43(3), may, on its own initiative, decide to act
under the ordinary legislative procedure. The Council of Minis-
ters shall act after consulting the European Parliament.

C 169/90

EN

Official Journal of the European Union

18.7.2003

Article III-329

Article III-334

The Council of Ministers and the Commission shall ensure the
consistency of activities undertaken in the context of enhanced
cooperation and the consistency of such activities with the
policies of the Union, and shall cooperate to that end.

The Commission may, within the limits and under conditions
laid down by a European regulation or decision adopted by a
simple majority by the Council of Ministers, collect any infor-
mation and carry out any checks required for the performance
of the tasks entrusted to it.

TITLE VII

COMMON PROVISIONS

Article III-330

Taking account of the structural economic and social situation
of the French overseas departments, the Azores, Madeira and
the Canary Islands, which is compounded by their remoteness,
insularity, small size, difficult topography and climate, economic
dependence on a few products, the permanence and combina-
tion of which severely restrain their development, the Council
of Ministers, on a proposal from the Commission, shall adopt
European regulations and decisions aimed,
in particular, at
laying down the conditions of application of the Constitution
to those regions, including common policies. It shall act after
consulting the European Parliament.

The measures referred to in the first paragraph concern in
particular areas such as customs and trade policies, fiscal policy,
free zones, agriculture and fisheries policies, conditions for
supply of raw materials and essential consumer goods, State
aids and conditions of access to structural funds and to hori-
zontal Union programmes.

The Council of Ministers shall adopt the measures referred to in
the first paragraph taking into account the special characteristics
and constraints of the outermost regions without undermining
the integrity and the coherence of
the Union legal order,
including the internal market and common policies.

Article III-331

The Constitution shall in no way prejudice the rules in Member
States governing the system of property ownership.

Article III-332

In each of the Member States, the Union shall enjoy the most
extensive legal capacity accorded to legal persons under their
laws; it may, in particular, acquire or dispose of movable and
immovable property and may be a party to legal proceedings.
To this end, the Union shall be represented by the Commission.
However, it shall be represented by each of the Institutions, by
virtue of their administrative autonomy, in matters relating to
their respective operation.

Article III-335

1. Without prejudice to Article 5 of the Protocol on the
Statute of the European System of Central Banks and of the
European Central Bank, measures for the production of statistics
shall be laid down by a European law or framework law where
necessary for the performance of the Union's activities.

2.
The production of statistics shall conform to impartiality,
reliability, objectivity, scientific independence, cost-effectiveness
and statistical confidentiality;
shall not entail excessive
burdens on economic operators.

it

Article III-336

The members of
the members of
the Union's Institutions,
committees, and the officials and other servants of the Union
shall be required, even after their duties have ceased, not to
disclose information of the kind covered by the obligation of
professional secrecy, in particular information about undertak-
ings, their business relations or their cost components.

Article III-337

The Union's contractual liability shall be governed by the law
applicable to the contract in question.

In the case of non-contractual
in
accordance with the general principles common to the laws of
the Member States, make good any damage caused by its
Institutions or by its servants in the performance of their duties.

the Union shall,

liability,

The second paragraph shall apply under the same conditions to
damage caused by the European Central Bank or by its servants
in the performance of their duties.

The personal liability of its servants towards the Union shall be
governed by the provisions laid down in their Staff Regulations
or in the Conditions of Employment applicable to them.

Article III-338

The seat of
common accord of the governments of the Member States.

the Union's Institutions shall be determined by

Article III-333

Article III-339

The Staff Regulations of officials and the Conditions of Employ-
ment of other servants of the Union shall be laid down by a
the
European law.
Institutions concerned.

It shall be adopted after consultation of

The Council of Ministers shall adopt unanimously a European
regulation laying down the rules governing the languages of the
the
Union's Institutions, without prejudice to the Statute of
Court of Justice.

18.7.2003

EN

Official Journal of the European Union

C 169/91

Article III-340

The Union shall enjoy in the territories of the Member States
such privileges and immunities as are necessary for the perfor-
mance of
its tasks, under the conditions laid down in the
Protocol of 8 April 1965 on the privileges and immunities of
the European Communities. The same shall apply to the
European Central Bank and the European Investment Bank.

Article III-341

The rights and obligations arising from agreements concluded
before 1 January 1958 or, for acceding States, before the date of
their accession, between one or more Member States on the one
hand, and one or more third countries on the other, shall not
be affected by the Constitution.

To the extent that such agreements are not compatible with the
Constitution, the Member State or States concerned shall take
all appropriate steps to eliminate the incompatibilities estab-
lished. Member States shall, where necessary, assist each other to
this end and shall, where appropriate, adopt a common attitude.

In applying the agreements referred to in the first paragraph,
Member States shall take into account the fact that the advan-
tages accorded under the Constitution by each Member State
form an integral part of the Union and are thereby inseparably

linked with the creation of common Institutions, the conferring
of powers upon them and the granting of the same advantages
by all the other Member States.

Article III-342

The Constitution shall not preclude the application of the

1.
following rules:

(a) no Member State shall be obliged to supply information
the disclosure of which it considers contrary to the essen-
tial interests of its security;

(b) any Member State may take such steps as it considers
necessary for the protection of the essential interests of its
security which are connected with the production of or
trade in arms, munitions and war material; such steps shall
not adversely affect the conditions of competition in the
internal market regarding products which are not intended
for specifically military purposes.

The Council of Ministers, on a proposal

2.
from the
Commission, may unanimously adopt a European decision
making changes to the list, which it drew up on 15 April
of
1958,
paragraph 1(b) apply.

to which

provisions

products

the

the

of

PART IV

GENERAL AND FINAL PROVISIONS

Article IV-1

The symbols of the Union (1)

The flag of the Union shall be a circle of twelve golden stars on
a blue background.

The anthem of the Union shall be based on the Ode to Joy
from the Ninth Symphony by Ludwig van Beethoven.

The motto of the Union shall be: United in diversity.

The currency of the Union shall be the euro.

9 May shall be celebrated throughout the Union as Europe day.

internal or resulting from international agreements, which arose
before the entry into force of
the Treaty establishing the
Constitution by virtue of previous treaties, protocols and acts,
including all the assets and liabilities of the Community and of
the Union, and their archives.

The provisions of the acts of the Institutions of the Union,
adopted by virtue of the treaties and acts mentioned in the first
paragraph, shall remain in force under the conditions laid down
in the Protocol annexed to the Treaty establishing the Constitu-
the European
the Court of
tion. The case-law of
Communities shall be maintained as a source of interpretation
of Union law.

Justice of

Article IV-2

Repeal of earlier Treaties

The Treaty establishing the European Community, the Treaty on
European Union and the acts and treaties which have supple-
mented or amended them and are listed in the Protocol annexed
to the Treaty establishing the Constitution shall be repealed as
from the date of entry into force of the Treaty establishing the
Constitution.

Article IV-3

Legal continuity in relation to the European Community
and the European Union

The European Union shall succeed to all the rights and obliga-
tions of the European Community and of the Union, whether

Article IV-4

Scope

1.
The Treaty establishing the Constitution shall apply to the
Kingdom of Belgium, the Kingdom of Denmark, the Federal
Republic of Germany, the Hellenic Republic, the Kingdom of
Spain, the French Republic, Ireland, the Italian Republic, the
Grand Duchy of Luxembourg, the Kingdom of the Netherlands,
the Republic of Austria, the Portuguese Republic, the Republic
of Finland, the Kingdom of Sweden, the United Kingdom of
Great Britain and Northern Ireland, ...

(1) The Convention considers that this Article would be better situated

in Part I.

The Treaty establishing the Constitution shall apply to the
the Azores, Madeira and the

2.
French overseas departments,
Canary Islands in accordance with Article III-329 of Part III.

C 169/92

EN

Official Journal of the European Union

18.7.2003

The special arrangements for association set out in Title IV
3.
of Part III of the Treaty establishing the Constitution shall apply
to the overseas countries and territories listed in Annex II to the
TEC.

The Treaty establishing the Constitution shall not apply to
overseas countries and territories having special relations with
the United Kingdom of Great Britain and Northern Ireland
which are not included in that list.

4.
The Treaty establishing the Constitution shall apply to the
European territories for whose external relations a Member
State is responsible.

The Treaty establishing the Constitution shall apply to the
5.
Åland Islands in accordance with the provisions set out
in
Protocol 2 to the Act concerning the conditions of accession
of the Republic of Austria, the Republic of Finland and the
Kingdom of Sweden.

6.

Notwithstanding the preceding paragraphs:

(a) the Treaty establishing the Constitution shall not apply to

the Faeroe Islands;

(b) the Treaty establishing the Constitution shall not apply to
the sovereign base areas of the United Kingdom of Great
Britain and Northern Ireland in Cyprus;

(c) the Treaty establishing the Constitution shall apply to the
Islands and the Isle of Man only to the extent
Channel
necessary to ensure the implementation of
the arrange-
ments for those islands set out in the Treaty concerning
the accession of new Member States to the European
Economic Community and to the European Atomic Energy
Community, signed on 22 January 1972.

Article IV-5

Regional unions

The Treaty establishing the Constitution shall not preclude the
existence or completion of regional unions between Belgium
and Luxembourg, or between Belgium, Luxembourg and the
Netherlands, to the extent that the objectives of these regional
unions are not attained by application of the said Treaty.

Article IV-6

Protocols

The protocols annexed to this Treaty shall form an integral part
thereof.

Article IV-7

Procedure for revising the Treaty establishing the Consti-
tution

The government of any Member State,

1.
the European
Parliament or the Commission may submit to the Council of
Ministers proposals for the amendment of the Treaty estab-
the
lishing the Constitution. The national Parliaments of
Member States shall be notified of these proposals.

If the European Council, after consulting the European
2.
Parliament and the Commission, adopts by a simple majority a
decision in favour of examining the proposed amendments, the
President of the European Council shall convene a Convention
composed of representatives of the national Parliaments of the
Member States, of the Heads of State or Government of the
Member States, of the European Parliament and of the Commis-
sion. The European Central Bank shall also be consulted in the
case of
in the monetary area. The
European Council may decide by a simple majority, after
to
obtaining the consent of
convene the Convention should this not be justified by the
extent of
In the latter case, the
European Council shall define the terms of reference for the
conference of
the
Member States.

the European Parliament, not

the proposed amendments.

the governments of

institutional changes

representatives of

The Convention shall examine the proposals for amendments
and shall adopt by consensus a recommendation to the confer-
the Member
ence of representatives of
States provided for in paragraph 3.

the governments of

3.
The conference of representatives of the governments of
the Member States shall be convened by the President of the
Council of Ministers
the purpose of determining by
common accord the amendments to be made to the Treaty
establishing the Constitution.

for

The amendments shall enter into force after being ratified by all
the Member States in accordance with their respective constitu-
tional requirements.

4.
If, two years after the signature of the treaty amending the
Treaty establishing the Constitution, four fifths of the Member
States have ratified it and one or more Member States have
encountered difficulties in proceeding with ratification,
the
matter shall be referred to the European Council.

Article IV-8

Adoption, ratification and entry into force of the Treaty
establishing the Constitution

The Treaty establishing the Constitution shall be ratified
1.
by the High Contracting Parties in accordance with their respec-
tive constitutional requirements. The instruments of ratification
shall be deposited with the Government of the Italian Republic.

2.
The Treaty establishing the Constitution shall enter into
force on ...., provided that all the instruments of ratification
have been deposited, or, failing that, on the first day of the
month following the deposit of the instrument of ratification by
the last signatory State to take this step.

Article IV-9

Duration

The Treaty establishing the Constitution is concluded for an
unlimited period.

18.7.2003

EN

Official Journal of the European Union

C 169/93

Article IV-10

Languages (1)

The Treaty establishing the Constitution, drawn up in a single
original in the Danish, Dutch, English, Finnish, French, German,

Greek, Irish, Italian, Portuguese, Spanish, Swedish, Czech, Esto-
nian, Latvian, Lithuanian, Hungarian, Maltese, Polish, Slovak
and Slovenian languages, the texts in each of these languages
being equally authentic, shall be deposited in the archives of
the Government of the Italian Republic, which will transmit a
the other
certified copy to each of
signatory States.

the governments of

(1) To be adjusted in accordance with the Act of Accession.

C 169/94

EN

Official Journal of the European Union

18.7.2003

PROTOCOL ON THE ROLE OF NATIONAL PARLIAMENTS IN THE EUROPEAN UNION

THE HIGH CONTRACTING PARTIES,

RECALLING that the way in which individual national Parliaments scrutinise their own governments in relation to the
activities of the Union is a matter for the particular constitutional organisation and practice of each Member State,

DESIRING, however, to encourage greater involvement of national Parliaments in the activities of the European Union
and to enhance their ability to express their views on legislative proposals as well as on other matters which may be of
particular interest to them,

HAVE AGREED UPON the following provisions, which shall be annexed to the Constitution:

I.

Information for Member States' national Parliaments

1. All Commission consultation documents (green and white
papers and communications) shall be forwarded directly by
the Commission to Member States' national Parliaments
upon publication. The Commission shall
also send
Member States' national Parliaments the annual legislative
programme as well as any other instrument of legislative
planning or policy strategy that it submits to the European
Parliament and to the Council of Ministers, at the same
time as to those Institutions.

2. All

legislative proposals sent to the European Parliament
and to the Council of Ministers shall simultaneously be
sent to Member States' national Parliaments.

3. Member States' national Parliaments may send to the
the Council of
the European Parliament,
Presidents of
Ministers and the Commission a reasoned opinion on
whether a legislative proposal complies with the principle
of subsidiarity, according to the procedure laid down in
the principles of
the Protocol on the application of
subsidiarity and proportionality.

4. A six-week period shall

Parliaments

States' national

elapse between a legislative
proposal being made available by the Commission to the
European Parliament,
the Council of Ministers and the
in the official
Member
languages of the European Union and the date when it is
placed on an agenda for the Council of Ministers for its
adoption or for adoption of a position under a legislative
procedure, subject to exceptions on grounds of urgency,
the reasons for which shall be stated in the act or position
of the Council of Ministers. Save in urgent cases for which
due reasons have been given, no agreement may be
established on a legislative proposal during those six
weeks. A ten-day period shall elapse between the placing
of a proposal on the agenda for the Council of Ministers
and the adoption of a position of the Council of Ministers.

5. The agendas for and the outcome of meetings of

the
including the minutes of meetings
Council of Ministers,
where the Council of Ministers is deliberating on legislative

proposals, shall be transmitted directly to Member States'
the same time as to Member
national Parliaments, at
States' governments.

intends to make use of the
6. When the European Council
provision of Article I-24(4),
the
Constitution, national Parliaments shall be informed in
advance.

first subparagraph of

When the European Council
intends to make use of the
provision of Article I-24(4), second subparagraph of the
Constitution, national Parliaments shall be informed at
least four months before any decision is taken.

to
The Court of Auditors shall send its annual report
Member States' national Parliaments,
for information, at
the same time as to the European Parliament and to the
Council of Ministers.

In the case of bicameral national Parliaments, these provi-
sions shall apply to both chambers.

Interparliamentary cooperation

7.

8.

II.

9. The European Parliament and the national Parliaments
shall together determine how interparliamentary coopera-
effectively and regularly organised and
tion may be
promoted within the European Union.

10. The Conference of European Affairs Committees may
submit any contribution it deems appropriate for
the
the Council of
the European Parliament,
attention of
Ministers and the Commission. That Conference shall
in
addition promote the exchange of
information and best
practice between Member States' Parliaments and the
including their special committees.
European Parliament,
interparliamentary
The Conference may also organise
conferences on specific topics,
to debate
matters of common foreign and security policy and of
common security and defence policy. Contributions from
the Conference shall in no way bind national Parliaments
or prejudge their positions.

in particular

18.7.2003

EN

Official Journal of the European Union

C 169/95

PROTOCOL ON THE APPLICATION OF THE PRINCIPLES OF SUBSIDIARITY AND PROPOR-
TIONALITY

THE HIGH CONTRACTING PARTIES,

WISHING to ensure that decisions are taken as closely as possible to the citizens of the Union,

RESOLVED to establish the conditions for the application of the principles of subsidiarity and proportionality, as
enshrined in Article I-9 of the Constitution, and to establish a system for monitoring the application of those principles
by the Institutions,

HAVE AGREED UPON the following provisions, which shall be annexed to the Constitution:

1. Each Institution shall ensure constant respect for the princi-
ples of subsidiarity and proportionality, as laid down in
Article I-9 of the Constitution.

2. Before proposing legislative acts,

the Commission shall
consult widely. Such consultations shall, where appropriate,
take into account the regional and local dimension of the
action envisaged.
the
Commission shall not conduct such consultations. It shall
give reasons for the decision in its proposal.

In cases of exceptional urgency,

3. The Commission shall send all its legislative proposals and
its amended proposals to the national Parliaments of the
Member States at the same time as to the Union legislator.
Upon adoption,
the European
legislative resolutions of
Parliament and positions of the Council of Ministers shall
be sent to the national Parliaments of the Member States.

statement

4. The Commission shall justify its proposal with regard to the
principles of subsidiarity and proportionality. Any legislative
proposal should contain a detailed statement making it
possible to appraise compliance with the principles of
subsidiarity and proportionality. This
should
contain some assessment of the proposal's financial impact
and, in the case of a framework law, of its implications for
including,
the rules to be put in place by Member States,
where necessary,
legislation. The reasons for
the regional
concluding that a Union objective can be better achieved at
Union level must be substantiated by qualitative and, wher-
ever possible, quantitative indicators. The Commission shall
take account of the need for any burden, whether financial
or administrative, falling upon the Union, national govern-
ments, regional or local authorities, economic operators and
citizens,
to be minimised and commensurate with the
objective to be achieved.

transmission of

5. Any national Parliament or any chamber of a national
Parliament of a Member State may, within six weeks from
the date of
the Commission's legislative
proposal, send to the Presidents of the European Parliament,
the Council of Ministers and the Commission a reasoned
opinion stating why it considers that the proposal in ques-
tion does not comply with the principle of subsidiarity. It
will be for each national Parliament or each chamber of a

national Parliament to consult, where appropriate, regional
parliaments with legislative powers.

6. The European Parliament, the Council of Ministers and the
Commission shall take account of
the reasoned opinions
issued by Member States' national Parliaments or by a
chamber of a national Parliament.

The national Parliaments of Member States with unicameral
Parliamentary systems shall have two votes, while each of
the chambers of a bicameral Parliamentary system shall
have one vote.

Where reasoned opinions on a Commission proposal's non-
compliance with the principle of subsidiarity represent at
least one third of all the votes allocated to the Member
the
States' national
Commission shall review its proposal. This threshold shall
be at least a quarter in the case of a Commission proposal
or an initiative emanating from a group of Member States
under the provisions of Article III-165 of the Constitution
on the area of freedom, security and justice.

Parliaments

and their

chambers,

After such review, the Commission may decide to maintain,
amend or withdraw its proposal. The Commission shall give
reasons for its decision.

7. The Court of Justice shall have jurisdiction to hear actions
on grounds of infringement of the principle of subsidiarity
by a legislative act, brought in accordance with the rules
laid down in Article III-270 of the Constitution by Member
States, or notified by them in accordance with their legal
order on behalf of their national Parliament or a chamber
of it.

In accordance with the same Article of the Constitution, the
Committee of the Regions may also bring such actions as
the adoption of which the
regards
Constitution provides that it be consulted.

legislative acts

for

8. The Commission shall submit each year to the European
Council, the European Parliament, the Council of Ministers
and the national Parliaments of the Member States a report
on the application of Article I-9 of the Constitution. This
annual report shall also be forwarded to the Committee of
the Regions and to the Economic and Social Committee.

C 169/96

EN

Official Journal of the European Union

18.7.2003

PROTOCOL ON THE REPRESENTATION OF CITIZENS IN THE EUROPEAN PARLIAMENT AND
THE WEIGHTING OF VOTES IN THE EUROPEAN COUNCIL AND THE COUNCIL OF MINISTERS

THE HIGH CONTRACTING PARTIES,

HAVE ADOPTED the following provisions, which shall be
annexed to the Treaty establishing a Constitution for Europe:

Czech Republic

Denmark

Germany

Estonia

Greece

Spain

France

Ireland

Italy

Cyprus

Latvia

Lithuania

Luxembourg

Hungary

Malta

Netherlands

Austria

Poland

Portugal

Slovenia

Slovakia

Finland

Sweden

United Kingdom

Article 1

Provisions concerning the European Parliament

Throughout the 2004-2009 parliamentary term, the number
of representatives elected to the European Parliament in each
Member State shall be as follows:

Belgium
Czech Republic
Denmark
Germany
Estonia
Greece
Spain
France
Ireland
Italy
Cyprus
Latvia
Lithuania
Luxembourg
Hungary
Malta
Netherlands
Austria
Poland
Portugal
Slovenia
Slovakia
Finland
Sweden
United Kingdom

24
24
14
99
6
24
54
78
13
78
6
9
13
6
24
5
27
18
54
24
7
14
14
19
78

Article 2

Provisions concerning the weighting of votes in the
European Council and the Council of Ministers

The following provisions

1.
remain in force until
1 November 2009, without prejudice to Article I-24 of the
Constitution.

shall

For deliberations of the European Council and of the Council
of Ministers requiring a qualified majority, members' votes shall
be weighted as follows:

Belgium

12

Decisions shall be adopted if there are at least 232 votes in
favour representing a majority of the members where, under
the Constitution, they must be adopted on a proposal from the
Commission. In other cases decisions shall be adopted if there
are at least 232 votes in favour representing at least two thirds
of the members.

A member of the European Council or the Council of Minis-
ters may request
that, where a decision is taken by the
European Council or the Council of Ministers by a qualified
majority, a check is made to ensure that the Member States
comprising the qualified majority represent at least 62 % of
the total population of the Union. If that proves not to be the
case, the decision shall not be adopted.

2.
For subsequent accessions, the threshold referred to in
paragraph 1 shall be calculated to ensure that the qualified
majority threshold expressed in votes does not exceed that
resulting from the table in the Declaration on the enlargement
the Conference
of
which adopted the Treaty of Nice.

the European Union in the Final Act of

12

7

29

4

12

27

29

7

29

4

4

7

4

12

3

13

10

27

12

4

7

7

10

29

18.7.2003

EN

Official Journal of the European Union

C 169/97

PROTOCOL ON THE EURO GROUP

THE HIGH CONTRACTING PARTIES,

DESIRING to promote conditions for stronger economic growth in Europe and, to that end, to develop ever-closer
coordination of economic policies within the euro area,

CONSCIOUS of the need to lay down special provisions for enhanced dialogue between the Member States which have
adopted the euro, pending the accession of all Member States of the Union to the euro area,

HAVE AGREED upon the following provisions, which are annexed to the Constitution:

Article 1

The Ministers of the Member States which have adopted the
informally. Such meetings shall
euro shall meet
take place,
when necessary,
to discuss questions related to the specific
responsibilities they share with regard to the single currency.
The Commission and the European Central Bank shall be
invited to take part in such meetings, which shall be prepared

by the representatives of the Ministers with responsibility for
finance of the Member States which have adopted the euro.

Article 2

The Ministers of the Member States which have adopted the
euro shall elect a president for two and a half years, by a
majority of those Member States.

C 169/98

EN

Official Journal of the European Union

18.7.2003

PROTOCOL AMENDING THE EURATOM TREATY

THE HIGH CONTRACTING PARTIES,

RECALLING the necessity that the provisions of the Treaty establishing the European Atomic Energy Community
should continue to have full legal effect,

DESIROUS however to adapt that Treaty to the new rules established by the Treaty establishing a Constitution for
Europe, in particular in the institutional and financial fields,

HAVE ADOPTED the following provisions, which are annexed to the Treaty establishing a Constitution for Europe and
amend the Treaty establishing the European Atomic Energy Community as follows:

Article 3 shall be repealed.

Article 1

Article 2

The heading of Title III
replaced by the following:
sions’.

‘Institutional provisions’
shall be
‘Institutional and financial provi-

Article 3

1.

Article 107 shall be replaced by the following:

‘Article 107

the Treaty
The institutional and financial provisions of
establishing a Constitution for Europe (Articles I-18 to I-
38, Articles I-52 to I-55 and Articles III-227 to III-316)
and Article I-58 of that Treaty shall apply to this Treaty
without prejudice to the specific provisions laid down in
Articles 134, 135, 144, 145, 157, 171, 172, 174 and 176.’

Articles 107a to 133, 136 to 143, 146 to 156, 158 to

2.
170, 173, 173a, 175, and 177 to 183a shall be repealed.

the Treaty establishing a Constitution for

Article III-307 of
Europe.
In Articles 38 and 82 the word ‘directive’ shall be replaced by
‘European decision’.
In the Treaty the word ‘decision’ shall be replaced by ‘European
decision’.

Article 6

Article 190 shall be replaced by the following:

‘The rules governing the languages of the Institutions shall,
without prejudice to the provisions contained in the
Statute of
Justice, be determined by the
Council of Ministers, acting unanimously.’

the Court of

Article 7

Article 198 shall be amended as follows:

‘(a)

This Treaty shall not apply to the Faeroe Islands.’

Article 8

Article 4

Article 201 shall be amended as follows:

The heading of Title IV ‘Financial provisions’ shall be replaced
by the following:

‘Specific financial provisions’.

Article 5

In the third paragraph of Article 38 and the third paragraph of
Article 82 the references to Articles 141 and 142 shall be
replaced by references to Articles III-265 and III-266 respec-
tively of the Treaty establishing a Constitution for Europe.

In Article 171(2),
the first paragraph of Article 175, and
Article 176(3) the references to Article 183 shall be replaced
the Treaty establishing a
by references to Article III-318 of
Constitution for Europe.

In Article 172(4)
the reference to Article 177(5) shall be
replaced by a reference to Article III-310 of the Treaty estab-
lishing a Constitution for Europe.

In the last paragraph of Article 18 and in Article 83(2) the
references to Article 164 shall be replaced by references to

‘The Community shall establish close cooperation with the
Organisation for Economic Cooperation and Development,
the details of which shall be determined by common
accord.’

Article 9

Article 206 shall be amended as follows:

‘The Community may conclude with one or more States or
international organisations agreements establishing an asso-
ciation
obligations,
rights
common action and special procedures.

reciprocal

involving

and

These agreements shall be concluded by the Council of
Ministers,
the
European Parliament.

unanimously

consulting

acting

after

Where such agreements call for amendments to this Treaty,
these amendments shall
first be adopted in accordance
with the procedure laid down in Article IV-7 of the Treaty
establishing a Constitution for Europe.’

18.7.2003

EN

Official Journal of the European Union

C 169/99

Declaration attached to the Protocol on the representation of citizens in the European Parliament
and the weighting of votes in the European Council and the Council of Ministers

the
The common position which will be taken by the Member States of
conferences on the accession of Romania and/or Bulgaria regarding the allocation of seats in the European
Parliament and the weighting of votes in the European Council and the Council of Ministers shall be as
follows. If the accession to the European Union of Romania and/or Bulgaria takes place before the entry
into force of the European Council decision foreseen in Article I-19(2) of the Constitution, the number of
their elected representatives to the European Parliament shall be calculated on the basis of the figures of
33 and 17 respectively, corrected according to the same formula as that which determined the number of
representatives in the European Parliament for each Member State as indicated in the Protocol on the
representation of citizens in the European Parliament and the weighting of votes in the European Council
and the Council of Ministers.

the European Union at

The Treaty of Accession to the European Union may, by way of derogation from Article I-19(2) of the
Constitution, stipulate that the number of members of the European Parliament may temporarily exceed
736 for the remainder of the 2004 to 2009 Parliamentary term.

Without prejudice to Article I-24(2) of the Constitution, the weighting of the votes of Romania and
Bulgaria in the European Council and the Council of Ministers shall be 14 and 10 respectively until
1 November 2009. At the time of each accession, the threshold referred to in the Protocol on the
representation of citizens in the European Parliament and the weighting of votes in the European Council
and the Council of Ministers shall be decided by the Council of Ministers.

Declaration on the creation of a European external action service

To assist the future Union Minister for Foreign Affairs, introduced in Article I-27 of the Constitution, to
perform his or her duties, the Convention agrees on the need for the Council of Ministers and the
Commission to agree, without prejudice to the rights of the European Parliament, to establish under the
Minister's authority one joint service (European External Action Service) composed of officials from
relevant departments of the General Secretariat of the Council of Ministers and of the Commission and
staff seconded from national diplomatic services.

The staff of the Union's delegations, as defined in Article III-230, shall be provided from this joint service.

The Convention is of the view that the necessary arrangements for the establishment of the joint service
should be made within the first year after entry into force of the Treaty establishing a Constitution for
Europe.

Declaration in the final act of signature of the Treaty establishing the Constitution

If, two years after the signature of the Treaty establishing the Constitution, four fifths of the Member
States have ratified it and one or more Member States have encountered difficulties in proceeding with
ratification, the matter will be referred to the European Council.

C 169/100

EN

Official Journal of the European Union

18.7.2003

THE EUROPEAN CONVENTION

LIST OF MEMBERS

PRESIDENCY

Mr Valéry GISCARD d'ESTAING

Chairman

Mr Giuliano AMATO

Mr Jean-Luc DEHAENE

Vice-Chairman

Vice-Chairman

OTHER MEMBERS OF THE PRAESIDIUM

Mr Michel BARNIER
Mr John BRUTON
Mr Henning CHRISTOPHERSEN
Mr Alfonso DASTIS
Mr Klaus HÄNSCH
Mr Giorgos KATIFORIS
Mr Iñigo MÉNDEZ DE VIGO
Ms Ana PALACIO
Mr Giorgos PAPANDREOU
Ms Gisela STUART
Mr Antonio VITORINO
Mr Alojz PETERLE

Representative of the European Commission
Representative of the National Parliaments
Representative of the Danish Presidency
Representative of the Spanish Presidency (from March 2003)
Representative of the European Parliament
Representative of the Greek Presidency (until February 2003)
Representative of the European Parliament
Representative of the Spanish Presidency (until March 2003)
Representative of the Greek Presidency (from February 2003)
Representative of the National Parliaments
Representative of the European Commission
Invitee

CONVENTION MEMBERS

REPRESENTATIVES OF THE EUROPEAN PARLIAMENT

Mr Jens-Peter BONDE (DK)

Mr Elmar BROK (D)

Mr Andrew Nicholas DUFF (UK)

Mr Olivier DUHAMEL (F)

Mr Klaus HÄNSCH (D)

Ms Sylvia-Yvonne KAUFMANN (D)

Mr Timothy KIRKHOPE (UK)

Mr Alain LAMASSOURE (F)

Ms Linda McAVAN (UK)

Ms Hanja MAIJ-WEGGEN (NL)

Mr Luís MARINHO (P)

Mr Íñigo MÉNDEZ DE VIGO Y MONTOJO (ES)

Ms Cristiana MUSCARDINI (IT)

Mr Antonio TAJANI (IT)

Ms Anne VAN LANCKER (B)

Mr Johannes VOGGENHUBER (ÖS)

REPRESENTATIVES OF THE COMMISSION

Mr Michel BARNIER

Mr António VITORINO

REPRESENTATIVES OF THE MEMBER STATES

BELGIË/BELGIQUE

Government

Mr Louis MICHEL

National Parliament

Mr Karel DE GUCHT

Mr Elio DI RUPO

DANMARK

Government

Mr Henning CHRISTOPHERSEN

National Parliament

Mr Peter SKAARUP

Mr Henrik DAM KRISTENSEN

DEUTSCHLAND

Government

Mr Joschka FISCHER (replaced Mr Peter GLOTZ in November 2002)

National Parliament

Mr Jürgen MEYER

Mr Erwin TEUFEL

ELLAS

Government

Mr Giorgos PAPANDREOU (replaced Mr Giorgos KATIFORIS in
February 2003)

National Parliament

Mr Paraskevas AVGERINOS

Ms Marietta GIANNAKOU

ESPAÑA

Government

Mr Alfonso DASTIS (replaced Mr Carlos BASTARRECHE as alternate
in
member
March 2003)

then Ms A. Palacio as member

in September 2002,

National Parliament

Mr Josep BORRELL FONTELLES

Mr Gabriel CISNEROS LABORDA

18.7.2003

EN

Official Journal of the European Union

C 169/101

FRANCE

Government

Mr Dominique de VILLEPIN (replaced Mr Pierre MOSCOVICI
November 2002)

in

National Parliament

SUOMI/FINLAND

Government

Ms Teija TIILIKAINEN

National Parliament

Mr Kimmo KILJUNEN

Mr Pierre LEQUILLER (replaced Mr Alain BARRAU in July 2002)

Mr Jari VILÉN (replaced Mr Matti VANHANEN in May 2003)

Mr Hubert HAENEL

IRELAND

Government

Mr Dick ROCHE (replaced Mr Ray Mac SHARRY in July 2002)

National Parliament

Mr John BRUTON

Mr Proinsias DE ROSSA

ITALIA

Government

Mr Gianfranco FINI

National Parliament

Mr Marco FOLLINI

Mr Lamberto DINI

LUXEMBOURG

Government

Mr Jacques SANTER

National Parliament

Mr Paul HELMINGER

Mr Ben FAYOT

NEDERLAND

Government

Mr Gijs de VRIES (replaced Mr Hans van MIERLO in October 2002)

National Parliament

Mr René van der LINDEN

Mr Frans TIMMERMANS

ÖSTERREICH

Government

Mr Hannes FARNLEITNER

National Parliament

Mr Caspar EINEM

Mr Reinhard Eugen BÖSCH

PORTUGAL

Government

Mr Ernâni LOPES (replaced Mr João de VALLERA in May 2002)

National Parliament

Mr Alberto COSTA

Ms Eduarda AZEVEDO

SVERIGE

Government

Ms Lena HJELM-WALLÉN

National Parliament

Mr Sören LEKBERG

Mr Göran LENNMARKER

UNITED KINGDOM

Government

Mr Peter HAIN

National Parliament

Ms Gisela STUART

Mr David HEATHCOAT-AMORY

REPRESENTATIVES OF THE CANDIDATE COUNTRIES

Kύπρoς/CYPRUS

Government

Mr Michael ATTALIDES

National Parliament

Ms Eleni MAVROU

Mr Panayiotis DEMETRIOU

MALTA

Government

Mr Peter SERRACINO-INGLOTT

National Parliament

Mr Michael FRENDO

Mr Alfred SANT

MAGYARORSZÀG/HUNGARY

Government

Mr Péter BALÁZS (replaced Mr János MARTONYI in June 2002)

National Parliament

Mr József SZÁJER

Mr Pál VASTAGH

POLSKA/POLAND

Government

Ms Danuta HÜBNER

National Parliament

Mr Jozef OLEKSY

Mr Edmund WITTBRODT

C 169/102

EN

Official Journal of the European Union

18.7.2003

ROMÂNIA/ROMANIA

Government

Ms Hildegard Carola PUWAK

National Parliament

Mr Alexandru ATHANASIU (replaced Mr
February 2003)
Mr Puiu HASOTTI

Liviu MAIOR in

SLOVENSKO/SLOVAKIA

Government
Mr Ivan KORČOK (replaced Mr Ján FIGEL in November 2002)
National Parliament

Mr Ján FIGEL (replaced Mr Pavol HAMZIK in October 2002)
Ms Irena BELOHORSKÁ

LATVIJA/LATVIA

Government

Ms Sandra KALNIETE (replaced Mr Roberts ZILE in January 2003)

National Parliament

Mr Rihards PIKS
Ms Liene LIEPINA (replaced Mr Edvins INKĒNS in January 2003)

EESTI/ESTONIA

Government

Mr Lennart MERI

National Parliament

Mr Tunne KELAM
Mr Rein LANG (replaced Mr Peeter REITZBERG in April 2003)

LIETUVA/LITHUANIA

Government

Mr Rytis MARTIKONIS

National Parliament

Mr Vytenis ANDRIUKAITIS

Mr Algirdas GRICIUS (in December 2002 replaced Mr Alvydas MEDA-
LINSKAS, who in turn replaced Ms Dalia KUTRAITE-GIEDRAITIENE as
alternate member)

Бългapия / BULGARIA

Government

Ms Meglena KUNEVA

National Parliament

Mr Daniel VALCHEV
Mr Nikolai MLADENOV

ČESKÁ REPUBLIKA/CZECH REPUBLIC

Government

Mr Jan KOHOUT (replaced Mr Jan KAVAN in September 2002)

National Parliament

Mr Jan ZAHRADIL
Mr Josef ZIELENIEC

SLOVENIJA/SLOVENIA

Government

Mr Dimitrij RUPEL (replaced Mr Matjaz NAHTIGAL in January 2003)

National Parliament

Mr Jelko KACIN (replaced Mr Slavko GABER in January 2003)
Mr Alojz PETERLE

TÜRQÍYE/TURKEY

Government

Mr Abdullah GÜL (in March 2003 replaced Mr Yasar YAKIS, who had
replaced Mr Mesut YILMAZ in December 2002)

National Parliament

Mr Zekeriya AKCAM (replaced Mr Ali TEKIN in December 2002)
Mr Kemal DERVIŞ (replaced Ms Ayfer YILMAZ in December 2002)

REPRESENTATIVES OF THE EUROPEAN PARLIAMENT

Mr Joachim WUERMELING (D)

ALTERNATES

Mr William ABITBOL (F)

Ms ALMEIDA GARRETT (P)

Mr John CUSHNAHAN (IRL)

Ms Lone DYBKJAER (DK)

Ms Pervenche BERÈS (F)

Ms Maria BERGER (ÖS)

Mr Carlos CARNERO GONZÁLEZ (ES)

Mr Neil MacCORMICK (UK)

Ms Piia-Noora KAUPPI (FI)

Ms Elena PACIOTTI (IT)

Mr Luís QUEIRÓ (P)

Mr Reinhard RACK (ÖS)

Mr Esko SEPPÄNEN (FI)

The Earl of STOCKTON (UK)

Ms Helle THORNING-SCHMIDT (DK)

REPRESENTATIVES OF THE COMMISSION

Mr David O'SULLIVAN

Mr Paolo PONZANO

REPRESENTATIVES OF THE MEMBER STATES

BELGIË/BELGIQUE

Government

Mr Pierre CHEVALIER

National Parliament

Mr Danny PIETERS

Ms Marie NAGY

18.7.2003

EN

Official Journal of the European Union

C 169/103

DANMARK

Government

Mr Poul SCHLÜTER

National Parliament

Mr Per DALGAARD

Mr Niels HELVEG PETERSEN

DEUTSCHLAND

Government

Mr Hans Martin
November 2002)

National Parliament

Mr Peter ALTMAIER

BURY (replaced Mr Gunter

PLEUGER in

Mr Wolfgang GERHARDS
March 2003)

(replaced Mr Wolfgang

SENFF

in

ELLAS

Government

Mr Giorgos KATIFORIS (replaced Mr Panayiotis
February 2003)

IOAKIMIDIS in

National Parliament

Mr Nikolaos CONSTANTOPOULOS

Mr Evripidis STILINIADIS

ESPAÑA

Government

LUXEMBOURG

Government

Mr Nicolas SCHMIT

National Parliament

Mr Gaston GIBERYEN

Ms Renée WAGENER

NEDERLAND

Government

Mr Thom de BRUIJN

National Parliament

Mr Wim van EEKELEN

Jan Jacob van DIJK (replaced Mr Hans van BAALEN in

Mr
October 2002)

ÖSTERREICH

Government

Mr Gerhard TUSEK

National Parliament

Ms Evelin LICHTENBERGER

Eduard MAINONI

Mr
March 2003)

(replaced Mr Gerhard KURZMANN in

PORTUGAL

Government

Mr Manuel LOBO ANTUNES

Ms Ana PALACIO (replaced Mr Alfonso DASTIS in March 2003)

National Parliament

National Parliament

Mr Diego LÓPEZ GARRIDO

Mr Alejandro MUÑOZ LONSO

FRANCE

Government

Ms Pascale ANDREANI (replaced Mr Pierre VIMONT in August 2002)

National Parliament

Mr Jacques FLOCH (replaced Ms Anne-Marie IDRAC in July 2002)

Mr Robert BADINTER

IRELAND

Government

Mr Bobby McDONAGH

National Parliament

Mr Pat CAREY (replaced Mr Martin CULLEN in July 2002)

Mr John GORMLEY

ITALIA

Government

Mr Francesco E. SPERONI

National Parliament

Mr Valdo SPINI

Mr Filadelfio Guido BASILE

Mr Guilherme d'OLIVEIRA MARTINS (replaced Mr Osvaldo de
CASTRO in June 2002)

Mr António NAZARÉ PEREIRA

SUOMI/FINLAND

Government

Mr Antti PELTOMÄKI

National Parliament

Mr Hannu TAKKULA (replaced Ms Riitta KORHONEN in May 2003)

Mr Esko HELLE

SVERIGE

Government

Mr Sven-Olof PETERSSON (replaced Ms Lena HALLENGREN in
December 2002)

National Parliament

Mr Kenneth KVIST

Mr Ingvar SVENSSON

UNITED KINGDOM

Government

Baroness SCOTLAND OF ASTHAL

National Parliament

Lord TOMLINSON

Lord MACLENNAN OF ROGART

C 169/104

EN

Official Journal of the European Union

18.7.2003

REPRESENTATIVES OF THE CANDIDATE COUNTRIES

Mr Urmas REINSALU (replaced Mr Ülo TÄRNO in April 2003)

Kύπρoς/CYPRUS
Government

Mr Theophilos V. THEOPHILOU

National Parliament

Mr Marios MATSAKIS
Ms Androula VASSILIOU

MALTA

Government

Mr John INGUANEZ

National Parliament

Ms Dolores CRISTINA
Mr George VELLA

MAGYARORSZÀG/HUNGARY

Government

Mr Péter GOTTFRIED

National Parliament

Mr András KELEMEN
Mr István SZENT-IVÁNYI

POLSKA/POLAND

Government
Mr Janusz TRZCIŃSKI
National Parliament

Ms Marta FOGLER
Ms Genowefa GRABOWSKA

ROMÂNIA/ROMANIA

Government

LIETUVA/LITHUANIA

Government

Mr Oskaras JUSYS

National Parliament

Mr Gintautas ŠIVICKAS (in February 2003 replaced Mr Gediminas
DALINKEVICIUS, who had replaced Mr Rolandas PAVILIONIS in
December 2002)

Mr Eugenijus MALDEIKIS (replaced Mr Alvydas MEDALINSKAS in
February 2003)

Бългapия / BULGARIA

Government

Ms Neli KUTSKOVA

National Parliament

Mr Alexander ARABADJIEV

Mr Nesrin UZUN

ČESKÁ REPUBLIKA/CZECH REPUBLIC

Government

Lenka Anna

Ms
September 2002)

ROVNA (replaced Mr

Jan

KOHOUT

in

Mr Constantin ENE (replaced Mr Ion JINGA in December 2002)

National Parliament

Mr Petr NEČAS

Mr František KROUPA

SLOVENIJA/SLOVENIA

Government

Mr Janez LENARČIČ

in

National Parliament

National Parliament

Mr Péter ECKSTEIN-KOVACS
Mr Adrian SEVERIN

SLOVENSKO/SLOVAKIA

Government
Mr Juraj MIGAŠ
National Parliament

Ms Zuzana MARTINAKOVA (replaced Mr
November 2002)
Mr Boris ZALA (replaced Ms Olga KELTOSOVA in November 2002)

Frantisek

SEBEJ

LATVIJA/LATVIA

Government

Mr Roberts ZILE (replaced Mr Guntars KRASTS in January 2003)

National Parliament

KRASTS

Mr Guntars
January 2003)
Mr Arturs Krisjanis KARINS (replaced Ms
January 2003)

(replaced Mr Maris

SPRINDZUKS

in

Mr Franc HORVAT (replaced Ms Danica SIMŠIČ in January 2003)

Mr Mihael BREJC

TÜRQÍYE/TURKEY

Government

Inese BIRZNIECE in

Mr Oğuz DEMIRALP (replaced Mr Nihat AKYOL in August 2002)

EESTI/ESTONIA

Government

Mr Henrik HOLOLEI

National Parliament

Ms Liina TÕNISSON (replaced Ms Liia HÄNNI in April 2003)

National Parliament

Mr Ibrahim ÖZAL (replaced Mr Kürsat ESER in December 2002)

Mr Necdet BUDAK (replaced Mr A.
December 2002)

Emre KOCAOGLOU in

18.7.2003

EN

Official Journal of the European Union

C 169/105

Mr Roger BRIESCH
Economic and Social Committee

Mr Josef CHABERT
Committee of the Regions

Mr João CRAVINHO
European Social Partners

Mr Manfred DAMMEYER
Committee of the Regions

Mr Patrick DEWAEL
Committee of the Regions

Mr Nikiforos DIAMANDOUROS
European Ombudsman
(replaced Mr Jacob SÖDERMAN in March 2003)

Ms Claude DU GRANRUT
Committee of the Regions

Sir John KERR
Secretary-General

Ms Annalisa GIANNELLA
Deputy Secretary-General

Ms Marta ARPIO SANTACRUZ

Ms Agnieszka BARTOL

Mr Hervé BRIBOSIA

Ms Nicole BUCHET

Ms Elisabeth GATEAU

Mr Clemens LADENBURGER

Ms Maria José MARTÍNEZ IGLESIAS

OBSERVERS

Mr Göke Daniel FRERICHS
Economic and Social Committee

Mr Emilio GABAGLIO
European Social Partners

Mr Georges JACOBS
European Social Partners

Mr Claudio MARTINI
Committee of the Regions

Ms Anne-Maria SIGMUND
Economic and Social Committee

Mr Ramón Luis VALCÁRCEL SISO
Committee of the Regions
(replaced Mr Eduardo ZAPLANA in February 2003; Ms Eva-Riitta
SIITONEN had acted as alternate since October 2002)

SECRETARIAT

Mr Nikolaus MEYER LANDRUT

Mr Guy MILTON

Mr Ricardo PASSOS

Ms Kristin de PEYRON

Mr Alain PILETTE

Mr Alain PIOTROWSKI

Mr Etienne de PONCINS

Ms Alessandra SCHIAVO

Ms Walpurga SPECKBACHER

Ms Maryem van den HEUVEL