Brussels Bulletin No. 526: 6 January 2017

NATIONAL PARLIAMENT OFFICE

HOUSE OF COMMONS

BRUSSELS BULLETIN NO. 526

6 January 2017

Contents Page

2017 LOOK AHEAD ...... 2 A YEAR OF CHANGE FOR THE EU INSTITUTIONS ...... 2 ...... 5 MEPS DEBATE DEMOCRACY AND THE RULE OF LAW IN POLAND ...... 5 OTHER NEWS ...... 8 BIRDS AND HABITATS DIRECTIVES TO REMAIN UNCHANGED ...... 8 AFCO GIVES FINAL APPROVAL TO CONSTITUTIONAL REFORM REPORTS ...... 8 COUNCIL AGREES POSITION ON PACKAGE OF PSYCHOACTIVE SUBSTANCES LEGISLATION ...... 9 COMMISSION TO TAKE LEGAL ACTION AGAINST UK IN LIGHT OF EMISSIONS SCANDAL ...... 9 EP’S EMPL COMMITTEE RECOMMENDS VOTING DOWN CETA ...... 10 JHA COUNCIL AGREES ON PIF DIRECTIVE BUT EPPO TALKS CONTINUE ...... 10 EP AGREES REVISION OF ITS RULES OF PROCEDURE ...... 10 JOINT DECLARATION OF 2017 LEGISLATIVE PRIORITIES SIGNED IN STRASBOURG ...... 11 COMMISSION PROPOSES CHANGES TO SOCIAL SECURITY LEGISLATION ...... 11 ENVIRONMENTAL MEPS VOTE TO ALIGN ETS TARGETS WITH PARIS AGREEMENT ...... 11 MEPS BACK VISA SUSPENSION MECHANISM ...... 12 EU AND DENMARK REACH AGREEMENT ON ACCESS TO EUROPOL...... 12 FINAL SUMMIT OF 2016 TAKES PLACE ...... 12 ECJ RULES THAT EU-SINGAPORE FTA IS A MIXED COMPETENCE AGREEMENT ...... 13 SIR IVAN ROGERS TO STAND DOWN AS UK AMBASSADOR TO THE EU ...... 13 CALENDAR ...... 14 MALTESE PRESIDENCY: FORTHCOMING FORMAL AND INFORMAL COUNCIL MEETINGS (JANUARY TO JUNE 2017) ...... 14 MALTESE PRESIDENCY: FORTHCOMING INTER-PARLIAMENTARY MEETINGS IN VALLETTA AND BRUSSELS (JANUARY TO JUNE 2017) ...... 14 FORTHCOMING INTER-PARLIAMENTARY COMMITTEE MEETINGS (ICMS) IN THE EUROPEAN PARLIAMENT14

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Brussels Bulletin No. 526: 6 January 2017

2017 look ahead A year of change for the EU institutions January 2017 marks the half-way point of the current five-year legislature, with the posts of European Parliament President, Vice-Presidents and Committee Chairs all up for re-election.

EP President Following the 2014 EP elections, the two largest political groups, the European People’s Party (EPP) and the Socialists and Democrats (S&D), made an informal agreement to share the Presidency. Under the agreement, current EP President Martin Schulz (S&D, Germany) would stand down in January 2017 and be replaced by an EPP MEP until the next elections in May 2019. In autumn 2016, there were reports that Schulz could seek a third term as President (he also served as EP President in the second half of the previous legislature). The reasons put forward ranged from maintaining stability at a time of crisis to not having the three main EU institutions headed by centre-right politicians. On Thursday 24 November, Schulz announced that he would stand down as EP President and run for a seat in the German Bundestag.1 The whole EP will vote by secret ballot on 17 January in Strasbourg to elect the new President. To be elected President, a candidate must win an absolute majority of the votes cast. With 751 MEPs, this means 376 votes or more.

The candidates From the EPP, Italian was elected by the Group on Tuesday 13 December, beating Irish MEP Mairead McGuinness, Alain Lamassoure of France, and Slovenian Alojz Peterle.

Belgian MEP Helga Stevens is the European Conservatives and Reformists (ECR) candidate. From the Alliance of Liberals and Democrats (ALDE) Group, Sylvie Goulard (France) initially put her name forward, but withdrew her candidacy when Group Leader and EP Brexit negotiator Guy Verhofstadt (Belgium) announced that he would stand. For the GUE/NGL Group, Eleonora Forenza (Italy) is the candidate, whilst the Greens/EFA Group has nominated the UK’s Jean Lambert. None of these Groups are expected to secure the position, but their MEPs will carry influential votes and they can lobby to keep or add to their current Vice-President and Committee Chair posts. The EFDD Group has proposed Piernicola Pedicini of Italy as their candidate, with Romanian Laurențiu Rebega reported to be standing for the ENF Group.

On 30 November, S&D Group Leader Gianni Pittella (Italy) threw his hat into the ring. In a press conference, Pittella said that one of the reasons for his candidacy was “political principle”; to ensure equal representation across the Presidencies of the three main EU institutions. In response to a question on the future of the so-called “grand coalition”, Pittella said that “the grand coalition has never existed as such in the European Parliament...for us, we had legislative cooperation with another group...it was essential for us to be able to take forward the work of the European Parliament.”

The so-called “grand coalition” between the EPP and S&D Groups, with 217 and 189 MEPs respectively (totalling 403, therefore surpassing the 376 MEPs required for an absolute majority in the EP) was seen as a way of ensuring the smooth and timely passage of the

1 See Brussels Bulletin No. 524 ______Track national parliament scrutiny at www.ipex.eu 2 Brussels Bulletin No. 526: 6 January 2017

Commission’s legislative priorities. The agreement was made on 24 June 2014, with the ALDE Group, totalling 69 MEPs, joining two days later. The three Groups agreed to:

...work to create a stable, pro-European majority in the House to defend the values and principles of European integration whilst striving, jointly, for reforms that will strengthen and improve the workings and transparency of the institutions and their effectiveness in delivering economic growth and meeting the EU's future challenges.2

Despite ALDE signing up to the arrangement, the “grand coalition” is usually used in reference to the EPP and S&D Groups only. EU-focused publication Politico reported that Schulz’s resignation and Pittella’s candidature amounts to a breakdown, likely to result in uncertainty and “legislative paralysis”.

Schulz’s departure also brings to an end the “G5”; regular dinner meetings of Commission President Jean-Claude Juncker, Commission First Vice-President Frans Timmermans, EP President Schulz, EPP Group Leader and S&D Group Leader Pittella. It has been reported that the dinners were used to discuss policies and agree upon strategies; Weber has previously described it as “keeping a stable coalition that can legislate effectively”.3 Schulz and Juncker are known to be old friends; with his departure, Pittella has said that “for now, there won’t be any G5.”

The UK posts up for re-election The UK holds no Vice-President positions. Catherine Bearder (ALDE) is a Quaestor of the EP, a post focusing on the organisation’s administration and one also up for re-election in January 2017. The UK also holds the Chairmanship of three EP Committees: Vicky Ford (ECR) chairs the EP’s Internal Market and Consumer Protection (IMCO) Committee; Claude Moraes (S&D) chairs the EP’s Civil Liberties, Justice and Home Affairs (LIBE) Committee; and Linda McAvan (S&D) chairs the EP’s Development (DEVE) Committee. It is unclear as of yet if any of the three MEPs will retain their posts.

European Council and In the other two main EU institutions, the post of European Council President, (Poland) is up for renewal in mid-2017. Heads of State or Government elect the President of the European Council by a qualified majority. It has been reported that the Polish Government will not support Tusk for a second term, and it remains unclear if he will keep the position. Commission President Jean-Claude Juncker has a five-year term, which runs until summer 2019.

2017 elections in Member States The Netherlands, France and Germany will hold elections in 2017, with voters also going to the polls in the Czech Republic and possibly Greece, Italy and Bulgaria.

Other events The next informal meeting of the EU 27 will take place on 3 February in Malta to discuss the future of the EU and Brexit. In addition, the Commission has committed to “set out a vision

2 See http://www.socialistsanddemocrats.eu/newsroom/epp-sd-and-alde-form-stable-majority-ep-next- european-commission 3 See Politico article at http://www.politico.eu/article/g5-brussels-most-exclusive-dining-club/ ______Track national parliament scrutiny at www.ipex.eu

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for the EU's future in a White Paper in March 2017, in time for the 60th anniversary of the Treaties of Rome”. Finally, Bulgaria is expected to nominate a candidate to replace as its Commissioner, and MEPs on the EP’s Budget, Budgetary Control and Legal Affairs Committees will hold a hearing with Günther Oettinger, the Commissioner who will take on Georgieva’s portfolio.4

4 From 1 January, Oettinger’s portfolio of Digital Economy and Society will be temporarily transferred to Andrus Ansip, Commission Vice-President for Digital Single Market ______Track national parliament scrutiny at www.ipex.eu 4 Brussels Bulletin No. 526: 6 January 2017

Poland MEPs debate democracy and the rule of law in Poland On Wednesday 14 December, MEPs debated the situation in Poland, the fourth time such a discussion has taken place at an EP plenary session since the Commission decided in July to issue a Rule of Law opinion against the Polish Government for breaches of democracy and fundamental rights.5 The exchange of views was held with each of the Parliament’s political groups and Commissioner Frans Timmermans, First Vice-President for Better Regulation, Interinstitutional Relations, the Rule of Law and the Charter of Fundamental Rights.

Opening remarks Timmermans began by noting that this was the fourth occasion that the EP had debated the situation in Poland. For him, placing such emphasis on the internal workings of a Member State, while unusual, was completely justified as there were still a number of outstanding issues relating to the Polish Constitutional Court including: the composition of the tribunal, the publication of its results, and the effectiveness of its ongoing operations. Timmermans then provided a chronological account of the situation to date. He began with the Commission’s initial Rule of Law opinion from 27 July and said that the Commission had asked the Polish Government to address outlined concerns within a three month time frame. On 14 October, the Venice Commission6 had “echoed” the Commission’s stance by issuing its own verdict on the situation; something that the Polish Government strongly opposed, despite itself having asked for such “independent” input. Timmermans continued by noting that on 27 October, the Commission received an official response from the Polish Government in which the authorities in Warsaw outlined in “plain language” why they disagreed with the opinions of both Commissions, European and Venice. The Polish Government explained why, in its view, it had not committed any wrongdoing and notified the Commission that legislation required to formally change the composition and functioning of the Constitutional Court would enter its final stages over the coming weeks. For Timmermans, such recent developments were in “clear violation” of the Polish constitution and they set a “dangerous precedent” for Poland’s judicial system in the months and years ahead. Timmermans stated that the current Government’s insistence that it had the democratic authority to carry out its desired changes was “deeply concerning” and completely cast a blind eye to the concept of a separation of powers. He said that the College of Commissioners was closely following ongoing developments from Warsaw and would decide in due course what further action, if any, should be taken. Timmermans stressed that the issue was not a political one, but simply centred on the protection and promotion of fundamental rights throughout all EU Member States. His fight was with Poland’s Government of the day, not with the Polish state and nor with the Polish people. He called on all EU institutions to share responsibility and maintain collective efforts to uphold the rule of law not only in Poland, but in all EU countries. In Timmermans’s view, never had this been more necessary.

Debate Janusz Lewandowski (EPP, Poland) paid tribute to the EU institutions for their help in helping Poland escape its former Soviet rule and now reach a situation where it was a “free and

5 Full details of the Commission’s Rule of Law verdict can be found here - http://europa.eu/rapid/press-release_MEMO-16-2644_en.htm 6 Further information on the work of the Venice Commission can be found here - http://www.venice.coe.int/webforms/events/ ______Track national parliament scrutiny at www.ipex.eu

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independent” country. He said that the current Polish Government did not speak for all Poles (having been elected by 20% of the country’s population) and accused the administration of overseeing a “creeping coup d’état” against the foundations of Poland’s constitution. Lewandowski added that gaining power brought responsibility; something that the current Government did not seem to appreciate. He said that civil liberties, democracy and the rule of law were essential components of an “ever-evolving” Poland and welcomed the Commission’s ongoing efforts to defend these. Lewandowski closed by stating that many Poles felt at home in the EU and were relying on the institutions to help guarantee their freedom. Birgit Sippel (S&D, Germany) began by noting that 2016 was the 30th anniversary of Poland’s Constitutional Court and that this should have been a time for celebration of the country’s democratic transition. Instead, she said that many of the fundamental freedoms Poles “had gotten used to” were now under threat by the current Government and she said that the Commission was right to have issued its Rule of Law judgement in July. Sippel added that the institutions had to continue taking action against the current Polish Government which, in her view, was “looking to build walls” and create divisions among Poland’s people. She closed by saying that the EU had an obligation to ensure that the independent rule of law was upheld in all of its Member States and that its endurance should not be taken for granted.

In contrast, Ryszard Antoni Legutko (ECR, Poland) criticised the Commission for interfering in the domestic business of one of its Member States. For him, doing so was simply another example of “mission creep” from Brussels. Legutko accused the Commission of making Poland a scapegoat in an effort to draw focus away from its own shortcomings and said that, despite public suggestions to the contrary, Timmermans himself did not respect subsidiarity. Legutko affirmed that, having won last year’s general election, the Polish authorities had been given the democratic mandate to govern. He said that representatives from the Commission should let the Polish Government do that and spend more time dealing with their own troubles. For Legutko, the EU institutions had an elite that had lost touch with the common people, yet still imposed its will on their lives. He added that the EU’s very foundations were shaking, but that those in charge demonstrated no evidence of learning from their mistakes. Sophie in’t Veld (ALDE, The Netherlands) said that both her political group and the wider EP would stand by the Polish people. She affirmed that it was “completely natural” for people to protest against the erosion of their rights and outlined the freedom of assembly, speech and thoughts as central components of any modern democracy. In’t Veld accused the Polish Government of “robbing people” of these basic freedoms and questioned whether or not the country’s electorate had indeed voted for this course of action in last year’s election. For her, this was a “systemic threat” to the EU’s fundamental values and the Commission was right to act.

Malin Björk (GUE/NGL, Sweden) accused the Polish Government of a deliberate attempt to undermine minorities of all “colours, shapes and sizes”. She voiced her concern at suggestions that the authorities in Poland would withdraw the country from the Istanbul Convention (regarding violence against women) and called on the EU institutions to do everything they could to ensure that all of its Member States adhered to the rule of law. Terry Reintke (Greens/EFA, Germany) recounted childhood memories from school when she learned about Poland’s transition from Soviet rule to becoming an independent country. She said that this was one of the EU’s great success stories and she found it “sad” to see what was happening in the country now. Reintke labeled developments in Poland as not only concerning, but “totally unacceptable”, and she asked for more precise details on what action the Commission would be taking in the New Year. Robert Jaroslaw Iwaszkiewicz (EFDD, Poland) accused Brussels of interfering “too much” in the sovereign affairs of Poland and suggested that this was the primary reason why many Europeans were turning their back on the project. He said that Poland ______Track national parliament scrutiny at www.ipex.eu 6 Brussels Bulletin No. 526: 6 January 2017

was an independent country and didn’t need the Commission’s “thoughts, concern or advice” on how to govern its people. Iwaszkiewicz also stated his belief that Poland would be able to better develop and evolve as a nation were it not bound by Brussels control. He was not on the side of “the oppressors”, but on the side of freedom. Michal Marusik (ENF, Poland) echoed these remarks and described ongoing Commission action regarding Poland as “trampling on the sovereignty” of one its Member States. He said that countries had to be free to decide their own laws and that it was not up to Brussels to dictate otherwise. Marusik said that one day he hoped Poland would leave the EU, “get up from its knees and be the master of its own home”.

Closing remarks Timmermans responded to contributions from the floor by recounting the “painful experience” that millions of Europeans had endured during the first half of the 20th century and said that, with this in mind, everyone in the EU family had a responsibility to help shape a better future. He said that respecting human rights, the rule of law and judicial judgement were the foundation of any healthy democracy but that trading one off against the other could not be done. Timmermans noted that the EU institutions had the obligation to defend the liberties its citizens were entitled to and he criticised the Polish Government for conflating its political adversaries with so called “enemies” in Brussels. He said that that it was right to debate with the former but that the only intention with the latter was to destroy; dangerous words could lead to dangerous actions. Timmermans closed by affirming his own personal commitment to building a better future for Europe based on human rights and the rule of law that future generations could be proud of.

Further to this, on Wednesday 21 December, the Commission subsequently discussed the latest situation in Poland and decided to publish a complementary Rule of Law recommendation against the Polish authorities.7 In its Press Release, the Commission made clear that, while some of the issues raised in its initial recommendation in July 2016 had been addressed, important issues remained unresolved and, moreover, fresh concerns had arisen in the meantime. A spokesperson also added that the Commission was “committed” to pursuing “constructive dialogue” with the Polish Government in the early weeks and months of 2017.

7 Full details of the Commission recommendation can be found here - http://europa.eu/rapid/press- release_IP-16-4476_en.htm ______Track national parliament scrutiny at www.ipex.eu

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Other News Birds and Habitats Directives to remain unchanged On Wednesday 7 December, it was announced that the EU Birds and Habitats Directives would be maintained as originally planned after a public campaign mobilising more than half a million EU citizens protested against proposed changes to the legislation.8 The Directives, which cover 20% of Europe’s landmass and over 1000 species of animals and plants, had originally been subject to an overhaul by Commission President, Jean-Claude Juncker, who, upon taking office in November 2014, began a review to overhaul the Union’s nature laws and make them more business-friendly. This sparked internal discussion within the Commission which, in turn, brought about an online public consultation about the future of the two Directives. Of the 550,000 respondents, 94% called for the laws to be left alone; an approach that the Commission has now endorsed. Karmenu Vella, Commissioner for Environment, Maritime Affairs and Fisheries, said that the Commission had listened to public opinion “very carefully” and acknowledged that the two Directives were a “milestone” when it came to the environmental protection of species and habitats. He noted that both pieces of legislation required “better and smarter” implementation, but added that this could be done with non-legislative action. Vella affirmed that “the Directives will not be reopened”.

AFCO gives final approval to constitutional reform reports On Thursday 8 December, Members of the EP’s Constitutional Affairs (AFCO) Committee gave their final seal of approval to two reports designed to overhaul the current and future constitutional framework of the EU. The first report entitled Improving the functioning of the building on the potential of the Lisbon Treaty is co-authored by MEPs Elmar Brok (EPP, Germany) and Mercedes Bresso (S&D, Italy) and aims to maximise the potential of the current set up vis-a-vis: the European institutions; democracy and accountability; deepening the EMU; and increasing EU external action policy.9 The second report entitled Possible evolutions of and adjustment to the current institutional set-up of the European Union, written by MEP Guy Verhofstadt (ALDE, Belgium), proposes potential means of updating EU Treaties to cope with current and future challenges aiming at enhancing the consistency, efficiency and accountability of EU governance, its institutions and policies.10 Both reports were discussed by national Parliamentarians at the 29 November Constitutional Affairs Inter- Parliamentary Committee Meeting11 and it is anticipated that the whole House will vote on both reports at its mini plenary session in Brussels on 1-2 February.

8 Further information relating to the Birds Directive can be found here - http://ec.europa.eu/environment/nature/legislation/birdsdirective/index_en.htm while more details on the Habitats Directive can be found here - http://ec.europa.eu/environment/nature/legislation/habitatsdirective/index_en.htm 9 The full Brok/Bresso report can be found here - http://www.europarl.europa.eu/sides/getDoc.do?pubRef=- %2F%2FEP%2F%2FNONSGML%2BCOMPARL%2BPE- 573.146%2B01%2BDOC%2BPDF%2BV0%2F%2FEN 10The full Verhofstadt report can be found here - http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-//EP//NONSGML+COMPARL+PE- 585.741+01+DOC+PDF+V0//EN&language=EN 11 See Brussels Bulletin No.525 ______Track national parliament scrutiny at www.ipex.eu 8 Brussels Bulletin No. 526: 6 January 2017

Council agrees position on package of psychoactive substances legislation On Thursday 8 December, the Council agreed its position on a package reforming the legislation on new psychoactive substances.12 The Commission had previously come forward with the package of legislative proposals, consisting of a draft Regulation on new psychoactive substances and a draft Directive on minimal provisions in the field of illicit drug trafficking, in September 2013.13 The EP agreed its position on both files in April 2014. The Council was unable to reach agreement on the package, and in August 2016 the Commission came forward with a revised Regulation.14 Following the general approach agreed in Council, on the basis of the new package, negotiations will now begin with the European Parliament.

Commission to take legal action against UK in light of emissions scandal On Thursday 8 December, the European Commission announced that it would begin legal action against the UK and six other EU Member States for perceived failures to act against car emissions cheating in the wake of the “dieselgate” scandal. Last year, Volkswagen was forced to recall half a million cars from the US market after it was revealed that the company had used sophisticated “defeat devices” when the emissions of their vehicles were being measured. Other manufacturers also used techniques used to give lower emissions readings in lab tests than in real world driving. As well as the UK, both Germany and Spain are among the nations accused of failing to both establish adequate penalty systems to deter such violations and punish offenders when crimes had been committed. The accused countries have two months to respond, after which the Commission could send a “reasoned opinion” before ultimately filing a suit at the European Court of Justice in Luxembourg. Announcing the development, Elżbieta Bieńkowska, Commissioner for Internal Market, Industry, Entrepreneurship and SMEs, said that abiding by the law was “first and foremost” the duty of car manufacturers but added that national authorities had the responsibility to ensure that such companies “actually comply with the law”. In December 2015, the EP voted to establish its own Committee of Inquiry into Emission Measurements in the Automotive Sector (EMIS) and, on 19 December 2016, the Committee published a draft report on its findings to date. The report itself is split into two sections: one presenting an analysis of the factual evidence taken into account by the Committee to arrive at its findings; and another presenting a set of draft conclusions which identify contraventions of EU law and instances of maladministration in the emissions sector.15

12 See Council press release at http://www.consilium.europa.eu/en/press/press-releases/2016/12/08- psychoactive-substances/ 13 In November 2013, the House of Commons issued a Reasoned Opinion on the 2013 Regulation, available at http://www.parliament.uk/documents/commons-committees/european-scrutiny/New- psychoactive-substances-RO.pdf. The House of Lords was the only other Chamber to issue a Reasoned Opinion on the draft legislation. 14 See Brussels Bulletin No. 520 15 The Factual Findings section of the EMIS report can be found here - https://polcms.secure.europarl.europa.eu/cmsdata/upload/ae32ace7-4c0c-421c-902d- 243941336150/2016.12.19%20- %20Informal%20Consolidated%20Factual%20Part%20of%20EMIS%20Report.pdf while the Draft Conclusions section of the same report can be found here - http://www.europarl.europa.eu/sides/getDoc.do?pubRef=- %2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE- 595.427%2b01%2bDOC%2bPDF%2bV0%2f%2fEN ______Track national parliament scrutiny at www.ipex.eu

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EP’s EMPL Committee recommends voting down CETA On Thursday 8 December, the EP’s Employment (EMPL) Committee gave its Opinion on the EU-Canada Comprehensive Economic and Trade Agreement.16 The Opinion, agreed by 27 votes to 24, calls on the International Trade (INTA) Committee, as the responsible committee, “to recommend that Parliament decline to give its consent” to CETA. Two other EP Committees were asked for Opinions on the CETA. On 29 November, the Foreign Affairs (AFET) Committee recommended giving consent to CETA.17 The Environment, Public Health and Food Safety (ENVI) Committee will consider its Opinion in early 2017, but the draft Opinion also recommends that the EP does not give its consent to the deal. The INTA Committee is expected to make a recommendation in favour of CETA on 24 January 2017, before the whole Parliament votes in plenary on 1 February. EP consent is required before the Agreement can provisionally enter into force. In other CETA news, on Tuesday 13 December and Wednesday 14 December, the European Commission and Canadian Government co-hosted exploratory discussions with government representatives on the establishment of a multilateral investment court.18

JHA Council agrees on PIF Directive but EPPO talks continue On Thursday 8 and Friday 9 December, Ministers meeting in the JHA Council discussed asylum reform, migration, the fight against terrorism and organised crime, the European Public Prosecutor’s Office (EPPO), the PIF Directive, and the Digital Single Market.19 The Council agreed a position on the Directive on the protection of the financial interest of the EU (also known as the PIF Directive). The final step comprises formal votes in Council and the EP. There were “extensive” discussions on EPPO, and whilst the majority of Ministers gave their support for the Office, the different position of some delegations means more work is needed to progress.20

EP agrees revision of its Rules of Procedure On Tuesday 13 December, MEPs voted to overhaul the EP’s Rules of Procedure by 548 votes to 145, with 13 abstentions.21 The changes, drafted by Richard Corbett MEP (S&D, UK), affect MEPs’ declarations of financial interests; the Code of Conduct for MEPs; penalties for MEPs who use inappropriate language or behave inappropriately; the process of appointing Committee Chairs and Vice-Chairs; and amendments to the numbers of written questions, motions for resolutions and requests for roll-call votes. The new rules will enter into force on 16 January 2017.22

16 The Opinion is available at http://www.europarl.europa.eu/sides/getDoc.do?pubRef=- %2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE- 593.983%2b03%2bDOC%2bPDF%2bV0%2f%2fEN 17 The Opinion is available at http://www.europarl.europa.eu/sides/getDoc.do?pubRef=- %2f%2fEP%2f%2fNONSGML%2bCOMPARL%2bPE- 592.207%2b03%2bDOC%2bPDF%2bV0%2f%2fEN 18 See Commission press release at http://europa.eu/rapid/press-release_IP-16-4349_en.htm 19 Full meeting page available at http://www.consilium.europa.eu/en/meetings/jha/2016/12/08-09/ 20 See Brussels Bulletin No. 525 21 See EP press release at http://www.europarl.europa.eu/news/en/news- room/20161208IPR55155/improving-transparency-at-the-european-parliament 22 An explanatory statement provided by Richard Corbett MEP is available at http://www.politico.eu/wp-content/uploads/2016/12/RoP-Explanatory-Statement-141216.pdf ______Track national parliament scrutiny at www.ipex.eu 10 Brussels Bulletin No. 526: 6 January 2017

Joint Declaration of 2017 legislative priorities signed in Strasbourg On Tuesday 13 December, the Presidents of the three main EU Institutions lent their signatures to a Joint Declaration of the EU’s legislative priorities for 2017.23 The agreement is the first of its kind and formally outlines a number of key policy areas in which the European institutions aim to make progress over the coming 12 months. EP President, Martin Schulz, said that the Joint Declaration was “very necessary” and would provide the framework within which “tangible benefits” for EU citizens could be delivered. He noted collective citizens’ expectation that EU leaders would take decisions to improve their lives and he gave his voice of support to the upcoming Maltese and Estonian Presidencies to make good on that commitment. Robert Fico, Slovak Prime Minister in charge of the rotating Council Presidency, stated that the Joint Declaration was a “crucial instrument” that would help ensure efficiency and transparency across the European institutions in 2017. He also called upon all EU decision-makers to show “determination and the spirit of cooperation” in their work throughout the coming 12 months. Finally, Commission President, Jean-Claude Juncker, welcomed the initiative and said that it was important to formalise legislative priorities for a calendar year which he expected to be “busy”. He recounted the inter-Institutional Agreement on Better Lawmaking and suggested that the Joint Declaration would be a welcome addition to this ongoing reform.

Commission proposes changes to social security legislation On Tuesday 13 December, the Commission came forward with a proposed revision of EU legislation on social security coordination, with the aim of making the rules fairer, clearer and easier to enforce.24 The proposed amendments would affect unemployment benefit; long-term care benefits; the access of economically inactive citizens to social benefits; and social security coordination for posted workers. The draft Regulation will now go the European Parliament and the Council of Ministers.

Environmental MEPs vote to align ETS targets with Paris Agreement On Thursday 15 December, Members on the EP’s Environment, Public Health and Food Safety (ENVI) Committee gave their backing to legislative proposals designed to align the EU’s Emissions Trading Scheme (ETS) initiative with binding targets outlined in last year’s Paris Agreement on climate change.25 MEPs voted to increase the so-called “linear reduction factor” - the yearly reduction of carbon credits - by 2.4% in order to bring down the level of greenhouse gas emissions that Member States are responsible for and also agreed that reinforcement of the Market Stability Reserve (MSR) - the mechanism by which excess carbon credits on the market can be “banked” and purchased for future use - was essential. Rapporteur Ian Duncan (ECR, UK) said that the Environment Committee had delivered “a welcome Christmas gift” to “all who care about climate change” and that the agreement reached by ENVI MEPs both honoured commitments made in the Paris Agreement, while also allowing industry enough scope to create jobs and growth. The legislation will be put to a vote by the whole House in February and then the EP, Council and Commission can begin trilogue negotiations.

23 The full Joint Declaration can be found here - http://www.europarl.europa.eu/resources/library/media/20161213RES55933/20161213RES55933.pdf 24 See Commission press release at http://europa.eu/rapid/press-release_IP-16-4301_en.htm 25 Further information on the ETS agreement can be found here - http://www.europarl.europa.eu/news/en/news-room/20161215IPR56370/environment-meps-for-a- stronger-eu-carbon-market ______Track national parliament scrutiny at www.ipex.eu

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MEPs back visa suspension mechanism On Thursday 15 December, MEPs gave their support to new rules designed to allow visa requirements to be re-imposed faster and more easily on third country nationals.26 Under the proposals, visa requirements could be reintroduced if there was a “substantial increase” in irregular migration or unfounded asylum applications; a lack of cooperation on the readmission of migrants; or threats to EU internal security. The report, authored by Agustín Díaz de Mera García Consuegra (EPP, Spain), passed by 485 votes to 132 with 21 abstentions and now requires formal approval from Council before being published in the EU Official Journal. Revision of the visa suspension mechanism, enshrined in EU legislation since 2013, is linked to proposals to grant visa-free access to the EU Schengen zone for citizens of Georgia (already agreed by the EP and Council)27, Ukraine and Kosovo. Furthermore, on Thursday 8 December, the EP’s Committee on Civil Liberties, Justice and Home Affairs (LIBE) backed proposals to strengthen a new EU Agency for Asylum - currently the European Asylum Support Office (EASO) - with providing it with the means to both assist Member States in crisis situations and monitor how national authorities apply related EU legislation.28 The Resolution, coordinated by Péter Niedermüller (S&D, Hungary), passed by 36 votes to 9, with 6 abstentions. Subsequently, Member State representatives agreed their position on 20 December and, under the Maltese Presidency, will now enter into trilogue negotiations with the EP.

EU and Denmark reach agreement on access to Europol On Thursday 15 December, the EU and Denmark agreed a declaration to “minimise the negative effects of the Danish departure from Europol, following the referendum in Denmark on 3 December 2015”.29 In that referendum, Danes voted against opting-in to EU Justice and Home Affairs policies, meaning that the country’s membership of Europol would cease unless a separate agreement was reached. 30 The draft agreement was welcomed by the Danish Parliament in a non-binding resolution on Monday 12 December. The final steps in the process involve approval by Europol itself, Member States, and the Danish Parliament. Under the new agreement, due to enter into force in May 2017, Denmark would not be a member of Europol but would have the closest possible connection to the Agency.

Final European Council summit of 2016 takes place On Thursday 15 December, the European Council summit took place in Brussels.31 Heads of State or Government discussed migration, security, economic and social development, youth, Cyprus, and external relations. Leaders adopted a Decision on the EU-Ukraine Association Agreement, setting out their “common understanding” of what the Agreement means. It is hoped that this will alleviate Dutch concerns and allow the Netherlands to ratify the deal. After the summit, the EU 27 held an informal dinner to discuss Brexit, and released a statement

26 Further details relating to the visa suspension mechanism can be found here - http://www.europarl.europa.eu/news/en/news-room/20161209IPR55424/reimposing-visas-meps- back-emergency-brake-measures 27 Further details relating to the Georgian agreement can be found here - http://www.europarl.europa.eu/sides/getDoc.do?type=IM- PRESS&reference=20161213IPR55952&language=EN&format=XML 28 Further details on the new EU Agency for Asylum can be found here - http://www.europarl.europa.eu/sides/getDoc.do?type=IM- PRESS&reference=20161208IPR55203&language=EN&format=XML 29 See Commission press release at http://europa.eu/rapid/press-release_IP-16-4398_en.htm 30 See Brussels Bulletin No. 496 31 See Council press release at http://www.consilium.europa.eu/en/press/press-releases/2016/12/15- euco-conclusions-final/ ______Track national parliament scrutiny at www.ipex.eu 12 Brussels Bulletin No. 526: 6 January 2017

setting out the procedural arrangements for the negotiations. 32 On Wednesday 14 December, before the European Council meeting, MEPs debated the summit agenda at an EP plenary session in Strasbourg. With the draft Conclusions already circulating, some MEPs expressed their unhappiness at the proposed role of the EP.33 Following the debate, EP President Martin Schulz wrote to European Council President Donald Tusk expressing “disappointment” at the way that the European Council draft conclusions referred to the EP’s involvement in talks.34 Schulz stated that if the EP’s “secondary role” was to be confirmed, MEPs could consider establishing their own negotiations with and the UK Government. With the Conclusions agreed unamended, on Friday 16 December Schulz tweeted: “disappointing EU27 conclusion on Brexit procedures. Involvement of EP unsatisfactory. Successful negotiation process requires EP ownership”.

ECJ rules that EU-Singapore FTA is a mixed competence Agreement On Wednesday 21 December, the European Court of Justice (ECJ) ruled that the EU-Singapore Free Trade Agreement must be ratified by both the EU and Member States.35 The EU and Singapore completed talks on the FTA in October 2014, but the final stage of approval and agreement had been postponed due to the Opinion requested from the ECJ. The Commission was of the view that the EU had “exclusive competence” to conclude the agreement, meaning that only agreement by Member States in Council and the EP was required. ECJ Advocate General Eleanor Sharpston, however, found that as certain parts of the Agreement fell within the shared competence of the EU and the Member States, it could only be concluded by the EU and its Member States acting jointly. In practise, this means ratification by Member States according to their internal procedures, a process that is likely to delay formal ratification of the deal. Some commentators have suggested that the ruling now sets a precedent for future Free Trade Agreements, including a possible future EU-UK trade deal.

Sir Ivan Rogers to stand down as UK Ambassador to the EU On Tuesday 3 January 2017, it was announced that Sir Ivan Rogers would be standing down as Permanent Representative of the UK to the European Union. The following day, the UK Government announced that Sir Ivan would be succeeded by Sir Tim Barrow. Sir Tim is currently Political Director at the Foreign and Commonwealth Office, and has also held diplomatic roles in Moscow, Kiev and Brussels.

32 Available at http://www.consilium.europa.eu/en/press/press-releases/2016/12/15-statement- informal-meeting-27/ 33 The Council conclusions stated that the EP would not be present during the negotiations themselves, but that representatives would be invited to European Council preparatory meetings. 34 See EP press release at http://www.europarl.europa.eu/news/en/news- room/20161214IPR56183/grave-consequences-if-parliament-is-all-but-excluded-from-eu-brexit-talks 35 See http://curia.europa.eu/jcms/upload/docs/application/pdf/2016-12/cp160147en.pdf ______Track national parliament scrutiny at www.ipex.eu

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Brussels Bulletin No. 526: 6 January 2017

Calendar Maltese Presidency: forthcoming formal and informal Council meetings (January to June 2017)

3 February: Informal meeting of the 27 Heads of State or Government

9-10 March: European Council

22-23 June: European Council

Maltese Presidency: forthcoming inter-parliamentary meetings in Valletta and Brussels (January to June 2017)

22-23 January: COSAC Chairpersons Meeting

31 January-1 February: Inter-parliamentary Conference on Stability, Economic Coordination and Governance in the European Union (Brussels)

23-24 March: Chairpersons’ Meeting of the Committees on Social Affairs

6-7 April: Chairpersons’ Meeting of the Economic and Environmental Affairs Committee

26-28 April: Inter-parliamentary Conference for the Common Foreign and Security Policy (CFSP) and the Common Security and Defence Policy (CSDP)

28-30 May: COSAC Plenary Meeting

Forthcoming inter-parliamentary Committee meetings (ICMs) in the European Parliament

30-31 January: European Parliamentary Week 2017: Conference on the European Semester

27-28 February (tbc): ICM: “State of play of the CFSP/CSDP” (organised by the EP’s Foreign Affairs Committee)

28 February: ICM: “Reform of the Common European Asylum System” (organised by the EP’s Civil Liberties, Justice and Home Affairs Committee)

8-9 March: ICM on the occasion of the 2017 International Women's Day, on “Women’s Economic Empowerment: Let’s act together” (organised by the EP's Women's Rights and Gender Equality Committee)

22/23 March (tbc): ICM: “Safeguarding the best interest of the child across the EU” (organised by the EP's Petitions and Legal Affairs Committees)

April or May: ICM: “The future of regional policy after 2020” (organised by the EP's Regional Development Committee)

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Alison Groves [email protected]; [email protected] Fraser McIntosh [email protected]; [email protected]

House of Commons, UK National Parliament Office, Brussels

00 32 2 284 3703/4656 (Brussels) (#6 24 3703/4656 from Westminster) 00 33 3 88 17 6846/6842 (Strasbourg) (#6 23 6846/6842 from Westminster)

Mobile: 00 32 486 646948 / 0032 486 646949

Website: www.parliament.uk/npo

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