THE EUROPEAN COMMISSION 2019-2024 UPDATED OCTOBER 2020 THE EUROPEAN COMMISSION 2019-2024 On 27 November 2019, The European Parliament confirmed the new class of European Commissioners with 461 votes in favour, 157 against and 89 abstentions. The new President of the European Commission, Ursula von der Leyen, and her team of European Commissioners took office on 1 December 2019 and will drive the EU’s agenda for the next five years. President Von der Leyen, the former German defence minister, says that it will be a “geopolitical Commission,” signalling an intention to position Europe as a heavyweight on the world stage. Here Clifford Chance experts, including Of Counsel Michel Petite who worked for EU institutions for 27 years and was legal adviser to three Commission Presidents, assess the priorities for the von der Leyen Commission. The composition of the given oversight of major policy areas for Commission the EU. Frans Timmermans from the Netherlands is in charge of DG Climate Ursula von der Leyen is the first woman Action (CLIMA). Valdis Dombrovskis from to hold the position of President of the Latvia was given DG Financial Stability, European Commission. She urged Financial Services and Capital Markets Member States to nominate Union (FISMA), and replaces Phil Logan Commissioners that would allow her to on Trade. Margrethe Vestager from build a gender-balanced team. In this Denmark retains responsibility for DG respect, she has been successful. Competition (COMP). “This is a new Von der Leyen’s initial team of feature,” says Petite, “the appointment Commissioners was constituted of of three Executive Vice-Presidents signals 12 women and 15 men. This was already that the Commission will work through a the largest proportion of women of hard core of heavyweights, with a great any Commission, and a significant deal of experience, who will be at the improvement compared with forefront of all decisions taken.” Jean-Claude Juncker’s Commission, where the ratio of men to women was In contrast to her predecessor 2:1. Following the resignation of Phil Jean-Claude Juncker’s “political Hogan in August 2020, and his Commission” von der Leyen says that replacement as Ireland’s Commissioner the Commission will be “a guardian of by Mairead McGuinness, the proportion multilateralism,” as it deals with a range of women is even greater, 13 women to of challenges such as the continuing 14 men. Michel Petite says: “All the refugee crisis, an unpredictable and Commissioners have first class protectionist US, the rise of China and pro-European credentials, and the an increasingly hostile Russia. She has gender balance has been addressed, appointed a number of Commissioners – which is great.” including Margrethe Vestager, the former Commissioner for Competition who now President von der Leyen has also widens her portfolio to include tech. overhauled the structure of the In addition, she has created a new Commission. There are now eight department charged with overseeing Vice-Presidents, three of whom are defence and space policy, which Executive Vice-Presidents – Valdis Washington may regard as a challenge Dombrovskis, Frans Timmermans and to the US-led NATO alliance. Margrethe Vestager, representing the three largest political groups. These three new Executive Vice-Presidents have been 2 CLIFFORD CHANCE THE EUROPEAN COMMISSION 2019-2024 Von der Leyen’s State of forward a strategy to strengthen LGBTQI the Union Address rights and push for mutual recognition of family relations in the EU, concluding: On 16 September 2020, President von “If you are a parent in one country, you der Leyen gave her first State of the are a parent in every country”. Union Address to the European Parliament. Unsurprisingly, the speech focused heavily on the Covid-19 A rocky start for the Von pandemic. Von der Leyen talked about der Leyen Commission strengthening the European Health After securing the top post in the Union, and committed to the creation of European Commission with a majority of a European BARDA, an agency for only nine votes from MEPs, von der biomedical advanced research and Leyen faced a number of set-backs development set up to improve EU before taking office. She suffered capacity and readiness to respond to numerous delays to the Commissioner crises such as Covid-19. confirmation procedure and, as a result, her class of Commissioners were delayed Among the other areas of focus were by one month in taking office, with the climate change and the digital economy. previous Commission staying on beyond Von der Leyen made new commitments their term in a “caretaker” capacity. She on the climate, increasing the 2030 target also received widespread criticism for her for emissions reduction from 40% to decision to create a portfolio for 55%, with a promise to revise European “protecting our European way of life”, climate and energy regulation in order to which she later changed to “promoting meet this target. The European the European way of life.” Parliament has subsequently backed an even more ambitious target of 60% Phil Hogan’s early exit – a emissions reductions. strategic loss for Ireland On the digital economy, von der Leyen Then, in August 2020, Ireland’s said she wanted to make this “Europe’s Commissioner Phil Hogan, in charge of digital decade”. She described Europe as trade, was forced to resign following a having been “too slow” on personal data political scandal. The Commissioner such that there is no common EU data attended a dinner (along with other space and we are now “dependent on notable Irish politicians) amidst others”, and set forth a plan to avoid the nationwide lockdown rules which were in same happening on industrial data. place because of the Covid-19 On artificial intelligence, she wants a “set pandemic. The media uproar that of rules that puts people at the centre”. followed led the Irish Taoiseach (Prime She also made commitments for the Minister), Micheál Martin and Tánaiste creation of a European e-identity, and on (Deputy Prime Minister) Leo Varadkar to improving connectivity, particularly in rural ask Hogan to “consider his position”, areas, as well as an investment of EUR 8 eventually bringing about his resignation. billion for the next generation of supercomputers. Hogan was yet to settle into the role of Trade Commissioner. Following the early On international relations, von der Leyen retirement of Roberto Azevêdo from the urged Member States to move away from role of Director General of the WTO, unanimity and towards qualified majority Hogan had toyed with the idea of putting “at least on human rights and sanctions his name forward to replace Azevêdo. implementation”, two areas where the EU Concerned by a potential conflict of has recently struggled to agree a interests, von der Leyen was forced to common position. impose restrictions on Hogan pending his decision, including restricting him from In her closing remarks, von der Leyen speaking publicly and requiring sign-off addressed the issue of equality. She from Executive Vice President Valdis talked of her desire to build a “a truly Dombrovskis on any trade policy anti-racist Union” and has committed to decisions. In the end, Hogan decided not appointing the Commission’s first-ever to apply, commenting that the “important anti-racism coordinator. She will also put EU Trade Agenda requires the full and CLIFFORD CHANCE 3 THE EUROPEAN COMMISSION 2019-2024 careful involvement of the European data strategy and there is already an Union and in particular, the Trade industrial policy for defence and space. Commissioner”. Less than two-months later, he had tendered his resignation. Thierry Breton France has been given an extremely As a result of Hogan’s resignation, Ireland important portfolio, bringing together two have lost the coveted Trade portfolio. DGs and creating a third to put Thierry Already an important policy area, it was Breton in charge of the internal market, especially significant for Ireland given the including the Digital Single Market (DSM), ongoing negotiations with the UK on a defence and space. The new DG future trade relationship. Ireland is the Defence Industry and Space has come UK’s closest neighbour and the only out of DG GROW, which had grown too country in Europe with a land border with big and unwieldy. It is also the first time the United Kingdom. Mairead that digital has been brought into the fold McGuinness, Phil Hogan’s replacement, of the internal market, emphasising the takes over on Financial Stability, Financial importance of creating a real DSM. Services and the Capital Markets Union. Valdis Dombrovskis Other notable Following Phil Hogan’s resignation, Valdis appointments Dombrovskis, one of von der Leyen’s Executive Vice Presidents, adds Trade to Margrethe Vestager his already broad economic portfolio, Her nomination as an Executive Vice- “An Economy that Works for People”. President is not only a reflection of her This is the first time that an Executive performance in the previous Commission, Vice President has been in charge of but also of the improved results of the Trade, indicating the growing importance Liberal group (Renew), which currently of trade for the Commission. includes seven heads of government Michel Petite says: “Dombrowski’s across the EU and won 108 seats in status and broad portfolio is impressive. May’s European Parliament elections. It reflects a new, holistic approach to the This is the first time a Competition EU economy, and a more political Commissioner has remained in post for a approach to the trade issues.” second term. In the past, it was considered too powerful and too sensitive a position to remain in the hands of the same person for two terms. What is not clear is how Vestager will manage the competition portfolio alongside the additional responsibility of leading on digital issues, a challenge which Vestager herself acknowledged in her hearing before the European Parliament.