COMMISSION OF THE EUROPEAN COMMUNITIES Brussels, 13.11.2001 SEC(2001) 1746 2001 REGULAR REPORT ON THE CZECH REPUBLIC'S PROGRESS TOWARDS ACCESSION 1 2001 REGULAR REPORT ON THE CZECH REPUBLIC’S PROGRESS TOWARDS ACCESSION *********************** 2 Table of contents A. Introduction.................................................................................... 6 a) Preface .....................................................................................................................6 b) Relations between the European Union and the Czech Republic.................8 Recent developments under the Association Agreement (including bilateral trade)............ 8 Accession Partnership / National Programme for the Adoption of the Acquis .................. 9 Community aid .............................................................................................................. 9 Twinning ..................................................................................................................... 13 Negotiations / screening............................................................................................... 14 B. Criteria for membership.............................................................15 1. Political criteria ............................................................................. 15 Introduction................................................................................................................. 15 Recent developments................................................................................................... 16 1.1. Democracy and the rule of law...........................................................................16 The Parliament ............................................................................................................ 16 The executive .............................................................................................................. 17 The judicial system...................................................................................................... 18 Anti-corruption measures............................................................................................. 20 1.2. Human rights and the protection of minorities .............................................21 Civil and political rights................................................................................................ 22 Economic, social and cultural rights.............................................................................. 24 Minority rights and the protection of minorities.............................................................. 24 1.3. General evaluation...............................................................................................26 2. Economic criteria .......................................................................... 28 2.1. Introduction...........................................................................................................28 2.2. Economic developments......................................................................................28 2.3. Assessment in terms of the Copenhagen criteria...........................................32 The existence of a functioning market economy ............................................................ 32 The capacity to cope with competitive pressure and market forces within the Union...... 37 2.4. General evaluation...............................................................................................39 3. Ability to assume the obligations of membership.......................... 40 Introduction................................................................................................................. 40 3.1. The chapters of the acquis....................................................................................42 Chapter 1: Free movement of goods....................................................................42 Overall assessment ...................................................................................................... 43 Chapter 2: Free movement of persons ................................................................46 3 Overall assessment ...................................................................................................... 46 Chapter 3: Free movement of services................................................................47 Overall assessment ...................................................................................................... 48 Chapter 4: Free movement of capital .................................................................50 Overall assessment ...................................................................................................... 51 Chapter 5: Company law.......................................................................................51 Overall assessment ...................................................................................................... 52 Chapter 6: Competition policy..............................................................................53 Overall assessment ...................................................................................................... 54 Chapter 7: Agriculture..........................................................................................54 Overall assessment ...................................................................................................... 58 Chapter 8: Fisheries..............................................................................................59 Overall assessment ...................................................................................................... 60 Chapter 9: Transport policy.................................................................................60 Overall assessment ...................................................................................................... 61 Chapter 10: Taxation ............................................................................................62 Overall assessment ...................................................................................................... 63 Chapter 11: Economic and monetary union.......................................................64 Overall assessment ...................................................................................................... 64 Chapter 12: Statistics............................................................................................65 Overall assessment ...................................................................................................... 66 Chapter 13: Social policy and employment........................................................67 Overall assessment ...................................................................................................... 68 Chapter 14: Energy................................................................................................70 Overall assessment ...................................................................................................... 72 Chapter 15: Industrial policy...............................................................................74 Overall assessment ...................................................................................................... 75 Chapter 16: Small and medium-sized enterprises...........................................75 Overall assessment ...................................................................................................... 76 Chapter 17: Science and research......................................................................76 Overall assessment ...................................................................................................... 77 Chapter 18: Education and training...................................................................77 Overall assessment ...................................................................................................... 78 Chapter 19: Telecommunications and information technologies...................78 Overall assessment ...................................................................................................... 79 Chapter 20: Culture and audio-visual policy.....................................................80 Overall assessment ...................................................................................................... 80 Chapter 21: Regional policy and co-ordination of structural instruments...80 Overall assessment ...................................................................................................... 81 4 Chapter 22: Environment......................................................................................83 Overall assessment ...................................................................................................... 84 Chapter 23: Consumers and health protection..................................................85 Overall assessment ...................................................................................................... 86 Chapter 24 - Co-operation in the fields of justice and home affairs .............88 Overall assessment ...................................................................................................... 90 Chapter 25: Customs union ..................................................................................93 Overall assessment ...................................................................................................... 94 Chapter