The European Union

Question 1

EU Institutions

Answer 1

1 European Commission

2 European Parliament

3 Council of the European Union

4 European Court of Auditors

5 Court of Justice of the European Union (CJEU)

6 European Investment Bank (EIB).

Question 2

What is the European Commission?

Answer 2

Responsible for the day-to-day running of of the EU. It consists of one commissioner from each EU member state, appointed by their own government. They meet once a week in Brussels.

Question 3

Functions of the European Commission

Answer 3

A. Proposes new laws: It consults experts, interest groups and the public to identify new laws that are needed to protect the EU and its citizens. It proposes these laws to the European Parliament and the Council of the EU.

B. Enforces EU laws: It enforces EU laws and can bring cases of breaches of these laws to the Court of Justice of the European Union (CJEU).

C. Represents the EU internationally: It represents all EU member states when negotiating international agreements on behalf of the EU, e.g. trade agreements with Japan.

D. Formulates and monitors the EU’s budget: It draws up the annual budget for approval by the European Parliament and the Council of the EU. The Commission also monitors the EU budget to ensure that it is used appropriately.

Question 4

What is the European Parliament?

Answer 4

The European Parliament is the only directly elected EU institution, with elections held every five years. The Parliament, which is based in Strasbourg, consists of 751 MEPS (Members of the European Parliament). The number of seats allocated per country is based on the population of each member state.

The President of the European Parliament is elected for a renewable two and a half-year term and acts as a representative of the EU to other EU institutions and with institutions around the world.

Question 5

Functions of the European Parliament

Answer 5

A. Passing laws: It debates laws proposed by the European Commission. It can accept, reject or amend these proposals.

B. Supervisory powers: It supervises the work of the European Commission. The Commission must submit regular reports to the European Parliament.

C. Appointments: It appoints the President of the European Commission and auditors to the EU Court of Auditors.

D. Preparation and approval of the EU budget: It helps to prepare the EU’s annual budget. The budget is agreed between the European Parliament and the Council of the European Union. The Parliament monitors the EU budget to ensure that funds are spent appropriately.

Question 6

Council of the European Union

Answer 6

The Council of the European Union and the European Parliament make up the main decision-making body in the EU. The Council consists of ministers from EU member states, who meet regularly. The topic to be discussed at the meetings of the Council determines which government ministers attend. For example, if the ministers have the authority to vote on behalf of their country on topics discussed at the meetings foreign trade is to be discussed, the minister responsible for foreign trade in each EU country attends. The presidency is held by each member country in turn, rotating every six months.

Question 7

Functions of the Council of the European Union

Answer 7

A. EU laws: Through a process known as co-decision, the Council of the European Union and the European Parliament negotiate and adopt EU laws proposed by the European Commission.

B. EU budget: It agrees the EU budget with the European Parliament. The budget is usually approved in December and begins on the 1st January the following year.

C. EU common policies: It is responsible for creating common policies across the EU, e.g. security, defence and humanitarian aid.

D. International agreements: It gives the European Commission permission to negotiate agreements behalf of the EU with non-EU countries, and international organisations. These agreements can cover a range of areas, including transport, trade and technology.

Question 8

What is the European Court of Auditors?

Answer 8

The European Court of Auditors is responsible for ensuring that EU funds are raised and used correctly. It also aims to improve management of EU finances. Each member state has one representative in the the European Court of Auditors.

Question 9

Functions of the European Court of Auditors

Answer 9

A. Audits: It conducts audits to ensure that money collected and spent in the EU is done so appropriately and gives the best value for money to EU citizens.

B. Reports: It publishes audit reports with findings and recommendations for national governments and the European Commission. It also produces an annual report for the European Parliament and the Council of the EU

C. Fraud: It reports any suspicions of fraud and corruption to the European Anti-Fraud Office (OLAF).

D. Spot checks: It conducts spot checks on any organisation or individual responsible for handling EU funds, including EU institutions such as the European Commission, individual EU countries and countries that receive EU aid.

Question 10

What is the CJEU?

Answer 10

Court of Justice of the European Union (CJEU)

The CJEU is responsible for ensuring that EU laws are applied in the same way in each EU member country. It also monitors EU countries and EU institutions to ensure that they are abiding by EU laws

Question 11

Functions of the CJEU

Answer 11

A. Advice to member countries: It can provide advice to the courts in member countries if they are unsure how EU laws should be applied.

B. Enforces EU laws: It can force EU member states to comply with EU laws. If an EU member is found to have broken EU laws, it must resolve the issue immediately. If a second case is brought against the country, it can be fined.

C. Cancels EU laws: It can cancel EU laws if it finds that these laws breach fundamental human rights. Cases to cancel laws can be brought by the European Commission, member country governments and individual EU citizens.

Question 12

What is the EIB?

Answer 12

European Investment Bank (EIB)

The EIB is jointly owned by EU member states and is based in Luxembourg. The EIB is responsible for providing funding to projects that help to achieve the aims and objectives of the European Union.

The EIB aims to:
Improve opportunities for jobs and growth in the EU.
Support projects which help to reduce climate change.
Promote EU policies around the world.

Question 13

Services of the EIB

Answer 13

A. Lending: The EIB lends money to clients, e.g. local authorities and universities, for projects that aim to increase growth and jobs in the EU.

B. Guarantor: It acts as a guarantor on loans for EU projects and this may encourage other investors to invest in projects.

C. Advising: The EIB offers advice and technical assistance to clients to ensure that the borrower gets the best value for the money borrowed.

Question 14

The Decision-Making Process in the EU

Answer 14

1. Consultation: The European Commission proposes laws to be introduced in the EU. The Commission consults with interest groups, experts and citizens to find out their views on what legislation is needed in the European Union.
2. Legislation proposal - first reading: The European Parliament and the Council of the European Union review the proposed laws sent by the Commission. At this stage the proposals can be accepted, rejected or amended. If the Council and the Parliament agree on the proposals, the legislation is adopted.
3. Legislation proposal - second reading: A second reading takes place if the European Parliament and the Council of the European Union cannot agree on the proposed legislation. At this stage both bodies can suggest amendments to the proposals. If the Council and the Parliament agree on the proposals at the second reading, the legislation is adopted.
4. Conciliation committee: If an agreement cannot be reached on the proposed legislation after the second reading, the issue is referred to a conciliation committee. If the committee cannot help the European Parliament and the Council of the European Union to reach agreement, the proposed legislation is not adopted.
5. Third and final reading: There are no further amendments allowed at this reading. Both the European Parliament and the Council of the European Commission may give the final draft their approval. The law is adopted and becomes a piece of EU legislation.

Question 15

EU Legislation

Answer 15

1 Directive
2 Regulation
3 Recommendation
4 Decision

Question 16

Directive

Answer 16

A directive is a law that applies to all EU member states, and which must be implemented within a specified time limit. Each member state can choose how they will implement the directive in their own country.

Question 17

Regulation

Answer 17

This means that laws are introduced and enforced in the same way across all EU member states. EU regulations take precedence over national laws.

Question 18

Recommendation

Answer 18

EU recommendations are not legally binding but give EU institutions the opportunity to make their views known on particular issues or concerns.

Question 19

Decision

Answer 19

Decisions can be given to individuals, businesses and member states. These decisions can be made by the Council of the European Union and the European Commission. Decisions are binding and are often used for rulings on proposed business mergers.

Question 20

Methods used to influence decision makers

Answer 20

Lobbying - An interest group tries to influence decision makers by outlining their views of the group on particular issues. This interest group wants their opinions to be taken into account when the decision makers make the decision

Establishing Offices - Some interest groups establish a permanent office in Brussels/Strasbourg so that staff may monitor developments.

Publicity Campaigns - These campaigns aim to increase public awareness of an issue concerning the interest group.

Question 21

EU policies

Answer 21

1. CAP (Common Agricultural Policy)
2. CFP (Common Fisheries Policy)
3. Competition Policy
4. ESM (European Single Market)
5. EMU (European Monetary Union)
6. EU Social Charter
7. EU Regional Policy

Question 22

Bemefits of EU membership

Answer 22

1 Single market: The single market has helped Irish businesses recruit workers, obtain goods and services at more competitive prices and enabled Irish citizens to travel freely within EU countries.

2 Agriculture: Agricultural methods in Ireland have improved due to funding from the CAP. Irish farmers have been guaranteed prices for their produce, which has led to a higher standard of living.

3. Education: Funding from the EU has increased the number of students in Ireland attending third-level institutions. EU study schemes such as Erasmus have allowed Irish students to study at other EU third-level institutions.
4. Larger market: Free trade has enabled Irish businesses to sell to a large market of EU customers. This can help to increase a firm’s sales and profits.
5. Consumers: Irish consumers benefit from access to a wider range of goods and services at lower prices because of our membership of the EU. Products are also safer due to EU legislation relating to product safety

Question 23

Drawbacks of EU membership

Answer 23

1. Decision-making: Some EU decisions benefit the majority of member states but may not be in the best interests of Ireland.
2. Business closure: A significant number of small Irish businesses have been unable to compete with larger and more efficient EU firms. This has led to business closures and job losses.
3. The euro: As part of the eurozone, Ireland can be impacted by an increase in the value of the euro. This can make Irish exports more expensive and lead to a decrease in sales and profits for Irish firms.
4. Brexit: The Irish export market is closely linked to the UK and there are concerns that after Brexit the UK will reintroduce tariffs and other protectionist measures. These will make Irish exports more expensive and could lead to a fall in sales and profits for Irish firms.

Question 24

Opportunities facing the EU

Answer 24

1. Enlargement: A number of countries want to join the EU. This would increase the potential market size for businesses and help to increase business sales and profits.
2. Improve institutions: EU institutions are known for their complex procedures and slow decision- making. The EU has the opportunity to simplify these procedures and give its institutions the ability to react faster to changes in the EU.
3. EMU expansion: An increase in the number of eurozone countries would help consumers to compare prices across member states and increase tourism, as tourists would not have to change currency.
4. Budgetary reform: Many member states have criticised the amount of money allocated to agriculture in the EU budget. Some critics believe that budgetary reform is needed to reallocate funding to other areas such as transport, education and employment.

Question 25

Challenges facing the EU

Answer 25

Countries leaving the EU: The exit of the UK from the EU could encourage other member states to leave. This could result in the reintroduction across Europe of trade barriers such as tariffs.

Corporation tax: Pressure has been placed on the Irish government to increase corporation tax in line with other EU countries. If this happens it would reduce the country’s competitive advantage and transnational companies might locate in other countries instead of Ireland.

Refugees: The EU needs to develop a better common policy to deal with the large number of refugees, so that individual countries are not overwhelmed by a mass influx of migrants.

Climate change: The EU needs to increase its commitment to the European Climate Change Programme to ensure that all member states are working together to reduce their impact on climate change for future generations.