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Europaudvalget 2010-11 (1. samling), Det Udenrigspolitiske Nævn 2010-11 (1. samling)
Det Europæiske Råd 4/2-11 Bilag 6, UPN Alm.del Bilag 85
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EUROPEAN COUNCIL

Brussels, 4 February 2011

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CO EUR 2

CONCL 1

COVER NOTE

from :

General Secretariat of the Council

to :

Delegations

Subject :

EUROPEAN COUNCIL

4 FEBRUARY 2011

CONCLUSIONS

Delegations will find attached the conclusions of the European Council (4 February 2011).

________________________

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Conclusions – 4 February 2011

Beyond the immediate action required to tackle the most pressing challenges posed by the

economic and financial crisis, it is important to continue laying solid foundations for a

sustainable and job-creating growth. This is the purpose of the Europe 2020 Strategy for jobs

and growth adopted last June. Today, the European Council focused on two sectors – energy

and innovation – which are key to Europe's future growth and prosperity. It agreed on a

number of priority actions whose implementation will contribute much to enhancing growth

and job creation as well as promoting Europe's competitiveness.

ENERGY

Safe, secure, sustainable and affordable energy contributing to European competitiveness

remains a priority for Europe. Action at the EU level can and must bring added value to that

objective. Over the years, a lot of work has been carried out on the main strands of an EU

energy policy, including the setting of ambitious energy and climate change objectives and

the adoption of comprehensive legislation supporting these objectives. Today's meeting of the

European Council underlined the EU's commitment to these goals through a number of

operational conclusions, as set out below.

The EU needs a fully functioning, interconnected and integrated

internal energy market.

Legislation on the internal energy market must therefore be speedily and fully implemented

by Member States in full respect of the agreed deadlines. Council and European Parliament

are invited to work towards the early adoption of the Commission's proposal for a Regulation

on energy markets integrity and transparency.

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Conclusions – 4 February 2011

The internal market should be completed by 2014 so as to allow gas and electricity to flow

freely. This requires in particular that in cooperation with ACER national regulators and

transmission systems operators step up their work on market coupling and guidelines and on

network codes applicable across European networks. Member States, in liaison with European

standardization bodies and industry, are invited to accelerate work with a view to adopting

technical standards for electric vehicle charging systems by mid-2011 and for smart grids and

meters by the end of 2012. The Commission will regularly report on the functioning of the

internal energy market, paying particular attention to consumers

including the more

vulnerable ones

in line with the Council conclusions of 3 December 2010.

Major efforts are needed to modernise and expand Europe's energy infrastructure and to

interconnect networks across borders, in line with the priorities identified by the Commission

communication on energy infrastructure. This is crucial to ensure that solidarity between

Member States will become operational, that alternative supply/transit routes and sources of

energy will materialise and that renewables will develop and compete with traditional sources.

It is important to streamline and improve authorisation procedures, while respecting national

competences and procedures, for the building of new infrastructure; the European Council

looks forward to the forthcoming proposal from the Commission in that respect. The various

initiatives undertaken by Member States to integrate markets and networks at a regional level

as well as those outlined in the Commission communication contribute to the objective and

deserve support. No EU Member State should remain isolated from the European gas and

electricity networks after 2015 or see its energy security jeopardized by lack of the

appropriate connections.

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Conclusions – 4 February 2011

The bulk of the important financing costs for infrastructure investments will have to be

delivered by the market, with costs recovered through tariffs. It is vital to promote a

regulatory framework attractive to investment. Particular attention should be given to the

setting of tariffs in a transparent and non-discriminatory manner at levels consistent with

financing needs and to the appropriate cost allocation for cross-border investments, enhancing

competition and competitiveness and taking account of the impact on consumers. However,

some projects that would be justified from a security of supply/solidarity perspective, but are

unable to attract enough market-based finance, may require some limited public finance to

leverage private funding. Such projects should be selected on the basis of clear and

transparent criteria. The Commission is invited to report by June 2011 to the Council on

figures on the investments likely to be needed, on suggestions on how to respond to financing

requirements and on how to address possible obstacles to infrastructure investment.

In order to further enhance its security of supply, Europe's potential for sustainable extraction

and use of conventional and unconventional (shale gas and oil shale) fossil fuel resources

should be assessed.

Investments in

energy efficiency

enhance competitiveness and support security of energy

supply and sustainability at low cost. The 2020 20% energy efficiency target as agreed by the

June 2010 European Council, which is presently not on track, must be delivered. This requires

determined action to tap the considerable potential for higher energy savings of buildings,

transport and products and processes. As of 1 January 2012, all Member States should include

energy efficiency standards taking account of the EU headline target in public procurement

for relevant public buildings and services. The Council is invited to promptly examine the

upcoming Commission proposal for a new Energy Efficiency Plan, setting out in more detail a

series of policies and measures across the full energy supply chain. It will review the

implementation of the EU energy efficiency target by 2013 and consider further measures if

necessary.

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Conclusions – 4 February 2011

The Commission is invited to strengthen its work with Member States on the implementation

of the

Renewable Energy

Directive, in particular as regards consistent national support

schemes and cooperation mechanisms.

10.

The EU and its Member States will promote investment in

renewables and safe and

sustainable low carbon technologies

and focus on implementing the technology priorities

established in the European Strategic Energy Technology plan. The Commission is invited to

table new initiatives on smart grids, including those linked to the development of clean

vehicles, energy storage, sustainable bio fuels and energy saving solutions for cities.

11.

There is a need for better coordination of EU and Member States' activities with a view to

ensuring consistency and coherence in the EU’s

external relations

with key producer, transit,

and consumer countries. The Commission is invited to submit by June 2011 a communication

on security of supply and international cooperation aimed at further improving the

consistency and coherence of the EU's external action in the field of energy. The Member

States are invited to inform from 1 January 2012 the Commission on all their new and

existing bilateral energy agreements with third countries; the Commission will make this

information available to all other Member states in an appropriate form, having regard to the

need for protection of commercially sensitive information. The High Representative is invited

to take fully account of the energy security dimension in her work. Energy security should

also be fully reflected in the EU's neighbourhood policy.

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Conclusions – 4 February 2011

12.

The EU should take initiatives in line with the Treaties in the relevant international fora and

develop mutually beneficial energy partnerships with key players and around strategic

corridors, covering a wide range of issues, including regulatory approaches, on all subjects of

common interest, such as energy security, safe and sustainable low carbon technologies,

energy efficiency, investment environment maintaining and promoting the highest standards

for nuclear safety. It should encourage neighbouring countries to embrace its relevant internal

energy market rules, notably by extending and deepening the Energy Community Treaty and

promoting regional cooperation initiatives. In the context of the Energy Strategy 2020 it

should also develop measures as necessary to ensure a level playing field for EU power

producers vis-à-vis producers outside the European Economic Area. Europe needs to diversify

its routes and sources of supply. The Commission is accordingly invited to continue its efforts

to facilitate the development of strategic corridors for the transport of large volumes of gas

such as the Southern Corridor.

13.

Work should be taken forward as early as possible to develop a reliable, transparent and rules-

based partnership with Russia in areas of common interest in the field of energy and as part of

the negotiations on the post-Partnership and Cooperation Agreement process and in the light

of on-going work on the Partnership for Modernization and the Energy Dialogue.

14.

The EU will cooperate with third countries in order to address the volatility of energy prices

and will take this work forward within the G20.

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Conclusions – 4 February 2011

15.

The European Council looked forward to the elaboration of a

low carbon 2050 strategy

providing the framework for the longer term action in the energy and other related sectors.

Reaching the EU objective, in the context of necessary reductions according to the IPCC by

developed countries as a group, of reducing greenhouse gas emissions by 80-95% by 2050

compared to 1990 as agreed in October 2009 will require a revolution in energy systems,

which must start now. Due consideration should be given to fixing intermediary stages

towards reaching the 2050 objective. The European Council will keep developments under

review on a regular basis.

II.

INNOVATION

16.

Investment in education, research, technology and innovation is a key driver of growth, and

innovative ideas that can be turned into new marketable products and services help create

growth and quality jobs. The European Council called for the implementation of a strategic

and integrated approach to boosting innovation and taking full advantage of Europe's

intellectual capital, to the benefit of citizens, companies - in particular SMEs - and

researchers. It will monitor progress in the framework of the follow up to the Europe 2020

Strategy.

17.

In this connection, the European Council noted the trends and developments revealed by the

current Commission innovation scoreboard. It invited the Commission to quickly develop a

single integrated indicator to allow a better monitoring of progress in innovation. It will keep

developments concerning the above under review.

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Conclusions – 4 February 2011

18.

Innovation contributes to tackling the most critical

societal challenges

we are facing.

Europe’s expertise and resources must be mobilized in a coherent manner and synergies

between the EU and the Member States must be fostered in order to ensure that innovations

with a societal benefit get to the market quicker. Joint programming should be developed. The

launch of the pilot Innovation Partnership on active and healthy ageing is an important step in

that context. Regular monitoring by the Council will be necessary in order to reach long term

objectives as well as concrete goals to be fixed year by year. The Council will take the

necessary political decisions on future Innovation Partnerships before they are launched.

19.

Europe needs a unified research area to attract talent and investment. Remaining gaps must

therefore be addressed rapidly and the

European Research Area

completed by 2014 to

create a genuine single market for knowledge, research and innovation. In particular, efforts

should be made to improve the mobility and career prospects of researchers, the mobility of

graduate students and the attractiveness of Europe for foreign researchers. Furthermore,

information about publicly financed R&D should be better disseminated, whilst respecting

intellectual property rights, notably through the establishment of an inventory of EU-funded

R&D, linked to similar inventories of R&D programmes funded at national level.

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Conclusions – 4 February 2011

20.

Private investment in innovative products and services should be encouraged, in particular by

improving

framework conditions.

In this regard, the Commission is invited to:



make proposals to accelerate, simplify and modernize standardization procedures,

notably to allow standards developed by industry to be turned into European standards

under certain conditions;



provide guidance on the application of the Directives on public procurement; more

generally public procurement should be better geared to creating greater demand for

innovative goods and services;



conduct a mid-term review of the relevant State aid frameworks during 2011;

explore options for setting up an intellectual property rights valorisation instrument at

the European level, in particular to ease SMEs' access to the knowledge market and to

report back to the Council by the end of 2011.

21.

The Commission is invited to make rapid progress in key areas of the digital economy to

ensure the creation of the Digital Single Market by 2015, including the promotion and

protection of creativity, the development of e-commerce and the availability of public sector

information

22.

Every effort should be pursued to lift remaining legal and administrative obstacles to the

cross-border operation of venture capital. The Commission is invited to present proposals by

the end of 2011:



for putting in place an EU-wide venture capital scheme building on the EIF and other

relevant financial institutions and in cooperation with national operators;

for scaling up the Risk Sharing Finance Facility;

and for assessing how best to meet the needs of fast growing innovative companies

through a market-based approach. In this connection the Commission is also invited to

explore the feasibility of a Small Business Innovation Research Scheme.

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Conclusions – 4 February 2011

23.

In conducting fiscal consolidation, Member States should give priority to

sustainable

growth-friendly expenditure

in areas such as research and innovation, education and energy.

24.

Such efforts should be coupled with clear reform measures aimed at boosting the

effectiveness of Member States' research and innovation systems. At national level, Member

States recall their willingness to devote at least 50% of ETS revenue to finance climate-

related action, including innovative projects. They should also improve the use of existing

Structural Funds allocated to research and innovation projects.

25.

It is crucial that EU instruments aimed at fostering R&D&I be simplified in order to facilitate

their take-up by the best scientists and the most innovative companies, in particular by

agreeing between the relevant institutions a new balance between trust and control and

between risk taking and risk avoidance. The Commission is invited to make proposals by the

end of the year, ensuring that the full range of research and innovation financing instruments

work together within a common strategic framework. The development of financing

mechanisms adequate for the financing of major European projects that are important drivers

for research and innovation should be explored. It is more than ever crucial to improve the

efficiency of public expenditure at national and EU levels. In this connection, the

simplification of the financial regulation should be adopted by the end of the year in order to

ensure effective delivery mechanisms for EU policies.

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Conclusions – 4 February 2011

III. ECONOMIC SITUATION

26.

The European Council reviewed the economic situation and noted that the overall economic

outlook is improving although important challenges still remain. It agreed on the way forward

to the March European Council.

27.

The European Council called on the Council to reach in March a general approach on the

Commission's legislative proposals on economic governance, ensuring full implementation of

the recommendations of the Task Force, so as to reach a final agreement with the EP by the

end of June. This will allow strengthening the Stability and Growth Pact and implementing a

new macroeconomic framework.

28.

It called on the European Banking Authority and other relevant authorities to conduct

ambitious stress tests and on Member States to ensure that concrete plans, compliant with EU

State aid rules, are in place to deal with any bank that demonstrates vulnerabilities in the

stress tests.

29.

In the context of the European Semester and on the basis of the Annual Growth Survey

presented by the Commission, the March European Council will identify the priorities for

structural reforms and fiscal consolidation for the next round of stability and convergence

programmes as well as in the EU's areas of competence, including the single market. On this

basis, and steered by the Europe 2020 integrated guidelines, Member States are invited to

submit in April their national reform programmes as well as their stability or convergence

programmes.

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Conclusions – 4 February 2011

30.

The March European Council will also adopt the final decision on the limited treaty change to

set up the European Stability Mechanism.

31.

The European Council welcomed the attached Statement by the Heads of State or government

of the euro area and the EU institutions.

IV. EXTERNAL RELATIONS

32.

The European Council adopted a declaration on Egypt and the region (annex II).

33.

The European Council emphasised that developments in the Mediterranean region make it

even more urgent to respect previous peace agreements and to achieve rapid progress in the

Middle East Peace Process. It expressed the expectation that the Quartet meeting on 5

February 2011 in Munich will make a substantive contribution to this process.

34.

The European Council endorsed the conclusions on Belarus adopted by the Foreign Affairs

Council on 31 January, including the decision to impose restrictive measures. The European

Union reiterates its strong commitment to strengthening its engagement with Belarussian civil

society. The European Union remains committed to its policy of critical engagement,

including through dialogue and the Eastern Partnership, conditional on the respect for the

principles of democracy, the rule of law and human rights. The Foreign Affairs Council will

regularly re-examine the situation in Belarus and stand ready to consider further targeted

measures in all areas as appropriate.

________________________

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Conclusions – 4 February 2011

ANNEX I

STATEMENT BY THE HEADS OF STATE OR GOVERNMENT OF THE EURO AREA

AND THE EU INSTITUTIONS

Following their December 2010 Statement, and reiterating their readiness to do whatever is required

to ensure the stability of the euro area as a whole, the Heads of State or government of the euro area

and the EU institutions reviewed progress in the implementation of the comprehensive strategy to

preserve financial stability and ensure that the euro area will emerge stronger from the crisis.

This strategy includes the legislative package on economic governance, the stress tests and the

financial sector repair, and the implementation of the European semester. In addition, they agreed

on the following steps as part of the global package to be finalized in March:



Continued successful implementation of existing programmes with Greece and Ireland.

Assessment by the Commission, in liaison with the ECB, of progress made in euro area

Member States in the implementation of measures taken to strengthen fiscal positions

and growth prospects.

Concrete proposals by the Eurogroup on the strengthening of the EFSF so as to ensure

the necessary effectiveness to provide adequate support.

Finalization under the chairmanship of the President of the Eurogroup of the operational

features of the European Stability Mechanism in line with the mandate agreed upon in

December.



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ANNEX I

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Conclusions – 4 February 2011

Building on the new economic governance framework, Heads of State or government will take

further steps to achieve a new quality of economic policy coordination in the euro area to improve

competitiveness, thereby leading to a higher degree of convergence, without undermining the single

market. Non-euro members will be invited to participate in the coordination. The President of the

European Council will undertake consultations with the Heads of State or government of the euro

area Member States and report back, identifying concrete ways forward in line with the Treaty. To

this effect, he will closely cooperate with the President of the Commission. He will ensure that the

Heads of State or government of the interested non-euro area Member States are duly involved in

the process.

_____________________

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ANNEX I

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Conclusions – 4 February 2011

ANNEX II

DECLARATION ON EGYPT AND THE REGION

The European Council is following with utmost concern the deteriorating situation in Egypt. It

condemned in the strongest terms the violence and all those who use and encourage violence. It

emphasised the right of all citizens to demonstrate freely and peacefully, under due protection from

law enforcement authorities. Any attempt to restrict the free flow of information, including

aggression and intimidation directed against journalists and human rights defenders, is

unacceptable.

The European Council called on the Egyptian authorities to meet the aspirations of the Egyptian

people with political reform not repression. All parties should show restraint and avoid further

violence and begin an orderly transition to a broad-based government. The European Council

underlined that this transition process must start now. The basis for the EU's relationship with Egypt

must be the principles set out in the Association Agreement and the commitments made.

The European Council saluted the peaceful and dignified expression by the Tunisian and Egyptian

people of their legitimate, democratic, economic and social aspirations which are in accordance

with the values the European Union promotes for itself and throughout the world. The European

Council emphasised that the citizens' democratic aspirations should be addressed through dialogue

and political reform with full respect for human rights and fundamental freedoms, and through free

and fair elections. It called on all parties to engage in a meaningful dialogue to that end.

The European Union is determined to lend its full support to the transition processes towards

democratic governance, pluralism, improved opportunities for economic prosperity and social

inclusion, and strengthened regional stability. The European Council is committed to a new

partnership involving more effective support in the future to those countries which are pursuing

political and economic reforms including through the European Neighbourhood Policy and the

Union for the Mediterranean.

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ANNEX II

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Conclusions – 4 February 2011

In this context, the European Council



asked the High Representative to convey our message on her forthcoming visit to

Tunisia and Egypt;



invited the High Representative within the framework of this partnership to develop a

package of measures aimed at lending European Union support to the transition and

transformation processes (strengthening democratic institutions, promoting democratic

governance and social justice, and assisting the preparation and conduct of free and fair

elections); and to link the European Neighbourhood Policy and Union for the

Mediterranean more to these objectives; and



invited the High Representative and the Commission to adapt rapidly the instruments of

the European Union, to make humanitarian aid available and to propose measures and

projects to stimulate cooperation, exchange and investment in the region with the aim of

promoting economic and social development, including advanced status for Tunisia.

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ANNEX II