Archive for the ‘European Union’ Category

Britain Seeks To Renege On Renewable Energy Goals As It Leaves European Union – CleanTechnica

Published on April 17th, 2017 | by Steve Hanley

April 17th, 2017 by Steve Hanley

Britain has set a goal of 15% renewable energy by 2020. Today, it is has about half that, which means it will need to go very far, very fast to meet the target. If it fails to do so, it could face fines from the European Union totaling tens of millions of pounds. In an effort to avoid that fate, the British government is looking to abandon its renewable energy goal entirely, while maintaining its links to European markets and preserving its ability to participate in cross-border electrical energy trading with neighboring countries.

Not so fast, the members of the European Union say. So deeply do the economic and cultural ties between the UK and the EU go, the negotiations to unwind them may take up to 10 years to complete.EU leaders want to make sure Britain doesnt get to cherry pick the provisions that favor it most and ignore the rest.

Politicians in the European Parliament adopted a resolution last Wednesday that opposed piecemeal or industry-specific deals between the EU and Britain as one of its conditions for approving the UKs withdrawal arrangement. The lawmakers agreed that any future deal is conditional on the UK continuing to stick with the EUs policies on climate change and the environment.

Backing away from its renewable energy goals would put the UK at odds with other European Union nations that maintain targets as part of their membership in the regions energy market. While renewable targets and electricity market rules are negotiated differently, they link at the level of political discussions.

There is a risk that energy gets wrapped up in the wider political negotiation, with the EU seeking to make access to the Internal Energy Market subject to the U.K. signing up to future energy and environment legislation, said Simon Virley, head of power and utilities at KPMG. He is a former director-general of the UKs energy and climate ministry. That is when it could get difficult.

The move is an example of Prime Minister Theresa Mays government seeking to maintain the most advantageous parts of the EU relationship while scrapping rules that raise hackles in the business community. The EUs internal energy market is a package of assets, codes, and rules that allow intra-day trading across borders. Britain wants to build up those links as part of its effort to maintain electricity supplies as aging power plants retire from service.

Britain already has power links with about 4 gigawatts of capacity according to National Grid, and that could reach about 18 gigawatts by the mid 2030s. In all future scenarios, the UK will remain a net importer of electricity until the early 2030s, the grid operator predicts. Power links with other countries are key to reducing the cost of electricity in the UK, since each gigawatt from foreign resources has the potential to reduce wholesale prices by as much as 2 percent says National Grid.

Some countries that are not part of the EU, such as Norway, have cross-border energy agreements in place and are part of the internal energy market. Switzerland, however, is not part of the EU and has been negotiating deals on energy separately with the EU for more than a decade. It is not allowed to participate in intra-day trading of electricity, according to Antony Froggatt, an analyst at the Chatham House research group in London. It is possible the UK would like to follow the Swiss example as it seeks to chart its own course as it separates from the EU.

A spokesperson for the British government insists the county remains committed to tacking climate change and will meet all targets while we remain part of the EU. The UK is seeking to avoid further constraints on its energy mix imposed by the EU, according to the official. We are proposing a bold and ambitious trade agreement that covers sectors crucial to our linked economies, including network industries, the officialsaid.

The problem is, the UK is actively trying to break free of what it considers the EU stranglehold, which seems to make its commitment to those climate change objectives rather weak tea. The government has given the lie to its own rosy pronouncements, however. Recently, it slashed incentives for residential rooftop solar installations by cutting the feed-in tariff rate (known in the US as net metering) by two thirds, according to The Guardian. Not surprisingly, installation rates of new rooftop solar have plummeted by 75% in the past few months. Many solar installers have gone bankrupt, throwing thousands of people employed in the solar industry out of work.

A government official, sounding like Donald Trump himself, concocted this pile of blather to explain the governments move:Its only fair that the costs on peoples energy bills to support solar projects should come down as the industry establishes itself and costs fall. Ultimately, we want a low carbon energy sector that can stand on its own two feet rather than relying on subsidies. Spoken like it came right from the desk of Charles and David Koch, which it very well may have.

Fossil fuel interests love to bleat about subsidies while racking in over $5 trillion in direct and indirect subsidies a year, according to the International Monetary Fund. The Koch Brothers and the multiple fake research organizations they fund always gloss over that fact while they talk about leveling the playing field and how government shouldnt be picking winners and losers, even though they routinely shovel barrels full of money to elected officials to make sure their interests get first priority. It is no coincidence that the talking points we read about in the British press are the same as the one we here in the US and in other countries, like Australia.

In England, adhering to climate targets is favored by 85% of Conservative party voters according to a survey released by Bright Blue, a UK think tank, on Tuesday.There is no mandate from Conservatives to dilute current environmental regulation, said Sam Hall, senior researcher at Bright Blue. There are a handful of prominent Conservatives who are skeptical about environmental challenges and policies. The mainstream of Conservative voters do not support scaling back current EU environmental regulations.

The unfortunate part of the British government turning its back on renewable energy targets is two-fold. First, the 2020 target of 15% is ridiculously low in the first place. Lowering it further borders on insanity. Second, it will act as a disincentive to investors thinking of backing renewable energy projects in England. Investors value stable markets more than anything else. If basic government policies can be altered so easily at the whim of a few self-interested politicians, what reason is there to support renewable energy investments going forward?

England is mad because regulators in Brussels are seen as meddlesome fools who only want to burden the UK with silly regulations. Echoes of that same argument are heard on the other side of the Atlantic from those who are taking a sledgehammer to the EPA, NASA, and any other government-funded climate research organizations. The timing of those two trends is far from accidental, as fossil fuel interests continue their quest to burn every molecule of hydrocarbons in existence for their own profit.

The voters could bring this destructive behavior to a halt, but they are overwhelmed by the tidal wave of false information pouring forth from the organizations who spout the fossil fuel party line. Which leads to this question: What good will all that wealth do anyone after the earth is stripped of its ability to support humanity? The wealthy are doomed to perish along with the hoi polloi. Do they think somehow they will be spared to enjoy an idyllic existence with but a few thousand other lucky souls? Apparently so.

Source: Bloomberg

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Tags: Brexit, Climate change, EY renewable energy goals, Global Weirding, Paris climate accords, solar power industry, UK renewable energy goals

Steve Hanley writes about the interface between technology and sustainability from his home in Rhode Island. You can follow him onGoogle +and onTwitter.

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Britain Seeks To Renege On Renewable Energy Goals As It Leaves European Union - CleanTechnica

EU launches essay writing competition – Philippine Star

MANILA, Philippines Do you have a tale you have been longing to tell? A message to convey? Ideas to express? Now is your chance to be heard.

The Delegation of the European Union to the Philippines (EU) is giving you the chance to share with the world your thoughts, stories, and experiences.

The EU is hosting "What's EUr Story?," an essay competition that aims to shine the spotlight on European experiences and influences of young Filipinos. All you need to do is to share your personal, friends or familys adventures in Europe or tell about your experiences with European nationals in the Philippines. You may also write about how you may have worked with any of the European Unions NGO (non-government organizations) or Civil Society Organization partners or just simply how one or a group of Europeans made an impact on you.

Write about how European culture has inspired you in your work, or personal life or even your local community. Share your story and get the chance to win prizes and the opportunity to have your work published here and abroad.

European Union Ambassador Franz Jessen expressed his excitement over the possibilities that the contest opens up. As he said, "The Philippines is such a unique melting pot of cultures and Filipinos are truly global citizens, with communities all over the world. Philippine history is rich and Filipinos are also very quick to embrace new trends and technologies. The different experiences of the Filipinos have led to interesting narratives which we cant wait to hear. These factors make it very exciting for us to be able to gain insights into the imprint that modern European culture has also left on young Filipinos.

The competition is open to all Filipino citizens aged 16 to 35 years old. The contest will be divided into three categories: High School Students, College Students and an Open Category.

Lifestyle Feature - Travel ( Article MRec ), pagematch: 1, sectionmatch: 1

Entries will be accepted online from April 1 to May 12. The submitted essays will be assessed by a panel of judges that includes National Artist for Literature F. Sionil Jose and Ambassador Jessen.

An iPad tablet will be awarded to the grand winner, which will be selected among the three category winners. The other two category winners will receive a smartphone as prize. Ten best works will also be selected from the finalists in each category, and will be included in a compendium of the best essays submitted in the competition. The compendium will be registered under the publications of the European Union.

Apart from being included in an anthology of literary works that will be published by the EU, the grand winner, along with the other winners from each category of the competition, will have his or her winning essay featured on Philstar.com, the competitions official online media partner.

All winners will be honored at an awarding ceremony to be announced by the EU.

If you have a story to tell that you want to share, visit the "Whats EUr Story" Facebook page at facebook.com/WhatsEUrStory to see the complete competition requirements and mechanics.

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EU launches essay writing competition - Philippine Star

Consumers for Dental Choice: European Union in Final Stages of … – PR Newswire (press release)

That's because when the world's largest consumer of dental amalgam Europe makes the well-vetted judgement that this proven neurotoxin is a major threat to children, their mothers and our environment, the focus now shifts to the FDA whose policy inexplicably calls for "greater" use ofmercury-based fillings, putting America well outside the margins of the current science.

Specifically, the EU action will ban dental amalgam mercury so called "silver" fillings in:

The EU's move is spurred by an international agreement called the Minamata Convention under which the nations of the world commit to specific measures to lessen the damage caused by mercury including dental mercury -- to the environment.With the EU vote, Europe also commits to developing a specific plan to reduce its overall use of dental amalgam and to decide if, and when, it will totally phase out the use of dental mercury as EU member nation Sweden did earlier in its own country.

According to Charles Brown, whose organization Consumers for Dental Choice played a major advocacy role in both assuring the Minamata Convention prioritized dental mercury and for the EU's first ever partial ban of amalgam: "Minamata, the groundbreaking EU action and commitments by governments on every continent, have dramatically moved global scientific and policy consensus toward a world without the dangers of dental mercury, especially when it comes to protecting developing children.What this means is that America because of the FDA's 19th Century commitment to even greater use of dental mercury is now swimming upstream and becomes the global outlier."

The use of mercury-based dental fillings are especially pernicious in the US because of a concerted effort by the dental industry and the FDA to hide their true identity behind misleading names like "amalgam" and "silver fillings". A recent national survey conducted by Zogby Analytics on behalf of Consumers for Dental Choice found that a clear majority (57 percent) of Americans including the parents of young children -- did not know that toxic mercury is the principle component of these fillings.

To send a strong message to the FDA that it's time to follow the EU's lead in banning dental mercury for children and their mothers, Consumers for Dental Choice has set up an official Citizen Petition calling on the agency to catch up with the world scientific consensus by immediately banning dental amalgam for use on children, pregnant women and nursing mothers.

In Brown's words: "The FDA needs to hear from as many Americans as possible that we demand the same kinds of basic health and environmental protections from dental mercury as EU citizens have.The FDA needs to know that it's longer acceptable to be on the wrong side of history when the lives and futures of America's children and their communities are at stake."

Click HERE to sign the petition.

For further information:Brian Morris, Morris Communications, 614/226-3292, bmorris@morriscommunications.com; Charlie Brown, Consumers for Dental Choice, charlie@toxicteeth.org

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/consumers-for-dental-choice-european-union-in-final-stages-of-banning-mercury-amalgam-fillings-in-children-pregnant-women-and-nursing-mothers-300440240.html

SOURCE Consumers for Dental Choice

http://www.toxicteeth.org

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Consumers for Dental Choice: European Union in Final Stages of ... - PR Newswire (press release)

The European Union: A Critical Assessment | Cato Institute

Introduction

What is the European Union, and what has it accomplished? This is how the EU answers those questions: The EU is unlike anything elseit isnt a government, an association of states, or an international organization. Rather, the 28 Member States have relinquished part of their sovereignty to EU institutions, with many decisions made at the European level. The European Union has delivered more than 60 years of peace, stability, and prosperity in Europe, helped raise our citizens living standards, launched a single European currency (the euro), and is progressively building a single Europe-wide free market for goods, services, people, and capital (my emphasis).1

This self-congratulatory assessment of the EUs achievements is deeply problematic. Consider peace and stability. The EUs narrative ignores, for example, the roles played by Germanys unconditional surrender, Anglo-American occupation of West Germany, the rise of the communist threat in the East, and the creation of the North Atlantic Treaty Organizationall of which preceded the creation of the first and extremely tentative pan-European institutions. It also ignores the EUs failure to deal with the Yugoslav crisis in the early 1990s, which was eventually resolved by the application of American military strength. Moreover, many Europeans see the EU as responsible for the growing instability in Europe. As will be explained in greater detail below, they see monetary policy as a source of friction between nation states, with the relatively well-off Germany and Austria on one side, and the failing Greece and stagnating Italy on the other side. The same is true of the EUs failure to come up with an effective response to the recent wave of immigrants from the Middle East and North Africa, thus pitting the generally welcoming German government against the unwelcoming governments in Central and Eastern Europe.

Consider, also, prosperity. The role of the Marshall Plan in stimulating economic growth is, at best, controversial, but omitting it altogether from the EUs narrative of Europes post-war recovery is self-serving.2 Similarly, Western European economies began to recover, as was to be expected, when the war ended and long before the birth of the first and extremely weak pan-European institutions. In fact, Western European economies experienced their most rapid expansion a decade before the first intra-European barriers to trade started to come down. That is not to say that intra-European trade liberalization was not beneficial. It was, beginning in the 1960s. In the meantime, Western Europe benefited from domestic reforms, such as Ludwig Erhards liberalization of the West German economy in 1948, and the global reduction of tariffs under the General Agreement on Tariffs and Trade (GATT), which started in 1947. The official EU narrative tends to omit all of the above inconvenient facts.

That is not to deny the strong desire for peace and prosperity among European peoples and their leadership after World War II. Rather, it will be argued that the EU institutions were, for the most part, ineffectual, and have increasingly become liabilities. As the example of Switzerland shows, there is no a priori reason to think that a looser cooperation between European states is incompatible with peace and prosperity.

The humble origins of the EU date back to the creation of the European Coal and Steel Community in 1951, which aimed to create a common market for coal and steel among its member states. The Treaty of Rome, signed in 1957, took economic integration a step further. The European Economic Community (EEC) created a common market and a customs union for the six original EU members: Belgium, France, Holland, Italy, Luxembourg, and West Germany. In return for partial liberalization of the movement of goods, services, people, and capital, the EEC members agreed to a French demand for central planning in agriculture, known as the Common Agricultural Policy (CAP).3 The CAP included price controls and production quotas that will be discussed, at greater length, below.

Over time, the EEC became synonymous with Western Europes post-war prosperity. While the two were partially coterminous, the former did not cause the latter. Research shows that the post-war boom in Western Europe was a result of reconstruction and internal economic reforms.4 Moreover, the positive effects of the reduction in intra-European tariffs under the EEC cannot be divorced from the positive effects of the reduction in global tariffs under the GATT. The two were happening at the same time. Still, even a generous interpretation of the role of the EEC on growth in Western Europe after 1958 must accept that, by that time the EEC was established, Western Europe was already well on its way to prosperity.

As an example, take West Germany. The West German post-war recovery started in 1948, when Ludwig Erhard reformed the currency and removed the Nazi price and wage controls, which had been kept in place by the victorious allies. The EEC came into effect in 1958 and intra-European tariffs on trade were not fully eliminated until 1968two decades after the beginning of the West German miracle.5 The EU and its precursors could not have been responsible for returning West Germany to growth or for its economic expansion during the 1950s.

Whatever the salutary effects of the EEC actually were, they did not last. By the mid- to late 1970s, West German Wirtschaftswunder, French trente glorieuses, and Italys il miracolo economico came to an end as stagflation set in. Far for being credited with Europes post-war prosperity, the EEC was considered a disappointment. It did not, contrary to popular opinion, upend protectionist policies among European nations and bring about higher growth.6 The Dooge Report of 1985 called for a fresh start. Under the Single European Act (SEA) of 1986, the national veto was replaced with qualified majority voting and European institutions were tasked with turning the common market into a truly free single market.7

The Single European Act of 1986 turned out to be a double-edged sword. The European Commission successfully broke down many internal barriers to trade. As a consequence, trade in goods is now largely free. The EU has also liberalized the movement of capital, and the Schengen Agreement, which was incorporated into the EU law by the Amsterdam Treaty of 1999, greatly liberalized the movement of people. When it comes to services, however, protectionism continues to reign. In the early 2000s, Frits Bolkestein, who was the EU Commissioner for the Internal Market, proposed the so-called Bolkestein directive, which would have greatly liberalized trade in services in the EU. His initiative failed.8 That is particularly disappointing, considering that services account for a majority of economic output in all EU economies.

The European institutions also used their new powers to overregulate economic activity. This process gathered speed after the signing of the Maastricht Treaty in 1992, which transformed the EEC into the EU. Hundreds of thousands of directives and regulationsdealing with everything from the labor market to the electric power consumption of toasterspoured and keep pouring out of Brussels.9 Today, many EU countries, including its richest and most competitive members such as Great Britain and Germany, regularly complain about decrees from Brussels.10 Thus, while Brussels managed to break down many economic barriers within the EU, it also made the EU less competitive vis--vis the rest of the world.11

From a humble free-trade area and a customs union among six Western European countries, the EU has grown into a supranational entity that governs many aspects of the daily lives of 508 million people spread across 28 European countries. While lacking sovereign power, the EU has its own flag, anthem, currency, president (five of them, actually), and a diplomatic service. Today, the EU is trying to grasp new powers, while, paradoxically, it is also facing mounting opposition and a growing probability of collapse. How did the EU get here?

There is an overwhelming consensus among economists that free trade stimulates economic growth.12 In fact, no country has ever become rich in isolation. Unfortunately, trade liberalization in Western Europe was a slow and uneven process. The actual benefits of intra-European trade liberalization are difficult to estimate, because intra-European trade liberalization was taking place alongside global trade liberalization.13 That process had begun, at the insistence of the United States, in 1947eleven years before the creation of the EEC.

Over time, intra-EU trade relative to trade with the rest of the world has grown less, not more, important to European prosperity. The costs of communications, financial transfers, and transportation have been greatly reduced since World War II, making global trade increasingly lucrative. Trade between the United States and the EU, for example, continues to grow, even though there is no free-trade agreement between the two.14 Similarly, British exports to the EU are growing at a slower pace than British exports to non-EU countries.15

Moreover, the economic benefits of intra-European trade have been undermined by overregulation. As centralization of decisionmaking in Brussels increased, Western European growth has declined (see Figure 1). Today, much of Europe is not growing at all. Some of Europes woes have nothing to do with the EU and are connected to changing demographicslow birth rates and an aging population. Yet Europe has also suffered from a number of self-inflicted wounds that go beyond overregulation.

The CAP, for example, has resulted in mountains of butter and lakes of milk. Those were later destroyed or dumped in Third World markets, where they undermined local producers.16 Accompanying the CAP was the Common Fisheries Policy that, instead of preserving Europes fish stocks through a quota system, nearly wiped them out. One Dutch study found that to maintain their quotas fishermen tipped two to four tons of dead fish overboard for every ton of fish headed for consumption.17

The Structural and Cohesion Funds (SCF), a system of transfer payments that used money from taxpayers in rich countries to try to spur growth and employment in Europes underdeveloped south, became a legendary boondoggle of financial misallocation and corruption.18 The European Court of Auditors has refused to sign off on the EU budget for 20 years in a rowciting irregularities.19

The euro was supposed to have led to increased growth, lower unemployment, and greater competitiveness and prosperity. According to 50 leading economists who were brought together by the pro-EU Centre for European Reform, there was a broad consensus that the euro had been a disappointment: the currency unions economic performance was very poor, and rather than bringing EU member-states together and fostering a closer sense of unity and common identity, the euro had divided countries and eroded confidence in the EU.20

In retrospect, it should be clear that the Eurozone was poorly designed. Its members have committed themselves to maintaining manageable levels of debt (capped at a maximum of 60 percent of GDP) and deficits (capped at a maximum of 3 percent per year). What the Eurozone lacked was a credible enforcement mechanism. Indeed, some of the biggest Eurozone members, including France and Germany, broke their debt and deficit commitments shortly after the launch of the common currency. Other countries followed suit.

Worse still, Eurozone membership has allowed some of Europes worst-managed economies to massively expand their debt by taking advantage of historically low interest rates. The markets lent money to Southern Europe, expecting that if problems arose they would be bailed out. The markets were correct. Thus, when the southern economies crashed, their creditorschiefly European bankswere bailed out at a massive cost to the European taxpayer. As ever, a problem that was created by deeper integration has led to calls for more Europe and the establishment of a fiscal union.21

In recent years, another serious problem has emerged: the mismanagement of mass immigration from Africa and the Middle East. While immigration can be a force for good, European countries have been generally unsuccessful at integrating foreigners. Much of that failure has to do with government policies, such as extensive welfare provisions and labor-market restrictions that keep immigrants out of the workforce, and some have to do with a particularly European understanding of nationhood, which is based on ethnicity, not citizenship. Rightly or wrongly, the failure of Europes immigration policy, which has allowed for a large influx of foreigners whom Brussels is now trying to forcefully redistribute among the member states, has succeeded in awakening an epic level of resentment.22

The euro bailout and the mishandling of the immigration crisis have elucidated one of the least appreciated, but one of the most consequential negative aspects of European integration: the assault on the rule of law.

Clearly, Article 125 of the Lisbon Treaty states that each EU member state is responsible for its own debts. It is inconceivable that the Eurozone would ever have been born without that vital stipulation, which was necessary to assuage the concerns of the German electorate. Moreover, Article 123 prohibits the European Central Bank from buying sovereign bonds in primary markets and sovereign bonds in secondary marketsif the latter is done for fiscal, as opposed to monetary, reasons. Brussels and Frankfurt have ignored both stipulations in order to keep Greece in the Eurozone.23

Similarly, the Dublin Regulation specifies that asylum applications by those who seek protection in the EU under terms of the Geneva Convention must be examined and processed at the point of entry, which is to say by the first EU member state that they have arrived in.24 Greece, and to a lesser extent Italy, have failed to fulfill their obligations and allowed hundreds of thousands, possibly millions, of asylum-seekers to migrate to other EU states, including Germany. The German government, in turn, has unilaterally decided to welcome these migrants only to then demand that they be proportionately distributed among other EU countries.

Putting the humanitarian question aside, even the EU member states which never received asylum-seekers, and which had no say in letting them into the EU at large, are now being forced to accommodate them.25 The member states have responded to the EU threats by breaking with their Schengen Area commitments and erecting barriers to keep the immigrants outthus exacerbating the assault on the rule of law in Europe.

In todays political discourse, democracy is often understood as majoritarian decisionmaking. That view of democracy is problematic, for, as history shows, majorities, too, can be tyrannical. Majoritarian rule, therefore, needs to be constrained by separation of powers, checks and balances, and constitutional guarantees.

But the term democracy has another important meaningthe ability of the electorate to choose and replace the government through free and fair elections. The choice, however, needs to be a meaningful one. What is the point of being able to choose between two or more candidates if none of them can effect specific policy changes? What is the point of having a vote if the real decisionmakers are unelected, unknown, and unaccountable? Those are the questions that are at the root of the EUs problem with the democratic deficit.

Over the years, EU member states have ceded a large number of policy areas, or competences, to the byzantine bureaucracy in Brussels. Some have been ceded completely, in which case elected public officials at the national level have no choice but to implement decisions made in Brussels. Some have been ceded partially, in which case elected public officials at the national level are limited in their ability to influence decisions made in Brussels. In both cases, the voters ability to effect changes of policy through their elected representatives and to hold those representatives responsible in free and fair elections is rendered meaningless.

The problem of the democratic deficit is compounded by two inconvenient facts. First, the nation-state remains the basic building block of international relations, including European. The national identities of European states have been evolving separately, and often in competition with one another, for hundreds, sometimes thousands, of years. The Greeks were first unified by the Argead dynasty in the 4th century BCE. A relative newcomer, England, was first unified a thousand years ago and developed a set of unique institutions, such as parliamentary sovereignty, which does not exist on the continent.

Second, a pan-European demos does not exist. For a vast majority of European peoples, being a European remains a geographical, not a political, distinction. Thus, while European travelers to the United States may say that they are from Europe, in Europe they almost always refer to themselves as being from Britain, France, Germany, or whatever country they are from. That is likely to continue, because most peoples identities are not formed by attachment to abstract principles such as liberty, equality, and fraternity, but by cultural, religious, historical, and linguistic ties.26

Bearing those points in mind, it is crucial to realize that the EU is undemocratic not by accident, but by design. The proponents of an ever closer union understand that there is no public support for anything resembling the United States of Europe. Jean-Claude Juncker, the current President of the EU Commission, summed up the decisionmaking process in Brussels thusly: We decide on something, leave it lying around and wait and see what happens. If no one kicks up a fuss, because most people dont understand what has been decided, we continue step by step until there is no turning back.27 When the French and the Dutch rebelled and voted against the EU Constitution in their 2005 referenda, they were ignoredand the EU Constitution, relabeled as the Lisbon Treaty, was adopted nevertheless.

Is it any surprise, therefore, that while the EU Commission and the EU Parliament grew in power and importance, the European peoples interest and participation in EU institutions have steadily declined? When the first election for the European Parliament was held in 1979, for example, 62 percent of eligible voters cast their vote. In every subsequent election, voter turnout has declined. It reached a nadir, 42.61 percent, in 2014.28

Unwittingly, the EU has become a driving force behind the rise of populist parties in Europe. These parties come from across the political spectrumfrom the far left to the far right. Often they have nothing in common except for their opposition to further European integration and a desire, at the very minimum, to repatriate some of the EU powers back to nation states. They are present in all EU countries and hold, remarkably, one-third of all seats in the European Parliament.

While some of these parties are more respectable than others, the EU often paints them with the same brush. Thus, people who happen to believe that the EU is a threat to liberal values, such as democratic accountability, are often treated with as much disdain as people who happen to believe in authoritarianism.

Consider the former vice president of the EU Commission, Margot Wallstrm. While visiting the Czech city of Terezin, which used to be a site of a Nazi concentration camp during World War II, Wallstrm linked the rejection of the EU Constitution to the return of the Holocaust. She said, They [opponents of the EU Constitution] want the European Union to go back to the old purely intergovernmental way of doing things. I say those people should come to Terezin and see where that old road leads.29

So, what are the reasons for the rise of populism in Europe? First, many Europeans, but especially the citizens of well-functioning democracies such as Denmark, Holland, and Great Britain, resent the democratic deficit. They feel that far too many decisions impacting their lives are being made in Brussels by people who are unelected, unknown, and unaccountable. This feeling is not as strong in the East, where democratic accountability is recent and deeply imperfect, but it is growing in countries such as the Czech Republic and Hungary.

Second, many Europeans see the EU as having failed in some of its core competences, including monetary and immigration policies. The Westerners do not wish to continue subsidizing the inefficient south, while the Easterners reject immigration from Africa and the Middle East. Calls for solidarity between European countries are resented and, increasingly, rejected.30 In the absence of a pan-European demos, citizens of Germany cannot understand why they should pay to bail out the Greeks, and citizens of Hungary cannot understand why they should take in some of the non-EU immigrants who have arrived in Germany.

Third, many Europeans feel a general sense of malaise and decline.31 To be fair, the blame for Europes woes does not rest with the EU alone. The national governments are also to blame. A growing number of Europeans are frustrated by the failure of the EU establishment and of the mainstream political parties at home to address low economic growth, high unemployment, mass immigration, and rising debt. By voting for populist parties, they are lashing out against the establishment.

The piecemeal amalgamation of 28 distinct cultures, polities, economies, and histories had proceeded apace in spite of a growing resentment among the European peoples.32 That process of unification may well have continued, unimpeded by popular sentiments, had the EU lived up to its own rhetoric and delivered prosperity and stability to the European continent. Regrettably, it has failed to deliver either.

Many thoughtful commentators have recognized the need for EU reforms. Many believe that such reform should include at least some repatriation of EU powers back to the nation states. Unfortunately, past experience with EU reform does not augur well for the future.

In 2000, for example, the Lisbon Agenda committed the EU to becoming the most competitive and dynamic knowledge-based economy in the world capable of sustainable economic growth with more and better jobs and greater social cohesion by 2010.33 Nothing was done to reverse decades of EU overregulation and the Swedish Presidency of the EU declared the Lisbon Agenda a failure in 2009.34

The Lisbon Agenda was replaced by a reform program called Europe 2020. According to the EU Commission itself, The [2008] crisis has wiped out years of economic and social progress and exposed structural weaknesses in Europes economy. In the meantime, the world is moving fast and long-term challengesglobalization, pressure on resources, ageingintensify.35 Astonishingly, the document does not mention deregulation at all and the only reference to global competitiveness is in the context of the EU support for the development of a strong and sustainable industrial base.36 This is a thin gruel indeed!

In fact, the EU has shown itself incapable of serious reform even when faced with possible disintegration. Prime Minister David Camerons desire to fundamentally change Great Britains relationship with the EU has met with stubborn refusal in Brussels to consider anything but cosmetic modifications to existing treaties.37 For example, Cameron asked for national parliaments to have the ability to block legislation originating in Brussels. What he got instead was a promise that if more than 50 percent of EU parliaments raise concerns over an EU proposal, the EU Commission will reconsider it. This red card process is immensely difficult to implement and, probably, legally unenforceable.38 Considering that the EU has refused to reform with the British referendum on EU membership hanging, so to speak, over its head, whats the likelihood that the EU will reform once the danger of Brexit has passed?

The real problem for those who wish to see EU reforms is that the EU establishment has a strong incentive to centralize decisionmaking in Brussels rather than decentralize. Quite aside from the ideological commitment of the EU bureaucrats to the creation of a United States of Europe, which they may or may not believe in, centralization of power is in their interest. It increases their power and resources.

Yet, a blueprint for reform is available, for there is a European country that has not experienced international conflict since 1815 or civil strife since 1848; a country that trades freely with the EU, but also with the rest of the world; a country that is richer than all EU countries, except for Luxemburg; and a country that maintains a world-beating degree of domestic harmony and democratic accountability; a country that is not a part of the EUs political or economic integration process, but which deals with the EU at an intergovernmental level via a series of bilateral treaties. That country is Switzerland.

It is often claimed that the EU expansion into ex-communist countries was one of its greatest accomplishments. As one author notes, the prospect of European integration created pressure to reform Eastern European economies and strengthen the rule of law.39

That is partially true. In Slovakia, for example, the prospect of the EU membership certainly played a part in defeating an authoritarian and protectionist government and replacing it with one committed to democratic and economic reforms.40 In the economically free Estonia, on the other hand, EU membership meant reimposition of tariffs and a consequent partial decline in economic freedom.41

Still, there is no denying that all ex-communist members of the EU enjoy a higher degree of political freedom than non-EU ex-communist countries, such as Serbia, Montenegro, Macedonia, and Ukraine, let alone the politically unfree Belarus.42 Electoral shenanigans are rare and governments come and go in accordance with the will of the people. That is, after all, why they were admitted into the EU in the first place.

But, when it comes to the creation of liberal democracy, the picture is, at best, mixed. In general, the rule of law has improved and corruption declined in ex-communist countries during the EU accession talks. Unfortunately, these salutary trends have stalled since the ex-communist countries entered the EU.43 Indeed, some evidence suggests that disbursement of Structural and Cohesion funds has exacerbated ex-communist countries problem with corruption.44

Last, but not least, consider the impact of EU regulations on ex-communist countries. Productivity across the EU differs widely. In 2015, for example, GDP per capita in Luxembourg, the EUs richest state, was 14.9 times higher than that in Bulgaria, the EUs poorest state. In contrast, GDP per capita in North Dakota, which is Americas richest state, is only slightly more than 2.1 times higher than that in Mississippi, Americas poorest state.45

By definition, regulations emanating from Brussels must be applied equally throughout the EU. Unavoidably, regulations that add to the cost of production have a more deleterious effect on less productive ex-communist countries than on more productive Western European nations. Eastern countries are growing increasingly resentful of regulations, which are often made to enhance the already high standards that exist in the West and which are often meant to protect the interests of Western producers.

I started my career as a believer in the European integration process. Central Europe, where I was born, was impoverished by communism, and membership of the EU seemed like a solution to many economic and political problems in ex-communist countries. Over time, I started to see the costs as well as the benefits of the EU. It was only much later that I came to believe that the costs of EU membership far outweigh its benefits. While this was a gradual process, one event greatly helped to convince me that the EU has become pernicious and must be stopped. That event was the EUs handling of the French and Dutch referenda on the EU Constitution in 2005.

After the people of France and Holland rejected the EU Constitution in their respective referenda, the EU establishment relabeled it as the Lisbon Treaty and adopted it nonetheless. This act of supreme arrogance convinced me that the EU establishment held the people of Europe in utter contempt and that it would stop at nothing in order to pursue its agenda of an ever closer union. It showed me that the EU bureaucrats see themselves as a class of wise experts who know how society ought to be organized. The memories of my childhood behind the Iron Curtain flooded back. And that brings me to my final point: does an enlightened class of technocrats have a right to make people free or happy or, simply, better off?

As I have explained, the EU is not only failing to address Europes problems, it exacerbates them. Moreover, it seems to be unable and unwilling to reform. With every electoral cycle, establishment parties committed to further European integration are growing weaker and anti-EU parties are getting closer to power. The EU has been very successful in plodding along, but its rearguard action cannot succeed indefinitely. At some point, one of the EUs 28 member states will elect an anti-EU government. I fear that the longer the EU establishment ignores its opponents, the more belligerent the latter will become.

As such, a negotiated parting of ways between the EU and countries that feel they can do better on their own makes more sense. Of course, there is no guarantee that all of the former EU members will make the right choices. I can imagine Prime Minister Boris Johnsons Great Britain becoming a global free-trade superpower. But, I can also imagine President Marine Le Pens France hunkering down behind a wall of protective tariffs. That said, I would rather see individual nation states make wrong choices than to force them to remain in the EU, thus increasing resentment and risking greater disruption down the line.

The EU has become a large pressure cooker with no safety valve. Large parts of Europe suffer from low growth, high unemployment, rising deficits, and stratospheric debts. To make matters worse, tensions between the people of Europe are increasing. Some feel that they are being forced to adopt policies they do not like, while others feel that they have to unfairly subsidize people with whom they have nothing in common. The EU could turn down the heat by repatriating many of its competences back to the nation states. That, alas, is not in its nature. The EU risks imploding in an uncontrolled way and if that happens, everyone will lose.

1. Delegation of the European Union to the United States, What is the European Union? http://www.euintheus.org/who-we-are/what-is-the-european-union/.

2. Doug Bandow, A Look Behind the Marshall Plan Mythology, Investors Business Daily, June 3, 1997, http://www.cato.org/publications/commentary/look-behind-marshall-plan-mythology.

3. John Gillingham, European Integration, 1950-2003: Superstate or New Market Economy? (Cambridge: Cambridge University Press, 2003), p. 197.

4. Richard Reichel, Germanys Postwar Growth: Miracle or Reconstruction Boom, Cato Journal 21, no. 3 (Winter 2002): 427-42.

5. The Abolition of Customs Barriers to Trade in the EU, Europedia, http://www.europedia.moussis.eu/books/Book_2/3/5/1/1/?all=1.

6. Natalie Chen and Dennis Novy, Barriers to Trade Within the European Union, University of Warwick, https://www2.warwick.ac.uk/fac/soc/economics/research/centres/eri/bulletin/2008-09-3/chen-novy/.

7. The European Single Market, EU Commission, http://ec.europa.eu/growth/single-market/index_en.htm.

8. Bolkestein Directive to Stay, but Will be Watered Down, Euractiv, March 23, 2005, http://www.euractiv.com/section/innovation-industry/news/bolkestein-directive-to-stay-but-will-be-watered-down/.

9. Matthew Holehouse, EU to Launch Kettle and Toaster Crackdown after Brexit Vote, Daily Telegraph (London), May 11, 2016, http://www.telegraph.co.uk/news/2016/05/10/eu-to-launch-kettle-and-toaster-crackdown-after-brexit-vote2/.

10. Szu Ping Chan, Germany Pleads with UK to Remain in EU to Fight Red Tape, Daily Telegraph (London), July 4, 2015, http://www.telegraph.co.uk/finance/economics/11718554/Germany-pleas-with-UK-to-remain-in-EU-to-fight-red-tape.html.

11. Lisa Urquhart, Regulations Will Make Europe Less Competitive, Financial Times (London), November 18, 2005, http://www.ft.com/intl/cms/s/0/8954808c-57d7-11da-8866-00000e25118c.html.

12. Gregory Mankiw, Economists Actually Agree on This: The Wisdom of Free Trade, New York Times, April 24, 2015, http://www.nytimes.com/2015/04/26/upshot/economists-actually-agree-on-this-point-the-wisdom-of-free-trade.html.

13. World Trade Organization, The Text of the General Agreement on Tariffs and Trade (Geneva: WTO, 1986), https://www.wto.org/english/docs_e/legal_e/gatt47.pdf.

14. Jayson Beckman, U.S. Beef Exports to the EU Grow Despite Trade Barriers, United States Department of Agriculture, April 6, 2015, http://www.ers.usda.gov/amber-waves/2015-april/us-beef-exports-to-the-eu-grow-despite-trade-barriers.

15. Peter Spence, The EUs Dwindling Importance to UK Trade in Three Charts, Daily Telegraph (London), June 26, 2015, http://www.telegraph.co.uk/finance/economics/11700443/The-EUs-dwindling-importance-to-UK-trade-in-three-charts.html.

16. Oxfam International, Dumping on the World: How EU Sugar Policies Hurt Poor Countries, Oxfam Briefing Paper no. 61 (March 2004), https://www.oxfam.org/sites/www.oxfam.org/files/bp61_sugar_dumping_0.pdf.

17. F. A. van Beek, Discarding in the Dutch Beam Trawl Fishery, International Council for the Exploration of the Sea (1998), Flanders Marine Institute, http://www.vliz.be/imisdocs/publications/138419.pdf.

18. Dalibor Rohac, How the European Union Corrupted Eastern Europe, National Review, March 26, 2014, http://www.nationalreview.com/agenda/378798/how-european-union-corrupted-eastern-europe-dalibor-rohac.

19. Benjamin Fox, Auditors Refuse to Sign Off EU Spending For 20th Year in a Row, EU Observer (Brussels), November 6, 2014, https://euobserver.com/news/126405.

20. Simon Tilford, John Springford, and Christian Odendahl, Has the Euro Been a Failure? Centre for European Reform, January 11, 2016, https://www.cer.org.uk/publications/archive/report/2016/has-euro-been-failure.

21. Justin Huggler, French Economy Minister Calls for Full Fiscal Union in Eurozone, Daily Telegraph (London), August 31, 2015, http://www.telegraph.co.uk/finance/economics/11835614/French-economy-minister-calls-for-full-fiscal-union-in-eurozone.html.

22. Voice of America, Anti-Migrant Protesters Rally in Several Major European Cities, VOA, February 6, 2016, http://www.voanews.com/content/anti-migrant-protesters-rally-european-cities/3179948.html.

23. Consolidated Version of the Treaty on the Functioning of the European Union, Eurlex, http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex%3A12012E%2FTXT.

24. Country Responsible for Asylum Application (Dublin), EU Commission, http://ec.europa.eu/dgs/home-affairs/what-we-do/policies/asylum/examination-of-applicants/index_en.htm.

25. Matthew Holehouse, EU to Fine Countries Hundreds of Millions of Pounds for Refusing to Take Refugees, Daily Telegraph (London), May 3, 2016, http://www.telegraph.co.uk/news/2016/05/03/eu-to-fine-countries-that-refuse-refugee-quota/.

26. European Commission, European Citizenship, Standard Eurobarometer no. 77 (Spring 2012), http://ec.europa.eu/public_opinion/archives/eb/eb77/eb77_citizen_en.pdf.

27. Bruno Waterfield, Jean-Claude Juncker Profile: When it Becomes Serious, You Have to Lie, Daily Telegraph (London), November 12, 2014, http://www.telegraph.co.uk/news/worldnews/europe/eu/10874230/Jean-Claude-Juncker-profile-When-it-becomes-serious-you-have-to-lie.html.

28. Results of the 2014 European Elections, EU Parliament, http://www.europarl.europa.eu/elections2014-results/en/turnout.html.

29. Raphael Minder, Commissioner under Fire Over Nazi Speech, Financial Times (London), May 13, 2005, http://www.ft.com/intl/cms/s/0/11f37e2e-c34b-11d9-abf1-00000e2511c8.html

30. Marian L. Tupy and Richard Sulik, The Limits of European Solidarity, Wall Street Journal, February 15, 2012, http://www.wsj.com/articles/SB10001424052970204795304577222833332928436.

31. Tony Barber, The Decline of Europe Is a Global Concern, Financial Times (London), December 21, 2015, https://next.ft.com/content/ddfd47e8-a404-11e5-873f-68411a84f346.

32. Lionel Beehner, European Union: The French and Dutch Referendums, Council on Foreign Relations, June 1, 2005, http://www.cfr.org/france/european-union-french-dutch-referendums/p8148.

33. European Parliament, Lisbon European Council 23 and 24 March 2000: Presidency Conclusions, http://www.europarl.europa.eu/summits/lis1_en.htm.

34. Sweden Admits Lisbon Agenda Failure, June 3, 2009, Euractiv, http://www.euractiv.com/section/eu-priorities-2020/news/sweden-admits-lisbon-agenda-failure/.

35. European Commission, Europe 2020: A Strategy for Smart, Sustainable and Inclusive Growth, March 3, 2010, http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2010:2020:FIN:EN:PDF.

36. Ibid.

37. British Broadcasting Corporation, EU Talks: Cameron Says UK Will Get New Deal in 2016, December 18, 2015, http://www.bbc.com/news/uk-politics-eu-referendum-35135049.

38. Mark Wallace, The Gap between What Cameron Asked For and What He Got, Conservative Home, February 3, 2016, http://www.conservativehome.com/thetorydiary/2016/02/the-gap-between-what-cameron-asked-for-and-what-he-got.html.

39. Dalibor Rohac, I Used to be Eurosceptic. Heres Why I Changed My Mind, American Enterprise Institute, March 30, 2016, https://www.aei.org/publication/i-used-to-be-euroskeptic-heres-why-i-changed-my-mind/.

40. European Parliament, Slovakia and the Enlargement of the European Union, Briefing no. 13 (2000), http://www.europarl.europa.eu/enlargement/briefings/13a2_en.htm.

41. Marian L. Tupy, At What Cost EU Membership? Wall Street Journal, April 29, 2012, http://www.wsj.com/articles/SB10001424052702303916904577373773633684722.

42. Freedom House, Freedom in the World 2016, https://www.freedomhouse.org/report-types/freedom-world.

43. World Bank, The Worldwide Governance Indicators, http://info.worldbank.org/governance/wgi/index.aspx#home.

Originally posted here:
The European Union: A Critical Assessment | Cato Institute

Marine Le Pen wants to kill the European Union. But it …

BRUSSELS Those who fear for the future of the European Union are confronting a painful paradox: Many of the strongest bids to tear apart the E.U. are being underwritten by E.U. cash.

France is careening toward a nail-biter presidential election this month that pits a crowded field against anti-E.U. titan Marine Le Pen. But E.U. funds pay her salary, support her assistants, and underwrite the conferences and books she churns out to attack the 28-nation bloc. Key British leaders of the successful Brexit campaign got their financial lifeline from Brussels euros. Elsewhere in Europe, self-identified fascists are paying for rallies to further the future of the white race by breaking up the E.U. all thanks to E.U. money.

[One of Europes most powerful jobs is up for grabs. Its a bad sign for the E.U. that no ones paying attention.]

With the European Union under threat as never before, lawmakers have been pushing to tighten generous rules that make it easy for fringe political parties to qualify for hundreds of thousands of euros every year. Bigger forces such as the European affiliate of Le Pens National Front party get millions because of their heft in elections for the European Parliament, an institution that is short on power but flush with cash.

Some groups, including Le Pens, are backed by a wide range of voters. But others have done little to qualify for money other than show a scattering of support across several European countries. Some lawmakers want to end funding for those organizations.

(Bastien Inzaurralde/The Washington Post)

We have free speech. They can do lots of things, but they should not be financed by a union that is bound to totally different values, said Marita Ulvskog, a Swedish center-left member of the European Parliament who is fighting to stop funding for extreme-right parties.

The group she has targeted, the Alliance for Peace and Freedom, is slated to receive $723,000 this year. Last year, some of that money went toward a conference where a British National Party leader, Nick Griffin, said that white people have a catastrophically low birthrate.

We already in most of our countries have so few young girls of childbearing age or younger that even if they each had 20 children, it would take us 80 years to restore our numbers, said Griffin, a former member of the European Parliament.

Another member of the Alliance for Peace and Freedom, European Parliament member Udo Voigt, was convicted in Germany of inciting racial hatred by advocating that the national soccer team include only white players.

While the Alliance for Peace and Freedom takes just a tiny share of E.U. funding, bigger far-right beneficiaries of E.U. money also pose a far more potent threat.

As an elected member of European Parliament, Le Pen can work full-time to undermine the E.U. because of her generous E.U. salary. Her E.U.-paid Euroskeptic assistants bolster her labor. Her pan-European party the Movement for a Europe of Nations and Freedom, an alliance of anti-E.U. lawmakers from across Europe receives yet more E.U. money. And still more official funding funnels to an affiliated think tank that sponsors anti-E.U. conferences and policy papers.

As many as a third of the European Parliaments 751 members are Euroskeptic, including 23 members of Le Pens National Front party.

When like Marine you come in with 23 seats, you get these mandates and assistance, said Gerolf Annemans, who is a leader of Le Pens pan-European parliamentary group and a member of Belgiums Euroskeptic Flemish Interest party. The various possibilities and means that you get are splendid to develop your political message.

After decades at Europes fringe, anti-E.U. parties blossomed during 2014 elections that delivered a powerful if fractious contingent to the European Parliament. Politicians benefited from a backlash to years of E.U.-driven austerity policies and a growing fear among voters that Europes open borders were hurting their job prospects.

[E.U. leaders toughen line over British divorce]

British members of the European Parliament as part of the U.K. Independence Party, or UKIP, led the successful charge to pull their country out of the E.U. Now Le Pen is leading French members of the European Parliament to deliver the death blow if she wins Frances presidency. European funding has been so critical to both groups that many politicians say the insurgents never would have threatened Europes entrenched establishment without it.

Without the European Parliament, you wouldnt have a UKIP or a [National Front] as powerful and cohesive as they are now, said Giles Merritt, a longtime observer of the E.U. who leads the pro-European Friends of Europe think tank.

With only national elections to run in, they probably would have died on the vine, Merritt said. But the fact they were able to get substantial numbers of people in Parliament, and through that, funding that has been significant in the whole populist tide.

In both France and Britain, a quirk of election law meant that small parties largely shut out of national politics could win big in the European Parliament. Le Pens National Front is the largest party in the French delegation to the European Parliament, but it holds only two of 577 seats in Frances National Assembly. Similarly, UKIP is the largest British party in Brussels but has no seats in the House of Commons.

Euroskeptic leaders have long turned to the European Parliament as a ready source of funds and legitimacy. Le Pens father, the founder of the National Front, has been elected to the body since 1984. UKIPs Nigel Farage has held office since 1999. But only after the 2014 elections did the money truly start to expand, since it is tied to the number of lawmakers holding office.

[Frances presidential election may determine the future of the European Union]

The resources available to E.U. lawmakers are wide-ranging, starting with their $108,000 annual salaries plus daily stipends when the European Parliament is in session. Each can hire up to three Brussels-based assistants and more in their home nation. E.U. funds also pay for offices back home.

Additional resources go toward pan-European political parties and affiliated policy think tanks. Le Pens Movement for a Europe of Nations and Freedom is slated to receive $1.8million this year. Its think tank, which funds publications such as Enough With the Euro! and sponsors anti-E.U. conferences, will receive another $1.1million.

Although the European Parliaments assistants and foundations technically are forbidden from political campaigning, the lines are blurry. Both mainstream and anti-E.U. leaders have been cited for mixing national politics with their legislative work.

The European Parliament is really important, because most of them at a national level, they dont get much. Because if youre not elected at national government, its difficult to get resources, said Nathalie Brack, a professor of political science at the Free University of Brussels who has studied Euroskeptic lawmakers in the European Parliament. Its an easy way to get the legitimacy they need. So they start with the European level, and then they try to compete at the national level.

Euroskeptic lawmakers readily acknowledge the utility of being a member of the European Parliament, which often is abbreviated to MEP.

It creates a platform, said Roger Helmer, a senior UKIP leader in the European Parliament. I could write a letter to the newspaper as a private citizen, and maybe it would get printed. But as an MEP, I have a press officer and an office and a Twitter account, so I can do some campaigning.

Read more

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