Priorities and programme of the Hungarian Presidency of the Council of the European Union in the first half of 2011

Information material

On 10 November 2010 the Hungarian government adopted the draft programme of the Hungarian Presidency of the Council of the European Union. The document is in constant evolution on the basis of the progression of the dossiers under the Belgian Presidency and will be finalised after the December European Council.

Hungarian Presidency program in context

The Hungarian Presidency is the last member of the Spanish-Belgian-Hungarian trio. Therefore, its programme fits into the trio programme and the priorities are built on the results delivered by the Spanish and Belgian Presidencies.

During the first half of 2011, Europe needs to concentrate on the reinforcement of the economy and on job creation so as to make growth sustainable and the recovery from the crisis irreversible. 2010 has been characterized by decision making and planning. Some important lessons from the crisis have been learned and political decisions made to reinforce economic co-ordination, strengthen the control of fiscal discipline and to elaborate the framework with a view to the long term competitiveness of the European economy. 2011 will be the year of action: we will start the implementation of the decisions taken in 2010 and use the opportunities offered by the new policies introduced by the Lisbon Treaty. Besides measures with a long term perspective, the Hungarian Presidency will do its utmost to ensure the adoption of the 2011 budget in the shortest time possible.

General priorities

The Presidency Programme is built on four main priorities, having the human factor, i. e. the service of the European citizens as the common link, as a leitmotif.

1. Growth, jobs and social inclusion

The consolidation of the European economic recovery is a common aim. The strengthening of the European economic co-ordination and the introduction of new instruments are a necessity. It is our goal to reach an agreement on the Commission's legislative proposals concerning the enhanced economic governance. The key elements of the enhanced economic co-ordination are the launching of the European semester, the strengthening of fiscal discipline (review of the sanctions in the framework of the Stability and Growth Pact (SGP) and the consideration of public debt in the excessive deficit procedure) and the creation of a macroeconomic surveillance mechanism (following the pattern of the excessive deficit procedure) which should give a more efficient and timely response to structural problems of competitiveness and macroeconomic imbalances. The creation of a permanent crisis mechanism is the most complex issue in the package as it implies the amendment of the Treaty based on the conclusions of the October European Council. Pending the final decisions of the December 2010 European Council, as incoming Presidency we are ready to ensure that the necessary Treaty amendment is adopted as soon as possible.

The Europe 2020 Strategy is our common tool to boost employment, enhance competitiveness and social inclusion – three closely interrelated and mutually supporting objectives. The targets have been agreed upon; in 2011 our task will be to start the implementation both at national and at European level. Discussions on the flagship initiatives will continue: the Innovation Union will be elaborated and the implementation will start; the agenda for new skills and jobs will be discussed with special focus on job creation; Council conclusions are planned to be adopted on the Digital Agenda, on the Youth on the Move and on the Resource Efficient Europe initiatives. In the framework of the European platform against poverty, the Hungarian Presidency will focus on child poverty and the social integration of the Roma population. Our special priority is to adopt the European framework for national strategies of the inclusion of the Roma and to give a real impulse to the solution of this important European issue.

The adoption of the Single Market Act will be high on the agenda of the next semester. The success of the reformed economic cooperation, the enhanced surveillance of the financial markets and the efficient implementation of the EU 2020 Strategy requires the completion of the internal market through the dismantling of the remaining barriers to free and fair competition. SMEs are the key factors to Europe's competitiveness and have a huge potential to create jobs. The revision of the Small Business Act should lead to enhanced mobility and competitiveness for the SMEs. The creation of a European patent is an important symbolic element for the EU single market.

The stability and predictability of the financial markets are essential in preventing the recurrence of global economic crises. This requires more efficient regulation and the modernisation of the financial supervisory system. The negotiations of the dossiers linked to the financial services roadmap will continue. The most important ones are: (i) the reform of financial supervision, (ii) the increase of transparency on the capital markets, (iii) the elaboration of a crisis prevention and management framework, (iv) and the revision of the capital requirements of banks.

2. Stronger Europe – building on the foundations and saving the future

The future of the EU will be defined by its most important common policies. The review of the CAP and the cohesion policy and the creation of a truly common energy policy have to be thoroughly discussed. The next multiannual financial framework have to be tailored to the future needs and developments identified during those discussions. We need to match our commonly adopted goals with the appropriate instruments. The Hungarian Presidency plans to launch preparatory discussions of strategic importance in this context.

The economic, social and territorial cohesion is one of the main pillars of the EU. An internally unified Europe is more competitive globally and more efficient in external actions. We need to ensure that the cohesion policy keeps this objective and also the means to reach it.

While talking about the future of the CAP, we need to have a double focus: preserving the values of the common agricultural policy and facing the new challenges. When it comes to the instruments and objectives of the CAP, we shall not forget about the citizens' expectations concerning the sustainability of a high quality and safe food industry. We should recognize that there is more to CAP than just agriculture. In fact, it does not only provide food but it also contributes to the preservation of the landscape and a rural lifestyle, offers ecological services, increases employment and helps to tackle certain demographic problems.

The creation of an efficient common energy policy is a new priority for the Union. To achieve energy security is currently one of Europe's greatest challenges. We need to create a common European energy market, build the necessary infrastructure, agree on community financing methods, reach unified actions vis-à-vis external partners and diversify sources, routes and suppliers. The special European Council on 4 February 2011 which will be dedicated to energy policy and innovation should be one of the highlights of our Presidency. It will provide political orientation to the harmonisation of national technical regulation, the building of key infrastructure and the financing of necessary investments. Since an energy efficient Europe is a key to achieve future sustainability and security of supply, improved national and common regulatory measures as well as appropriate financial incentives are urgently needed. In order to avoid further delay, adoption of a reviewed European 2020 energy efficiency action plan is a priority. The Hungarian Presidency also plans to hold political discussion at an informal Energy Council dedicated to the preparation of a low-carbon energy roadmap for 2050, which allows for a coordinated European strategy that includes all relevant technologies.

Responsibility towards future generations is a common feature in many European policies. Ensuring environmental sustainability and combating climate change are key concerns for European citizens. The EU has to keep its leading role in the global fight against climate change. Based on the future outcome of the Cancún Summit in December 2010, the Hungarian Presidency is committed to the implementation of the Cancún decisions in the EU and to further advance negotiations with a view to the next negotiation rounds.

The Hungarian Presidency wishes to devote special attention to water policy: in the context of climate change, we intend to focus on the integrated and sustainable management of extreme water related events.

Biodiversity is our common heritage. We have to ensure that it is preserved for our children. It has to be placed in a larger context and relevant discussions have to be integrated into the reform of key sectoral policies. The new EU strategy on biodiversity will be discussed at the Environment Council.

The macro regional co-operation forms have shown their added value in strengthening cohesion and competitiveness. The adoption and the implementation of the European Danube Region Strategy is a priority.

3. A Union close to its citizens

The Presidency will work on bringing Europe closer to its citizens. Tangible results have to be achieved in the field of freedom, security and justice which influence the everyday life of the citizens. Public security, the enforcement of legal rights and legal certainty are key areas for action. In accordance with the principles and objectives laid down in the Stockholm Programme, work will continue to deliver concrete results of the cooperation in the field of justice and home affairs.

The protection of citizen's rights is a priority. Therefore, discussions on the compensation of the victims of crimes will continue. Increasing the efficiency of the fight against organised crime and cybercrime is also a key issue. In the field of personal relations between citizens the protection of personal data, the cross border inheritance cases and the matrimonial property regimes are in the focus of the Hungarian Presidency.

The better management of migration flows and the integration of migrants are still topical issues. Work on the adoption of the proposals aiming at the creation of a common European asylum system will continue.

With the entry into force of the Lisbon Treaty, the Charter of Fundamental Rights has ushered in a new era in guaranteeing protecting human rights in Europe. The first assessment of the implementation of the Charter will be an important contribution the process.

The Lisbon Treaty has also introduced the European Citizens' Initiative. The speedy adoption of the implementing provisions is a highly significant issue for the Hungarian Presidency.

The Schengen area without internal border control is one of the most tangible achievements of the EU for its citizens. The Hungarian Presidency supports the accession of Romania and Bulgaria to the Schengen area in the first semester of 2011 provided that they meet the necessary requirements.

2011 is the European Year of Volunteering and the Hungarian Presidency intends to promote this initiative.

The preservation of the European cultural heritage should be high on our agenda. The motto "united in diversity" truly reflects Europe's cultural complexity and the importance of variety. As part of the Europe 2020 Strategy, it is necessary to identify those areas where the cultural and creative industries could contribute to achieving European economic objectives i.e. growth targets, as they play an important role in ensuring European competitiveness, social development and cohesion.

4. Enlarging responsibly and engaging globally

The enlargement carried out simultaneously with a deepening of European integration is a historic success. The Hungarian Presidency will promote the continuation of the enlargement process. Europe has to remain open towards those countries that fulfil the criteria: are ready and willing to strengthen the rule of law, democracy and human rights, to adopt and implement the acquis.

The Croatian accession negotiations have reached their final phase. It is important to ensure that Croatia fulfils all the requirements for accession before the negotiations are concluded but it is also important not to delay this conclusion unnecessarily.

The integration process of the Western Balkans has to be continued. The European Council's decision to invite the Commission to issue an opinion about Serbia's request for accession is a clear message that strengthens the credibility of the integration process. Hungary is ready to take on the relevant presidency tasks if Member States decide to start the accession negotiations with FYROM. It is also important to maintain the momentum in the accession negotiation with Turkey and to start negotiations on substance with Iceland.

The Union is a strong global player. The Lisbon Treaty has created a new institutional structure to strengthen the EU's position vis-à-vis its external partners. The European External Action Service will ensure efficient representation of common EU interests all over the world. It is our common interest that it should become operational within the shortest time possible.

The renewal of the EU's neighbourhood policy is of utmost importance. Based on its geographical location, the Hungarian Presidency can bring added value to the EU's policy towards its Eastern neighbours. Budapest will host the second Eastern Partnership Summit in May 2011 with a view to strengthening the relations between the Union and the six Eastern Partners.

The EU's development cooperation policy is also an integral part of the EU's external relations. As the world's greatest donor the Union plays a major role in the global fight against poverty. The Commission's upcoming proposal on the renewal of the common development cooperation policy will be an important milestone and relevant discussions will start during the Hungarian Presidency.