The European Commission has outlined five scenarios for the future of the European Union in
a white paper obtained by POLITICO ahead of its publication on Wednesday.
The scenarios are entitled “carrying on,” “nothing but the single
market,” “those who want more do more,” “doing less more efficiently,”
and “doing much more together.”
The paper is an attempt by the Commission, led by President Jean-Claude Juncker, to shape a
major debate
about the EU’s future following Britain’s shock decision to leave. The
document is also intended to influence a declaration by the 27 countries
remaining in the EU at the bloc’s 60th anniversary summit on March 25
in Rome.
The paper starts with a somber tone, acknowledging the existential
struggle the EU is facing due to crises over Brexit, migration and the
eurozone. “Europe’s challenges show no sign of abating,” the paper says.
It also notes the difficult balancing act facing the EU, as “many
Europeans consider the Union as either too distant or too interfering.”
While generally neutral in its language, the Commission at times
makes its preferred option clear. For example, on eurozone governance,
the Commission aligns itself with the most federal option by saying it
will issue a paper based on the 2015
Five Presidents’ Report, which
called for a eurozone finance minister and stricter controls over the
budgets of the 19 countries that use the single currency.
Here are more details of the five scenarios:
Scenario 1: Carrying on
This scenario assumes that staying the
course will involve small, smooth changes to the functioning of the EU.
The Commission says “carrying on” will deliver “incremental progress.”
This option is based on national governments agreeing to deepen the EU’s
single market, pool some military capabilities and “speaking with one
voice on foreign affairs,” while leaving key responsibilities like
border control mostly in the hands of national governments.
There are some dark clouds hanging over
this option in phrases such as “Europeans are mostly able to travel
across borders without stopping for checks,” indicating trouble ahead
for the visa-free Schengen Zone if changes are not agreed to its
management. The Commission warns: “Continuous improvement to border
management is needed to keep up with new challenges. If this is not
done, some countries may wish to maintain targeted internal controls.”
Scenario 2: Nothing but the single market
Here the Commission focuses on the
achievement with the broadest base of support: its single market. The
Commission is not enthusiastic about this option, noting
that “decision-making may be simpler to understand but the capacity to
act collectively is limited” and “this may widen the gap between
expectations and delivery at all levels.”
With the single market as its main
mission, the Commission believes, the EU would face a heightened risk to
the euro, because it would have failed to finish establishing the
eurozone’s economic governance, leaving it vulnerable to new financial
crises.
Companies would likely face more border
checks, and EU members would revert to pursuing bilateral foreign
policy. Trade deals and defense cooperation would also be more
difficult.
On a day-to-day level, the Commission
believes connected cars would not take off in Europe under this scenario
“due to the absence of EU-wide rules and technical standards.”
Scenario 3: Those who want more do more
This is effectively a multi-speed EU
based on “coalitions of the willing” in specific policy areas such as
defense, internal security, taxation or social matters. Under this
scenario the Commission assumes that all 27 members would still make
general progress on a deeper single market.
The Commission believes this model would
lead to differences in citizens’ rights and is not optimistic that
eurozone governance could be completed. However, it envisages that it
would allow national militaries that have close relations with one
another to move quickly into new fields like drone surveillance, or for
aligned economies to created a unified business law code.
Scenario 4: Doing less more efficiently
By “doing less,” the Commission
apparently means is “better tackle certain priorities together.” In
other words, not “less” but doing more in “a reduced number of areas.”
The major headline achievements would be a
fully resourced European Border and Coast Guard, a single voice on
foreign policy and the establishment of a European Defense Union.
The Commission sees other priority areas
for deeper cooperation as innovation, trade and security. Research could
be focused on digitization and decarbonization of the economy.
The Commission points out one problem
with this scenario — it relies on EU countries agreeing among themselves
on the areas on which they want to cooperate more efficiently.
Scenario 5: Doing much more together
Here the EU27 go “further than ever before in all domains” — code for a federal EU.
The EU would get more of its “own
resources” (the ability to raise revenue through tax), the eurozone
would be completed along the lines of the Five Presidents’ Report issued
in 2015. The Commission prefers this option for eurozone governance and
said it will issue a reflection paper to that effect in the coming
months.
Under this scenario the EU would also
assume powers to speak for all of Europe on trade and foreign policy,
and would assume global leadership for fighting climate change and on
humanitarian issues.
There would be “far greater and quicker
decision-making” in Brussels, but the Commission acknowledges “there is
the risk of alienating parts of society which feel that the EU lacks
legitimacy.”