European Union Public Policy Professor John Wilton Lecture 4 Policy decision-making: institutional analysis 1 European Union Public Policy Lecture 4 1. Agenda-setting - a multitude of E.U. public policy agenda avenues open to policy ‘actors’; 2. Public policy formulation - a range of policy-making venues within which E.U. public policy is formulated 2 European Union Public Policy Lecture 4 STRUCTURE (in form of institutions) versus AGENCY (in form of role of individuals and groups) 3 European Union Public Policy Lecture 4 Analysis of E.U. public policy ‘Agenda-setting’ and policy formulation = ‘bottom up’ - policy networks + - role of E.U. institutions and structures 4 European Union Public Policy Lecture 4 Analysis of E.U. public policy decision-making - focus on structure/institutional element - focus on European Parliament - and its relationship with the Council of Ministers and the national Parliaments of the Member states 5 European Union Public Policy Lecture 4 National Parliaments = final policy-making and decision making institutions European Parliament = slightly different = considerable/increasing influence over policy-making 6 European Union Public Policy Lecture 4 Key issue = what should relationship be between European Parliament and National Member state Parliaments (especially in policy decision-making)? 1.European Parliament should be transformed into an E.U. federal parliament. 2.National Member state parliaments control Member state governments, who then represent the Member states in Council of Ministers 7 European Union Public Policy Lecture 4 Challenge = find a mixture of policy decision-making roles for all 29 Parliaments (28 Member states Parliaments + European Parliament) 8 European Union Public Policy Lecture 4 E.U. policy-making and decision-making procedures vary considerably across different policy areas 1. Member states ceded policy-making authority to E.U. institutions in areas such as external trade, internal market, and CAP – E.U. legislation binding on Member states 9 European Union Public Policy Lecture 4 2. In other policy areas – such as environment, health policy, and regional policies, E.U. legislation is also binding on Member states - but in these matters Member states also have legislation of their own 3. In other policy areas – such as education and culture – the E.U. primarily complements national policy legislation of the Member states and tries to facilitate co-operation among Member states - 10 European Union Public Policy Lecture 4 4. In other policy areas – such as civil law, income tax, and social-moral issues such as religion and abortion – policy decision-making authority remains with Parliaments of Member states and outside scope of E.U. 11 European Union Public Policy Lecture 4 Differences in approach and powers in policy decision-making in different E.U. public policy areas: -internal market (labour mobility, health and safety in workplace, vocational training, etc.) = authority ceded to E.U. -health policy, environment policy = subject to binding E.U. legislation, but Member states also have own legislation -education = E.U. complements national policy of Member states 12 European Union Public Policy Lecture 4 Differences in roles and influence of the European Parliament and Member state national parliaments: - almost all public expenditure and social spending controlled and exercised by Member states - E.U. spends less than 5% of the GDP of whole E.U. area - Member states spend around 40 to 50% of own GDP on public spending 13 European Union Public Policy Lecture 4 European Parliament important in deciding how E.U. spends its money -as long as it can obtain the necessary majority of members in the European Parliament the E.P. can both change/amend and block (veto) the E.U. budget proposals - although E.P. powers to amend E.U. budget restricted to non-compulsory expenditure (i.e. excludes CAP) – but E.P. has used its powers to add new budget amounts in policy areas 14 European Union Public Policy Lecture 4 e.g., in public policy the E.P. has forced the Council of Ministers to accept increases in funding for education, training, and social and employment policies in recent years Key change = ‘co-decision procedure’ agreed in Amsterdam Treaty of 1997 (came into operation on 1st May 1999) - reduced importance of European Commission in policy decision-making 15 European Union Public Policy Lecture 4 Treaty of Amsterdam (1997) ‘co-decision procedure’ = if E.P. and Council of Ministers agree, then approval of policy decision by the European Commission no longer necessary - used in most public policy areas, including employment policy, social policy, equal opportunities policy, and broad aspects of environment policy 16 European Union Public Policy Lecture 4 -Over past 30 years (since introduction of direct elections in 1989) E.P. become increasingly influential in E.U. public policy decision-making - has significant influence over E.U. budget + over appointment of EU Commissioners - important co-legislator in public policy areas - has considerable agenda-setting influence - increasingly attractive focus for lobby and interest groups (epistemic communities, policy networks) 17