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Summary: Institutions and Policy of the European Union

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Summary of the textbook: Olsen 2021, The European Union: Politics and Policies, Routledge. For the course 'institutions and Policy of the European Union', part of European Politics.

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Summary of the book – institutions and policy of the EU

Table of content

Introduction ............................................................................................................................................................... 3
Chapter 1: What is the European Union .................................................................................................................... 4
Chapter overview .................................................................................................................................................... 4
The role of the state ................................................................................................................................................ 4
How did the EU evolve? .......................................................................................................................................... 5
What has the EU become? ...................................................................................................................................... 6
Chapter 2: European Commission ............................................................................................................................ 8
Chapter overview .................................................................................................................................................... 8
Evolution................................................................................................................................................................. 8
Structure ................................................................................................................................................................. 8
The College of Commissioners ........................................................................................................................... 8
The President ..................................................................................................................................................... 9
Directorates-General and Services ...................................................................................................................... 9
The Secretariat-General ....................................................................................................................................10
Committees .......................................................................................................................................................10
How the Commission works ...................................................................................................................................10
Powers of initiation ............................................................................................................................................10
Powers of implementation ..................................................................................................................................10
Managing the EU budget and finances ............................................................................................................... 11
External relations............................................................................................................................................... 11
Chapter 3: Council of Ministers and European Council ...........................................................................................12
Chapter overview ...................................................................................................................................................12
Evolution of the Council of Ministers .......................................................................................................................12
Structure of the Council of Ministers........................................................................................................................12
The Councils .....................................................................................................................................................13
Permanent Representatives ...............................................................................................................................13
The Presidency .................................................................................................................................................14
The General Secretariat.....................................................................................................................................14
How the Council of Ministers works.........................................................................................................................14
Evolution of the European Council ..........................................................................................................................15
Structure of the European Council ..........................................................................................................................15
How the European Council works ...........................................................................................................................16
Chapter 4: European Parliament ..............................................................................................................................17
Chapter overview ...................................................................................................................................................17
Evolution................................................................................................................................................................17
Structure ................................................................................................................................................................17
President...........................................................................................................................................................18
Parliamentary committees ..................................................................................................................................18
Members of the European Parliament (MEP’s) ...................................................................................................19
Political groups ..................................................................................................................................................19
How parliament works ............................................................................................................................................20
Powers over legislation ......................................................................................................................................20
Powers over the budget .....................................................................................................................................21
Powers of other EU institutions ..........................................................................................................................21
Chapter 5: Court of Justice of the European Union .................................................................................................22
Chapter overview ...................................................................................................................................................22
Evolution................................................................................................................................................................22
Structure ................................................................................................................................................................23
The Judges .......................................................................................................................................................23
The President ....................................................................................................................................................23
The Advocates General .....................................................................................................................................23
The General Court .............................................................................................................................................24
Sources of EU law..................................................................................................................................................24
How the court works...............................................................................................................................................24
Preliminary rulings .............................................................................................................................................25
Direct actions ....................................................................................................................................................25
Chapter 6: European Central Bank and other EU bodies and agencies ..................................................................27
Chapter overview ...................................................................................................................................................27
Financial institutions ...............................................................................................................................................27
European Central Bank (ECB) ...........................................................................................................................27
European Investment Bank (EIB) .......................................................................................................................28
European Bank for Reconstruction and Development (EBRD).............................................................................28
European Banking Authority (EBA) .....................................................................................................................28

1

, Agencies of the EU ................................................................................................................................................28
Europol .............................................................................................................................................................29
Eurojust ............................................................................................................................................................29
European Environment Agency (EEA) ................................................................................................................29
Other EU bodies ....................................................................................................................................................29
The Court of Auditors .........................................................................................................................................29
European Economic and Social Committee (EESC)............................................................................................30
Committee of the Regions (CoR)........................................................................................................................30
Chapter 7: Agricultural and Environmental Policy...................................................................................................31
Chapter overview ...................................................................................................................................................31
Agricultural policy ...................................................................................................................................................31
What is it ...........................................................................................................................................................31
History and reform .............................................................................................................................................32
Environmental policy ..............................................................................................................................................32
Chapter 8: Security and Global Power .....................................................................................................................34
Chapter overview ...................................................................................................................................................34
Toward a common foreign policy .............................................................................................................................34
Toward a common security policy ...........................................................................................................................35
Trade policy and soft power ....................................................................................................................................36
Chapter 9: EU and the world ....................................................................................................................................37
Chapter overview ...................................................................................................................................................37
The transatlantic relationship ..................................................................................................................................37
Explaining US-EU differences.................................................................................................................................38
Enlargement and the EU’s neighbourhood ..............................................................................................................39
The EU’s rocky relationship with Russia ..................................................................................................................39
Relations with BRIC countries ................................................................................................................................40
China ................................................................................................................................................................40
Brazil ................................................................................................................................................................40
India..................................................................................................................................................................40
The EU’s relationship with the Global South ............................................................................................................40




2

,Introduction
Chapter 1: What is the European Union? Provides contexts by looking at the most important theories and
concepts of regional integration and shows how and why the EU has evolved.

Chapter 2-6 looks at the EU institutions and explains how they work and how they relate to each other.

The main institutions:
1. European Commission
o Executive and administrative body.
o Developing new EU laws and policies and overseeing their implementation.
2. Council of the EU  Council of Ministers
o Major decision-making body.
o Makes the votes that turn Commission proposals into European law.
3. European Council
o Makes broad decisions on policy.
4. European Parliament
o Discussing of Commission proposals
5. Court of Justice of the European Union
o Interprets national and EU law and helps build a common body of law

Chapter 7-9 provides an overview of some policy areas pursued by the EU. It looks at what integration has
meant for the MS and for Europeans themselves.




3

, Chapter 1: What is the European Union
Chapter overview
Theories analysing the EU can be put into 2 broad categories:
1. Theories explaining how the EU has evolved.
o Neofunctionalism and intergovernmentalism
o Scholars of international relations
2. Theories explaining what the EU has become.
o Scholars of comparative politics
o EU as a political system with its own institutions, processes, procedures and policies.

The EU is a unique political arrangement that does not have an easy definition. It is simply sui generis. This
uniqueness created a debate over theory. Initially, the debate was dominated by the discipline of
international relations (IR). IR sees the EU as an international organization, driven by decisions made among
the governments of MS and European institutions were seen as less important than national institutions.
Since the 1990s, there has been a reaction against the IR, namely the field of comparative politics and public
policy. They see the EU as a political system in its own right. But as for now, there is no single, generally
accepted theoretical framework.

The role of the state
Ben Rosamond suggested 5 ways to conceptualize the EU:
1. EU as an international organization
2. EU as a regional integration association
3. EU as a political system in its own right
4. EU as a unique entity
5. EU as something that exhibits and combines all four of these.
How we approach the EU depends largely on how the role of the state is perceived.

State = a legal and physical entity that:
- Operates within a fixed and populated territory.
- Has authority over that territory.
- Is legally and politically independent.
- Is recognized by its people and by other states.
People identify themselves as citizens of a state = citizenship: legal residence, passports, national flag, … The
internation state system has existed since the 1648 Peace of Westphalia. It gave a new meaning to borders
and sovereignty.

The state has many critics, because it is accused of dividing humans and of encouraging people to place
sectional interests above the broader interests. The identification with states is often associated with
nationalism.

Nationalism = the belief that every state should be founded on a nation and that national identity should be
promoted through political action.

But, most European states don’t coincide with nations and consist of multiple national groups -> nationalism
can lead to internal instability > national superiority > ethnocentrism, racism and genocide > war within and
between states.

Criticisms of the state led to the growth of international cooperation: reduced tension and promote
cooperation, signed treaties, reduced trade barriers and formed international organizations.

International organizations (IO) = bodies that promote voluntary cooperation and coordination between or
among their members but have neither autonomous power nor the authority to impose their ruling on their
members.

4

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