3. If and as long as there are Member States with a derogation, and without prejudice to Article 106(3) of this Treaty, the general Council of the ECB referred to in Article 45 of the Statute of the ESCB shall be const.i.tuted as a third decision-making body of the ECB.
4. At the starting date of the third stage, the Council shall, acting with the unanimity of the Member States without derogation, on a proposal from the Commission and after consulting the ECB, adopt the conversion rates at which their currencies shall be irrevocably fixed and at which irrevocably fixed rate the ECU shall be subst.i.tuted for these currencies, and the ECU will become a currency in its own right.
This measure shall by itself not modify the external value of the ECU.
The Council shall, acting according to the same procedure, also take the other measures necessary for the rapid introduction of the ECU as the single currency of those Member States.
5. If it is decided, according to the procedure set out in Article 109k(2), to abrogate a derogation, the Council shall, acting with the unanimity of the Member States without a derogation and the Member State concerned, on a proposal from the Commission and after consulting the ECB, adopt the rate at which the ECU shall be subst.i.tuted for the currency of the Member State concerned, and take the other measures necessary for the introduction of the ECU as the single currency in the Member State concerned.
ARTICLE 109m 1. Until the beginning of the third stage, each Member State shall treat its exchange rate policy as a matter of common interest. In doing so, Member States shall take account of the experience acquired in co- operation within the framework of the European Monetary System (EMS) and in developing the ECU, and shall respect existing powers in this field.
2. From the beginning of the third stage and for as long as a member State has a derogation, paragraph 1 shall apply by a.n.a.logy to the exchange rate policy of that Member State."
26) In t.i.tle II of Part Three, the t.i.tle of Chapter 4 shall be replaced by the following: "t.i.tLE VII Common Commercial Policy"
27) Article 111 shall be repealed.
28) Article shall be replaced with the following: "ARTICLE 113 1. The common commercial policy shall be based on uniform principles, particularly in regard to changes in tariff rates, the conclusion of tariff and trade agreements, the achievement of uniformity in measures of liberalization, export policy and measures to protect trade such as those to be taken in the event of dumping or subsidies.
2. The Commission shall submit proposals to the Council for implementing the common commercial policy.
3. Where agreements with one or more States or international organizations need to be negotiated, the Commission shall make recommendations to the Council, which shall authorize the Commission to open the necessary negotiations.
The Commission shall conduct these negotiations in consultation with a special committee appointed by the Council to a.s.sist the Commission in this task and within the framework of such directives as the Council may issue to it.
The relevant provision of Article 228 shall apply.
4. In exercising the powers conferred upon it by this Article, the Council shall act by a qualified majority."
29) Article 114 shall be repealed.
30) Article 115 shall be replaced by the following: "ARTICLE 115 In order to ensure that the execution of measures of commercial policy taken in accordance with this Treaty by any Member State is not obstructed by deflection of trade, or where differences between such measures lead to economic difficulties in one or more Member States, the Commission shall recommend the methods for the requisite co- operation between Member States. Failing this, the Commission may authorise Member States to take the necessary protective measures, the conditions and details of which it shall determine.
In case of urgency,Member States shall request authorization to take the necessary measures themselves from the Commission, which shall take a decision as soon as possible; the Member States concerned shall then notify the measures to the other Member States.
The Commission may decide at any time that the Member States concerned shall amend or abolish the measures in question.
In the selection of such measures, priority shall be given to those which cause the least disturbance to the functioning of the common market."
31) Article 116 shall be repealed.
32) In Part Three, the t.i.tle of t.i.tle III shall be replaced by the following: "t.i.tLE VIII Social Policy, Education, Vocational Training and Youth"
33) The first subparagraph of Article 118a(2) shall be replaced by the following: "2. In order to help achieve the objective laid down in the first paragraph, the Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall adopt by means of directives, minimum requirements for gradual implementation, having regard to the conditions and technical rules obtaining in each of the Member States."
34) Article 123 shall be replaced by the following: "ARTICLE 123 In order to improve employment opportunities for workers in the internal market and to contribute thereby to raising the standard of living, a European Social Fund is hereby established in accordance with the provisions set out below; it shall aim to render the employment of workers easier and to increase their geographical and occupational mobility within the Community, and to facilitate their adaptation to industrial changes and to changes in production systems, in particular through vocational training and retraining".
35) Article 125 shall be replaced by the following: "ARTICLE 125 The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall adopt implementing decisions relating to the European Social Fund."
36) Articles 126,127 and 128 shall be replaced by the following:
"CHAPTER 3 EDUCATION, VOCATIONAL TRAINING AND YOUTH ARTICLE 126 1. The Community shall contribute to the development of quality education by encouraging co-operation between Member States and, if necessary, by supporting and supplementing their action, while fully respecting the responsibility of the Member States for the content of teaching and the organization of education systems and their cultural and linguistic diversity.
2. Community action shall be aimed at: - developing the European dimension in education, particularly through the teaching and dissemination of the languages of the Member States; - encouraging mobility of students and teachers, inter alia by encouraging the academic recognition of diplomas and periods of study; - promoting co-operation between educational establishments; - developing exchanges of information and experience on issues common to the education systems of the Member States; - encouraging the development of youth exchanges and of exchanges of socio-educational instructors; - encouraging the development of distance education.
3. The Community and the Member States shall foster co-operation with third countries and the competent international organizations in the field of education, in particular the Council of Europe 4. In order to contribute to the achievement of the objectives referred to in this Article, the Council: - acting in accordance with the procedure referred to in Article 189b, after consulting the Economic and Social Committee and the Committee of the Regions, shall adopt incentive measures, excluding any harmonization of the laws and regulations of the Member States; - acting by a qualified majority on a proposal from the Commission, shall adopt recommendations.
ARTICLE 127 1. The Community shall implement a vocational training policy which shall support and supplement the action of the Member States, while fully respecting the responsibility of the Member States for the content and organization of vocational training.
2. Community action shall aim to: - facilitate adaptation to industrial changes, in particular through vocational training and retraining; - improve initial and continuing vocational training in order to facilitate vocational integration and reintegration into the labour market; - facilitate access to vocational training and encourage mobility of instructors and trainees and particularly young people; - stimulate co-operation on training between educational or training establishments and firms; - develop exchanges of information and experience on issues common to the training systems of the Member States.
3. The Community and the Member States shall foster co-operation with third countries and the competent international organizations in the sphere of vocational training.
4. The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall adopt measures to contribute to the achievement of the objectives referred to in this Article, excluding any harmonization of the laws and regulations of the Member States."
37) The following shall be inserted: "t.i.tLE IX Culture ARTICLE 128 1. The Community shall contribute to the flowering of the cultures of the Member States, while respecting their national and regional diversity and at the same time bringing the common cultural heritage to the fore.
2. Action by the Community shall be aimed at encouraging co- operation between Member States and, if necessary, supporting and supplementing their action in the following areas: - improvement of the knowledge and dissemination of the culture and history of the European peoples; - conservation and safeguarding of cultural heritage of European significance; - non-commercial cultural exchanges; - artistic and literary creation, including in the audiovisual sector.
3. The Community and the Member States shall foster co-operation with third countries and the competent international organizations in the sphere of culture, in particular the Council of Europe.
4. The Community shall take cultural aspects into account in its action under other provisions of this Treaty.
5. In order to contribute to the achievement of the objectives referred to in this Article, the Council: - acting in accordance with the procedure referred to in Article 189b and after consulting the Committee of the Regions, shall adopt incentive measures, excluding any harmonization of the laws and regulations of the Member States. The Council shall act unanimously throughout the procedures referred to in Article 189b; - acting unanimously on a proposal from the Commission, shall adopt recommendations."
38) t.i.tles IV, V, VI and VII shall be replaced by the following: "t.i.tLE X Public Health ARTICLE 129 1. The Community shall contribute towards ensuring a high level of human health protection by encouraging co-operation between the Member States and, if necessary, lending support to their action.
Community action shall be directed towards the prevention of diseases, in particular the major health scourges, including drug dependence, by promoting research into their causes and their transmission, as well as health information and education.
Health protection requirements shall form a const.i.tuent part of the Community"s other policies.
2. Member States shall, in liaison with the Commission, co-ordinate among themselves their policies and programmes in the areas referred to in paragraph 1. The Commission may, in close contact with the Member States, take any useful initiative to promote such co- ordination.
3. The Community and the Member States shall foster co-operation with third countries and the competent international organizations in the sphere of public health.
4. In order to contribute to the achievement of the objectives referred to in this Article, the Council: - acting in accordance with the procedure referred to in Article 189b, after consulting the Economic and Social Committee and the Committee of the Regions, shall adopt incentive measures, excluding any harmonization of the laws and regulations of the Member States; - acting by a qualified majority on a proposal from the Commission, shall adopt recommendations.
t.i.tLE XI Consumer protection ARTICLE 129a 1. The Community shall contribute to the attainment of a high level of consumer protection through: (a) measures adopted pursuant to Article 100a in the context of the completion of the internal market; (b) specific action which supports and supplements the policy pursued by the Member States to protect the health, safety and economic interests of consumers and to provide adequate information to consumers.
2. The Council, acting in accordance with the procedure referred to in Article 189b and after consulting the Economic and Social Committee, shall adopt the specific action referred to in paragraph 1(b).
3. Action adopted pursuant to paragraph 2 shall not prevent any Member State from maintaining or introducing more stringent protective measures. Such measures must be compatible with this Treaty. The Commission shall be notified of them.
t.i.tLE XII Trans-European networks ARTICLE 129b 1. To help achieve the objectives referred to in Articles 7a and 130a and to enable citizens of the Union, economic operators and regional and local communities to derive the full benefit from the setting up of an area without internal frontiers, the Community shall contribute to the establishment and development of trans-European networks in the areas of transport, telecommunications and energy infrastructures.
2. Within the framework of a system of open and compet.i.tive markets, action by the Community shall aim at promoting the interconnection and inter-operability of national networks as well as access to such networks. It shall take account in particular of the need to link island, landlocked and peripheral regions with the central regions of the Community.
ARTICLE 129c 1. In order to achieve the objectives referred to in Article 129b, the Community: - shall establish a series of guidelines covering the objectives, priorities and broad lines of measures envisaged in the sphere of trans-European networks; these guidelines shall identify projects of common interest; - shall implement any measures that may prove necessary to ensure the inter-operability of the networks, in particular in the field of technical standardization; - may support the financial efforts made by the Member States for projects of common interest financed by Member States, which are identified in the framework of the guidelines referred to in the first indent, particularly through feasibility studies, loan guarantees or interest rate subsidies; the Community may also contribute, through the Cohesion Fund to be set up no later than 31 December 1993 pursuant to Article 130d, to the financing of specific projects in Member States in the area of transport infrastructure.
The Community"s activities shall take into account the potential economic viability of the projects.
2. Member States shall, in liaison with the Commission, co-ordinate among themselves the policies pursued at national level which may have a significant impact on the achievement of the objectives referred to in Article 129b. The Commission may, in close co-operation with the Member States, take any useful initiative to promote such co- ordination.
3. The Community may decide to co-operate with third countries to promote projects of mutual interest and to ensure the inter-operability of networks.
ARTICLE 129d The guidelines referred to in Article 129c(1) shall be adopted by the Council, acting in accordance with the procedure referred to in Article 189b and after consulting the Economic and Social Committee and the Committee of the Regions.
Guidelines and projects of common interest which relate to the territory of a Member State shall require the approval of the Member State concerned.
The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee and the Committee of the Regions, shall adopt the other measures provided for in Article 129c(1).
t.i.tLE XIII Industry ARTICLE 130 1. The Community and the Member States shall ensure that the conditions necessary for the compet.i.tiveness of the Community"s industry exist.
For that purpose, in accordance with a system of open and compet.i.tive markets, their action shall be aimed at: - speeding up the adjustment of industry to structural changes; - encouraging an environment favourable to initiative and to the development of undertakings throughout the Community, particularly small and medium-sized undertakings; - encouraging an environment favourable to co-operation between undertakings; - fostering better exploitation of the industrial potential of policies of innovation, research and technological development.
2. The Member States shall consult each other in liaison with the Commission and, where necessary, shall co-ordinate their action. The Commission may undertake any useful initiative to promote such co- ordination.
3. The Community shall contribute to the achievement of the objectives set out in paragraph 1 through the policies and activities it pursues under other provisions of this Treaty. The Council, acting unanimously on a proposal from the Commission, after consulting the European Parliament and the Economic and Social Committee, may decide on specific measures in support of action taken in the Member States to achieve the objectives set out in paragraph 1.
This t.i.tle shall not provide a basis for the introduction by the Community of any measure which could lead to a distortion of compet.i.tion.
t.i.tLE XIV Economic and social cohesion ARTICLE 130a In order to promote its overall harmonious development, the Community shall develop and pursue its actions in leading to the strengthening of its economic and social cohesion.
In particular, the Community shall aim at reducing the disparities between the levels of development of the various regions and the backwardness of the least-favoured regions, including rural areas.
ARTICLE 130b Member States shall conduct their economic policies and shall co- ordinate them is such a way as, in addition, to attain the objectives set out in Article 130a. The formulation and implementation of the Community"s policies and actions and the implementation of the internal market shall take into account the objectives set out in Article 130a and shall contribute to their achievement. The Community shall also support the achievement of these objectives by the action it takes through the Structural Funds (European Agricultural Guidance and Guarantee Fund, Guidance Section; European Social Fund; European Regional Development Fund), the European Investment Bank and other existing financial instruments.
The Commission shall submit a report to the European Parliament, the Council, the Economic and Social Committee and the Committee of the Regions every three years on the progress made towards achieving economic and social cohesion and on the manner in which the various means provided for in this Article have contributed to it. This report shall, if necessary, be accompanied by appropriate proposals.
If specific actions prove necessary outside the Funds and without prejudice to the measures decided upon within the framework of the other Community policies, such actions may be adopted by the Council acting unanimously on a proposal from the Commission and after consulting the European Parliament, the Economic and Social Committee and the Committee of the Regions.
ARTICLE 130c The European Regional Development Fund is intended to help redress the main regional imbalances in the Community through partic.i.p.ation in the development and structural adjustments of regions whose development is lagging behind and in the conversion of declining industrial regions.
ARTICLE 130d Without prejudice to Article 130e, the Council, acting unanimously on a proposal from the Commission and after obtaining the a.s.sent of the European Parliament and consulting the Economic and Social Committee and the Committee of the Regions, shall define the tasks, priority objectives and the organization of the Structural Funds, which may involve grouping the Funds. The Council, acting by the same procedure, shall also define the general rules applicable to them and the provisions necessary to ensure their effectiveness and the co- ordination of the Funds with one another and with the other existing financial instruments.
The Council, acting in accordance with the same procedure, shall before 31 December 1993 set up a Cohesion Fund to provide a financial contribution to projects in the fields of environment and trans- European networks in the area of transport infrastructure.
ARTICLE 130e Implementing decisions relating to the European Regional Development Fund shall be taken by the Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee and the Committee of the Regions.
With regard to the European Agricultural Guidance and Guarantee Fund - Guidance Section, and the European Social Fund, articles 43 and 125 respectively shall continue to apply.
t.i.tLE XV Research and technological development ARTICLE 130f 1. The Community shall have the objective of strengthening the scientific and technological bases of Community industry and encouraging it to become more compet.i.tive at international level, while promoting all the research activities deemed necessary by virtue of other Chapters of this Treaty.
2. For this purpose the Community shall, throughout the Community, encourage undertakings, including small and medium-sized undertakings, research centres and universities in their research and technological development activities of high quality; it shall support their efforts to co-operate with one another, aiming, notably, at enabling undertakings to exploit the internal market potential to the full, in particular through the opening up of national public contracts, the definition of common standards and the removal of legal and fiscal obstacles to that co-operation.
3. All community activities under this Treaty in the area of research and technological development, including demonstration projects, shall be decided on and implemented in accordance with the provisions of this t.i.tle.
ARTICLE 130g In pursuing these objectives, the Community shall carry out the following activities, complementing the objectives complementing the activities carried out in the Member States: (a) implementation of research, technological development and demonstration programmes, by promoting co-operation with and between undertakings, research centres and universities; (b) promotion of co-operation in the field of Community research, technological development and demonstration with third countries and international organizations; (c) dissemination and optimization of the results of activities in Community research, technological development and demonstration; (d) stimulation of the training and mobility of researchers in the Community.
ARTICLE 130h 1. The Community and the Member States shall co-ordinate their research and technological development activities so as to ensure that national policies and Community policy are mutually consistent.
2. In close co-operation with the Member States, the Commission may take any useful initiative to promote the co-ordination referred to in paragraph 1.
ARTICLE 130i 1. A multiannual framework programme, setting out all activities of the Community, shall be adopted by the Council, acting in accordance with the procedure referred to in Article 189b after consulting the Economic and Social Committee. The Council shall act unanimously throughout the procedures referred to in Article 189b.
The framework programme shall: - establish the scientific and technological objectives to be achieved by the activities provided for in Article 130g and fix the relevant priorities; - indicate the broad lines of such activities; - fix the maximum overall amount and the detailed rules for Community financial partic.i.p.ation in the framework programme and the respective shares in each of the activities provided for.
2. The framework programme shall be adapted or supplemented as the situation changes.
3. The framework programme shall be implemented through specific programmes developed within each activity. Each specific programme shall define the detailed rules for implementing it, fix its duration and provide for the means deemed necessary. The sum of the amounts deemed necessary, fixed in the specific programmes, may not exceed the overall maximum amount fixed for the framework programme and each activity.
4. The Council, acting by a qualified majority on a proposal from the Commission and after consulting the European Parliament and the Economic and Social Committee, shall adopt the specific programmes.
ARTICLE 130j For the implementation of the multiannual framework programme the Council shall: - determine the rules for the partic.i.p.ation of undertakings, research centres and universities; - lay down the rules governing the dissemination of research results.
ARTICLE 130k In implementing the multiannual framework programmes, supplementary programmes may be decided on involving the partic.i.p.ation of certain Member States only, which shall finance them subject to possible Community partic.i.p.ation.
The Council shall adopt the rules applicable to supplementary programmes, particularly as regards the dissemination of knowledge and access by other Member States.
ARTICLE 130l In implementing the multiannual framework programme the Community may make provision, in agreement with the Member States concerned, for partic.i.p.ation in research and development programmes undertaken by several Member States, including partic.i.p.ation in the structures created for the execution of those programmes.
ARTICLE 130m In implementing the multiannual framework programme the Community may make provision for co-operation in Community research, technological development and demonstration with third countries or international organizations.
The detailed arrangements for such co-operation may be the subject of agreements between the Community and the third parties concerned, which shall be negotiated and concluded in accordance with Article 228.
ARTICLE 130n The Community may set up joint undertakings or any other structure necessary for the efficient execution of Community research, technological development and demonstration programmes.
ARTICLE 130o The Council, acting unanimously on a proposal from the Commission and after consulting the European Parliament and the Economic and Social Committee, shall adopt the provisions referred to in Article 130n.
The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall adopt the provisions referred to in Articles 130j to l. Adoption of the supplementary programmes shall require the agreement of the Member States concerned.
ARTICLE 130p At the beginning of each year the Commission shall send a report to the European Parliament and the Council. The report shall include information on research and technological development activities and the dissemination of results during the previous year, and the work programme for the current year.
t.i.tLE XVI Environment ARTICLE 130r 1. Community policy on the environment shall contribute to pursuit of the following objectives: - preserving, protecting and improving the quality of the environment; - protecting human health; - prudent and rational utilization of natural resources; - promoting measures at international level to deal with regional or worldwide environmental problems.
2. Community policy on the environment shall aim at a high level of protection taking into account the diversity of situations in the various regions of the Community. It shall be based on the precautionary principle and on the principles that preventative action should be taken, that environmental damage should as a priority be rectified at source and that the polluter should pay. Environmental protection requirements must be integrated into the definition and implementation of other Community policies.
In this context, harmonization measures answering these requirements shall include, where appropriate, a safeguard clause allowing Member States to take provisional measures, for non- economic environmental reasons, subject to a Community inspection procedure.
3. In preparing its policy on the environment, the Community shall take account of: - available scientific and technical data; - environmental conditions in the various regions of the Community; - the potential benefits and costs of action or lack of action; - the economic and social development of the Community as a whole and the balanced development of its regions.
4. Within their respective spheres of competence, the Community and the Member States shall co-operate with third countries and with the competent international organizations. The arrangements for Community co-operation may be the subject of agreements between the Community and the third parties concerned, which shall be negotiated and concluded in accordance with Article 228.
The previous subparagraph shall be without prejudice to Member States" competence to negotiate in international bodies and to conclude international agreements.
ARTICLE 130s 1. The Council, acting in accordance with the procedure referred to in Article 189c and after consulting the Economic and Social Committee, shall decide what action is to be taken by the Community in order to achieve the objective referred to in Article 130r.