PRIORITIES AND OBJECTIVES

The Greek Presidency’s main priority at the Councils of Ministers for Competitiveness, Energy and Consumers in the area of responsibility of the Ministry of Development, was sustainable development, which is defined as an increase in economic stature combined with social cohesion, harmonious development of the world and a respect for the environment - three factors whose absence would render any development non-sustainable.

These are also the EU targets set at the European Council in Lisbon in 2000, with a view to making the European economy "the most dynamic, most competitive knowledge-based economy in the world, one that is capable of sustainable development with more and better jobs available, and one with social cohesion, by the year 2010".

The Greek Presidency in its entirety gave priority to injecting new energy into the Lisbon targets. To this end attention was directed at consolidating and progressing in many issues which are directly related to all aspects of competitiveness, while at the same time maintaining balance in a framework that is sensitive to social cohesion, harmonious development and the environment.

Within this context the following specific priorities were highlighted at the Competitiveness Council, during the Spring Council of 2003, and were subsequently addressed in detail:

· Priority was given to competitiveness in business, industry and services, as this is a vital prerequisite to sustainable development and welfare in an enlarged Europe. Emphasis was put on the need for improvement in all areas of business including the tourist industry, and on the need to create a society which encourages innovation and entrepreneurship. Attention was specifically drawn to the fact that small businesses form the backbone of the EU economy and, as such, should play a leading role.

· It was pointed out that increased investment in research and innovation constitutes a fundamental factor in creating opportunities for development, entrepreneurship and new jobs, while it is equally important to improve returns on investment in Research and Technological Development (RTD) through creating and reinforcing links between knowledge and the market. Ensuring that Europe remains at the forefront of new areas of technology (e.g. space, fusion and defence) will boost the competitiveness of its economy. This improvement, together with the focus and coordination of national and Community research projects, will contribute to the creation of a genuine and effective European Research and Innovation Area, avoiding fragmentation in research activities.

· Attention was drawn to the fact that the internal market continues to be a crucial factor in strategic reform, especially in the enlarged Europe. Even so, its full integration in accordance with the Treaty remains a fundamental issue. A well-regulated market which provides access to safe, high-quality goods and services, and which ensures that the four freedoms are applied in full, is a basic element in reinforcing competitiveness, growth and sustainable development for the benefit of both consumers and businesses alike. Emphasis was then placed on the need for immediate action to narrow the gap between the sanctioning of reform measures and putting them into practice.

It was these priorities that were endorsed by the 2003 European Spring Council and were the driving force behind work on the important issues which were dealt with by the Councils on Competitiveness, Energy and Consumers. There were many such issues, and they will be examined section by section below, according to the priorities that were set. In general terms though, the three pillars of sustainable development were always our main consideration. Thus:

· We helped to make progress in social cohesion by promoting, among other things, greater protection for the consumer; cheap, unimpeded access to sources of energy for everyone, even during times of crisis, as well as support for new and small businesses as they are the greatest source of new employment opportunities, indeed, of better quality employment opportunities.

· We contributed to international cooperation in energy and research through cooperation agreements with the Union’s neighbours and also with countries further afield.

· We also contributed to the protection of the environment through international dialogue on the Johannesburg commitments, but also through actions taken, as in the area of the co-production of heat and electricity, and in promoting bio-fuels.

All these things are very significant in themselves. However, to ensure that the various measures taken would not be erratic and fragmented, but would have a necessary cohesion, we went on to make proposals at the Council on Competitiveness with a view to formulating the integrated policies which were adopted by the Spring European Council on 20-21 March 2003. To this end it was decided that the Council on Competitiveness would undertake the horizontal role of strengthening competitiveness and growth across the board within the framework of an integrated strategy on competitiveness which the European Commission would develop, by regularly examining all policies affecting competitiveness regardless of which Ministerial Council they originate in. This would mean that no obstacles would lie in the way of competitiveness, and would also ensure a harmonious balance between the three pillars to sustainable development, in other words, the economy, society and the environment. Legislation was also brought in on monitoring competitiveness and submitting an annual progress report on it to the European Spring Council in a format to be determined by the Council on competitiveness.

The European Union has always had a main instrument for macroeconomic policy in the form of the Council for Economic and Financial Affairs (known as Ecofin). Until March 2003 it had no comparable instrument for microeconomic policy when the significant decision was taken to confirm this as one of the functions of the Council on Competitiveness. For the first time the Council on Competitiveness devoted much of its time to strategically important issues and to adopting integrated policies on directions and priorities.

As announced six months ago, the priorities we set so as to achieve our aims during the Presidency were:

· Sufficient, cheap, clean energy
· The transition to a knowledge-based society
· Encouraging entrepreneurship and small businesses
· Integration of the internal market and consumer protection
· The development of a European strategy on tourism.

These priorities lay behind every issue which we addressed as the Greek Presidency. The most significant of these issues will be examined below, by field. Of course, the issues were not only addressed at formal meetings of the Council. They were also addressed at informal Ministerial Meetings, Seminars and Conferences, which were attended by experts in the field and representatives of social partners as well as Ministers.

A comprehensive list of all meetings on issues coming under the authority of the Ministry of Development, which took place during the Greek Presidency, is given in the Appendix.