History of the European Union (1993–2004) facts for kids
The European Union (EU) changed a lot between 1993 and 2004. This was a time when the EU was newly formed, taking over from the European Economic Community. It happened after the Cold War ended, a period of big changes in the world. During these years, new agreements, called treaties, helped create the euro currency, a common foreign policy, and plans for more countries to join.
Three new countries joined the EU, bringing the total to fifteen. Also, the European Economic Area (EEA) was created. This allowed some countries that weren't full EU members to still be part of the EU's single market.
However, the EU also faced challenges. It struggled to help end conflicts in the former Yugoslavia. There were also problems with money management in the European Commission, which is like the EU's government. This led to the whole Commission resigning in 1999. Even though this showed the power of the European Parliament, it also made some people more doubtful about the EU. After this, the next Commission worked to improve foreign policy and prevent fraud.
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Understanding the Maastricht Treaty
The Maastricht Treaty was a very important agreement. It officially created the European Union on 1 November 1993. This treaty set up a new way for the EU to work, called the "pillar system." It meant the EU would have different areas of cooperation.
One new area was the Common Foreign and Security Policy (CFSP), where EU countries would work together on international issues. Another was Justice and Home Affairs, focusing on things like crime and immigration. The treaty also created the Committee of the Regions, which gives local and regional governments a say in EU laws. In 1995, the European Police Office was also set up to help fight crime across Europe.
President Santer's Time
Jacques Santer became the President of the European Commission in 1995. He was chosen after some debate, and the European Parliament approved him by a small number of votes. However, he used his new powers, given by the Maastricht Treaty, to choose the other members of his Commission. His team was approved by Parliament and started work on 23 January 1995.
European Elections in 1994
From 9 to 12 June 1994, people across Europe voted in the European elections. The Party of European Socialists won the most seats. The Parliament then elected Klaus Hänsch as its president. Later, in 1997, José María Gil Robles became the new President of the Parliament.
Freedom to Move and Trade
On 1 January 1994, the European Economic Area (EEA) began. This allowed countries like Norway and Iceland to join the EU's Single European Market without becoming full EU members. They agreed to follow EU laws related to the market and contribute money.
Important court decisions also helped people move freely. In 1995, the European Court of Justice said that people could move money across borders without special permission. Another ruling, called the Bosman ruling, made it illegal for football teams to limit the number of foreign players from other EU countries. This helped people move freely for work.
The Schengen Agreement, which allows people to travel between countries without border checks, started on 26 March 1995. It first included Belgium, France, Germany, Luxembourg, Netherlands, Portugal, and Spain. More countries, including non-EU members Norway and Iceland, joined later. Also, a special customs agreement between the EU and Turkey began in 1996.
The Amsterdam Treaty
Leaders started working on the Amsterdam Treaty in March 1996. This treaty was signed in October 1997 and officially started on 1 May 1999.
The main goals of the treaty were to create an "area of freedom, justice, and security" in the EU. It also aimed to make the Common Foreign and Security Policy stronger. The treaty also made some changes to how the EU institutions work, to make them more democratic and ready for more countries to join.
The Amsterdam Treaty also confirmed where the main EU institutions are located. The European Parliament is mainly in Strasbourg, France, for its main meetings. Brussels, Belgium, is where committees meet and where the European Commission and Council are based. Other important EU bodies are in Luxembourg, Frankfurt, and The Hague.
EU's Foreign Policy Efforts
The conflicts in the Balkans in the 1990s pushed the EU to develop its Common Foreign and Security Policy (CFSP). At first, the EU struggled to respond effectively. For example, the Srebrenica massacre in 1995, a terrible event, happened despite the presence of UN peacekeepers. Eventually, NATO had to step in to end the war.
Later, in 1999, the situation in Kosovo led to another NATO intervention. The EU was more involved this time. These experiences showed the EU that it needed to be better at handling foreign affairs.
Because of this, the Treaty of Amsterdam created a new role: the High Representative for the Common Foreign and Security Policy. Javier Solana was the first person to hold this important job, sometimes called Europe's first "Foreign Minister."
Budget Challenges and Commission Resignation
In late 1998, there were concerns about how the European Commission was managing its money. Some people claimed there was financial mismanagement. The European Parliament refused to approve the EU's budget, which caused a big problem for the Commission.
An independent group of experts investigated the issues. Their report, released on 15 March 1999, found problems and a lack of responsibility among some Commissioners. Because of this report, the entire Commission, led by President Santer, resigned. This was a major event in EU history.
This crisis weakened the Commission and showed the growing power of the European Parliament. It also led to the creation of OLAF, a new office to fight fraud within the EU institutions. The event also increased some people's doubts about the EU. In the next European elections in 1999, the European People's Party won more seats than the Socialists for the first time.
President Prodi's Leadership
After the Santer Commission resigned, Romano Prodi became the new President of the European Commission on 1 May 1999. Some people called him the "First Prime Minister of Europe" because of the new powers given to the Commission President by the Amsterdam Treaty. Also, Javier Solana was appointed as the new High Representative for the Common Foreign and Security Policy.
From 10 to 13 June 1999, the fifth European elections were held. The Parliament then approved the Prodi Commission, which started its work. One of its first actions was to set up OLAF to prevent fraud, directly responding to the previous scandal.
During Prodi's time, the Nice Treaty was signed and put into action. He also introduced a new way of negotiating, called the "Convention method," for the European Constitution. The Prodi Commission oversaw major events like the enlargement of the EU and the introduction of the euro.
The Nice Treaty
To prepare for more countries joining the EU in 2004, leaders met in Nice, France, in December 2000. They created the Nice Treaty, which was signed in February 2001 and started on 1 February 2003.
The treaty aimed to make sure the EU could still work well with many new members. However, the Commission and Parliament felt that the treaty didn't go far enough in reforming the EU's structure. Despite some concerns, the European Parliament approved the treaty.
While the Nice Treaty was being approved, work began on the European Constitution in February 2002. This was a big project to create a single, clear constitution for the EU. A final text was signed in Rome in October 2004, but it was not fully approved by all countries.
The Euro: Europe's Currency
The journey to the euro currency began on 1 January 1994, with the creation of the European Monetary Institute. On 16 December 1995, a date was set for the euro's introduction: 1 January 1999.
Several countries joined the European Exchange Rate Mechanism (ERM) in the years leading up to 1999. On 3 May 1998, eleven EU countries were chosen to adopt the euro. These were the 15 EU members at the time, minus Sweden, Denmark, Greece, and the United Kingdom. The European Central Bank was also set up in June 1998. The euro officially became a live currency on 1 January 1999.
In 2000, Greece was recommended to join the euro, which it did in 2001. However, both Denmark and Sweden decided not to adopt the euro after holding public votes. On 1 January 2002, euro banknotes and coins were introduced into circulation in the 12 countries that had adopted it. By 28 February 2002, the euro became the only legal currency in these countries.
Expanding the European Union
The EU grew significantly during this period. On 30 March 1994, talks to join the EU finished with Austria, Finland, Sweden, and Norway. These countries, which had been neutral during the Cold War, could now align with the EU. They signed their agreements to join on 25 June.
Each country held a public vote on whether to join. Austria, Finland, and Sweden voted yes and became EU members on 1 January 1995. Norway, however, voted no for the second time.
After 1995, many more countries wanted to join the EU. These included Cyprus and Malta from the Mediterranean, Slovenia from former Yugoslavia, and nine countries from the former Eastern Bloc: Estonia, Latvia, Lithuania, Poland, the Czech Republic, Slovakia, Hungary, Romania, and Bulgaria.
It was hoped that Cyprus would join as a unified island. However, the northern part of Cyprus remained outside the control of the recognized government. In 2004, a plan to unite the island was rejected by Greek Cypriots in a vote.
On 16 April 2003, agreements were signed to admit ten new countries: Malta, Cyprus, Slovenia, Estonia, Latvia, Lithuania, Poland, the Czech Republic, Slovakia, and Hungary. Romania and Bulgaria joined later.
Finally, on 1 May 2004, the EU expanded from 15 to 25 members. This was the biggest expansion in its history. The EU's population grew a lot, and its size increased significantly. The 10 new countries also added more members to the European Parliament and the European Commission.