In this section we will look at the main three institutions which compose the European Union: the Commission, the European Parliament and the Council of Ministers.  A short mention of the European Council, the meeting of Heads of States, is also made.

How is power divided between these three? The relationship is quite complex, but this section tries to ease it out. The role of the European Court of Justice a is also crucial in the development of the EU and is analysed here as well.
 

The Commission

The Commission is the policy engine. It proposes legislation, is responsible for administration, and ensures that the provisions of the treaties and the decisions of the institutions are properly implemented. It has investigative powers, and can take legal action against persons, companies, or member states that violate EU rules. It manages the budget and represents the Union in international trade negotiations.

The European Commission is composed by 20 Commissioners of which two are from France, Germany, Italy, Spain and the United Kingdom, and one for each of the other member states. They are appointed for five-year terms, in line with the European Parliament, which approves the appointment of the Commission as a body.
 

The Commission President is appointed by agreement among the member governments in consultation with the European Parliament for a term of five years. Up to two Vice-Presidents are appointed from among the Commissioners.

The Commissioners act in the Union's interest, independently of the national governments, which nominated them. Each is assigned one or more policy areas and is assisted by a small cabinet or team of aides.

The Commission's administrative staff, based mainly in Brussels includes more than 15,000 staff, divided among more than 30 "directorates-general" and other administrative services.

The European Council

The European Council brings together Heads of State and Government and the President of the Commission. It meets at least twice a year, at the end of each EU member state's six-month presidency. The Single European Act formalized the European Council, which was not foreseen in the original EC treaties. This Council's main aim is to provide the political direction for the Union to follow.

The European Parliament

The European Parliament is composed of 626 members, directly elected in EU-wide elections for five-year terms. The President of the Parliament is elected for a two-and-a-half year term. Members of the European Parliament (MEPs) form political rather than national groups. In July 1999 Nicole Fontaine was elected President.

The Parliament holds plenary sessions in Strasbourg and Brussels. Its 20 committees, which prepare the work for plenary meetings, and its political groups normally meet in Brussels.

The Parliament acts as the EU's public forum. It can question the Commission and the Council; amend or reject the EU budget; and dismiss the entire Commission through a vote of censure, a power it has never used. However, pressure from the Parliament led to a critical report and the Commission's collective resignation in March 1999. Since Maastricht, Parliament has an appointed Ombudsman to address allegations of maladministration in EU institutions and agencies.

The European Parliament cannot enact laws like national parliaments. However, its legislative role has been strengthened over the years. The Maastricht Treaty provides for a co-decision procedure which empowers Parliament to veto legislation in certain policy areas, and to confer with the Council in a "conciliation committee" to iron out differences in their respective drafts of legislation. The Amsterdam Treaty extends the number of policy areas in which Parliament can exercise these powers. Earlier, the Single European Act (SEA) gave Parliament the right to amend proposals for legislation (cooperation procedure), and gave it veto power over the accession of new member states and the conclusion of association agreements with third countries (assent procedure).

The Council of Ministers of the European Union

The Council of Ministers enacts EU laws, acting on proposals submitted by the Commission. Since the implementation of the Maastricht Treaty, its official name is the Council of the European Union.

Comprising Ministers from each member state, the Council strikes a balance between national and Union interests. Different Ministers participate in the Council according to the subject under discussion. Agricultural Ministers, for instance, discuss farm prices in the Agriculture Council, and Economic and Finance Ministers discuss monetary affairs in the ECOFIN Council. The Ministers for Foreign Affairs provide overall coordination in the General Affairs Council. They are also responsible for foreign policy in the framework of the Common Foreign and Security Policy.

Presidency: Each Government acts as President of the Council for six months in rotation.

Coreper: The Council is assisted by a Committee of Permanent Representatives (Coreper), comprising member state officials holding ambassadorial rank, and a Secretariat, with a staff of about 2000.

Voting in the Council: The Council takes most decisions by qualified majority vote (QMV). Five member states and 25 votes are necessary for a blocking minority. Unanimity is still required for areas like amendments to the treaties, taxation, the launch of a new common policy, or the admission of a new member state.

Unanimity is still required for areas like amendments to the treaties, taxation, the launch of a new common policy,  (thought this has been eased by the new concept of enhanced co-operation),the admission of a new member state, or the Common Foreign and Security Policy (CFSP).

The European Court of Justice

The Court of Justice, located in Luxembourg, is the Community's "Supreme Court". It ensures that the treaties are interpreted and applied correctly by other EU institutions and by the member states.

The Court comprises 15 judges, one from each member state, appointed for renewable terms of six years.

Judgements of the Court in the field of EC law are binding on EU institutions, member states, national courts, companies and private citizens, and overrule those of national courts.

Since 1988 a Court of First Instance, consisting of 15 members, has assisted the Court of Justice. This court has power to hear actions brought by EU officials, competition and coal and steel cases, and actions for damages. Its decisions are subject to appeal to the Court of Justice on points of law only.