European economic space

The European Economic space (EEE) is an agreement of association signed in May 1992 between the Member States of the European Community (EC), left to the agreement jointly with each one of its Member States, and the Member States of the European Free Trade Association (EFTA or EFTA in English).

The Swiss having refused by referendum the ratification of this treaty (1992), it relates to only the Member States of the European Union, and three of the four current members of EFTA, that is to say the Iceland, the Norway and the Liechtenstein. Switzerland however since signed new bilateral agreements with the European Union, but apart from the field of the EEE.

It should be noted that the European Union directly did not leave to the agreement, but indirectly by the European Community is, which is one of the Piliers composing the European Union (EU)), left with the agreement.

The agreement ensures the free-circulation of the goods, the services, the capital and the people (four freedoms). It also includes agreements framing the policy of competition, the consumer protection or education. This is reached by generalizing the community asset in these fields with the members of EFTA concerned, in exchange of a right of consultation during the preparation of the European directives.

The agreement excludes from its field of application the agricultural produce not-transformed as well as fishing and does not envisage coordination of the customs tariffs, which prevents it from being regarded as a Customs union. One can consider that it is a economic Union without customs union, which is a very atypical case because an economic union, monetary or not, is usually the most thorough degree of economic international cooperation.

The installation of a large single European market

The EEE makes it possible to extend, with the 3 countries of the EFTA members of the EEE, four freedoms which found the single European market of the European Union:

freedom of circulation of the goods: rule of origin with a mark " EEE" origin; , technical rules, Standard S, tests and certifications, veterinary controls… ;
freedom of circulation of the services: finance departments (banks, insurances, investments…), telecommunications, audio-visual (protection of the Given S, televised publicity…), transport… ;
freedom of circulation of the capital;
freedom of circulation of the people: freedom of establishment in a country of the EEE, recognition of the diplomas, legislation in the field of the social security…

N the other hand, 3 countries EEE-AELE must adopt the community asset concerning the fields covered by the agreement (rules which control four freedoms of circulation) as the State competition and the aid, environment and consumer protection…

A co-operation pushed in many fields

In parallel, an assiduous co-operation is continued in the fields of research, education, the industrial relations policy, the environmental policy… Iceland, Liechtenstein and Norway also take part in certain cooperation programs between actors of the European Union: 6th outline programme of research and development, SOCRATES for education, LEONARDO for professional training, MEDIA More for the audio-visual one…

Differences between the EEE and the European Union

The EEE does not relate to the products of agriculture and fishing, the installation of Customs tariffs common with respect to third countries… Thus, even if 80% of the legislation of the single European market of the European Union are included within the framework of the EEE, this one is not truly a single European market as that which exists between the Member States of the European Union.

The EEE does not cover all the fields of action of the European Union: the common Agricultural policy, the installation of the single currency, the foreign Politics and of common safety, the police and legal penal matter co-operation remain excluded from the agreements, but are the subject of separately negotiated co-operations and which do not return yet in attributions of the EEE.

Moreover, out of legal matter, the European Union (UE) did not leave to the agreement, but only the European Community (CE). That excluded from the agreement other institutions of the European Union, and in particular Court of justice of the European Communities which rules separately of the court of justice of EFTA (qualified for the payment of litigations between Member States of EFTA concerning the application of the EEE, like between States of the AELE-EEE and Switzerland, non-member of the EEE).

In the event of legal conflict between the judgments of the Court of justice of the European Communities and those of the court of justice of EFTA, the negotiations are carried out bilaterally between the representatives of the EU and EFTA, within the Joint committee of the EEE (except for Switzerland) or directly between Switzerland and the European Community.

Operation of the EEE

The preparatory decisions modifying the agreement are made by consensus between the European Union and the EFTA within the Council of the EEE, where the Ministers for the Member States and the European commission sit. The Joint committee of the EEE, composed of senior officials, is responsible for current operation. The Court of justice of the European Communities and the Court of justice of the EFTA ensure judicial control.

List countries which belong to European Economic space

Germany (EC)
Austria (EC)
Belgium (EC)
Bulgaria (EC)
Cyprus (CE)
Denmark (EC)
Spain (EC)
Estonia (EC)
Finland (EC)
France (EC)
Greece (EC)
Hungary (EC)
Ireland (EC)
Iceland (EFTA)
Italy (EC)
Latvia (EC)
Liechtenstein (EFTA)
Lithuania (EC)
Luxembourg (EC)
Malta (EC)
Norway (EFTA)
Netherlands (EC)
Poland (EC)
Portugal (EC)
Romania (EC)
the United Kingdom (EC)
Slovakia (EC)
(EC)
Sweden (EC)
(EC)

External bonds

Agreement on European economic space European NAvigator

Random links: