A selective perspective on the European Economic Area (EEA)

Abstract

During the past few years, there has been an emerging discussion on the importance and implications of the European Economic Area (EEA) as issues relating to political and economic integration in Europe increasingly become core to the debate in international relations. This discussion was triggered by the experience gained from the implementation of the Agreement as well as from the fact that three EFTA countries have become EU members in January 1995. Moreover, the concept of EU enlargement poses interesting questions as to how it would impact the EEA Agreement. It also puts the question of whether the EEA offers an interim stage preceding to EU membership. Within this framework, the dissertation gives a brief historical perspective as well as a detailed review of the key issues that emerged from the EEA Agreement signed on 2 May 1992 in Oporto. The selective perspectives identified within the dissertation are reflected by the fact that the EEA is effectively an agreement of association establishing an advanced free trade area between the EU and the EFTA states (excluding Switzerland). Thus, extensive ,· coverage was given to issues and implications relating to the four freedoms - goods, persons, capital and services - as well as to rules governing competition policy, state aids, public procurement and intellectual property. One notes that in these sectors, the contracting parties to the EEA Agreement have to essentially adhere to the acquis communautaire of the EU. Reference was made to the various institutions that had to be established as a consequence of the Agreement both within EFTA and the EEA itself. A detailed account of the institutional mechanisms was also presented. It clearly emerges that although the EEA institutions are autonomous entities, they have to operate within the spirit of the decisions delivered by the EU Court of Justice in order to ensure homogeneity within the entire EEA. The dissertation concludes that notwithstanding the formidable task of achieving integration in Europe, the flexibility of the EEA Agreement enables a smoother rapprochement along the economic path. Notwithstanding the limited history of this Agreement, it has provided both an interesting and a valid contribution to European unification as well as a viable alternative to EU membership. Even if the remaining EFTA countries do join the EU, the EEA would have undoubtedly provided a constructive preparatory exercise.