Key European Union Institutions and Integration Theories

Posted on Feb 17, 2026 in International Relations

1. The European Commission

Nature & Composition:

  • Executive branch of the EU; promotes the European interest, not national interests.
  • One Commissioner per member state, including the Commission President and several Vice-Presidents.
  • Commissioners must act independently from their national governments.
  • Organized into Directorates-General (DGs), similar to ministries.

Powers & Functions:

  • Exclusive right of legislative initiative: almost all EU laws start with the Commission.
  • “Guardian of the Treaties”: ensures member states apply EU law correctly.
  • Manages the EU budget and oversees EU programs (cohesion, agriculture, research, etc.).
  • Conducts competition policy: fights cartels, controls mergers, regulates state aid.
  • Represents the EU internationally in several policy areas (e.g., trade agreements).
  • Monitors compliance and may bring member states before the Court of Justice.

Appointment & Accountability:

  • Dual mandate: President chosen by the European Council, then elected by the European Parliament.
  • Commissioners are nominated by national governments, selected by the Commission President, undergo intense EP hearings, and need EP majority approval.
  • The entire Commission can be forced to resign through a motion of censure in the EP.
  • Strict ethical rules: conflict-of-interest checks, transparency requirements.
  • Must answer EP questions, appear in committees, and report annually.

2. The Council of the European Union (Council of Ministers)

Role & Functions:

  • Represents national governments from all EU countries.
  • Shares legislative and budgetary powers with the European Parliament.
  • Coordinates policies (economic, social, employment, environmental).
  • Adopts international agreements and plays a key role in foreign and security policy.
  • Works in policy configurations (e.g., ECOFIN, AGRIFISH, Justice & Home Affairs).

Composition & Presidency:

  • Consists of the relevant minister from each member state depending on the topic.
  • Rotating presidency every 6 months; trio-presidencies plan 18-month programs.
  • Supported by the General Secretariat of the Council.
  • Meetings held mainly in Brussels.

Working Methods: Coreper & Working Parties:

  • Most negotiation happens before ministers meet.
  • Working Parties (national experts) prepare technical details of legislation.
  • Coreper (EU ambassadors):
    • Coreper II: political/institutional/external affairs.
    • Coreper I: internal market, social, environment, etc.
  • Many items become A-points (adopted without discussion because agreement already reached).

Voting Procedures:

  • Main rule: Qualified Majority Voting (QMV) with double majority:
    • At least 55% of member states (15/27)
    • Representing 65% of the EU population
  • Blocking minority: At least 4 states representing 35% of the population.
  • Unanimity required for taxation, foreign policy, enlargement, EU finances, etc.
  • Mixed voting system balances efficiency and sovereignty.

3. The European Council

The European Council is the EU’s top political body and brings together the Heads of State or Government along with its President, the Commission President, and the High Representative. It began as informal meetings in the 1960s and became a formal institution with the Single European Act. According to Article 15 TEU, it sets the EU’s general political direction and priorities but does not make laws. It meets twice every six months in Brussels and usually decides by consensus. Since the Lisbon Treaty, it has its own President, elected for 2.5 years, who gives the institution continuity and represents the EU at the highest political level. The European Council plays a central role in shaping major EU strategies, resolving political conflicts, guiding Treaty reforms, and influencing enlargement decisions. Although its conclusions are not legally binding, they guide the work of all other EU institutions and define Europe’s long-term agenda.

The European Parliament

The European Parliament is the EU’s only directly elected institution and has evolved from a weak consultative assembly into a powerful legislative and supervisory body. Its influence grew with the 1970 and 1975 budgetary treaties, the introduction of direct elections in 1979, and later the cooperation, assent, and co-decision procedures, especially after the Maastricht Treaty. Today, it shares legislative and budgetary powers with the Council and oversees the Commission, including approving its appointment. Parliament sits in Strasbourg, with its secretariat in Luxembourg and committees in Brussels. MEPs are elected every five years through proportional representation, with seats allocated according to degressive proportionality. They organize themselves by political groups, not nationalities, and work through committees covering areas like foreign affairs, environment, budgets, and civil liberties. Parliament can challenge EU legislation in court, appoint the Ombudsman, monitor other institutions, and ask questions or launch inquiries to ensure accountability.

Origin of the European Union

  • Began after World War II to prevent conflicts and rebuild Europe.
  • Tension of the Cold War increased need for cooperation.
  • Schuman Declaration (1950): proposed joint control of coal and steel.
  • Drafted by Jean Monnet; aimed to prevent German rearmament.
  • Led to creation of three European Communities: ECSC, EEC, Euratom.
  • Founding countries: Belgium, France, Italy, Luxembourg, Netherlands, West Germany.

The European Coal and Steel Community (ECSC)

  • Created a common market for coal and steel.
  • Institutions: High Authority (independent executive), Assembly (now EP), Council (national ministers), Court of Justice.
  • Promoted supranational decision-making.
  • Failed projects: European Defence Community and European Political Community.

The Treaty of Rome (1957)

  • Created EEC and Euratom.
  • Aimed for a common market and closer economic integration.
  • Introduced the four freedoms: movement of goods, persons, services, capital.
  • Added common policies: agriculture, transport, competition.
  • Created institutions: European Social Fund, Investment Bank.
  • 1965 Merger Treaty combined institutions of ECSC, EEC, Euratom.
  • Parliamentary Assembly renamed European Parliament in 1962.

Post-Rome Developments

Enlargement Waves

  • 1973: UK, Ireland, Denmark
  • 1981: Greece
  • 1986: Spain, Portugal

Political Concepts

  • Intergovernmental vision: states keep control.
  • Supranational vision: EU institutions gain authority.
  • Luxembourg Accords: allowed veto when national interests were at risk.

Foreign Policy Coordination

  • European Political Cooperation (1973): regular meetings between foreign ministers.

European Council (1974)

  • Heads of government meet twice a year.
  • Provides strategic direction for the EU.

Court of Justice Influence

  • Introduced direct effect and supremacy of EU law.
  • Strengthened supranational integration.

Single European Act (1986)

  • First major treaty reform since Rome.
  • Strengthened European Parliament via cooperation procedure.
  • Formalized the European Council.
  • Created the Court of First Instance.
  • Set deadline to complete Single Market by 1992.
  • Expanded EU powers: economic & monetary cooperation, research, environment, social policy.

Maastricht Treaty (1992) – Creation of the EU

  • Formally created the European Union.
  • Introduced three pillars:
    • European Community
    • Common Foreign & Security Policy
    • Justice & Home Affairs
  • Launched plan for the euro; created ECB and ESCB.
  • Expanded co-decision → more power to the EP.
  • Introduced EU citizenship (free movement, voting rights abroad).
  • Added subsidiarity principle (EU acts only when necessary).
  • Expanded competences: education, culture, consumer protection, environment.
  • Allowed opt-outs (e.g., UK and Denmark for the euro).

Amsterdam Treaty (1997/1999)

  • Prepared the EU for enlargement.
  • Strengthened human rights and democracy conditions.
  • Gave EP more influence (Commission President approval).
  • Created High Representative for CFSP.
  • Renamed 3rd pillar: Police & Judicial Cooperation in Criminal Matters.
  • Moved asylum/immigration partly to Community pillar.

The Eurozone (1999–2002)

  • 1999: euro introduced electronically.
  • 2002: euro notes and coins launched.
  • Replaced national currencies in many states.
  • Managed by the ECB and the Eurogroup.

New Institutionalism

Normative Institutionalism (March & Olsen)

  • Actors follow a logic of appropriateness, not just self-interest.
  • Institutions shape identities, roles, and behavior.
  • Council interactions create shared understandings of European vs national interests.

Rational Choice Institutionalism

  • Institutions created by self-interested actors when useful.
  • Delegation reduces transaction costs (monitoring, compliance).
  • Pollack (2003): principal–agent model → states delegate but also control supranational institutions.

Historical Institutionalism

  • Institutions constrain actors in ways not always aligned with their goals.
  • Best explains continuity and slow change.
  • Crises act as critical junctures producing big shifts.
  • Norms (e.g., Council’s consensus culture) cause path dependence.

Sociological Institutionalism

  • Focuses on how cultural practices, norms, and ideas shape EU institutions.

Feminist Institutionalism

  • Institutions are not gender-neutral; highlight barriers women face.
  • “Femocrats”: actors pushing gender perspectives within institutions.

Discursive Institutionalism

  • Emphasizes the role of ideas and discourse in shaping change.
  • Communication and narratives are drivers of institutional evolution.
  • Institutions embedded in webs of formal/informal norms.

Integration Theories

Neofunctionalism (Haas 1958)

  • Integration = actors shift loyalties toward a new supranational center.
  • Explains why states created EU institutions.
  • Spillover: integration in one area pressures integration in others.

Neo-neofunctionalism & Supranationalism

  • EU institutions = engines of integration.
  • Commission seeks to “upgrade the common interest” → gains more powers over time.
  • Court of Justice + euro crisis = examples of supranational influence.

Liberal Intergovernmentalism (Moravcsik 1991, 1998)

  • States empower EU institutions only when it benefits them.
  • EU integration results from intergovernmental bargains.
  • Example: euro creation → economic advantages (stable exchange rates, low inflation).
  • States delegate powers to independent bodies to protect agreements.

Postfunctionalism (Hooghe & Marks 2009)

  • Rise of “constraining dissensus”: political elites fear Euroscepticism and avoid big integration steps.
  • EU institutions become targets for public opposition.

New Intergovernmentalism

  • Integration increased after Maastricht despite political tensions.
  • European Council & Council = main venues for deliberation and consensus.
  • States create new bodies (e.g., ESM) to manage integration.
  • Strong accountability to national governments.
  • Destructive dissensus: integration continues despite public resistance, worsening legitimacy issues.

Key EU Policies

1. Common Agricultural Policy (CAP)

The CAP is the EU’s main policy for agriculture. Its purpose is to make sure Europe has a stable and safe food supply. It gives financial support to farmers so they can continue producing food even when market prices go down or when conditions are difficult. The policy also encourages farmers to use environmentally friendly methods, protect the countryside, and take care of animals. In recent years, the CAP has focused more on sustainability, reducing pollution, and adapting to climate change.

2. Common Foreign and Security Policy (CFSP)

The CFSP is how EU countries work together on foreign policy and security issues. Because each country has its own national interests, the CFSP tries to coordinate actions so Europe can be stronger on the international stage. It includes tools like diplomacy, economic sanctions, and civilian or military missions in crisis areas. The main goals are to promote peace, protect human rights, support democracy, and improve global stability. Although decisions must often be unanimous, the EU still manages to act together in many situations.

3. EU Enlargement Policy

The Enlargement Policy explains how new countries can join the European Union. Countries must meet strict criteria, including a stable democracy, a functioning market economy, and respect for human rights and the rule of law. They must also adopt EU laws and standards in many areas, from environment to trade. Enlargement helps bring stability, security, and economic growth to Europe. Past enlargements, such as in 2004, greatly expanded the EU and increased its influence in the world. Today, candidates include countries like Serbia, Albania, and Ukraine.

4. Environmental Policy

EU Environmental Policy covers all actions taken to protect nature and reduce harm to the environment. It includes laws to cut air and water pollution, manage waste, protect biodiversity, and fight climate change. One key goal is to reach climate neutrality by 2050. The EU also created the Green Deal, a major plan to transform Europe into a clean and sustainable economy. Environmental Policy influences transport, energy, agriculture, and industry, encouraging all sectors to reduce emissions and use natural resources responsibly.

5. Common Commercial Policy

The EU speaks with one voice in international trade thanks to the Common Commercial Policy. Instead of each country making its own trade deals, the EU negotiates agreements on behalf of all members. This gives the EU more power in global trade negotiations. The policy sets tariffs, trade rules, and standards for goods entering Europe. It aims to open new markets for European businesses, protect consumers, and ensure fair competition. It also promotes ethical trade by including labour and environmental standards in agreements.

6. Migration and Asylum Policy

This policy defines how the EU manages migration and how it protects people who apply for asylum. It tries to balance security with human rights. The EU works to strengthen its external borders, fight human trafficking, and create legal pathways for migration. For asylum seekers, the Dublin system decides which country is responsible for examining each application. Recently, the EU has worked on reforming the system to share responsibilities more fairly between member states, especially during large migration waves.

7. European Health Policy

European Health Policy supports cooperation between EU countries to improve public health. Although each country controls its own healthcare system, the EU helps coordinate actions, share information, and prepare for health risks. After COVID-19, the EU created stronger systems to respond to future health emergencies, including better stockpiles of medical equipment and faster vaccine development. The policy also promotes disease prevention, healthier lifestyles, and equal access to healthcare. Another goal is to reduce health inequalities between regions.

Analysis Questions

Which of the IR theories best characterise(s) EU institutions’ existence and functions?

The European Union’s institutional framework is best characterized by Neofunctionalism and Liberal Institutionalism. Neofunctionalism explains the EU’s evolution through spillover effects, where integration in one sector leads to integration in others. This theory aligns with the creation of supranational bodies like the European Commission and the European Parliament, which operate beyond national interests. Liberal Institutionalism complements this by emphasizing cooperation through rules and institutions. The EU’s commitment to multilateralism, legal frameworks, and shared governance reflects this theory. Together, these perspectives explain how the EU functions as a hybrid system balancing national sovereignty with supranational authority.

Which EU institution(s) play a prominent role in EU external relations? Provide a thorough explanation supporting your statement(s), not just name dropping.

Several EU institutions play key roles in external relations, but the most prominent are the European Commission, the European Council, and the European External Action Service (EEAS). The Commission negotiates trade agreements and represents the EU in international organizations, ensuring consistency in external policies. The European Council sets strategic foreign policy direction, especially during crises or geopolitical shifts. The EEAS, led by the High Representative, coordinates diplomatic missions and foreign policy implementation. These institutions work together to promote the EU’s global interests, maintain strategic autonomy, and respond to international challenges such as security threats, migration, and climate diplomacy.

Which key EU policies you think are most value maximizing for EU citizens? Elaborate on your reply.

The most value-maximizing EU policies for citizens include the Single Market, the Schengen Area, and the Green Deal. The Single Market enhances consumer choice, lowers prices, and boosts economic growth by removing trade barriers. The Schengen Area allows free movement, fostering cultural exchange and economic opportunities. The Green Deal, focused on sustainability and climate action, creates jobs while protecting the environment. Additionally, cohesion policies reduce regional disparities, ensuring that prosperity is shared across all Member States. These policies collectively improve quality of life, economic opportunity, and long-term stability for EU citizens.

Which are the main considerations/reforms taken into account for EU enlargement (welcoming new EU members to the club)?

EU enlargement is guided by the Copenhagen Criteria, which require candidate countries to demonstrate democracy, rule of law, human rights, and a functioning market economy. Institutional capacity is also crucial, ensuring the EU can absorb new members without losing efficiency. Reforms often focus on voting rules, budget allocation, and institutional structures to accommodate more states. Geopolitical considerations play a role, as enlargement strengthens stability and influence in neighboring regions. Recent discussions emphasize the need for gradual integration, transitional arrangements, and reforms to ensure that enlargement benefits both existing and new members.