Reform of the Euratom Treaty

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From the very beginning of its membership in the European Union, Austria has supported a reform of the Euratom Treaty and has repeatedly launched reform initiatives of its own. A reform concept presented to the public in May 2021 remains relevant to this day. Unfortunately, there has never been sufficient support from the other Member States (MS).

The Euratom Treaty dates back to 1957 and was created, among other things, with the aim of developing a powerful nuclear industry. A unilateral withdrawal from the Euratom Treaty is not possible, as was also confirmed during the Brexit negotiations.

The future of electricity generation lies in renewable energy sources. In order not to hinder their development, fair framework conditions are needed, and nuclear energy must by no means receive preferential treatment. An important step towards this is a reform of the Euratom Treaty.

As demonstrated by the judgment of the European Court of Justice (ECJ) in the proceedings concerning Austria’s action for annulment regarding Hinkley Point C (Article in German only), the Euratom Treaty effectively overrides the Union’s state aid and competition rules in the field of nuclear energy. If the outdated Euratom Treaty is used as a justification for granting state aid, the need for reform of the Euratom Treaty becomes all the more urgent. A corresponding legal opinion from 2021 remains relevant to this day.

Since joining the EU, Austria has launched several initiatives aimed at reforming the Euratom Treaty. The objectives of Euratom reform remain the elimination of its promotional purpose, the strengthening of its protective function, the establishment of fair competition, and the democratization of decision-making processes. However, the Euratom Treaty also contains provisions that are important, for example, for radiation protection, safety, and the non-proliferation of nuclear weapons – these provisions should be further developed and improved.

Unfortunately, there has never been sufficient support from the other Member States (MS) for these efforts. The issue was also absent from the process of the Conference on the Future of Europe, and there are no indications that the current European Commission will pursue it. The political climate in Europe for a substantive reform of the Euratom Treaty is currently by no means favorable. On the contrary, the situation, particularly the energy crisis, has made the conditions even more challenging.

An amendment to primary law (revision of the Euratom Treaty) requires a Convention, or at the very least an Intergovernmental Conference pursuant to Article 48 TEU; the establishment of such a process requires a simple majority in the European Council. Any treaty amendment requires the consent of all Euratom Member States.

The legal opinion from 2021 outlines all previous reform initiatives from both legal and political perspectives and presents new reform ideas that should also be incorporated into the debate. The study recommends initiating a Convention process for the reform of the Euratom Treaty. The legal opinion discusses in detail the difficulties involved in securing a (simple) majority in the Council to launch the Convention procedure. At the end of the process, the new constitutional text must receive unanimous approval in the Council.

Legal Opinion Reform Euratom (PDF, 1 MB)

Advice

This confirms the considerations of the Austrian Federal Government to initiate a reform process for the Euratom Treaty. The legal opinion outlines options and possibilities for achieving this.