1 HotSpots # 3: Eastern Europe Craig Haseler Group 1 Eastern Europe has faced my new changes and issues this HotSpots session, but I feel that there are two that are most important and merit the most discussion. These issues are: the continued growth and improvement of Russia as a whole, including Russia’s relatively newfound power in the form of energy and how it has been exploited, and the progress made in the EU this session, namely the introduction of two new members, the restructuring of the constitution, and the new German leadership of the union. Although there are many issues facing the region, I feel these two are the most important. Russia has experienced strong growth in recent years, mainly due to the fact that a large portion of Europe depends on it for energy. This power has recently been abused in Belarus, where Russia actually “turned off the tap” to Europe for a short period of time due to a tariff Belarus had imposed. Needless to say, the tariff was very rapidly removed, and the flow restored, but not without some panic by German officials. “The Kremlin’s energy clout and cash pile spell doom in 2007 for plans to build new pipelines bringing non-Russian gas to Europe… The EU counts this [new pipelines] as one of its top energy priorities” (Lucas, 2006). Russia’s energy dominance over Europe may not bode well for the Europeans, but it is a sign of increasing power for the Russians. The growing powers in Russia also wish to secure other aspects of European commerce. Recently, a ten-year trade agreement between Russia and the EU ran out. “It signed the present agreement at a time when decision-makers in the Kremlin were talking of ‘a common European house’, and both sides thought that common values and European norms could be the basis of their relationship…Many Europeans also want a new agreement, on the ground that it may help to overcome recent difficulties with Russia”(Charlemagne, December 1 st, 2006). However, Poland is getting increasingly annoyed at Russia, mainly due to squabbles over energy and meat exports. Poland has the power to prevent the whole process, which may or may not be a bad idea. Compared to 1997, Russia is in a much better situation. The country now has trade agreements with its main partners, and will quite likely enter the World Trade Organization. This would allow it to form other agreements, with no need of help from the EU. There is also the point that in most cases, a treaty to cover all relations between the EU and Russia is not needed anyway. Individual agreements will do the job just as well, if not better. Finally, there is the personal opinion of Putin, the leader of Russia. He believes that the two parties should first come to an agreement on exactly what they want to regulate, and why it is necessary to draw up a treaty. In any case, these new agreements with Russia are sure to reflect the changes in status Russia has gone through in the world community in the last several years. Despite all this new power 2 Russia is wielding, there is still work to be done. Partly due to the Litvinenko poisoning incident last HotSpots session, there is more and more distrust forming of Putin. He is now working on an agreement with Belarus, hoping to secure a better deal with the gas exports through pipelines in that country. Unfortunately, the impression he has given the west, at least in the last few months, has been that, “…whoever did it, Mr Putin has been vilified in the West’s media…. But his [Gaider, a former Russian Prime Minister who was also poisoned with Polonium] plight can only add to the impression, widely held west of Minsk, that Russia is an increasingly dark place” (“Friends…”, December 9th, 2006). The other important issue at hand in Eastern Europe is that of the new events in the EU. To begin with, Romania and Bulgaria have joined the union, and have brought some potential problems with them. “…the Balkan pair differ from their predecessors. Bulgaria’s GDP per head in 2005 was only $3,480 and Romania’s $4,490against $9,240 for the eight entrants in 2004, and an EU-wide average of $29,330. And they are backward in many other ways…”(“The new…”, January 13th, 2006). The two newcomers have a lot of catching up to do before they are truly accepted as members of the European community. Although the entrance of these two countries has lowered the statistical averages for things like average wealth and GDP, it has actually raised the EU’s average growth levels significantly. One of the main reasons the EU is expanding is because Western Europe is generally stagnating, with production (and even population in some cases) going down. Once the new countries have met certain requirements (even more rigorous than those for entry) they will be able to join ever more selective ‘clubs’ of EU members. “The Schengen group allows travel without border checks between 15 countries (“old” EU minus Britain and Ireland plus non-EU Iceland and Norway). It will probably miss its autumn deadline to expand into central Europe, citing “technical” reasons. But in 2007 Slovenia will proudly become the first of the EU’s 2004 intake to join what will become the 13 member Euro zone” (“Joining…”, 2006). The Euro is one of the most exclusive of these ‘clubs’ and represents the most financially secure group of countries in the union. Lithuania aso planned to join the Euro, but its inflation rate was above the qualifying level due to amazing growth in the country. Despite this reason, it will still have to wait. Some countries plan to join the Euro at a later date, most likely after 2010, due to the time it will take to restructure the constitution. These countries include Cyprus, and perhaps Malta. The reform of the constitution is the second major change in the EU this session. Germany has taken control of the chancellorship of the union, and has pledged to fix the constitution, and to ‘get it right this time’. Some reforms planned include reexamining the processes by which new members enter the EU, and to “…toughen their existing 3 membership criteria and scrutinize their applicants more carefully. Candidates will no longer be given target dates for entry, as were Bulgaria and Romania”(“Back…”, December 23 rd, 2006). The last piece of information on the EU that I have concerns its relations with Russia, which I have already discussed partially above. It concerns the waning hopes Europeans might have once had about a EU spanning all of what is considered Europe by geographers. According to the Economist, “Most Europeans do not want to let the partnership agreement go. They have not given up hope that it could one day be used to lure the Russians into the sweet entanglements of pooled sovereignty and EU law” (Charlemagne, December 1st, 2006). In conclusion, I believe we can say that although much has occurred in Eastern Europe this session, most of it deals with new evidence of changes that are part of a continuous process of change in the region. Between Russian expansion and growth and the continuos changes in the EU, there is always new clues to this progress. As these events continue, we will begin to see a new Eastern Europe take shape, fueled (literally) by Russia and guided by the EU. Wordcount: 1227