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European Parliament

TradingKeyTradingKeyTue, Apr 15

The European Parliament serves as the legislative body of the European Union. It is elected directly by EU citizens every five years and holds legislative, supervisory, and budgetary powers. Comprising 705 Members of the European Parliament (MEPs) elected from the 27 Member States of the expanded European Union, it plays a crucial role in the EU's governance.

The Parliament has three primary functions:

  • Legislative:
    • Enacting EU laws in collaboration with the Council of the EU, based on proposals from the European Commission.
    • Making decisions on international agreements.
    • Determining matters related to EU enlargement.
    • Reviewing the Commission’s work program and requesting legislative proposals.
  • Supervisory:
    • Providing democratic oversight of all EU institutions.
    • Electing the Commission President and approving the Commission as a whole, with the authority to pass a motion of censure that could lead to the Commission's resignation.
    • Granting discharge, which involves approving the expenditure of EU budgets.
    • Reviewing citizens’ petitions and initiating inquiries.
    • Engaging in discussions on monetary policy with the European Central Bank.
    • Questioning the Commission and the Council.
    • Observing elections.
  • Budgetary:
    • Co-establishing the EU budget alongside the Council.
    • Approving the EU’s long-term budget, known as the “Multiannual Financial Framework.”

The allocation of MEPs for each country is generally proportional to its population, but follows a system of degressive proportionality: no country can have fewer than 6 or more than 96 MEPs, and the total number cannot exceed 705 (704 plus the President). MEPs are organized by political affiliation rather than nationality. The President of the Parliament represents it to other EU institutions and the external world, and has the authority to finalize the EU budget.

The distribution of seats in the European Parliament was adjusted following the UK's exit from the EU. As of February 1, 2020, the Parliament consists of 705 seats, down from the maximum of 751 prior to the UK's departure on January 31, 2020. Of the UK's 73 seats, 27 have been redistributed to other countries, while 46 seats remain reserved for potential future enlargements. According to the electoral act of 1976, EU countries must inform the European Parliament of their representatives before the mandates can officially begin.

The work of the Parliament involves two main phases:

  • Committees to prepare legislation:

    The Parliament has 20 committees and two subcommittees, each focusing on specific policy areas. These committees review legislative proposals, and MEPs and political groups can suggest amendments or propose to reject a bill. These matters are also discussed within the political groups.

  • Plenary sessions to pass legislation:

    During plenary sessions, all MEPs convene in the chamber to cast their final votes on proposed legislation and amendments. These sessions typically occur in Strasbourg for four days each month, with additional sessions sometimes held in Brussels.

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