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European Communities (Definition of Treaties) (Agreement on Enlargement of the European Economic Area) Order 2007

rose to move, That the Grand Committee do report to the House that it has considered the European Communities (Definition of Treaties) (Agreement on Enlargement of the European Economic Area) Order 2007. The noble Baroness said: I am pleased to move the Motion for this order on enlargement of the European economic area to include Bulgaria and Romania. As the Committee is aware, the Government have put tremendous effort into ensuring that Bulgaria and Romania were able to join the European Union as scheduled on 1 January this year. The order is a formal step towards delivering the benefits of enlargement. The UK can be proud of the major part that it has played in ensuring that conditions were right for EU enlargement to happen. We will continue to promote and support reform in Bulgaria and Romania, helping those countries to fulfil their potential. Bulgaria and Romania are now important partners in tackling global challenges such as climate change, globalisation and security. The subject of the order, the agreement signed in Brussels on 25 July 2007, together with four protocols that are not the subject of the order, allows the participation of Bulgaria and Romania in the European economic area. The EEA allows Iceland, Norway and Lichtenstein to participate in the internal EU market, bringing benefits to them and us in trade and the free movement of people. It is important to bring the EEA agreement into line with the expanded EU, to create a single market that embraces Bulgaria and Romania, and Iceland, Norway and Lichtenstein—a single market encompassing 30 countries with a population of almost 500 million citizens. Through the EEA enlargement agreement, Iceland, Norway and Lichtenstein will make valuable financial contributions to economic and social reform in Bulgaria and Romania. Negotiations on the level of contributions to be made by the EEA states were the primary reason for the delay in Bulgaria and Romania's entry into the EEA, which should have been 1 January, the date of their EU accession. Under the terms of the agreement and four associated protocols, Iceland, Norway and Lichtenstein will contribute €72 million from 1 January 2007 to 30 April 2009 to alleviate social and economic disparities in the enlarged EEA. Norway will also contribute €68 million as additional bilateral financial contributions over the same period. In addition, the Community has signed two supplementary agreements, with Norway and Iceland respectively, governing additional market access commitments for certain fish projects from those two countries into the Community until 30 April 2009 in order to take account of the addition of Bulgaria and Romania to the single market. I believe that this is a positive measure for the UK, ensuring effective free trade between European partners. I am sure that we will agree that this is a welcome agreement that supplements part of the EU enlargement process, ensuring that full benefits are available to Bulgaria and Romania. I hope that we will approve the order. I beg to move. Moved, That the Grand Committee do report to the House that it has considered the European Communities (Definition of Treaties) (Agreement on Enlargement of the European Economic Area) Order 2007. 3rd Report from the Statutory Instruments Committee.—(Baroness Royall of Blaisdon.)