Division of competences within the European Union

SUMMARY OF:

Article 2 of the Treaty on the Functioning of the European Union – categories and areas of EU competence

The European Union (EU) only has the competences (powers) conferred on it by the treaties (principle of conferral). Under this principle, the EU may only act within the limits of the competences conferred upon it by the EU Member States in the treaties to attain the treaties’ objectives. Competences not conferred upon the EU in the treaties remain with the Member States.

The Treaty of Lisbon clarifies the division of competences between the EU and its Member States. These competences are divided into three main categories:

• exclusive competences of the EU
• shared competences and
• supporting competences.

Three main types of competences

The EU has an exclusive competence for the conclusion of international agreements under certain conditions.

• 1.
  Exclusive competences of the EU (Article 3 of the Treaty on the Functioning of the European Union (TFEU)). Areas in which the EU alone is able to legislate and adopt binding acts. Member States are able to do so themselves only if given the powers by the EU to implement these acts. The EU has exclusive competence in the following areas:

  • customs union
  • the establishing of competition rules necessary for the functioning of the internal market
  • monetary policy for euro-area countries
  • conservation of marine biological resources under the common fisheries policy
  • common commercial policy.
• 2.
  Shared competences (Article 4 of the TFEU). The EU and its Member States are able to legislate and adopt legally binding acts. Member States exercise their own competence where the EU does not exercise, or has decided not to exercise, its own competence. Shared competence between the EU and its Member States applies in the following areas:

  • internal market
  • social policy (but only for aspects specifically defined in the treaty)
  • economic, social and territorial cohesion (regional policy)
  • agriculture and fisheries (except conservation of marine biological resources)
  • environment
  • consumer protection
  • transport
  • trans-European networks
  • energy
  • area of freedom, security and justice
  • common safety concerns in public health matters (limited to the aspects defined in the TFEU)
  • research, technological development and space
  • development cooperation and humanitarian aid.
• 3.
  Supporting competences (Article 6 of the TFEU). The EU can only intervene to support, coordinate or complement the action of its Member States. Legally binding EU acts must not require the harmonisation of the laws or regulations of the Member States. Supporting competences relate to the following policy areas:

  • protection and improvement of human health
  • industry
  • culture
  • tourism
  • education, vocational training, youth and sport
  • civil protection
  • administrative cooperation.

Special competences

The EU can take measures to ensure that Member States coordinate their economic, social and employment policies at EU level.

The EU’s common foreign and security policy is characterised by specific institutional features, such as the limited participation of the European Commission and the European Parliament in the decision-making procedure and the exclusion of any legislation activity. That policy is defined and implemented by the European Council (consisting of the heads of states or governments of the Member States) and by the Council of the European Union (consisting of a representative of each Member State at ministerial level). The President of the European Council and the High Representative of the Union for Foreign Affairs and Security Policy represent the EU in matters of common foreign and security policy.

Exercise of competence

The exercise of EU competences is subject to two fundamental principles laid down in Article 5 of the Treaty on European Union.

• Proportionality. The content and scope of EU action may not go beyond what is necessary to achieve the objectives of the treaties.
• Subsidiarity. In the area of its non-exclusive competences, the EU may act only if – and in so far as – the objective of a proposed action cannot be sufficiently achieved by the Member States, but could be better achieved at EU level.

MAIN DOCUMENT

Consolidated version of the Treaty on the Functioning of the European Union – Part one – Principles – Title I – Categories and areas of Union competence – Article 2 (OJ C 202, 7.6.2016, p. 50).

last update 24.02.2022

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