Iceland and the European Union
Report on the political
situation in Iceland in relations with the European Union before the
general elections on April 25, 2009.
by Hjörtur J. Guðmundsson
Introduction
Iceland has never applied for membership of the European Union. The
debate has so far never gone further than just debating the issue.
Iceland’s relations with the EU are mainly based on the EEA Agreement [1] between the EU and the EFTA [2]
(which Iceland is a member of along with Norway, Liechtenstein and
Switzerland. The last country is, however, not a members of the EEA [3]) which grants Iceland full access to the EU’s
Single Market and at the same time obliges the country to adopt EU laws
concerning it. Iceland is also a member of the Schengen borderless zone.
It is a widely used explanation that the fisheries are more or less the
sole reason why Icelanders have choosen to stay out of the EU. The
fisheries are surely extremely important to Iceland and the biggest
pillar of its economy. However, the main reason is without doubt the
independence and sovereignty. Which includes naturally the sovereignty
over Iceland’s natural resources. The history of Iceland is regarded as
a textbook example of how national independence and progress are
entwined. How important it is for nations to be able to control their
own destiny and be able to secure their own interests themselves.
The history
The public attitute towards EU membership has through the years been
divided in two with almost as much support for either side according to
opinion polls. At times the yes side has been few percents ahead and at
others the no side has had an advance. On few limited occasions,
however, either side has gained significantly more support. EU
membership has never become an election issue in Iceland and as a rule
increased debate on the issue has lead to increased opposition in
opinion polls. In recent years only one political party represented in
the Icelandic parliament, the Althing, has favoured membership
negotiations with the EU.
For the past years there have been five political parties represended
in the Althing:
- The Independence Party
(Sjálfstæðisflokkurinn) –
conservative/liberal/libertarian
- The Social Democratic Alliance (Samfylkingin) –
social democrat
- The Left Green Movement (Vinstrihreyfingin –
grænt framboð) – socialist/green
- The Progressive Party (Framsóknarflokkurinn)
– centrist/liberal
- The Liberal Party (Frjálslyndi flokkurinn) –
social liberal
The Independence Party
was founded in 1929 through the merger of two center-right parties and
has always been opposed to membership of the EU and its forerunners.
The party was along with the Social Democratic Party (today a part of
the Social Democratic Alliance) mainly responsible for Iceland’s
membership of the EEA Agreement. The Independence Party has
traditionally been Iceland’s biggest party gaining from 35-40 percent
of the votes. In the last general elections in 2007 it got 37 percent.
However, the party has been widely blamed for the banking collapse due
to the fact until January it had been in government constantly since
1991. As a result according to the last poll by Gallup on April 2 the
party has 25 percent.
The Social Democratic
Alliance was founded in 2000 through the merger of four older
left of center political parties. It has since 2002 been in favour of
EU membership negotiations after a postal vote was conducted among
party members. The party has received around 30 percent in general
elections. In the elections in 2007 it got 27 percent. According to the
last poll it has 29 percent.
The Left Green Movement
was founded in 1999 and has from the beginning been opposed to EU
membership. The party was founded by people who for ideological reasons
opposed the idea of merging the whole Icelandic center-left into one
single party which later became the Social Democratic Alliance. The
Left Green Movement has received around 10 percent in general
elections. In the elections in 2007, however, it got 14 percent.
According to the last poll it has 28 percent.
The Progressive Party
was founded in 1916 and is thus Iceland’s oldest political party still
in existence. It was originally founded as a agrarian party but as
increasing number of people moved from the countryside to towns and
villages during the 20th century the party redefined itself as a
centrist party while still holding strong ties with the countryside.
The party was opposed to EU membership but in later years its policy
has become one of observing the issue mainly as an attempt to reconcile
different opinions among its members. The Progressive Party has
traditionally had around 15-20 percent of the votes in general
elections. In the elections in 2007 the party got 12 percent. According
to the latest poll it has 11 percent.
The Liberal Party
was founded in 1998 mainly to oppose the Icelandic fishing system which
the party sees as unjustful. The party has always rejected EU
membership mainly on the grounds of opposition to the Common Fisheries
Policy. The Liberal Party has been the smallest of the five parties
represented in the parliament in recent years. It has received around
5-10 percent in general elections. In the elections in 2007 the party
got 7 percent. According to the latest poll it has about 1.5 percent.
Recent events
In the wake of the collapse of almost all the Icelandic banking sector
in October 2008 a public panic emerged which among other things
revealed itself in increased support for EU membership according to
polls. There was a certain demand for a safe harbour and the yes side
systematically portraited the EU as being one. There was also a certain
panic among the politicians with some of them, who previously had
opposed EU membership, starting to say that perhaps a referendum should
be held on the issue. The leadership of the Independence Party decided
in November to advance its national congress and hold it at the end of
January 2009 among other things to review its position on EU membership.
This decision by the Independence Party’s leadership was widely seen as
an attempt to pacify the then coalition partner in government the
Social Democratic Alliance which had after the banks collapsed put an
increased emphasis on EU membership and even threatened to break up the
government if the Independence Party did not change its policy on the
EU. The Independence Party’s leadership also formed a special committee
within the party with the task of researching what EU membership would
mean for Iceland and to provide a platform for the party’s members to
voice their opinions. The committe held many meetings which showed
clearly that vast majority of party members opposed EU membership.
However, before the Independence Party’s national congress could be
held the Social Democratic Alliance left the government and formed a
minority government with the Left Green Movement and with the support
of the Progressive Party which will be in power until the election on
April 25. As a result of this the leadership of the Independence Party
decided to move the national congress to the end of March. In the
beginning of the year 2009 the public attitute towards EU membership
changed completely according to repeated polls with a majority opposed
to EU membership.
Results of national
congresses
The Independence Party eventually held its national congress on March
26-29. The party reaffirmed its previous policy that EU membership was
not in the interests of the Icelandic people. The congress stated that
a review of its postion towards EU membership had not led to a changed
policy. The congress also stated that the issue should be put to a
referendum if it would be addressed at some point in the future.
The Social Democratic Alliance held its national congres March 27-29.
The party reaffirmed its previous policy that Iceland should apply for
EU membership and start membership negotiations. The party leadership
said it would put special emphasis on EU membership, both during the
elections campaign and if the party will participate in forming a new
government after the elections.
The Left Green Movement held its national congress March 20-22 where
its previous opposition to EU membership was confirmed. The party also
stated that if the issue would be addressed at any time in the future
it should be put to a referendum.
The Progressive Party held its national congress in mid January
accepting a changed policy towards EU membership. The party is now in
favour of starting membership negotiations with the EU. However, the
congress also agreed on certain strict conditions to be fulfilled for
the party to support membership. Among them full authority over
Icelandic natural resources including the fishing resource. A new
chairman was also elected at the congress who has said that
negotiations with the EU are not relevant until after the Icelandic
economy has recovered. Addressing the issue while the economy is in
tough times is simply not sensible.
Liberal Party held its national congress on March 13-14 where its
previous policy opposed to EU membership was confirmed. The party had
conducted a mail vote among party members in December 2008 asking if
Iceland should seek EU membership or not resulting in 52 percent
against and 35 percent in favour.
Conclusion
The campaign before the general elections on April 25 will for obvious
reasons be very short. At this point nothing indicates EU membership
will be an issue now more than in previous general elections in
Iceland. The short campaigning will probably constribute additionally
to this since others issues are likely, as before, to be seen as much
more important to address. However, the Social Democratic Alliance has
as mentioned before claimed it will put special emphasis on EU
membership, both during the elections campaign and if the party will
participate in forming a new government after the elections. The
problem for the social democrats is with whom they are going to apply
for EU membership?
(April 11, 2009)
[1] EEA stands for European Economic Area.
[2] EFTA stands for The European Free
Trade Association.
[3] The Swiss rejected membership of
the EEA in a referendum in [year] and in the wake of that concluded a
series of bilateral agreements with the EU regarding free trade, free
movements of goods, etc.
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