Wednesday, November 27, 2019

Ideal Gas vs. Non-Ideal Gas Example Problem

Ideal Gas vs. Non Problem This example problem demonstrates how to calculate the pressure of a gas system using the ideal gas law and the van der Waals equation. It also demonstrates the difference between an ideal gas and a non-ideal gas. Van der Waals EquationProblem Calculate the pressure exerted by 0.3000 mol of helium in a 0.2000 L container at -25  °C usinga. ideal gas lawb. van der Waals equationWhat is the difference between the non-ideal and ideal gases?Given:aHe 0.0341 atm ·L2/mol2bHe 0.0237 L ·mol How to Solve the Problem Part 1: Ideal Gas LawThe ideal gas law is expressed by the formula:PV nRTwhereP pressureV volumen number of moles of gasR ideal gas constant 0.08206 L ·atm/mol ·KT absolute temperatureFind absolute temperatureT  °C 273.15T -25 273.15T 248.15 KFind the pressurePV nRTP nRT/VP (0.3000 mol)(0.08206 L ·atm/mol ·K)(248.15)/0.2000 LPideal 30.55 atmPart 2: Van der Waals EquationVan der Waals equation is expressed by the formulaP a(n/V)2 nRT/(V-nb)whereP pressureV volumen number of moles of gasa attraction between individual gas particlesb average volume of individual gas particlesR ideal gas constant 0.08206 L ·atm/mol ·KT absolute temperatureSolve for pressureP nRT/(V-nb) - a(n/V)2To make the math easier to follow, the equation will be broken into two parts whereP X - YwhereX nRT/(V-nb)Y a(n/V)2X P nRT/(V-nb)X (0.3000 mol)(0.08206 L ·atm/mol ·K)(248.15)/[0.2000 L - (0.3000 mol)(0.0237 L/mol)]X 6.109 L ·atm/(0.2000 L - .007 L)X 6.109 L ·atm/0.19 LX 32.152 atmY a(n/V)2Y 0.0341 atm ·L2/mol2 x [0.3000 mol/0.2000 L]2Y 0.0341 atm ·L2/mol2 x (1.5 mol/L)2Y 0.0341 atm ·L2/mol2 x 2.25 mol2/L2Y 0.077 atmRecombine to find pressureP X - YP 32.152 atm - 0.077 atmPnon-ideal 32.075 atmPart 3 - Find the difference between ideal and non-ideal conditionsPnon-ideal - Pideal 32.152 atm - 30.55 atmPnon-ideal - Pideal 1.602 atmAnswer:The pressure for the ideal gas is 30.55 atm and the pressure for van der Waals equation of the non-ideal gas was 32.152 atm. The non-ideal gas had a greater pressure by 1.602 atm. Ideal vs Non-Ideal Gases An ideal gas is one in which the molecules dont interact with each other and dont take up any space. In an ideal world, collisions between gas molecules are completely elastic. All gases in the real world have molecules with diameters and which interact with each other, so theres always a bit of error involved in using any form of the Ideal Gas Law and van der Waals equation. However, noble gases act much like ideal gases because they dont participate in chemical reactions with other gases. Helium, in particular, acts like an ideal gas because each atom is so tiny. Other gases behave much like ideal gases when they are at low pressures and temperatures. Low pressure means few interactions between gas molecules occur. Low temperature means the gas molecules have less kinetic energy, so they dont move around as much to interact with each other or their container.

Saturday, November 23, 2019

Sustainable Development Through Energy Management in a Prototypical Small Gulf State

Sustainable Development Through Energy Management in a Prototypical Small Gulf State Free Online Research Papers Sustainable Development Through Energy Management in a Prototypical Small Gulf State Engineering Research Paper Abstract This paper studies sustainable economic development through energy management with special reference to Qatar. It raises the question on the factors that have propelled growth in the region. There is a need to identify the problems facing a fast paced economy and the measures that should be taken to sustain economic development. Furthermore, natural resource-based growth has largely tied regional development to oil price and revenue fluctuations, and has stymied efforts at economic diversification. Globalization is expected to dismantle barriers in information and communication technologies, but the corresponding opportunities that these advances may bring have not yet been fully exploited, though efforts are being made now. A platform of priorities for action identifies the key challenges that must be addressed, to enhance efforts towards sustainable development in Qatar, during the coming ten or twenty years. Introduction a.Energy Scenario in the Global Perspective Energy has been playing an important role in the economic development all over the world. World population is expected to double by the middle of this century, and economic development will continue at a faster pace in the developing world than that in the developed world. The likely result is a 3-5 fold increase in the world economic output over the next 5 decades. By 2100, per capita income in most of the currently developing countries will have reached, and surpassed levels characteristic of the developed countries today, making current distinction between the two totally obsolete. Energy availability and universal access to energy will play a major part in this growth. However, resulting from this rapid economic development, it is not certain that adequate energy services will become available to every citizen in the next hundred years. Demand for energy will continue to grow. Even though focus will shift from primary energy to final energy form, it is expected that primary en ergy requirement will increase globally by 1.5 to 3 fold by the year 2050. According to a World Energy Congress (WEC) study, energy services will move towards more flexible, convenient and clean fuels reaching the consumer. High quality energy forms will become transitional fuels of choice. Thus, there will be an obvious shift towards electricity and towards higher quality fuels, such as, natural gas, oil products, Methanol and eventually hydrogen. Environmental considerations will hold the key to the future consumption patterns of energy. b.Economy of Qatar One easily notices the rapid growth of Qatars economy in all sectors. Qatar’s gross domestic product (GDP) was over US$ 20 bn last year and it is expected to be close to US$ 22bn by the end of the current year. Such accomplishments are the natural outcome of huge investments in oil, gas and petrochemicals. When investments in huge developmental of projects of firms such as QatarGas and RasGas start bearing fruit, the already buoyant economy is expected to get a further boost by the end of the current decade. This rapid economic growth has enabled it to rank as one of the highest per capita income countries’ in the world within a very short period. Qatar has emerged as one of the world’s wealthiest states since discovery of oil in the 1970s and much later, natural gas. Thus, Petroleum products have continued to be, the cornerstone of Qatars economy for over 30 years and accounts for more than 60% of total government revenue, more than 30% of gross domestic product , and roughly 80% of export earnings. The Qatari economy’s vulnerability to oil price movements, as well as its limited crude oil resources has led the Government, in the early nineties, to explore Qatar’s huge reserve of natural gas by making a strategic business and investment decision to commercialize natural gas reserves by developing the Liquid Natural Gas (LNG) sector. This led to the establishment of two major projects, namely RasGas and QatarGas, which are now major suppliers of LNG to world markets and contribute significantly to the State’s revenue. Also, Qatar has promoted investments in petrochemicals and fertilizer industries namely, QCHEM, QAFCO, QAFAC etc. Qatar has also promoted industries in the non-oil sector of the economy including Manufacturing, Construction, Finance, Insurance, Trading, Services and more recently Tourism. With such diversification in investment opportunities, production and export of natural gas in the form of LNG, pipe lin e gas, GTL and petrochemicals and fertilizers have registered a steady growth of Qatar economy during the last few years. The world demand for energy has been increasing. Table 1 below shows that Qatar’s oil and natural gas production has been increasing to cope up with the world trend. Table 1: Comparison of Qatar’s overall GDP contributors (Source: 2003 edition of the Middle East Economic Review) Overall Percentage Contribution to GDP (%) 1999 2000 2001 2002 2003 Oil Gas Sector 45.76 60.43 57.00 57.61 59.79 Non – Oil Sector 54.24 39.47 43.00 42.39 40.29 A study of GDP growth trend as above shows the following factors which contributed to such growth: The price of Qatar’s crude oil increased from year to year over last five years. During year 2003 the crude oil price was $27.9 p/b against corresponding price of $24.5 p/b as in 2002 registering an increase of 13.9%. The production volume of Qatar’s crude oil registered a steady growth. In 2003 the production was 714,000 bpd against 640,000 bpd in year 2002 showing a growth of 11.6%. The production of natural gas was increasing from year to year since its discovery. In 2003 the production of gas increased by 12.9% from the production of 2002. The production in 2002 registered a growth of 1.9% over the production of 2001. The export of LNG was rising. In 2003 the export of LNG stood at 14.4 million tons against 13.5 million tones in 2002 showing a growth of 6.7%. In real terms, the Non-Oil sector of the economy registered a growth, but its contribution as percentage of total GDP showed decline in growth because of rapid growth of the economy resulting from high contribution from oil and gas sector. (Note: 2004 statistics are not given as the price of crude oil and natural gas is too volatile to provide accurate statistics). It could be observed that contribution of Oil Natural Gas Sector to Qatars GDP has been growing steadily in the recent past. However, volatility of the price of crude oil and natural gas makes the Qatari economy quite vulnerable since revenues generated by energy exports becomes less insecure under such situations and also since the need for revenue is likely to be a source of competition for market share in future. 1. Objective of the Study This study analyzes the operating performances of Qatar Energy Industry under the present business environment for identification of the key result areas (KRAs) that are essential for strategic decision making. The report would cover the KRAs for improving upon business results and decision making as also how funds generated could be employed for sustainable development of socio economic condition of the Country. This is crucial for improvement of the living conditions, dignity and welfare of the people of Qatar. The project report will analyze past performance and the business environment to determine the world trend of business. After a SWOT-analysis, the report aims at preparing a holistic plan for sustainable development and growth of the energy industry in Qatar for its contribution to the society. 2. Methodology Since the growth in the non–oil sector correlates with the growth of the oil and gas sector, analysis of historical Balance Sheets and Profit Loss Accounts of the companies in the oil and gas sector would generate statistical data for determination of trend in the businesses. In modern process industries and in oil and gas production industries, capacity utilization, wastage minimization and cost reduction and cost control, besides energy conservation play a crucial role in improving productivity, quality and profitability in addition to growth. Continuous innovation in technology and management is a matter of necessity for survival in a liberalized economy. In the absence of in-house RD facilities in the areas of respective line of technology, it is essential to embark upon innovative management for identification of diversification areas matching with the line of business. Assuming the hydrocarbon in the world cannot last for very long the researchers have since embarked upon technology to develop clean energy from renewable sources. Already commercial exploitation of such technology and renewable sources has taken place. Attempts are already being made to develop eco-friendly bio-fuel to meet with ever-increasing demand for energy. A mega-research project for production of hydrogen as a fuel is already underway. All such innovation in science and technology will act as competitors to hydro-carbons. However, the results of these futuristic researches may not be applicable to the next couple of decades in this world. Accordingly, attempts must be made to make the best of the available resources in the coming decades. It is essential in the long run to slowly but steadily de-link the economy of the country purely based on exploration of hydro-carbon to a process of sustainable development in line with the movement of the world. However, it is required t o develop indices to be closely monitored so as to ensuring optimal utilization of the available resources during the coming decades. 2.1 Fund Flow and Ratio Analysis The process of determining KRAs will involve analysis of historical operating performances. This could be done initially from the audited annual reports. However, for in-depth analysis, a study may be required to be made at various levels in operating areas. For illustration purposes, the audited annual report of QAFCO (Qatar Fertiliser Company) for the year 2003 was studied against the audited balance sheet for the financial year 2002. The fund flow statement has been prepared as shown in Table 2. Table 2: Fund Flow Statement for QAFCO for the Financial Year 2003 Source of Fund Application of Fund Brief Particulars Qatari Riyal Brief Particulars Qatari Riyal Increase in Paid up Share Capital 100000000 Increase in Investment in Property, Plant and Equipment 522743745 Increase in Legal Reserves 20072377 Increase in Dues from Shareholders and Related Parties 96242101 Increase in Availability of Fund for Payment of Dividend 250000000 Increase in Accounts Receivable 29867635 Increase in Syndicated Loan 651560000 Increase in Other Receivables and Prepayments 25558104 Increase in Accrual of Employers’ Service Benefit 2461760 Increase in Cash Balance and Bank Balance 426388445 Increase in Accrual of Minority Interest 12217130 Reduction in Accounts Payable and Accruals 83100445 Increase in Dues to Share Holders and related Parties 42596559 Increase in Provision for Pension Liabilities 2548042 Reduction in Value of Inventory 22805252 Increase in Retained Earnings 79639355 Total 1183900475 Total 1183900475 An analysis of the important financial ratios worked out from the said annual report is presented in Table 3. Table 3: Financial Ratio Analysis of QAFCO for the Financial Years 2002 and 2003 Brief Particulars of the Ratio 2003 2002 Return on Investment 31.09% 13.65% Margin on Sales 45.43% 26.54% Profit/Fixed Assets 22.82% 11.22% Sales/Fixed Assets 50.24% 42.26% Sales/Current Assts 32.11% 29.33% Inventory/Sales 0.0715 0.0725 Debtors/Sales 0.0415 0.0328 Material/Sales 11.46% 13.45% Employment Cost/Sales 8.47% 12.34% Depreciation Cost/Sales 8.45% 12.34% Value Added Per Qatari Riyal Employment in Riyals 9.44 6.19 Increase in Sales 46.74% Increase in Material Cost 26.42% Increase in Employment Cost 1.85% Increase in Investment in Projects 24.82% From the study of the Tables 2 and 3 the following could be observed: Increase in turn-over in 2003 over 2002 was 46.74% with corresponding increase in material cost and employment cost at 26.42% and 1.85% respectively. The increase in investment during 2003 on productive fixed assets registered a figure of Qatari riyals 522,743,745 which is 24.83% more than that during 2002. Again employment cost which was 12.34% of sales in 2002 became 8.45% in 2003 when the sales registered a growth of 46.74%. This establishes that the employment cost was not KRA for this company. With 46.74% growth in sales, the material cost increased by 26.42%. Again material content of sales, which was 13.45% in 2002 dropped to 11.46% in 2003. This suggests that there are avenues in operations to reduce the material content of production. Ratio analysis in the table above shows that the inventory holding was for 3.77 weeks of sales which was reduced to 3.72 weeks in 2003. Therefore, not much benefit could be obtained from inventory management. This suggests that attempts should be made for price reduction of material, increase in yield of material and material wastage reduction for optimizing material content of production. It is noted that against an increase in investment in productive assets of 24.82% the growth of sales registered a figure of 46.74%. The ratio analysis shows that asset turn over ratio increased from 42.26% in 2002 to 50.24% in 2003 and the margin on sales increased from 26.54% in 2002 to 45.43% in 2003. This shows that capacity of the existing plant and machinery could not be utilized fully in 2003. As the company is highly technology intensive, cost of modernization from time to time may push up the fixed cost which might raise the break-even volume of sales at current price. This suggests a detailed analysis of the operations and also a detailed audit of the cost structure. The strategy adopted may be either low volume of production with high margin on sales if the market so permits. Alternatively, high volume of production at low price strategy could be adopted to cover more market share and ultimately become a monopolist. This practice has been adopted by the Chinese manufactur ing industry which has ultimately become the production center of all manufactured goods in the world today. The fund flow statement shows that increase in investment on property, plant and equipment amounting to Qatari riyal 522,743,745 was financed principally through increase in syndicated loan amounting to Qatari riyal 651,560,000, although there was increase in cash balance and bank balance to the tune of Qatari riyal 426,388,445 which represent 81.57% of the increased in investment. This might have reduced net profit and hence the retained earnings. Subsequently, a look at the capital structure of the company may yield results in terms of reduction in liabilities and increase in return on investment. In view of the foregoing, for identifying the key result areas it would be necessary to study the following particulars: Desk Research: (a) Annual reports of the company since its inception. (b) Annual Economic Review of the Government of Qatar for the last 5 years. (c) Audited Annual Reports of the competitors in the world since last 5 years. (d) Currency fluctuation statistics between Qatari riyals and the currency of the importing country for the last 5 years. (e) The present market segment of the company. (f) Proposed market segment of the company. (g) Statistics of gas and oil price fluctuations in Qatar for last 5 years. (h) Indication of areas of alternative investments of excess funds generated keeping in line with socio economic development goals Field Research: (a) Study of the operation of the plant. (b) Study of the technology and performance of the plant. (c) Study of cost structures and establishing of a management information system. (d) Market research on a global basis. (e) Determination of a techno-commercial model with variation in quantity of sales, price per unit, cost per unit, operation at different percentage of plant capacity utilization, foreign exchange fluctuations and oil price fluctuation in OPEC. Both the above studies must be made for all the companies in the oil and gas sector in Qatar. Above mentioned ratio analysis is an analytical tool for analyzing the performance of a firm. â€Å"While ratios are easy to compute, which in part explains their wide appeal, their interpretation is problematic, especially when two or more ratios provide conflicting signals. Indeed, ratio analysis is often criticized on the grounds of subjectivity that is the analyst must pick and choose ratios in order to assess the overall performance of a firm.† [refer Feroz E.H.et.al.] Accordingly, we apply Data Envelopment Analysis (DEA), which is basically an application of repeated linear programs, on the historical data on input and output to reinforce the study based on ratio analysis. 2.2 Introduction to DEA DEA is commonly used to evaluate the efficiency of a number of producers. A typical statistical approach is characterized as a central tendency approach and it evaluates producers relative to an average producer. In contrast, DEA is an extreme point method and compares each producer with only the best producers. By the way, in the DEA literature, a producer is usually referred to as a decision making unit or DMU. Extreme point methods are not always the right tool for a problem but are appropriate in certain cases. A fundamental assumption behind an extreme point method is that if a given producer, A, is capable of producing Y (A) units of output with X (A) units of inputs, then other producers should also be able to do the same if they were to operate efficiently. Similarly, if producer B is capable of producing Y (B) units of output with X (B) inputs, then other producers should also be capable of the same production schedule. Producers A, B and others can then be combined to form a composite producer with composite inputs and composite outputs. Since this composite producer does not necessarily exist, it is sometimes called a virtual producer. The heart of the analysis lies in finding the best virtual producer for each real producer. If the virtual producer is better than the original producer by either making more output with the same input or making the same output with less input then the original producer is inefficient. Some of the subtleties of DEA are introduced in the various ways that producers A and B can be scaled up or down and combined. The procedure of finding the best virtual producer can be formulated as a linear program. Analyzing the efficiency of n producers is then a set of n linear programming problems. The following formulation is one of the standard forms for DEA. Lambda (?) is a vector describing the percentages of other producers used to construct the virtual producer. X and Y and are the input and output vectors for the analyzed producer. Therefore, ?X and ?Y describe the virtual input and output respectively. The value of theta (?) is the producers efficiency. DEA Input-Oriented Primal Formulation s.t. ? free, ? ? 0 It should be emphasized that an LP of this form must be solved for each of the DMUs. There are other ways to formulate this problem such as the ratio approach or the dual problem but this formulation is the straightforward. The first constraint forces the virtual DMU to produce at least many outputs as the studied DMU. The second constraint finds out how much less input the virtual DMU would need. Hence, it is called input-oriented. The factor used to scale back the inputs is ? and this value is the efficiency of the DMU. The data required for application of this model are the historical data on input and output of a particular company. However, if this model is used for determination of the relative efficiencies of a particular company visvis its peers/competitors, then the input and output of all the companies are required. If historical input and output data are available, then trends of the relative efficiencies of the companies could also be easily studied. The format for data to be collected for implementing this model can be described as shown in the Table 4 below. Table 4: Format for Data to be collected for DEA Model (QAFCO, as a whole) Year Input Units (Amount/Nos.) Consumed/Used Output Units Produced Raw Materials # Employed Electricity Consumables Urea Ammonia 2003 2002 2001 etc. For determining relative efficiency of each of the four trains of QAFCO, similar format for data collection as shown in Table 5 may be adopted. Table 5: Format for Data to be collected for DEA Model (for different Trains of QAFCO) (For Year 2003) Train Input Units (Amount/Nos.) Consumed/Used Output Units Produced Raw Materials # Employed Electricity Consumables Urea Ammonia 1 2 3 4 (Repeat the same for other years like 2002, 2001, etc.) For determining relative efficiency of many companies engaged in similar kind of operations, similar format for data collection as shown in Table 6 may be adopted. Table 6: Format for Data to be collected for DEA Model (For more than one company like QAFCO) (For Year 2003, say) Co. Input Units (Amount/Nos.) Consumed/Used Output Units Produced Raw Materials # Employed Electricity Consumables Urea Ammonia 1. 2. 3. Etc. (Repeat the same for other years like 2002, 2001, etc.) 3. Research timetable Activity Estimated Timeframe Develop or adapt research objectives 1 day Design research protocol 1 week Recruit interviewers 2 weeks Translate instruments into local language 1 week Train interviewers (include pretesting and revising 2 weeks instruments in training) Collect data 2 weeks Transcribe recordings 1 week Translate transcripts 2 -3 weeks Preliminary analysis in field 2 weeks Prepare for presentation 1 day Presentation 1 day Complete analysis 2 weeks Prepare report 1 week 4. References 1) Doing Business with Qatar – Philip Dew 2) Landmark Regional Review (Arabian Gulf) Booklet – 2003 Edition 3) Landmark Technical Review Booklet – March 2003 Edition 4) Doing Business in Qatar – Qatar National Bank, 2003 Edition 5) Qatar Economic Review – Qatar National Bank, April 2003 Edition 6) International Petroleum Encyclopedia – PennWell, 2003 Edition 7) Oil and Gas in the Middle East – 2002 Edition 8) Qatari Projects: Current and Forthcoming – Qatar National Bank, March 2004 9) Mash’al Magazine – QP in-house magazine, January to August 2004 Editions 10) Structured Corporate Finance – Qatar National Bank, 2004 Edition 11) The LNG Industry – Andy Flower 12) Landmark Corporate Website (www.lgc.com) 13) RasGas Corporate Website (www.rasgas.com.qa) 14) Qatargas Corporate Website (www.qatargas.com.qa) 15) QP Corporate Website (www.qp.com.qa) 16) Official 2005 Business Plan for Dukhan Drilling – QP 17) Official 2004/2005 Dukhan Field Drilling and Workover sequence – QP 18) Business Plan for all QP Oil and Gas Projects – QP 19) Middle East Economic Review 2003 20) RasGas Magazine No. 8, July-September 2004 21) Qatar Economic Review, April, 2004 22) Oryx, August 2004 23) Annual Report – 2003, Qatar Petroleum 24) Annual Report – 2003, Qatar Fertiliser Company 25) Annual Report – 2003, Shaping the Future 26) The Peninsula, Sunday, August 29, 2004 27) Gulf Times, Saturday, August 28, 2004 28) Feroz E.H.; Kim S.; Raab R.L.; â€Å"Financial statement analysis: A data envelopment analysis approach†; Journal of the Operational Research Society; January 2003, Vol. 54, No. 1, pp. 48-58 (11) 29) David Hawdon; â€Å"Efficiency, performance and regulation of the international gas industry a bootstrap DEA approach†; Department of Economics Surrey Energy Economics Centre, University of Surrey, Guildford, Surrey,. GUP 7XH, UK. 5. Literature review Fetterman, D. M., Kaftarian, S. J., Wandersman, A., Eds. Empowerment Evaluation: Knowledge and Tool for Self Assessment and Accountability, Thousand Oaks, London, New Delhi: Sage, 1996 Patton, M. Q. Qualitative Research and Evaluation Methods. Thousand Oaks, London, New Delhi: Sage, 2002 Research Papers on Sustainable Development Through Energy Management in a Prototypical Small Gulf StatePETSTEL analysis of IndiaBionic Assembly System: A New Concept of SelfInfluences of Socio-Economic Status of Married MalesDefinition of Export QuotasOpen Architechture a white paperAssess the importance of Nationalism 1815-1850 EuropeThe Project Managment Office SystemMarketing of Lifeboy Soap A Unilever ProductAnalysis of Ebay Expanding into AsiaRiordan Manufacturing Production Plan

Thursday, November 21, 2019

EU Constitutional Law Essay Example | Topics and Well Written Essays - 3250 words

EU Constitutional Law - Essay Example The frustration with integration theories was due to, first, the scope of the study of integration, second, the participants who were effectively engendering integration and third, the process or mechanism of integration. This approach indicated the importance of certain factors, which had been omitted in the initial assessment. Despite, rejection by the intergovernmental conference, the proposed introduction showed that the Convention's aim was to vitalize the idea of democracy. The democratic constitution of the European Communities was considered unimportant and unnecessary by many scholars who felt that an internal market endorsed individual freedom1. In spite of this, the EU's transformation from purely economic to political cooperation has necessitated such thinking. The Amsterdam Treaty2 has incorporated democracy as a fundamental value into the foundational treaties3. Article 2 of the Treaty Establishing a Constitution for Europe4 (CT) lists democracy as a central value of the Union and Articles 1- 47 buttresses this notion under the title "The Democratic Life of the Union" as representative5 and participatory6 democracy. Although, the necessity of democratic governance is universally recognized its discourse, premises and content are frequently discussed7. The holistic approach is based on society and the assumption that there exists a common good which differs from the aggregate of all individual interests. The subject of legitimacy in the individualist position refers to the individual and hence, the aim of public policy is to promote individual interests. A state-centered collectivist approach deters further integration and limits decision-making to the national parliaments8. Hence, at the European level, the Council of Ministers have to play a vital role and from an individualistic perspective and the European Parliament, which represents the European citizenry is the main organ for obtaining democratic legitimacy9. Foundation. The holistic legitimacy concept justifies the state-centered democratic vision, which states that only national peoples are subjects of legitimacy. Since, minorities accept majority decisions only if the citizenry has a certain national homogeneity, legitimacy has to be derived from national parliaments. Hence, absence of a European demos is a hurdle to further integration. The legitimacy of the state-centered, collectivist approach is dubious as no relationship exists between society and the nation state10, which is independent of a national or homogenous group11 or a cultural, religious or social consensus. Constitutional Treaty and Legitimacy. Article 2 CT lists dignity and individual liberty in the Union's fundamental values with the individualistic concept of democracy being adopted theoretically and it accords center stage to the individual in the European legal order, which is further strengthened by the guarantee of equality prescribed in Articles 2 and 45 CT. These provisions grant European citizens equal rights, rendering mediation of citizen's rights by a state or nation unnecessary. Therefore, the guarantee of liberty and equality exemplify that the European Constitution is based on an individualistic concept of democracy12. Article 1 (1) CT, lists the will of the member states to build a common future beneath