Ireland's rejection of the Nice Treaty highlighted the remoteness of EU institutions from citizens, according to a White Paper to be adopted by the European Commission today.
"The Irish No showed how alienated many people are. This was reflected not only in the final outcome of the referendum, but also in the low turnout and quality of the debate which preceded it," the paper says.
The White Paper on Governance is aimed at making the EU more accessible to citizens and streamlining the Commission. Officials stress it is not a direct response to Ireland's rejection of the Nice Treaty. But the low turnout in the referendum and in European Parliament elections have added a sense of urgency to the reform plan.
The paper proposes involving representatives of regional and local government at an early stage in the formulation of EU policies. And it suggests that policies could be implemented in a more flexible way.
The Commission promises to simplify EU rules and consider if action is necessary at European level in all policy areas.
The White Paper acknowledges that many citizens perceive the EU as ineffective in tackling problems such as unemployment and food safety, while resenting European interference in their lives.
"People do not see that improvements in their rights and quality of life actually come from European rather than national decisions."
The White Paper has been controversial among commissioners, with some complaining it is too timid.
Sources close to Mr Romano Prodi stress the White Paper does not represent the Commission President's last word on EU reform. It is aimed at restoring confidence in institutions before the debate on Europe's future begins in earnest later this year.