José Manuel Barroso promised the European Parliament that as re-elected President of the European Commission he will have more authority to fight for Europe and defend its single market against economic nationalism.

But after five years, he will need to show more spine to enforce state aid and competition rules on Germany, Britain and France in the teeth of strong national financial or commercial interests.

The conservative former Portuguese Prime Minister, backed by all 27 EU governments, won an impressive absolute majority of EU lawmakers - more than the simple majority he required.

That gives him a stronger hand when facing inevitable pressure from the big boys over the carve-up of key Commission portfolios. Recent Commission moves to query state aid to banks (such as Dutch guarantees for ING) and scrutinise public funding of auto industry rescues (Germany's bung for Opel) are encouraging.

But it remains to be seen whether Mr Barroso, now he is no longer reliant on them for re-appointment, has the character to stand up to Angela Merkel, Nicolas Sarkozy or Gordon Brown on politically sensitive cases. In his first term, he often appeared to be a trimmer, and a multilingual chameleon. On paper, the Commission has the power to force the break-up or shrinkage of state-aided banks and prevent governments using public funds for industry to distort competition. Mr Barroso should start by appointing strong, independent commissioners in charge of competition and financial regulation.

He must rebuff French pressure to take the policing of state aid away from the rigorous EU competition department and give it to a more indulgent super-commissioner for industry.

He cannot choose whom member states send as commissioners, but he can decide what jobs to give them. He should put the most effective survivors of his current team, Spain's Joaquin Almunia and Finland's Olli Rehn, in key roles to guard the level playing field for business and improve financial regulation, without yielding to special interests or anti-capitalist overkill. He will also need a strong economics commissioner to coordinate EU countries' fiscal policies and structural reforms as they emerge from crisis, and gradually work towards a single European voice in international financial institutions.

Given conservative dominance of European politics, Mr Barroso will have more centre-right commissioners and fewer socialists than in the outgoing team. Yet, paradoxically, the public mood is less economically liberal, and he will face strong pressure to allow subsidies to protect jobs.

Germany's taxpayer-funded rescue of carmaker Opel offers an early test of Mr Barroso's determination to uphold EU rules. Will he stand up to Ms Merkel, his political patron, now that he no longer needs her backing for another term?

EU Commission chief's powers

Following is an overview of what powers the Commission President holds.

Selection and confirmation process

• Leaders from the 27 EU member states nominate the President of the Commission and the European Parliament also votes to approve the nominee.

• In agreement with member states, the president-designate appoints the other 26 members of the Commission - one per EU member state - and after confirmation hearings, the full team must win a vote of confidence from the EU assembly.

• Parliament can sack the entire Commission, including the president, but not individual members.

European Commission's powers

• The European Commission is one of the three main EU institutions along with the European Parliament and the Council of Ministers, which is made up of member states' leaders.

• The Commission is res- ponsible for proposing legisla- tion, implementing decisions and upholding the Union's treaties.

• Set up to act as an independent supranational authority separate from governments, it represents the EU in trade negotiations, rules in competition policy and draws up the EU's budget. Commission President's powers and responsibilities.

• The Commission President has the power to ask individual commissioners to resign or reallocate their responsibilities.

• As head of the EU executive, the President decides its policy priorities and organises its work. The President calls and chairs the meetings of the Commission.

• The Commission President represents the EU executive at high-level meetings such as EU summits, Group of Eight summits and meetings between the bloc and partners such as the US and Russia.

• The President also represents the Commission in major debates in the European Parliament and in the EU's Council of Ministers, where EU governments meet.

• The Commission President is supported by a Cabinet (private office) and by the Commission's secretariat-general, which is responsible for the practical organisation of the executive's work and its relationship with other EU institutions. The Commission's staff totals 38,000.

• The Cabinet and the secretariat coordinate the work of the Commission's departments in charge of policy areas ranging from fisheries and agriculture to external relations, competition, environment, transport, and energy.

The author is a Reuters columnist. The opinions expressed are his own.

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