Throughout this essay, the focus will be the three main principles, which are conferral, subsidiarity and proportionality and assessing how the principles work together to shape the legislative competence of the European Union today. Conferral being one of the fundamental principles of European Union law, it governs the limits on Union competences, while the principles of subsidiarity and proportionality govern the use of those competencies. These specific competencies are stated in Article 2-6 of the Treaty of the Functioning of the European Union Article (2-6) TEFU. The competencies that are not conferred on the European Union by the treaties, therefore it remains with the European Union. There are types of competences. The following are exclusive competences which is when the area in the European Union itself can legislate and adopt binding acts, another type of competence is shared competences where the European Union and the European Union countries are able to legislate and adopt legally binding acts and lastly supporting competences where the European Union can only intervene to support, coordinate or complement the action of European Union countries. The functions of the principle of subsidiarity are established in Article 5 of the Treaty on European Union Article (5) TEU, and it is to build up a framework for checking the use of those standards. This Treaty provides a legal foundation for all European Union actions. The European Union has multi-level control structure this requires skills are distributed between the different levels. In some occasions the European Union has exclusive competence in the act, however, in others, it shares competence with the Member States. In the instances when the European Union shares competence with the Member States, the principle of subsidiarity indicates which is used to establish whether legislative action should be taken at the European Union or domestic level. The aims of the principles of subsidiarity are the assurance that decisions are taken as carefully as possible to the citizen and the consistency checks are made to confirm that action at the European Union level is reasonable in the light of potential outcomes available at regional national or local level. The areas that do not fall within exclusive competences under the principle of subsidiarity then the Union will act only as the aims of the suggested action as it cannot be sufficiently accomplished by the Member States. The Lisbon Treaty has reinforced the role of both the Court of Justice and national parliaments in monitoring compliance with the principle of subsidiarity. Similarly, to the principle of subsidiarity, the principle of proportionality controls the practice of powers by the European Union. It requires determining actions taken by European Union institutions within specified bounds. Actions of the European Union must be limited to what is compulsory to accomplish the aims of the Treaties under the rule. The division between the European Union and its member countries is illustrated in the Treaty of Lisbon. The actions in the principle of proportionality will not exceed what is necessary to complete the aims of the Treaties. The foundation of the Union should apply the principle of proportionality as set down in the protocol on the practice of the principles of subsidiarity and proportionality. In the case of R v Minister of Agriculture (1990) Case C-33/88 R v Minister of Agriculture, Fisheries and Food ex parte Fedesa (1990) it highlighted that there was a violation of the free movement of goods as the economic activity can be proportionately prohibited, there would not be an excessive effect. There are three steps to the principle of proportionality, the following are suitability which measures if the legitimate aim is achievable. The second step is the necessity which measures if the aim is achievable or there are less restrictive means available and lastly proportionality is to measure if the applicant’s interest has an excessive effect. The Commissions applies the principles of subsidiarity and proportionality to direct its initiatives and to evaluate the need for European legislation, these both are future and existing. The rule of proportionality suggests that, if an EU action ends up being important to accomplish the aims of the Treaty, the European institutions should additionally inspect whether legislative action is required or whether other adequately compelling means can be utilized (financial help, support of collaboration between the Member States by a Recommendation, prompting to make a move by a Resolution, and so forth.)There is loads of discussion during the law-making procedures, this is involving with national parliament when it comes to the protocol of subsidiarity and proportionality. “reasoned opinions’ can be produced within 8 weeks from national parliament (Article 6 Protocol 2 to the TFEU) Article 6 Protocol 2 to the TFEU. There will be a review of the draft if there is 1/3 of national parliament raise subsidiarity as an issue. The application of the Protocol of the principles of subsidiarity and proportionality is in the Treaty of Lisbon. The specifics that the Commissions are required to instantaneously send all its draft legislative acts and its improved drafts to the Union legislator and to the national parliaments of the Member States. Some draft that the European Legislative act basically contains a detailed statement making it conceivable to evaluate consistency with the principles of subsidiarity and proportionality. The purposes behind presuming that a Union target can be better accomplished at Union level must be substantiated by subjective and, wherever conceivable, quantitative indicators. The one-third of the parliaments feel that the draft European legislation does not obey with the principle of subsidiarity, the Commission or the institution from which the draft legislative act originates must analysis its proportion and decide whether to keep up, alter or withdraw it. If the majority agrees in national parliament with the complaint yet the Commission chooses to keep up its proportions, in any case, the Commission should clarify its reasons, and it will be dependent upon the European Parliament and the Council to choose whether to proceed with the legislative procedure.