Creating new EU legislation involves several stages, including multiple readings by both the Parliament and the Council. It is a naturally complicated process, due to the nature of the EU. If you’re after a simple breakdown and explanation of what the process entails, then have a look at this new interactive infographic from the European Parliament. It also has all the information in a text format, and you can find links to the section of the Lisbon Treaty that deals with new legislation, as well as a useful glossary. In addition to this, there are pdf versions of all the information, so you can save or print for offline consultation.
You can also have a look at the video below from europarltv.eu for an animated explanation of how European laws are passed.