The most terrible aspect of the proposal is the two wildcards. Go is a mind sport game - not a political power game! Wildcards devalue the European Championship.
Why? And where's the source of this so-called political power?
As I see it, the two wildcards take the place of the people 15th and 16th on the rating list, so they are not likely to be depriving people likely to win the championship. On the other hand, a wildcard reserves a slot for a top player who has been out of action in Europe for acceptable reasons (e.g. illness or training in the Far East). Since he would make the event stronger it adds value to the championship.
The one given to the home country is also sensible on the grounds that they can use it to attract local sponsors, if they have a suitable player.
Wildcards like this are common in chess and seem to work well and usually don't attract opprobrium, unlike some invitation-only events. Maybe the secret is moderation - 2 out 16, where those two have to be rated highly anyway - seems modest.
And there seems to be a case for giving the European pros, whose pet project it is, extra weighting in this decision.