title: 2010/666/EU: Council Decision of 3 June 2010 on the signing and provisional application of the Agreement between the European Union and the Government of the Socialist Republic of Vietnam on certain aspects of air services#Agreement between the European Union and the Government of the Socialist Republic of Vietnam on certain aspects of air services

text:
               5.11.2010

               EN

               Official Journal of the European Union

               L 288/1

         COUNCIL DECISION
   of 3 June 2010
   on the signing and provisional application of the Agreement between the European Union and the Government of the Socialist Republic of Vietnam on certain aspects of air services
   (2010/666/EU)
   THE COUNCIL OF THE EUROPEAN UNION,
   Having regard to the Treaty on the Functioning of the European Union, and in particular Article 100(2) in conjunction with Article 218(5) thereof,
   Having regard to the proposal from the European Commission,
   Whereas:

               (1)

               By its Decision of 5 June 2003, the Council authorised the Commission to open negotiations with third countries on the replacement of certain provisions in existing bilateral agreements with an agreement at Union level.

               (2)

               On behalf of the Union, the Commission has negotiated an Agreement with the Government of the Socialist Republic of Vietnam on certain aspects of air services (hereinafter ‘the Agreement’) in accordance with the mechanisms and directives in the Annex to the Council Decision of 5 June 2003.

               (3)

               The Agreement negotiated by the Commission should be signed and provisionally applied, subject to its conclusion at a later date,

         HAS ADOPTED THIS DECISION:
   Article 1
   The signing of the Agreement between the European Union and the Government of the Socialist Republic of Vietnam on certain aspects of air services is hereby approved on behalf of the Union, subject to the conclusion of the Agreement.
   The text of the Agreement is attached to this Decision.
   Article 2
   The President of the Council is hereby authorised to designate the person(s) empowered to sign the Agreement on behalf of the Union subject to its conclusion.
   Article 3
   Pending its entry into force, the Agreement shall be applied provisionally from the first day of the first month following the date on which the parties have notified each other of the completion of the necessary procedures for this purpose (1).
   Article 4
   The President of the Council is hereby authorised to make the notification provided for in Article 7(2) of the Agreement.
   Article 5
   This Decision shall enter into force on the date of its adoption.
   Article 6
   This Decision shall be published in the Official Journal of the European Union.

      Done at Luxembourg, 3 June 2010.

            For the Council

            The President

         A. PÉREZ RUBALCABA

      (1)  The date from which the Agreement will be provisionally applied will be published in the Official Journal of the European Union by the General Secretariat of the Council.

      AGREEMENT
      between the European Union and the Government of the Socialist Republic of Vietnam on certain aspects of air services
      THE EUROPEAN UNION,
      of the one part, and
      THE GOVERNMENT OF THE SOCIALIST REPUBLIC OF VIETNAM,
      of the other part,
      (hereinafter referred to as ‘the Parties’),
      NOTING that bilateral air service agreements have been concluded between seventeen Member States of the European Union and the Government of the Socialist Republic of Vietnam containing provisions contrary to the law of the European Union;
      NOTING that the European Union has exclusive competence with respect to several aspects that may be included in bilateral air service agreements between Member States of the European Union and third countries;
      NOTING that under the law of the European Union, European Union air carriers established in a Member State have the right to non-discriminatory access to air routes between the Member States of the European Union and third countries;
      HAVING REGARD to the agreements between the European Union and certain third countries providing for the possibility for the nationals of such third countries to acquire ownership in air carriers licensed in accordance with the law of the European Union;
      RECOGNISING that certain provisions of the bilateral air service agreements between Member States of the European Union and the Government of the Socialist Republic of Vietnam, which are contrary to the law of the European Union, must be brought into conformity with it in order to establish a sound legal basis for air services between the European Union and the Socialist Republic of Vietnam and to preserve the continuity of such air services;
      NOTING that under the law of the European Union, air carriers may not, in principle, conclude agreements which may affect trade between Member States of the European Union and which have as their object or effect the prevention, restriction or distortion of competition;
      RECOGNISING that provisions in bilateral air service agreements concluded between Member States of the European Union and the Government of the Socialist Republic of Vietnam which (i) require or favour the adoption of agreements between undertakings, decisions by associations of undertakings or concerted practices that prevent, distort or restrict competition between air carriers on the relevant routes; or (ii) reinforce the effects of any such agreement, decision or concerted practice; or (iii) delegate to air carriers or other private economic operators the responsibility for taking measures that prevent, distort or restrict competition between air carriers on the relevant routes, may render ineffective the competition rules applicable to undertakings;
      NOTING that it is not a purpose of the European Union, as part of these negotiations, to increase the total volume of air traffic between the European Union and the Socialist Republic of Vietnam, to affect the balance between European Union air carriers and air carriers of the Socialist Republic of Vietnam, or to negotiate amendments to the provisions of existing bilateral air service agreements concerning traffic rights,
      HAVE AGREED AS FOLLOWS:
      Article 1
      General provisions
      1.   For the purposes of this Agreement, ‘Member States’ shall mean Member States of the European Union and ‘EU Treaties’ shall mean the Treaty on European Union and the Treaty on the Functioning of the European Union.
      2.   References in each of the Agreements listed in Annex 1 to nationals of the Member State that is a party to that Agreement shall be understood as referring to nationals of the Member States of the European Union.
      3.   References in each of the Agreements listed in Annex 1 to air carriers or airlines of the Member State that is a party to that Agreement shall be understood as referring to air carriers or airlines designated by that Member State.
      Article 2
      Designation by a Member State
      1.   The provisions in paragraphs 2 and 3 of this Article shall supersede the corresponding provisions in the articles listed in Annex 2(a) and (b) respectively, in relation to the designation of an air carrier by the Member State concerned, its authorisations and permissions granted by the Government of the Socialist Republic of Vietnam, and the refusal, revocation, suspension or limitation of the authorisations or permissions of the air carrier, respectively.
      2.   On receipt of a designation by a Member State, the Government of the Socialist Republic of Vietnam shall grant the appropriate authorisations and permissions with minimum procedural delay, provided that:

                  (i)

                  the air carrier is established in the territory of the designating Member State under the EU Treaties and has a valid Operating Licence in accordance with the law of the European Union; and

                  (ii)

                  effective regulatory control of the air carrier is exercised and maintained by the Member State responsible for issuing its Air Operators Certificate and the relevant aeronautical authority is clearly identified in the designation; and

                  (iii)

                  the air carrier is owned, directly or through majority ownership, and it is effectively controlled by Member States and/or nationals of Member States, and/or by other states listed in Annex 3 and/or nationals of such other states.

            3.   The Government of the Socialist Republic of Vietnam may refuse, revoke, suspend or limit the authorisations or permissions of an air carrier designated by a Member State where:

                  (i)

                  the air carrier is not established in the territory of the designating Member State under the EU Treaties or does not have a valid Operating Licence in accordance with the law of the European Union; or

                  (ii)

                  effective regulatory control of the air carrier is not exercised or not maintained by the Member State responsible for issuing its Air Operators Certificate, or the relevant aeronautical authority is not clearly identified in the designation; or

                  (iii)

                  the air carrier is not owned, directly or through majority ownership, or it is not effectively controlled by Member States and/or nationals of Member States, and/or by other states listed in Annex 3 and/or nationals of such other states.

            In exercising its right under this paragraph, the Government of the Socialist Republic of Vietnam shall not discriminate between European Union air carriers on the grounds of nationality.
      Article 3
      Safety
      1.   The provisions in paragraph 2 of this Article shall complement the articles listed in Annex 2(c).
      2.   Where a Member State has designated an air carrier whose regulatory control is exercised and maintained by another Member State, the rights of the Socialist Republic of Vietnam under the safety provisions of the agreement between the Member State that has designated the air carrier and the Government of the Socialist Republic of Vietnam shall apply equally in respect of the adoption, exercise or maintenance of safety standards by that other Member State and in respect of the operating authorisation of that air carrier.
      Article 4
      Compatibility with competition rules
      1.   Bilateral air service agreements concluded between Member States and the Government of the Socialist Republic of Vietnam shall be without prejudice to the competition rules of the Parties.
      2.   The provisions listed in Annex 2(d) shall cease to have effect.
      Article 5
      Annexes to the Agreement
      The Annexes to this Agreement shall form an integral part thereof.
      Article 6
      Revision or amendment
      The Parties may, at any time, revise or amend this Agreement by mutual consent.
      Article 7
      Entry into force and provisional application
      1.   This Agreement shall enter in force when the Parties have notified each other in writing that their respective internal procedures necessary for its entry into force have been completed.
      2.   Notwithstanding paragraph 1, the Parties agree to provisionally apply this Agreement from the first day of the month following the date on which the Parties have notified each other of the completion of the procedures necessary for this purpose.
      3.   Agreements and other arrangements between Member States and the Government of the Socialist Republic of Vietnam which, at the date of signature of this Agreement, have not yet entered into force and are not being applied provisionally are listed in Annex 1(b). This Agreement shall apply to all such agreements and arrangements upon their entry into force or provisional application.
      Article 8
      Termination
      1.   In the event that an agreement listed in Annex 1 is terminated, all provisions of this Agreement that relate to the agreement listed in Annex 1 concerned shall terminate at the same time.
      2.   In the event that all agreements listed in Annex 1 are terminated, this Agreement shall terminate at the same time.

         In witness whereof, the undersigned, being duly authorised, have signed this Agreement.
         Done at Brussels in duplicate, on the fourth day of October in the year two thousand and ten in the Bulgarian, Czech, Danish, Dutch, English, Estonian, Finnish, French, German, Greek, Hungarian, Italian, Latvian, Lithuanian, Maltese, Polish, Portuguese, Romanian, Slovak, Slovenian, Spanish, Swedish and Vietnamese languages.

            За Европейския съюз
            Por la Unión Europea
            Za Evropskou unii
            For Den Europæiske Union
            Für die Europäische Union
            Euroopa Liidu nimel
            Για την Ευρωπαϊκή Ένωση
            For the European Union
            Pour l'Union européenne
            Per l'Unione europea
            Eiropas Savienības vārdā –
            Europos Sajungos vardu
            Az Európai Unió részéről
            Għall-Unjoni Ewropea
            Voor de Europese Unie
            W imieniu Unii Europejskiej
            Pela União Europeia
            Pentru Uniunea Europeană
            Za Európsku úniu
            Za Evropsko unijo
            Euroopan unionin puolesta
            För Europeiska unionen

            За правителството на Социалистическа република Виетнам
            Por el Gobierno de la República Socialista de Vietnam
            Za vládu Vietnamské socialistické republiky
            For regeringen for Den Socialistiske Republik Vietnam
            Für die Regierung der Sozialistischen Republik Vietnam
            Vietnami Sotsialistliku Vabariigi valitsuse nimel
            Για την κυβέρνηση της Σοσιαλιστικής Δημοκρατίας του Βιετνάμ
            For the Government of the Socialist Republic of Vietnam
            Pour le gouvemement de la République socialiste du Viêt Nam
            Per il govemo della Repubbhca socialista del Vietnam
            Vjetnamas Sociālistiskās Republikas valdības vārdā –
            Vietnamo Socialistinės Respublikos Vyriausybės vardu
            A Vietnami Szocialista Köztársaság kormánya részéről
            Ghall-Gvern tar-Repubblika Soċjalista tal-Vjetnam
            Voor de Regering van de Socialistische Republiek Vietnam
            W imieniu Rządu Socjalistycznej Republiki Wietnamu
            Pelo Govemo da República Socialista do Vietname
            Pentru Guvernul Republicii Socialiste Vietnam
            Za vládu Vietnamskej socialistickej republiky
            Za vlado Socialistične republike Vietnam
            Vietnamin sosialistisen tasavallan hallituksen puolesta
            För Socialistiska republiken Vietnams regering

         ANNEX 1

            List of agreements referred to in Article 1 of this Agreement

                     (a)

                     Air service agreements between the Government of the Socialist Republic of Vietnam and Member States of the European Union which, at the date of signature of this Agreement, have been concluded, signed and/or are being applied provisionally.

                                 —

                                 Air Services Agreement between the Austrian Federal Government and the Government of the Socialist Republic of Vietnam, done at Hanoi on 27 March 1995, hereinafter referred to as the ‘Vietnam – Austria Agreement’ in Annex 2:

                                             —

                                             last modified by Minutes of Understanding, done at Hanoi on 5 April 2006.

                                 —

                                 Agreement between the Government of the Kingdom of Belgium and the Government of the Socialist Republic of Vietnam on Air Transport, done at Brussels on 21 October 1992, hereinafter referred to as the ‘Vietnam – Belgium Agreement’ in Annex 2.

                                 —

                                 Agreement between the Government of the People’s Republic of Bulgaria and the Government of the Socialist Republic of Vietnam on air services between and beyond their respective territories, done at Sofia on 1 October 1979, hereinafter referred to as the ‘Vietnam – Bulgaria Agreement’ in Annex 2.

                                 —

                                 Agreement between the Government of the Czech Republic and the Government of the Socialist Republic of Vietnam concerning Air Services, done at Prague on 23 May 1997, hereinafter referred to as the ‘Vietnam – Czech Republic Agreement’ in Annex 2.

                                 —

                                 Air Services Agreement between the Government of the Kingdom of Denmark and the Government of the Socialist Republic of Vietnam, done at Hanoi on 25 September 1997, hereinafter referred to as the ‘Vietnam – Denmark Agreement’ in Annex 2:

                                             —

                                             to be read together with Memorandum of Understanding between the Kingdoms of Denmark, Norway and Sweden and the Socialist Republic of Vietnam, done at Hanoi on 25 September 1997.

                                 —

                                 Air Services Agreement between the Government of the Republic of Finland and the Government of the Socialist Republic of Vietnam, signed at Hanoi on 26 October 2000, hereinafter referred to as the ‘Vietnam – Finland Agreement’ in Annex 2.

                                 —

                                 Air Services Agreement between the Government of the Republic of France and the Government of the Socialist Republic of Vietnam, done at Paris on 14 April 1977, hereinafter referred to as the ‘Vietnam – France Agreement’ in Annex 2.

                                 —

                                 Air Transport Agreement between the Government of the Federal Republic of Germany and the Government of the Socialist Republic of Vietnam, done at Bonn on 26 August 1994, hereinafter referred to as the ‘Vietnam – Germany Agreement’ in Annex 2.

                                 —

                                 Agreement between the Government of the Republic of Hungary and the Government of the Socialist Republic of Vietnam on Air Services, done at Hanoi on 4 February 1998, hereinafter referred to as the ‘Vietnam – Hungary Agreement’ in Annex 2.

                                 —

                                 Agreement between the Government of the Grand Duchy of Luxembourg and the Government of the Socialist Republic of Vietnam on Air Services, done at Luxembourg on 26 October 1994, hereinafter referred to as the ‘Vietnam – Luxembourg Agreement’ in Annex 2.

                                 —

                                 Agreement between the Kingdom of the Netherlands and the Socialist Republic of Vietnam for Air Services between and beyond their respective territories, done at Hanoi on 1 October 1993, hereinafter referred to as the ‘Vietnam – Netherlands Agreement’ in Annex 2.

                                 —

                                 Agreement between the Government of the People’s Republic of Poland and the Government of the Socialist Republic of Vietnam on Air Services, done at Warsaw on 11 September 1976, hereinafter referred to as the ‘Vietnam – Poland Agreement’ in Annex 2.

                                 —

                                 Air Transport Agreement between the Government of the Portuguese Republic and the Government of the Socialist Republic of Vietnam, done at Lisbon on 3 February 1998, hereinafter referred to as the ‘Vietnam – Portugal Agreement’ in Annex 2.

                                 —

                                 Agreement between the Government of the Socialist Republic of Romania and the Government of the Socialist Republic of Vietnam relating to civil air transport, done at Hanoi on 26 June 1979, hereinafter referred to as the ‘Vietnam – Romania Agreement’ in Annex 2.

                                 —

                                 Air Services Agreement between the Government of the Kingdom of Sweden and the Government of the Socialist Republic of Vietnam, done at Hanoi on 25 September 1997, hereinafter referred to as the ‘Vietnam – Sweden Agreement’ in Annex 2:

                                             —

                                             to be read together with Memorandum of Understanding between the Kingdoms of Denmark, Norway and Sweden and the Socialist Republic of Vietnam, done at Hanoi on 25 September 1997.

                                 —

                                 Air Transport Agreement between the Government of the Slovak Republic and the Government of the Socialist Republic of Vietnam, done at Hanoi on 6 November 1997, hereinafter referred to as the ‘Vietnam – Slovak Republic Agreement’ in Annex 2.

                                 —

                                 Agreement between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the Socialist Republic of Vietnam concerning Air Services, done at London on 19 August 1994, hereinafter referred to as the ‘Vietnam – United Kingdom Agreement’ in Annex 2:

                                             —

                                             last amended by Exchange of Notes, done at Hanoi on 8 and 26 September 2000.

                     (b)

                     Air service agreements and other arrangements initialled or signed between the Government of the Socialist Republic of Vietnam and Member States of the European Union which, at the date of signature of this Agreement, have not yet entered into force and are not being applied provisionally.

         ANNEX 2

            List of articles in the agreements listed in Annex 1 and referred to in Articles 2 to 4 of this Agreement

                     (a)

                     Designation by a Member State:

                                 —

                                 Article 3, paragraph 5 of the Vietnam – Austria Agreement,

                                 —

                                 Article 3, paragraph 4 of the Vietnam – Bulgaria Agreement,

                                 —

                                 Article 3, paragraph 4 of the Vietnam – Denmark Agreement,

                                 —

                                 Article 4, paragraph 4 of the Vietnam – Czech Republic Agreement,

                                 —

                                 Article 4, paragraph 5 of the Vietnam – Finland Agreement,

                                 —

                                 Article 7, paragraph 4 of the Vietnam – France Agreement,

                                 —

                                 Article 3, paragraph 4 of the Vietnam – Germany Agreement,

                                 —

                                 Article 3, paragraph 4 of the Vietnam – Hungary Agreement,

                                 —

                                 Article 3, paragraph 4 of the Vietnam – Luxembourg Agreement,

                                 —

                                 Article 4, paragraph 4 of the Vietnam – Netherlands Agreement,

                                 —

                                 Article 3, paragraph 2 of the Vietnam – Poland Agreement,

                                 —

                                 Article 3, paragraph 4 of the Vietnam – Portugal Agreement,

                                 —

                                 Article 3 of the Vietnam – Romania Agreement,

                                 —

                                 Article 3, paragraph 4 of the Vietnam – Sweden Agreement,

                                 —

                                 Article 3, paragraph 4 of the Vietnam – Slovak Republic Agreement,

                                 —

                                 Article 4, paragraph 4 of the Vietnam – United Kingdom Agreement.

                     (b)

                     Refusal, revocation, suspension or limitation of authorisations or permissions:

                                 —

                                 Article 4, paragraph 1(a) of the Vietnam – Austria Agreement,

                                 —

                                 Article 5, paragraph 1(d) of the Vietnam – Belgium Agreement,

                                 —

                                 Article 4(a) of the Vietnam – Bulgaria Agreement,

                                 —

                                 Article 5, paragraph 1(a) of the Vietnam – Czech Republic Agreement,

                                 —

                                 Article 4, paragraph 1(a) of the Vietnam – Denmark Agreement,

                                 —

                                 Article 5, paragraph 1(a) of the Vietnam – Finland Agreement,

                                 —

                                 Article 9, paragraph 1(a) of the Vietnam – France Agreement,

                                 —

                                 Article 4, paragraph 1 of the Vietnam – Germany Agreement,

                                 —

                                 Article 4, paragraph 1(a) of the Vietnam – Hungary Agreement,

                                 —

                                 Article 4, paragraph 1(c) of the Vietnam – Luxembourg Agreement,

                                 —

                                 Article 5, paragraph 1(c) of the Vietnam – Netherlands Agreement,

                                 —

                                 Article 4, paragraph 1 of the Vietnam – Poland Agreement,

                                 —

                                 Article 4, paragraph 1(a) of the Vietnam – Portugal Agreement,

                                 —

                                 Article 4 of the Vietnam – Romania Agreement,

                                 —

                                 Article 4, paragraph 1(a) of the Vietnam – Sweden Agreement,

                                 —

                                 Article 4, paragraph 1(a) of the Vietnam – Slovak Republic Agreement,

                                 —

                                 Article 5, paragraph 1(a) of the Vietnam – United Kingdom Agreement.

                     (c)

                     Safety:

                                 —

                                 Article 6 bis of the Vietnam – Austria Agreement,

                                 —

                                 Article 7 of the Vietnam – Belgium Agreement,

                                 —

                                 Article 11 of the Vietnam – Czech Republic Agreement,

                                 —

                                 Article 18 of the Vietnam – Finland Agreement,

                                 —

                                 Article 4 of the Vietnam – France Agreement,

                                 —

                                 Article 9 of the Vietnam – Hungary Agreement,

                                 —

                                 Article 6 of the Vietnam – Luxembourg Agreement,

                                 —

                                 Article 14 of the Vietnam – Netherlands Agreement,

                                 —

                                 Article 9 of the Vietnam – Romania Agreement,

                                 —

                                 Article 7 of the Vietnam – Slovak Republic Agreement,

                                 —

                                 Article 9a of the Vietnam – United Kingdom Agreement.

                     (d)

                     Compatibility with competition rules:

                                 —

                                 Article 13, paragraphs 1 and 7 of the Vietnam – Belgium Agreement,

                                 —

                                 Article 9, paragraphs 3 to 8 of the Vietnam – Bulgaria Agreement,

                                 —

                                 Article 7, paragraph 2 of the Vietnam – Czech Republic Agreement,

                                 —

                                 Article 11, paragraph 2 of the Vietnam – Denmark Agreement,

                                 —

                                 Article 12, paragraphs 2 to 7 of the Vietnam – France Agreement,

                                 —

                                 Article 6, paragraphs 1 and 4 to 6 of the Vietnam – Hungary Agreement,

                                 —

                                 Article 11, paragraphs 2 to 4 of the Vietnam – Luxembourg Agreement,

                                 —

                                 Article 6, paragraphs 2 to 6 of the Vietnam – The Netherlands Agreement,

                                 —

                                 Article 20, paragraphs 2 and 4 of the Vietnam – Poland Agreement,

                                 —

                                 Article 16, paragraphs 2 to 6 of the Vietnam – Portugal Agreement,

                                 —

                                 Article 14, paragraphs 1 to 6 of the Vietnam – Romania Agreement,

                                 —

                                 Article 12, paragraphs 3, 5 and 6 of the Vietnam – Slovak Republic Agreement,

                                 —

                                 Article 11, paragraph 2 of the Vietnam – Sweden Agreement,

                                 —

                                 Article 7, paragraphs 3 and 4 of the Vietnam – United Kingdom Agreement.

         ANNEX 3

            List of other States referred to in Article 2 of this Agreement

                     (a)

                     the Republic of Iceland (under the Agreement on the European Economic Area);

                     (b)

                     the Principality of Liechtenstein (under the Agreement on the European Economic Area);

                     (c)

                     the Kingdom of Norway (under the Agreement on the European Economic Area);

                     (d)

                     the Swiss Confederation (under the Agreement between the European Community and the Swiss Confederation on Air Transport).


title: 2013/614/EU: Decision of the European Parliament of 17 April 2013 on discharge in respect of the implementation of the budget of the Artemis Joint Undertaking for the financial year 2011#Resolution of the European Parliament of 17 April 2013 with observations forming an integral part of its Decision on discharge in respect of the implementation of the budget of the Artemis Joint Undertaking for the financial year 2011

text:
               16.11.2013

               EN

               Official Journal of the European Union

               L 308/334

         DECISION OF THE EUROPEAN PARLIAMENT
   of 17 April 2013
   on discharge in respect of the implementation of the budget of the Artemis Joint Undertaking for the financial year 2011
   (2013/614/EU)
   THE EUROPEAN PARLIAMENT,

               —

               having regard to the final annual accounts of the Artemis for the financial year 2011,

               —

               having regard to the Court of Auditors’ report on the annual accounts of the Artemis for the financial year 2011, together with the replies of the Joint Undertaking (1),

               —

               having regard to the Council’s recommendation of 12 February 2013 (05755/2013 – C7-0040/2013),

               —

               having regard to Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the Financial Regulation applicable to the general budget of the European Communities (2), and in particular Article 185 thereof,

               —

               having regard to Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (3), and in particular Article 208 thereof,

               —

               having regard to Council Regulation (EC) No 74/2008 of 20 December 2007 on the establishment of the ‘Artemis Joint Undertaking’ to implement a Joint Technology Initiative in Embedded Computing Systems (4), and in particular Article 11(4) thereof,

               —

               having regard to Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 on the framework Financial Regulation for the bodies referred to in Article 185 of Council Regulation (EC, Euratom) No 1605/2002 on the Financial Regulation applicable to the general budget of the European Communities (5), and in particular Article 94 thereof,

               —

               having regard to Rule 77 of and Annex VI to its Rules of Procedure,

               —

               having regard to the report of the Committee on Budgetary Control (A7-0087/2013),

               1.

               Grants the Executive Director of the Artemis Joint Undertaking discharge in respect of the implementation of the Joint Undertaking’s budget for the financial year 2011;

               2.

               Sets out its observations in the resolution below;

               3.

               Instructs its President to forward this Decision and the resolution that forms an integral part of it to the Executive Director of the Artemis Joint Undertaking, the Council, the Commission and the Court of Auditors, and to arrange for their publication in the Official Journal of the European Union (L series).

            The President

         Martin SCHULZ

            The Secretary-General

         Klaus WELLE

      (1)  OJ C 6, 10.1.2013, p. 1.

      (2)  OJ L 248, 16.9.2002, p. 1.

      (3)  OJ L 298, 26.10.2012, p. 1.

      (4)  OJ L 30, 4.2.2008, p. 52.

      (5)  OJ L 357, 31.12.2002, p. 72.

      RESOLUTION OF THE EUROPEAN PARLIAMENT
      of 17 April 2013
      with observations forming an integral part of its Decision on discharge in respect of the implementation of the budget of the Artemis Joint Undertaking for the financial year 2011
      THE EUROPEAN PARLIAMENT,

                  —

                  having regard to the final annual accounts of the Artemis for the financial year 2011,

                  —

                  having regard to the Court of Auditors’ report on the annual accounts of the Artemis for the financial year 2011, together with the replies of the Joint Undertaking (1),

                  —

                  having regard to the Council’s recommendation of 12 February 2013 (05755/2013 – C7-0040/2013),

                  —

                  having regard to Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the Financial Regulation applicable to the general budget of the European Communities (2), and in particular Article 185 thereof,

                  —

                  having regard to Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (3), and in particular Article 208 thereof,

                  —

                  having regard to Council Regulation (EC) No 74/2008 of 20 December 2007 on the establishment of the ‘Artemis Joint Undertaking’ to implement a Joint Technology Initiative in Embedded Computing Systems (4), and in particular Article 11(4) thereof,

                  —

                  having regard to Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 on the framework Financial Regulation for the bodies referred to in Article 185 of Council Regulation (EC, Euratom) No 1605/2002 on the Financial Regulation applicable to the general budget of the European Communities (5), and in particular Article 94 thereof,

                  —

                  having regard to Rule 77 of and Annex VI to its Rules of Procedure,

                  —

                  having regard to the report of the Committee on Budgetary Control (A7-0087/2013),

                  A.

                  whereas the Artemis Joint Undertaking (‘the Joint Undertaking’) was set up in December 2007 for a period of 10 years to define and implement a ‘Research Agenda’ for the development of key technologies for embedded computing systems across different application areas in order to strengthen European competitiveness and sustainability, and allow the emergence of new markets and societal applications,

                  B.

                  whereas the Joint Undertaking started to work autonomously in October 2009,

                  C.

                  whereas the Court of Auditors states that it has obtained reasonable assurances that the annual accounts of the Joint Undertaking for the financial year 2011 are reliable;

                  D.

                  whereas the Court of Auditors has delivered a qualified opinion on the legality and the regularity of the transactions underlying the Joint Undertaking’s accounts;

                  E.

                  whereas the maximum contribution for the period of 10 years from the Union to the Joint Undertaking is EUR 420 000 000 to be paid from the budget of the Seventh Research Framework Programme,

         Budgetary and Financial Management

                  1.

                  Notes that the initial 2011 budget included operational appropriations amounting to EUR 46,6 million and that an amending budget was adopted reducing operational appropriations to EUR 18 600 000; notes, furthermore, that the utilisation rate for operational commitment appropriations was 100 %, as a result of the reduction of the operational appropriations to EUR 18 600 000, while the rate for payment appropriations was 51 %;

                  2.

                  Is concerned that the Joint Undertaking annual accounts received a qualified opinion from the Court of Auditors on the legality and the regularity of the transactions underlying those accounts on the grounds that the Joint Undertaking was not in a position to assess whether the ex post audit strategy provides sufficient assurance with respect to the legality and regularity of the underlying transactions; invites the Joint Undertaking to provide the discharge authority with an action plan to overcome that potential lack of assurance; expects that the Court of Auditors, through its independent audits, will be in position to provide the discharge authority with its own opinion on the effectiveness of the Joint Undertaking’s ex post audit strategy;

                  3.

                  Recalls that the Joint Undertaking adopted an ex post audit strategy in 2010 that is a key tool in assessing the legality and regularity of the underlying transactions and that its implementation started in 2011; notes that the audit of project cost claims has been delegated to the National Funding Authorities (NFAs) of the Member States however the administrative agreements signed with the NFAs do not include the practical arrangements for those audits; further notes from the Joint Undertaking that the various financing schemes and national rules in place in the different Member States imply that ex-post audit is only feasible on completed projects and request to be informed of the results of the audits performed; reiterates that the Joint Undertaking should reinforce without delay the quality of its ex-ante controls in particular for the grant management, requests that the discharge authority is informed of the results of the following ex-post audit processes conducted by the Joint Undertaking;

                  4.

                  Takes note that contrary to the Joint Undertaking’s Financial Rules, the 2011 budget of the Joint Undertaking does not reflect differentiated payment appropriations for operational expenditure;

                  5.

                  Regrets the relatively low implementation rate for operational payment appropriations standing at 86 %, 53 % and 18 % for the 2008, 2009 and 2010 call for proposals; notes the delays at Member State level in signing the national grant agreements; is concerned about the low implementation rate of the budget and, moreover, about the underlying activities of the Joint Undertaking; calls for a detailed progress report on these shortcomings which makes specific proposals for a gradual improvement in the implementation rate;

                  6.

                  Condemns the fact that Greece is using Union Structural Funds to cover its national contributions to the Greek beneficiaries of the Artemis projects instead of providing national funding and that the Joint Undertaking acknowledged the continuation of Greek participation in Artemis projects but provides no funding to the Greek beneficiaries as an expenditure co-financed by Union Structural Funds shall not receive assistance from another Union financial instrument in accordance with Council Regulation (EC) No 1083/2006 (6); requests the Commission to inform the discharge authority on the legality of this situation as soon as possible;

                  7.

                  Notes the Court of Auditors’ finding that the Joint Undertaking is using non-automatic carryover of payment appropriations to the next financial year, however without a decision of the Governing Board as required by Article 10(1) of the Financial Rules and that no distinction is made between payment appropriations carried over from previous years and payment appropriations of the current year;

         Calls for Proposals

                  8.

                  Takes note that the actual implementation and the foreseen value of the calls for proposals represents only EUR 244 000 000, or 58 % of the EUR 420 000 000 envisaged budget to cover operational expenditure;

         Internal control systems

                  9.

                  Acknowledges that in 2011, the Joint Undertaking intensified its efforts to establish and implement effective financial, accounting and management control procedures; notes that the Accounting Officer validated the financial and accounting systems used, but has not yet validated the underlying business processes which provide financial information, in particular, the one providing financial information about the validation and payment of the cost claims received from the national authorities; recalls that further work is needed in particular regarding the internal control standards and that the Joint Undertaking started to work autonomously in October 2009;

         Internal Audit

                  10.

                  Takes note that at the end of 2011, the Joint Undertaking’s internal audit capability had not yet been set up; recalls that the Commission’s Internal Audit Service is the Internal Auditor of the Joint Undertaking since 2010 and that carried out a risk assessment exercise and a strategic audit plan for 2012-2014 was presented to the Governing Board of the Joint Undertaking; acknowledges that taking into account the size of the Joint Undertaking will perform also the role of the Internal Audit Capability;

                  11.

                  Notes that the Joint Undertaking’s Financial Rules have not yet been formally amended to include the provision referring to the powers of the Commission’s internal auditor regarding the general budget as a whole;

         Annual activity report

                  12.

                  Takes note that the annual activity report provides information on the results of the operations of the Joint Undertaking; however it does not include an assessment of the efficiency and effectiveness of the internal control system and contains the following weaknesses:

                              —

                              Lack of information on the implementation of the ex post audit strategy, which is not sufficient to conclude whether this key control is functioning effectively, and should have led to a reservation;

                              —

                              No information on the partial validation of the financial and accounting systems by the accounting officer is provided;

                              —

                              There are unexplained differences between the budgetary implementation figures included in the Outturn on payments appropriations of the annual activity report and the budgetary implementation figures included in the Final Accounts;

         Other management matters

                  13.

                  Notes that in 2011, the Joint Undertaking set up a Business Continuity Plan and made progress on the formalisation of the IT security policies but further work is required to finalise the Disaster Recovery Plan;

                  14.

                  Regrets that contrary to the Joint Undertaking’s Financial Rules, the National Funding Authorities have not yet declared any bank interest generated on pre-financing payments;

                  15.

                  Welcomes the fact that the Host State Agreement between the Joint Undertaking and the Belgian authorities concerning office accommodation, privileges and immunities and other support to be provided was signed on 3 February 2012;

         Other issues

         Possible merger with ENIAC

                  16.

                  Considers that cost-benefit analysis of a merger with ENIAC should be undertaken and that the European Parliament should be notified about the results of this assessment. This report should highlight the possible advantages and disadvantages of such a merger;

                  17.

                  Reiterates its invitation for the Court of Auditors to provide, within a reasonable deadline, a special report to Parliament on common issues which occur due to the nature of the joint undertakings, and which should be addressed by the joint undertakings together with their partners in order to ensure their added value and efficient execution of Union research, technological development and demonstration programmes; notes, furthermore, that that report should include an assessment of the effectiveness of the joint undertakings’ establishment and structure.

         (1)  OJ C 6, 10.1.2013, p. 1.

         (2)  OJ L 248, 16.9.2002, p. 1.

         (3)  OJ L 298, 26.10.2012, p. 1.

         (4)  OJ L 30, 4.2.2008, p. 52.

         (5)  OJ L 357, 31.12.2002, p. 72.

         (6)  OJ L 210, 31.7.2006, p. 25.