# EUR-Lex - 52014PC0344 - EN

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# 52014PC0344

**Proposal for a DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL on the dissemination of Earth observation satellite data for commercial purposes /* COM/2014/0344 final - 2014/0176 (COD) */**

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EXPLANATORY MEMORANDUM

1.           CONTEXT OF THE PROPOSAL

The Commission Communication on the EU
Space Industrial Policy from February 2013 “Releasing the potential for
economic growth in the space sector”[1]
identifies as one of the objectives for an EU space industrial policy the
establishment of a comprehensive regulatory framework in order to improve legal
coherence and foster the emergence of a European market for space products and
services. In this context, the Communication refers in particular to the establishment
of a possible regulatory initiative for the production and dissemination of
high resolution satellite data for commercial purposes. The Council Conclusions
of 30 May 2013 on the above mentioned Communication recognise the need to
examine existing legal frameworks with a view to promote the security, safety,
sustainability and economic development of space activities and invite the
Commission to assess the need for the development of a space legislative
framework in the context of ensuring the proper functioning of the internal
market.

In line with the above, this proposal for a
Directive treats the subject of dissemination of Earth observation satellite
data within the Union for commercial purposes, and in particular the issue of
defining and controlling high resolutions satellite data (HRSD), as a distinct
category of data requiring a differentiated regulatory regime when it is
disseminated for commercial purposes. The proposal seeks to secure the proper
functioning and development of the internal market for high resolution
satellite data products and services by establishing a transparent, fair and consistent
legal framework across Member States. This Directive is necessary, as there are
no express guarantees on the EU legal level that the dissemination of satellite
data by commercial operators should be free and unrestricted within the Union,
except dissemination of data that could be defined as high resolution satellite
data, which should be controlled due to the higher potential risk that its unauthorized
handling can entail. Furthermore, there is no common approach on the national
regulatory level for the treatment of high resolution satellite data and for
services and products deriving from this data. This leads to a fragmented
regulatory framework across Europe, characterised by a lack of coherence,
transparency and predictability which therefore hinders the market from
developing to its full potential. In addition, as the number of Member States
with high resolution data capacities is increasing it is likely to aggravate
further the problem of fragmentation of the applicable regulatory framework, thus
creating new barriers on the internal market and greater obstacles to
competitiveness.

To overcome these problems this proposal will
lead to an approximation of the Member States’ legislation in the domain of the
dissemination satellite data to ensure coherence. It will help to reduce
bureaucratic barriers for the industry and ease the efforts necessary to comply
with legislative requirements. Business predictability will improve as there
are clearer conditions for the establishment and operation of businesses.
Business losses that may arise from the lack of clear and predictable
conditions for data acquisition will be reduced and new business opportunities
can be realised. There will be significant positive effects for the
establishment and operation of high resolution satellite data providing
businesses and for data sales.

2.           RESULTS
OF CONSULTATIONS WITH THE INTERESTED PARTIES AND IMPACT ASSESSMENTS

Over a period of almost two years, the
Commission has, directly or through external consultants, consulted all
institutional actors in the Member States, and a wide range of actors in the
value chain involved in space and geospatial activities on issues related to
this proposal.

Two studies commissioned by the Commission
from external consultants have analysed the existing regulatory framework
regarding HRSD and were used as input to the Commission’s impact assessment alongside
other sources. The studies identified divergent rules and approaches to the
dissemination of HRSD.

Experts from Germany and France, the only
Member States, who have enacted specific legislation in this domain for the
regulation of their HRSD technical capabilities so far, provided the Commission
with details of the dedicated regulatory systems implemented in their countries.
At the same occasion, they were favourable the idea of a common EU framework. A
workshop with space legal experts was organised in March 2012 and confirmed that there is a fragmented regulatory framework for
satellite data across Europe. Between March 2012 and October 2013, the
Commission presented its reflections on HRSD to the Space Policy Expert Group
(SPEG) which is made up of national space experts, a number of times. The
issues and the options for a regulatory intervention were discussed.

A consultation of stakeholders consisting
of an online questionnaire targeted to data resellers and a public hearing to
solicit the views of data providers and data resellers was carried out in June
and July 2013.

The main conclusions of these consultations
can be summarised as follows:

– 
Industry representatives and in particular data
resellers confirm that the existing framework for the distribution of satellite
data and in particular HRSD lacks transparency, predictability and does not
guarantee equal treatment and therefore prevents the market from developing to
its full potential. A large majority consider that action to address this
situation would improve the business environment.

– 
Overall Member States are open to the adoption
of a common EU approach dealing with dissemination of satellite data, providing
express guarantees for the free circulation of low resolution one, and in
particular to ensure an effective and integrated treatment of security and
market issues regarding high resolution satellite data. The measures employed should
be proportionate and ensure the necessary level of security. Member States have
also stressed that the ultimate responsibility for security related decisions
must stay with the national authorities.

The impact assessment accompanying this
proposal identifies three policy options – in addition to the baseline scenario
– that seek to achieve the objectives by setting up a framework for the handling
and dissemination of Earth observation data in the European Union: Option 1 -
Baseline scenario, Option 2 - Recommendations and guidelines, Option 3 - Basic
legislative instrument and Option 4 - Extended legislative instrument.

The problems identified, including a lack
of transparency, predictability and equal treatment stem from the absence of a
common definition of high resolution satellite data, framework criteria to
determine whether high resolution satellite data should be considered
sensitive, clear authorisation procedures, free circulation guarantees and
clear requirements to become a HRSD data provider. All of these policy options,
except the baseline scenario, would seek to address these issues. The
difference between options 3 and 4 concerns the scope, with option 4 including
a licensing element for acquiring a data provider's status that option 3 leaves
to Member States.

Option 3 is the preferred option combining
a good level of economic, strategic and social benefits with a high level of effectiveness
and efficiency, while at the same time leaving as much room as possible for
Member States for controlling the data-providing businesses in their territory.

3.           LEGAL
ELEMENTS OF THE PROPOSAL

Since the initiative foresees harmonization
in order to ensure the proper establishment and functioning of the internal
market, the proper legal basis for the directive is Art. 114 TFEU.

That treaty provision is applicable in
general to two different types of situations:

– 
Where the legislation contributes to the
elimination of likely obstacles to the exercise of fundamental freedoms;

– 
Where the legislation contributes to the removal
of appreciable distortions of competition which are likely to arise from the
diverse national rules.

The jurisprudence has set the practical
standard for the scrutiny of the proposals under Art. 114 TFEU specifying that
the measures promoted must be genuinely intended to improve the conditions for
the establishment and functioning of the internal market, and could actually
have that effect.[2]

The present proposal is in line with the
requirements stemming from the use of Art. 114 TFEU, for the following reasons:

– 
First, with the express guarantees for the free
circulation of low resolution satellite data it is clarified that any data falling outside the definition will be considered "business -
ready", prone for free dissemination without delay enabling the unhindered
business cycles (Article 5);

– 
Second, with the establishment of common
technical parameters of HRSD (Article 4) it will be possible to set up a common
scope of application of the advanced legal regime and to delimit the internal
market of HRSD, as a specific component of the Earth Observation market. Further,
the clarification as to which kind or quality of satellite data could possibly
harm security interests; and which therefore needs to be disseminated with
respect to certain conditions, allows the setting of the most appropriate
procedural requirements to safeguard the public;

– 
Third, by enhancing the coherence, transparency
and predictability of the regulatory framework this directive aims to
remove/prevent obstacles of national jurisdictional nature to the free
circulation of HRSD within the Union, in accordance with the screening, or
authorisation modalities. It is foreseen that the dissemination of HRSD
approved
in accordance with this directive cannot be reassessed,
impeded or restricted subsequently, as long as the dissemination is in
compliance with the screening or authorisation conducted (Article 6(3));

– 
Fourth, aiming at positive integration, the
present proposal provides for the basic procedures for the dissemination of
HRSD, promoting the equal and non-discriminatory treatment of all EU data
resellers by data providers, preventing likely distortions of competition, and
additionally enhancing the market opportunities available in the domain of the
HRSD (Article 7 and Article 8).

The regulatory approach chosen for the
proposal is that of partial harmonization. It confirms the principle of free
circulation for satellite data with low resolution, but targets only a limited
number of key regulatory elements of the national HRSD legislations which are
sufficiently well elaborated to allow for alignment.

Therefore the intended approximation of
laws is limited, respecting the principles of subsidiarity and proportionality
(Art. 5(3) and (4) TEU).

More
specifically,

– 
In terms of subsidiarity, the proposal
establishes the Union dimension by a common approach towards satellite data
dissemination within the Union, and a distinction between low resolution and
high resolution satellite data, on the basis of the proposed technical definitions.
The proposal establishes as well a common, transaction- and metadata-based
approach for the assessment of the dissemination of high resolution satellite
data and transparent procedures, while leaving all the unregulated issues to
the national MSs to settle in accordance with national regulatory traditions
(like licensing and control of data providers for example);

– 
In terms of proportionality – through the
careful selection of the regulatory elements to be aligned, the proposal
ensures that the Union action will be proportionate to the problems identified,
and that the measures prescribed are in fact the most suitable for the
achievement of the objectives laid down in Article 1 of the proposed Directive.

Taking into account the fact that, for a
number of operational issues the national legislation is adequate and that, at
the same time legitimate security interests of the Member States can allow for
some divergence in the national legislation, it has been reasoned that a
regulation, completely replacing the existing national legislation with an
all-encompassing Union regime is neither justified nor desired by the Member
States.

Consequently, a directive would guarantee
the required legislative flexibility to limit the regulatory action to the
harmonisation of only the most relevant and sufficiently articulated core
regulatory elements of the regime for commercialization of the Earth
observation satellite data.

4.           BUDGETARY
IMPLICATION

The
proposal does not have implications on the operational budget. The enclosed
Financial Statement indicates the specific budgetary impact.

2014/0176 (COD)

Proposal for a

DIRECTIVE OF THE EUROPEAN PARLIAMENT
AND OF THE COUNCIL

on the dissemination of Earth observation
satellite data for commercial purposes

THE EUROPEAN PARLIAMENT AND THE
COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the
Functioning of the European Union, and in particular Article 114(1) thereof,

Having regard to the proposal from the
European Commission,

After transmission of the draft legislative
act to the national Parliaments,

Having regard to the opinion of the
European Economic and Social Committee[3],

Acting in accordance with the ordinary
legislative procedure,

Whereas:

(1)       The Commission
Communication of 28 February 2013 ‘EU Space Industrial Policy - Releasing
the potential for economic growth in the space sector’[4] identifies as one of
the objectives for an EU space industrial policy the establishment of a
coherent regulatory framework in order to improve legal coherence and foster
the emergence of a Union market for space products and services. In this
context, the Communication refers in particular to the establishment of a possible
regulatory initiative for the production and dissemination of high resolution
satellite data for commercial purposes.

(2)       The Council Conclusions of
30 May 2013 on the Communication on the EU Space Industrial Policy recognise
the need to examine existing legal frameworks with a view to ensuring the
security, safety, sustainability and economic development of space activities
and welcomed the Commission’s intention to assess the need for the development
of a space legislative framework in the context of ensuring the proper
functioning of the internal market, while respecting the principle of
subsidiarity.

(3)       The Commission Delegated
Regulation (EU) No 1159/2013[5]
allows for this Directive to exclude GMES and Copernicus dedicated data from
its scope.

(4)       The dissemination of high
resolution satellite data by commercial operators has until now been regulated individually
by the Member States where they are registered.

(5)       There has been no common
approach at the national regulatory level for the treatment of high resolution
satellite data and for services and products deriving from these data. This
leads to a fragmented regulatory framework across the Union, characterised by a
lack of coherence, transparency and predictability, which was therefore preventing
the market from developing to its full potential.

(6)       The number of Member
States with high resolution satellite data capabilities is increasing, and national
regulatory frameworks become more and more diverged. As a consequence, the
fragmentation of the regulatory framework creates new barriers for the internal
market and greater obstacles to competitiveness.

(7)       To overcome those problems,
this Directive should ensure the proper functioning and development of the
internal market for high resolution satellite data and derivative products and
services by establishing a transparent, fair and consistent legal framework
across the Union. The approximation of the Member States’ legislation in the field
of dissemination of high resolution satellite data to ensure coherence as
regards of the procedures to control its dissemination should reduce
bureaucratic barriers for industry and ease the compliance with legislative
requirements. This Directive will enhance business predictability as there would
be clearer conditions for the establishment and operation of businesses.

(8)       A functioning internal
market for high resolution satellite data and derivative products and services would
foster the development of a competitive Union space and services industry,
maximise opportunities for Union enterprises to develop and provide innovative earth
observation systems and services, and promote the use of high resolution
satellite data. Therefore, a common Union standard for high resolution
satellite data is needed, which also reflects the risks from the inadvertent
release of high resolution satellite data.

(9)       In order to introduce a
common Union standard for high resolution satellite data a definition of high
resolution satellite data should be provided for which is based on the
technical capabilities of the Earth observation system, of its sensors and of
the sensor modes which are used to generate the Earth observation data. The
technical capabilities of the Earth observation system, its sensors and sensor
modes that should be taken into account, are the spectral resolution, the
spectral coverage, the spatial resolution, the radiometric resolution, the temporal
resolution and the positional accuracy. The definition should be based on the
availability of similar Earth observation data on the global markets and should
be based on the potential prejudice to the interests, including internal and
external security interests, of the Union or of the Member States which can
derive from the dissemination of the Earth observation data. This definition also
allows the identification of Earth observation satellite data other than high
resolution data and is the basis for guaranteeing the free circulation for this
data based on the fact that they do not have the potential to cause prejudice to
the afore-mentioned interests.

(10)     The possibility to assess
all relevant variables in the dissemination of high resolution satellite data should
allow for a precise assessment which promotes the use of high resolution
satellite data and thus creates maximum commercial advantages for the
businesses involved. An assessment of the dissemination is more efficient in
terms of security than an assessment based only on the high resolution
satellite data itself.

(11)     The screening of high
resolution satellite data at its first entry on the market in a dedicated
screening procedure should guarantee the promotion of the use of high
resolution satellite data and the strengthening of Earth observation markets in
the Union while preventing prejudice to the interests of the Union or of one or
more Member States. The criteria for the screening procedure should take into
account all relevant factors of the dissemination of high resolution satellite
data in order to ensure that the Member States can set up the most appropriate
conditions by the specification of those criteria and by combining the
resulting standards within the most suitable procedure. The criteria should describe
the metadata of the envisaged dissemination, which ensures, that the screening
can be done without assessing the high resolution satellite data itself and
therefore can be done prior to the generation and the dissemination of the data.
In particular through its transparency and its capacity to deliver clear
results allowing a fast and automatic implementation, thereby making it an
efficient filtering system, the screening procedure should foster the
commercial use of the high resolution satellite data and the businesses
involved.

(12)     In order to ensure that
business and administrative needs can be met the most effective and efficient
way, Member States may allow for the screening procedure to be carried out by
the data provider himself or by any other appropriate private entity.

(13)     While certain criteria and
operational rules for the screening procedure should render possible
dissemination of high resolution satellite data in the vast majority of cases,
there would still be a need for an authorisation procedure which should, on a
case-by-case basis, carry out an in-depth assessment considering all
circumstances of the individual case, in order to foster the dissemination of
high resolution satellite data. This Directive lists the interests, on which a
refusal might be based.

(14)     In view of the
administrative procedures established in the Member States to comply with this
Directive and in particular in view of the authorisation procedure Member
States should respect the administrative due process.

(15)     In order to ensure free circulation
of high resolution satellite data which was generated from Earth observation
systems operated from third countries this Directive provides conditions under
which Member States should not prohibit, restrict or impede free circulation of
that data.

(16)     In order to keep up with
technological developments and the availability on the global markets of high
resolution satellite data there is provision on the regular review of this
Directive.

(17)     In order to allow the
Commission to monitor the implementation process, Member States should be
required to provide the Commission with the necessary information to assess the
evolution of the Union market of high resolution satellite data.

(18)     This Directive does neither
affect the competence of Member States in the field of foreign policy and
national security, nor should it be interpreted in a way as to prevent Member
States from exercising their competence in this field and from taking into
account the security and foreign policy interests of the Union.

(19)     The provisions of this
Directive should be without prejudice to the application of the general rules
on contractual law, and any other relevant law in other areas including
competition law, intellectual or industrial property rights, confidentiality,
trade secrets, privacy and consumer rights.

(20)     Directive 2006/123/EC of the
European Parliament and of the Council[6]
should apply to the service of the dissemination of high resolution Earth
observation satellite data for commercial purposes. In the event of a conflict
between a provision of Directive 2006/123/EC and this Directive, the provisions
of this Directive shall prevail.

(21)     This Directive should not
apply to any service provided between the satellite operator and the data
provider that enables the latter to have access to high resolution satellite
data. As far as the data provider provides a service to Earth observation
system, the award of the respective contract to the data provider has to comply
with applicable public procurement legislation.

(22)     Union legislation
concerning the protection of individuals with regard to the processing of
personal data and on the free movement of such data, in particular Directive
95/46/EC of the European Parliament and of the Council[7] and Regulation (EC) No
45/2001 of the European Parliament and of the Council[8] of 18 December 2000 on
the protection of individuals with regard to the processing of personal data by
the Community institutions and bodies and on the free movement of such data are
applicable.

(23)     Since the objective of this
Directive, namely the ensuring of the functioning of the internal market of
Earth observation data, cannot be sufficiently achieved by the Member States,
as evidenced by the divergences and fragmentation of the existing national
regulation, but can rather, by reason of reducing bureaucratic barriers and improving
conditions for businesses, be better achieved at Union level, it is
proportionate to adopt Union level measures in accordance with the principle of
subsidiarity as set out in Article 5 of the Treaty on European Union. In
accordance with the principle of proportionality, as set out in that Article,
this Directive does not go beyond what is necessary in order to achieve that
objective.

(24)     In accordance with the
Joint Political Declaration of Member States and the Commission of 28 September
2011 on explanatory documents[9],
Member States have undertaken to accompany, in justified cases, the
notification of their transposition measures with one or more documents
explaining the relationship between the components of a directive and the
corresponding parts of national transposition instruments. With regard to this
Directive, the legislator considers the transmission of such documents to be
justified;

HAVE ADOPTED THIS DIRECTIVE:

Article 1
Purpose and Subject matter

(1) 
The purpose of this Directive is to establish
the internal market for Earth observation data through harmonisation of certain
rules for their dissemination.

(2) 
For the purpose set out in paragraph 1, this
Directive lays down rules and procedures concerning the dissemination of Earth
observation satellite data.

Article 2
Scope

(1) 
This Directive shall apply to the dissemination
of Earth observation data generated by Earth observation systems.

(2) 
This Directive shall not affect the
dissemination of Earth observation data generated by the Earth observation systems
which are:

(a) 
GMES dedicated data according to the Commission[10] delegated Regulation (EU)
No 1159/2013 and Regulation (EU) No 911/2010 of the European Parliament and of
the Council[11]
and being subject to the respective data and information policy;

(b) 
Copernicus dedicated mission data according to [COM NB][12] and Regulation (EU) No
377/2014 of the European Parliament and of the Council[13] and being subject to
the Copernicus data and security policy.

(3) 
This Directive shall not apply to the dissemination
of satellite data referred to in paragraph 1 where such dissemination is
carried out by or on behalf of and supervised by the Union or one or more Member
States and is for the purposes of security and defence.

Article 3
Definitions

For the purposes of this Directive, the
following definitions shall apply:

(1) 
‘Earth observation system’ means an orbital
transport system, a satellite or a constellation of satellites which by using
one or more sensors is capable of generating Earth observation data;

(2) 
‘Earth observation data’ means data processed
from signals generated by one or more sensors of an Earth observation system as
well as information derived therefrom, regardless of their degree of processing
and their type of storage or representation;

(3) 
‘high resolution satellite data’ means Earth
observation data as defined in Article 4;

(4) 
‘data provider’ means a natural or legal person
who has, directly or via the operator of an Earth observation system, access to
high resolution satellite data which has not undergone the screening and authorisation
procedures set out in Article 7 and Article 8 and disseminates it upon request
of its customer or by his own initiative;

(5) 
‘sensor’ means a part of an Earth observation
system which records electromagnetic waves of any spectral range or gravitational
fields generating Earth observation data;

(6) 
‘sensor mode’ means the way one or multiple sensors
generate Earth observation data with regard to a specific acquisition of Earth
observation data;

(7) 
‘dissemination’ means the action whereby high
resolution satellite data, generated by Earth observation, is made accessible
to any third party by a data provider;

(8) 
‘sensitive dissemination’ means dissemination which
could cause varying degrees of prejudice to the interests, including internal
and external security interests, of the Union or of the Member States.

Article 4
Definition of high resolution satellite data

High resolution satellite data is defined on the basis of precise
technical specifications. These technical specifications are set
out in the Annex.

Article 5
Dissemination of Earth observation data

Member States shall
not prohibit, restrict or otherwise impede the dissemination or free
circulation of other than high resolution satellite data for reasons of the
dissemination being considered sensitive.

Article 6
Dissemination of high resolution satellite data

(1) 
Member States shall ensure that no dissemination
of high resolution satellite data generated by an Earth observation system
operated from the territory of a Member State is carried out in their territory without
the appropriate monitoring by the competent national authorities.

(2) 
Member States shall ensure, where there is a data
provider in their territory that the dissemination of the data referred to in
paragraph 1 is carried out in compliance with the screening and the
authorisation procedures set out in Article 7 and Article 8.

(3) 
Member States shall not prohibit, restrict or
impede the free circulation of high resolution satellite data for reasons of
the dissemination being considered sensitive, where that dissemination has been
approved in accordance with the procedures set out in Article 7 and Article 8.

Article 7
Screening procedure

(1) 
Member States shall ensure that in their
territory any dissemination of the data set out in Article 6(1) is subject to a
screening procedure.

(2) 
The screening procedure shall determine whether the
dissemination is non-sensitive and can be carried out without further authorisation,
or whether the dissemination is considered sensitive and requires an authorisation
in accordance with Article 8.

(3) 
The screening procedure shall enable a
metadata-based ex-ante examination and shall consist of the examination of the
following criteria with regard to the envisaged dissemination:

(a) 
the identity of the party requesting the Earth
observation data;

(b) 
the persons and the categories of persons who
may have access to the Earth observation data;

(c) 
the characteristics of the information
represented by the Earth observation data obtained as a result of the sensor
operation and processing mode;

(d) 
the target area represented by the Earth
observation data;

(e) 
the Earth observation data generation time and
the time delay between the data generation and the envisaged dissemination;

(f) 
the ground receiving stations to which the Earth
observation data is to be transmitted from the satellite.

(4) 
Member States shall specify the criteria set out
in paragraph 3 and shall establish the operational rules how to combine them in
the screening procedure. The specification of the
criteria and the operational rules shall be made based on the following:

(a) 
the availability of similar Earth observation
data on the global markets;

(b) 
the potential prejudice to the interests,
including internal and external security interests, of the Union or of the
Member States which can derive from the dissemination of the Earth observation
data.

(5) 
Member States shall ensure that the criteria and
the operational rules are publicly available, are specified and established in a
non-discriminatory manner and do not provide for discretion as to whether the
dissemination is deemed to be sensitive or non-sensitive.

(6) 
Member States shall determine the appropriate private
or public entity responsible to carry out the screening procedure. This entity
shall notify the result of the screening procedure to the requesting party
without undue delay.

Article 8
Authorisation procedure

(1) 
Member States shall establish an authorisation
procedure whereby dissemination which is considered sensitive in accordance
with the screening procedure set out in Article 7 may be authorised by the competent
national public authority.

(2) 
For the purposes of paragraph 1, the data provider
interested in a sensitive dissemination shall submit an application to the
competent national authority.

(3) 
The competent national authority may refuse the
request for an authorisation of the dissemination of high resolution satellite
data if it considers that the dissemination could undermine any of the
following:

(a) 
the essential security interests of the Union or
a Member State;

(b) 
the fundamental foreign policy interests of the
Union or a Member State;

(c) 
the essential public security interests of the
Union or a Member State.

(4) 
If the competent national authority determines
that none of the grounds referred to in paragraph 3 for refusing the request is
applicable, it shall authorise the dissemination in question.

(5) 
When authorising the request, the competent
national authority may impose certain conditions in order to ensure compliance
with the objectives laid down in paragraph 3. Any such condition shall be based
on objective criteria and shall not be discriminative.

(6) 
When authorising the request, the competent
national authority may decide to consult the competent national authority of
the Member State which is concerned by the first dissemination of the high
resolution satellite data.

(7) 
Member States may authorise in a single administrative
procedure the dissemination of data at regular intervals or representing large
target areas.

(8) 
Member States shall ensure that the competent national
authority takes the decision referred to in paragraph 3 as soon as possible and
within seven days at the latest after receiving the application referred to in
paragraph 2. The competent national authority shall notify that decision to the
data provider.

(9) 
Member States shall provide for a possibility to
appeal the decision of the competent national authority referred to in
paragraphs 3 and 5.

(10) 
Member States may impose charges for the
requests referred to in paragraph 2 as long as these are reasonable and
proportionate to the costs of the authorisation procedure for the competent
national authority.

Article 9
High resolution satellite data from third countries

Member States shall not prohibit, restrict
or impede the free circulation of high resolution satellite data generated from
Earth observation systems operated from third countries for reasons of being
considered sensitive, where the circulation of the high resolution satellite data
has been authorised and is subject to effective supervision by the competent
national authority of the Member State where the data provider, which is
disseminating high resolution satellite data from a third country, is
established.

Article 10
Competent national authorities

(1) 
Member States shall designate a competent
national authority or competent national authorities responsible for the
application of this Directive.

(2) 
The competent national authority for the
purposes of Article 8 shall be the competent national authority of the Member State where the data provider is established.

Article 11
Reporting by Member States

(1) 
Member States shall notify the following
information to the Commission:

(a) 
a list of the Earth observation systems
generating high resolution satellite data that are operated from their
territory and respective satellite operator;

(b) 
a list of the data providers in their territory;

(c) 
the designated competent national authorities
referred to in Article 10.

(2) 
Member States shall transmit to the Commission
on an annual basis statistical information on the screening procedure referred
to in Article 7 and the authorisation procedure in Article 8, including the
following information:

(a) 
the overall number of the data transactions
screened;

(b) 
the percentage of screening procedures
delivering non-sensitive dissemination and sensitive dissemination as a result;

(c) 
the percentage of parties requesting the Earth
observation data according to Article 7(3)(a) from domestic, intra-Union
cross-border and non-Union;

(d) 
the overall number of applications for
authorisation;

(e) 
the percentage of denials of authorisation for
dissemination.

(3) 
Member States shall make the information referred
to in paragraphs 1 and 2 available in an electronic format.

Article 12
Review

The Commission shall submit to the European
Parliament and to the Council a report on the implementation of this Directive
within three years from the expiry of the transposition period provided for in
Article 13.

Article 13
Transposition

(1) 
Member States shall bring into force the laws,
regulations and administrative provisions necessary to comply with this
Directive by 31 December 2017 at the latest. They shall forthwith communicate
to the Commission the text of those provisions.

(2) 
When Member States adopt those provisions, they
shall contain a reference to this Directive or be accompanied by such a
reference on the occasion of their official publication. Member States shall
determine how such reference is to be made.

(3) 
Member States shall communicate to the
Commission the text of the main provisions of national law which they adopt in
the field covered by this Directive.

Article 14
Entry into force

This Directive shall enter into force on
the twentieth day following that of its publication in the Official Journal
of the European Union.

Article 15
Addressees

This
Directive is addressed to the Member States.

Done at Brussels,

For the European Parliament                        For
the Council

The President                                                 The
President

SIMPLIFIED FINANCIAL STATEMENT

(to be used for any
internal Commission decision of general significance with a budgetary impact on
appropriations of an administrative nature or on human resources, when use of
any other type of financial statement is not appropriate – Article 27 of the
Internal Rules)

1    Title
of draft decision:

DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

on the dissemination of Earth observation satellite data for
commercial purposes

2    Policy
area(s) and ABB activity(ies) concerned:

Policy areas: Space and internal market.

ABB: Human resources and other administrative expenditure.

3    Legal
basis

 ̈ Administrative autonomy               X Other ( specify ): Art. 114
TFEU

4    Description
and grounds:

In line with the Commission Communication on the EU Space Industrial
Policy from February 2013 “Releasing the potential for economic growth in the
space sector” DG ENTR drafted a proposal for a Directive on the dissemination
of Earth observation satellite data for commercial purposes. The Directive
seeks to ensure the proper functioning and development of the internal market
commercial satellite data products and services by establishing a transparent,
predictable, fair and coherent legal framework across Member States.

5    Duration
and estimated financial impact:

5.1         Period of application:

 ̈         Decision with a
limited duration: decision in force from [date] to [date]

X         Decision with an
indefinite duration: in force from 01.01.2015

5.2         Estimated budgetary impact:

The draft decision entails:

 ̈         savings

X         additional
costs (if so, specify the heading(s) of the multiannual financial framework
concerned):             Heading 5

Complete the estimated financial
impact table in the annex for appropriations of an administrative nature or for
human resources. If the draft decision is of indefinite duration, the costs
must be indicated for each year of development and then for each year of
operation at full capacity (in the column "Total/annual cost").

5.3         Third-party contributions to the financing of the draft
decision:

If the
proposal provides for co-financing by Member States or other bodies (please
specify which), you should give an estimate of the level of co-financing, if
known.

appropriations in EUR million (to 3 decimal places)

|| Year n || Year n+1 || Year n+2 || Year n+3 || Year n+4 || Year n+5 || Year n+6 || Total

Specify cofinancing source/body || || || || || || || ||

TOTAL appropriations cofinanced || || || || || || || ||

5.4         Explanation of figures:

Average staff costs are shown at the foot of
page http://www.cc.cec/budg/pre/legalbasis/pre-040-020_preparation_en.html

The proposal does not have budgetary implications in terms of
operational appropriations or appropriations for administrative execution. The
budgetary implications are limited to human resources and other administrative
expenditure incurred by the Commission to ensure the implementation of its
obligations under the proposed legal instrument, i.e. monitoring, evaluation
and, if appropriate, revisions or updates of the legislative acts. In total,
the budgetary implications are very minor and will be limited to approx. 0.3 M
€ during MFF 2014 – 2020.

6    Compatibility
with the current multiannual financial framework:

X       The proposal is compatible with existing financial programming.

 ̈      The proposal will entail reprogramming of the relevant heading
in the multiannual financial framework.

 ̈      The proposal requires use of the flexibility instrument or
revision of the multiannual financial framework[14].

7    Impact
of savings or additional costs on the allocation of resources:

X       Resources to be obtained by means
of internal redeployment within departments

 ̈      Resources already allocated to the department(s) concerned

 ̈      Resources to be requested during the next allocation procedure

The human and
administrative resources required will be covered by the allocation which may
be granted to the managing DG under the annual allocation procedure in the
light of existing budgetary constraints.

ANNEX:

ESTIMATED FINANCIAL IMPACT (savings or additional costs) FOR
APPROPRIATIONS OF AN ADMINISTRATIVE NATURE OR FOR HUMAN RESOURCES

FTE=Full-Time Equivalent                           XX is the policy
area or title concerned                                                                         EUR
million (to 3 decimal places)

FTE in persons/year || Year || Year || Year || Year || Year || Year || Year || Total

N (2014) || n+1 || n+2 || n+3 || n+4 || n+5 || n+6

Heading 5 || FTE || approp. || FTE || approp. || FTE || approp. || FTE || approp. || FTE || approp. || FTE || approp. || FTE || approp. || ||

Establishment plan posts (officials and/or temporary staff)

XX 01 01 01 (Headquarters and Commission’s Representation Offices) || || || || || || || 0.25 || 0.033 || 0.25 || 0.033 || 0.25 || 0.033 || 0.25 || 0.033 || 1 AD || 0.132

XX 01 01 02 (Delegations) || || || || || || || || || || || || || || || ||

External staff ||

XX 01 02 01  (‘Global envelope’) || || || || || || || || || || || || || || || ||

XX 01 02 02  (Delegations) || || || || || || || || || || || || || || || ||

Other budget lines (specify) || || || || || || || || || || || || || || || ||

Subtotal – Heading 5 || || || || || || || 0.25 || 0.033 || 0.25 || 0.033 || 0.25 || 0.033 || 0.25 || 0.033 || 1 || 0.132

Outside Heading 5 ||

Establishment plan posts (officials and/or temporary staff)

XX 01 05 01 (Indirect research) || || || || || || || || || || || || || || || ||

10 01 05 01  (Direct research) || || || || || || || || || || || || || || || ||

External staff

XX 01 04 yy || || || || || || || || || || || || || || || ||

- Headquarters || || || || || || || || || || || || || || || ||

- Delegations || || || || || || || || || || || || || || || ||

XX 01 05 02  (Indirect research) || || || || || || || || || || || || || || || ||

10 01 05 02  (Direct research) || || || || || || || || || || || || || || || ||

Other budget lines (Specify) || || || || || || || || || || || || || || || ||

Subtotal – Outside Heading 5 || || || || || || || || || || || || || || || ||

TOTAL || || || || || || || || || || || || || || || ||

The human
and administrative resources required will be covered by the allocation which
may be granted to the managing DG under the annual allocation procedure in the
light of existing budgetary constraints.

Other
administrative appropriations              XX is the policy area or title
concerned                                                                                                                         EUR
million (to 3 decimal places)

|| Year || Year || Year || Year || Year || Year || Year || TOTAL

n || n+1 || n+2 || n+3 || n+4 || n+5 || n+6

Heading 5 || || || || || || || ||

Headquarters: || || || || || || || ||

XX 01 02 11 01 - Mission and representation expenses || || || || 0.004 || 0.004 || 0.004 || 0.004 || 0.016

XX 01 02 11 02 - Conference and meeting costs || || || || || || || ||

XX 01 02 11 03 - Committees || || || || || || || ||

XX 01 02 11 04 - Studies and consultations || || || || || || || 0.15 || 0.15

XX 01 03 01 03 – ICT equipment[15] || || || || || || || ||

XX 01 03 01 04 – ICT services2 || || || || || || || ||

Other budget lines (specify where necessary) || || || || || || || ||

Delegations: || || || || || || || ||

XX 01 02 12 01 – Missions, conferences and representation expenses || || || || || || || ||

XX 01 02 12 02 - Further training of staff || || || || || || || ||

XX 01 03 02 01 – Acquisition, renting and related expenditure || || || || || || || ||

XX 01 03 02 02 Equipment, furniture, supplies and services || || || || || || || ||

Subtotal – Heading 5 || || || || 0.004 || 0.004 || 0.004 || 0.154 || 0.166

Outside Heading 5 || || || || || || || ||

XX 01 04 yy – Expenditure on technical and administrative assistance (not including external staff) from operational appropriations (former 'BA' lines) || || || || || || || ||

- Headquarters || || || || || || || ||

- Delegations || || || || || || || ||

XX 01 05 03 - Other management expenditure for indirect research || || || || || || || ||

10 01 05 03 - Other management expenditure for direct research || || || || || || || ||

Other budget lines (specify where necessary) || || || || || || || ||

Subtotal – Outside Heading 5 || || || || || || || ||

GRAND TOTAL || || || || 0.037 || 0.037 || 0.037 || 0.187 || 0.298

The human and administrative resources required will
be covered by the allocation which may be granted to the managing DG under the
annual allocation procedure in the light of existing budgetary constraints.

[1]               COM(2013)108 final

[2]               Case C–380/03 Tobacco Advertising II [2006], ECR
I–11573, paras. 80, 81.

[3]               OJ C , , p. .

[4]               COM(2013) 108 final.

[5]               Commission Delegated Regulation (EU) No 1159/2013 of
12 July 2013 supplementing Regulation (EU) No 911/2010 of the European
Parliament and of the Council on the European Earth monitoring programme (GMES)
by establishing registration and licensing conditions for GMES users and
defining criteria for restricting access to GMES dedicated data and GMES service
information (OJ L 309, 19.11.2013, p. 1).

[6]               Directive 2006/123/EC of the European Parliament and
of the Council of 12 December 2006 on services in the internal market (OJ L 376,
27.12.2006, p. 36).

[7]               Directive 95/46/EC of the European Parliament and of
the Council of 24 October 1995 on the protection of individuals with regard to
the processing of personal data and on the free movement of such data (OJ L 281,
23.11.1995, p. 31).

[8]               Regulation (EC) No 45/2001 of the European Parliament
and of the Council of 18 December 2000 on the protection of individuals with
regard to the processing of personal data by the Community institutions and
bodies and on the free movement of such data (OJ L 8, 12.01.2001, p.1).

[9]               OJ C 369, 17.12.2011, p. 14.

[10]             Commission Delegated Regulation (EU) No 1159/2013 of 12
July 2013 supplementing Regulation (EU) No 911/2010 of the European Parliament
and of the Council on the European Earth monitoring programme (GMES) by
establishing registration and licensing conditions for GMES users and defining
criteria for restricting access to GMES dedicated data and GMES service
information (OJ L 309, 19.11.2013, p.1).

[11]             Regulation (EU) No 911/2010 of the European Parliament
and of the Council of 22 September 2010 on the European Earth monitoring
programme (GMES) and its initial operations (2011 to 2013) (OJ L 276,
20.10.2010, p.1).

[12]

[13]             Regulation (EU) No 377/2014 of the European Parliament
and of the Council of 3 April 2014 establishing the Copernicus Programme and
repealing Regulation (EU) No 911/2010 (OJ L 122, 24.04.2014, p.44).

[14]             See points 19 and 24 of the Interinstitutional
Agreement for the period 2007-2013.

[15]             ICT: Information and Communication Technologies

ANNEX
Technical specifications

The technical specifications referred to in
Article 4 are any of the following capabilities of the Earth observation
system, its sensors and sensor modes to generate Earth observation data:

(a) 
with a spatial resolution (ability to detect and
differentiate geometric structures in any spatial direction) of 2.5 metres or
less;

(b) 
in the 8 to 12 micrometre spectral range
(thermal infrared) with a spatial resolution of 5 metres or less;

(c) 
in the 1 millimetre to 1 metre spectral range (microwave)
with a spatial resolution of 3 metres or less;

(d) 
with a number of spectral channels > 49 (hyperspectral
sensors) and a spatial resolution of 10 metres, or

(e) 
with an inherent positional accuracy of 5 metres
or less.