# Official Journal C 239/2015

| | ISSN 1977-091X |
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| Official Journal
  of the European Union | C 239 |
| | |
| English edition | Information and Notices | Volume 5821 July 2015 |

ISSN 1977-091X

Official Journal

of the European Union

C 239

English edition

Information and Notices

Volume 5821 July 2015

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| Notice No | Contents | page |
| --- | --- | --- |
| | III   Preparatory Acts |
| | COUNCIL |
| 2015/C 239/01 | Position (EU) No 10/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Council Regulation (EC) No 515/97 on mutual assistance between the administrative authorities of the Member States and cooperation between the latter and the Commission to ensure the correct application of the law on customs and agricultural mattersAdopted by the Council on 15 June 2015 | 1 |
| 2015/C 239/02 | Statement of Council's reasons: Position (EU) No 10/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Council Regulation (EC) No 515/97 on mutual assistance between the administrative authorities of the Member States and cooperation between the latter and the Commission to ensure the correct application of the law on customs and agricultural matters | 12 |
| 2015/C 239/03 | Position (EU) No 11/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Protocol No 3 on the Statute of the Court of Justice of the European UnionAdopted by the Council on 23 June 2015 | 14 |
| 2015/C 239/04 | Statement of Council's reasons: Position (EU) No 11/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Protocol No 3 on the Statute of the Court of Justice of the European Union | 17 |

Notice No

Contents

page

III   Preparatory Acts

COUNCIL

2015/C 239/01

Position (EU) No 10/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Council Regulation (EC) No 515/97 on mutual assistance between the administrative authorities of the Member States and cooperation between the latter and the Commission to ensure the correct application of the law on customs and agricultural mattersAdopted by the Council on 15 June 2015

1

2015/C 239/02

Statement of Council's reasons: Position (EU) No 10/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Council Regulation (EC) No 515/97 on mutual assistance between the administrative authorities of the Member States and cooperation between the latter and the Commission to ensure the correct application of the law on customs and agricultural matters

12

2015/C 239/03

Position (EU) No 11/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Protocol No 3 on the Statute of the Court of Justice of the European UnionAdopted by the Council on 23 June 2015

14

2015/C 239/04

Statement of Council's reasons: Position (EU) No 11/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Protocol No 3 on the Statute of the Court of Justice of the European Union

17

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EN

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III Preparatory Acts

COUNCIL

| 21.7.2015 | EN | Official Journal of the European Union | C 239/1 |
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21.7.2015

EN

Official Journal of the European Union

C 239/1

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POSITION (EU) No 10/2015 OF THE COUNCIL AT FIRST READING

with a view to the adoption of a Regulation of the European Parliament and of the Council amending Council Regulation (EC) No 515/97 on mutual assistance between the administrative authorities of the Member States and cooperation between the latter and the Commission to ensure the correct application of the law on customs and agricultural matters

Adopted by the Council on 15 June 2015

(2015/C 239/01)

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 Articles 33 and 325 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 Court of Auditors,

Acting in accordance with the ordinary legislative procedure (1),

Whereas:

| (1) | In order to ensure that Council Regulation (EC) No 515/97 (2) covers all possible movements of goods in relation to the customs territory of the Union, it is appropriate to clarify the definitions of ‘customs legislation’ and ‘carriers’ with regard to the concepts of entry and exit of goods. |
| --- | --- |

(1)

In order to ensure that Council Regulation (EC) No 515/97 (2) covers all possible movements of goods in relation to the customs territory of the Union, it is appropriate to clarify the definitions of ‘customs legislation’ and ‘carriers’ with regard to the concepts of entry and exit of goods.

| (2) | With a view to further enhancing administrative and criminal procedures for dealing with irregularities, it is necessary to ensure that evidence obtained through mutual assistance can be considered as admissible in proceedings before the administrative and judicial authorities of the Member State of the applicant authority. |
| --- | --- |

(2)

With a view to further enhancing administrative and criminal procedures for dealing with irregularities, it is necessary to ensure that evidence obtained through mutual assistance can be considered as admissible in proceedings before the administrative and judicial authorities of the Member State of the applicant authority.

| (3) | With a view to increasing clarity, consistency and transparency, it is necessary to determine in more concrete terms the authorities which should have access to the directories established on the basis of Regulation (EC) No 515/97. For that purpose, a uniform reference to competent authorities should be established. Direct access for those authorities is an important condition for the effective implementation of the mutual assistance between the administrative authorities of the Member States and cooperation between the latter and the Commission to ensure the correct application of the law on customs and agricultural matters. |
| --- | --- |

(3)

With a view to increasing clarity, consistency and transparency, it is necessary to determine in more concrete terms the authorities which should have access to the directories established on the basis of Regulation (EC) No 515/97. For that purpose, a uniform reference to competent authorities should be established. Direct access for those authorities is an important condition for the effective implementation of the mutual assistance between the administrative authorities of the Member States and cooperation between the latter and the Commission to ensure the correct application of the law on customs and agricultural matters.

| (4) | Data concerning container movements make it possible to identify fraud with regard to goods that are moved in and out of the customs territory of the Union. Such data serve to assist in preventing, investigating and prosecuting operations which constitute, or appear to constitute, breaches of customs legislation. In order to collect and use a set of data as complete as possible, while avoiding potential negative impacts on small and medium-sized enterprises in the freight forwarding sector, it is necessary that carriers submit to the Member States data concerning container movements in so far as they collect such data in electronic formats by way of their equipment tracking systems or have such data stored on their behalf. Such data should be directly transmitted to a single directory established by the Commission for that purpose. |
| --- | --- |

(4)

Data concerning container movements make it possible to identify fraud with regard to goods that are moved in and out of the customs territory of the Union. Such data serve to assist in preventing, investigating and prosecuting operations which constitute, or appear to constitute, breaches of customs legislation. In order to collect and use a set of data as complete as possible, while avoiding potential negative impacts on small and medium-sized enterprises in the freight forwarding sector, it is necessary that carriers submit to the Member States data concerning container movements in so far as they collect such data in electronic formats by way of their equipment tracking systems or have such data stored on their behalf. Such data should be directly transmitted to a single directory established by the Commission for that purpose.

| (5) | In order to ensure a high level of consumer protection, the Union has a duty to combat customs fraud and thus contribute to the internal market's objective of having safe products with genuine certificates of origin. |
| --- | --- |

(5)

In order to ensure a high level of consumer protection, the Union has a duty to combat customs fraud and thus contribute to the internal market's objective of having safe products with genuine certificates of origin.

| (6) | The detection of fraud depends significantly on the identification and cross-analysis of relevant operational data sets. It is necessary therefore to establish, at Union level, a directory containing data on the import, export and transit of goods, including the transit of goods within the Member States and direct exports. For that purpose, the Commission should systematically replicate data from the sources operated by the Commission into the import, export and transit directory, and Member States should have the option to supply to the Commission data relating to transit of goods within a Member State and direct exports, depending on the availability of data and Member States' information technology infrastructure. |
| --- | --- |

(6)

The detection of fraud depends significantly on the identification and cross-analysis of relevant operational data sets. It is necessary therefore to establish, at Union level, a directory containing data on the import, export and transit of goods, including the transit of goods within the Member States and direct exports. For that purpose, the Commission should systematically replicate data from the sources operated by the Commission into the import, export and transit directory, and Member States should have the option to supply to the Commission data relating to transit of goods within a Member State and direct exports, depending on the availability of data and Member States' information technology infrastructure.

| (7) | The introduction, pursuant to Decision No 70/2008/EC of the European Parliament and of the Council (3), of the electronic customs systems in 2011, by which documents supporting imports and exports are no longer kept by customs authorities but by economic operators, has led to delays in the conduct of European Anti-fraud Office (OLAF) investigations in the customs area, as OLAF relies on those authorities to help it obtain such documents. Moreover, the three-year limitation period to recover customs debt puts additional constraints on the successful conduct of investigations. In order to accelerate the conduct of investigations in the area of customs, in addition to the other possibilities for the Commission to obtain information concerning declarations, the procedure in accordance with which the Commission may request from Member States documents supporting import and export declarations should be specified. |
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(7)

The introduction, pursuant to Decision No 70/2008/EC of the European Parliament and of the Council (3), of the electronic customs systems in 2011, by which documents supporting imports and exports are no longer kept by customs authorities but by economic operators, has led to delays in the conduct of European Anti-fraud Office (OLAF) investigations in the customs area, as OLAF relies on those authorities to help it obtain such documents. Moreover, the three-year limitation period to recover customs debt puts additional constraints on the successful conduct of investigations. In order to accelerate the conduct of investigations in the area of customs, in addition to the other possibilities for the Commission to obtain information concerning declarations, the procedure in accordance with which the Commission may request from Member States documents supporting import and export declarations should be specified.

| (8) | In order to ensure the confidentiality and increase the security of data entered into the directories established on the basis of this Regulation and of Regulation (EC) No 515/97, provision should be made for limiting access to those data to specific users and for defined purposes only. |
| --- | --- |

(8)

In order to ensure the confidentiality and increase the security of data entered into the directories established on the basis of this Regulation and of Regulation (EC) No 515/97, provision should be made for limiting access to those data to specific users and for defined purposes only.

| (9) | Regulation (EC) No 515/97 provides for the processing of data. Such processing may also cover personal data and should be carried out in accordance with Union law. In particular, the processing of personal data should be carried out in a manner compatible with the purpose of that Regulation and in accordance with Directive 95/46/EC of the European Parliament and of the Council (4) and Regulation (EC) No 45/2001 of the European Parliament and of the Council (5) and, in particular, with Union requirements relating to data quality, to proportionality, to purpose limitation, and to rights to information and to access, rectification, erasure and blocking of personal data, with organisational and technical measures and with international transfers of personal data. Specific provision should be made for limiting access to data entered to specific users only, in order also to ensure the confidentiality of data entered. |
| --- | --- |

(9)

Regulation (EC) No 515/97 provides for the processing of data. Such processing may also cover personal data and should be carried out in accordance with Union law. In particular, the processing of personal data should be carried out in a manner compatible with the purpose of that Regulation and in accordance with Directive 95/46/EC of the European Parliament and of the Council (4) and Regulation (EC) No 45/2001 of the European Parliament and of the Council (5) and, in particular, with Union requirements relating to data quality, to proportionality, to purpose limitation, and to rights to information and to access, rectification, erasure and blocking of personal data, with organisational and technical measures and with international transfers of personal data. Specific provision should be made for limiting access to data entered to specific users only, in order also to ensure the confidentiality of data entered.

| (10) | The Commission and Member States should protect confidential business information and they should ensure the confidential treatment of information exchanged by means of the directory of reported Container Status Messages and the import, export and transit directory. |
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(10)

The Commission and Member States should protect confidential business information and they should ensure the confidential treatment of information exchanged by means of the directory of reported Container Status Messages and the import, export and transit directory.

| (11) | In order to ensure up-to-date information and to guarantee the right to transparency and right to information of data subjects as set out in Regulation (EC) No 45/2001 and Directive 95/46/EC, it should be possible for the Commission to publish on the internet updates to the lists of competent authorities designated by the Member States and the Commission departments authorised to have access to the CIS. |
| --- | --- |

(11)

In order to ensure up-to-date information and to guarantee the right to transparency and right to information of data subjects as set out in Regulation (EC) No 45/2001 and Directive 95/46/EC, it should be possible for the Commission to publish on the internet updates to the lists of competent authorities designated by the Member States and the Commission departments authorised to have access to the CIS.

| (12) | The processing of personal data for the purposes of Regulation (EC) No 515/97 and any delegated and implementing acts adopted pursuant thereto should observe the fundamental right to respect for private and family life recognised by Article 8 of the Convention for the Protection of Human Rights and Fundamental Freedoms, as well as the rights to respect for private and family life, and the right to the protection of personal data, recognised, respectively, by Articles 7 and 8 of the Charter of Fundamental Rights of the European Union. Such delegated and implementing acts should also ensure that any processing of personal data takes place in accordance with Directive 95/46/EC and Regulation (EC) No 45/2001. |
| --- | --- |

(12)

The processing of personal data for the purposes of Regulation (EC) No 515/97 and any delegated and implementing acts adopted pursuant thereto should observe the fundamental right to respect for private and family life recognised by Article 8 of the Convention for the Protection of Human Rights and Fundamental Freedoms, as well as the rights to respect for private and family life, and the right to the protection of personal data, recognised, respectively, by Articles 7 and 8 of the Charter of Fundamental Rights of the European Union. Such delegated and implementing acts should also ensure that any processing of personal data takes place in accordance with Directive 95/46/EC and Regulation (EC) No 45/2001.

| (13) | In order to improve the consistency of data protection supervision, the European Data Protection Supervisor should cooperate closely with the Joint Supervisory Authority set up under Council Decision 2009/917/JHA (6), with a view to achieving coordination of the audits of the CIS. |
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(13)

In order to improve the consistency of data protection supervision, the European Data Protection Supervisor should cooperate closely with the Joint Supervisory Authority set up under Council Decision 2009/917/JHA (6), with a view to achieving coordination of the audits of the CIS.

| (14) | The provisions governing the storage of data in the CIS frequently result in unjustifiable losses of information. This is because Member States do not systematically carry out the yearly reviews due to the administrative burden involved and the lack of appropriate resources. It is therefore necessary to simplify the procedure governing the storage of data in the CIS by removing the obligation to review data annually and by setting a maximum storage period of five years which can be increased, subject to justification, by an additional period of two years, corresponding to periods provided for the directories established on the basis of Regulation (EC) No 515/97. That period is necessary due to the long procedures for processing irregularities and because those data are needed for the conduct of joint customs operations and of investigations. |
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(14)

The provisions governing the storage of data in the CIS frequently result in unjustifiable losses of information. This is because Member States do not systematically carry out the yearly reviews due to the administrative burden involved and the lack of appropriate resources. It is therefore necessary to simplify the procedure governing the storage of data in the CIS by removing the obligation to review data annually and by setting a maximum storage period of five years which can be increased, subject to justification, by an additional period of two years, corresponding to periods provided for the directories established on the basis of Regulation (EC) No 515/97. That period is necessary due to the long procedures for processing irregularities and because those data are needed for the conduct of joint customs operations and of investigations.

| (15) | In order to further enhance the possibilities for the analysis of fraud and to facilitate the conduct of investigations, data concerning current investigation files stored in the Customs files identification database should be rendered anonymous, when one year has elapsed since the last observation, and should thereafter be retained in a form in which identification of the data subject is no longer possible. |
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(15)

In order to further enhance the possibilities for the analysis of fraud and to facilitate the conduct of investigations, data concerning current investigation files stored in the Customs files identification database should be rendered anonymous, when one year has elapsed since the last observation, and should thereafter be retained in a form in which identification of the data subject is no longer possible.

| (16) | Since the objective of this Regulation, namely to improve the detection, investigation and prevention of customs-related fraud in the Union cannot be sufficiently achieved by the Member States but can rather, by reason of its scale or effects, be better achieved at Union level, the Union may adopt 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 Regulation does not go beyond what is necessary to achieve that objective. |
| --- | --- |

(16)

Since the objective of this Regulation, namely to improve the detection, investigation and prevention of customs-related fraud in the Union cannot be sufficiently achieved by the Member States but can rather, by reason of its scale or effects, be better achieved at Union level, the Union may adopt 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 Regulation does not go beyond what is necessary to achieve that objective.

| (17) | Carriers who, at the time of the entry into force of this Regulation, are bound by private contract obligations as regards the supply of data on container movements, should be entitled to benefit from a deferred application of their obligation to report Container Status Messages (CSMs), in order to renegotiate their contracts and to ensure that future contracts are compatible with the obligation to provide data to the Member States. |
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(17)

Carriers who, at the time of the entry into force of this Regulation, are bound by private contract obligations as regards the supply of data on container movements, should be entitled to benefit from a deferred application of their obligation to report Container Status Messages (CSMs), in order to renegotiate their contracts and to ensure that future contracts are compatible with the obligation to provide data to the Member States.

| (18) | Regulation (EC) No 515/97 confers powers on the Commission to implement some of the provisions of that Regulation. As a consequence of the entry into force of the Treaty of Lisbon, the powers conferred on the Commission under that Regulation need to be aligned to Articles 290 and 291 of the Treaty on the Functioning of the European Union (TFEU). |
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(18)

Regulation (EC) No 515/97 confers powers on the Commission to implement some of the provisions of that Regulation. As a consequence of the entry into force of the Treaty of Lisbon, the powers conferred on the Commission under that Regulation need to be aligned to Articles 290 and 291 of the Treaty on the Functioning of the European Union (TFEU).

| (19) | In order to supplement certain non-essential elements of Regulation (EC) No 515/97 and in particular to specify the information to be entered into the CIS, the power to adopt acts in accordance with Article 290 TFEU should be delegated to the Commission to determine the operations in connection with the application of agricultural legislation for which information has to be introduced into the CIS. It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert level and, where appropriate, with business representatives. The Commission, when preparing and drawing up delegated acts, should ensure a simultaneous, timely and appropriate transmission of relevant documents to the European Parliament and to the Council. |
| --- | --- |

(19)

In order to supplement certain non-essential elements of Regulation (EC) No 515/97 and in particular to specify the information to be entered into the CIS, the power to adopt acts in accordance with Article 290 TFEU should be delegated to the Commission to determine the operations in connection with the application of agricultural legislation for which information has to be introduced into the CIS. It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert level and, where appropriate, with business representatives. The Commission, when preparing and drawing up delegated acts, should ensure a simultaneous, timely and appropriate transmission of relevant documents to the European Parliament and to the Council.

| (20) | In order to ensure uniform conditions for the implementation of Regulation (EC) No 515/97, implementing powers should be conferred on the Commission in respect of the frequency of reporting CSMs, the format of the CSM data, the method of transmission of the CSMs and the specific elements to be included in the CIS relating to each of the categories in which data should be entered. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council (7). The examination procedure should be used for the adoption of implementing acts. |
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(20)

In order to ensure uniform conditions for the implementation of Regulation (EC) No 515/97, implementing powers should be conferred on the Commission in respect of the frequency of reporting CSMs, the format of the CSM data, the method of transmission of the CSMs and the specific elements to be included in the CIS relating to each of the categories in which data should be entered. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council (7). The examination procedure should be used for the adoption of implementing acts.

| (21) | The European Data Protection Supervisor has been consulted and issued an opinion on 11 March 2014. |
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(21)

The European Data Protection Supervisor has been consulted and issued an opinion on 11 March 2014.

| (22) | Regulation (EC) No 515/97 should therefore be amended accordingly, |
| --- | --- |

(22)

Regulation (EC) No 515/97 should therefore be amended accordingly,

HAVE ADOPTED THIS REGULATION:

Article 1

Regulation (EC) No 515/97 is amended as follows:

| (1) | Article 2(1) is amended as follows:






  (a) | the first indent is replaced by the following:






  ‘— | “customs legislation” means customs legislation as defined in point 2 of Article 5 of Regulation (EU) No 952/2013 of the European Parliament and of the Council (8), |
| --- | --- | --- | --- |

(1)

Article 2(1) is amended as follows:

(a)

the first indent is replaced by the following:

‘—

“customs legislation” means customs legislation as defined in point 2 of Article 5 of Regulation (EU) No 952/2013 of the European Parliament and of the Council (8),

(8)  Regulation (EU) No 952/2013 of the European Parliament and of the Council of 9 October 2013 laying down the Union Customs Code (OJ L 269, 10.10.2013, p. 1).’;"

| (b) | the following indents are added:






  ‘— | “customs territory of the Union” means the customs territory of the Union as defined in Article 4 of Regulation (EU) No 952/2013, |
| --- | --- | --- |

(b)

the following indents are added:

‘—

“customs territory of the Union” means the customs territory of the Union as defined in Article 4 of Regulation (EU) No 952/2013,

| — | “carriers” means the persons within the meaning of point 40 of Article 5 of Regulation (EU) No 952/2013.’; |
| --- | --- |

—

“carriers” means the persons within the meaning of point 40 of Article 5 of Regulation (EU) No 952/2013.’;

| (2) | Article 12 is replaced by the following:
  ‘Article 12
  Without prejudice to Article 51, information, including documents, certified true copies of documents, attestations, all instruments or decisions which emanate from administrative authorities, reports and any intelligence, obtained by the staff of the requested authority and communicated to the applicant authority in the course of the assistance provided for in Articles 4 to 11 may constitute admissible evidence in the same way as if they had been obtained in the Member State where the proceedings take place:






  (a) | in administrative proceedings of the Member State of the applicant authority, including subsequent appeal procedures; |
| --- | --- | --- |

(2)

Article 12 is replaced by the following:

‘Article 12

Without prejudice to Article 51, information, including documents, certified true copies of documents, attestations, all instruments or decisions which emanate from administrative authorities, reports and any intelligence, obtained by the staff of the requested authority and communicated to the applicant authority in the course of the assistance provided for in Articles 4 to 11 may constitute admissible evidence in the same way as if they had been obtained in the Member State where the proceedings take place:

(a)

in administrative proceedings of the Member State of the applicant authority, including subsequent appeal procedures;

| (b) | in judicial proceedings of the Member State of the applicant authority, unless otherwise explicitly stated by the requested authority at the time of communication of the information.’; |
| --- | --- |

(b)

in judicial proceedings of the Member State of the applicant authority, unless otherwise explicitly stated by the requested authority at the time of communication of the information.’;

| (3) | Article 16 is replaced by the following:
  ‘Article 16
  Without prejudice to Article 51, information, including documents, certified true copies of documents, attestations, all instruments or decisions which emanate from administrative authorities, reports and any intelligence, obtained by the staff of the communicating authority and communicated to the receiving authority in the course of the assistance provided for in Articles 13 to 15 may constitute admissible evidence in the same way as if they had been obtained in the Member State where the proceedings take place:






  (a) | in administrative proceedings of the Member State of the receiving authority, including subsequent appeal procedures; |
| --- | --- | --- |

(3)

Article 16 is replaced by the following:

‘Article 16

Without prejudice to Article 51, information, including documents, certified true copies of documents, attestations, all instruments or decisions which emanate from administrative authorities, reports and any intelligence, obtained by the staff of the communicating authority and communicated to the receiving authority in the course of the assistance provided for in Articles 13 to 15 may constitute admissible evidence in the same way as if they had been obtained in the Member State where the proceedings take place:

(a)

in administrative proceedings of the Member State of the receiving authority, including subsequent appeal procedures;

| (b) | in judicial proceedings of the Member State of the receiving authority, unless otherwise explicitly stated by the communicating authority at the time of communication of the information.’; |
| --- | --- |

(b)

in judicial proceedings of the Member State of the receiving authority, unless otherwise explicitly stated by the communicating authority at the time of communication of the information.’;

| (4) | Article 18a is amended as follows:






  (a) | paragraphs 1 and 2 are replaced by the following:
  ‘1.   Without prejudice to the competences of the Member States and with a view to assisting the authorities referred to in Article 29 to detect movements of goods that are the object of operations in potential breach of customs and agricultural legislation, and means of transport, including containers, used for that purpose, the Commission shall establish and manage a directory of data reported by carriers (“transport directory”). The transport directory shall be directly accessible to those authorities. They may use the transport directory, including for the analysis of data and the exchange of information, only for the purposes of this Regulation.
  2.   In managing the transport directory, the Commission shall be empowered:






  (a) | to access or extract and store the contents of the data, by any means or in any form, and to use data in compliance with legislation applicable to intellectual property rights. The Commission shall put in place adequate safeguards, including technical and organisational measures and transparency requirements relating to data subjects. Data subjects shall have the right to access and correct data; |
| --- | --- | --- | --- |

(4)

Article 18a is amended as follows:

(a)

paragraphs 1 and 2 are replaced by the following:

‘1.   Without prejudice to the competences of the Member States and with a view to assisting the authorities referred to in Article 29 to detect movements of goods that are the object of operations in potential breach of customs and agricultural legislation, and means of transport, including containers, used for that purpose, the Commission shall establish and manage a directory of data reported by carriers (“transport directory”). The transport directory shall be directly accessible to those authorities. They may use the transport directory, including for the analysis of data and the exchange of information, only for the purposes of this Regulation.

2.   In managing the transport directory, the Commission shall be empowered:

(a)

to access or extract and store the contents of the data, by any means or in any form, and to use data in compliance with legislation applicable to intellectual property rights. The Commission shall put in place adequate safeguards, including technical and organisational measures and transparency requirements relating to data subjects. Data subjects shall have the right to access and correct data;

| (b) | to compare and contrast data that are accessible in or extracted from the transport directory, to index them and to enrich them from other data sources and to analyse them in compliance with Regulation (EC) No 45/2001 of the European Parliament and of the Council (9); |
| --- | --- |

(b)

to compare and contrast data that are accessible in or extracted from the transport directory, to index them and to enrich them from other data sources and to analyse them in compliance with Regulation (EC) No 45/2001 of the European Parliament and of the Council (9);

| (c) | to make the data in the transport directory available to the authorities referred to in Article 29 of this Regulation, using electronic data-processing techniques. |
| --- | --- |

(c)

to make the data in the transport directory available to the authorities referred to in Article 29 of this Regulation, using electronic data-processing techniques.

(9)  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, 12.1.2001, p. 1).’;"

| (b) | paragraph 4 is replaced by the following:
  ‘4.   For the movement of containers referred to in paragraph 3 of this Article, the Commission shall establish and manage a directory of reported Container Status Messages (“CSM directory”). The CSM directory shall be directly accessible to the authorities referred to in Article 29. The carriers referred to in paragraph 1 of this Article that store data on the movement and status of containers or have such data stored on their behalf shall report Container Status Messages (CSMs) to the customs authorities of Member States in either of the following situations:






  (a) | containers destined to be brought by maritime vessel into the customs territory of the Union from a third country, excluding:






  — | containers destined to remain on board the same maritime vessel during its voyage and to leave the customs territory of the Union on board that maritime vessel, and |
| --- | --- | --- | --- |

(b)

paragraph 4 is replaced by the following:

‘4.   For the movement of containers referred to in paragraph 3 of this Article, the Commission shall establish and manage a directory of reported Container Status Messages (“CSM directory”). The CSM directory shall be directly accessible to the authorities referred to in Article 29. The carriers referred to in paragraph 1 of this Article that store data on the movement and status of containers or have such data stored on their behalf shall report Container Status Messages (CSMs) to the customs authorities of Member States in either of the following situations:

(a)

containers destined to be brought by maritime vessel into the customs territory of the Union from a third country, excluding:

—

containers destined to remain on board the same maritime vessel during its voyage and to leave the customs territory of the Union on board that maritime vessel, and

| — | containers destined to be unloaded and reloaded onto the same maritime vessel during its voyage in order to enable the unloading or loading of other goods and to leave the customs territory of the Union on board that maritime vessel; |
| --- | --- |

—

containers destined to be unloaded and reloaded onto the same maritime vessel during its voyage in order to enable the unloading or loading of other goods and to leave the customs territory of the Union on board that maritime vessel;

| (b) | for shipments of goods in containers leaving the customs territory of the Union to a third country by maritime vessel and falling within the scope of:






  — | Article 2 of Council Directive 92/84/EEC (10), |
| --- | --- | --- |

(b)

for shipments of goods in containers leaving the customs territory of the Union to a third country by maritime vessel and falling within the scope of:

—

Article 2 of Council Directive 92/84/EEC (10),

| — | Article 2 of Council Directive 2011/64/EU (11), or |
| --- | --- |

—

Article 2 of Council Directive 2011/64/EU (11), or

| — | Article 2(1) of Council Directive 2003/96/EC (12). |
| --- | --- |

—

Article 2(1) of Council Directive 2003/96/EC (12).

Data shall be transmitted by the carriers directly to the CSM directory.

(10)  Council Directive 92/84/EEC of 19 October 1992 on the approximation of the rates of excise duty on alcohol and alcoholic beverages (OJ L 316, 31.10.1992, p. 29)."

(11)  Council Directive 2011/64/EU of 21 June 2011 on the structure and rates of excise duty applied to manufactured tobacco (OJ L 176, 5.7.2011, p. 24)."

(12)  Council Directive 2003/96/EC of 27 October 2003 restructuring the Community framework for the taxation of energy products and electricity (OJ L 283, 31.10.2003, p. 51).’;"

| (c) | the following paragraphs are added:
  ‘5.   CSMs shall be reported:






  (a) | from the moment when the container was reported empty before being brought into or before leaving the customs territory of the Union until the container is again reported empty; |
| --- | --- | --- |

(c)

the following paragraphs are added:

‘5.   CSMs shall be reported:

(a)

from the moment when the container was reported empty before being brought into or before leaving the customs territory of the Union until the container is again reported empty;

| (b) | for at least three months prior to the physical arrival to the customs territory of the Union until one month after the entry into the customs territory of the Union, in cases where specific CSMs needed to identify the relevant empty container events are not available in the carriers' electronic records; or |
| --- | --- |

(b)

for at least three months prior to the physical arrival to the customs territory of the Union until one month after the entry into the customs territory of the Union, in cases where specific CSMs needed to identify the relevant empty container events are not available in the carriers' electronic records; or

| (c) | for at least three months after exit from the customs territory of the Union, in cases where specific CSMs needed to identify the relevant empty container events are not available in the carriers' electronic records. |
| --- | --- |

(c)

for at least three months after exit from the customs territory of the Union, in cases where specific CSMs needed to identify the relevant empty container events are not available in the carriers' electronic records.

6.   The carriers shall report CSMs for the following or equivalent events, in so far as these are known to the reporting carrier and the data for such events have been generated, collected or maintained in their electronic records:

| — | confirmation of booking, |
| --- | --- |

—

confirmation of booking,

| — | arrival at a loading or unloading facility, |
| --- | --- |

—

arrival at a loading or unloading facility,

| — | departure from a loading or unloading facility, |
| --- | --- |

—

departure from a loading or unloading facility,

| — | loading onto or unloading from a conveyance, |
| --- | --- |

—

loading onto or unloading from a conveyance,

| — | instruction of stuffing or stripping, |
| --- | --- |

—

instruction of stuffing or stripping,

| — | confirmation of stuffing or stripping, |
| --- | --- |

—

confirmation of stuffing or stripping,

| — | intra-terminal movements, |
| --- | --- |

—

intra-terminal movements,

| — | terminal gate inspection, |
| --- | --- |

—

terminal gate inspection,

| — | sending for heavy repair. |
| --- | --- |

—

sending for heavy repair.

Each Member State shall provide for penalties for failure to comply with the obligation to provide data or for providing incomplete or false data. Such penalties shall be effective, proportionate and dissuasive.

7.   Within the Commission, only designated analysts shall be empowered to process personal data to which points (b) and (c) of paragraph 2 apply.

Personal data which are not necessary for detecting the movement of goods as referred to in paragraph 1 shall be deleted immediately or have any identifying factors removed. In any event, they may be stored for no more than three years.

The Commission shall implement appropriate technical and organisational measures to protect personal data against accidental or unlawful destruction, accidental loss or unauthorised disclosure, alteration and access or any other unauthorised form of processing.

8.   Data received from carriers shall be kept only for the time necessary to achieve the purpose for which they were introduced and may not be stored for more than five years.

9.   The Commission and the Member States shall protect confidential business information received from carriers.

The Commission and the Member States shall apply the highest technical, organisational and personnel security rules of professional secrecy or other equivalent duties of confidentiality to their designated experts in accordance with national and Union law.

The Commission and the Member States shall ensure that requests from other Member States for confidential treatment of information exchanged by means of the CSM directory are complied with.’;

| (5) | the following Article is inserted:
  ‘Article 18c
  The Commission shall adopt, by means of implementing acts, provisions regarding the frequency of reporting, the format of the data in the CSMs and the method of transmission of the CSMs.
  Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 43a(2) by 29 February 2016.’; |
| --- | --- |

(5)

the following Article is inserted:

‘Article 18c

The Commission shall adopt, by means of implementing acts, provisions regarding the frequency of reporting, the format of the data in the CSMs and the method of transmission of the CSMs.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 43a(2) by 29 February 2016.’;

| (6) | the following Articles are inserted:
  ‘Article 18d
  1.   The Commission shall establish and manage a directory (“import, export and transit directory”) containing data on:






  (a) | import of goods; |
| --- | --- | --- |

(6)

the following Articles are inserted:

‘Article 18d

1.   The Commission shall establish and manage a directory (“import, export and transit directory”) containing data on:

(a)

import of goods;

| (b) | transit of goods; and |
| --- | --- |

(b)

transit of goods; and

| (c) | export of goods, to the extent that the goods referred to in this point fall within the scope of:






  (i) | Article 2 of Directive 92/84/EEC; |
| --- | --- | --- |

(c)

export of goods, to the extent that the goods referred to in this point fall within the scope of:

(i)

Article 2 of Directive 92/84/EEC;

| (ii) | Article 2 of Directive 2011/64/EU; or |
| --- | --- |

(ii)

Article 2 of Directive 2011/64/EU; or

| (iii) | Article 2(1) of Directive 2003/96/EC. |
| --- | --- |

(iii)

Article 2(1) of Directive 2003/96/EC.

The import, export and transit directory shall be maintained as detailed in Annexes 37 and 38 to Commission Regulation (EEC) No 2454/93 (13).

The Commission shall systematically replicate data from the sources operated by the Commission on the basis of Regulation (EU) No 952/2013 into the import, export and transit directory. The Member States may supply to the Commission data concerning the transit of goods within a Member State and direct export, depending on the availability of data and Member States' information technology infrastructure.

The departments designated by the Commission and the national authorities referred to in Article 29 of this Regulation may use the import, export and transit directory to analyse data and compare data in the import, export and transit directory with CSMs reported under the CSM directory, and may exchange information on the results, for the purposes of this Regulation.

2.   The import, export and transit directory shall be accessible to the national authorities referred to in Article 29 of this Regulation. Within the Commission, only designated analysts shall be empowered to process data contained in the import, export and transit directory.

Member States shall have direct access to:

| (a) | data on all declarations established and lodged in the Member State concerned; |
| --- | --- |

(a)

data on all declarations established and lodged in the Member State concerned;

| (b) | data pertaining to economic operators with an EORI number provided for in Regulation (EEC) No 2454/93 and assigned by the authorities of that Member State; |
| --- | --- |

(b)

data pertaining to economic operators with an EORI number provided for in Regulation (EEC) No 2454/93 and assigned by the authorities of that Member State;

| (c) | transit data; |
| --- | --- |

(c)

transit data;

| (d) | all other data except personal data referred to in Article 41b(2) of this Regulation. |
| --- | --- |

(d)

all other data except personal data referred to in Article 41b(2) of this Regulation.

The competent authorities having entered data in the Customs Information System referred to in Article 23(1) of this Regulation, or data from an investigation file in the Customs files identification database referred to in Article 41a(1) of this Regulation in accordance with Article 41b of this Regulation, shall have access to all data in the import, export and transit directory pertaining to that entry or that investigation file.

3.   Regulation (EC) No 45/2001 shall apply to the processing of personal data by the Commission in the context of data included in the import, export and transit directory.

The Commission shall be considered as a controller within the meaning of point (d) of Article 2 of Regulation (EC) No 45/2001.

The import, export and transit directory shall be subject to prior checking by the European Data Protection Supervisor in accordance with Article 27 of Regulation (EC) No 45/2001.

Data contained in the import, export and transit directory may not be stored for more than five years, with an additional period of two years, if justified.

4.   The import, export and transit directory shall not include the special categories of data within the meaning of Article 10(5) of Regulation (EC) No 45/2001.

The Commission shall implement appropriate technical and organisational measures to protect personal data against accidental or unlawful destruction, accidental loss or unauthorised disclosure, alteration and access or any other unauthorised form of processing.

5.   The Commission and the Member States shall protect confidential business information. The Commission and Member States shall apply the highest technical, organisational and personnel security rules of professional secrecy or other equivalent duties of confidentiality to their designated experts in accordance with national and Union law.

The Commission and the Member States shall ensure that requests from other Member States for confidential treatment of information exchanged by means of the import, export and transit directory are complied with.

Article 18e

The Commission may request a Member State to provide documents which support import and export declarations and for which supporting documents have been generated or collected by economic operators, with respect to investigations related to the implementation of customs legislation.

The request referred to in the first paragraph shall be addressed to the competent authorities. When more than one competent authority is designated by a Member State, the Member State shall specify the administrative department responsible for answering the request by the Commission.

A Member State shall, within a period of four weeks starting from the receipt of the request by the Commission:

| — | provide the requested documentation; subject to justification, within an additional period of six weeks, |
| --- | --- |

—

provide the requested documentation; subject to justification, within an additional period of six weeks,

| — | notify the Commission that the request was impossible to satisfy due to the failure of the economic operator to provide the requested information, or |
| --- | --- |

—

notify the Commission that the request was impossible to satisfy due to the failure of the economic operator to provide the requested information, or

| — | decline the request as a consequence of a decision taken by that Member State's administrative or judicial authority according to Article 3. |
| --- | --- |

—

decline the request as a consequence of a decision taken by that Member State's administrative or judicial authority according to Article 3.

(13)  Commission Regulation (EEC) No 2454/93 of 2 July 1993 laying down provisions for the implementation of Council Regulation (EEC) No 2913/92 establishing the Community Customs Code (OJ L 253, 11.10.1993, p. 1).’;"

| (7) | Article 21(1) is replaced by the following:
  ‘1.   The findings and information obtained in the course of the Community missions referred to in Article 20, and in particular documents passed on by the competent authorities of the third countries concerned, as well as the information obtained during the course of an administrative enquiry, including by the Commission's services, shall be handled in accordance with Article 45.’; |
| --- | --- |

(7)

Article 21(1) is replaced by the following:

‘1.   The findings and information obtained in the course of the Community missions referred to in Article 20, and in particular documents passed on by the competent authorities of the third countries concerned, as well as the information obtained during the course of an administrative enquiry, including by the Commission's services, shall be handled in accordance with Article 45.’;

| (8) | Article 23(4) is replaced by the following:
  ‘4.   The Commission shall be empowered to adopt delegated acts in accordance with Article 43 determining those operations in connection with the application of agricultural regulations which require the introduction of information into the CIS.
  Those delegated acts shall be adopted by 29 February 2016.’; |
| --- | --- |

(8)

Article 23(4) is replaced by the following:

‘4.   The Commission shall be empowered to adopt delegated acts in accordance with Article 43 determining those operations in connection with the application of agricultural regulations which require the introduction of information into the CIS.

Those delegated acts shall be adopted by 29 February 2016.’;

| (9) | Article 25(1) is replaced by the following:
  ‘1.   The Commission shall adopt, by means of implementing acts, provisions regarding the items to be included in the CIS relating to each of the categories referred to in Article 24 to the extent that this is necessary to achieve the aim of the CIS. Personal data may not appear in the category referred to in Article 24(e). Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 43a(2) by 29 February 2016.’; |
| --- | --- |

(9)

Article 25(1) is replaced by the following:

‘1.   The Commission shall adopt, by means of implementing acts, provisions regarding the items to be included in the CIS relating to each of the categories referred to in Article 24 to the extent that this is necessary to achieve the aim of the CIS. Personal data may not appear in the category referred to in Article 24(e). Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 43a(2) by 29 February 2016.’;

| (10) | paragraphs 1 and 2 of Article 29 are replaced by the following:
  ‘1.   Access to data included in the CIS shall be reserved exclusively for the national authorities designated by each Member State and the departments designated by the Commission. Those national authorities shall be customs authorities, but may also include other authorities competent, according to the laws, regulations and procedures of the Member State in question, to act in order to achieve the aim stated in Article 23(2).
  The supplying CIS partner shall have the right to determine which among those national authorities mentioned in the first subparagraph of this paragraph may have access to data that it has included in the CIS.
  2.   Each Member State shall send the Commission a list of its designated competent national authorities which have access to the CIS, stating, for each authority, to which data it may have access and for what purposes.
  The Commission shall verify with the Member States concerned the list of the designated national authorities against disproportionate designations. After that verification, the Member States concerned shall confirm or amend the list of the designated national authorities. The Commission shall inform the other Member States accordingly. It shall also inform all the Member States of the corresponding details concerning the Commission departments authorised to have access to the CIS.
  The list of national authorities and Commission departments thus designated shall be published for information by the Commission in the Official Journal of the European Union and subsequent updates to the list shall be made public by the Commission on the internet.’; |
| --- | --- |

(10)

paragraphs 1 and 2 of Article 29 are replaced by the following:

‘1.   Access to data included in the CIS shall be reserved exclusively for the national authorities designated by each Member State and the departments designated by the Commission. Those national authorities shall be customs authorities, but may also include other authorities competent, according to the laws, regulations and procedures of the Member State in question, to act in order to achieve the aim stated in Article 23(2).

The supplying CIS partner shall have the right to determine which among those national authorities mentioned in the first subparagraph of this paragraph may have access to data that it has included in the CIS.

2.   Each Member State shall send the Commission a list of its designated competent national authorities which have access to the CIS, stating, for each authority, to which data it may have access and for what purposes.

The Commission shall verify with the Member States concerned the list of the designated national authorities against disproportionate designations. After that verification, the Member States concerned shall confirm or amend the list of the designated national authorities. The Commission shall inform the other Member States accordingly. It shall also inform all the Member States of the corresponding details concerning the Commission departments authorised to have access to the CIS.

The list of national authorities and Commission departments thus designated shall be published for information by the Commission in the Official Journal of the European Union and subsequent updates to the list shall be made public by the Commission on the internet.’;

| (11) | Article 30 is amended as follows:






  (a) | in paragraph 3, the third subparagraph is replaced by the following:
  ‘The list of the national authorities or departments thus designated shall be published for information by the Commission in the Official Journal of the European Union and subsequent updates to the list shall be made public by the Commission on the internet.’; |
| --- | --- | --- |

(11)

Article 30 is amended as follows:

(a)

in paragraph 3, the third subparagraph is replaced by the following:

‘The list of the national authorities or departments thus designated shall be published for information by the Commission in the Official Journal of the European Union and subsequent updates to the list shall be made public by the Commission on the internet.’;

| (b) | paragraph 4 is replaced by the following:
  ‘4.   Data obtained from the CIS may, with the prior authorisation of, and subject to any conditions imposed by, the Member State which included them in the CIS, be communicated for use by national authorities other than those referred to in paragraph 2, third countries and international or regional organisations and/or Union agencies which contribute to the protection of the financial interests of the Union and the correct application of customs legislation. Each Member State shall take special measures to ensure the security of such data when they are being transmitted or supplied to departments located outside its territory.
  The first subparagraph of this paragraph shall apply mutatis mutandis to the Commission where it has entered the data in the CIS.’; |
| --- | --- |

(b)

paragraph 4 is replaced by the following:

‘4.   Data obtained from the CIS may, with the prior authorisation of, and subject to any conditions imposed by, the Member State which included them in the CIS, be communicated for use by national authorities other than those referred to in paragraph 2, third countries and international or regional organisations and/or Union agencies which contribute to the protection of the financial interests of the Union and the correct application of customs legislation. Each Member State shall take special measures to ensure the security of such data when they are being transmitted or supplied to departments located outside its territory.

The first subparagraph of this paragraph shall apply mutatis mutandis to the Commission where it has entered the data in the CIS.’;

| (12) | the title of Chapter 4 of Title V is replaced by the following:

  ‘Chapter 4


  Storage of data’; |
| --- | --- |

(12)

the title of Chapter 4 of Title V is replaced by the following:

‘Chapter 4

Storage of data’;

| (13) | Article 33 is replaced by the following:
  ‘Article 33
  Data included in the CIS shall be kept only for the time necessary to achieve the purpose for which they were introduced and may not be stored for more than five years with an additional period of two years if justified.’; |
| --- | --- |

(13)

Article 33 is replaced by the following:

‘Article 33

Data included in the CIS shall be kept only for the time necessary to achieve the purpose for which they were introduced and may not be stored for more than five years with an additional period of two years if justified.’;

| (14) | in Article 37, the following paragraph is added:
  ‘5.   The European Data Protection Supervisor shall coordinate with the Joint Supervisory Authority, set up under Council Decision 2009/917/JHA (14), each acting within the scope of their respective competence, with a view to ensuring coordinated supervision and audits of the CIS.

  (14)  Council Decision 2009/917/JHA of 30 November 2009 on the use of information technology for customs purposes (OJ L 323, 10.12.2009, p. 20).’;" |
| --- | --- |

(14)

in Article 37, the following paragraph is added:

‘5.   The European Data Protection Supervisor shall coordinate with the Joint Supervisory Authority, set up under Council Decision 2009/917/JHA (14), each acting within the scope of their respective competence, with a view to ensuring coordinated supervision and audits of the CIS.

(14)  Council Decision 2009/917/JHA of 30 November 2009 on the use of information technology for customs purposes (OJ L 323, 10.12.2009, p. 20).’;"

| (15) | Article 38 is amended as follows:






  (a) | in paragraph 1, point (b) is deleted; |
| --- | --- | --- |

(15)

Article 38 is amended as follows:

(a)

in paragraph 1, point (b) is deleted;

| (b) | paragraph 2 is replaced by the following:
  ‘2.   In particular, both the Member States and the Commission shall take measures:






  (a) | to prevent any unauthorised person from having access to installations used for the processing of data; |
| --- | --- | --- |

(b)

paragraph 2 is replaced by the following:

‘2.   In particular, both the Member States and the Commission shall take measures:

(a)

to prevent any unauthorised person from having access to installations used for the processing of data;

| (b) | to prevent data and data media from being read, copied, modified or deleted by unauthorised persons; |
| --- | --- |

(b)

to prevent data and data media from being read, copied, modified or deleted by unauthorised persons;

| (c) | to prevent the unauthorised entry of data and any unauthorised consultation, modification or deletion of data; |
| --- | --- |

(c)

to prevent the unauthorised entry of data and any unauthorised consultation, modification or deletion of data;

| (d) | to prevent data in the CIS from being accessed by unauthorised persons by means of data-transmission equipment; |
| --- | --- |

(d)

to prevent data in the CIS from being accessed by unauthorised persons by means of data-transmission equipment;

| (e) | to guarantee that, with respect to the use of the CIS, authorised persons have right of access only to data for which they have competence; |
| --- | --- |

(e)

to guarantee that, with respect to the use of the CIS, authorised persons have right of access only to data for which they have competence;

| (f) | to guarantee that it is possible to check and establish to which authorities data may be transmitted by data-transmission equipment; |
| --- | --- |

(f)

to guarantee that it is possible to check and establish to which authorities data may be transmitted by data-transmission equipment;

| (g) | to guarantee that it is possible to check and establish ex post facto what data have been introduced into the CIS, when and by whom, and to monitor interrogation; |
| --- | --- |

(g)

to guarantee that it is possible to check and establish ex post facto what data have been introduced into the CIS, when and by whom, and to monitor interrogation;

| (h) | to prevent the unauthorised reading, copying, modification or deletion of data during the transmission of data and the transport of data media.’; |
| --- | --- |

(h)

to prevent the unauthorised reading, copying, modification or deletion of data during the transmission of data and the transport of data media.’;

| (16) | Article 41d is amended as follows:






  (a) | paragraph 1 is replaced by the following:
  ‘1.   The period for which data may be stored shall depend on the laws, regulations and procedures of the Member State supplying them. The maximum and non-cumulative periods, calculated from the date of entry of the data in the investigation file, which may not be exceeded are as follows:






  (a) | data concerning current investigation files may not be stored for more than three years without any operation in breach of customs and agricultural legislation being observed; data must be anonymised before that time limit if one year has elapsed since the last observation; |
| --- | --- | --- | --- |

(16)

Article 41d is amended as follows:

(a)

paragraph 1 is replaced by the following:

‘1.   The period for which data may be stored shall depend on the laws, regulations and procedures of the Member State supplying them. The maximum and non-cumulative periods, calculated from the date of entry of the data in the investigation file, which may not be exceeded are as follows:

(a)

data concerning current investigation files may not be stored for more than three years without any operation in breach of customs and agricultural legislation being observed; data must be anonymised before that time limit if one year has elapsed since the last observation;

| (b) | data concerning administrative enquiries or criminal investigations in which an operation in breach of customs and agricultural legislation has been established but which have not given rise to an administrative decision, a conviction or an order to pay a criminal fine or an administrative penalty may not be stored for more than six years; |
| --- | --- |

(b)

data concerning administrative enquiries or criminal investigations in which an operation in breach of customs and agricultural legislation has been established but which have not given rise to an administrative decision, a conviction or an order to pay a criminal fine or an administrative penalty may not be stored for more than six years;

| (c) | data concerning administrative enquiries or criminal investigations which have given rise to an administrative decision, a conviction or an order to pay a criminal fine or an administrative penalty may not be stored for more than 10 years.’; |
| --- | --- |

(c)

data concerning administrative enquiries or criminal investigations which have given rise to an administrative decision, a conviction or an order to pay a criminal fine or an administrative penalty may not be stored for more than 10 years.’;

| (b) | paragraph 3 is replaced by the following:
  ‘3.   The Commission shall make anonymous or delete the data as soon as the maximum storage period provided for in paragraph 1 has elapsed.’; |
| --- | --- |

(b)

paragraph 3 is replaced by the following:

‘3.   The Commission shall make anonymous or delete the data as soon as the maximum storage period provided for in paragraph 1 has elapsed.’;

| (17) | Article 43 is replaced by the following:
  ‘Article 43
  1.   The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article.
  2.   The power to adopt delegated acts referred to in Article 23(4) shall be conferred on the Commission for a period of five years from ... (15). The Commission shall draw up a report in respect of the delegation of power no later than nine months before the end of the five-year period. The delegation of power shall be tacitly extended for periods of an identical duration, unless the European Parliament or the Council opposes such extension not later than three months before the end of each period.
  3.   The delegation of power referred to in Article 23(4) may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect the day following publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.
  4.   As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.
  5.   A delegated act adopted pursuant to Article 23(4) shall enter into force only if no objection has been expressed either by the European Parliament or by the Council within a period of two months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or of the Council.’; |
| --- | --- |

(17)

Article 43 is replaced by the following:

‘Article 43

1.   The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article.

2.   The power to adopt delegated acts referred to in Article 23(4) shall be conferred on the Commission for a period of five years from ... (15). The Commission shall draw up a report in respect of the delegation of power no later than nine months before the end of the five-year period. The delegation of power shall be tacitly extended for periods of an identical duration, unless the European Parliament or the Council opposes such extension not later than three months before the end of each period.

3.   The delegation of power referred to in Article 23(4) may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect the day following publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.

4.   As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.

5.   A delegated act adopted pursuant to Article 23(4) shall enter into force only if no objection has been expressed either by the European Parliament or by the Council within a period of two months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or of the Council.’;

| (18) | The following Articles are inserted:
  ‘Article 43a
  1.   The Commission shall be assisted by a committee. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011 of the European Parliament and of the Council (16).
  2.   Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.
  Article 43b
  By ... (17), the Commission shall carry out an assessment of:






  — | the necessity of extending the export data contained in the directories referred to in Articles 18a and 18d, by including data on goods other than the ones laid down in point (b) of the first subparagraph of Article 18a(4) and in point (c) of Article 18d(1), and |
| --- | --- | --- |

(18)

The following Articles are inserted:

‘Article 43a

1.   The Commission shall be assisted by a committee. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011 of the European Parliament and of the Council (16).

2.   Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.

Article 43b

By ... (17), the Commission shall carry out an assessment of:

—

the necessity of extending the export data contained in the directories referred to in Articles 18a and 18d, by including data on goods other than the ones laid down in point (b) of the first subparagraph of Article 18a(4) and in point (c) of Article 18d(1), and

| — | the feasibility of extending the data contained in the transport directory, by including data on import, export and transit of goods by land and air. |
| --- | --- |

—

the feasibility of extending the data contained in the transport directory, by including data on import, export and transit of goods by land and air.

(16)  Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by Member States of the Commission's exercise of implementing powers (OJ L 55, 28.2.2011, p. 13).’;"

| (19) | In Article 53, the following paragraph is added:
  ‘For carriers who, on ... (18), are bound by private contracts that prevent them from fulfilling their obligation to report set out in Article 18a(4), that obligation shall apply from ... (19).’. |
| --- | --- |

(19)

In Article 53, the following paragraph is added:

‘For carriers who, on ... (18), are bound by private contracts that prevent them from fulfilling their obligation to report set out in Article 18a(4), that obligation shall apply from ... (19).’.

Article 2

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

2.   It shall apply from 1 September 2016.

3.   Notwithstanding paragraph 2 of this Article, points 5, 8, 9, 17 and 18 of Article 1 shall apply from ... (18).

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at ...,

For the European Parliament

The President

...

For the Council

The President

...

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(1)  Position of the European Parliament of 15 April 2014 (not yet published in the Official Journal) and position of the Council at first reading of 15 June 2015. Position of the European Parliament of ... (not yet published in the Official Journal).

1

(2)  Council Regulation (EC) No 515/97 of 13 March 1997 on mutual assistance between the administrative authorities of the Member States and cooperation between the latter and the Commission to ensure the correct application of the law on customs and agricultural matters (OJ L 82, 22.3.1997, p. 1).

2

(3)  Decision No 70/2008/EC of the European Parliament and of the Council of 15 January 2008 on a paperless environment for customs and trade (OJ L 23, 26.1.2008, p. 21).

3

(4)  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).

4

(5)  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, 12.1.2001, p. 1).

5

(6)  Council Decision 2009/917/JHA of 30 November 2009 on the use of information technology for customs purposes (OJ L 323, 10.12.2009, p. 20).

6

(7)  Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by Member States of the Commission's exercise of implementing powers (OJ L 55, 28.2.2011, p. 13).

7

(15)  Date of entry into force of this Regulation

15

(17)  Two years after the entry into force of this Regulation.

17

(18)  Date of entry into force of this Regulation

18

(19)  One year after the entry into force of this Regulation

19

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| 21.7.2015 | EN | Official Journal of the European Union | C 239/12 |
| --- | --- | --- | --- |

21.7.2015

EN

Official Journal of the European Union

C 239/12

---

Statement of Council's reasons: Position (EU) No 10/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Council Regulation (EC) No 515/97 on mutual assistance between the administrative authorities of the Member States and cooperation between the latter and the Commission to ensure the correct application of the law on customs and agricultural matters

(2015/C 239/02)

I.   INTRODUCTION

| 1. | On 26 November 2013, the Commission submitted to the Council the above proposal, based on Article 33 and 325 of the Treaty on the Functioning of the European Union, and aiming at improving the functioning of the antifraud system in the customs field. |
| --- | --- |

1.

On 26 November 2013, the Commission submitted to the Council the above proposal, based on Article 33 and 325 of the Treaty on the Functioning of the European Union, and aiming at improving the functioning of the antifraud system in the customs field.

| 2. | The Court of Auditors transmitted its opinion on 18 March 2014. |
| --- | --- |

2.

The Court of Auditors transmitted its opinion on 18 March 2014.

| 3. | On 15 April 2014, the European Parliament adopted its position at first reading (1). |
| --- | --- |

3.

On 15 April 2014, the European Parliament adopted its position at first reading (1).

| 4. | The Working Party on Customs Union examined the proposal at various meetings during the Greek and Italian Presidencies, and at its meeting on 9 September 2014 reached a large agreement on the Presidency compromise text as laid down in doc. 13179/14, with AT and DE voting against and ES abstaining. |
| --- | --- |

4.

The Working Party on Customs Union examined the proposal at various meetings during the Greek and Italian Presidencies, and at its meeting on 9 September 2014 reached a large agreement on the Presidency compromise text as laid down in doc. 13179/14, with AT and DE voting against and ES abstaining.

| 5. | On 23 September 2014, the Permanent Representatives Committee gave a mandate to the Presidency for initiating trilogue meetings with the European Parliament. |
| --- | --- |

5.

On 23 September 2014, the Permanent Representatives Committee gave a mandate to the Presidency for initiating trilogue meetings with the European Parliament.

| 6. | Three trilogue meetings took place on 10 November, 10 December and 18 December 2014 (2). The compromise reached on that occasion was endorsed by the Permanent Representatives Committee. Subsequently, by letter of 23 March 2015, the European Parliament informed the Council that the European Parliament would approve the Council's position without amendments at its second reading. |
| --- | --- |

6.

Three trilogue meetings took place on 10 November, 10 December and 18 December 2014 (2). The compromise reached on that occasion was endorsed by the Permanent Representatives Committee. Subsequently, by letter of 23 March 2015, the European Parliament informed the Council that the European Parliament would approve the Council's position without amendments at its second reading.

| 7. | Against that background, at its meeting on 20 April 2015, the Council adopted a political agreement, as laid down in doc. 7565/15, |
| --- | --- |

7.

Against that background, at its meeting on 20 April 2015, the Council adopted a political agreement, as laid down in doc. 7565/15,

II.   OBJECTIVE

| 8. | This Regulation lays down amendments to Regulation (EC) No 515/97. These amendments aim at addressing loopholes in the existing systems for the detection of customs-related fraud, and delays in OLAF investigations, at streamlining data protection supervision, and at bringing clarification on the possibility to restrict the visibility of data and on the rules on the admissibility of evidence collected under mutual assistance. |
| --- | --- |

8.

This Regulation lays down amendments to Regulation (EC) No 515/97. These amendments aim at addressing loopholes in the existing systems for the detection of customs-related fraud, and delays in OLAF investigations, at streamlining data protection supervision, and at bringing clarification on the possibility to restrict the visibility of data and on the rules on the admissibility of evidence collected under mutual assistance.

III.   ANALYSIS OF THE COUNCIL'S POSITION AT FIRST READING

A.   General

| 9. | The Council has introduced a number of amendments to the original proposal and has substantially modified the structure of the text. In parallel, the European Parliament voted 53 amendments to the Commission proposal.
  The Council's position at first reading, therefore, amends the original Commission proposal by partially redrafting it on the basis of the agreement reached with the European Parliament. |
| --- | --- |

9.

The Council has introduced a number of amendments to the original proposal and has substantially modified the structure of the text. In parallel, the European Parliament voted 53 amendments to the Commission proposal.

The Council's position at first reading, therefore, amends the original Commission proposal by partially redrafting it on the basis of the agreement reached with the European Parliament.

B.   Key policy issues

10.   Definitions

The definition of ‘customs legislation’ was amended in line of Regulation (EU) No 952/2013 and the definitions of ‘customs territory of the Union’ and of ‘carriers’ were added.

11.   Admissible evidence

The Council clarified the rules on the admissibility of evidence in administrative and judicial proceedings.

12.   Directories

The objective, content and use of the directories established under this Regulation has been clarified. The Council provided that Member States should have the same level of access than the Commission to the CSM Directory and that data concerning export of shipments of sensitive goods, such as tobacco and tobacco products, alcohol and alcoholic beverages and energy products, should be reported by carriers in the Container Status Messages (CSMs) directory. The possibility to transfer selected data from the ‘import, export and transit directory’ to international organisations or EU agencies has been withdrawn.

13.   Third country to third country movements of containers

The Council provided for a clarification of the rules related to those movements of containers that should not be reported in the CSM Directory.

14.   Data protection

References to data protection rules have been streamlined, in accordance with Regulation (EC) No 45/2001.

15.   Request of documents by the Commission to Member States

The Council clarified that documents supporting import and export declarations should be provided by Member States, upon request by the Commission, and that such request should be dealt with within a period of four weeks.

16.   Data storage

Data included in the Customs Information System (CIS) should be stored for a period of maximum five years, with an additional two years if justified.

17.   Assessment

The Council provided for an assessment by the Commission, two years after the entry into force of the Regulation, of the necessity to extend the export data and the data on land and air movements in the relevant directories.

18.   Date of application

The date of application was set on 1 September 2016, taking into account the delegated and implementing acts to be adopted, and the preparatory tasks to be completed by Member States

19.   Recitals

The recitals have been amended by the Council to correlate with the modified operational parts of the Regulation and to reflect certain concerns expressed by the European Parliament.

IV.   CONCLUSION

In establishing its Position, the Council has taken full account of the proposal of the Commission and of the European Parliament's position at first reading.

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(1)  8658/14 CODEC 1023 UD 112 AGRI 294 ENFOCUSTOMS 46 PE 250.

(2)  A number of outstanding technical issues were subsequently addressed in January 2015 by the Latvian Presidency.

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| 21.7.2015 | EN | Official Journal of the European Union | C 239/14 |
| --- | --- | --- | --- |

21.7.2015

EN

Official Journal of the European Union

C 239/14

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POSITION (EU) No 11/2015 OF THE COUNCIL AT FIRST READING

with a view to the adoption of a Regulation of the European Parliament and of the Council amending Protocol No 3 on the Statute of the Court of Justice of the European Union

Adopted by the Council on 23 June 2015

(2015/C 239/03)

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 the first paragraph of Article 254 and the second paragraph of Article 281 thereof,

Having regard to the Treaty establishing the European Atomic Energy Community, and in particular Article 106a(1) thereof,

Having regard to the request of the Court of Justice,

Having regard to the opinion of the European Commission,

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

Acting in accordance with the ordinary legislative procedure (1),

Whereas:

| (1) | As a consequence of the progressive expansion of its jurisdiction since its creation, the number of cases before the General Court has been steadily increasing over the years, resulting over time in an increase in the number of cases pending before that Court. This has an impact on the duration of proceedings. |
| --- | --- |

(1)

As a consequence of the progressive expansion of its jurisdiction since its creation, the number of cases before the General Court has been steadily increasing over the years, resulting over time in an increase in the number of cases pending before that Court. This has an impact on the duration of proceedings.

| (2) | At present, the duration of proceedings does not appear to be acceptable from the point of view of litigants, particularly in the light of the requirements set out in Article 47 of the Charter of Fundamental Rights of the European Union and in Article 6 of the European Convention for the Protection of Human Rights and Fundamental Freedoms. |
| --- | --- |

(2)

At present, the duration of proceedings does not appear to be acceptable from the point of view of litigants, particularly in the light of the requirements set out in Article 47 of the Charter of Fundamental Rights of the European Union and in Article 6 of the European Convention for the Protection of Human Rights and Fundamental Freedoms.

| (3) | The situation in which the General Court finds itself has structural causes relating, inter alia, to the increase in the number and variety of legal acts of the institutions, bodies, offices and agencies of the Union, as well as to the volume and complexity of the cases brought before the General Court, particularly in the areas of competition and State aid. |
| --- | --- |

(3)

The situation in which the General Court finds itself has structural causes relating, inter alia, to the increase in the number and variety of legal acts of the institutions, bodies, offices and agencies of the Union, as well as to the volume and complexity of the cases brought before the General Court, particularly in the areas of competition and State aid.

| (4) | Consequently, the necessary measures should be taken to address this situation, and the making use of the possibility, provided for by the Treaties, of increasing the number of Judges of the General Court would allow for a reduction within a short time of both the volume of pending cases and the excessive duration of proceedings before the General Court. |
| --- | --- |

(4)

Consequently, the necessary measures should be taken to address this situation, and the making use of the possibility, provided for by the Treaties, of increasing the number of Judges of the General Court would allow for a reduction within a short time of both the volume of pending cases and the excessive duration of proceedings before the General Court.

| (5) | Taking into account the likely evolution of the workload of the General Court, the number of Judges should be fixed at 56 at the end of a three-stage process, it being understood that at no point of time can there be more than two Judges sitting at the General Court appointed upon a proposal by the same Member State. |
| --- | --- |

(5)

Taking into account the likely evolution of the workload of the General Court, the number of Judges should be fixed at 56 at the end of a three-stage process, it being understood that at no point of time can there be more than two Judges sitting at the General Court appointed upon a proposal by the same Member State.

| (6) | In order to rapidly reduce the backlog of pending cases, twelve additional Judges should take office ... (2). |
| --- | --- |

(6)

In order to rapidly reduce the backlog of pending cases, twelve additional Judges should take office ... (2).

| (7) | In September 2016, first instance jurisdiction in Union civil service cases, and the seven posts of the Judges sitting at the European Union Civil Service Tribunal, should be transferred to the General Court, on the basis of a future legislative request by the Court of Justice. |
| --- | --- |

(7)

In September 2016, first instance jurisdiction in Union civil service cases, and the seven posts of the Judges sitting at the European Union Civil Service Tribunal, should be transferred to the General Court, on the basis of a future legislative request by the Court of Justice.

| (8) | In September 2019, the remaining nine additional Judges should take office. In order to ensure cost effectiveness, this should not entail the recruitment of additional legal secretaries or other support staff. Internal re-organisation measures within the institution should ensure that efficient use be made of existing human resources. |
| --- | --- |

(8)

In September 2019, the remaining nine additional Judges should take office. In order to ensure cost effectiveness, this should not entail the recruitment of additional legal secretaries or other support staff. Internal re-organisation measures within the institution should ensure that efficient use be made of existing human resources.

| (9) | It is necessary to adapt accordingly the provisions of the Statute of the Court of Justice of the European Union on the partial replacement of Judges and Advocates-General that takes place every three years. |
| --- | --- |

(9)

It is necessary to adapt accordingly the provisions of the Statute of the Court of Justice of the European Union on the partial replacement of Judges and Advocates-General that takes place every three years.

| (10) | Protocol No 3 on the Statute of the Court of Justice of the European Union should therefore be amended accordingly, |
| --- | --- |

(10)

Protocol No 3 on the Statute of the Court of Justice of the European Union should therefore be amended accordingly,

HAVE ADOPTED THIS REGULATION:

Article 1

Protocol No 3 on the Statute of the Court of Justice of the European Union is hereby amended as follows:

| (1) | Article 9 is replaced by the following:
  ‘Article 9
  When, every three years, the Judges are partially replaced, one half of the number of Judges shall be replaced. If the number of Judges is an uneven number, the number of Judges who shall be replaced shall alternately be the number which is the next above one half of the number of Judges and the number which is next below one half.
  The first paragraph shall also apply when the Advocates-General are partially replaced, every three years.’. |
| --- | --- |

(1)

Article 9 is replaced by the following:

‘Article 9

When, every three years, the Judges are partially replaced, one half of the number of Judges shall be replaced. If the number of Judges is an uneven number, the number of Judges who shall be replaced shall alternately be the number which is the next above one half of the number of Judges and the number which is next below one half.

The first paragraph shall also apply when the Advocates-General are partially replaced, every three years.’.

| (2) | Article 48 is replaced by the following:
  ‘Article 48
  The General Court shall consist of:






  (a) | 40 Judges as from ... (3); |
| --- | --- | --- |

(2)

Article 48 is replaced by the following:

‘Article 48

The General Court shall consist of:

(a)

40 Judges as from ... (3);

| (b) | 47 Judges as from 1 September 2016; |
| --- | --- |

(b)

47 Judges as from 1 September 2016;

| (c) | two Judges per Member State as from 1 September 2019.’. |
| --- | --- |

(c)

two Judges per Member State as from 1 September 2019.’.

Article 2

The term of office of the additional Judges of the General Court to be appointed pursuant to Article 48 of Protocol No 3 on the Statute of the Court of Justice of the European Union shall be as follows:

| (a) | The term of office of six of the twelve additional Judges to be appointed as from ... (3) shall end on 31 August 2016. Those six Judges shall be chosen by lot. The term of office of the other six Judges shall end on 31 August 2019; |
| --- | --- |

(a)

The term of office of six of the twelve additional Judges to be appointed as from ... (3) shall end on 31 August 2016. Those six Judges shall be chosen by lot. The term of office of the other six Judges shall end on 31 August 2019;

| (b) | The term of office of three of the seven additional Judges to be appointed as from 1 September 2016 shall end on 31 August 2019. Those three Judges shall be chosen by lot. The term of office of the other four Judges shall end on 31 August 2022; |
| --- | --- |

(b)

The term of office of three of the seven additional Judges to be appointed as from 1 September 2016 shall end on 31 August 2019. Those three Judges shall be chosen by lot. The term of office of the other four Judges shall end on 31 August 2022;

| (c) | The term of office of four of the nine additional Judges to be appointed as from 1 September 2019 shall end on 31 August 2022. Those four Judges shall be chosen by lot. The term of office of the other five Judges shall end on 31 August 2025. |
| --- | --- |

(c)

The term of office of four of the nine additional Judges to be appointed as from 1 September 2019 shall end on 31 August 2022. Those four Judges shall be chosen by lot. The term of office of the other five Judges shall end on 31 August 2025.

Article 3

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

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at ..., on ...

For the European Parliament

The President

...

For the Council

The President

...

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(1)  Position of the European Parliament of 15 April 2014 (not yet published in the Official Journal) and position of the Council at first reading of 23 June 2015.

1

(2)  ‘in September 2015’, or ‘upon entry into force of this Regulation’ if the date of entry into force of this Regulation is after 31 August 2015.

2

(3)  ‘1 September 2015’, or the date of entry into force of this Regulation if that date is after 1 September 2015.

3

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| 21.7.2015 | EN | Official Journal of the European Union | C 239/17 |
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21.7.2015

EN

Official Journal of the European Union

C 239/17

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Statement of Council's reasons: Position (EU) No 11/2015 of the Council at first reading with a view to the adoption of a Regulation of the European Parliament and of the Council amending Protocol No 3 on the Statute of the Court of Justice of the European Union

(2015/C 239/04)

I.   INTRODUCTION

| 1. | On 28 March 2011, the Court of Justice submitted a legislative initiative (1) under the second paragraph of Article 281 TFEU to amend the Protocol on the Statute of the Court of Justice, which included, inter alia, an increase of the number of judges at the General Court by 12. While the other proposed amendments were adopted on 11 August 2012, it was impossible to find an agreement within the Council as to the increase of the number of judges. |
| --- | --- |

1.

On 28 March 2011, the Court of Justice submitted a legislative initiative (1) under the second paragraph of Article 281 TFEU to amend the Protocol on the Statute of the Court of Justice, which included, inter alia, an increase of the number of judges at the General Court by 12. While the other proposed amendments were adopted on 11 August 2012, it was impossible to find an agreement within the Council as to the increase of the number of judges.

| 2. | The European Parliament adopted at its plenary session on 15 April 2014 its position at first reading on the Court's proposal, supporting an increase of the number of judges at the General Court by 12. |
| --- | --- |

2.

The European Parliament adopted at its plenary session on 15 April 2014 its position at first reading on the Court's proposal, supporting an increase of the number of judges at the General Court by 12.

| 3. | Against this background, and taking into account the important increase of the caseload of the General Court since the initial proposal was made, the Court of Justice suggested on 13 October 2014 (2) that the co-legislators amend it so as to double the number of judges at the General Court in three stages by 2019, including the integration of the Civil Service Tribunal in the General Court, resulting in a net increase of the number of judges by 21 additional judges. |
| --- | --- |

3.

Against this background, and taking into account the important increase of the caseload of the General Court since the initial proposal was made, the Court of Justice suggested on 13 October 2014 (2) that the co-legislators amend it so as to double the number of judges at the General Court in three stages by 2019, including the integration of the Civil Service Tribunal in the General Court, resulting in a net increase of the number of judges by 21 additional judges.

| 4. | On that basis, Coreper reached on 11 December 2014 an agreement in principle on the essential elements of the reform, as set out in document 16576/14 of 8 December 2014. |
| --- | --- |

4.

On that basis, Coreper reached on 11 December 2014 an agreement in principle on the essential elements of the reform, as set out in document 16576/14 of 8 December 2014.

| 5. | During the first semester of 2015, the Presidency has been trying to enter into informal discussions with the European Parliament's Legal Affairs Committee in a quadrilogue format, with the participation of the Court of Justice and the Commission, with a view to achieving an ‘early second reading agreement’ on the reform, whereby the Council would adopt its position at first reading on the basis of a pre-negotiated text which the European Parliament could then approve under Article 294(7)(a) TFEU. However, these efforts have not been crowned by success. |
| --- | --- |

5.

During the first semester of 2015, the Presidency has been trying to enter into informal discussions with the European Parliament's Legal Affairs Committee in a quadrilogue format, with the participation of the Court of Justice and the Commission, with a view to achieving an ‘early second reading agreement’ on the reform, whereby the Council would adopt its position at first reading on the basis of a pre-negotiated text which the European Parliament could then approve under Article 294(7)(a) TFEU. However, these efforts have not been crowned by success.

| 6. | In these circumstances, the Council decided to adopt its position at first reading under Article 294(5) TFEU and to communicate it to the European Parliament together with the present statement of reasons. |
| --- | --- |

6.

In these circumstances, the Council decided to adopt its position at first reading under Article 294(5) TFEU and to communicate it to the European Parliament together with the present statement of reasons.

II.   OBJECTIVE

| 7. | As a consequence of the progressive expansion of its jurisdiction, the number of cases brought before the General Court has been steadily increasing over the years, resulting over time in an increase in the number of cases pending before that court. This has an impact on the duration of proceedings, which is not acceptable from the point of view of litigants and incompatible with the Union's obligation to ensure that a judgment is given within a reasonable time, as laid down in Article 47 of the Charter of Fundamental Rights of the European Union. This is a reason for concern particularly in the areas of competition and state aid. |
| --- | --- |

7.

As a consequence of the progressive expansion of its jurisdiction, the number of cases brought before the General Court has been steadily increasing over the years, resulting over time in an increase in the number of cases pending before that court. This has an impact on the duration of proceedings, which is not acceptable from the point of view of litigants and incompatible with the Union's obligation to ensure that a judgment is given within a reasonable time, as laid down in Article 47 of the Charter of Fundamental Rights of the European Union. This is a reason for concern particularly in the areas of competition and state aid.

| 8. | Considering the important increase of the caseload of the General Court since 2011, the Court of Justice, as mentioned in point 3 above, suggested on 13 October 2014 that the co-legislators amend its initial proposal so as to double the number of judges at the General Court in three stages by 2019, including the integration of the Civil Service Tribunal in the General Court, in order to attain the following objectives:






  — | dispose of the same number of cases as the number of new cases brought, thus halting the increase in the number of pending cases; |
| --- | --- | --- |

8.

Considering the important increase of the caseload of the General Court since 2011, the Court of Justice, as mentioned in point 3 above, suggested on 13 October 2014 that the co-legislators amend its initial proposal so as to double the number of judges at the General Court in three stages by 2019, including the integration of the Civil Service Tribunal in the General Court, in order to attain the following objectives:

—

dispose of the same number of cases as the number of new cases brought, thus halting the increase in the number of pending cases;

| — | clear the backlog of pending cases; |
| --- | --- |

—

clear the backlog of pending cases;

| — | reduce the length of proceedings before the General Court, and thus also the risks of the European Union being held in breach of Article 47 of the Charter; |
| --- | --- |

—

reduce the length of proceedings before the General Court, and thus also the risks of the European Union being held in breach of Article 47 of the Charter;

| — | simplify the judicial architecture of the European Union, and promote the consistency of the case-law; |
| --- | --- |

—

simplify the judicial architecture of the European Union, and promote the consistency of the case-law;

| — | have greater flexibility in dealing with cases, by allowing the General Court, in the interests of the proper administration of justice, to assign a greater or lesser number of Judges to one or more Chambers, depending on changes in the caseload, or to make certain Chambers responsible for hearing and determining cases falling within certain subject areas; |
| --- | --- |

—

have greater flexibility in dealing with cases, by allowing the General Court, in the interests of the proper administration of justice, to assign a greater or lesser number of Judges to one or more Chambers, depending on changes in the caseload, or to make certain Chambers responsible for hearing and determining cases falling within certain subject areas;

| — | solve the recurring problems linked to the appointment of Judges of the Civil Service Tribunal and prevent similar ones that could appear for the appointment of additional Judges at the General Court; |
| --- | --- |

—

solve the recurring problems linked to the appointment of Judges of the Civil Service Tribunal and prevent similar ones that could appear for the appointment of additional Judges at the General Court;

| — | restore to the Court of Justice the power to rule on appeal in disputes between the Union and its servants, thus rendering superfluous both the review procedure (the implementation of which has proved somewhat complex) and the office of temporary Judge at the Civil Service Tribunal. |
| --- | --- |

—

restore to the Court of Justice the power to rule on appeal in disputes between the Union and its servants, thus rendering superfluous both the review procedure (the implementation of which has proved somewhat complex) and the office of temporary Judge at the Civil Service Tribunal.

III.   ANALYSIS OF THE COUNCIL'S POSITION AT FIRST READING

| 9. | The Council's position at first reading corresponds in essence to the suggestion of the Court of Justice of 13 October 2014 (see point 3 above), albeit with reduced costs. It foresees an increase of the number of judges at the General Court to 56 in three stages:






  — | from September 2015 (or the date of entry into force of the amending Regulation, if posterior to 1 September 2015): increase of the number of judges by 12; |
| --- | --- | --- |

9.

The Council's position at first reading corresponds in essence to the suggestion of the Court of Justice of 13 October 2014 (see point 3 above), albeit with reduced costs. It foresees an increase of the number of judges at the General Court to 56 in three stages:

—

from September 2015 (or the date of entry into force of the amending Regulation, if posterior to 1 September 2015): increase of the number of judges by 12;

| — | from September 2016: transfer of first instance jurisdiction in Union civil service cases to the General Court and integration of the 7 posts of judges of the Civil Service Tribunal into the General Court, on the basis of a future legislative request by the Court of Justice, subject to its adoption by the European Parliament and by the Council. |
| --- | --- |

—

from September 2016: transfer of first instance jurisdiction in Union civil service cases to the General Court and integration of the 7 posts of judges of the Civil Service Tribunal into the General Court, on the basis of a future legislative request by the Court of Justice, subject to its adoption by the European Parliament and by the Council.

| — | from September 2019: increase of the number of judges by 9. |
| --- | --- |

—

from September 2019: increase of the number of judges by 9.

| 10. | During phases 1 and 2, each of the additional judges would have three legal secretaries. However, as set out in Recital no 9 and agreed with the Court of Justice, the third phase should not entail any additional administrative costs (no recruitment of additional legal secretaries and assistants). |
| --- | --- |

10.

During phases 1 and 2, each of the additional judges would have three legal secretaries. However, as set out in Recital no 9 and agreed with the Court of Justice, the third phase should not entail any additional administrative costs (no recruitment of additional legal secretaries and assistants).

| 11. | Furthermore, as part of the political compromise, the Court of Justice will present yearly figures on its judicial activity, including on the evolution of appeal cases, and, if necessary, propose appropriate measures. It is also agreed that at the second and third stages of the enlargement of the General Court, an assessment of the situation of the General Court will take place which, if necessary, could lead to certain adjustments, it being understood that these will not touch upon the number of judges, but may include any other aspect relating to the functioning and the administrative expenditure of the Court. Finally, the General Court is expected to proceed to a review of its internal organization and its Rules of Procedure and, on that basis, adopt necessary measures and submit appropriate proposals for approval by the Council in time before the final phase of its enlargement in 2019. |
| --- | --- |

11.

Furthermore, as part of the political compromise, the Court of Justice will present yearly figures on its judicial activity, including on the evolution of appeal cases, and, if necessary, propose appropriate measures. It is also agreed that at the second and third stages of the enlargement of the General Court, an assessment of the situation of the General Court will take place which, if necessary, could lead to certain adjustments, it being understood that these will not touch upon the number of judges, but may include any other aspect relating to the functioning and the administrative expenditure of the Court. Finally, the General Court is expected to proceed to a review of its internal organization and its Rules of Procedure and, on that basis, adopt necessary measures and submit appropriate proposals for approval by the Council in time before the final phase of its enlargement in 2019.

| 12. | The Council considers that this reform of the General Court is necessary, since the backlog of pending cases and excessive duration of proceedings in 2015 are much higher than in 2011, when the Court tabled its initial legislative initiative of 12 additional judges. In 2010, the number of new cases was 636. In 2014, there were 912 new cases, which represents an increase by about 43 % in 4 years. This has led to a situation where parties are waiting sometimes more than four years before obtaining a judgment, especially economic operators in competition and state aid cases, during which important sums are blocked and therefore cannot be injected in the European economy. Furthermore, late judgments have already given rise to claims for damages against the Union. Besides the reputational damage to the European Union for not respecting its own Charter of fundamental rights, the absence of a reform of the General Court thus causes considerable costs for the European economy and taxpayers. |
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12.

The Council considers that this reform of the General Court is necessary, since the backlog of pending cases and excessive duration of proceedings in 2015 are much higher than in 2011, when the Court tabled its initial legislative initiative of 12 additional judges. In 2010, the number of new cases was 636. In 2014, there were 912 new cases, which represents an increase by about 43 % in 4 years. This has led to a situation where parties are waiting sometimes more than four years before obtaining a judgment, especially economic operators in competition and state aid cases, during which important sums are blocked and therefore cannot be injected in the European economy. Furthermore, late judgments have already given rise to claims for damages against the Union. Besides the reputational damage to the European Union for not respecting its own Charter of fundamental rights, the absence of a reform of the General Court thus causes considerable costs for the European economy and taxpayers.

| 13. | Against that background, an increase of the number of judges by 21 is justified. Compared to an increase of the caseload by 43 %, the Council's position at first reading amounts to an additional increase in the number of judges by only 22 % (from 40 to 49), if one excludes the 7 posts transferred from the Civil Service Tribunal, which will be neutral as regards the capacity of the General Court since the workload for civil service cases (between 150 to 200 cases per year) will also fall upon the General Court from 2016. In addition, new legislation already adopted or currently under discussion is likely to lead to a further increase of the number of cases brought before the General Court. |
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13.

Against that background, an increase of the number of judges by 21 is justified. Compared to an increase of the caseload by 43 %, the Council's position at first reading amounts to an additional increase in the number of judges by only 22 % (from 40 to 49), if one excludes the 7 posts transferred from the Civil Service Tribunal, which will be neutral as regards the capacity of the General Court since the workload for civil service cases (between 150 to 200 cases per year) will also fall upon the General Court from 2016. In addition, new legislation already adopted or currently under discussion is likely to lead to a further increase of the number of cases brought before the General Court.

| 14. | The reduction of the number of jurisdictions to two instead of three will bring a simplification of the judicial system, enhance the coherence of case law and entail economies of scale. The reform will allow for specialization of chambers within the General Court, with obvious positive consequences for its productivity. It will also allow the General Court to improve the depth of its deliberations by deciding more often in chambers of five judges instead of three and, if necessary, by calling upon Members of the General Court to perform the task of an Advocate-General. |
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14.

The reduction of the number of jurisdictions to two instead of three will bring a simplification of the judicial system, enhance the coherence of case law and entail economies of scale. The reform will allow for specialization of chambers within the General Court, with obvious positive consequences for its productivity. It will also allow the General Court to improve the depth of its deliberations by deciding more often in chambers of five judges instead of three and, if necessary, by calling upon Members of the General Court to perform the task of an Advocate-General.

| 15. | The costs of the reform which would result from the Council's position at first reading (see points 10 and 11 above) would amount to yearly additional costs of 13,5 million EUR in net figures at cruise speed, to be compared to the initial proposal evaluated at 11,2 million EUR for 12 additional judges which has already been accepted by the European Parliament in its position at first reading. The Council's position at first reading thus represents an increase of the overall cost of the reform by 20 % compared to the 2011 proposal, while at the same time the number of new cases per year at the General Court increased by 43 %. Taking into account also the cost of non-reform, these costs appear to be modest and justified. |
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15.

The costs of the reform which would result from the Council's position at first reading (see points 10 and 11 above) would amount to yearly additional costs of 13,5 million EUR in net figures at cruise speed, to be compared to the initial proposal evaluated at 11,2 million EUR for 12 additional judges which has already been accepted by the European Parliament in its position at first reading. The Council's position at first reading thus represents an increase of the overall cost of the reform by 20 % compared to the 2011 proposal, while at the same time the number of new cases per year at the General Court increased by 43 %. Taking into account also the cost of non-reform, these costs appear to be modest and justified.

IV.   CONCLUSION

| 16. | The reform which is foreseen by the Council's position at first reading would, once adopted, provide a sustainable and long-term solution to the current challenges faced by the jurisdictions of the Union and enable them to fulfil their functions within the time limits and the quality standards which European citizens and companies are entitled to expect in a Union based on the rule of law. |
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16.

The reform which is foreseen by the Council's position at first reading would, once adopted, provide a sustainable and long-term solution to the current challenges faced by the jurisdictions of the Union and enable them to fulfil their functions within the time limits and the quality standards which European citizens and companies are entitled to expect in a Union based on the rule of law.

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(1)  Document 8787/11.

(2)  Document 14448/14 + COR 1.

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