1994R1734 — EN — 01.01.1999 — 001.001 — 1
This document is meant purely as a documentation tool and the institutions do not assume any liability for its contents
►B COUNCILREGULATION(EC)No1734/94
of11July1994
onfinancialandtechnical cooperationwiththeOccupiedTerritories
(OJ L 182, 16.7.1994, p. 4)
Amended by:
Official Journal
No page date
►M1Council Regulation (EC) No 2824/98 of 21 December 1998 L 351 13 29.12.1998
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COUNCILREGULATION(EC)No1734/94
of11July1994
on financial and technical cooperation with the Occupied Terri-
tories
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to the Treaty establishing the European Community, andin particular Article 130w thereof,
Having regard to the proposal from the Commission,
Acting in accordance withth e procedure referred to in Article 189c of
the Treaty (
1),
Whereas, having regard to the greater requirements that will be gener-
ated in the territories of the West Bank of the Jordan and the Gaza
Strip, hereinafter referred to as the ‘Occupied Territories’, as a resultof recent developments in the Middle East peace process, newmeasures in the form of economic and social cooperation should beimplemented in the said Territories in order to foster sustainableeconomic and social development, taking account of the experience
acquired by the Community as a major provider of aid to the Palesti-
nian people;
Whereas to this end there should be a five-year programme (1994 to
1998); whereas this programme should be implemented with financing
from the Community budget in the form of grants;
Whereas it is necessary to lay down the detailed arrangements and
rules for administering the operations financed from the budget,
HAS ADOPTED THIS REGULATION:
Article 1
The Community shall implement financial and technical cooperation
withth e Occupied Territories under a five-year programme (1994 to1998) with the aim of aiding their sustainable economic and socialdevelopment.
Article 2
1. The priority areas for projects and measures implemented under
the programme referred to in Article 1 shall be:
infrastructure, production, urban and rural development, education,
health, the environment, services, foreign trade, the setting-up and
improvement of institutions necessary for the proper working of thepublic administration and the advancement of democracy and humanrights.
2. Community aid may be given for investment projects, feasibility
studies, technical assistance and training, and for temporary support for
the recurrent costs of the Palestinian public administration.
3. Community financing for projects and operations covered by this
Regulation shall be in the form of grants or interest rate subsidies on
lending by the Bank out of its own resources. The subsidy rate shall
be 3 %.
4. In order to ensure consistency of cooperation and to improve
complementarity between operations, Member States, the Commission1994R1734 — EN — 01.01.1999 — 001.001 — 2
(1) Opinion of the European Parliament of 11 February 1994 (OJ No C 61, 28.
2. 1994). Council common position of 4 March1994 (OJ No C 137, 19. 5.
1994, p. 85) and Decision of the European Parliament of 4 May 1994 (not
yet published in the Official Journal).▼M1
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and the European Investment Bank, hereafter referred to as the ‘Bank’
shall exchange any relevant information on financing that they envi-sage granting.
Possibilities for co-financing shall be sought when information is
exchanged.
5. Member States, the Commission and the Bank shall also commu-
nicate, within the framework of the Committee referred to in Article 5,
information in their possession on other bilateral and multilateral aidfor the Occupied Territories.
6. At least once a year, the Commission and the Bank shall send the
Member States the information collected from the administration of the
Occupied Territories concerning the sectors and projects already knownwhich could be supported under this Regulation.
Article 3
The aid referred to in this Regulation may be combined with the Bank
financing from own resources and may be used for co-financing withMember States, non-member countries in the region, multilateral bodiesor the Occupied Territories themselves. Wherever possible, theCommunity nature of the aid shall be preserved.
Article 4
1. Financing decisions on projects and operations to which grants
are made under this Regulation shall be adopted in accordance with
the procedure laid down in Article 5.
2. Financing decisions on overall allocations for technical coopera-
tion, training and trade promotion shall be adopted in accordance withthe procedures laid down in Article 5.
The Commission shall keep the Committee referred to in Article 5
regularly informed of the use made of these overall allocations.
3. Decisions amending decisions adopted in accordance withth e
procedure provided for in Article 5 shall be taken by the Commission
where they do not entail any substantial amendments or additionalcommitments in excess of 20 % of the original commitment.
4. Financing decisions on interest rate subsidies shall be adopted in
accordance withth e procedure laid down in Article 12 of Regulation
(EC) No 1488/96 (
1).
Article 5
1. The Commission shall be assisted by the MED Committee set up
pursuant to Article 6 of Council Regulation (EEC) No 1762/92 of 29June 1992 on the implementation of the Protocols on financial andtechnical cooperation concluded by the Community with Mediterranean
non-member countries (
2).
2. The representative of the Commission shall submit to the
Committee a draft of the measures to be taken. The Committee shalldeliver its opinion on the draft within a time limit which the chairman
may lay down according to the urgency of the matter. The opinion
shall be delivered by the majority laid down in Article 148 (2) of theTreaty in the case of the decisions which the Council is required toadopt on a proposal from the Commission. The votes of the representa-tives of the Member States within the Committee shall be weighted inthe manner set out in that Article. The chairman shall not vote.1994R1734 — EN — 01.01.1999 — 001.001 — 3
(1) OJ L 189, 30.7.1996, p. 1. Regulation as amended by Regulation (EC)
No 780/98 (OJ L 113, 15.4.1998, p. 3).
(2) OJ No L 181, 1. 7. 1992, p. 1.▼M1
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3. (a) The Commission shall adopt the measures envisaged if they are
in accordance with the opinion of the Committee;
(b) if the measures envisaged are not in accordance with the opinion
of the Committee, or if no opinion is delivered, the Commissionshall, without delay, submit to the Council a proposal relating tothe measures to be taken. The Council shall act by a qualifiedmajority.
If within three months from the date on which the matter was
referred to the Council, the Council has not acted, the proposedmeasures shall be adopted by the Commission.
Article 6
1. The Commission shall take stock of the implementation of coop-
eration pursuant to this Regulation and report to the EuropeanParliament and the Council once a year.
2. The Commission shall evaluate the main projects completed in
order to establish whether the objectives fixed during the appraisal of
these projects have been achieved and to establish guidelines formaking future aid more effective. These evaluation reports shall besent to the Member States and to the European Parliament.
Article 7
This Regulation shall enter into force on the third day following its
publication in the Official Journal of the European Communities .
This Regulation shall be binding in its entirety and directly applicable
in all Member States.1994R1734 — EN — 01.01.1999 — 001.001 — 4