COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 04.09.1996 
COM(96)423 final 
Recommendation for a 
COUNCIL DECISION 
approving the signature of an Agreement for scientific and technological 
cooperation between the European Community and the Republic of 
South Africa 
(presented by the Commission) 

Recommendation for a Council Decision approving the signature of an 
Agreement for scientific and technological cooperation between the European 
Community and the Republic of South Africa 
1. In the framework of the new relationship between the European Union and South Africa, the 
South African authorities have repeatedly requested the development of closer relations with 
the European Union in the area of science and technology. 
The Commission reacted favourably to these requests by sending, in October 1994, an 
exploratory mission to South Africa. It led to the conclusion that there was a mutual interest 
in cooperation in a wide variety of research sectors. The mission also concluded that closer 
collaboration with South Africa in the area of science and technology might have positive 
effects on the larger region of Southern Africa, taking into account South Africa's pivotal role 
in the Southern African Development Community (SADC). 
After having received on 22 December 1994 a proposal for a cooperation agreement in science 
and technology from the South African Government and after further exploratory discussions 
and consultation among Commission services concerned, the Commission asked the Council 
for negotiating directives for a S&T cooperation agreement covering all activities related to the 
European Community's multi-annual Framework Programme for RTD (1994-1998). On 
22 January 1996 the Council authorised the Commission to negotiate the agreement in question. 
The negotiations resulted in the attached draft agreement, including its annex on the 
dissemination and utilization of information and management, allocation and exercise of 
intellectual property rights. 
The draft Agreement provides for : 
the participation of research entities, including the Parties themselves, in RTD projects 
conducted by South Africa or the Community in research areas covered by the European 
Community's Fourth Framework Programme; 
the shared use of research facilities; 
visits and exchanges of researchers, engineers and technicians; 
the exchange of information; 
other activities as may be jointly determined by the Joint Science and Technology 
Cooperation Committee in accordance with the applicable policies and programmes of the 
Parties; 
3: 
the endorsement by the Parties of Technology Management Plans as a condition for 
research projects to proceed, as described in the Annex to the draft Agreement; 
cooperative activities to be subject to the availability of funds and to the applicable laws 
and regulations, policies and programmes of South Africa and the Community; no transfer 
of funds will take place, except for the purpose of participation by South African research 
entities in the specific programme of RTD in the field of cooperation with third countries 
and international organisations, for which South Africa is considered a developing country. 
4. The draft Agreement has been initialled on 7 May 1996. The results of the negotiations are 
in conformity with the negotiating directives as adopted by the Council on 22 January 1996. 
5. In the light of the above mentioned considerations the Commission proposes that the Council, 
without prejudice to the conclusion of the Agreement after consultation of the European 
Parliament : 
decide that the Agreement be signed on behalf of the Community and 
authorize the President of the Council to appoint the persons duly empowered to sign on 
behalf of the Community. 
3 
Draft 
AGREEMENT 
on scientific and technological cooperation 
between the European Community and the Republic of South Africa 
THE COUNCIL OF THE EUROPEAN UNION acting on behalf of the 
European Community (hereinafter "the Community"), of the one part, and 
THE GOVERNMENT OF THE REPUBLIC OF SOUTH AFRICA acting on 
behalf of the Republic of South Africa (hereinafter "South Africa"), of the 
other part, 
hereinafter referred to as the "Parties"; 
CONSIDERING the importance of science and technology for their 
economic and social development; 
WHEREAS the Community and South Africa are pursuing research and 
technological development including demonstration in a number of areas of 
common interest and mutual benefit may be derived if the Parties engage 
in cooperative activities; 
WHEREAS such cooperation should also be to the benefit of the Southern 
African Development Community where possible and justified; 
WHEREAS, for this purpose, it is desirable that a framework for cooperation 
be established; 
WHEREAS South Africa, on the one hand, and the Community and its 
Member States, on the other hand, are negotiating an agreement referring 
inter alia to the negotiation of a cooperation agreement in the field of 
science and technology; 
WHEREAS, by Decision No 1110/94/EC, the European Parliament and the 
Council of the European Union adopted a Framework Programme of 
European Community activities in the field of research and technological 
development and demonstration (1994-1998), hereinafter called the "Fourth 
Framework Programme"; 
i. 
H-5 
WHEREAS, without prejudice to the relevant provisions of the Treaty 
instituting the European Community, this Agreement and any activities 
entered into under it will in no way affect the powers vested in the Member 
States to undertake bilateral activities with South Africa in the fields of 
science, technology, research and development, and to conclude, where 
appropriate, agreements to that end; 
HAVE AGREED AS FOLLOWS: 
ARTICLE 1 
Objectives 
The Parties shall encourage and facilitate cooperation between the 
Community and South Africa in fields of common interest where they are 
supporting research and development including demonstration activities to 
advance science and/or technology. 
ARTICLE 2 
Definitions 
For the purposes of this Agreement: 
a) "Cooperative activity" means any activity carried out under this 
Agreement and includes joint research; 
b) "Information " means scientific or technical data, results or methods of 
research and development stemming from the joint research and any 
other information deemed necessary by the participants engaged in 
cooperative activity, including, where necessary, the Parties 
themselves; 
c) "Intellectual Property" shall have the meaning defined in Article 2 of the 
Convention establishing the World Intellectual Property Organization, 
done at Stockholm, 14 July, 1967; 
d) "Joint research" means research, technological development and 
demonstration that is implemented with or without financial support 
from either or both Parties and that involves collaboration by 
participants from both the Community and South Africa; 
e) "Participant" or "Research entity" means any person, legal entity, 
university, research institute or any other body or undertaking 
participating in a cooperative activity, including the Parties themselves. 
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ARTICLE 3 
Principles 
Cooperation shall be conducted on the basis of the following principles: 
a) mutual benefit; 
b) timely exchange of information which may affect the actions of 
participants in cooperative activities; and 
c) within the framework of applicable laws and regulations, effective 
protection of intellectual property and equitable sharing of intellectual 
property rights, as set out in the Annex, which forms an integral part 
of this Agreement. 
ARTICLE 4 
Scope of the cooperation 
Cooperation under this Agreement may cover all research and technological 
development and demonstration (hereinafter referred to as RTD) activities 
related to the Fourth Framework Programme and all similar RTD activities 
in South Africa. 
ARTICLE 5 
Modalities of cooperation 
Cooperation may take the following forms: 
(a) (i) participation of South African research entities in RTD projects 
related to the Fourth Framework Programme and a reciprocal 
participation of research entities of the European Community in 
South African projects in similar areas of research; as regards 
South African participation in Community RTD projects, such 
participation shall be subject to the rules applicable for the 
participation of undertakings, research centres and universities in 
the specific programmes of RTD of the Community 1; 
Council Decision of 21 November 1994 concerning the rules for the participation of undertakings, 
research centres and universities in the research, technological development and demonstration 
activities of the European Community (O.J. nr L306 of 30.11.1994, p. 8) 
* 
(ii) for the purpose of participation by South African research entities 
in the specific programme of RTD in the field of cooperation with 
third countries and international organizations (1994-1998) South 
Africa is considered a developing country; 
(b) shared use of research facilities; 
(c) visits and exchanges of research workers, engineers and technicians; 
(d) participation by experts in seminars, symposia and workshops; 
(e) scientific networks and training of researchers; 
(f) exchange of information on practices, laws, regulations and 
programmes relevant to cooperation under this Agreement; 
(g) other modalities as may be recommended by the Joint Science and 
Technology Cooperation Committee in accordance with the applicable 
policies and programmes of the Parties. 
With the exception of projects under (a)(ii) above, joint RTD projects shall 
proceed once the participants have concluded a Joint Technology 
Management Plan (JTMP), as indicated in the Annex to this Agreement. 
ARTICLE 6 
Joint Science and Technology Cooperation Committee (JSTCC) 
(a) A Joint Science and Technology Cooperation Committee will be 
established in order to administer this Agreement; it will be composed 
of representatives of the Commission and of South Africa; it shall adopt 
its rules of procedure. 
(b) The functions of the JSTCC shall be to: 
1. promote and review the various cooperation activities envisaged 
under this Agreement; 
2. make recommendations pursuant to Article 5 (g); 
3. advise the Parties on ways to enhance cooperation consistent with 
the principles set out in this Agreement; 
4. review the efficient and effective functioning of the Agreement; 
5. provide a report annually to the Parties on the level, status and 
effectiveness of cooperation undertaken under this Agreement. 
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(c) The JSTCC shall meet as mutually agreed, meetings being held 
alternately in the Community and South Africa. 
(d) Costs incurred by or on behalf of the Committee shall be met by the 
Party to whom the members are responsible. Costs, other than those 
of travel and accommodation, which are directly associated with 
meetings of the Committee, shall be met by the host Party. 
ARTICLE 7 
Funding 
(a) Cooperative activities shall be subject to the availability of funds and 
to the applicable laws and regulations, policies and programmes of the 
Parties. 
(b) Costs incurred by participants in cooperative activities shall not require 
any transfer of funds from one Party to the other, except for the 
participation referred to under Article 5 (a) (ii). 
ARTICLE 8 
Entry of Personnel and Equipment 
Each Party shall take all reasonable steps and use its best efforts, within 
existing laws and regulations, to facilitate entry to and exit from its territory 
of personnel, material and equipment of the participant(s) engaged in or 
used in cooperative activities under this Agreement. 
ARTICLE 9 
Dissemination and Utilization of Information 
Research entities established in South Africa, participating in Community 
RTD projects, shall, as regards ownership, dissemination and utilization of 
information and intellectual property arising from such participation, be 
subject to the rules for the dissemination of the research results from the 
specific programmes of RTD of the Community, and the Annex to this 
Agreement. 
Research entities established in the Community, taking part in South African 
RTD projects, shall, as regards ownership, dissemination and utilization of 
information and intellectual property arising from such participation, have the 
same rights and obligations as those of South African research entities, and 
be subject to the Annex to this Agreement. 
a 
ARTICLE 10 
Territorial Application 
This Agreement shall apply, on the one hand to the territories in which the 
Treaty establishing the European Community is applied and under the 
conditions laid down in that Treaty and, on the other hand to the territory of 
South Africa. 
ARTICLE 11 
Entry into Force; Termination; Settlement of Disputes 
(a) This Agreement shall enter into force on the date on which the Parties 
have notified each other in writing that their legal requirements have 
been fulfilled. 
(b) This Agreement shall be concluded for the duration of the Fourth 
Framework Programme and will be renewable by common agreement 
between the Parties (tacit renewal) for the specific programmes 
implementing subsequent Framework Programmes of the Community. 
(c) This Agreement may be amended by agreement of the Parties. 
Amendments shall enter into force on the date on which the Parties 
have notified each other in writing that their legal requirements have 
been fulfilled. 
(d) This Agreement may be terminated at any time by either Party upon 
a six months written notice. The expiration or termination of this 
Agreement shall not affect the validity or duration of any arrangements 
made under it, or any specific rights and obligations that have accrued 
in compliance with the Annex. 
(e) All questions or disputes related to the interpretation or implementation 
of this Agreement shall be settled between the Parties by mutual 
agreement. 
ARTICLE 12 
This Agreement is drawn up in duplicate in the Danish, Dutch, English, 
Finnish, French, German, Greek, Italian, Portuguese, Spanish and Swedish 
languages, each of these texts being equally authentic. 
For the Council of the European Union 
For the Government of the Republic of South Africa 
i 
ANNEX 
ANNEX ON THE DISSEMINATION AND UTILIZATION OF INFORMATION 
AND MANAGEMENT, ALLOCATION AND EXERCISE OF 
INTELLECTUAL PROPERTY RIGHTS 
L OWNERSHIP, ALLOCATION AND EXERCISE OF RIGHTS 
1. All research carried out pursuant to this Agreement shall be "joint research". The 
participants performing the joint research shall develop Joint Technology Management 
Plans (JTMPs) which shall contain, as a minimum, principles in respect of the ownership 
and use, including publication, of information and Intellectual Property (IP) to be created 
in the course of the joint research*. 
The JTMPs shall be approved by the responsible funding agency or department of the 
Party involved in financing the research, before the conclusion of the specific research 
and development cooperation contracts to which they are attached. The JTMPs shall be 
developed taking into account the aims of the joint research, the relative contributions 
of the participants, the advantages and disadvantages of licensing by territory or for 
fields of use, requirements imposed by applicable laws, the need for dispute settlement 
procedures and other factors deemed appropriate by the participants. The rights and 
obligations concerning the research and information generated by visiting researchers in 
respect of IP shall also be addressed in the JTMPs. 
2. Information or IP created in the course of joint research and not addressed in a JTMP 
shall be allocated following the procedures set out in 1,1 according to the principles set 
out in that JTMP. In case of disagreement, which cannot be resolved by the agreed 
dispute resolution procedure, such unallocated information or IP shall be owned jointly 
by all the participants involved in the joint research from which the information or IP 
results, and each participant to whom this provision applies shall have the right to use 
such information or IP for his/her own commercial exploitation with no geographical 
limitation. 
3. In accordance with applicable laws, each Party shall ensure that the other Party and its 
participants may have the rights to IP allocated to them in accordance with the principles 
set out in section I of this Annex. 
4. While maintaining the conditions of competition in areas affected by the Agreement, 
each Party shall endeavour to ensure that rights acquired pursuant to thé Agreement, and 
arrangements made under it, are exercised in such a way as to encourage in particular: 
(i) the dissemination and use of information created, disclosed, or otherwise made 
available, under the Agreement; 
(ii) the adoption and implementation of international standards. 
The indicative features of such JTMPs are set out in Appendix. 
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II. COPYRIGHT WORKS 
Copyright belonging to the Parties or to their participants shall be accorded treatment 
consistent with the Berne Convention (Paris Act 1971). 
IIL SCIENTIFIC LITERARY WORKS 
Without prejudice to Section IV, unless otherwise agreed in the JTMP, any publication of 
results of the joint research shall be made jointly by the participants. In addition to the 
foregoing general rule, the following procedure shall apply: 
1. In the case of publication by a Party or public bodies of that Party of scientific and 
technical journals, articles, reports, books, including video and software, arising from 
joint research pursuant to the Agreement, the other Party shall be entitled, with written 
permission from the publisher, to a world-wide, non-exclusive, irrevocable, royalty-free 
licence to translate, reproduce, adapt, transmit and publicly distribute such works. 
2. The Parties shall endeavour to disseminate literary works of a scientific character arising 
from joint research pursuant to the Agreement and published by independent publishers 
as widely as possible. 
3. All copies of a copyright work to be publicly distributed and prepared under this 
provision shall indicate the names of the author(s) of the work unless an author or 
authors expressly declines or decline to be named. Copies shall also bear a clearly 
visible acknowledgement of the cooperative support of the Parties 
IV. UNDISCLOSED INFORMATION 
A. Documentary undisclosed information 
1. Each Party or its participants shall identify at the earliest possible moment, and 
preferably in the JTMP, the information that it wishes to remain undisclosed in relation 
to this Agreement, taking into account, among other things, the following criteria: 
secrecy of the information in the sense that the information is not, as a body or in 
the precise configuration or assembly of its components, generally known among 
or readily accessible by lawful means to experts in the field; 
the actual or potential commercial value of the information by virtue of its secrecy; 
previous protection of the information in the sense that it has been subject to steps 
that were reasonable under the circumstances by the person lawfully in control, to 
maintain its secrecy. 
X9L 
2. Participants shall not normally be required to provide undisclosed information to the 
Parties. Should the Parties become aware of such information, they shall respect the 
privileged nature thereof, and it shall not be further disclosed by, within, or between the 
Parties, without the written consent of the participant(s) to whom the information 
belongs. These limitations shall automatically terminate when such information is 
disclosed by the owner, without restriction, to experts in the field. 
3. Each Party shall ensure that undisclosed information, communicated between them under 
the Agreement, and its ensuant privileged nature is readily recognizable as such by the 
other Party, for example, by means of an appropriate marking or restrictive legend. This 
also applies to any reproduction of the said information, in whole or in part. 
4. Undisclosed information communicated under the Agreement, and received from the 
other Party, may be disseminated by the receiving Party to persons within or employed 
by the receiving Party and other concerned departments or agencies of the receiving 
Party authorized for the specific purposes of the joint research underway, provided that 
any undisclosed information so disseminated shall be pursuant to a written agreement 
of confidentiality and shall be readily recognizable as such, as set out above. 
5. With the prior written consent of the Party providing undisclosed information under the 
Agreement, the receiving Party may disseminate such undisclosed information more 
widely than otherwise permitted in Paragraph 3 above. The Parties shall cooperate in 
developing procedures for requesting and obtaining prior written consent for such wider 
dissemination, and each Party will grant such approval to the extent permitted by its 
domestic policies, regulations and laws. 
B. Non-documentary undisclosed information 
Non-documentary undisclosed or other confidential or privileged information provided in 
seminars and other meetings arranged under the Agreement, or information arising from the 
attachment of staff, use of facilities, or joint projects, shall be treated by the Parties or their 
participants according to the principles specified in Section IV A above, provided, however, 
that the recipient of such undisclosed or other confidential or privileged information has been 
made aware in advance and in written form of the confidential character of the information 
to be communicated. 
C. Control 
Each Party shall make its best efforts to ensure that undisclosed information received by it 
under the Agreement shall be controlled as provided therein. If one of the Parties becomes 
aware that it will be, or may reasonably be expected to become, unable to meet the non-
dissemination provisions of Paragraphs A and B above, it shall immediately inform the Party 
likely to be affected by the dissemination. The Parties involved shall thereafter consult to 
define an appropriate course of action. 
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Ai 
APPENDIX 
INDICATIVE FEATURES OF A 
JOINT TECHNOLOGY MANAGEMENT PLAN (JTMP) 
The JTMP is part of the contract to be concluded between the participants in joint research 
defining their respective rights and obligations. With respect to Intellectual Property Rights, 
the JTMP will normally address, inter alia: ownership, protection, user rights for research and 
development purposes, exploitation and dissemination, including arrangements for joint 
publication, the rights and obligations of visiting researchers and dispute settlement 
procedures. The JTMP may also address foreground and background information, the rules 
governing disclosure of undisclosed information, licensing and deliverables. 
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FINANCIAL STATEMENT 
1. Title of the operation 
International scientific cooperation : cooperation agreement in science and technology with the 
Republic of South Africa. 
2. Relevant budget headings 
Travel costs for EC officials and EC experts will be charged to the specific budget headings of the 
programmes within the Community RTD IV Framework Programme/EC part. 
3. Legal basis 
Article 130i and 130m in conjunction with Article 228 of the EC Treaty. 
Council and Parliament Decisions 1110/94/EC of 26 April 1994 and 616/96/CEof 25 March 1996. 
4. Description of the operation 
4.1. Specific objectives of the operation 
The essential objective is to stimulate RTD cooperation between the EC and South Africa in terms 
of research projects covered by the Framework Programme. 
4.2. Duration 
The agreement shall be concluded for the duration of the Framework Programme (1994-1998) and 
will be renewable by common agreement between the parties (tacit renewal) for all the specific 
programmes implementing subsequent Framework Programmes. It may be terminated at any time 
by either Party upon a six months' written notice. 
5. Classification of the expenditure 
5.1. Non-compulsory expenditure 
5.2. Differentiated appropriations 
6. Type of expenditure 
Financing missions to South Africa by Commission officials; organization of workshops, seminars 
and meetings in Europe and South Africa. 
AK~ 
7. Financial impact 
7.1. Method of calculating the total annual cost of the operation (estimate) 
a. Preparatory activities, review of the cooperation : meetings of the Joint Science and 
Technology Cooperation Committee, exchange of information, visits of officials and 
experts to South Africa 50.000 Ecus 
b. Scientific and technical workshops/meetings 
7.2. Indicative multi-annual schedules (MECU) 
FP IV-EC Total : 60.000 Ecus 
110.000 Ecus/year 
Commitments 
Payments 1995 
2599,467 
694,567 1996 
2836,804 
2010,940 1997 
3164,853 
2402,509 1998 
3162,876 
3284,733 1999 + 
-
2054,287 2000 + 
-
1316,964 TOTAL 
11764,000 
11764,000 
8. Anti-fraud measures 
There are many administrative and financial controls at each stage of the signature and 
implementation of research contracts. Among these controls are the following : 
At the stage prior to the conclusion 
Initial selection of proposals based on the scientific merit of the project and on the realism of 
research costs relative to the content, duration of the project and its potential implications. 
- Analysis of financial details submitted by the proposers in the contract negotiation form. 
After signature of the contract 
- Examination of expenditure at a number of levels (financial officer, scientific officer) before 
payment. 
- Internal audit performed by the Financial Controller. 
- On-site audit, which should allow the detection of errors and other irregularities by examination 
of supporting documents. In order to improve the efficiency of these controls, the Commission 
services have established an audit unit which coordinates all controls taking place. These 
controls are carried out either by members of this audit unit or by audit firms with which the 
Commission has concluded a contract, under the supervision of personnel from this audit unit. 
- On the spot inspections made by the Financial Controller of the Commission and by the Court 
of Auditors of the European Union. 
AG 
9. Cost-effectiveness analysis 
9.1. Specific objectives, target population 
- the agreement is designed to enable the Community and South Africa to profit on the basis of 
the principle of mutual benefit, from the scientific and technical progress achieved under their 
reciprocal research programmes, via the participation of the South African scientific community 
and industrial sector in the Community's research projects and via the independent and non-
subsidized participation of bodies established in the Community in South African research 
projects; 
- beneficiaries in the EC and South Africa will be the scientific communities, the industrial sector 
and the general public, thanks to the direct and indirect effects of cooperation. 
9.2. Justification of the operation 
Community budget intervention is indispensable because the planned cooperation comes under the 
implementation of the Framework Programme, including the budgetary section : participation by 
South Africa in certain specific programmes and administrative expenditure on the European side 
(missions by Community officials, organization of seminars in the Community and South Africa). 
9.3. Monitoring and evaluation of the operation 
The cooperation agreement will be evaluated regularly by the Commission services concerned. The 
evaluation will comprise the following elements : 
a. Collection of information : 
On the basis of data from the specific programmes of the framework programmes. 
b. Overall evaluation of the operation : 
An evaluation of all the cooperation activities in the context of this agreement will be made by 
the Commission's departments at the end of each year. 
10. Implications for administrative expenditure 
- The Commission is not requesting any additional posts for the management of the Agreement. 
- No officials are being specifically assigned to manage the Agreement. Cooperation activities 
and the implementation of the Agreement will be managed by the staff authorized for the 
specific programmes under the present Framework Programme and possible subsequent 
Framework Programmes. 
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ISSN 0254-1475 
COM(96) 423 final 
DOCUMENTS 
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Catalogue number : CB-CO-96-418-EN-C 
ISBN 92-78-07898-0 
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