COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 16.01.1997 
COM(97) 6 final 
95/0162(SYN) 
Re-examined proposal for a 
COUNCIL REGULATION (EC) 
ON OPERATIONS TO AID 
UPROOTED PEOPLE IN ASIAN AND LATIN AMERICAN DEVELOPING 
COUNTRIES 
(presented by the Commission pursuant to Article 189 c (d) 
of the EC Treaty) 

EXPLANATORY MEMORANDUM 
Subject; Re-examined proposal for the adoption of Council Regulation (EC) 
No .../96 on operations to aid uprooted people in Asian and Latin 
American developing countries 
• The aim of this text is to establish a clear legal frame of reference to enable the 
Commission to continue its activities to help uprooted people such as refugees, 
displaced persons and returnees in Asia and Latin America. Special assistance will 
be afforded to people who, having left their country or region of origin following 
conflicts or domestic unrest, require, after humanitarian aid and before standard 
development measures are put in place, special assistance to enable them to achieve 
self-reliance and integration or reintegration into the socio-economic fabric of the 
host country or region to which they are returning 
• Provision is made for an extensive network of partners (UN agencies, NGOs both 
international and local, governments, local communities, etc.) and a wide range of 
measures (care and maintenance, training of health workers, repair of small-scale 
infrastructure, financing of credit systems to help revive economic activity, 
schemes specially aimed at women heads of households and schemes to protect the 
environment). 
• All this reflects the need to take action with the necessary flexibility to deal with 
fluctuating situations that all require an effective and rapid response on the part of 
the international community to avoid not only further suffering among the people 
concerned but also the risk that the tension thus created might prevent or slow 
down the establishment of peace in the countries concerned. 
• The Commission notes with satisfaction that for the most part Parliament shares 
this approach. It has therefore given its agreement to some of the amendments 
approved by Parliament on second reading. 
• This re-examined proposal incorporates amendments 1, 2 and 3, thus adding to the 
draft legislation references to principles such a non-discrimination, 
non-refoulement, the establishment of democratic structures and involvement of the 
groups concerned in the assessment of their needs. Amendments 7 and 11 are also 
incorporated: they make it possible for the Commission to take the measures 
necessary to ensure better coordination with implementing agencies and for 
evaluation reports to be made available to parliament. 
• Amendment 4, which extends the scope of this instrument to measures such as 
awareness of the risks of mines and basic health care, is also incorporated, with the 
exception of the adjective "voluntary" which qualifies "return" in the description of 
the measures to be supported. Whilst the choice to return should obviously be 
made freely by the people concerned, it vital that, in the event of forced 
repatriation, which unfortunately cannot be either ruled out or avoided, the 
Commission retain the possibility of using this instrument and the corresponding 
budget resources to assist the people who are victims of such a violation of 
fundamental principles. 
• Of amendment 5 on technical assistance and studies, only the part concerning the 
preference to be given to consultants who are citizens of the host country of the 
beneficiaries is incorporated. The imposition of a 3% ceiling of the overall cost of 
the studies audits, evaluations and monitoring has been dropped as such a measure 
ACL 
would be too restrictive. Studies, audits and evaluations required for the success of 
the measures may sometimes cost more than this percentage. 
The provision in amendment 6 providing for strengthened coordination with 
Member States and other donors has been incorporated but not the part requiring 
coordination and consultation with the Parliamentary Committee and the NGO 
Liaison Committee since this requirement would be incompatible with the acute 
lack of human and material resources available to the Commission. 
Amendments 8 and 9 concerning committee procedures propose the abolition of the 
obligation to submit projects costing ECU 2 million or more to a committee of the 
Member States (type Ilia). 
These amendments are not incorporated in this re-examined proposal as the 
Council's position on this matter seems to be unwavering. 
However, the compromise proposed by the rapporteur to revert to the initial 
proposal of a financial ceiling of ECU 5 million warrants vigorous support on the 
part of the Commission. 
Finally, amendment 10, which provides that the Commission should consult the 
authorities, partner organizations and recipients in the non-Community countries 
where the schemes are to be carried out prior to discussion of the policy guidelines, 
is also not included in the re-examined proposal. Such an obligation would be too 
restrictive and would run the risk of holding up the discussions and consequently 
the implementation of the annual aid programme for uprooted people. 
This amendment also provides for committee meetings to be made public, for 
summary records to be transmitted to Parliament and for a Member of Parliament to 
take part in the committees' meetings as an observer with the right to speak. This 
cannot be accepted because the organization of the work of each committee is a matter 
for the committee itself, which also decides whether the discussions it holds should be 
confidential or not. Regarding the involvement of a Member of Parliament, it should 
be pointed out that the composition of committees is laid down in a standard manner 
by the Council, is determined by interinstitutional balance and could be a matter for 
discussion in other forums (Intergovernmental Conference). 
REEXAMINED PROPOSAL 
FOR THE ADOPTION 
OF COUNCIL REGULATION (EC) No /96 ON OPERATIONS TO AID 
UPROOTED PEOPLE IN ASIAN AND LATIN AMERICAN DEVELOPING 
COUNTRIES 
THE COUNCIL OF THE EUROPEAN UNION, 
Having regard to the Treaty establishing the European Community, and in particular 
Article 130w thereof, 
Having regard to the proposal from the Commission ,' 
Acting in accordance with the procedure referred to in Article 189c of the Treaty ,2 
(l)Having regard to the Convention relating to the Status of Refugees adopted on 
28 July 1951 by the United Nations Conference on the Status of Refugees and 
Stateless Persons, as well as the New York Protocol adopted on 31 January 1967 
and other resolutions adopted by the United Nations on refugee policy; 
(2)Having regard to the Universal Declaration of Human Rights of 1948, the 
International Covenant on Economic, Social and Cultural Rights of 1966, the 
Convention on the Elimination of All Forms of Discrimination against Women of 
1979 and the Convention on the Rights of the Child of 1989; 
(3)Having regard to the Resolution of the European Parliament of 16 December 1993 on 
assistance to refugees in developing countries and its subsequent resolutions; 
(4)Whereas both the European Parliament and the Council have called for greater effort 
on the part of the Community in this field; 
(5) Whereas the effectiveness of aid programmes for uprooted people (refugees, displaced 
persons, returnees and demobilized soldiers) is dependent on the coordination of 
aid at European level and with other aid donors, non-governmental organizations 
(NGOs) and United Nations agencies; 
(6)Whereas there is a need to step up efforts to prevent conflict and to promote peaceful 
solutions to political conflicts or wars that cause population displacements; 
(6a) Whereas refugee status may arise from persecution of particular social groups and 
the principle of non-discrimination should be promoted; 
1 OJC 237, 12.9.1995, p. 19. 
2 Opinion of the European Parliament of 6 February 1996 (OJ C 65, 4.3.1996, p. 215); common 
position of the Council of 27 June 1996 (OJ ...); decision of the European Parliament of (not yet 
published in the OJ). 
(6b) Whereas there is need to uphold the "non-refoulement" principle and the proper 
legal resolution of violations of human rights; 
(7)Whereas specialized bodies and agencies and NGOs implementing such operations 
have gained considerable experience in providing assistance to uprooted people; 
(8)Whereas the Community wishes aid for uprooted people to be provided in such a way 
as to help them move from subsistence to self-sufficiency, namely to make them 
less dependent, help them reintegrate or re-settle by means of operations to develop 
self-sufficiency through farming, livestock-rearing, fish-farming, the setting-up of 
credit systems, basic education and vocational training and decent standards of 
health and hygiene; 
(9)Whereas this type of aid is a prerequisite for development and thus makes a major 
contribution towards achieving the Community's cooperation policy objectives 
under Article 13Ou of the Treaty; 
(10) Whereas the budget authority has entered in the budget a heading intended to 
finance operations to aid uprooted people (refugees, displaced persons, returnees 
and demobilized soldiers) in developing countries; 
(11) Whereas a financial reference amount, within the meaning of point 2 of the 
Declaration of the European Parliament, the Council and the Commission of 
6 March 1995,3 is entered in this Regulation for the period from 1996-1999, 
without affecting the powers of the budgetary authority defined by the Treaty; 
(12) Whereas administrative rules and procedures applicable to cooperation operations 
to contribute to the self-sufficiency of uprooted people (refugees, displaced 
persons, returnees and demobilized soldiers) should be laid down, 
HAS ADOPTED THIS REGULATION: 
Article 1 
The Community shall implement a programme of support and assistance to uprooted 
people referred to in Article 4 to contribute to the urgent requirements not covered by 
humanitarian aid and for the longer term realization of projects and action programmes 
aimed at the self-sufficiency and integration or reintegration of such people. 
The establishment of democratic structures and the promotion of human rights will be an 
integral part of assistance programmes to uprooted people in Asian and Latin American 
developing countries. All affected groups and the local population hosting refugees and 
displaced persons will be fully involved in the assessment of needs and implementation 
of assistance programmes. Assistance will be targeted at and funds earmarked for 
vulnerable groups, including women, children, indigenous people, the disabled and the 
elderly. 
3 OJC 102,4.4.1996, p. 4. 
Article 2 
In this context, the Community shall implement viable projects for subsistence., 
self-sufficiency and reinsertion into the socio-economic fabric of refugees and displaced 
persons, returnees and demobilized soldiers. To this end, operations shall cover inter alia 
mine clearance, including information and safety campaigns about mines, combating 
sexual violence, basic health care, including perinatal care, psychological aid and 
treatment for victims of rape, aid to promote family unity, including family tracing and 
reunification programmes, operations to aid people to reclaim their land and uphold their 
property rights, aid for the legal resolution of human rights violations against displaced 
persons, support to local host communities and areas to which refugees return to facilitate 
acceptance and integration of such people and support for their return and settlement in 
their places of origin or in third countries. Where appropriate, operations shall support 
reconciliation. 
Article 3 
Operations carried out under this Regulation shall be complementary to those provided 
for by other Community instruments governing development cooperation. 
Article 4 
1. The final beneficiaries of the operations mentioned in Article 2 shall be uprooted 
people (refugees, displaced persons, returnees and demobilized soldiers) in the 
developing countries of Asia and Latin America and persons from one of these countries 
provisionally settled in another developing country and, in duly justified, exceptional 
cases, in another third country: 
(a) refugees, as defined in the Convention relating to the Status of Refugees adopted 
on 28 July 1951 by the United Nations Conference on the Status of Refugees and 
Stateless Persons; 
(b)"displaced persons": persons who have been forced to seek refuge outside their region 
of origin owing to conflict situations but who do not enjoy refugee status as defined 
by the 1951 Convention; 
(c) "returnees": persons who were formerly refugees or displaced persons who have 
returned to their country or region of origin. 
2. Aid shall also be available for: 
(a) the local population of the host territories particularly affected, whose economic 
and administrative resources contribute to receiving and assisting refugee: and 
displaced persons and to carrying out longer-term projects designed to bring about 
their self-sufficiency and integration or reintegration; 
(b)former soldiers of regular armies and demobilized armed opposition movements, plus 
their families and, where appropriate, their local communities. 
Article 5 
Partners in cooperation who may obtain financial support under this Regulation shall be 
regional and international organizations, including United Nations agencies, 
non-governmental organizations, national, provincial and local administrations and 
official bodies, community-based organizations, public or private institutes and operators. 
Article 6 
1. Community financing of the operations referred to in Article 1 shall cover a period of 
four years (1996-99). 
The financial reference amount for the implementation of this programme for the period 
1996 to 1999 shall be ECU 240 million. 
Annual appropriations shall be authorized by the budgetary authority within the limits of 
the financial perspective. 
2. The budget authority shall determine the appropriations available for each financial 
year taking account of the principles of sound financial management referred to in 
Article 2 of the Financial Regulation applicable to the general budget of the European 
Communities. 
Article 7 
1. The means deployed in implementing operations referred to in Article 1 shall include 
studies (priority shall be given to consultants of the host country), technical assistance, 
training and other services, supplies, works, and audits and evaluation and monitoring 
missions. 
2. Community financing may also cover investment expenditure, excluding the purchase 
of real estate, and, in duly justified cases and taking into account the fact that the project 
must, as far as possible, aim at medium-term viability, recurring expenditure (which 
includes administrative expenditure, maintenance and running costs) so that maximum 
use is made of the investments mentioned in paragraph 1, the operation of which 
temporarily represents a burden for the person associated. 
3. A financial contribution from the partners defined in Article 5 shall be sought for 
each cooperation operation. This contribution will be requested within the limits of the 
possibilities available to the partners concerned and depending on the nature of the 
operation. In specific cases and when the partner is either an NGO or a 
community-based organization, the contribution may be made in kind. 
4. Opportunities may be sought for cofinancing with other fund providers, and 
especially with Member States. 
5. The necessary measures shall be taken to emphasize the Community character of aid 
provided under this Regulation. 
6. In order to achieve the objectives of consistency and complementarity referred to in 
the Treaty and with the aim of guaranteeing optimum effectiveness of all these 
operations, the Commission may take all the necessary coordination measures, including 
in particular: 
(a) the establishment of a system for the systematic exchange and analysis of 
information on the operations financed and those which the Community and the 
Member States propose to finance; 
(b)on-the-spot coordination of the implementation of operations through regular meetings 
and exchanges of information between representatives of the Commission and of 
the Member States, those of other donors and partners operating in the target 
country. 
7. The Commission, in liaison with the Member States, may take any initiative 
necessary for ensuring proper coordination with operational partners, in particular those 
forming part of the United Nations system, including the High Commissioner for 
Refugees. 
Article S 
Financial aid under this Regulation shall take the form of grants. 
Article 9 
1. The Commission shall be responsible for appraising, deciding and administering the 
operations covered by this Regulation in accordance with the budgetary and other 
procedures in force, in particular those laid down by the Financial Regulation applicable 
to the general budget of the European Communities. 
2. Project and programme appraisal shall take into account the following factors: 
- effectiveness and viability of operations, 
- cultural, social, gender and environment aspects, 
- institutional development necessary to achieve project goals, 
- experience gained from operations of the same kind. 
3. Decisions relating to grants of more than ECU 2 million for individual operations 
financed under this Regulation shall be adopted in accordance with the procedure laid 
down in Article 10. 
The Commission shall inform the Committee referred to in Article 10 succinctly of the 
financing decisions which it intends to take with regard to projects and programmes of 
less than ECU 2 million in value. This information shall be made available not later than 
one week before the decision is taken. 
4. The Commission shall be authorized to approve, without recourse to the opinion of 
the Committee provided for in Article 10, any supplementary commitments needed for 
covering expected or real cost overruns in connection with the operations, where the 
overrun or additional requirement is less than or equal to 20% of the initial commitment 
laid down by the financing decision. 
Where the supplementary commitment referred to in the first subparagraph is less than 
ECU 4 million, the Committee shall be informed of the decision taken by the 
Commission. Where the supplementary commitment referred to in the first subparagraph 
is greater than ECU 4 million but less than 20%, the Committee will be asked to give its 
opinion. 
5. All financing agreements or contracts concluded under this Regulation shall provide 
for the Commission and the Court of Auditors to conduct on-the-spot checks according to 
the usual procedures laid down by the Commission under the rules in force, in particular 
those of the Financial Regulation applicable to the general budget of the European 
Communities. 
6. Where operations are the subject of financing agreements between the Community 
and the recipient countries or countries of origin, such agreements shall stipulate that the 
payment of taxes, duties and other charges is not to be covered by the Community. 
7. Participation in invitations to tender and the award of contracts shall be open on equal 
terms to all natural and legal persons of the Member States and of the recipient country 
It may be extended to other developing countries and, in duly justified exceptional cases, 
to other third countries. 
8. Supplies shall originate in the Member States, the recipient country, or other 
developing countries. In duly justified exceptional cases supplies may originate 
elsewhere. 
Article 10 
1. The Commission shall be assisted by the Committee set up under Article 15 of 
Council Regulation No443/92/EEC of 25 February 1992 on financial and technical 
assistance to, and economic cooperation with, the developing countries in Asia and Latin 
America .4 
2. The representative of the Commission shall submit to the Committee a draft of the 
measures to be taken. The Committee shall deliver 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 the Treaty in the 
case of decisions which the Council is required to adopt on a proposal from the 
4 OJ L 52, 27.2.1992, p. 1 
Commission. The votes of the representatives of the Member States within the 
Committee shall be weighted in the manner set out in that Article. The Chairman shall 
not vote. 
The Commission shall adopt the measures envisaged if they are in accordance with the 
opinion of the Committee. 
If the measures envisaged are not in accordance with the opinion of the Committee, or if 
no opinion is delivered, the Commission shall without delay submit to the Council a 
proposal relating to the measures to be taken. The Council shall act by a qualified 
majority. 
If on the expiry of a period of one month from the date of referral to the Council, the 
Council has not acted, the proposed measures shall be adopted by the Commission. 
Article 11 
An exchange of views shall take place once a year on the basis of a presentation by the 
representative of the Commission on the general guidelines for the operations to be 
carried out in the year ahead, within the framework of the Committee mentioned in 
Article 10(1). 
After each budget year, the Commission shall submit an annual report to the European 
Parliament and to the Council, summarizing the operations financed in the course of that 
year and evaluating the implementation of this Regulation over that period. 
The summary shall in particular provide information about those with whom contracts 
have been concluded. 
The report shall also summarize any independent evaluations of specific operations. 
The Commission shall inform the Member States, within one month at the latest after 
taking its decision, of operations and projects approved, with information as to the 
amounts, nature, recipient countries and partners. 
Article 13 
The Commission shall regularly assess operations financed by the Community with a 
view to establishing whether the objectives aimed at by such operations have been 
achieved and to provide guidelines for improving the effectiveness of future operations. 
The Commission shall submit to the Committee a summary of the assessments made 
which, if appropriate, may be examined by the Committee. The assessment reports shall 
be available to any Member States requesting them and Parliament. 
Article 14 
This Regulation shall enter into force on the third day following that of its publication in 
the Official Journal of the European Communities. 
It shall apply until 31 December 1999. 
This Regulation shall be binding in its entirety and directly applicable in all Member 
States. 
Done at 
For the Council 
The President 
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COM(97) 6 final 
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