EXPLANATORY MEMORANDUM

1.SUBJECT OF THE PROPOSAL

The attached proposal relates to the adoption of a decision establishing a European Union (the "Union") position in view of the adoption of a decision of the EPA Committee set up by the Stepping Stone Economic Partnership Agreement between Ghana, of the one part, and the European Community and its Member States, of the other part (the "Agreement"), regarding the accession of the Republic of Croatia to the European Union.

2. CONTEXT OF THE PROPOSAL

2.1. Interim Economic Partnership Agreement between Ghana and the EU

The Agreement between Ghana, of the one part, and the European Community and its Member States, of the other part, aims to establish an initial framework for a full economic partnership agreement in line with the Cotonou Agreement. The Agreement has been applied provisionally since 15 December 2016.

2.2. EPA Committee

The EPA Committee is the mixed institutional body of the Agreement. Article 73 of the Agreement states that the EPA Committee is responsible for the administration in all fields covered by this Agreement and the achievement of all tasks mentioned in this Agreement. The EPA Committee makes its decisions by consensus. The functioning of the Ghana-EU EPA Committee is described in its rules of procedure agreed by the parties at the first meeting of the EPA Committee in January 2018.

2.3. Envisaged act by the EPA Committee

At its second meeting, on [date], the EPA Committee should adopt a decision regarding the accession of the Republic of Croatia to the Union (the "envisaged act").

Article 77 of the Agreement states that the EPA Committee may decide on any transitional or amending measures that might be necessary regarding the accession of new EU Member States.

The purpose of the envisaged act is to make the amendments to the Agreement following the accession of the Republic of Croatia to the Union.

The envisaged act will become binding on the parties in accordance with Article 77 (3) of the Agreement, which provides that: “The Parties shall review the effects of the accession of new EU Member States on this Agreement. The EPA Committee may decide on any transitional or amending measures that might be necessary.”

3. POSITION TO ADOPT ON BEHALF OF THE EU

The Republic of Croatia joined the Union on 1 July 2013. The accession clause in Article 77 (2) of the Agreement provides for Croatia's accession to the Agreement by depositing an Act of Accession. Croatia deposited its Act of accession to the Agreement on 22 March 2017 to the General Secretariat of the Council of the Union. For subsequent amendments necessary due to accession, the membership clause provides for a decision of the EPA Committee.

The Union should therefore determine the position to be taken with regard to the adoption of a decision of the EPA Committee regarding the amendments necessary following the accession of the Republic of Croatia to the Agreement.

The proposed Council Decision includes as an annex a draft Decision to be taken by the EPA Committee.

The Agreement applies, on the one hand, to the territories in which the Treaty on the functioning of the European Union ("TFEU") is applied and under the conditions laid down in that Treaty, and, on the other hand, to the territory of Ghana.

4. LEGAL BASIS