EXPLANATORY MEMORANDUM

1. CONTEXT OF THE PROPOSAL

The Republic of Croatia (hereinafter 'Croatia') will join the European Union on 1 July 2013. On 14 September 2012, the Council authorized the Commission to negotiate the adaptation, through a Protocol, of the Agreement on Cooperation and Customs Union between the European Community and its Member States, of the one part, and the Republic of San Marino (hereinafter 'San Marino'), of the other part[1] (hereinafter 'the Agreement'), regarding Croatia's participation as a contracting party, in view of the enlargement of the Union to include the latter.

In accordance with Article 6(2) of the Protocol concerning the conditions and arrangements for admission of the Republic of Croatia to the European Union, the Commission is to submit to the Council a draft of the Protocol to be concluded.

2. LEGAL ELEMENTS OF THE PROPOSAL

The Agreement entered into force on 1 April 2002 and needs to be amended to include Croatia as a contracting party. Following the authorisation given to the Commission on 14 September 2012, negotiations have been concluded with San Marino on a Protocol to the Agreement.

Pursuant to Article 218(6)(a) of the Treaty on the Functioning of the European Union, the European Parliament gave its consent to the conclusion of the said Protocol to the Agreement on […].

Summary of the proposed action

This proposal consists of a draft Council Decision on the conclusion, on behalf of the European Union and its Member States, of a Protocol to the Agreement (in annex), to provide for Croatia's participation as a contracting party following its accession to the European Union.

Legal basis

The Treaty on the Functioning of the European Union, and in particular Article 218(6) thereof; the Treaty of Accession of Croatia[2]; and the Act of Accession of Croatia[3], and in particular the second subparagraph of Article 6(2) thereof.

Choice of instrument

Pursuant to Article 218(6)(a) of the Treaty on the Functioning of the European Union, in cases covered by the said Article, the Council shall adopt a Decision authorizing the conclusion of the Agreement after obtaining the consent of the European Parliament. This is a proposal for such a Decision.

Proportionality

This proposal is in line with the principle of proportionality because its effects are strictly limited to what is necessary to provide for Croatia's participation in the Agreement, as a contracting party, following its accession to the European Union.

2013/0273 (NLE)

Proposal for a

COUNCIL DECISION

on the conclusion, on behalf of the European Union and its Member States, of the Protocol to the Agreement on Cooperation and Customs Union between the European Community and its Member States, of the one part, and the Republic of San Marino, of the other part, regarding the participation, as a contracting party, of the Republic of Croatia, following its accession to the European Union

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, in particular Article 207 and Article 352, in conjunction with Article 218(6)(a) and the second subparagraph of Article 218(8) thereof,

Having regard to the Act of Accession of Croatia[4], and in particular the second subparagraph of Article 6(2) thereof,

Having regard to the proposal from the European Commission,

Having regard to the consent of the European Parliament[5],

Whereas:

(1) On 14 September 2012, the Council authorised the Commission to open negotiations with the Republic of San Marino for the adaptation, through the negotiation of a Protocol, of the Agreement on Cooperation and Customs Union between the European Community and its Member States, of the one part, and the Republic of San Marino, of the other part[6], regarding Republic of Croatia's participation as a contracting party, in view of its accession to the European Union.

(2) The negotiations on the Protocol to the Agreement were conducted by the Commission and were recently concluded.

(3) The European Parliament gave its consent to the conclusion of the said Protocol on […]

(4) The Protocol should be concluded on behalf of the European Union.

HAS ADOPTED THIS DECISION:

Article 1

The Protocol to the Agreement on Cooperation and Customs Union between the European Community and its Member States, of the one part, and the Republic of San Marino, of the other part, regarding the Republic of Croatia's participation, as a contracting party, following its accession to the European Union, is hereby approved on behalf of the European Union and its Member States.

The text of the Protocol is attached to this Decision.

Article 2

The President of the Council shall designate the person empowered on behalf of the European Union and its Member States to deposit the instrument of approval provided for in Article 3 of the Protocol, in order to express the consent of the European Union and its Member States to be bound by the Protocol.

Article 3

This Decision shall enter into force on the day of its adoption[7].

Done at Brussels,

For the Council

The President

ANNEX

PROTOCOL

to the Agreement on Cooperation and Customs Union between the European Community and its Member States, of the one part, and the Republic of San Marino, of the other part, regarding the Republic of Croatia's participation as a contracting party following its accession to the European Union

THE KINGDOM OF BELGIUM,

THE REPUBLIC OF BULGARIA,

THE CZECH REPUBLIC,

THE KINGDOM OF DENMARK,

THE FEDERAL REPUBLIC OF GERMANY,

THE REPUBLIC OF ESTONIA,

IRELAND,

THE HELLENIC REPUBLIC,

THE KINGDOM OF SPAIN,

THE FRENCH REPUBLIC,

THE ITALIAN REPUBLIC,

THE REPUBLIC OF CROATIA,

THE REPUBLIC OF CYPRUS,

THE REPUBLIC OF LATVIA,

THE REPUBLIC OF LITHUANIA,

THE GRAND DUCHY OF LUXEMBOURG,

THE REPUBLIC OF HUNGARY,

MALTA,

THE KINGDOM OF THE NETHERLANDS,

THE REPUBLIC OF AUSTRIA,

THE REPUBLIC OF POLAND,

THE PORTUGUESE REPUBLIC,

ROMANIA,

THE REPUBLIC OF SLOVENIA,

THE SLOVAK REPUBLIC,

THE REPUBLIC OF FINLAND,

THE KINGDOM OF SWEDEN, AND

THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND

and

THE EUROPEAN UNION,

of the one part,

and

THE REPUBLIC OF SAN MARINO,

of the other part,

Having regard to the Agreement on Cooperation and Customs Union between the European Community and its Member States, of the one part, and the Republic of San Marino, of the other part, of 16 December 1991 ('the Agreement'), which entered into force on 1 April 2002,

Having regard to the Republic of Croatia's accession to the European Union on 1 July 2013,

Whereas the Republic of Croatia is to become a contracting party to the Agreement,

HAVE AGREED AS FOLLOWS:

Article 1

The Republic of Croatia hereby accedes as Party to the Agreement.

Article 2

This Protocol shall be an integral part of the Agreement.

Article 3

1. This Protocol shall be approved by the Contracting Parties, in accordance with their respective procedures.

2. The Parties shall notify each other of the completion of these procedures. The instruments of approval shall be deposited with the General Secretariat of the Council of the European Union.

Article 4

This Protocol shall enter into force on the first day of the first month following the date of deposit of the last instrument of approval.

Article 5

This Protocol shall apply provisionally from 1 July 2013.

Article 6

The text of the Agreement and the Declarations annexed to it are drawn up in the Croatian language.

They are attached to this Protocol and are equally authentic with the texts in the other languages in which the Agreement and the Declarations annexed to it are drawn up.

Article 7

This Protocol is drawn up in duplicate in the Bulgarian, Croatian, Czech, Danish, Dutch, English, Estonian, Finnish, French, German, Greek, Hungarian, Irish, Italian, Latvian, Lithuanian, Maltese, Polish, Portuguese, Romanian, Slovak, Slovenian, Spanish and Swedish languages, each of these texts being equally authentic.

Done at [Brussels] on the [……] day of […] in the year two thousand and thirteen.

[ ... ]

For the Member States

[ ... ]

For the European Union

[ ... ]

For the Republic of San Marino

[ ... ]

[1] OJ L 84, 28.3.2002, p. 43.

[2] OJ L 112, 24.4.2012, p. 10.

[3] OJ L 112, 24.4.2012, p. 21.

[4] OJ L 112, 24.4.2012, p. 21.

[5] OJ C , p. .

[6] OJ L 84, 28.3.2002, p. 43.

[7] The date of entry into force of the Protocol will be published in the Official Journal of the European Union by the General Secretariat of the Council.