[pic] | COMMISSION OF THE EUROPEAN COMMUNITIES |

Brussels, 21.03.2006

COM(2006) 138 final

2006/0044 (AVC)

Proposal for a

COUNCIL DECISION

on the signing of the Stabilisation and Association Agreement between the European Communities and its Member States and the Republic of Albania on behalf of the European Community

Proposal for a

COUNCIL AND COMMISSION DECISION

on the conclusion of the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the Republic of Albania, of the other part

(PRESENTED BY THE COMMISSION)

EXPLANATORY MEMORANDUM

1. The attached two proposals constitute the legal instruments for the signature and the conclusion of the Stabilisation and Association Agreement between the European Communities and their Member States, on the one part, and the Republic of Albania, hereinafter called Albania, on the other part: (i) Proposal for a Council Decision for the signature of the Agreement; (ii) Proposal for a Council and Commission Decision for the conclusion of the Agreement.

2. Albania’s relations with the European Community are now covered by the Trade, Commercial and Economic Co-operation Agreement which was signed in May 1992 and entered into force on 4 December 1992.

3. The Commission adopted on 6 June 2001 a report from the Commission to the Council on the work of the EU/Albania High Level Steering Group, in preparation for the negotiation of a Stabilisation and Association Agreement with Albania (ref. COM(2001)300). The report concluded that the perspective of opening Stabilisation and Association Agreement negotiations was the best way of helping to maintain the momentum of political and economic reform, and of encouraging Albania to continue its constructive and moderating influence in the region. On this basis, the report recommended the opening of negotiations for such an agreement. The Commission’s recommendation to the Council for negotiating directives was adopted and transmitted to the Council on 10 December 2001. The Council adopted the negotiating directives on 21 October 2002.

4. The negotiations were launched by the Commission in Tirana on 31 January 2003. Following seven official rounds of negotiation, the Stabilisation and Association Agreement was initialled in Tirana on 18 February 2006.

5. The Stabilisation and Association Agreement focuses on the following main elements:

- provision for political dialogue with Albania;

- provisions on enhanced regional co-operation, including the perspective of establishing free trade areas between the countries of the region;

- the perspective of the establishment of a free-trade area between the Community and Albania within ten years of the entry into force of the Agreement;

- provisions on the movement of workers, freedom of establishment, supply of services, current payments and movement of capital;

- the commitment by Albania to approximate its legislation to that of the EC, notably in key areas of the internal market;

- provisions on co-operation with Albania in a wide range of fields, including justice, freedom and security.

- provision for the establishment of a Stabilisation and Association Council which supervises the implementation of the Agreement, of a Stabilisation and Association Committee and a Stabilisation and Association Parliamentary Committee.

6. The Stabilisation and Association Agreement will replace the Trade, Commercial and Economic Co-operation Agreement between the European Community and Albania. The more favourable trade concessions granted by Council Regulation (EC) No 2007/2000 of 18 September 2000 introducing exceptional trade measures for countries and territories participating in or linked to the European Union's Stabilisation and Association process, amending Regulation (EC) No 2820/98, and repealing Regulations (EC) No 1763/1999 and (EC) No 6/2000[1] will continue to apply, in parallel to the Stabilisation and Association Agreement.

7. The Commission asks the Council to approve the results of the negotiations, which were undertaken in close consultation with the Special Committee created for this purpose (namely COWEB), and to engage the procedures for the signature and conclusion of this Agreement on the basis of the attached two proposals.

8. The procedures for the signature and the conclusion of the Agreement are different for the two European Communities: (the European Community and the European Atomic Energy Community):

a) as regards signature, the first indent, first sentence of Article 300 (2) of the EC Treaty provides for a separate Council Decision concerning the signing of the Agreement on behalf of the European Community; similar acts are not required under the EAEC Treaty

b) as regards conclusion of the Agreement:

- The Council concludes the Agreement on behalf of the European Community, after having received the assent of the European Parliament, by virtue of Article 310 of the Treaty;

- The Council approves the Agreement on behalf of the European Atomic Energy Community by virtue of the second paragraph of Article 101 of the EAEC Treaty and the Agreement is then concluded by the Commission;

9. In line with the above the Commission requests the Council to (i) decide on the signature of the Agreement on behalf of the European Community (ii) conclude the Agreement on behalf of the European Community and to give its approval for conclusion by Euratom.

Ratification by all Member States is a prerequisite for the entry into force of the Agreement.

Proposal for a

COUNCIL DECISION

on the signing of the Stabilisation and Association Agreement between the European Communities and its Member States and the Republic of Albania on behalf of the European Community

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 310 in conjunction with the first sentence of the first sub paragraph of Article 300 (2) thereof,

Having regard to the proposal from the Commission[2],

Whereas:

1. Negotiations with Republic of Albania on the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and Albania, of the other part, have been completed.

2. The commercial provisions contained in this agreement are of an exceptional nature, connected with the policy implemented within the framework of the Stabilisation and Association Process and will not constitute, for the European Union, any precedent in the commercial policy of the Community with regard to third countries other than those of the Western Balkans.

3. Subject to a possible conclusion at a later date, the Agreement initialled on 18 February 2006 should therefore be signed on behalf of the European Community,

HAS DECIDED AS FOLLOWS:

Sole Article

Subject to its possible conclusion at a later date, the President of the Council is hereby authorised to designate the persons empowered to sign, on behalf of the European Community, the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the Republic of Albania, of the other part.

Done at Brussels,

For the Council

The President

2006/0044 (AVC)

Proposal for a

COUNCIL AND COMMISSION DECISION

on the conclusion of the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the Republic of Albania, of the other part

THE COUNCIL OF THE EUROPEAN UNION,THE COMMISSION OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European Community, and in particular Article 310 in conjunction with Article 300 (2), first subparagraph, last sentence and Article 300 (3), second subparagraph thereof,

Having regard to the Treaty establishing the European Atomic Energy Community, and in particular the second paragraph of Article 101 thereof,

Having regard to the proposal from the Commission,

Having regard to the assent of the European Parliament[3],

Having regard to the approval of the Council granted pursuant to Article 101 of the Treaty establishing the European Atomic Energy Community,

Whereas

(1) The Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the Republic of Albania of the other part, has been signed on behalf of the European Community, in [Brussels/Luxembourg] on ... 2006, subject to its possible conclusion at a later date, in accordance with Council Decision no… /CE of …[4].

(2) The commercial provisions contained in this agreement are of an exceptional nature, connected with the policy implemented within the framework of the stabilisation and association process and will not constitute, for the European Union, any precedent in the commercial policy of the Community with regard to third countries other than those of the Western Balkans.

(3) This Agreement should be approved,

HAVE DECIDED AS FOLLOWS:

Article 1

The Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the Republic of Albania, of the other part, the Annexes and Protocols annexed thereto, as well as the joint declarations and the declaration by the Community attached to the Final Act, are hereby approved on behalf of the European Community and the European Atomic Energy Community.

The texts referred to in the first paragraph are attached to this Decision.

Article 2

1. The position to be taken by the Community within the Stabilisation and Association Council and within the Stabilisation and Association Committee when the latter is empowered to act by the Stabilisation and Association Council shall be determined by the Council, on a proposal by the Commission, or, where appropriate, by the Commission, each in accordance with the corresponding provisions of the Treaties.

2. The President of the Council shall, in accordance with Article 117 of the Stabilisation and Association Agreement, preside over the Stabilisation and Association Council. A representative of the Commission shall preside over the Stabilisation and Association Committee, in accordance with the Rules of Procedure thereof.

3. The decision to publish the decisions of the Stabilisation and Association Council and the Stabilisation and Association Committee in the Official Journal of the European Communities shall be taken on a case-by-case basis by the Council and the Commission respectively.

Article 3

The President of the Council is hereby authorised to designate the persons empowered, on behalf of the European Community, to deposit the act of approval provided for in Article 135 of the Agreement. The President of the Commission shall deposit the said act of approval on behalf of the European Atomic Energy Community.

Done at Brussels,

For the Council For the Commission

The President The President

[1] OJ L 240, 23.9.2000, p. 1. Regulation as last amended by Regulation (EC) No 1946/2005 (OJ, L 312, 29.11.2005, p.1).

[2] OJ C , , p. .

[3] OJ C , , p. .

[4] OJ C , , p. .