WRITTEN QUESTION E-0319/03

by Dominique Souchet (NI) to the Commission

(10 February 2003)

Subject: Removal of Cyprus and Malta from the Black List in the Paris Memorandum

The Cypriot and Maltese flags are flags of free registration and are still deemed to be flags of convenience since they continue to appear on the Black List in the Paris Memorandum.

Cyprus and Malta are, however, countries applying for accession to the European Union. One condition for accession is that an applicant country must bring its legislation into line with the acquis communautaire. That being the case, Cyprus and Malta have undertaken to comply with European maritime legislation. As far as I am aware, they have asked, in that connection, for neither a transitional period nor a derogation.

According to its Regular Report for 2002, the Commission notes that, despite the progress made in the field of maritime safety, Cyprus and Malta must continue their efforts to have their names removed from the Black List.

Can the Commission answer the following:

1. What progress has been made by Cyprus and Malta in the transposition of the acquis communautaire in the maritime field?

2. Has a timetable for implementation been drawn up? If so, are the countries referred to complying with it?

3. What is the degree of actual implementation of the legislation? Do Cyprus and Malta really have the resources for and the determination to achieve rapid implementation?

4. When and how will Cyprus and Malta become signatories to the Paris Memorandum?

5. What undertakings have Cyprus and Malta given in relation to the campaign against flags of convenience?

6. What (tax and social) concessions are still being granted by Cyprus and Malta? What undertakings have Cyprus and Malta given in relation to tax concessions?

7. What is the average age of their respective fleets?

8. How will the Commission persuade Cyprus and Malta to comply at the earliest possible date with Community and international legislation?

Answer given by Mrs de Palacio on behalf of the Commission

(18 March 2003)

As regards the transposition of the acquis communautaire, as mentioned in the regular report for 2002, Cyprus and Malta have made progress on the transposition of maritime legislation since the regular report for 1998 for Cyprus and the Commission opinion of 1999 for Malta. In the case of Cyprus, the regular report for 2002 concluded that much of its maritime transport legislation was in line. As regards Malta, the regular report for 2002 mentioned that, in spite of some progress in the legislative sphere, there was a need to transpose major areas of the acquis and continue efforts in this direction.

The Commission points out that there are timetables which form part of the commitments entered into during accession negotiations. As stated in the document Towards the enlarged Union strategy paper and report of the European Commission on the progress towards accession by each of the candidate countries(1), the Commission continues to closely monitor the situation in the Member States regarding their commitments and reports on this to the Council on the basis of current procedures. This continuous monitoring should be done through established channels such as the structures of the association agreements. Building on its present practice, the Commission will signal any delays or problems in the fulfilment of commitments.

The will and the means employed by Cyprus and Malta to transpose and implement the acquis in the field of maritime transport can be seen in the administrative capacity put in place to this end. In this connection, the regular report for 2002 concluded that Cyprus has made significant progress as regards strengthening the administrative capacity of the mercantile marine department and improving safety standards, while stressing that more efforts are still needed as regards staffing in these two areas. As regards Malta, the regular report for 2002 concluded that it has made a substantial effort to increase administrative capacity but must continue its efforts to improve safety standards. An assessment of the undertakings given by these two candidate countries regarding their administrative capacity forms part of the continuous monitoring referred to above.

As regards the Paris Memorandum, Cyprus and Malta have already expressed their intention to become signatories. To this end, their administrations have requested the Secretariat of the Paris Memorandum for information concerning the procedure to be used for acceding as cooperative members. Discussions were held in 2002 on this subject.

However, according to the information available, neither of the two administrations has so far presented a formal request for accession or transmitted a self assessment of its compliance with the criteria laid down in Article 8(2) of the Memorandum relating among other things to their capability and performance in terms of flag state control and port state control, which is the first stage of the accession procedure.

It should be pointed out that the campaign against flags of convenience concerns vessels not meeting Community and international standards in terms of working conditions and safety. The checks aimed at identifying such vessels are covered by the acquis communautaire, the transposition and implementation of which in Cyprus and Malta are being monitored by the Commission.

The State aid schemes for maritime transport in Malta and Cyprus have the same basic characteristics of tonnage taxes as those existing in EU countries. It should be pointed out in this connection that the 1997 Community guidelines on State aid for maritime transport allow tax and social charge concessions for shipowners and seafarers which may extend to zero rating of the charges in question.

According to the 2001 statistics produced by the Institute of Shipping, Economics and Logistics in Bremen, the average age of vessels of 1 000 gross tonnes (gt) or more, of all types, is 17,9 years for Cyprus and 23,4 years for Malta. It should, however, be pointed out that the safety of vessels is only partially determined by their age and other factors, including their maintenance, have a major influence on the general condition of the vessel and thus on its level of safety. For this reason the annual rate of detention of vessels sailing under the Cypriot and Maltese flags (provisional figures for 2002: 7,68 % and 7,61 % respectively, compared with 8,85 % and 9,48 % in 2001 and 11,8 % and 9,7 % in 2000) gives a more accurate picture of their safety level.

Since March 2000, the Commission has planned and implemented a number of pre-accession aid projects aimed at increasing the administrative capacity for implementing the acquis in the field of maritime safety in Cyprus and Malta. The total amount of such projects is around EUR 4 million. Moreover, throughout 2003 and up to the accession of those countries in May 2004, the Commission will continue to monitor progress achieved with regard to both the implementation of these projects and the commitments made on maritime safety. This monitoring process is being carried out by means of various structures (association committees, monitoring missions, joint committee for monitoring pre-accession projects). It will be the subject of interim reports, with specific follow-up of the most important points with the countries concerned. An overall monitoring report is scheduled for the end of 2003. Apart from that report, the Commission will continue to provide Parliament, in particular through the Joint Parliamentary Committees, with information on the implementation of Community legislation by the two countries concerned during the period preceding ratification of the Accession Treaty.

(1) COM(2002) 700 final.