Decision of the Standing Committee of the EFTA States

No 1/2000/SC

of 2 October 2000

establishing a Financial Instrument Committee

THE STANDING COMMITTEE OF THE EFTA STATES,

Having regard to the Agreement on the European Economic Area as adjusted by the Protocol adjusting the Agreement on the European Economic Area, hereinafter referred to as the EEA Agreement, and in particular Part VI thereof, and Decision of the EEA Joint Committee No 47/2000 of 22 May 2000 establishing an EEA Financial Instrument,

Having regard to the modalities of implementation as laid down in the Annex to Joint Committee Decision No 47/2000,

HAS DECIDED AS FOLLOWS:

Article 1

For the management of the EEA Financial Instrument, established by Decision of the EEA Joint Committee No 47/2000, a Financial Instrument Committee, hereinafter referred to as the Committee, is hereby established.

Article 2

Each EFTA State for which the Agreement on a Standing Committee of the EFTA States has entered into force shall be represented in the Committee and shall have one vote. The European Commission may be invited to participate in the deliberations of the Committee as appropriate.

Article 3

The Committee shall appoint a Liaison Officer who shall at the same time serve as the Secretary of the Committee. The Liaison Officer shall ensure close and continuous cooperation in particular between the Committee, the beneficiary States, the European Commission and the monitoring agents pertaining to the operation of the EEA Financial Instrument.

Article 4

Decisions by the Committee shall be taken by unanimity unless otherwise provided in its rules of procedure.

Article 5

The Committee shall take the decisions necessary for the proper functioning of the EEA Financial Instrument. It shall, in particular, approve projects for funding, approve the monitoring and payment plan for every project, supervise the overall functioning of the assistance notably on the basis of monitoring reports and authorise payments to the beneficiaries according to the payment plan on the basis of the monitoring reports.

Article 6

The Committee shall determine, on the basis of Joint Committee Decision No 47/2000, the amount of the instalments to be paid to an account established by the Financial Instrument Committee. On the basis of the principle for cost sharing agreed by the Standing Committee at its 74th meeting on 22 June 2000, the Financial Instrument Committee shall calculate the share of, and the amount to be paid by, each EFTA State. Calls for payment shall be issued by the Liaison Officer.

Article 7

The Rules of Procedure of the Committee are attached to this Decision.

Article 8

The Committee shall semi-annually submit a report on its activities and on the operation of the EEA Financial Instrument to the Standing Committee.

Article 9

This Decision shall take immediate effect.

Article 10

This Decision shall be published in the EEA section of, and in the EEA Supplement to, the Official Journal of the European Communities.

Done at Brussels, 2 October 2000.

For the Standing Committee

The Chairman

Gunnar Snorri Gunnarsson

The Secretary-General

William Rossier

ANNEX

RULES OF PROCEDURE FOR THE FINANCIAL INSTRUMENT COMMITTEE

Article 1

Members/alternates

1. Each EFTA State for which the Agreement on a Standing Committee of the EFTA States has entered into force shall have one full member on the Committee, duly appointed in writing by the respective member State's relevant authority. Each full member may have one or more alternate(s), whose name(s) shall be notified to the Committee in writing by the full member or the relevant authority by which he or she has been appointed. When acting for a member an alternate shall have the same rights and obligations as a member. Any changes in the representation shall be notified in writing to the Committee without undue delay.

2. Each member may be assisted by one or more expert(s).

Article 2

Chairman/Vice-Chairman

1. The Committee shall elect a Chairman and a Vice-Chairman for a term of one year. Each of them may be re-elected.

2. The conduct of business shall be in the hands of the Chairman.

3. Should the Chairman be absent from a meeting of the Committee, the Vice-Chairman shall take his place. Should the Vice-Chairman also be absent, the Committee shall elect a Chairman for that meeting.

Article 3

Observers

The Chairman may invite representatives of the EIB, the European Commission, the monitoring agent(s) or other relevant parties to attend meetings of the Committee as observers or providers of project information.

Article 4

Secrecy of meetings

Meetings of the Committee shall be held in private, unless the Committee decides otherwise by unanimous vote.

Article 5

Convening of meetings

Meetings of the Committee shall be convened by the Chairman after consulting the Secretary. A meeting shall also be convened, without undue delay, whenever a member so requests in writing, stating the subject to be discussed.

Article 6

Meeting place

Meetings of the Committee shall normally take place at the premises of the EFTA Secretariat in Brussels.

Article 7

Provisional agenda

The Secretary shall, in consultation with the Chairman, draw up a provisional agenda for each meeting. The invitation to the meeting and the provisional agenda shall be communicated to the members as a rule not later than one week before the meeting. The provisional agenda shall be accompanied by all necessary working documents.

Article 8

Inclusion of items on the agenda

The agenda shall include any item the inclusion of which has been requested by a member not later than 10 days before the meeting.

Article 9

Quorum

Two members shall constitute a quorum.

Article 10

Voting

1. Decisions on procedural questions shall be taken by majority vote. Other decisions shall be taken unanimously. A decision shall be regarded as taken unanimously if no member casts a negative vote.

2. However, if in a draft decision it is proposed that an application for a grant be rejected, the decision shall be regarded as taken if one member casts a positive vote.

Article 11

Representation

A member may authorise another member to vote on his behalf. The Secretary shall be notified in writing of such an authorisation before the beginning of the meeting.

Article 12

Written procedure

Decisions may be taken by written procedure if all members are in agreement thereon.

Article 13

Preparation of draft decisions on applications for grants and the written procedure for such decisions

1. Draft decisions on applications for grants shall be prepared by the Secretary and forwarded to the members together with any relevant information, sufficiently early to be decided upon within two months after submission of the application in its final and acceptable form. Receipt shall be confirmed by each member to the Secretary without undue delay.

2. Notwithstanding Article 12, the Chairman, after consulting the Secretary, shall decide whether an application shall be dealt with by written procedure or at a meeting.

3. In case of written procedure the following shall apply.

(a) If in a draft decision it is proposed that an application be approved.

- the draft decision shall be regarded as adopted if at least two members aprove it and inform the Secretary thereof within two weeks from the date it was transmitted by him,

- the draft decision shall be regarded as rejected if within the same time period any member rejects it.

(b) If in a draft decision it is proposed that an application be rejected,

- the draft decision shall be regarded as adopted if any member approves it and informs the Secretary thereof within two weeks from the date it was transmitted by him.

If the Committee has not taken a decision within two weeks from the date the draft decision was transmitted by the Secretary, a meeting of the Committee shall be convened.

Article 14

Approval of the text of a decision

The text of a decision taken by the Committee shall be approved before the end of the meeting. The text of a decision taken by written procedure shall be circulated to the members by the Secretary as soon as possible after the decision has been taken.

Article 15

Summary record

After each meeting of the Committee a summary record of the deliberations shall be made by the Secretary.

Article 16

Secrecy of the deliberations

1. The deliberations of the Committee shall be confidential.

2. Information concerning trade secrets or other confidential matters which has been submitted to the Committee shall not be revealed to any unauthorised person.

Article 17

Review of the rules of procedure

These Rules of Procedure shall be reviewed before the lapse of 12 months from their adoption.