Proposal for a COUNCIL DECISION on the conclusion of a Convention between the European Economic Community and the United Nations Relief and Works Agency for Palestine Refugees (UNRWA) concerning aid to refugees in the countries of the Near East
Date: 1993-10-14
Institutions: European Commission
Subjects: ACP-EU Convention, Middle East, Palestine question, UNO, aid to refugees, food aid

COMMISSION  OF  THE  EUROPEAN  COMMUNITIES 

COM(93) 503 final 

Brussels,  14 October  1993 

Proposal  for a 

COUNCIL  DECISION 

on the conclusion of a Convention between the 

European Economic Community  and the 

United Nations Relief  and Works Agency 

for Palestine Refugees  (UNRWA) concerning  aid to refugees 

in the countries of the Near East 

(presented  by the Commission) 

*-

EXPLANATORY  MEMORANDUM 

The  Commission  nw*de  proposals  to  the  Council  in  May  1993*)  for  a 
mandate to open  negotiations  for the  renewal of the Convention  between 
the EEC and UNRWA which has expired on 31 December 1992. 

In  accordance  with  the  decision  of  the  General  Affairs  Council  of  12 
July  1993, the  Cosamission negotiated  on  23 - 09  -  1993 with  UNRWA  the 
text of the proposed new Convention  for the period  1993 until 1995. 

As  compared  with  the  last  Convention  the  main  changes  in  the  poposed 
text,  in conformity  with the directives  for  negotiation,  are  as  follow: 
The  cash  contribution  towards  the  cost  of  UNRWA's  education  and  health 
programmes  (including  the  supplementary  feeding programme)  shall  be ecu 
30  million  for  1993,  ecu  31  million  for  1994  and  ecu  32  million  for 
1995.  In  the  framework  of  the  health  programme  UNRWA  will  introduce  a 
maternal health and family planning  programme. 

The  financial  implications  of  the  action  proposed  are  set  out  in  the 
financial annex. 

In  addition  to  this  the  "Fiche  financière"  and  an  overview  over 
expenditure under the last Convention  are annexed to this document. 

*)  SEC(93)810 

Proposal for a 

COUNCIL  DECISION 

on the conclusion of the Convention between the 
European Economic Community  and the 
United Nations Relief and Works Agency 
for Palestine Refugees  (UNRWA) concerning aid to refugees 
in the countries of the Near East 

THE COUNCIL OF THE EUROPEAN COMMUNITIES, 

Having  regard  co the Treaty  establishing  the European Community,  and  in 
particular Artxc «• 235 thereof, 

Having regard to ^he proposal  from the Commission, 

Having regard to the Opinion of the European Parliament*) 

Whereas  the  Convention  concluded  wirh  the  United  Nations  Relief  and 
Works  Agency  for  Palestine  Refugees  (UNRWA)  concerning  aid  to  refugees 
in the countries of the Near East, approved  on 23 April  1990^),  expired 
on 31 December 1992; 

Whereas  the  Community  assistance  to  UNRWA  fosters  the  campaign  against 
poverty  in  the  developing  countries  and  thereby  contributes  to  a 
sustainable  economic  and  social d€>velopment of  the  concerned  population 
and the host: countries they  live in. 

Whereas  a  nevr Convention  should  be  concluded, with  "JNRVJA  so  that  the 
Community's  aid  can  continue  to  be  provided  as part  of  a  comprehensive 
operation offering a measure of continuity; 

Whereas  continued  support  of  UNRWA  operations  would  be  likely  to 
contribute  co the; attainment of the Community objectives. 

Whereas the Treaty  does not  provide, for the  adoption of  this Decision, 
powers other than those of Article 235, 

HAS DECIDED AS FOLLOWS: 

1)  Opinion delivered on 
2)  OJ No L 118, 9.5.1990 

Article 1 

The  Convention  between  the  European  Community  and  the  United  Nations 
Relief and Works Agency  for Palestine Refugees  (UNRWA) concerning aid to 
refugees  in the countries of the Near East  is hereby  approved  on behalf 
of the  Community. 

The text of the Convention  is attached  to this Decision. 

Article 2 

The execution  of  the Community  programme  of  food  aid  to  UNRWA  shall  be 
governed  by  the  procedure  defined  in Regulation  (EEC) No  3972/863)  or, 
if appropriate by any regulation on food aid repealing  and replacing  it. 

The  President  of  the  Council  is  hereby  authorized  to  designate  the 
persons empowered  to sign the Convention  in order to bind the  Community. 

Article 3 

Done at 

For the Council 
The President 

For the Secretary-General 

3)  OJ N° L 370 of 30.12.86 pp.1 

- 4-

CONVENTION 

BETWEEN THE EUROPEAN ECONOMIC COMMUNITY 

AND THE UNITED NATIONS RELIEF AND WORKS AGENCY 

FOR PALESTINE REFUGEES  (UNRWA) 

CONCERNING AID TO REFUGEES 

IN THE COUNTRIES OF THE NEAR EAST 

Article 1 

Desirous  of  continuing  its  aid  to  Palestine  Refugees,  the  European 
Economic  Community  (hereinafter  referred  to  as  "the  Community")  hereby 
concludes  this  Convention  with  the  United  Nations  Relief  and  Works 
Agency  for  Palestine  Refugees  (hereinafter  referred  to  as  "UNRWA")  in 
order  to  confirm  its  commitment  to  a  programme  of  aid  to  UNRWA.  This 
aid  shall  take  the  form  of  contributions  in  kind  or  in  cash  extending 
over  a three-year  period  for  use under  the UNRWA  education, health  and 
feeding programmes. 

Article 2 

1. The Community  shall pay to UNRWA annually a cash contribution  towards 
the  cost  of  the  education  and  health  programmes,  including  the  cash 
component  of  the  supplementary  feeding  programme.  The  size  of  this 
contribution shall be ECU 24.2 million  in 1993, ECU 25.4 million  in 1994 
and  ECU  26.7  million  in  1995  for  the  education  programme;  ECU  5.0 
million in 1993, ECU 4.9 million in 1994 and ECU 4.7 million in 1995 for 
the  health programme; ECU  0.8  million  in  1993, ECU  0.7  million  in  1994 
and ECU 0.6  million  in 1995  for the cash component  of the  supplementary 
feeding programme. The distribution of these amounts will be amenable to 
adjustment each year depending on evidence of real needs. 

2. UNRWA shall  send the Community  each year a report on the use made of 
the Community  contribution. UNRWA  shall  also provide the Community  with 
all  the  documentation  relating  to  the  execution  of  the  education  and 
health  programmes,  including  the  supplementary  feeding  programme;  the 
detailed  accounts  of  expenditure;  and  budgetary  estimates  of  future 
expenditure  and  the  yearly  statistics  of  the  UNRWA  Departments  of 
Education and Health. 

3. UNRWA  shall  inform  the  Community  of  any  significant  changes  planned 
for the education or health services provided by the Agency. 

4.  In  the  event  of  any  significant  changes  in  the  education  or  health 
services  provided  by  UNRWA  during  the  period  of  validity  of  this 
Convention, the Community reserves the right to give its approveil to the 
use made of the funds it is making available to UNRWA. 

ARTICLE 3 

Aid for the feeding  programmes 

1.  The  community  shall  contribute  in  kind  or  in  cash  to  the  various 
UNRWA feeding programmes. 

2.  The  size and  form of  the Community  contribution  to these  programmes 
and  the  conditions  on which  aid  is  granted  shall  be  determined  by  the 
Community each year in the framework  of  its food aid programmes, on the 
basis of the requests submitted by UNRWA, with the exception of the cash 
component  of  the  supplementary  feeding  programme  (included  within  the 
health programme) which will amount to ECU  0.8 million  in 1993, ECU  0.7 
million  in  1994  and  ECU  0.6  million  in  1995,  subject  to  yearly 
adjustments as specified  in Article 2(1). 

3.  The Community shall pay the following contributions  in cash to UNRWA 
for these feeding programmes, 

- 

- 

- 

a  sum  as  a  contribution  to  the  operating  costs  of  the 
supplementary  feeding programme, as indicated, 

a sum for the purchase of products in developing countries or on 
the  local  market  in  the  event  of  an  emergency  or  non 
availability  on  the  Community  market  or  in  other  exceptional 
cases after agreement by the Community, 

a  specific  sum per  tonne  of  each  product  received  or  purchased 
by  UNRWA  under  the  programme  for  distribution  of  rations  to 
special  hardship  cases  and  the  feeding  in  training  centres 
programme,  as  a  contribution  to  transport  and  distribution 
costs. 

4.  UNRWA  shall  send  the  Community,  in April  of  each  year,  a  report  on 
the  operation  of  the  feeding  programmes,  indicating  in  particular  the 
number,  category  and  location  of  recipients  and  the  services  provided, 
the  cost  of  the programmes  and the  use made  of  Community  contributions 
in kind and in cash. 

- 6-

ARTICLE 4 

Visits 

UNRWA will  facilitate, to the  extent  of  its capabilities,  the visit  of 
the representatives of the European Community on the spot. 

ARTICLE 5 

Financial control 

UNRWA shall; 

1.  keep  financial  and  accounting  documents  concerning  the  activities 

financed by the EEC, and, 

2.  make available to the competent bodies of the EEC, upon request, all 
relevant  financial  information  including  statements  of  accounts 
concerning 

the  programme/project,  whether  they  are  executed  by  UNRWA  or  by 
subcontract ing. 

In  conformity  with  the  Financial  Regulation  of  the  European  Community, 
the  Commission  and  the  European  Court  of  Auditors  may  undertake, 
including on the spot, checks related to the operations  financed  by the 
European Community. 

Any  question  arising  out  of  this  Convention  shall  be  settled  by 
consultation between the two parties at the request of either party. 

ARTICLE 6 

ARTICLE 7 

Duration of the Convention 

This Convention shall cover a period of three calendar years 1993, 1994, 
1995. 

ARTICLE 8 

This Convention  is drawn up in duplicate  in the Danish, Dutch, English, 
French, German, Greek,  Italian, Portuguese  and  Spanish  languages, each 
version being equally authentic. 

Done at Brussels, 

For 

the United Nations Relief and 
Works Agency  for Palestine 

Refugees  (UNRWA) 

on behalf 
of the Council 
of the European Communities 

- *-

Heading B7407:  Aid to the United Nations Relief and Works Agency for 

Palestine Refugees in the Near East 

Annex  1/Part 1 

appropriations 
authorized 1993 

appropriations 
requested  1994 

%  variation 

commitments  payments 

com.s  pay.s 

30.0 

30.0 

31.0 

31.0 

com.s  pay.s 

3.3% 

3.3% 

1. Title of operation 

Aid to the United Nations Relief and Works Agency for Palestine Refugees 
in the Near East. 

2. Budget heading  involved 

Article B7-407 

3. Legal basis 

Eighth Convention between the EEC and UNRWA  to be signed  first quarter of 
1993. 

4. Description of operation 

4.1  Specific 

objectives 

of 

the 

operation 

Community cash contribution to the implementation of the United 
Mations Relief and Works Agency  for Palestine Refugees  (UNRWA) 
supplementary food aid, education and health programmes.  Measures 
include distributing warn» midday  nvB&ln,  milk  for children and 
supplementary  rations for pregnant women, nursing mothers and victims 
of tuberculosis. 

The community contribution to the UNRWA education programme will help 
provide elementary  and preparatory  level schooling  for more than 
350 000 children of Palestine refugees. 

g-

The Community contribution to the health programme will help UNRWA to 
develop its health education and family planning activities, to 
establish family planning centres, finance a programme to help the 
handicapped in a non-hospital environment and improve its diagnosis 
and guidance infrastructure. 

4.2  Duration 

The Commission is shortly to sign the 8th Convention between the EEC 
and UNRWA for the period 1993-95. 

4.3  Target  population 

Those benefiting from these measures are located in the five areas 
covered by UNRWA activities: Jordan, Syria, the Lebanon and the 
Occupied Territories of the West Bank and the Gaza Strip. 

5. Classification of expenditure or revenue 

-  Compulsory  expenditure 

Differentiated 

appropriation 

- 

Type  of  revenue: none 

6. Type of expenditure or revenue 

100% grant 

-  Grant  for  joint 

financing  with  other  sources  in  the  public  and/or 

private 

sector:  none 

- 

Interest 

subsidy:  none 

Other: none 

- 

Should  the  operation  prove  an  economic success, 
for  all  or  part  of  the  Community  contribution 

is 

there  provision 
to  be  reimbursed?  No. 

-  Will  the  proposed  operation  cause  any  change  in  the  level  of  revenue? 

If  SO/  what  sort  of  change  and what  type  of  revenue  is  involved?  No. 

*> 

7. Financial impact 

7.1  Method  of  calculating 

total 

cost 

of  operation 

for 

1994  budget 

year 

The following amounts have been allocated to finance the UNRWA 
education and health programmes under the seventh Convention between 
the EEC and UNRWA: ECU 22 million  in 1990, ECU 24 million  in 1991 and 
ECU 26 million in 1992.  The eighth Convention provides for 
expenditure of ECU 30 million  in 1993 and ECU 31 million  in 1994. 

These contributions will not be an additional burden on the Community 
budget as they will replace the contributions  in cash and in kind to 
UNRWA*s supplementary  food aid programme. 

7.2  Breakdown  by  area  of 

activity 

AREA  OF 
ACTIVITY 

Education 

Health 

Food  programme 

TOTAL 

93  BUDG 

94  PDB 

24.2 

5.0 

0.8 

30 

25.4 

4.9 

0.7 

31 

VARIATION 
IN  % 

+  5% 

-  2% 

-  13% 

3.3% 

7.3  Operation 

expenditure 

for 

studies, 

experts' 

meetings, 

etc. 

included 

in  part  B. 

93  BUDGET 

94  PDB 

VARIATION 
IN  % 

none 

none 

none 

TYPE OF 
EXPENDITURE 

Studies 

Experts' 

meetings 

Conference 
congress 

and 

Information 
publications 

and 

TOTAL 

No  of 

man/years 

A  b'-

7.4  Indicative 

schedule 

of  commitment 

appropriations 

Aggregate 
situation 
end 1992 
(1) 

Budget 
1993 

PDB 
1994 

1995 

1996 

1997 

INDICATIVE  PROGRAMMING 

536 

30 

31 

32 

33 

34 

1998 
and 
there 
after 

T 
O 
T 
A 
L 

token 
entry 

696 

(1) 

Including provision under 1991 and  1992 mini-budgets charged  under 
sub-section B8. 

- estimated amount needed: 

ECU 

million 

- period of application: 

8. What anti-fraud measures are planned  in the proponed  operation? 

Normal Commission controls. 

Under Article 3 of the Convention, UNRWA will submit an annual report to 
the Commission on the operation of the food programmes, in particular 
with regard to their cost and the use made of Community  contributions in 
cash and in kind. 

Under Articles 5, UNRWA will provides all facilities  for any Commission 
staff appointed to monitor the use of the Community  aid.  Controls will 
be carried out primarily by Commission delegates in the countries 
concerned. 

M-

9. Elements of cost-effectiveness analysis 

9.1 

Objectives 

Specific objective(s): connections with broader objectives and other 
measures proposed  in the indicative financial programming. 

The operation is intended to contribute to the financing of  food aid, 
support, education and health programmes of the United Nations Relief 
and Works Agency  for Palestine Refugees for about 2.2 million people 
in five areas where the Agency  is active: Jordan, Syria, the Lebanon, 
and the West Bank and Gaza Strip occupied by Israel. 

The Community contribution to the health programme will help UNRWA to 
develop its health education and family planning operations. 

More general objective: 

Developing cooperation with the UNRWA to meet the needs of refugees 
and improve education and health standards. 

9.2  Grounds 

for 

the 

operation 

- Cost: ECU 31 million in 1994 

The costs reflect the real needs established by the UNRWA  (which has 
been mandated by the UN to implement education  and health programmes 
for Palestine refugees in the Middle East) and are the basis of the 
Convention  signed by the EEC and the UNRWA. 

The Community  contribution to the UNRWA under the abovementioned 
Convention represents around 20% of the total cost of the UNRWA 
programme for refugees and  is for the purpose of  improving  health and 
education  standards for 2 200 000 refugees in the Middle East. 

-  spin-off effect  (impact beyond the specific  objectives): 

Humanitarian measures likely to contribute to the economic and 
social stability of the region. 

- multiplier effect: ability to mobilize other  forms of finance. 

At-

9.3  Monitoring  and  evaluation  of  the  operation 

- 

Performance 
Convention. 

indicators 

selected: 

these are established in the UNRWA 

-  Details  and frequency  of  planned  evaluation:  UNRWA annual reports 

-  Assessment  of  operation  results: 

improved situation for the? 

refugees. 

9.4  Coherence  with  financial  programming 

- 

- 

Is  the  operation 
for 

the  years  concerned?  Yes. 

incorporated 

in  the  financial  programming of  the  DG 

To  which  broader  objective  defined 
does  the  objective  of  the  proposed  operation  correspond? 
Humanitarian measures. 

in  the  DG's  financial  programming 

-  What are  the  main  factors  of  uncertainty 

that  could  affect 

the 

specific 

results  of  the  operation?  None. 

10 Administrative expenditure  (part A of the Budget) 

This section will be sent to DG XIX and DG IX;  DG IX will then  forward 
it to DG XIX together with its opinion. 

10.1  Will  the  proposed  operation 

involve  an  increase 

in  the  number of 

Commission staff? 

If  so,  how  many? 

10.2 

Indicate 
involved 
calculation. 

the  amount of  staff  and  administrative 
in  the  proposed  operation. 

Explain 

expenditure 

the  method  of 

-  4~6~ 

Annex 2 

Expenditure under past  Convention. 

Table 1 

Estimated  EEC  contributions  under  the  Convention  to  UNRWA's  regular 
programmes  in 1990, 1991 and 1992 in million ecus 

Cash for Education Programme 

21.0 

22.0 

1990 

1991 

1992 

23.0 

Cash for Health Programme 

1.0 

2.0 

3.0 

Cash contribution for 
Supplementary  Feeding Programme 

Food products 
(in value, at world prices, 
delivered  free at destination) 

3.4 

2.7 

2.0 

14.8 

16.5 

16.5 

Distribution  costs 

0.5 

1.0 

0.6 

Total 

40.7 

44.2 

45.1 

Estimated  EEC  contributions  to  UNRWA's  extraordinary  programmes  in 
1990, 1991 and 1992 in million ecus  (outside the Convention) 

Table 2: 

EMLOT 
(Extraordinary measures in Lebanon and 
the Occupied Territory of the West  Bank 
and Gaza) 

1990 

1991 

1992 

0.87 

12.0 

1.4 

Distribution costs 

1.8 

0.05 

Total 

0.87 

13.8 

1.45 

A  i, 

Table 3 
Summary of Tables  1 and 2 

Estimated EEC contributions to UNRWA's  food aid  programmes 

regular programme under the Convention  (Table I) 
extraordinary measures  (Table II) 
(in million ecus for 1990, 1991 and 1992) 

Cash contribution for 
supplementary  feeding programme 

Food Products 
(in value, at world prices, 
delivered  free at destination) 

Distribution  costs 

1990 

1991 

1992 

3.4 

2.7 

2.0 

14.8 

16.5 

0.5 

1.0 

16.5 

0.6 

EMLOT 
(Extraordinary measures in Lebanon and 
the Occupied Territory of the West Bank 
and Gaza) 

12.0 

1.4 

Distribution  costs 

1.8 

0.05 

18.7 

34.0 

20.551) 

1)  The lower  amount of 20.55  in 1992 can be explained  by  the  fact that 
the Community was not able to satisfy UNRWA's  extraordinary  food aid 
requirements  which  were  e»qual to  those  in  1991  and  presumably  wil] 
be similar  in subsequent years. 

A% 

FINANCIAL  ANNEX 

1.  Relevant  budgetary  lines  (Budget  1993) 

Food  aid  programme  : Budgetary  lines  within  Chapter  7-20 

Cash  contributions  :  B7-407:  Aid  to  the  United  Nations  Relief  and 
Works  Agency  for  Palestine  Refugees  in the  Near  East 

2•  Description  of  Action 

Establishment  of  a  new  Convention  between  the  EEC  and  UNRWA  for  the 
allocation  of  food  aid  in  kind  and  in  cash  for  the  Agency's  feeding 
programmes  and  a  cash  contribution  for  the  UNRWA  education,  health 
and  supplementary  feeding  programmes. 

3.  Legal  Base 

Article  235  of  the  Treaty  establishing  the  European  Economic 
Community.  Regulations  (EEC)  no  3972/86  and  no  1930/90. 

4.  Financial  implications 

The  amounts  proposed  towards  the  financing  of  UNRWA's  Education  and 
Health  and  Supplementary  Feeding  programmes  under  the  eighth  EC-
UNRWA  Convention  are:  ecu  30  million  for  1993,  ecu  31  million  for 
1994,  ecu  32 million  for  1995  in  accordance  with  the  General  Affairs 
Council  of  12 July  1993. 

The  size  and  content  of  the  aid  to  UNRWA  for  the  feeding  programmes 
will  be  decided,  as  in  the  past,  following  the  procedure  defined  in 
Regulations  (EEC)  no  3972/861)  and  no  1 9 3 0 / 9 02). 

1)  OJ  N°  I. 370/86  of  30.12.86  pp.1-4 
2)  OJ  174/90  of  7.7.1990  pp.6-7 

-Ai-

ISSN 0254-1475 

COM(93) 503 final 

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