Proposal for a COUNCIL REGULATION (EC) introducing registration for crude oil imports and deliveries in the Community
Date: 1995-09-06
Institutions: European Commission
Subjects: crude oil, delivery, exchange of information, import

COMMISSION OF THE EUROPEAN  COMMUNITIES 

Brussels,  06.09.1995 
COM(95) 89  final 

Proposal  for a 

COUNCIL REGULATION (EC) 

introducing  registration  for  crude oil  imports  and deliveries  in  the  Community 

(presented by the Commission) 

EXPLANATORY  MEMORANDUM 

1. 

2. 

4. 

On 28 August  1979, following the events in Iran, the Council adopted Regulation 
imports  in  the 
(EEC)  No  1893/79  introducing  registration  for  crude  oil 
Community.  A similar system was set up by the International  Energy Agency. 

In adopting Regulation (EEC) No 2592/79, as last amended by Regulation (EEC) 
No  1370/90, the Council laid down rules for carrying out the registration of crude 
oil  imports in the Community. 

The basic Regulation (EEC) No  1893/79 and the supplementary Regulation (EEC) 
No 2592/79  laying  down the  rules for  carrying out the registration  of  crude oil 
imports  expired  on  31 December  1991.  However,  the  Member  States  have 
continued  to communicate information  to the International  Energy Agency 

These  arrangements,  which  were  established  with  the  objective  of  monitoring 
market price developments in periods of tension, could also at other times enable 
information  on the Community's crude oil  supply  costs to be obtained rapidly. 
Given  that  is  now  essential  to  have  on  an  ongoing  basis  a  global  view  of 
Community  oil  supply,  it  accordingly  appears  that these  arrangements  be  once 
again put in place. 

This would not place any additional burden on Member States insofar as they are 
already  involved  with  the  other  industrialised  countries  represented  in  the 
International Energy Agency in efforts to improve their understanding of how the 
market functions. 

Following the diversification of the Community's supplies in recent years and after 
consultation  and with the agreement of the Member States' authorities,  it is now 
proposed that the list of crude oils for which imports are to be registered should 
be extended.  The new arrangements should therefore satisfy  the requirements of 
the national  authorities and of the International  Energy  Agency. 

Since fuel  quality plays an important role in reducing air pollution, it is proposed 
that the Member  States should  supply  information  about the  sulphur  content of 
imported crude oils. 

^3 

PROPOSAL  FOR A COUNCIL REGULATION  (EC) 

introducing  registration  for  crude oil  imports  and  deliveries  in the  Community 

THE COUNCIL  OF THE EUROPEAN  UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article 213 thereof, 

Having  regard  to the  proposal  from  the  Commission, 

Whereas the establishment of a common energy policy is one of the objectives which the 
Community  has set itself;  whereas it is for  the Commission  to propose the measures to 
be taken to that  end; 

Whereas security  of  supply  at stable prices is one of the main objectives  of that policy; 

Whereas market transparency  is desirable; 

Whereas, in view of the supply  situation and in order to stabilize the Community  market 
and ensure that abnormal  world  market fluctuations  do not have an unfavourable  impact 
on the Community  market, the Member  States and the Commission  should be  informed, 
at regular  intervals,  about crude oil  supply costs; 

Whereas,  by  means  of  Regulation  (EEC)  No  1893/79,1 as last  amended  by  Regulations 
(EEC) No 4152/88,2 and (EEC) No 1370/903 the Council introduced arrangements for the 
registration  of  crude oil  imports in the  Community; 

Whereas, by  means  of Regulation  (EEC) No  2592/79,4 as last  amended  by  Regulations 
(EEC) No 4152/88 and (EEC) No  1370/90, the Council laid down rules for  carrying out 
the registration  of cuuie oil imports in the Community provided for in Regulation  (EEC) 
No  1893/79; 

Whereas those Regulations  expired  on  31 December  1991;  whereas the rules that they 
laid  down  should  be  reintroduced,  while  adapting  them  to  the  trading  conditions 
prevailing  on  international  oil  markets  and  the  objective  of  maintaining  or  improving 
environmental  quality;  whereas the reporting  requirements  should  be aligned,  as far  as 
possible,  on the requirements  of the national  authorities  and of the International  Energy 
Agency, 

OJNoL220,  30.8.1979,  p. 1. 
OJNoL367,  31.12.1988, p. 7. 
O J N oL  133, 2^.5.1990,  p.l. 
OJNoL297,  24.11.1979,  p.  1. 

Hi 

Article  1 

Any  person  or undertaking  importing  crude oil  from  third countries  or receiving  a crude 
oil  delivery  from  another  Member  State  shall  be  obliged  to  provide  information  to  the 
Member  State  in which  he  is  established  concerning  the characteristics  of  the  imports or 
deliveries. 

Article  2 

On the basis  of  the  information  referred  to  in  Article  1, Member  States  shall,  at regular 
intervals, forward  to the Commission  such information  as will  enable a true picture to be 
obtained  of  the  developments 
in  the  conditions  under  which  the  imports  or  deliveries 
have  taken  place. 

This  information  shall  be  circulated  to  the  Member  States. 

Article  3 

The information  collected and forwarded pursuant to this Regulation  shall be  confidential. 

This provision  shall  not prevent the publication  of general  information  or information  in 
summary  form  which  does  not  contain  details  relating  to  individual  undertakings. 

Article  4 

1.  The  information  which  persons  or  undertakings  are  obliged  to  communicate  to  the 
Member  State  in  which  they  are  established  shall  relate  to  each  import  or  delivery  of 
crude  oil  at a specific  price. 

2.  "Import" means  each  quantity  of  crude  oil  which  enters  the  customs  territory  of  the 
Community  for  purposes  other than  transit.  "Delivery" means  each  quantity  of  crude  oil 
coming from  another Member  State for purposes other than transit.  Imports or deliveries 
carried  out  on  behalf  of  companies  situated  outside  the  importing  country  and  intended 
for refining  under contract and subsequent export in their entirety  in the form  of products 
shall  be  excluded. 

3.  However,  oil  extracted  from  the  seabed  over  which  a  Member  State  exercises 
exclusive  rights  for  the  purposes  of  exploitation  shall  not  be  considered,  when  it  enters 
the  customs  territory  of  the  Community,  as  being  an  import  within  the  meaning  of 
paragraph  2. 

Article  5 

For  the  purposes  of  Article  1 of  this  Regulation,  the  characteristics  of  each  import  or 
delivery  of crude  oil  into  a Member  State shall  include: 

the designation  of the  crude  oil, including the API gravity, 
the quantity  in barrels, 
the cif  price paid  per  barrel, 
the percentage  sulphur  content. 

Article 6 

The  information  referred  to in  Articles 4 and  5 shall  be forwarded  to the  Member  State 
concerned  in  respect  of  each  period  not  exceeding  one month. 

Article 7 

The  information  which  Member  States  are  obliged  to  communicate  to  the  Commission 
pursuant  to  Article  2  shall  be  forwarded  within  one  month  of  the  end  of  each  month 
referred  to in Article  6 of this Regulation.  This information  shall  consist,  for  each  type 
of crude oil, of an aggregation of the data which the Member States receive from  persons 
and undertakings.  For  each  type of crude oil, the information  shall  comprise: 

the designation  of the  crude oil, including the average API gravity, 
the quantity  in barrels, 
the average  cif price, 
the number  of companies  reporting, 
the percentage  sulphur  content. 

Article 8 

1. 

2. 

The Commission  shall analyse the information  gathered pursuant to Article  7 and 
communicate  it to the Member  States each  month. 

The  Member  States  and  the  Commission  shall  consult  each  other  at  regular 
intervals at the request of a Member State or on the initiative of the Commission. 
Such  consultations  shall  relate  in  particular  to  the  communications  from  the 
Commission  referred  to in  paragraph  1. 

Consultations  may  be  organized  with  international  organizations  and  third 
countries  which  have  set  up similar  information  systems. 

Article 9 

1. 

2. 

3. 

The information  communicated  pursuant to Article  4 and the information  provided 
for  in  Article  7  shall  be  confidential.  This  provision  shall  not,  however,  prevent 
the  distribution  of  information  in  a form  which  does  not  disclose  details  relating 
to  individual  undertakings,  i.e.  which  refers  to  at  least  three  undertakings. 

The  information  forwarded  to  the  Commission  on  the  basis  of  Article  7  and  the 
communications  referred  to  in  Article  8(1)  can  only  be  used  for  the  purposes  of 
Article  8(2). 

If  the  Commission  discovers,  in  the  information  communicated  to  it  by  the 
Member  States  in  accordance  with  Article  7,  the  existence  of  anomalies  or 
inconsistencies  which  prevent  it from  obtaining  a true  picture  of  developments  in 
the  conditions  under  which  imports  and  deliveries  have  taken  place,  it  may  ask 
the  Member  States  to  allow  it  access  to  the  relevant  unaggregated  information 
provided  by  the  undertakings  and  the calculation  and  assessment  procedures  used 
to  arrive  at  the  aggregated  information. 

Article  10 

The  Commission  shall,  after  consulting  the  Member  States,  adopt  detailed  rules  for 
implementing  this  Regulation. 

Article  11 

This Regulation  shall  enter  into  force  on the day  of  its publication  in the Official  Journal 
of  the  European  Communities. 

This  Regulation  shall  be  binding  in  its  entirety  and  directly  applicable  in  all  Member 
States. 

Done  at  Brussels, 

For  the  Council 
The  President. 

GOVERNMENT  REPORTING  TO THE  COMMISSION 
ON CRUDE  OIL  IMPORTS  AND  DELIVERIES 

Type  of  crude 
oil  (API) 

Volume 
(1000  Brl) 

Cif  price 
(US*/Brl) 

API  density 

%  Sulphur 

Number  of 
companies 

a 

COMMUNICATION  DES ETATS MEMBRES A LA COMMISSION  SUR LES  IMPORTATIONS ET LES LIVRAISONS DE PETROLE BRUT 

Type de Pétrole Brut  (API) 

Volume 
(1000 Brl) 

Prix CAF 
(USVBrl) 

Densi té 
API 

X 
Soufre 

Nombre de 
compagnies 

(31) 

Murban  (40) 
Umm Shaif  (37) 
Upper  Zakum(34) 
Lower  Zakum  (40) 
Other 

Abu Dhabi 
Abu Dhabi 
Abu Dhabi 
Abu Dhabi 
Abu Dhabi 
Dubai  - Dubai 
SharJah 
Iran -  Iranian Light  (34) 
Iran -  Iranian Heavy  (31) 
Iran - Other 
Iraq - Basrah Light  (34) 
Iraq - Kirkuk  (36) 
Iraq - Other 
Kuwait - Blend  (30-31) 
Oman - Oman  (34) 
Qatar  - Mar ine (40) 
Qatar - Land  (41) 
Saudi Arabian - Light  (33-34) 
Saudi Arabian - Medium  (30-31,5) 
Saudi Arabian - Heavy  (27-28) 
Saudi Arabia - Berri  (37-38) 
Saudi Arabia - Other 
Syria - Light  (36) 
Syr ia - Souedie  (24) 
Yemen - Other 
Middle East - Other 
Algeria - Saharan Blend  (44) 
Alger ia - Other 
Angola -
Angola -
Cameroon 
Congo 
Egypt 
Egypt 
Gabon 
Gabon 

Medium/Light  (30-40) 
Heavy  (<30) 
Rabi/Rabi  Kounga  (34) 
Other 

Cabinda  (32) 
Other 

k 

Libya  - Light  (40) 
Libya  - Medium  (30-40) 
Libya  - Heavy  (<30) 
Nigeria  - Medium  (<33) 
Nigeria  - Light  (33-45) 
Nigeria  - Condensate  (>45) 
Tun i s i a 
Zaire 
Afr ica - Other 
Indonesia - Other 
Russia  - Urals  (32) 
Russia  - Other 
Azerba i Jan 
Kazakhstan 
Ukraine 
FSU - Other 
Denmark  (33-34,5) 
Norway  - Stratfjord  (38) 
Norway  - GulIfaks  (29) 
Norway  - Oseberg  (34) 
Norway  - Ekofisk  (43) 
Norway  - Other 
United  Kingdom  - Brent  Blend  (37-38) 
United  Kingdom  - Forties  (39-40) 
United  Kingdom  - Flotta  (34,7) 
United  Kingdom  - Other 
Europe - Other 
Ecuador  - Oriente  (29) 
Ecuador  - Other 
Mex ico - Maya  (22) 
Mexico  Isthmus  (34) 
Mexico - Olmeca  (40) 
Venezuela  - Light  (>30) 
Venezuela  - Medium  (22-30) 
Venezuela  - Heavy  (17-22) 
Latin America  - Other 
Other  Crudes 

T O T AL 

ISSN 0254-1475 

COM(95) 89 final 

DOCUMENTS 

EN 

12  14 

Catalogue number  : CB-CO-95-101-EN-C 

ISBN 92-77-86847-3 

Office for Official Publications of the European Communities 

L-2985 Luxembourg