COMMUNICATION FROM THE COMMISSION TO THE COUNCIL AND THE EUROPEAN PARLIAMENT - "EXPO 98"
Date: 1996-11-13
Institutions: European Commission
Subjects: EU financing, European Community, Portugal, ocean, trade event

COMMISSION OF THE EUROPEAN  COMMUNITIES 

Brussels,  i3.n.i996 
COM(96)  562  final 

COMMUNICATION  FROM  THE  COMMISSION 
TO THE COUNCIL  AND THE EUROPEAN  PARLIAMENT 

"EXPO 98" 

wiw  'Summary 

In  1998, Portugal  is organising  in Lisbon from 22 May to 30  September  an  international  exhibition 
with the theme "The Oceans, a Heritage for the Future". This will be the last international exhibition of 
the twentieth century and will be the first international exhibition to be organised by Portugal  since it 
has been a member of the European Union. 

Participation  of the Commission  at World Expo  '98 offers  an exceptional  opportunity  to  inform  the 
expected 8 million visitors, both EU citizens and overseas visitors, of the role of the European Union at 
the end of the twentieth  century.  In the  selected  theme of the exhibition,  the oceans, the  European 
Union has much to inform about as a broad range of EU policies are closely linked to issues involving 
the sea. 

The Member States are to be represented  in a grouping at the exhibition  and the EU's presence will 
complement the national presentations. The EU's presence in Lisbon will offer  a major occasion for the 
European institutions to inform citizens of their activities. 

It is proposed that the European Union participates at Expo '98 in Lisbon on the basis of the proposal 
described in this communication. 

1. 

The theme of the exhibition 

The selected theme is "The Oceans, a Heritage for the Future". It is clear that for Europe, the 
oceans  surrounding  its  coasts  and  regions  have  played  an  important  role  in  its  historical, 
cultural  and  economic  development.  The  selection  of  the  ocean  theme  by  the  Portuguese 
organisers  is timely  as  1998 marks  the  international  year  of the  oceans.  The  organisers  are 
expecting several major sub-themes to be illustrated as part of the overall approach, notably the 
integration  of oceans and their resources in the  process  of development,  the  heritage  of the 
oceans and how they have moulded our  current  world  and what  should be preserved  of the 
oceans for future generations. Of particular interest to the organisers and to the visiting public 
will be the development of new policies for the world's oceans and their resources. 

2. 

The exhibition site 

The  site  of  the  exhibition  will  cover  60  hectares  of  land  to  the  east  of  Lisbon,  some five 
kilometres from the centre of the city. The southern  side of the  site is bordered  by the  river 
Tagus and therefore presents a natural marine location which underlines the theme selected for 
1998. The site also presents a major  commitment  to  urban  renewal  as much of the area is a 
former industrial location used by the fuel and petro chemical industry. Surrounding the site is a 
further  310 hectares of land which is currently undergoing  redevelopment  and  industrial and 
urban renewal. Much of this work has been funded by the regional and cohesion funds. 

At the end of Expo '98 the exhibition site will become a new exhibition centre for Lisbon and 
will create a new and attractive facility for the city. 
The participants 

3. 

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The organisers  foresee  that  there will be  115-125 participating  countries at  World  Expo '08. 
The number of visits has been projected  at a figure of  14 million. All EU Member States have 
indicated  officially  or  unofficially  that  they  will  participate  in  modules  supplied  by  the 
organisers. 

4. 

Participation of the Commission 

Since  1958,  the  European  institutions  have  participated  in  universal  and  international 
exhibitions. Bruxelles  1958, Turin  1961, Seattle  1962, Munich  1965, Montreal  1967, Osaka 
1970, Okinawa  1975, Knoxville  1982, New Orleans  1984, Tsukuba  1985, Vancouver  1986, 
Brisbane 1988, Genoa 1992, Seville 1992 and Taejon  1993. The international exhibitions were 
governed by the rules of the Bureau  of International  Exhibitions which is responsible for  the 
implementation of the Convention of Paris (1928) on universal and international exhibitions. 

Under the rules of the Convention,  official  participants  are invited  by the government  of the 
host country. 

The Commission was invited to take part at the Expo by the Portuguese Prime Minister and in 
this manner is considered an official  participant under the terms of the Convention of Paris. In 
reply  to  this  invitation  President  Santer  indicated  in  his  letter  of  29  March  1995  that  the 
exhibition  was  a  priority  for  the  Commission  and  gave  an  agreement  in  principle  on 
participation, subject to the decision of the budgetary authority in the context of the  1997 and 
1998 preliminary draft  budgets. President  Santer reiterated  the Commission's commitment  to 
participation in a further letter to the Portuguese Prime Minister on 19 July 1996. 

5. 

Specific reasons for being in Lisbon 

In view of the fact that a European Union member is host of this international exhibition there 
is a strong case for participating in Lisbon on the grounds of Union solidarity. The theme of the 
exhibition,  which  focuses  on  the  oceans,  is  of  major  importance  for  the  European  Union 
because in the geopolitical development  of Europe in the past centuries the sea has played a 
major formative role and because of the link of a number of EU policies with this theme. 

Other  than  a  general  presentation  on  the  EU  today,  the  World  Expo  would  provide  the 
opportunity to  present  to the general  public the results of such  policies and  initiatives as, for 
example: 

the European Action Plan for the Information Society (including MARIS Gl  projects) 
Community Research and Technological Development (possibly including a showcase 
on concrete project results) 
maritime industry policy and industrial showcases 
maritime transport policy and maritime transport applications 
Mediterranean policy 
fisheries  policy 
coastal environment and coastal regions 
research  and  development  (results  of the  Fourth  Framework  Programme  for  RTD, 
emphasizing the following items: global change (including in particular EuroGOOS and 

ELOISE); offshore  hydrocarbons; sustainable use of coastal  zones  (including marine 
technology, marine environmental issues, aquaculture ...); biodiversity and  fisheries) 
trade and commercial exchanges 
law of the sea 
the sea in development policy 
innovative forms of energy saving and new forms of energy production 
tourism 
sport and culture 
education and training 
high definition television. 

It will also be an opportunity to present the challenges facing the EU, including the results of the IGC 
and progress towards the euro. 

6. 

A pavilion for the EU 

Expo '98 has submitted  a proposal for  a pavilion for  the European  Union at the base of the 
panoramic  tower  which  is  to  be  located  at  the  northern  waterfront  site.  The  construction, 
which projects 60 metres into the river Tagus, resembles a large sail and  the pavilion of the EU 
would be housed at the base of the sail. The EU pavilion would be surrounded by water. At the 
top  of the panoramic tower  is a form  of a basket  in which  a revolving  restaurant  would  be 
located. The restaurant which has a capacity of  10 000 visitors a day would be independently 
managed and not  part of the EU pavilion. The EU exhibition  space at the base of the sail is 
air-conditioned  and there are large terraces for  the public to view the Tagus and  the  site of 
Expo '98. 

The pavilion offers  the EU an exhibition space of 2 400 m2, ample storage space, offices  and 
meeting rooms.  In this manner it offers  an acceptably high profile for  the European  Union at 
Expo '98 and  by being close to the north  pavilion  which  houses the modules of the Member 
States oilers the latter a privileged VIP lounge in an outstanding waterfront  environment. 

Expo '98, owner of the exhibition site and thus responsible for the design and construction of 
the panoramic tower, foresees that the tower will be commercialised  after  the exhibition and 
hence there are no demolition costs for the European Union. The offer from the organisers of 
the World Expo is conditional on a payment of 2.5 MECU to be paid by the European Union 
to house its exhibition  in this prestigious site. In view of the importance of Expo  '98 for  the 
European Union and the advantages of housing its exhibition in a high profile pavilion (without 
incurring  the  commercial  risks  of  exploitation  after  the  exhibition)  the  Commission  is 
favourable  to  this Expo  '98  proposal.  The  pavilion  will  offer  a  showcase  for  the  European 
Union  in which  the  themes  of  the  exhibition  can  be  addressed  using  the  latest  information 
technology  for  example interactive  systems, CD ROM technology,  HDTV,  video  recording 
and of course the more classic features of exhibitions such as working models and panels. 

The  Commission  intends  to  use  2 400m2  space  for  mounting  exhibitions  on  the  European 
Union. Some  I 400m2 of this will be devoted to a general exhibition coordinated  and managed 
by its information  service (DG X). A further  1  000m2 will be made available to other services 
of the Commission and to other institutions and agencies of the European Union for mounting 

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1. 

2. 

specific  and  temporary  exhibitions  on  specialised  technical  fields  relating  to  the  different 
policies of the Union. 

The budget is estimated as follows: 

Staff (officials, temporary agents, auxiliaires, missions) 

1.690.000 Ecu 

Overall  conception for 2 400m2; 
Production, assembly and decoration 
of 1 400m2 of general exhibition; 
Basic provision and availability of 
1 000m2 space reserved for specific exhibitions 
Running costs and staff for 2 400m2 
Information campaign and events for  1 400m2 
Contingencies for  1  400m2 

Installation rights for 2 400m2 

1.000.0Q0 Ecu 
1.000.000 Ecu 
400.000 Ecu 
100.000 Ecu 

2.500.000 Ecu 

3. 

To  date  the  European  Parliament  and  DGs  VII,  VIII  and  XIV  have  confirmed  their 
participation at a cost of 2 000 000 Ecu.  The budget headings concerned are as follows: 

DC 
DGVII 
DGVIII 
DG VIII 
DGXIV 
European 
Parliament 

1997 
200 000 
200 000 

400000 
300 000 

1998 
- 

800 000 
100 000 
- 

Budget heading 
B2-704 
B7-610 
B7-6200 
B2-110Ï 
2721 

Total 

1.100 000 

+ 

900 000 = 2 000 000 Ecu 

Other  institutions,  agencies  or  directorates-general  may  propose  additional  financing  for 
specific, one-off exhibitions. 

The total estimated cost of the action (see § 7.2 of the financial statement) amounts, therefore, 
to 8 690 000 Ecu. 

Conclusion 

The Council and the Parliament are informed of the intention of the Commission to participate 
in the 1998 exhibition in Lisbon on the basis of the proposal put forward. 

Expenditure  for  1997  will  be  covered  by  the  appropriations  in  the  1997  budget.  The 
appropriations needed for  1998 will be requested in the 1998 PDB. 

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FINANCIAL STATEMENT 

1. 

TITLE OF OPERATION 

Participation in "World Expo 98", the Lisbon international  fair 

2. 

BUDGET HEADING 

Auxiliary  staff 
Mission expenses 
International  meetings 

Titles A1,A2,  A4,  A5: Officials  and temporary  staff 
A-l 110: 
A-130: 
A-3055: 
Heading 2721: Budget heading in Section I - European Parliament 
B2-1101 : 
B2-704: 
B7-6200: 
B7-610: 

Objective 5(a) of the Structural  Funds 
Establishment and development of a common sustainable transport policy 
Environment in the developing countries 
Training and promotion of awareness of development  issues 

3. 

LEGAL BASIS 

Autonomous decision by the Commission 

4. 

DESCRIPTION  OF OPERATION 

4.1 

General  objectives: 

In  March  1995  the  Commission,  in  response  to  an  invitation  from  the  Portuguese  Prime 
Minister,  indicated  its intention of participating  in  "World Expo 98",  subject to the decision 
of the budgetary  authority for the  1997 and  1998 financial  years. 

Expo  98  is  recognized  by  the  BEI  (International  Exhibitions  Bureau)  as  a  specialized 
international  exhibition. 

Its theme will  t>e: "The oceans,  a heritage for the future" and will  take place  in Lisbon  from 
22  May  to  30 September  1998.  It  will  receive  about  14 million  visits  over  that  period, 
which should mean around 8 million visitors. 

Fifty-eight  countries  have  already  confirmed  their participation.  The  Member  States  of  the 
Union  will  be  present;  the  last  of  them  are  currently  in  the  process  of  confirming  their 
participation. 

Interdepartmental  coordination  between  the  Commission's  different  Directorates-General 
has  begun  with  a  view  to  promoting  those  Commission  programmes  which  relate  to  the 
theme of  Expo 98,  such as the application of  the  information  society  to the maritime  sector 
(MARIS),  innovation  in maritime industries and the conservation of  sea products. 

Parliament will  also be present at the exhibition. 

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4.2 

Period  covered: 

Expo 98 will  be held  in Lisbon from 22 May to 30 September  1998.  The design  studies will 
begin in  1997 and the project will  finish at the end of  1998. 

5. 

CLASSFICATION OF EXPENDITURE 

5.1 

NCE 

5.2 

DA  +  NDA 

6. 

TYPE OF EXPENDITURE 

Grants for joint funding with other public or private sources and service contracts 

7. 

FINANCIAL IMPACT 

7. / 

Method of calculating total  cost of operation: 
The total  cost  is based  on  the  flat-rate  rent payable to  the  Expo 98  organizers  for 2 400 m2 
of  exhibition  floor  space,  of  which  1 400 m2  will  be  used  by  DG X  tor  an  exhibition 
providing  general  information  on  the  Union  and  1 000 m2  will  be  made  available  to  the 
Commission's  other  Directorates-General  for  specific  exhibitions  on  Union  policies 
connected  with the sea. 

To  date  the  European  Parliament  and  Dgs  VII,  VIII  and  XIV  have  confirmed  their 
participation at a cost of 2 000 000 Ecu.  The budget headings concerned are as follows: 

DG 
DGVII 
D G Vm 
DG VIII 
DGXTV 
European 
Parliament 

1997 
200 000 
200000 

400 000 
300 000 

1998 
- 

800 000 
100 000 
- 

Budget heading 

B2-704 
B7-610 
B7-6200 
B2-1101 
2721 

Total 

1 100 000 

+ 

900 000  =2  000 000 Ecu 

Other  institutions,  agencies  or  directorates-general  may  propose  additional  financing  for 
specific, one-off exhibitions. 

The  total  estimated  cost  of  the  action  (see  §  7.2  of  the  financial  statement)  amounts, 
therefore, to 8 690 000 Ecu. 

7.2 

Itemized breakdown  of  cost: 

Breakdown 

1997 

1998 

Total 

Commitment appropriations in ecus 

Titles A1,A2,A4  and A5  : Officials and 
temporary  staff 

700 000 

700 000 

1400 000 

Item A-1110:  Auxiliary  staff 

50.000 

50 000 

100 000 

Article A-130:  Mission expenses 

45 000 

145 000 

190 000 

Item A-3055:  International  meetings 

1300 000 

3 700 000 

5000 000 

-  Installation dues for  the overall area of 
2 400 in2 (including  1  000 in2 made available to 
specific  Commission departments, other 
institutions and European  Union agencies) 

-  Design and external decoration of total area 
(2 400 m2) 

- Runnings costs for total area and local  staff 
(2 400 m2) 

- Preparation,  assembly and decoration  for 
general exhibition  (1 400 m2) 

- Communication and events for general 
exhibition  (1 400 m2) 

-  Miscellaneous expenditure and  contingencies 
for  general exhibition  (1 400 in2) 

Other budget items to be determined  for 
specific  exhibitions (Commission, other 
institutions and European Union agencies) 

-  Budgetary lines: 2721, B2-1101, B2-704, B7-610, 
B7-6200 

ESTIMATED TOTAL COST OF 
OPERATION 

(400 000) 

(2 100 000) 

(2 500 000) 

(200 000) 

(100 000) 

(300 000) 

(1000 000) 

(1000 000) 

(400 000) 

(300 000) 

(700 000) 

(250 000) 

(150 000) 

(400 000) 

(50 000) 

(50 000) 

(100 000) 

1 100 000 

900 000 

2000 000 

3 195 000 

5 495 000 

8 690 000 

3 -

7-

8. 

FRAUD  PREVENTION  MEASURES 

All  the contracts  for  research,  design  and  implementation  will  be  awarded  under  tendering 
procedures held in accordance with the Commission's  Financial  Regulation. 

9. 

COST-EFFECTIVENESS ANALYSIS 

9.1 

Specific and quantifiable objectives;  target  population: 

Specific  objectives: 

The  theme  of  the  exhibition  "The  oceans:  a  heritage  for  the  future"  is  of  paramount 
importance for the European  Union.  Numerous Directorates-General  are affected  and  Expo 
98  will  be  a  major  opportunity  for  presenting  Union  policies  connected  with  maritime 
issues,  in the  fields  of  industry,  protection  of  the environment,  fishery  and  other products, 
legislation,  trade agreements, etc. 

The Commission's participation in the Lisbon World Expo 98 has three specific  objectives: 

1. 

2. 

3. 

Provide  general  information  about  the  European  Union  by  setting  up  stands  in  the 
exhibition organized by DG X (1 400 m2). 

Provide  information  about European policies  and projects connected  with the theme 
of  the exhibition  by  setting up stands to be organized  by  DGs  and other  institutions 
and European Union agencies in the area set aside for this purpose (1 000 m2). 

Make visitors  aware of  the challenges  of  the day,  and  in particular  the  outcome  of 
the IGC and progress  towards the  single  currency,  by  setting  up  appropriate  stands 
in  the  general  exhibition  and  providing  the  public  with  material  produced  for  the 
priority  information campaigns. 

Target population: 

The  organizers  anticipate  around  8 million  visitors  over  the  duration  of  the  Fair,  which 
should mean more than  14 million visits to the European Union pavilion. 

The target population will consist of both Portuguese visitors and foreign visitors from more 
than 100 other countries,  the majority  being specialists and decision-makers  in the maritime 

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9.2  Grounds for the operation 

Expo  98  is an  international  exhibition  recognized  by  the  International  Exhibitions  Bureau 
(Paris Convention).  Some  125 countries,  including  the  Member  States of the  Union,  have 
expressed their wish to participate. 

Our operations will be limited to the 1  400 m2 fitted  out by DG X and the  1  000 m2  offered 
to  the  other  Directorates-General  and/or  Community  institutions  wishing  to  participate  in 
the  event.  Our  operations  do  not  include  the  construction  of  the  pavilion,  but  only  the 
erection  and  decoration  of  die  stands  and  the  organization  of  activities  throughout  the 
exhibition. 

Community  participation  will  be  similar  to  that  in  other  international  exhibitions  of  this 
type, such as Vancouver in 1986, Brisbane in 1988, Genoa in 1992 and Taejon  in 1993. 

Visits  by  a  specialized,  international  public  will  have  an  important  knock-on  effect, 
especially  in  view  of  the  future  worldwide  importance  of  the  maritime  sector  and  the 
policies already implemented by the Union in this field. 

As things  currently  stand  and  in  view  of  the  large  number  of  participants  expected,  it  is 
fairly  certain that the exhibition should be a success. 

9.3  Monitoring and evaluation of the operation: 

Performance  indicators: 

The unit responsible for fairs and exhibitions in DG X will  have to ensure that international 
participation  conforms  with  what  has  so  far  been  announced.  Above  all,  it  will  have  to 
coordinate  the  participation  of  the  other  Directorates-General  and  other  European 
institutions  in  order  to  guarantee  the best possible  use of  the  1  000 m2  made  available  to 
them. 

As regards the specific objectives of the operation: 

the impact of the general exhibition in terms of enhancing visitors'  knowledge of the 
Union  will  be  measured  by  daily  counts  at  the  Union  pavilion  (target:  14 million 
visits), backed up by a qualitative questionnaire given to a representative  sample of 
visitors; 

the impact of the specific  stands on Union policies and projects  connected  with the 
theme  of  the  fair  will  also  be  assessed  by  means  of  the  above  qualitative 
questionnaire; 

awareness of the IGC and the Euro will be measured  by the number of  information 
items distributed,  in particular brochures. 

An  overall  assessment  will  be  made  on  the  basis  of  the  qualitative  questionnaire,  and  a 
financial  audit will be carried out at the beginning of  1999 to evaluate the  cost-effectiveness 

9 

of  the  operation,  using  previous  participation  in  exhibitions  of  the  same  type  as  a 
benchmark. 

10. 

ADMINISTRATIVE EXPENDITURE 

Actual  mobilization  of  the  necessary  administrative  resources  will  derive  from  the 
Commission's  annual  decision  on  the  allocation  of  resources,  in  the  light  of  whatever 
additional staff and amounts are awarded by the budgetary authority. 

Additional requests will at all events be without prejudice to the Commission's decision on: 

(a) 
(b) 

requests for new posts in the preliminary draft budget, and 
the allocation of resources. 

10.1  Effect on the number of posts 

Type of post 

Staff to be assigned to 
managing the operation 

Permanent 
posts 

Temporary 
posts 

Source 

Duration 

Additional 
resources 

1997-98 
(24 mths) 

Existing 
resources in 
the DG or 
department 
concerned 

Officials  or 
temporary 
staff 

A 
B 
C 

Other resources 

Total 

2.5 
1.5 
1.0 

5.0 

1.0 
1.0 

1.0 

3.0 

2.5 
1.5 
1.0 

1.0 

6.0 

1.0 
1.0 

2.0 

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At. 

10.2  Overall financial impact of additional human resources 

Officials 

Temporary  staff 

Other resources 

(ecu) 

Amounts 

Method of calculation 

2 temporary staff (Titles Al,  A2, A4 
and A5) ECU  1  000 x 2 x 2 years  = 
ECU 400 000 

400 000 

Total  400000 

Expenditure  relating  to  human  resources  required  for  this operation  which  will  be covered 
by mobilization of existing resources is estimated at: 

Titles Al,  A2, A4 and A5 (5 officials): 
ECU  100 000 x 5 x 2 years  = 
Item A-1110 (Auxiliary staff):  ECU 50 000 x 1 x 2 years  = 

ECU 
ECU 

1000 000 
100 000 

ECU 

1  100 000 

10.3 

Increase in other administrative expenditure as a result of the operation 

Budget heading 

Amounts 

Method of calculation 

A-3055: 
International  meetings 

5 000 000 

See Table 7.2 

(ecu) 

Total  5 000 000 

Expenditure on missions for this operation to be covered by mobilizing existing resources is 
estimated at: 

1997:  48 missions (2 days) 
1998:  81 missions (2/3 days) 

Total: 

ECU 
ECU 

ECU 

45 000 
145 000 

190 000 

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A  <1 

ISSN 0254-1475 

COM(96) 562  final 

DOCUMENTS 

EN 

16  01  11 

Catalogue number  : CB-CO-96-561-EN-C 

ISBN 92-78-10873-1 

Office  for Official  Publications of the European Communities 

L-2985 Luxembourg 

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