Communication from the Commission to the Council - Regional co-operation in the Black Sea area: state of play, perspectives for EU action encouraging its further development
Date: 1997-11-14
Institutions: European Commission
Subjects: Black Sea, EU action, EU aid, energy cooperation, region-EU relationship, regional cooperation, trade cooperation

COMMISSION  OF THE  EUROPEAN  COMMUNITIES 

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Brussels,  14.11.1997 
COM(97)  597  final 

COMMUNICATION  FROM  THE  COMMISSION  TO  THE  COUNCIL 

Regional co-operation in the Black Sea area: State of play, 

perspectives for EU action encouraging its further development 

Summary 

The  Commission  welcomes  and  supports  increased  regional  co-operation  among  the 
Black  Sea  states  and  proposes  to  develop  a  new  approach  to  regional  co-operation 
around the Black Sea as  part of a wider EU strategy for the region,  taking into account 
both the  common  interests of the Black Sea states and  EU interests in  the  region.  The 
Commission  suggests  basing  this  approach  on  a  mix  of existing  political,  commercial 
and  technical  assistance  instruments.  The European Community  should  be  prepared  to 
support actions encouraging regional  co-operation around the  Black  Sea - including at 
the  fields  of  transport,  energy  and 
the  sub-regional  level  -
sustainable 
ecologically 
trade 
tel~communications 
development,  and justice and home affairs. 

in  particular  in 

co-operation, 

networks, 

In  assessing  the  usefulness  of  EC  support  for  particular  initiatives,  the  active 
involvement  of the  countries  directly  concerned,  including  through  financing,  should 
serve  as  a  key  criterion.  Technical  assistance  will  be  provided  through  existing 
instruments  - primarily  Tacis,  Phare,  Meda  and,  where  appropriate,  Interreg  - in 
accordance with  their established  procedures and  on the  basis  of existing budget  lines, 
while  at  the  same  time  developing  as  much  as  possible  "Black  Sea  synergies"  among 
them.  The development  of such co-operation will  provide an  opportunity for  economic 
actors in  all  Members States to participate fully  in the agreed  co-operation projects. 

In  programming  actions  in  the Black · Sea  region,· the  Commission's  main  interlocutors 
will  be  the Black  Sea  states  concerned,  both  on  a bilateral  basis  and  in  the  framework 
of multi-country  discussions.  At  the  same  time,  BSEC  - as  the  main  regional  co 
operation  initiative  of a general  nature  in  the  Black  Sea  area  - can  provide  important 
support for  this exercise.  In view of the Commission's role in  implementing assistance, 
it  would  be  appropriate  if the  Commission,  on  behalf of the  European  Community; 
were  invited  to  observe BSEC  meetings.  By  encouraging  regional  co-operation  in  the 
Black Sea area,  the European Union will  contribute to  enhancing  security,  stability and 
prosperity  in  this  region  which  is  of increasing  strategic  importance  to  the  European 
Union. 

••✓, 

Regional co-operation in the Black Sea area: State of play, 

perspectives for EU action encouraging its further development 

Communication from the Commission to the Council , 

Introduction 

1. 

The  Dublin  European  Council  in  December  1996  noted  that  the  Commission 

would report regularly on the wide range of regional activities in Europe reaching from 

the  Arctic  to  the  Black  Sea.  Following  earlier  Commission  communications  on 

regional  co-operation  in  the  Baltic  Sea  region  and  in  the  framework  of the  Central 

European  Initiative,  the  Commission  has  prepared  the  current  report  on  regional  co 

operation  in  the  Black  Sea  area,  which  is  presented  alongside  a  general  report  on 

regional co-operation in Europe. 

2. 

The objectives of the present report  are twofold:  first,  to describe  a  picture of 

the  Black  Sea  region  and  its  strategic  importance  for  the  European  Union,  drawing 

attention  to  the  role  regional  co-operation  can  play  in  the  region's  development; 

secondly,  to define  priority objectives for  regional  co-operation  in  the Black  Sea area 

that could usefully be promoted with EU support as well as to identify the instruments 

available to encourage such co-operation. 

3. 

The  Commission  welcomes  and  supports  the  development  of regional  co 

operation initiatives  throughout Europe as  a  means  to  promote  stability,  security  and 

prosperity. 

4. 

The  Commission 

is  keen 

to  support 

those  regional 

initiatives  whose 

participants demonstrate a clear commitment to  regional  co-operation,  notably through 

active involvement in,  and the financing  of,  common projects.  Such initiatives can also 

be  assessed  in  terms  of the  political  support  for  such  co-operation,  both  within  the 

region and within  the EU,  and in  terms of their actual  and  potential achievements.  The 

Commission believes,  as  stated in  "Agenda 2000",  that  the  importance of regional  co 

operation  will  increase  as  the  Union  enlarges,  as  its  development  will  promote  the 

openness  of the  enlarged  Union  towards  its  neighbours,  so  that  no  dividing  Jines  are 

drawn  on  the  European  continent;  it  will  also  serve  to  meet  the  objective  of 

participating non-EU countries which is to have ever closer relations with the Union. 

5: 

The  Black  Sea  region, 1  which  encompasses  Greece,  Bulgaria,  Romania  and 

Moldova  in  the  West;  Ukraine  and  Russia2  in  the  North;  Georgia,  Armenia  and 

Azerbaijan  in  the  East;  and  Turkey  in  the  South  constitutes  an  area  of increasing 

strategic  importance  for  the  European  Union,  which  will  be  further  reinforced  by 

enlargement.  With a total  population of 190  million3

,  the  region  provides a potentially 

important  market  for  EU  goods.  Furthermore,  it  is  a  vital  transit  route  for  energy 

resources to Europe. 

6. 

Increased  regional  co-operation  among  the  Black  Sea  states  makes  an 

important contribution to efforts to bolster peace,  security and  political  stability in this 

region;  to  consolidate  and  enhance  the  region's  role  as  a  vital  trade  link  between 

Europe,  Central Asia and the Middle East;  and to develop  its economic potential.  The 

European Union's  approach to  closer co-operation  among the Black  Sea  states takes 

into  account the common interests of the Black Sea states and  of the European Union 

in  the  region.  It  should  be  based  on  a  mix  of existing  political.  commercial  and 

technical  assistance instruments. 

7. 

Compared  to  other regional  initiatives  that  have  emerged  throughout  Europe 

since  the  early  l 990s  - notably  Baltic  Sea  co-operation,  Barents  Euro-Arctic  co 

operation, and the Central European Initiative - regional co-operation among the Black 

Sea states has been somewhat slow to take shape, but its impact is now increasing. 

Black Sea Economic Co-operation (BSEC) 

8. 

The  main  regional  co-operation  initiative  of a  general  nature  in  the  area  is 

Black  Sea  Economic  Co-operation  (BSEC),  launched  in  1992.  Members  of this  body 

include  the  Black  Sea  littoral  states (Bulgaria,  Georgia,  Romania,  Russia,  Turkey  and 

1 A map of the region is at Annex I. 
2 In  the case of Russia, only the oblasts adjacent to  the Black Sea (Rostov,  Krasnodar and Stavropol) 
arc considered part of the Black Sea region. 
'This figure  includes the population of the three oblasts of the Russian Federation adjacent  to  the 
Black Sca--i.c.  Rostov.  Krasnodar. and Stavropol. which jointly have a total  population of 12  million 
inhabitants (figures of 1995)--,  nol  lhc population of the Russian  Federation as a whole. 

2 

Ukraine),  as  well  as  Albania,  Armenia,  Azerbaijan,  Greece  and  Moldova.  Austria, 

Egypt, Israel, Italy, Poland,  Slovakia and Tunisia hold observer status. 

9. 

BSEC's  objectives  are  the  promotion  of  economic  co-operation  to  avoid 

conflict,  to  achieve  the  peaceful  settlement  of disputes  in  accordance  with  OSCE 

principles  and  to  assist  the  participant  states  in  integrating  themselves  into  the 

European  and  world  economy.  The  fields  of  co-operation  include  trade  and 

investment;  transport,  communication  and  energy;  tourism;  environment;  and  science 

and research. 

I 0. 

BSEC  does  not  constitute  a  regional  organisation  in  the  legal  sense;  it  is  not 

based  on  an  agreement  binding  under  international  law.  Decisions  are  taken  by 

unanimity,  under a rotating chairmanship,  in BSEC's Assembly of Ministers of Foreign 

Affairs.  Seventeen  permanent  sectoral  working  groups  have  been  established  to  deal 

with  a  wide  range  of issues  including  transport,  energy,  tourism,  the  promotion  and 

protection  of investments,  banking  and  finance,  and  the  environment.  B SEC  has  a 

small  permanent  International  Secretariat  in  Istanbul.  Affiliated  bodies  include  the 

B SEC  Council,  representing  the  business  communities  of the  participant  states;  the 

. International Black Sea Club consisting of representatives of Black Sea ports;  and  the 

Parliamentary  Assembly  of the  Black  Sea  Economic  Co-operation.  Other  BSEC 

related structures include .the Black Sea Trade and Development Bank in  Thessaloniki, 

the  Black  Sea  Regional  Energy  Centre  in  Sofia,  and  the  Black  Sea  Study  Centre  in 

Athens. 

I 1. 

BSEC's concrete achievements have hitherto been rather modest.  A number of 

common  projects  involving  several  BSEC  participating  states  are  being  developed, 

mainly  in  the  fields  of transport,  customs  and  border  procedures,  power  systems, 

telecommunications,  and  the environment.  A Black  Sea Trade and  Development Bank 

has  been  set up,  yet  is  so  far  not operational.  BSEC member  states  have  expressed  an 

interest  in  establishing  a  Black  Sea  Free  Trade  Area  and  are  investigating  the 

possibility.  However,  this  does  not  appear  to  be  a  realistic  objective,  taking  into 

account  that  Greece  is  a  member  of the  EU,  Turkey  is  engaged  in  a  customs  union 

with  the  EC,  Bulgaria  and  Romania  have  association  agreements  with  an  eventual 

3 

orientation towards accession to the EU,  and  a number of other BSEC states have yet 

to complete the WTO accession process.  As  regards BSEC' s aspiration to play a role 

in the peaceful settlement of disputes in the region,  the fact that BSEC brings together 

representatives  of all  Black  Sea  states  can  be  considered  an  achievement  in  itself. 

However, results so far remain limited in this domain too. 

12. 

As BSEC is  a relatively young organisation,  established  only five  years  ago,  it 

is natural that it should require some time before its impact begins to be widely felt. 

13. 

BSEC  will  have  to  overcome  a  number  of challenges  before  it  becomes  fully 

effective.  First,  the wide  diversity  - cultural,  historical,  political,  as  well  as  economic 

of BSEC  participating  states  has  made  more  difficult  the  task  of  defining  and 

implementing common objectives.  Secondly,  only limited  funds  for BSEC  projects are 

available  from  within  the  region  as  the  economies  of most  of the  participating  states 

are  in  transition;  so  far,  financial  support  has  been  provided  largely  by  international 

donors.  Thirdly,  a  number  of BSEC  members  give  greater  priority  to  pursuing  their 

foreign policy objectives in the region by other means. 

14. 

All  countries in the region are  members  of the OSCE and  several  are involved 

in  other regional initiatives.  Bulgaria,  Moldova, Romania and  Ukraine  are  members  of 

the  Central  European  Initiative.  Several  Black  Sea  states  are  involved  in  the  various 

initiatives  focusing  on  stability  and  security  in  the  Balkans,  notably  the  Royaumont 

Initiative,  the  Southeast  European  Co-operative  Initiative  (SECI),  and  the  Balkan 

Conference  on  Stability,  Security  and  Co-operation  in  South-Eastern  Europe. 

Moldova,  Russia,  Ukraine and  the three  Transcaucasian  republics  are  members  of the 

CIS.  Azerbaijan  and  Turkey are members of the  Economic Co-operation  Organisation 

(ECO).  Meetings  sponsored  by  Georgia  have  taken  place  to  consider  the  scope  for 

regional  co-operation  among 

the 

three  Transcaucasian  states.  A  number  of 

undertakings  in  particular concerning  transport  links  have  been  signed  by  Azerbaijan, 

Georgia,  Ukraine and  Uzbekistan. 

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1. 

The Black Sea region's geopolitical identity and economic potential 

Geopolitical identity 

15. 

The  Black  Sea  region's  history  is  one  of rich  cultural  diversity,  as  well  as 

numerous political  problems.  The recent  political  and  economic  changes in  the  region 

have opened new opportunities for co-operation and the development of linkages,  both 

within  the  region  and  with  the  outside  world.  This  process  can  help  strengthen  the 

region's  stability  and  foster  its  development.  In  recent  months  a  number  of positive 

developments have taken place in Black Sea interstate relations,  including the  signing 

of a  Treaty  of Friendship,  Co-operation  and  Partnership  as  well  as  an  Agreement  on 

the  Black  Sea  Fleet  between  Russia  and  Ukraine;  the  conclusion  of a  Basic  Treaty 

between  Ukraine  and  Romania,  including  an  agreement  in  principle  on  the  joint 

development  of two  new  "Euroregions"4  in  areas  where  their  borders  converge;  and 

the setting up between Turkey and Greece of an  informal framework for the discussion 

of outstanding issues  in  the  Aegean  Sea.  The  involvement  of the  countries  concerned 

in regional co-operation initiatives can serve to consolidate these developments. 

16. 

Due to its geographical position at the junction between Europe and  Asia,  the 

Black Sea is  by  nature a transit area.  As  such,  the region has long-standing links  with 

both  Europe  and  the  Middle  East,  and  is  the  most  direct  route  linking  Europe  and 

Central Asia as well as the European NIS and  Turkey.  This is  of particular importance 

given the huge natural resources, especially energy resources,  of the Caspian Basin and 

Central Asia.  On the negative side,  the region has become a transit area for trafficking 

of drugs, weapons and fissile materials; as well as for illegal immigration. 

17. 

As  a  result  of its  geographical  position,  the  Black  Sea  area  is  of strategic 

importance  from  a  military  point  of view.  The  region  is  heavily  militarised,  with  the 

armed  forces  of Russia,  Turkey and  Ukraine being the three largest  in  Europe. 5  Arms 

acquisitions  in  the  region  are  considerable,  both  in "quantitative  and  qualitative  terms; 

4 These arc cross-border co-operation arrangements between adjacent regions in neighbouring slates. 
The term "Eurorcgion" was coined to designate such arrangements within the European Union, and 
has subsequently been used also for similar cross-border arrangements involving adjacent regions in 
the countries of Central and Eastern Europe. 
5 Now under discussion in the negotiations to revise the CFE Treaty. 

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almost half of total trade; in the case ~f Bulgaria and Romania,  the EU' s share is in the 

order of fifty to sixty percent. 

22. 

Trade  links  between  the  Black  Sea  states  are  relatively  weak,  with  the 

exception of traditional links between Russia and the other New Independent States of 

the  region,  which  are  however  declining:  New  trade  relations  are  evolving,  though 

they remain fairly small.  For example, ,between  1994 and  1996, Turkey's imports from 

Russia more than doubled (from 879 MECU in  1994 to  1,835 MECU in··J996),  while 

Turkey's  exports  to  Ukraine  increased  threefold  (from  63  MECU  worth  in  1994  to 

207 MECU in  1996). New trade flows  are developing also between Turkey on the one 

hand,  and  Georgia,  Azerbaijan  and  Bulgaria  on  the  other  hand.  The  facilitation  of 

cross-border traffic and  customs procedures will  be  a  critical  factor when it  comes to 

increasing trade and encouraging investment and economic growth in the region. 

23. 

The countries of the region have expressed their intention to create a Black Sea 

Free Trade Area.  This issue concerns the European Union directly,  as  Greece,  being a 

member  of the  EU,  and  Turkey,  an  associated  country  bound  to  the  EU's  common 

commercial policy by  a customs union,  are  precluded from  participating  on  their  own 

behalf in  regional  free  trade  agreements.  At  the  same  time,  the  European  Union 

welcomes  steps toward  trade liberalisation  as  a matter of principle,  to  the  extent  that 

these are compatible with the multilateral  trade regime and  reflect  existing  agreements 

between the EU and  the states concerned.  The European Union  considers  that  WTO 

accession  of all  Black  Sea  states  would  be  an  important  and  necessary  first  step 

towards trade liberalisation in the region,  and is prepared to provide assistance to those 

Black Sea states not yet member of the WTO in preparing their accession. 8 

24. 

Foreign  investment  in  the  Black  Sea  area  is  increasing,  though  it  is  still 

relatively  modest.  In  1995  foreign  direct  investment  into  the  countries  of the  region 

v-.,p,~  estimated  at  $4,874  million;  it  was  $2,915  million  in  1994  and  $2,034  million  in 

1993.  The presence of natural  resources,  relatively well  developed  infrastructure links 

and,  in  many  instances,  a  skilled  labour  force  are  conducive  to  attracting  foreign 

8 Technical assistance in preparation of WTO accession  is currently being provided to Russia, 
Ukraine, Moldova, Georgia and Armenia. 

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investment.  But,  many  obstacles  to  foreign  investment,  legal  as  well  as  practical, 

remain. 

The Black Sea region and the European Union 

25. 

The  Black  Sea  region  has  a  direct  link  with  the  European  Union  through 

Greece.  Furthermore,  the  European  Communities  and  their  Member  States  have 

signed  bilateral  agreements  with  other  Black  Sea  states.  Europe  Agreements  are  in 

force  with  Bulgaria  and  Romania.  Partnership  and  Co-operation  Agreements  (PC As) 

have  been  signed  with  Russia,  Ukraine,  Moldova  and  the  three  Transcaucasian 

republics. 9  A  customs  union  between  the  EC  and  Turkey  entered  into  force  on  3 1 

December  1995,  based  on  the  1963  Association  Agreement.  The  Commission  has 

recently  presented  a  Communication  on  relations  with  Turkey,  putting  forward  a 

number  of proposals  designed  to  take  the  relationship  forward  on  the  basis  of the 

customs union. 10 

26. 

Enlargement  will  further  increase  the  Black  Sea  region's  significance  to  the 

European  Union.  The  EU  has  a  major  interest  in  promoting  political  stability  and 

economic prosperity in  the Black Sea region and  stimulating the development  of links, 

both within the region and with the EU. 

2.  A strategy to encourage Black Sea Co-operation 

Suggested priority objectives 

27. 

Co-operation in the region could usefully focus on: 

1.  the  promotion  of political  stability  and  dialogue,  and  the  strengthening  of 

human rights, democracy and the rule of law; 

9  As opposed to the Customs Union and Association agreements, the PCAs do not offer preferential 
conditions for trade; however, the agreements with Russia, Ukraine and Moldova foresee in the 
possibility of opening negotiations on a Free Trade Area. 
10 These include in particular the consolidation of the Customs Union, the promotion of industrial co 
operation and investment, participation in Community programmes, co-operation on human rights, 
and support to regional and cross-border co-operation. 

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2.  transit  through  the  region  and  the  development  of the  region's  transport, 

energy  and  telecommunications  networks  including  connections  to  European 

networks; 

3.  regional commercial co-operation and the creation of favourable  conditions to 

attract EU and  other foreign  investment,  including  in  the  sector  of small  and 

medium enterprises,  while ensuring the compatibility of any new arrangements 

with existing regimes; 

4.  sustainable development,  the protection of the region's environmental  integrity 

and nuclear safety; 

5.  the reduction of drug trafficking,  smuggling and illegal immigration throughout 

the region. 

28. 

Regional  co-operation  is  not  the  sole  prerogative  of the  central  authorities  of 

the countries concerned, but could usefully involve other decision-making levels within 

participating  states.  The  benefits  of Black  Sea  co-operation  would  be  enhanced  by 

closely involving regional and local administrations in this process and  by encouraging 

closer  relations  among  communities  separated  by  frontiers,  including  at  the  level  of 

people-to-people contacts. 11 

Instruments to support Black Sea co-operation 

29. 

There  is  a  wide  range  of  political,  commercial  and  technical  assistance 

instruments  to  support  and  to  foster  regional  co-operation  in  the Black  Sea  area.  As 

part  of Community  assistance  to the  countries  of the  region  - which  over  the  period 

1991-1996  amounted  to  a  total  of 2,589  MECU1 2 

-

the  EC  is  already  making  a 

significant  contribution  to  strengthening  regional  co-operation  in  the  Black  Sea  area 

and  stimulating the region's development.  Such support is provided mainly through the 

Phare  and  Tacis  programmes  (national  as  well  as  multi-country  programmes), 

11  The ongoing study on "Territorial Impact of Developments in the Black Sea Region on the 
European Union", commissioned by Directorate General XVI and expected to be finalised by  mid 
1998, will provide important input in this context. 
12  This figure excludes Community assistance to Greece, which, as an EU member state, has access to 
the European Structural Funds.  It includes Community assistance to the Russian Federation as a 
whole. 

9 

complemented  by  funding  from  Interreg  and  from  sector-specific  Community 

programmes. 

30. 

Over  the  period  1991-1996,  an  estimated  490  MECU  in  Community  grants 

have  been  provided  for  activities  aimed  specifically  at  strengthening  regional 

development  and  co-operation  around  the  Black  Sea.  In  the  field  of transport,  a 

Community sponsored joint initiative involving all Black Sea countries has led the Pan 

European Transport Conference in Helsinki to endorse the development  of the  Black 

Sea  region  as  a  Pan-European  Transport  Area,  developing  a  multi-modal  and 

regionally  integrated  transport  network.  This  will  serve  to  link  the  Pan  European 

Transport Corridors west of the Black  Sea with those to the north,  as well  as  with  the 

Tacis funded  TRACECA13  corridor through  the  Caucasus.  In  the  domain  of energy, 

the  Black  Sea  states  are  co-operating  in  Phare  and  Tacis  funded  initiatives  on  the 

rehabilitation,  modernisation  and  rationalisation  of interstate  oil  and  gas  pipelines,  in 

particular  the  so-called  INOGATE14  programme,  as  well  as  in  the  Community 

sponsored Black Sea Regional Energy Centre. 

In the field  of ecologically  sustainable 

development,  Community  support  is  provided  to  the  Black  Sea  environmental 

programme  and  to  the  implementation  of  the  Bucharest  Convention  for  the 

environmental  protection  of the  Black  Sea  concluded  by  Black  Sea  littoral  states  in 

1990,  as well as to the  implementation of the Black Sea Strategic Action Plan  signed 

by  BSEC  participant  states in  1996.  Furthermore,  Community  assistance  is  provided 

in  support of the process of WTO accession of the Black Sea states,  which  is  a crucial 

factor  in  strengthening  trade  co-operation  in  the  region.  Limited  Tacis  and  Phare 

assistance has been provided also to BSEC related activities. 15 

3 1. 

In line with the approach taken in  other regional initiatives,  most importantly in 

the Baltic Sea region,  it  is  proposed  that technical  assistance  continue to be  provided 

exclusively  through  existing  instruments  (primarily  Tacis,  Phare,  Meda,  and,  where 

appropriate, lnterreg) in  accordance with their rules and  established procedures and  on 

13 TRACECA stands for Transport Corridor Europe Caucasus Central Asia. 
14  INOGA TE stands for Rehabilitation, Modernisation and Rationalisaton of Interstate Oil and Gas 
Pipelines in the NIS. 
is Technical assistance has been provided for the development of the business plan of the Black Sea 
Trade and Development Bank in Thessaloniki, and to the International Centre for Black Sea Studies 
in Athens in conducting a number of economic studies. 

10 

the basis  of existing budget lines.  The Commission will  devote  particular  attention to 

co-ordinating the focused  use of the various Community instruments in  the Black Sea 

region. 

"Black Sea synergies" 

32. 

To  develop  "Black  Sea  synergies"  in  the  framework  of current  Community 

assistance  programmes,  the  Commission  is  ready  to  provide  funding  for  Black  Sea 

related  activities under the  Tacis  Interstate  and  the Phare  multi-country  programmes, 

as well as under the Tacis and Phare national programmes for the respective Black  Sea 

littoral  states and,  where appropriate,  under the lnterreg programme,  provided  that  an 

explicit  request  to  this  effect  is  made  by  the  Black  Sea  states  concerned  and  that 

project proposals are  submitted through the standard channels and  are judged  on  their 

own  merits  in  accordance  with  standard  rules  and  procedures.  Relevant  project 

proposals  submitted  under  the  Phare,  Tacis,  Meda  and,  where  appropriate,  lnterreg 

programmes - in particular proposals which involve several Black Sea states and which 

are related to the development of transport,  energy and telecommunications networks, 

trade co-operation,  ecologically sustainable development,  and justice and  home  affairs 

- would thus be evaluated also in "Black Sea" terms. 

3 3. 

Further  initiatives,  building  on  what  has  been  achieved  or  opening  new 

perspectives for  co-operation,  will  n~ed  to be  considered.  These will  include  linking 

TRACECA with the Pan-European Transport Corridors and  the ports on the Western 

Black Sea coasts,  developing a multimodal and regionally integrated transport network 

in  the  Black  Sea  area~  and  ensuring  the  strategic  development  of energy  networks 

connecting the Black Sea region with  Central  Asia and  Europe.  Fostering commercial 

co-operation and  stimulating  investment  into  the  region,  and  assuring  implementation 

of the  environmental  Black  Sea  Strategic  Action  Plan  and  the  Bucharest  Convention 

~.~ 

j~e protection of the Black Sea,  will  equally remain  key  objectives.  The  expected 

refocussing  of the  "Environment  for  Europe"  process  towards  the  New  Independent 

States  is  likely  to  open  new  perspectives for  environmental  co-operation  in  the Black 

Sea  area.  Furthermore,  it  will  be  important  to  assist  in  reducing  illegal  trafficking  of 

drugs,  weapons  and  illegal  immigration.  In  assessing the usefulness  of EC  support to 

11 

particular  initiatives,  the  active  involvement  of  the  countries  directly  concerned, 

including through financing,  will serve as a key criterion. 

34. 

Support for Black Sea co-operation presents challenging opportunities for,  and 

will  greatly  benefit  from,  a  greater  synergy  between  Tacis,  Phare  and  Meda.  These 

three  Community  programmes  share  the  common  objectives  of supporting  partner 

countries  in  the  process  of economic  transformation  and  strengthening  democracy, 

while each covering a distinct geographical  area and being governed by  specific  rules. 

Where  appropriate,  due  co-ordination  will  need  to  be  ensured  also  with  the  Interreg 

programme.  To maximise the effectiveness  of Community  support to Black Sea- co 

operation  and  guarantee  the  necessary  synergy  between  the  programmes  concerned, 

close  consultation  between  Commission  services  on  actions  related  to  the  Black  Sea 

region will  be ensured,  creating a framework for the systematic joint examination and, 

where  appropriate, joint financing  of proposals  designed  to  strengthen Black  Sea  co 

operation.  Further  co-ordination  and  co-operation  with  the  !Fis  will  be  explored 

where appropriate. 

3 5. 

So  far,  the  European  Community's  principal  interlocutors  in  developing 

initiatives  in  the Black  Sea  region  have  been  the  Black  Sea  littoral  states  concerned. 

The  Commission  proposes  to  continue  working  in  this  way  for  the  programming  of 

Community  actions  in  the  Black  Sea  region,  while  encouraging  the  countries  of the 

region  to  develop  joint  projects  with  a  regional  dimension.  The  Commission  would 

welcome the added value which BSEC - as the main regional  co-operation initiative of 

a  general  nature  in  the  Black  Sea  area  - could  provide  and  would  be  prepared  to 

exchange  on  an  ongoing  basis  information  on  Community  actions  with  relevance  to 

objectives agreed within BSEC.  The input  of other existing co-operation initiatives  in 

the Black Sea region,  insofar they provide added value,  would equally be welcomed. 

36.  At  present,  the  European  Community  does  not  have  a  formal  institutional 

relationship  with  BSEC.  Against  the  background  of the  European  Union's  policy  to 

support the development of regional co-operation initiatives,  some form  of relationship 

with  BSEC  could  usefully  be  envisaged.  In  their  recent  Moscow  Declaration,  the 

Heads  of State  or  Government  of the  BSEC  member  states  expressed  the  desire  to 

12 

'develop  with  the  EU  a  common  platform  for  developing  closer  contacts  and  co 

operation'.  In view of the Commission's  role  in  implementing  technical  assistance,  it 

would be appropriate if the Commission,  on behalf of the European Community,  were 

invited  to  observe BSEC meetings.  The development  of a  relationship  with BSEC  is 

complementary to strengthening bilateral relations with each of the sovereign states in 

the region. 

Summary and Conclusion 

3 7.  The  Commission  welcomes  and  supports  increased  regional  co-operation  among 

the Black Sea states and proposes to develop a new approach to regional co-operation 

around the Black Sea as part of a wider EU strategy for the region, taking into account 

both the common interests of the Black Sea states and EU interests in  the region.  The 

Commission  suggests  basing  this  approach  on a  mix  of existing  political,  commercial 

and technical assistance instruments.  The European Community should be prepared to 

support actions encouraging regional co-operation around the Black Sea - including at 

the  sub-regional  level  -

in  particular  in  the  fields  of  transport,  energy  and 

telecommunications 

networks, 

trade 

co-operation, 

ecologically 

sustainable 

development, and justice and home affairs. 

3 8. 

In  assessing  the usefulness  of EC  support  for  particular  initiatives,  the  active 

involvement  of the  countries  directly  concerned,  including  through  financing,  should 

serve  as  a  key  criterion.  Technical  assistance  will  be  provided  through  existing 

instruments  - primarily  Tacis,  Phare,  Meda  and,  where  appropriate,  Interreg  - in 

accordance with their established procedures and on the basis of existing budget lines, 

while  at  the  same time  developing  as  much  as  possible  "Black  Sea  synergies"  among 

them.  The development of such co-operation will  provide an opportunity for  economic 

actors in all Members States to participate fully in the agreed co-operation projects. 

39. 

In  programming  actions  in  the  Black  Sea  region,  the  Commission's  main 

interlocutors will be the Black Sea states concerned, both on a bilateral basis and in the 

framework  of multi-country  discussions.  At  the  same  time,  BSEC  - as  the  main 

regional  co-operation initiative of a general  nature in the Black Sea area - can  provide 

13 

important support for this exercise.  In view of the Commission's role in implementing 

assistance,  it  would  be  appropriate  if the  Commission,  on  behalf  of the  European 

Community,  were  invited  to  observe  BSEC  meetings.  By  encouraging  regional  co 

operation  in  the  Black  Sea  area,  the  European  Union  will  contribute  to  enhancing 

security,  stability  and  prosperity  in  this  region  which  is  of  increasing  strategic 

importance to the European Union. 

14 

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c=J  Member state of the Black Sea Economic Co-operation (BSEC) 
I > '.  ::>)  Member state of the European Union (EU) 
c=J  Other countries 
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Contractual relatlon• with the European Union 

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23 

10 

4 

Population change (annual variation rates, 
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C==:J  Decrease> -0,2% 

• Soun:v · World #Jani< 

ISSN 0254-1475 

COM(97) 597 final 

DOCUMENTS 

EN 

11  13  02 

Catalogue  number  CB-C0-97-612-EN-C 

ISBN  92-78-27528-X 

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