Proposal for a Council Decision on the conclusion of an Agreement in the form of an exchange of letters between the European Community and Norway concerning the extension of the common communication network/common system interface within the framework of the Convention on a common transit procedure
Date: 2000-06-16
Institutions: European Commission
Subjects: Norway, computer network, customs transit, transmission network

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 16.06.2000
COM(2000) 369 final

2000/0156 (ACC)

Proposal for a

COUNCIL DECISION

on the conclusion of an Agreement in the form of an exchange of letters between the
European Community and Norway concerning the extension of the common
communication network/common system interface within the framework of the
Convention on a common transit procedure

(presented by the Commission)

1.

2.

3.

4.

5.

6.

7.

8.

EXPLANATORY MEMORANDUM

The implementation of the computerised transit system introduced by Decision
n° 1/991 of the Joint Committee on common transit requires the setting up of an
international computer network to enable the exchange of information between the
competent authorities of the Parties to the Convention of 20 May 1987 on a common
transit procedure2.

The European Community has already developed the Common Communications
Network/Common System Interface (CCN/CSI) which fulfils
the necessary
requirements.

By Decision n° 2/99 of the Joint Committee the CCN/CSI is to be used by all
Contracting Parties to the Convention of 20 May 1987 on a common transit
procedure3.

By the Decision n° 2/99 the financial participation of the EFTA countries and other
related issues are to be agreed between the Community and each of the EFTA
countries.

By Decision of 22.10.1999, the Council authorised the Commission to negotiate with
each of the non EU partner countries to the Convention on a common transit
procedure, in consultation with the special committee appointed by the Council to
assist it, an agreement in the form of an exchange of letters on the extension of the
CCN/CSI to them, in accordance with the directives annexed to that Decision.

The Commission has negotiated the extension of CCN/CSI
Confederation and the Czech Republic.

to the Swiss

By Decision 2000/305/EC4 of 30 March 2000,
the Council has authorised the
conclusion of an Agreement in the form of an Exchange of Letters between the
European Community and Switzerland concerning the extension of the common
communication network/common system interface (CCN/CSI) within the framework
of the Convention on a common transit procedure.

By Decision 2000/306/EC5 of 30 March 2000,
the Council has authorised the
conclusion of an Agreement in the form of an Exchange of Letters between the
European Community and the Czech Republic concerning the extension of the
common communication network/common system interface (CCN/CSI) within the
framework of the Convention on a common transit procedure

9.

The Commission has negotiated the extension of CCN/CSI to Norway.

1

2

3

4

5

I

of

Appendix

new paragraph

OJ L 65, 12.3.1999, p. 50
OJ L 226, 13.8.1987, p. 2
follows:
Article
1
The
23a:
inserted
following
‘1a. For the exchange of information in paragraph 1, the Common Communications Network/Common
System Interface (CCN/CSI) of the Community shall be used by all contracting Parties. The financial
participation of the EFTA countries and other related issue shall be agreed between the Community and
each of the EFTA countries.’OJ L 119, 7.5.1999, p. 53
OJ C L102, 27.4.2000…, p. 50.
OJ C L102, 27.4.2000…, p. 58.

is
paragraph

amended
1a

as
article

Convention

the

as

in

is

2

10.

The text
lays down the financial and technical conditions for the extension of
to Norway. The agreement does not have long-lasting financial
CCN/CSI
implications on the E.U. budget as it foresee a system of pre-financing from the
partner country, which will have to advance, by 15 May every year, a flat-rate sum
for the annual cost of the use of the network. Moreover Norway will have to
constitute (year 2000) and replenish (from 2001 onwards) a reserve for contingencies
and future development. The texts contain an obligation for all parties involved to
respect the technical specifications relating to the project and the rules concerning
the general security policy as established and agreed in the framework of the project.

11.

The Commission invites the Council to adopt the attached proposal for a Decision to
approve the agreement with Norway on the basis of the results of the negotiations
contained in Annexes I and II.

3

2000/0156 (ACC)

Proposal for a

COUNCIL DECISION

on the conclusion of an Agreement in the form of an exchange of letters between the
European Community and Norway concerning the extension of the common
communication network/common system interface within the framework of the
Convention on a common transit procedure

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular
Article 133 together with the first sentence of Article 300(2) and the first subparagraph of
Article 300(3) thereof,

Having regard to the proposal from the Commission,

Whereas:

(1)

(2)

(3)

(4)

The implementation of the computerised system introduced by Decision No 1/1999 of
the EC/EFTA Joint Committee on common transit 6 requires the setting up of an
international computer network to make possible the exchange of information between
the competent authorities of the parties to the Convention of 20 May 1987 on a
common transit procedure 7, hereinafter referred to as "the Convention".

The European Community has already developed the Common Communication
Network/Common System Interface
the necessary
requirements.

(CCN/CSI) which fulfils

Decision No 2/1999 of the EC/EFTA Joint Committee on common transit provides
that the CCN/CSI is to be used by all contracting parties to the Convention8 and that
the financial participation of the partner countries and other related issues will be
determined by mutual agreement between the Community and each of the partner
countries.

On 22 October 1999 the Council authorised the Commission of the European
Communities to negotiate with each of the non-Community partner countries, parties
to the Convention, an agreement in the form of an exchange of letters on the extension
of CCN/CSI to each of them.

(5)

The Commission has negotiated the extension of CCN/CSI to Norway.

6

7

8

OJ L 65, 12.3.1999, p. 50.
OJ L 226, 13.8.1987, p. 2.
OJ L 119, 7.5.1999, p. 53.

4

(6)

The Agreement in the form of an Exchange of Letters concerning this extension
should be approved

HAS DECIDED AS FOLLOWS:

Article 1

The Agreement in the form of an Exchange of Letters between the European Community and
Norway concerning the extension of the common communication network/common system
interface (CCN/CSI), in the framework of the Convention on a common transit procedure, is
hereby approved on behalf of the Community.

The text of the Agreement in the form of an Exchange of Letters is attached to this Decision.

Article 2

The President of the Council is hereby authorised to designate the person(s) authorised to sign
the Agreement in the form of an Exchange of Letters so as to render it binding on the
Community.

Article 3

This Decision shall take effect on the day of its publication in the Official Journal of the
European Communities.

Done at Brussels,

For the Council
The President

5

EXCHANGE OF LETTERS

ANNEX I

between the European Community and Norway concerning the extension of the
common communication network/common system interface within the framework of the
Convention on a common transit procedure

A.

Letter from the European Community

Sir,

Regarding the extension of the use of the Common Communications Network/Common
System Interface (CCN/CSI) for the New Computerised Transit System to Norway, I would
like to propose the following commitment on behalf of the European Community:

I - The Parties will comply with the technical specifications as set out in the documents listed
in the Annex to this letter, which have been made available to Norway together with any
future amendments which may be made in connection with the project.

II - The European Commission of the European Communities (hereinafter referred to as the
"Commission") will manage and develop the system in accordance with the guidelines drawn
up by the Customs Policy Committee - Working Party on Data Processing - CCN/CSI
Technical Subgroup (CPC-CWP-CCN/CSI) for the partner countries also.

III - The Parties will comply with the rules on general security policy as laid down and
decided within the framework of the project.

IV - Not later than 1 September 2000, Norway will pay a flat-rate sum of 120.000 Euro for
the installation of CCN/CSI.

the Commission will clear the accounts relating to the
V - Before 31 January 2001,
installation costs on the basis of the sum already paid and the actual costs chargeable to
Norway on the basis of the specific agreement which the Commission has concluded for that
purpose with the subcontractor and will provide Norway with a statement of account. The
final payment (payment of balance) will take place 30 days after the presentation of the
statement of account.

VI - Not later than 1 September 2000, Norway will pay a flat -rate sum of 48.000 Euro for the
costs of operating the network for the year 2000.

VII - As from 2001, on 15 May each year, Norway will pay a flat-rate sum for the annual cost
of use of the network. Before 31 July each year, the Commission will inform Norway of the
flat-rate sum for the following year. The flat-rate sum for the year 2001 will amount to
XXXX Euro.9

VIII - Before 31 January each year, the Commission will clear the accounts relating to the
annual costs of operating the network on the basis of the sum already paid and the actual costs

9

The flat-rate sum is likely to amount to 96.000 Euro and will be communicated before the signature of
the exchange of letters takes place. The amount will depend on the results of the tendering process
which is currently taking pace.

6

chargeable to Norway and will provide Norway with a statement of account. The Commission
will calculate the actual cost on the basis of its relationship with the subcontractor, chosen in
accordance with the current procedures for the award of contracts. The final payment
(payment of balance) will take place 30 days after the presentation of the statement of
account. The total amount to be paid by Norway will not in any case exceed by 20% the
annual flat-rate sum already paid.

IX - In the same way as the Member States of the European Union, Norway will be kept
trends in these costs as well as of the main aspects of the
informed of the forecast
development of the CCN/CSI which are likely to have an impact on those costs.

X - Not later than 1 September 2000, Norway will pay a deposit for contingencies and future
development of the amount of 40 000 Euro. The Commission will provide Norway with a
statement of account specifying the breakdown of costs charged to that deposit. Not later than
15 May each year, Norway will replenish the deposit by paying a sum corresponding to the
amount actually used for contingencies and future development in the previous year.

XI - All payments must be made to the Commission. Unless specified otherwise, they will be
based on a statement of account issued by the Commission containing a breakdown of costs
identifying the different services and the supply of hardware and software, payable within
60 days.

XII - This agreement will remain in force as long as the two parties are contracting parties to
the Convention of 20 May 1987 on a common transit procedure. However, both parties shall
reserve the right to amend the agreement by mutual agreement.

XIII - If Norway pays the amounts provided for in points IV, V, VI, VII VIII and X later than
the dates specified in those points, the European Union may charge interest on the arrears (at
the rate applied by the Central European Bank to its operations in Euro, published in
the "C" series of the Official Journal, on the day on which the deadline for repayment expires,
plus one and a half points). The same rate will apply to payments to be made by the
Community.

I would be grateful if you could confirm the agreement of Norway to the above.

B.

Letter from Norway

Sir,

I acknowledge receipt of your letter concerning the extension of the use of the Common
Communications Network/Common System Interface (CCN/CSI) for the New Computerised
Transit System to Norway, which reads as follows:

Regarding the extension of the use of the Common Communications Network/Common
System Interface (CCN/CSI) for the New Computerised Transit System to Norway, I would
like to propose the following commitment on behalf of the European Community:

I - The Parties will comply with the technical specifications as set out in the documents listed
in the Annex to this letter, which have been made available to Norway together with any
future amendments which may be made in connection with the project.

II - The European Commission of the European Communities (hereinafter referred to as the
"Commission") will manage and develop the system in accordance with the guidelines drawn

7

up by the Customs Policy Committee - Working Party on Data Processing - CCN/CSI
Technical Subgroup (CPC-CWP-CCN/CSI) for the partner countries also.

III - The Parties will comply with the rules on general security policy as laid down and
decided within the framework of the project.

IV - Not later than 1 September 2000, Norway will pay a flat-rate sum of 120.000 Euro for
the installation of CCN/CSI.

V - Before 31 January 2001,
the Commission will clear the accounts relating to the
installation costs on the basis of the sum already paid and the actual costs chargeable to
Norway on the basis of the specific agreement which the Commission has concluded for that
purpose with the subcontractor and will provide Norway with a statement of account. The
final payment (payment of balance) will take place 30 days after the presentation of the
statement of account.

VI - Not later than 1 September 2000, Norway will pay a flat -rate sum of 48.000 Euro for the
costs of operating the network for the year 2000.

VII - As from 2001, on 15 May each year, Norway will pay a flat-rate sum for the annual cost
of use of the network. Before 31 July each year, the Commission will inform Norway of the
flat-rate sum for the following year. The flat-rate sum for the year 2001 will amount to
XXXX Euro.10

VIII - Before 31 January each year, the Commission will clear the accounts relating to the
annual costs of operating the network on the basis of the sum already paid and the actual costs
chargeable to Norway and will provide Norway with a statement of account. The Commission
will calculate the actual cost on the basis of its relationship with the subcontractor, chosen in
accordance with the current procedures for the award of contracts. The final payment
(payment of balance) will take place 30 days after the presentation of the statement of
account. The total amount to be paid by Norway will not in any case exceed by 20% the
annual flat-rate sum already paid.

IX - In the same way as the Member States of the European Union, Norway will be kept
trends in these costs as well as of the main aspects of the
informed of the forecast
development of the CCN/CSI which are likely to have an impact on those costs.

X - Not later than 1 September 2000, Norway will pay a deposit for contingencies and future
development of the amount of 40 000 Euro. The Commission will provide Norway with a
statement of account specifying the breakdown of costs charged to that deposit. Not later than
15 May each year, Norway will replenish the deposit by paying a sum corresponding to the
amount actually used for contingencies and future development in the previous year.

XI - All payments must be made to the Commission. Unless specified otherwise, they will be
based on a statement of account issued by the Commission containing a breakdown of costs
identifying the different services and the supply of hardware and software, payable within
60 days.

10

The flat-rate sum is likely to amount to 96.000 Euro and will be communicated before the signature of
the exchange of letters takes place. The amount will depend on the results of the tendering process
which is currently taking pace.

8

XII - This agreement will remain in force as long as the two parties are contracting parties to
the Convention of 20 May 1987 on a common transit procedure. However, both parties shall
reserve the right to amend the agreement by mutual agreement.

XIII - If Norway pays the amounts provided for in points IV, V, VI, VII VIII and X later than
the dates specified in those points, the European Union may charge interest on the arrears (at
the rate applied by the Central European Bank to its operations in Euro, published in
the "C" series of the Official Journal, on the day on which the deadline for repayment expires,
plus one and a half points). The same rate will apply to payments to be made by the
Community.

I am pleased to confirm the agreement of Norway to the content of

this letter.

9

ANNEX II

ANNEX TO THE EXCHANGE OF LETTERS

CCN/CSI EXTERNAL DOCUMENTATION

GENERAL

21info_en

21info_fr

Arap_101

Bnf104de

Bnf104en

Bnf104fr

Lr092v08

Lr155v01

CCN/CSI
taxation

telematic integration in the customs and indirect

CCN/CSI : l’intégration télématique au service de la douane et de
la fiscalité indirecte

Architecture of trans-European applications

Benefits expected from the use of CCN/CSI by the trans-European
applications of DGXXI (in German)

Benefits expected from the use of CCN/CSI by the trans-European
applications of DGXXI

Benefits expected from the use of CCN/CSI by the trans-European
applications of DGXXI (in French)

Description of the CSI offer

Description of the dynamic behaviour of the CCN/CSI interactions

Lst-rol-XXI-00

Description of CCN/CSI roles

Mathaeus - Dublin

Architecture and methodology for intra-Community systems

Pre-gen-XXI

CCN/CSI presentation and reading guide

CCN/TC

Ccn_tc_sla_03

CCN/TC Service Level Agreement

Epm01

Sqp_01

CCN/TC External Procedure Manual

CCN/TC Service Quality Plan

DEVELOPMENT

Acg_03

Prg_c_05

Application Configuration Guide

Application Programming Guide (C language)

10

Prg_Cob_BS2000_03

Application Programming Guide (Cobol
BS2000)

language for

Prg_Cob_CICS_01

Application Programming Guide (Cobol
IBM)kkk

language for

Prg_Cob_GCOS7_03

Application Programming Guide (Cobol
GCOS7)

language for

Prg_Cob_GCOS8_01

Application Programming Guide (Cobol
GCOS8)

language for

Ref_cd09

Common Definitions Reference Manual (C language)

Ref_Cob_cd01

Common Definitions Reference Manual (Cobol language)

Ref_Cob_cs01

CSI Reference Manuel (Cobol language)

Ref_Cob_gs01

GSS Reference Manual (Cobol language)

Ref_Cob_hl01

HL Reference Manual (Cobol language)

Ref_Cob_os01

OS Reference Manual (Cobol language)

Ref_Cob_pr01

Presentation Reference Manual (Cobol language)

Ref_cs09

Ref_er05

Ref_gs03

Ref_hl07

Ref_os01

Ref_pr07

SECURITY

CSI Reference Manuel (C language)

CSI Error Reason codes Reference Manual

GSS Reference Manual (C language)

HL Reference Manual (C language)

OS Reference Manual (C language)

Presentation Reference Manual (C language)

Pol-sec-XXI-01

CCN/CSI General Security Policy

11

SPECIFICATIONS

Ad_07

Frs_03

Fss_05

Ovw_07

TRAINING

Architecture Design

Requirement Specifications

Functional System Specifications

System Overview

Tra-csi(mod1)-05.ppt

Course for the CSI application architects and developers

Tra-csi(mod2)-05.ppt

Course for the CSI application architects and developers (C
language)

Tra-csi(mod3)-03.ppt

Course for the CSI application architects and developers (C
language)

Tra-csi_cob(mod2)-01.ppt Course for the CSI application architects and developers

(Cobol language)

Tra-csi_cob(mod3)-01.ppt Course for the CSI application architects and developers

(Cobol language)

12

1.

2.

3.

4.

5.

5.0

5.1

FINANCIAL STATEMENT

BUDGET HEADING:
B7-8600 and 6093 (statement of revenue)
TITLE:
Customs co-operation and international assistance (Customs 2000) and revenue accruing from the
participation of the non-member countries in customs co-operation agreements
LEGAL BASIS:
Decision N° 2/99 of the EC-CEFTA joint committee "common Transit" of 30 March 1999 modifying
Appendix I of the Convention of 20 May 1987, on a common transit procedure. OJ L 119 p. 53, of
07/05/99.

DATE:
APPROPRIATIONS:

AIMS:
Installation and use of the CCN/CSI network by Norway
FINANCIAL IMPLICATIONS

12 MONTH
PERIOD

(EUR million)
0.208

CHARGED TO THE EC BUDGET

NATIONAL AUTHORITIES
OTHER

EXPENDITURE
-
(REFUNDS/INTERVENTIONS)
-
-
REVENUE
-
(LEVIES/CUSTOMS DUTIES)
NATIONAL
-

OWN RESOURCES OF THE EC

CURRENT
FINANCIAL
YEAR
[n]
(EUR million)

FOLLOWING
FINANCIAL
YEAR
[n+1]
(EUR million)
0.096

0.208

0.096

5.0.1 ESTIMATED EXPENDITURE
5.1.1 ESTIMATED REVENUE
5.2 METHOD OF CALCULATION:

[n+2]

[n+3]

[n+4]

[n+5]

The CCN/CSI was developed by the Community as a common network between the administrations of
the Member States, to allow an exchange of information between the Member States themselves and the
Commission
The existence of such an international computer network for the exchange of information between the
customs authorities involved is an essential instrument for the implementation of the new computerised
transit system (NCTS).
A decision has been taken to allow the EFTA and Visegrad Countries (Poland, Hungary, Czech Republic
and Slovak Republic) to use the system to exchange data within the framework of common transit,
(Decision 2/99).
In this respect, the Community financial involvement is confined to advancing funds to cover spending
which will be reimbursed , via the item 6093, by Norway
The installation costs of the CCN/CSI network can be estimated at +/ -
The annual costs of use of the network are estimated (2000) at +/ -
The possible cost of contingencies, and future developments of the network can be evaluated at
40.000 for 2000. Each following year, Norway will replenish the deposit by paying a sum corresponding
to the amount actually used for contingencies and future development in the previous year.

s 48.000; (2001) +/ -

s 96 000
s

s 120 000

€

€

€

€

6.0

6.1

CAN THE PROJECT BE FINANCED FROM APPROPRIATIONS ENTERED IN THE
RELEVANT CHAPTER OF THE CURRENT BUDGET?
CAN THE PROJECT BE FINANCED BY TRANSFER BETWEEN CHAPTERS OF
THE CURRENT BUDGET?

6.2 WILL A SUPPLEMENTARY BUDGET BE NECESSARY?
6.3 WILL APPROPRIATIONS NEED TO BE ENTERED IN FUTURE BUDGETS?

YES NO

YES NO
YES NO
YES NO

13

OBSERVATIONS:
The Commission will commit the appropriations concerned at the time of the signature of the contract and
payments will come to an end once the country concerned will have received the installation. Payments will be
carried out via the B7-8600 heading, Customs 2000 of the general Budget.
The procedure for the recovery of the annual costs of use of the network is similar. These costs will be updated
each year, according to the market trends.
Refunding will be required to the third countries concerned, via the item 6093 of the statement of revenues. The
refund procedures are specified in the exchange of letters.

14