Proposal for a Council Regulation on the conclusion of the Fourth Protocol laying down the conditions relating to fishing provided for in the Agreement on fisheries between the European Economic Community, on the one hand, and the Government of Denmark and the local Government of Greenland, on the other
Date: 2000-12-22
Institutions: European Commission
Subjects: Denmark, Greenland, catch quota, financial equalisation, fishing agreement

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24.4.2001

Proposal for a Council Regulation on the conclusion of the Fourth Protocol laying down the
conditions relating to fishing provided for in the Agreement on fisheries between the European
Economic Community, on the one hand, and the Government of Denmark and the local
Government of Greenland, on the other

(2001/C 120 E/17)

(Text with EEA relevance)

COM(2000) 865 final (cid:151) 2000/0348(CNS)

(Submitted by the Commission on 22 December 2000)

THE COUNCIL OF THE EUROPEAN UNION,

HAS ADOPTED THIS REGULATION:

Having regard to the Treaty establishing the European
Community, and in particular Article 37 in conjunction with
Article 300(2) and (3) first subparagraph thereof,

Having regard to the proposal from the Commission,

Having regard to the opinion of the European Parliament,

Whereas:

(1) Pursuant

to Article 2(1) and 6 of

the Agreement on
fisheries between the European Economic Community, on
the one hand, and the Government of Denmark and the
local Government of Greenland, on the other (1), the Parties
have negotiated a Fourth Protocol
laying down the
conditions relating to fishing provided for in the said
Agreement,
intended to come into force at the end of
the period of application of the Third Protocol.

Article 1

The Fourth Protocol,
laying down the conditions relating to
fishing provided for in the Agreement on fisheries between
the European Economic Community, on the one hand, and
the Government of Denmark and the local Government of
Greenland, on the other, is hereby approved on behalf of the
Community.

The text of the Protocol is attached to this Regulation.

Article 2

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

(2) As a result of these negotiations, this new Protocol was

initialled on 13 September 2000.

(3) Under this new Protocol, Community fishermen will enjoy
fishing opportunities in waters under the jurisdiction of
Greenland from 1 January 2001 to 31 December 2006.

(4) It is in the Community’s interests to approve this Protocol,

Article 3

This Regulation shall enter into force on the day following 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.

(1) OJ L 29, 1.2.1985, p. 9.

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FOURTH PROTOCOL

laying down the conditions relating to fishing provided for in the Agreement on fisheries between
the European Community, on the one hand, and the Government of Denmark and the Home Rule
Government of Greenland, on the other

THE EUROPEAN COMMUNITY,

on the one hand, and

THE GOVERNMENT OF DENMARK AND THE HOME RULE GOVERNMENT OF GREENLAND,

on the other,

HAVING regard to the Agreement on fisheries between the European Community, on the one hand, and the
Government of Denmark and the Home Rule Government of Greenland, on the other,

HAVE AGREED AS FOLLOWS:

Article 1

1.

This Protocol shall apply to fishing activities from 1 January 2001 to 31 December 2006.

The quotas referred to in Article 2 of the Agreement shall be fixed at the following quantities for

2.
each year:

Species

Cod

Redfish

Greenland halibut

Shrimp

Halibut

Catfish

Blue whiting

Capelin

Roundnose grenadier

Western stock
(NAFO 0/1)

2 000 (1)

5 500

1 500

(cid:151)

200 (3)

300

(cid:151)

25 000

1 350

(in tonnes)

Eastern stock
(ICES XIV/V)

25 500 (2)

4 800

5 675

200 (3)

300

15 000

(4)

2 000

(1) May be fished West or East.
(2) May be fished East or West and of which a maximum of 20 000 tonnes may be fished by pelagic trawl. Catches from the bottom

trawl fishery and the pelagic trawl fishery shall be reported separately.

(3) If bycatches by Community vessels of Atlantic halibut in trawl cod and redfish fisheries would imply overruns of Community quotas
of Atlantic halibut, the Greenland authorities will provide solutions to the effect that Community cod and redfish fisheries never-
theless can continue until the cod and redfish quotas have been exhausted.

(4) 70% of the Greenland share of the capelin TAC.

3.
Notwithstanding the quotas under paragraph 2 the Community may fish up to the reference
quantities laid down in Annex I. This shall be without further financial compensation than laid down
in Article 11. The quotas will be adapted annually or at other intervals in the light of available scientific
information.

The quota for shrimp in East Greenland may be fished in areas west of Greenland provided that
4.
arrangements for quota transfers between shipowners from Greenland and the Community have been
established on a company-to-company basis. The Greenland Home Rule Government shall undertake to
facilitate such arrangements. The transfers of quotas can only take place within a maximum of
2 000 tonnes annually in areas of West Greenland. The fishery carried out by the Community vessels
shall take place on the same conditions as laid down in the licence issued to the Greenlandic shipowner.

Greenland undertakes to grant each year a quantity of 2 000 tonnes of snow crab to temporary joint

5.
ventures or joint enterprises within the meaning of Articles 4 and 5.

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The quantities referred to in the first paragraph of Article 7 of the Agreement are hereby set at the
following levels each year:

Article 2

Species (tonnes)

Cod

Redfish

Greenland halibut

Shrimp

Catfish

(1) May be fished West or East.

Western stock
(NAFO 0/1)

52 250 (1)

2 500

4 700

25 000

4 000

Article 3

(in tonnes)

Eastern stock
(ICES XIV/V)

5 000

(cid:151)

1 500

(cid:151)

Greenland shall give a special preference to companies from Member States of
the Community in
connection with the negotiation of contracts concerning such quantities of cod, or other species, which
it offers for over-the-side sales or cod-end-transfers in situations where the capacity of the Greenland fish
processing plants is insufficient to process the quantities fished by the Greenland fishing fleet. Such
contracts will be negotiated directly on a commercial basis.

For the purpose of Article 8a of the Agreement the following definition shall apply:

Article 4

(cid:145)Temporary joint venture(cid:146) means any association based on a contractual agreement of limited duration
between Community shipowners and physical or legal persons in Greenland, with the aim of jointly fishing
for and exploiting Greenland fishing quotas by vessels flying the flag of a Member State of the European
Community and sharing the cost profits or losses of the economic activity jointly undertaken, with a view
to the priority supply of the Community market.

(cid:145)Joint enterprises(cid:146) means any company regulated by Greenland law comprising one or more Community
shipowners and one or more partners in Greenland, with the aim of fishing for and possibly exploiting
Greenland fishing quotas in the waters under the sovereignty and/or jurisdiction of Greenland by vessels
flying the flag of Greenland with a view to the priority supply of the Community market.

Article 5

The Parties shall assess the projects for the temporary joint ventures and joint enterprises provided for in
Article 4. The projects shall be assessed in accordance with the methods and criteria set out in Annex II.

In order to encourage the establishment of joint enterprises referred to in Article 4, financial assistance
may be granted in accordance with conditions laid down in Council Regulation (EC) No 2792/1999.

Article 6

Article 7

A Joint Committee shall be set up to oversee the application of Articles 5 and 6 of this Protocol. The duty
of this Committee shall be, in particular, to:

(cid:151) assess the projects presented by the Parties for the establishment of temporary joint ventures and joint

enterprises provided for in Article 4, in accordance with the criteria set out in Annex II;

(cid:151) review the activities of vessels belonging to temporary joint ventures and joint enterprises in Greenland

waters before the end of their contract.

The Joint Committee shall meet at the request of either Party.

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The conditions concerning access to resources of temporary joint ventures are laid down in Annex III.

Article 8

Article 9

The Parties shall promote the conduct of experimental fisheries on, inter alia, deep sea species, snow crab
and squid in Greenland waters. To this end, they shall hold consultations whenever one of the Parties so
requests and determine, on a case-by-case basis, relevant species, conditions and other parameters.
Furthermore, they shall explore whether projects for experimental fisheries can benefit from financial
assistance.

In order to give effect to the cooperation obligations laid down in Article 9 of the Agreement, the Parties
undertake to establish closer contact with a view to determining relevant areas of cooperation, in particular
in the framework of regional fisheries organisations and in the field of research.

Article 10

In this context, the Parties acknowledge the importance of an efficient control and enforcement scheme in
the regional fisheries organisations to which both Parties adhere. They agree to co-operate with a view to
facilitating an effective implementation of such schemes on the practical level within the capacity of each
Party.

The financial compensation referred to in Article 6 of the Agreement shall, during the period of
1.
validity of this Protocol, be fixed at EUR 42 820 000 payable annually at the beginning of each fishing
year.

Article 11

The compensation shall be adjusted during the course of each fishing year in proportion to the
2.
supplementary quota allocated to the Community, calculated on the basis of cod equivalents under Article
8 of the Agreement.

Greenland shall make available to the Community a quantity of 20 000 tonnes of cod equivalents,
3.
which the Community may use for the purposes of acquiring supplementary catch possibilities. The
adjusted compensation referred to in paragraph 2 may consist of up to 50 % of these cod equivalents.

The procedure to be followed as regards the allocation of supplementary catch possibilities under

4.
Article 8 of the Agreement is set out in Annex IV.

Failure to implement the commitments laid down in this Protocol may, without prejudice to the provisions
of Article 7 and 10 of the Agreement, entail a corresponding reduction in the commitments referred to in
Articles 1 and 11 of this Protocol.

Article 12

This Protocol shall enter into force on the date of its signature. It shall apply from 1 January 2001. The
Parties shall notify each other on the completion of the procedures necessary for this purpose.

Article 13

No later than 30 June 2003 the Parties shall meet with a view to assessing the effectiveness of the

1.
Protocol.

Article 14

2.
They shall review and assess the adequacy of this Protocol and if necessary propose amendments. In
this context they shall assess the overall relationship between the Parties and assess whether additional
instruments should be developed and implemented to better address the development needs of Greenland.

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Following the entry into force of this Protocol, the Parties undertake to prepare the review meeting
3.
referred to in paragraph 1. To this end, they will establish appropriate contacts and exchange material
which they deem appropriate.

No later than four months before the meeting referred to in paragraph 1, the Parties shall notify each other
of
their possible proposals for
amendments.

the subject matters which they intend to raise and, as appropriate,

Two months following the notification, the Parties shall enter into consultations with a view to

4.
preparing the review meeting and examining any possible proposals for amendments.

Following the completion of the review meeting the Parties shall notify each other of the acceptance

5.
by their respective Authorities of any proposed amendments.

Article 15

This Protocol shall be drawn up in duplicate in the Danish, Dutch, English, Finnish, French, German,
Greek, Italian, Portuguese, Spanish and Swedish language, each text being equally authentic.

The Greenland authorities will provide a translation into Greenlandic of the Protocol.

ANNEX I

REFERENCE QUANTITIES

Western stock
(NAFO 0/1)

31 000 (1)

5 500

1 500

(cid:151)

200 (3)

1 000

(cid:151)

25 000

3 350

(in tonnes)

Eastern stock
(ICES XIV/V)

(cid:151)

47 320 (2)

4 800

5 675

200 (3)

1 000

15 000

(4)

4 650

Species

Cod

Redfish

Greenland halibut

Shrimp

Halibut

Catfish

Blue whiting

Capelin

Roundnose grenadier

(1) May be fished West or East.
(2) 25 500 tonnes may be fished East or West and of which a maximum of 20 000 tonnes may be fished by pelagic trawl. Catches from

the bottom trawl fishery and the pelagic trawl fishery shall be reported separately.

(3) If bycatches by Community vessels of Atlantic halibut in trawl cod and redfish fisheries would imply overruns of Community quotas
of Atlantic halibut, the Greenland authorities will provide solutions to the effect that Community cod and redfish fisheries never-
theless can continue until the cod and redfish quotas have been exhausted.

(4) 70 % of the Greenland share of the capelin TAC.

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ANNEX II

METHODS AND CRITERIA FOR PROJECT ASSESSMENT

1. The Parties shall exchange information on the projects presented for the formation of temporary joint ventures and

joint enterprises according to Article 4 of this Protocol.

2. The projects shall be presented to the Community via the competent authorities of the Member State or Member

States concerned.

3. The Community shall submit to the Joint Committee a list of projects concerning temporary joint ventures and joint

enterprises. The Joint Committee shall assess the projects in accordance inter alia with the following criteria:

(a) technology appropriate to the proposed fishing operations;

(b) target species and fishing zones;

(c) age of the vessel;

(d) in case of temporary joint ventures, the total duration and that of fishing operations;

(e) previous experience of the Community shipowner and any Greenlandic partner in the fisheries sector.

4. The Joint Committee shall issue an opinion on the projects following the assessment under point 3.

5. In the case of temporary joint ventures, once the projects have received a favourable opinion from the Joint

Committee, the Greenland Authority shall issue the necessary authorisations and fishing licences.

CONDITIONS CONCERNING ACCESS TO RESOURCES OF TEMPORARY JOINT VENTURES IN GREENLAND

ANNEX III

1. Licences

The fishing licences to be issued by Greenland shall have a validity equal to the duration of the temporary joint
ventures. Fishing shall take place on quotas allocated by the Greenland Authority.

2. Replacement of vessels

A Community vessel operating under a temporary joint venture may be replaced by another Community vessel with
equivalent capacity and technical specifications only on duly justified grounds and with the agreement of the parties.

3. Fitting-out

Vessels operating under temporary joint ventures shall comply with the rules and regulations applicable in Greenland
regarding fitting-out, which regulation shall be applied without discrimination between Greenland and Community
vessels.

4. Catch declaration

(a) All Community vessels shall forward to the Greenland Authority a catch declaration in accordance with Green-

landic fishery regulations.

(b) A copy of the catch declaration shall be forwarded to the European Commission.

(c) In the event of these provisions not being complied with, the Greenland Authority may suspend the fishing

licence of the vessel involved until the said formalities have been complied with.

5. Scientific observers

At the request of the Greenland authority, Community vessels fishing pursuant to this Protocol shall permit a
scientific observer designated by the said Authority to come on board to perform his tasks. The observer shall be
provided with all the facilities necessary for the exercise of his functions.

The conditions of his stay on board shall be the same as those of the other officers of the vessel. Observers
remunerations and social security contributions shall be paid by the Greenland authorities. The costs of his stay
on board shall be borne by the owner of the vessel.

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ANNEX IV

SUPPLEMENTARY CATCH POSSIBILITIES

1. The authorities responsible for Greenland undertake to offer to the Community by 15 November each year such
supplementary catch possibilities referred to in Article 8 of the Agreement, which at the time are expected to be
available the following fishing year.

The Community shall inform the authorities responsible for Greenland of its reaction to the offer no later than 6
weeks after receipt of the offer. If the Community either declines the offer or does not react within 6 weeks, the
authorities responsible for Greenland will be free to offer the supplementary catch possibilities to other parties.

2. If at any time during the fishing year additional supplementary catch possibilities under Article 8 of the Agreement
are identified, which exceed the catch possibilities contained in the offer referred to in paragraph 1, the authorities
responsible for Greenland shall offer the Community such additional possibilities.

The Community shall inform the authorities responsible for Greenland of its reaction to the offer no later than 6
weeks after receipt of the offer. If the Community either declines the offer or does not react within 6 weeks, the
authorities responsible for Greenland will be free to offer the supplementary catch possibilities to other parties.