Proposal for a Council Decision concerning the conclusion of the Agreement for scientific and technological co-operation between the European Community and Ukraine.
Date: 2002-10-10
Institutions: European Commission
Subjects: Ukraine, cooperation agreement (EU), research and development, scientific cooperation, technical cooperation

EN

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 10.10.2002
COM(2002) 550 final

 2002/0243 (CNS)

Proposal for a

COUNCIL DECISION

concerning the conclusion of the Agreement for scientific and technological co-operation
between the European Community and Ukraine
.

.

(presented by the Commission)

1

1.

2.

3.

4.

5.

EXPLANATORY MEMORANDUM

On  8  October  2001,  the  Council  authorised  the  Commission  to  negotiate  an
Agreement  for  scientific  and  technological  co-operation  between  the  European
Community and Ukraine.

The  Agreement  was  negotiated  against  the  background  of  an  upgraded  and
intensifying co-operation between Ukraine and the European Union, considering the
importance of science and technology for economic and social development and the
mutual wish to extend and strengthen the conduct of co-operative activities in areas
of common interest. The Agreement shall be concluded for  an initial period ending
31 December 2002 and will be renewable by common agreement between the Parties
for additional periods of five years.

The  negotiations  resulted  in  a  draft  Agreement  and  its  two  annexes,  initialled  on
13 November 2001.

By  decision  of  27  June  2002,  the  Council  authorised  the  signature  of  the  draft
Agreement which emerged from these negotiations.

The Agreement was signed on 4 July 2002 in Copenhagen.

The Agreement is based on the principles of mutual benefit, reciprocal opportunities
for access to  each  other’s  programmes  and  activities  relevant  to  the  purpose  of  the
Agreement, non-discrimination, and the  effective protection  of  intellectual  property
and equitable sharing of intellectual property rights.

6.

The Agreement provides for :

–  participation  of  Ukrainian  entities  in  Community  projects,  in  the  areas  of
cooperative  activities, and a reciprocal participation of entities established in  the
Community  in  Ukrainian  projects  in  those  areas.  Projects  may  also  include  a
Party's  scientific  and  technological  organisations  and  may  also  be  undertaken  in
cooperation with the Agencies and official bodies of the Parties;

–  free  access  to,  and  shared  use  of  research  facilities,  including  installations  and
sites for monitoring, observation and experimentation, as well as data collection,
relevant to the cooperative activities;

–  visits and exchanges of scientists, engineers, or other appropriate personnel for the
purposes  of  participating  in  seminars,  symposia  and  workshops  relevant  to
cooperation under this Agreement;

–  exchange  of  information  on  practices,  legislation,  regulations  and  programmes

relevant to cooperation under this Agreement;

–  other activities as may be mutually determined by the Joint Community-Ukraine
Committee  in  accordance  with  the  applicable  policies  and  programmes  of  the
Parties;

–  the endorsement by the Parties of Technology Management Plans as a condition
for research projects to proceed, as described in the Annex 1 to the Agreement;

2

7.

8.

–  co-operation  activities  to  be  subject  to  the  availability  of  funds  and  to  the
applicable  laws  and  regulations,  policies  and  programmes  of  Ukraine  and  the
Community; no transfer of funds will take place.

As regards dissemination and utilisation of information and management, allocation
and  exercise  of  intellectual  property  rights,  resulting  from  joint  research  under  the
Agreement, they shall be subject to the provisions of the Annex 2 to the Agreement.

In the light of the above-mentioned considerations, the Commission proposes that the
Council :

–  after  consulting  the  European  Parliament,  approve  on  behalf  of  the  Community
the Agreement for scientific and technological cooperation between the European
Community and Ukraine,

–  notify the Ukrainian authorities that the European Community has completed the

procedures necessary for the Agreement to enter into force.

3

2002/0243 (CNS)

Proposal for a

COUNCIL DECISION

concerning the conclusion of the Agreement for scientific and technological co-operation
between the European Community and Ukraine

THE COUNCIL OF THE EUROPEAN UNION,

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular
Article 170 (2), in conjunction with Article 300 (2), first sentence of the first subparagraph, and
Article 300 (3), first subparagraph, thereof,

Having regard to the proposal from the Commission1,

Having regard to the opinion of the European Parliament2,

Whereas:

(1)

(2)

(3)

(4)

A Partnership  and Co-operation Agreement  between  the  European  Communities  and
their Member States of the one part, and Ukraine of the other part, was signed on 16
June 1994 and has entered into force on 1 March 19983.

A  European  Council  Common  Strategy  on  Ukraine  was  adopted  on  11  December
19994 at the Helsinki European Council.

The  European  Community  and  Ukraine  are  pursuing  specific  RTD  programmes  in
areas of common interest. On the basis of past experience, both sides have expressed a
desire to establish a deeper and broader framework for the conduct of collaboration in
science  and  technology.  This  co-operation  agreement  in  the  field  of  science  and
technology  forms  part  of  the  global  co-operation  between  the  European  Community
and Ukraine.

By  its  Decision  of  8  October  2001,  the  Council  authorised  the  Commission  to
negotiate  on  behalf  of  the  European  Community  an  Agreement  for  scientific  and
technological  co-operation  between  the  European  Community  and  Ukraine.  The
negotiations, conducted in line with the negotiating directives, resulted in the attached
Agreement and its two annexes.

(5)

The Agreement was signed on 4 July 2002, in Copenhagen. 

1

2

3

4

OJ C […], […], p. […]
OJ C […], […], p. […]
OJ L49 of 19.2.1998, p. 3
OJ L 331 of 23.12.1999

4

                                                
(6)

The Agreement should be approved.

HAS DECIDED AS FOLLOWS: 

Article 1

The  Agreement  for  scientific  and  technological  co-operation  between  the  European
Community and Ukraine is hereby approved on behalf of the Community.

The text of the Agreement and its two Annexes is attached to this Decision.

Article 2

The  President  of  the  Council  shall,  on  behalf  of  the  Community,  give  the  notification
provided for in Article 12 of the Agreement.

Done at Brussels, […]

For the Council
The President
[…]

5

AGREEMENT

on cooperation in science and technology
between the European Community and Ukraine

THE EUROPEAN COMMUNITIY (hereinafter "the Community"),

of the one part,

and

UKRAINE,

of the other part,

hereinafter referred to as the "Parties",

CONSIDERING  the  importance  of  science  and  technology  for  their  economic  and  social
development,

RECOGNISING  that  the  Community  and  Ukraine  are  pursuing  research  and  technological
activities  in  a  number  of  areas  of  common  interest,  and  that  participation  in  each  other's
research and development activities on a basis of reciprocity will provide mutual benefits,

HAVING  REGARD  to  the  Partnership  and  Cooperation  Agreement  concluded  between  the
European  Communities  and  their  Member  States  of  the  one  part,  and  Ukraine  of  the  other
part, signed on 16 June 1994, and in particular to Article 58 thereof,

DESIRING to establish a formal basis for cooperation in scientific and technological research
which  will  extend  and  strengthen  the  conduct  of  cooperative  activities  in  areas  of  common
interest and encourage the application of the results of such cooperation to the economic and
social benefits of the Parties,

HAVE AGREED AS FOLLOWS:

Article 1 - Purpose

The Parties shall encourage, develop and facilitate cooperative activities in fields of common
interest  where  they  are  pursuing  research  and  development  activities  in  science  and
technology.

For the purpose of this Agreement:

Article 2 - Definitions

(a)

"Cooperative  activity"  means  any  activity  which  the  Parties  undertake  or  support
pursuant to this Agreement, and includes joint research; 

6

(b)

(c)

(d)

(e)

"Information" means scientific or technical data, results or methods of research and
development stemming from joint research and any other data relating to cooperative
activities; 

"Intellectual property" shall have the meaning defined in Article 2 of the Convention
establishing the World Intellectual Property Organisation, done at Stockholm on 14
July 1967; 

"Joint research" means research implemented with financial support from one or both
Parties and that involves collaboration by participants from both the Community and
Ukraine; 

"Participant"  means  any  person,  legal  entity,  university,  research  institute  or  any
other  body  participating  in  a  cooperative  activity,  including,  where  appropriate,
Agencies and official bodies of the Parties themselves.

Cooperative activities shall be conducted on the basis of the following principles:

Article 3 - Principles

(a)

(b)

(c)

(a)

mutual benefit;

timely exchange of information which may affect cooperative activities; 

balanced realisation of economic and social benefits by the Community and Ukraine
in  view  of  the  contribution  made  to  cooperative  activities  by  the  respective
participants and/or Parties.

Article 4 - Areas of cooperative activities

Cooperation  may  be  pursued 
demonstration activities, including basic research, in the following:

in  research, 

technological  development  and

–  environment and climate research, including earth observation,

–  biomedical and health research,

–  agriculture, forestry and fisheries research,

–  industrial and production technologies,

–  materials research and metrology,

–  non-nuclear energy,

–  transportation,

–  information society technologies,

–  social sciences research,

–  science and technology policy,

7

–  training and exchange of scientists.

(b)

Other areas may be added to this list upon review and recommendation by the Joint
Community-Ukraine Committee mentioned in Article 6 of this Agreement.

Article 5 - Forms of cooperative activities

(a)

Cooperation may include the following activities:

1.

2.

3.

4.

5.

participation  of  Ukrainian  entities  in  Community  projects,  in  the  areas  of
cooperative  activities,  and  a  reciprocal  participation  of  entities  established  in
the Community in Ukrainian projects in those areas. Such participation shall be
subject to  the  laws,  rules,  regulations  and  procedures  in  force  for  each  Party.
Projects  may  also  include a Party's scientific and  technological organisations;
projects may also be undertaken in cooperation with the Agencies and official
bodies of the Parties;

free access to, and shared use of research facilities, including installations and
sites  for  monitoring,  observation  and  experimentation,  as  well  as  data
collections, relevant to the cooperative activities;

visits and exchanges of scientists, engineers, or other appropriate personnel for
the purposes of participating in seminars, symposia and workshops relevant to
cooperation under this Agreement; 

exchange of information on practices, legislation, regulations and programmes
relevant to cooperation under this Agreement;

other  activities  as  may  be  mutually  determined  by  the  Parties  in  accordance
with the applicable policies and programmes of the Parties.

(b)

Joint research projects shall proceed under this Agreement only after the participants
in a project have concluded a joint technology management plan, as indicated in the
Annex 1 to this Agreement which forms an integral part thereof.

(c)

The Parties may jointly pursue cooperative activities with third parties.

Article 6 - Coordination and promotion of cooperative activities

(a)

In order to coordinate and facilitate cooperation activities under this Agreement the
Parties  will  establish  a  Joint Community-Ukraine  Committee  on  cooperation  in  the
field of science and technology, hereinafter called the "Committee".

The  Committee  shall  meet  in  the  framework  of  the  relevant  Sub-Committee
established under the Partnership and Cooperation Agreement between the European
Comunities and their Member-States, and Ukraine.

(b)

The function of the Committee shall include:

1.

2.

overseeing and promoting the activities envisaged under the Agreement;

making recommendations pursuant to Article 4(b);

8

3.

4.

5.

6.

7.

proposing activities pursuant to Article 5, 5 (a);

advising  the  Parties  on  ways  of  enhancing  cooperation  consistent  with  the
principles set out in this Agreement;

providing  an  annual  report  on  the  status  and  effectiveness  of  cooperation
undertaken under this Agreement;

reviewing the efficient and effective functioning of the Agreement;

taking account of the importance of regional aspects of the cooperation.

The  Committee  shall  meet  once  a  year,  meetings  being  held  alternately  in  the
Community and Ukraine. Extraordinary meetings may be held as mutually agreed.

The Committee shall consist of a limited equal number of official representatives of
each  Party;  it  shall  establish  its  own  rules  of  procedure,  subject  to  approval  by  the
Parties.  Decisions  of  the  Committee  shall  be  reached  by  consensus.  Minutes,
comprising  a  record  of  decisions  and  principal  points  discussed,  shall  be  taken  at
each meeting and shall be agreed by those persons selected from each side to chair
jointly  the  meeting.  The  Committee  annual  report  will  be  submitted  to  the
Cooperation  Council  and  the  Cooperation  Committee  established  under  the
Partnership and Cooperation Agreement between the European Comunities and their
Member States, and Ukraine, and appropiate authorities of each Party.

Article 7 - Funding and taxes exemptions

Cooperative scientific and technological activities shall be subject to the availability
of funds and to the applicable laws and regulations, policies and programmes of the
Community and Ukraine. As a rule, each Party shall bear the costs of discharging its
responsibilities under this Agreement, including costs of participation in meetings of
the Committee.

When specific scientific and technological cooperative forms benefit from financial
through
support  of  the  European  Community,  either  directly  or 
organisations set up with the participation of the European Community, provided to
participants  of  Ukraine,  any  such  grants,  financial  or  other  contributions  from  the
European  Community  to  participants  of  Ukraine  in  support  of  their  scientific  and
technological  activities,  shall  be  granted  tax  and  customs  preferences.  Any  such
grants shall be exempt by Ukraine from customs payments, any customs duties and
fees, value added taxes, income taxes and any other taxes and duties of an equivalent
effect.

indirectly 

(c)

(d)

(a)

(b)

Article 8 - Entry of personnel and equipment

Each Party shall take all reasonable steps and use its best efforts, in accordance with its laws
and regulations, to facilitate entry to, stay in and exit from its territory of  persons, material,
data and equipment involved in or used in cooperative activities under this Agreement.

9

Article 9 - Information and intellectual property

The dissemination and utilisation of information, and management, allocation and exercise of
intellectual  property  rights,  resulting  from  joint  research  under  this  Agreement,  shall  be
subject to the provisions of the Annex 2 to this Agreement.

Article 10 - Other agreements and transitional provisions

1.

2.

This Agreement  is without prejudice  to other  existing  Agreements  or  arrangements
between the Parties or any Agreement or arrangement between the Parties and third
parties.

The Parties shall endeavour to bring under the terms of this Agreement those existing
arrangements  for  scientific  and  technological  cooperation  between  the  Community
and Ukraine that fall under the scope of Article 4 of this Agreement.

Article 11 - Territorial application

This  Agreement  shall  apply,  on  the  one  hand,  to  the  territories  in  which  the  Treaty
establishing the European Community is applied and under the conditions laid down  in  that
Treaty, and on the other hand, to the territory of Ukraine. This shall not prevent the conduct of
cooperative  activities  on  the  high  seas,  outer  space  on  the  territory  of  third  countries,  in
accordance with international laws.

(a)

(b)

(c)

(d)

(e)

Article 12 - Entry into force, termination, settlement of disputes

This Agreement shall enter into force on the date on which the Parties have notified
each other in writing that their respective internal procedures necessary for its entry
into force have been completed.

This Agreement  shall be concluded  for  an  initial  period  ending  31  December  2002
and  will  be  renewable  by  common  agreement  between  the  Parties  for  additional
periods of five years.

This  Agreement  can  be  terminated  at  any  time  by  either  Party  upon  a  six  month's
written notice. The  expiration  or  termination  of  this  Agreement  shall  not  affect  the
validity  or  duration  of  any  arrangements  made  under  it,  or  any  specific  rights  and
obligations that have accrued in compliance with the Annexes.

This  Agreement  may  be  amended  by  the  written  agreement  of  the  Parties.
Amendments  shall  enter  into  force  on  the  date  on  which  the  Parties  have  notified
each other in writing that their respective internal procedures necessary for amending
this Agreement have been completed.

All disputes  related  to  the interpretation or  implementation  of this  Agreement  shall
be settled by mutual agreement between the Parties.

10

Article 13

This  Agreement  is  drawn  up  in  duplicate  in  the  Danish,  Dutch,  English,  Finnish,  French,
German, Greek, Italian, Portuguese, Ukrainian, Spanish and Swedish languages, each of these
texts being equally authentic.

Done at             on the day of                  in the year 

For the European Community […]

For Ukraine […]

11

ANNEX 1 

INDICATIVE FEATURES OF A TECHNOLOGY
MANAGEMENT PLAN

The  Technology Management Plan (TMP) is a  specific  agreement to be  concluded  between
the  participants  about  the  implementation  of  joint  research  and  the  respective  rights  and
obligations of the participants.

With  respect  to  intellectual  property,  the  TMP  will  normally  address,  among  other  things,
ownership,  protection,  user  rights  for  research  and  development  purposes,  exploitation  and
dissemination,  including  arrangements  for  joint  publication,  the  rights  and  obligations  of
visiting researchers and dispute settlement procedures. The TMP may also address foreground
and background information, licensing and deliverables.

The TMPs shall be developed taking into account the aims of the joint research, the relative
financial  or  other  contributions  of  the  Parties  or  participants,  the  advantages  and
disadvantages  of  licensing  by  territory  or  for  fields  of  use,  the  transfer  of  export-controlled
data,  goods  or  services,  requirements  imposed  by  the  applicable  laws  and  other  factors
deemed appropriate by the participants.

12

ANNEX 2

INTELLECTUAL PROPERTY RIGHTS

Pursuant to Article 9 of the present Agreement, rights to information and intellectual property
created or furnished under the Agreement shall be allocated as provided in this Annex.

I.

Application

This Annex is applicable to joint research undertaken pursuant to this Agreement, except as
otherwise agreed by the Parties.

II.

1.

Ownership, allocation and exercise of rights

This  Annex  addresses  the  allocation  of  rights  and  interests  of  the  Parties  and  their
participants. Each Party and its participants shall ensure that the other Party and its
participants may obtain the rights to intellectual property allocated to it in accordance
with this Annex. This Annex does not otherwise alter or prejudice the allocation of
rights, interests and royalties between a Party and its nationals or participants, which
shall be determined by the laws and practices applicable to each Party.

2.

The  following  principles  shall  apply  and  shall  be  provided  for  in  the  contractual
arrangements:

(a) Adequate  protection  of  intellectual  property.  The  Parties  and/or 

their
participants, as appropriate, shall ensure that they notify one  another  within a
reasonable  time  of  the  creation  of  any  intellectual  property  arising  under  this
Agreement  or  implementing  arrangements  and  to  seek  protection  for  such
intellectual property in a timely fashion.

(b) Taking  account  of  the  contributions  of  the  Parties  or  their  participants  in

determining the rights and interests of the Parties and participants.

(c)

Effective exploitation of results.

(d) Non-discriminatory treatment of participants from the other party as compared

with the treatment given to its own participants.

(e)

Protection of confidential information.

3.

The  participants  shall  jointly  develop  a  Technology  Management  Plan  (TMP)  in
respect  of  the  ownership  and  use,  including  publication,  of  information  and
intellectual  property  to  be  created  in  the  course  of  joint  research.  The  indicative
features of a TMP are contained in the Annex 1 to this Agreement. The TMP shall be
approved by the responsible funding agency or department of the Party involved in
financing  the  research,  before  the  conclusion  of  the  specific  research  and
development cooperation contracts to which they are attached.

13

4.

5.

Information  or  intellectual  property  created  in  the  course  of  joint  research  and  not
addressed in the TMP shall be allocated, with the approval of the Parties, according
to  the  principles  set  out  in  the  TMP.  In  case  of  disagreement,  such  information  or
intellectual  property  shall  be  owned  jointly  by  all  the  participants  involved  in  the
joint  research  from  which  the  information  or  intellectual  property  results.  Each
participant  to  whom  this  provision  applies  shall  have  the  right  to  use  such
information  or  intellectual  property  for  his  own  exploitation  with  no  geographical
limitation.

While maintaining the conditions of competition in areas affected by the Agreement,
each Party shall endeavour to ensure that rights acquired pursuant to this Agreement
and  arrangements  made  under  it  are  exercised  in  such  a  way  as  to  encourage,  in
particular:

(a)

the dissemination and use of information created, disclosed or otherwise made
available, under the Agreement, and

(b)

the adoption and implementation of international technical standards.

6.

Termination or expiry of this Agreement shall not affect rights or obligations under
this Annex.

III.

Copyright works

Contractual  and  other  implementing  arrangements  shall  provide  for  treatment  of  copyright
belonging to the Parties or to their participants consistent with the Berne Convention for the
protection of literary and artistic work (Paris Act 1971).

IV.

Scientific literary works

Without  prejudice  to  Section  V,  and  unless  otherwise  agreed  in  the  TMP,  publication  of
results of research shall be made jointly  by the Parties or participants to  that  joint  research.
Subject to the foregoing general rule, the following procedures shall apply:

1.

2.

3.

In the case of publication by a Party or public bodies of that Party of scientific and
technical Journals, articles, reports, books, including video and software arising from
joint  research  pursuant  to  this  Agreement,  the  other  Party  or  public  bodies  of  that
Party  shall  be  entitled  within  the  limits  specified  within  the  TMP  to  a  worldwide,
non-exclusive,  irrevocable,  royalty-free  licence  to  translate,  reproduce,  adapt,
transmit and publicly distribute such works.

The Parties shall ensure that literary works of a scientific character arising from joint
research pursuant to this Agreement shall be disseminated as widely as possible.

All  copies  of  a  copyright  work  to  be  publicly  distributed  and  prepared  under  this
provision  shall  indicate  the  names  of  the  author(s)  of  the  work  unless  an  author(s)
to  be  named.  They  shall  also  bear  a  clearly  visible
explicitly  declines 
acknowledgement of the cooperative support of the Parties.

14

V.

A.

1.

2.

3.

4.

Undisclosed information

Documentary undisclosed information

Each Party and its participants, as appropriate, shall identify at the  earliest  possible
moment and preferably in the technology management plan the information that they
wish to remain undisclosed, taking into account, inter alia, the following criteria:

(a)

(b)

(c)

confidentiality of the information in the sense that it is not, as a body or in the
precise configuration or assembly of its components,  generally known among
or readily accessible by lawful means to experts in the field; 

the  actual  or  potential  commercial  value  of  the  information  by  virtue  of  its
confidentiality; 

previous protection of the information  in  the sense that it has been  subject  to
steps  that  were  reasonable  under  the  circumstances  by  the  person  lawfully  in
control, to maintain its confidentiality.

The  Parties  and  their  participants,  as  appropriate,  may  in  certain  cases  agree  that,
unless  otherwise  indicated,  parts  or  all  of  the  information  provided,  exchanged  or
created in the course of joint research may not be disclosed.

Each  Party  shall  ensure  that  it  and  its  participants  clearly  identify  undisclosed
information, for example by means of  an appropriate marking  or restrictive legend.
This also applies to any reproduction of the said information, in whole or in part.

A  Party  and  a  participant  receiving  undisclosed  information  shall  respect  the
privileged nature  thereof.  These  limitations  shall  automatically  terminate  when  this
information is disclosed by the owner into the public domain.

Undisclosed information communicated under the Agreement and received from the
other  Party,  may  be  disseminated  by  the  receiving  Party  to  persons  within  or
employed by the receiving Party and other concerned departments or agencies of the
receiving Party authorised for the specific  purposes of the joint research underway,
provided  that  any  undisclosed  information  so  disseminated  shall  be  pursuant  to  an
agreement  of  confidentiality  and  shall  be  readily  recognisable  as  such,  as  set  out
above.

With  the  prior  written  consent  of  the  Party  providing  undisclosed  information,  the
receiving  Party  may  disseminate  such  undisclosed  information  more  widely  than
otherwise permitted in point 3 of the present section. The Parties shall cooperate in
developing  procedures  for  requesting  and  obtaining  prior  written  consent  for  such
wider dissemination, and each Party will grant such approval to the extent permitted
by its domestic policies, regulations and laws.

15

B.

Non-documentary undisclosed information

Non-documentary  undisclosed  or  other  confidential  information  provided  in  seminars  and
other meetings arranged under this Agreement, or information arising from the attachment of
staff,  use  of  facilities,  or  joint  projects,  shall  be  treated  by  the  Parties  or  their  participants
according  to  the  principles  specified  for  documentary  information  in  this  Annex  provided
however that the recipient of such undisclosed or other confidential or privileged information
has  been  made  aware  of  the  confidential  character  of  the  information  communicated  at  the
time such communication is made.

C.

Control

Each Party shall endeavour to  ensure  that  undisclosed  information  received  by  it  under  this
Agreement shall be controlled as provided herein. If one of the Parties becomes aware that it
will  be,  or  may  be  reasonably  expected  to  become,  unable  to  meet  the  non-dissemination
provisions  of  subsections  A  and  B  of  the  present  Section,  it  shall  immediately  inform  the
other Party. The Parties shall thereafter consult to define an appropriate course of action. 

16

LEGISLATIVE FINANCIAL STATEMENT

Policy area(s): RTD

Activity: International S&T cooperation

TITLE OF ACTION: PROPOSAL FOR A COUNCIL DECISION CONCLUDING THE AGREEMENT FOR
SCIENTIFIC  AND  TECHNOLOGICAL  CO-OPERATION  BETWEEN  THE
EUROPEAN COMMUNITY AND UKRAINE

1.

BUDGET LINE(S) +HEADINGS

1.1.

Relevant budget headings

Travel  costs  for  EC  officials  and  EC  experts  in  connection  with  the  follow-up  and
implementation  of  the  agreement  will  be  charged  to  the  specific  budget  headings  of  the
programmes within the Community RTD Framework Programme (subsection B6).

2.

OVERALL FIGURES

2.1.

Method of calculating the total annual cost of the operation (estimate)

a.

b.

Preparatory activities, review of the co-operation : meetings of the Joint Community-
Ukraine  Committee  on  Science  and  Technology  Cooperation,  exchange  of
information, visits of officials and experts to Ukraine

40.000 €

Scientific and technical workshops/meetings

50.000 €

TOTAL : 90.000 €/Year

3.

BUDGET CHARASTERISTICS

Type of expenditure

New

EFTA
contributio
n

Contributi
on from
applicant
Countries

Heading in financial
perspectives

Non-comp

Diff

No

Yes

No

Nr. 3

17

4.

LEGAL BASIS

With legal basis.

4.1.

Titles and reference

–  Treaty  establishing  the  European  Community,  in  particular  Article  170,  paragraph  2  in

conjunction with Article 300, paragraph 2 and Article 300 paragraph 3.

–  Decision  Nr.  182/1999/EC  of  the  European  Parliament  and  the  Council  concerning  the
fifth  framework  programme  of  the  European  Community  for  research,  technological
development  and  demonstration  activities  (1998  to  2002).  [Multi-annual  programme  –
Codecision (with privileged financial reference)].

5.

DESCRIPTION AND GROUNDS

5.1.

Need for Community intervention

Community  budget  intervention  is  indispensable  because  the  planned  co-operation  comes
under  the  implementation  of  the  Framework  Programmes,  including  the  budgetary  section :
participation by Ukraine in certain specific programmes and administrative expenditure on the
European side (missions by Community officials, organisation of seminars in the Community
and in Ukraine).

5.1.1. Objectives pursued

The essential objective is to stimulate RTD co-operation between the EC and Ukraine in the
areas covered by the Framework Programmes.

–  the agreement is designed to enable the Community and Ukraine to profit on the basis of
the principle of mutual benefit, from the scientific and technical progress achieved  under
their  reciprocal  research  programmes,  via  the  participation  of  the  Ukrainian  scientific
community  and  industrial  sector  in  the  Community's  research  projects  and  via  the
independent  and  non  subsidised  participation  of  bodies  established  in  the  Community  in
Ukrainian projects;

–  beneficiaries  in  the  EC  and  Ukraine  will  be  scientific  communities,  the  industrial  sector

and the general public, thanks to the direct and indirect effects of co-operation.

5.1.2. Duration

The agreement shall be concluded for an initial period ending 31 December 2002 and will be
renewable by common agreement between the Parties for additional periods of five years.

5.2.

Actions envisaged and budget intervention arrangements

5.2.1.

Type of expenditure

100  %  subsidy  (Missions  to  Ukraine  by  Commission  officials  and  experts;  organisation  of
workshops, seminars and meetings in the European Community and in Ukraine).

18

6.

6.1.

FINANCIAL IMPACT

Operational  expenses  of  administrative  and  technical  type  included  in  Part  B
(for the whole period)

6.1.1.

Expenses for managing the decision (estimate)

Indicative breakdown, amounts (expressed in millions of euros)

2002

0.09

0.09

Commitments

Payments

7.

FOLLOW-UP AND EVALUATION

7.1.

Follow-up arrangements

The  co-operation  agreement  will  be  evaluated  regularly  by  the  Commission  services
concerned.

The evaluation will comprise the following elements

a.

b.

Collection of information : on the basis of data from the specific programmes of the
Framework Programmes.

Overall evaluation of the operation : an evaluation of all the co-operation activities in
the context of this agreement will be made by the Commission's departments at the
end of each year.

8.

PLANNED ANTI-FRAUD MEASURES

Numerous administrative and financial controls are foreseen at each stage of the cooperation
activities in the context of this agreement. This concerns in particular:

–  checks on different levels of the cost statements before payment (financial, scientific and

technical control) 

–  internal audit by the audit service

–  controls  (including  inspections  done  at  the  place  of  work)  by  the  audit  service  of  the

Commission and by the EU Court of Auditors.

19