Proposal for a Council Decision on a Community position in the Joint Committee on the implementation of Article 66 of the Euro-Mediterranean Interim Association Agreement on Trade and Cooperation between the European Community, of the one part, and the Palestine Liberation Organisation (PLO) for the benefit of the Palestinian Authority of the West Bank and the Gaza Strip, of the other part
Date: 2005-08-30
Institutions: European Commission
Subjects: European Community, Palestine Liberation Organisation, administrative cooperation, association agreement, cooperation agreement, trading operation

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 30.8.2005 
COM(2005) 397 final 

Proposal for a 

COUNCIL DECISION 

on a Community position in the Joint Committee on the implementation of Article 66 of 
the Euro-Mediterranean Interim Association Agreement on Trade and Cooperation 
between the European Community, of the one part, and the Palestine Liberation 
Organisation (PLO) for the benefit of the Palestinian Authority of the West Bank and 
the Gaza Strip, of the other part 

(presented by the Commission) 

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EXPLANATORY MEMORANDUM 

The  Interim  Association  Agreement  forms  the  legal  framework  governing  the 
bilateral relations between the European Union and the Palestinian Authority (PA). 

Article  66  the  Interim  Association  Agreement  provides  for  the  setting  up  of  the 
necessary  bodies  for  its  implementation.  The  institutions  implementing  the  Euro-
Mediterranean  Agreements  must  be  further  developed  to  cope  with  the  increasing 
technical complexity of the subjects under discussion. These also need to be brought 
into  line  with  those  of  other  international  agreements  concluded  by  the  EU. 
Furthermore, the functioning of the European Neighbourhood Policy and its Action 
Plans  in  a  wide  range  of  sectoral  areas  requires  the  establishment  of  the  proposed 
subcommittees. EU-PA bilateral relations will develop towards achieving an overall 
partnership. This requires a coherent approach, which must be ensured by continued 
close coordination between the constituent parties. 

An institutional structure consisting of a number of subcommittees has been set  up 
for  the  implementation  of  other  Euro-Mediterranean  partner  countries,  such  as 
Morocco, Tunisia and Jordan. The present proposal largely follows the same scheme 
and structure. 

The Palestinian Authority expressed its willingness to strengthen cooperation in the 
various areas covered by the provisions of the Association Agreement. 

In view of the above, the European Commission proposes to the Council that three 
subcommittees be set up to support the Joint Committee in the implementation of the 
Association  Agreement  and  the  European  Neighbourhood  Policy  Action  Plan.  The 
subcommittees  will  discuss  matter  of  a  technical  nature  that  cannot  be  fully  dealt 
with in the framework of the Joint Committee. 

The  number  of  subcommittees  to  be  established  will  be  restricted  to  three  to  take 
account of the limited administrative capacity of the Palestinian Authority and of the 
limited scope of the Interim Agreement.  

The  three  subcommittees  proposed  will  be  entitled:  (i)  political  dialogue  and  co-
operation,  (ii)  economic  issues  and  trade,  including  customs  issues  and  networks, 
(iii) social issues and environment. 

The  objective,  the  subjects  covered  by  each  subcommittee  and  the  implementing 
procedures are contained in the rules of procedure annexed. 

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Proposal for a 

COUNCIL DECISION 

on a Community position in the Joint Committee on the implementation of Article 66 of 
the Euro-Mediterranean Interim Association Agreement on Trade and Cooperation 
between the European Community, of the one part, and the Palestine Liberation 
Organisation (PLO) for the benefit of the Palestinian Authority of the West Bank and 
the Gaza Strip, of the other part 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular  the 
second subparagraph of Article 300(2) thereof, 

Having regard to the proposal from the Commission1, 

Whereas: 

(1) 

The  Euro-Mediterranean  Interim  Association  Agreement  on  Trade  and  Cooperation 
between  the  European  Community,  of  the  one  part,  and  the  Palestine  Liberation 
Organisation (PLO) for the benefit of the Palestinian Authority of the West Bank and 
the  Gaza  Strip,  of  the  other  part,  was  signed  on  24t  February  1997  and  entered  into 
force on 1stJuly 1997, 

(2) 

Article  66  of  that  Agreement  provides  for  the  setting  up  of  committees  (hereafter 
referred to as subcommittees) to assist the Joint Committee in carrying out its duties, 

HAS DECIDED AS FOLLOWS: 

Sole Article 

The  Community  position  to  be  adopted  in  the  Joint  Committee  on  the  implementation  of 
Article  66  of  the  Euro-Mediterranean  Interim  Association  Agreement  on  Trade  and 
Cooperation between the European Community, of the one part, and the Palestine Liberation 
Organisation  (PLO)  for  the  benefit  of  the  Palestinian  Authority  of  the  West  Bank  and  the 
Gaza  Strip,  of  the  other  part,  shall  be  based  on  the  draft  Decision  of  the  Joint  Committee 
annexed to this Decision. 

The subcommittees shall  be  chaired  by a European Commission representative on behalf of 
the European Community and its Member States. The Member States shall be informed and 
may participate in the meetings of the subcommittees in question. 

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A representative of the Council Presidency shall express the EU's position on matters relating 
to Titles V and VI of the Treaty on European Union. The Commission shall be fully involved 
in the preparatory work and in setting the objectives of the subcommittee meetings. 

Done at Brussels, 

For the Council 
The President 

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Draft 

DECISION OF THE EC-PLO JOINT COMMITTEE 

Setting up Interim Association Committee subcommittees 

The Joint Committee of the Interim Association Agreement between the EC and the PLO (for 
the benefit of the Palestinian Authority), 

Having  regard  to  the  Euro-Mediterranean  Interim  Association  Agreement  on  Trade  and 
Cooperation between the European Community, of the one part, and the Palestine Liberation 
Organisation  (PLO)  for  the  benefit  of  the  Palestinian  Authority  of  the  West  Bank  and  the 
Gaza Strip, of the other part, 

Whereas: 

(1) 

(2) 

(3) 

The  EU's  relations  with  the  southern  Mediterranean  countries  are  becoming 
increasingly  complex  as  a  result  of  the  implementation  of  the  Euro-Mediterranean 
Agreements  and 
the  Euro-Mediterranean  partnership. 
Furthermore, the functioning of the European Neighbourhood Policy and its Action 
Plans  in  a  wide  range  of  sectoral  areas  requires  the  establishment  of  the  proposed 
subcommittees. 

the  continuation  of 

Whereas  the  EC-PLO  Interim  Association  Agreement  has  entered  a  new  phase  of 
implementation  in  the  context  of  the  European  Neighbourhood  Policy  and 
developments in the region. 

Article  66  of  the  Agreement  provides  for  the  setting  up  of  any  other  committee 
(hereafter referred to as subcommittees) that can assist it in carrying out its duties, 

HAS DECIDED AS FOLLOWS: 

Sole Article 

The subcommittees of the EC-PLO Joint Committee listed in Annex 1 are hereby set up and 
the rules of procedure of those subcommittees in Annex 2 hereby adopted. 

The subcommittees shall work under the authority of the Joint Committee, to which they shall 
report  after  each  of  their  meetings.  The  above-mentioned  subcommittees  shall  have  no 
decision-making power. 

The Joint Committee shall take any action needed to ensure that they operate properly. The 
Joint Committee may decide to set up further subcommittees or groups or to abolish existing 
subcommittees or groups. 

This Decision shall enter into force on the day of its adoption. 

Done at [...] 

For the Joint Committee 

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ANNEX I 

EC-PLO INTERIM ASSOCIATION AGREEMENT 

SUBCOMMITTEES ATTACHED TO THE JOINT COMMITTEE 

(1) 

Political dialogue and co-operation 

(2) 

Economic Issues and trade, including customs issues and networks 

(3) 

Social issues and environment 

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ANNEX II 

Rules of procedures 

EC-PLO Subcommittee Number 1 

POLITICAL DIALOGUE AND CO-OPERATION 

1. 

Composition and chair 

The subcommittee shall be composed of representatives of the European Community and its 
Member States and representatives of the Palestinian Authority. It shall be chaired alternately 
by the two parties.  

2. 

Role 

The  subcommittee  shall  work  under  the  authority  of  the  Joint  Committee,  to  which  it  shall 
report after each meeting. The subcommittee does  not  have  any  decision-making  power  but 
may submit proposals to the Joint Committee. 

3. 

Subject matter 

The  subcommittee  shall  discuss  the  implementation  of  the  Interim  Association  Agreement 
and  the  related  European  Neighbourhood  Policy  Action  Plan  including  in  the  areas  listed 
below and shall assess progress on the objectives and actions which have been identified and 
agreed upon in the Action Plan. Where relevant, co-operation in public administration matters 
shall  be  discussed.  The  subcommittee  shall  examine  any  problems  that  may  arise  in  the 
sectors listed below and shall suggest possible steps to be undertaken. 

–  Political dialogue and reform  

Political dialogue and cooperation including on foreign and security policy issues; 

Co-operation  in  the  areas  of  combating  terrorism,  non-proliferation  of  weapons  of 
mass destruction and illegal arms trade. 

–  Democracy  and  rule  of  law  -  building  the  institutions  of  an  independent,  democratic  and 

viable Palestinian State  

Establishment  of  an  independent,  impartial  and  fully  functioning  judiciary  in  line 
with international standards and strengthening of the separation of powers; 

Organisation  of  transparent  general  and  local  elections  according  to  international 
standards; 

Acceleration of constitutional and legislative reform; 

Transparency  and  fight  against  corruption,  public  administration  and  civil  service 
reform. 

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–  Human rights and fundamental freedoms 

Legal guarantees for freedom of speech, freedom of the press, freedom of assembly 
and association in accordance with international standards; 

Respect of human rights and basic civil liberties in accordance with the principles of 
international  law,  and  foster  a  culture  of  non-violence,  tolerance  and  mutual 
understanding. 

The above list is not exhaustive and other subjects may be added by the Joint Committee. 

The subcommittee may discuss matters relating to one, several or all of the above sectors. 

4. 

Secretariat 

A  representative  of  the  European  Commission  and  a  representative  of  the  Palestinian 
Authority shall act jointly as permanent secretaries of the subcommittee. 

All communications concerning the subcommittee shall be forwarded to the secretaries.  

5. 

Meetings 

The subcommittee shall meet whenever circumstances require. A meeting may be convened 
on  the  basis  of  a  request  from  the  chairperson  of  either  party,  channelled  through  their 
secretary,  who  will  pass  the  request  onto  the  other  party.  Upon  receipt  of  a  request  for  a 
subcommittee  meeting,  the  secretary  of  the  other  party  shall  reply  within  fifteen  working 
days.  

In  cases  of  particular  urgency,  subcommittees  may  be  convened  at  shorter  notice  subject  to 
the agreement of both parties. All requests to convene meetings should be in writing. 

Each meeting of the subcommittee shall be held at a time and place agreed by both parties. 

The meetings shall be convened by the secretary in charge in agreement with the chair. Before 
each meeting, the chair will be informed of the intended composition of the delegation of each 
party. 

If  both  parties  agree,  the  subcommittee  may  invite  experts  to  its  meetings  to  provide  the 
specific information so requested. 

6. 

Agenda of the meetings 

All  requests  for  items  to  be  included  in  the  subcommittee  agenda  shall  be  forwarded  to  the 
secretaries. 

A provisional agenda will be drawn up by the chair for each meeting. It shall be forwarded by 
the secretary in charge to his or her counterpart not later than ten days before the beginning of 
the meeting. 

The  provisional  agenda  shall  include  the  items  in  respect  of  which  the  secretaries  have 
received a request for inclusion in the agenda no later than fifteen days before the beginning 
of  the  meeting.  Supporting  documentation  must  be  received  by  both  parties  at  least  seven 

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days  ahead  of  the  meeting.  To  take  account  of  urgent  matters,  these  time  limits  may  be 
shortened provided both parties agree. 

The agenda shall be adopted by the subcommittee at the beginning of each meeting. 

7. 

Minutes 

Minutes  shall  be  taken  and  agreed  by  both  secretaries  after  each  meeting.  A  copy  of  the 
minutes, including the subcommittee's proposals, shall be forwarded by the secretaries of the 
subcommittee to the secretaries and chair of the Joint Committee. 

8. 

Publicity 

Unless otherwise decided, the meetings of the subcommittee shall not be public. 

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Rules of procedures 

EC-PLO Subcommittee Number 2 

ECONOMIC ISSUES AND TRADE, INCLUDING CUSTOMS ISSUES AND NETWORKS 

1. 

Composition and chair 

The subcommittee shall be composed of representatives of the European Community and its 
Member States and representatives of the Palestinian Authority. It shall be chaired alternately 
by the two parties.  

2. 

Role 

The  subcommittee  shall  work  under  the  authority  of  the  Joint  Committee,  to  which  it  shall 
report after each meeting. The subcommittee does  not  have  any  decision-making  power  but 
may submit proposals to the Joint Committee. 

3. 

Subject matter 

The  subcommittee  shall  discuss  the  implementation  of  the  Interim  Association  Agreement 
and  the  related  European  Neighbourhood  Policy  Action  Plan  including  in  the  areas  listed 
below and shall assess progress on the objectives and actions which have been identified and 
agreed upon in the Action Plan. Where relevant, co-operation in public administration matters 
shall  be  discussed.  The  subcommittee  shall  examine  any  problems  that  may  arise  in  the 
sectors listed below and shall suggest possible steps to be undertaken. 

–  Financial accountability and sound management of public finances, including audit 

Establishment  of  a  modern  and  well-functioning  system  of  financial  control  in  line 
with international best practices; 

Transparency of the PA finances, fight against fraud; 

Transparency of public procurement operations; 

Establishment of a modern and financially sustainable pension system. 

–  Economic reform and development 

Conditions  for  the  establishment  and  functioning  of  a  market  economy,  including 
regulatory framework and administrative capacity. 

–  Trade-related issues, market and regulatory reform 

Development of and facilitation of trade relations between the European Community 
and  the  Palestinian  Authority,  implementation  of  the  trade  provisions  of  the  ENP 
Action  Plan  and  of  the  Interim  Association  Agreement,  Monitoring  bilateral  trade 
issues; 

Strengthening of regional cooperation with neighbouring countries; 

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Development  of  the  regulatory  framework  for  a  modern  taxation  system  and 
institutions based on international best practices; 

Revitalising the private sector; 

Development of a statistics system based on international best practices. 

–  Customs issues 

General customs procedures, customs nomenclature, valuation; 

Rules of origin; 

Tariff regimes; 

Customs cooperation. 

–  Energy, Transport and Science and Technology 

Cooperation on energy and transport issues; 

Cooperation on Science and technology, research and development. 

The above list is not exhaustive and other subjects may be added by the Joint Committee. 

The subcommittee may discuss matters relating to one, several or all of the above sectors. 

4. 

Secretariat 

A  representative  of  the  European  Commission  and  a  representative  of  the  Palestinian 
Authority shall act jointly as permanent secretaries of the subcommittee. 

All communications concerning the subcommittee shall be forwarded to the secretaries.  

5. 

Meetings 

The subcommittee shall meet whenever circumstances require. A meeting may be convened 
on  the  basis  of  a  request  from  the  chairperson  of  either  party,  channelled  through  their 
secretary,  who  will  pass  the  request  onto  the  other  party.  Upon  receipt  of  a  request  for  a 
subcommittee  meeting,  the  secretary  of  the  other  party  shall  reply  within  fifteen  working 
days.  

In  cases  of  particular  urgency,  subcommittees  may  be  convened  at  shorter  notice  subject  to 
the agreement of both parties. All requests to convene meetings should be in writing. 

Each meeting of the subcommittee shall be held at a time and place agreed by both parties. 

The meetings shall be convened by the secretary in charge in agreement with the chair. Before 
each meeting, the chair will be informed of the intended composition of the delegation of each 
party. 

If  both  parties  agree,  the  subcommittee  may  invite  experts  to  its  meetings  to  provide  the 
specific information so requested. 

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6. 

Agenda of the meetings 

All  requests  for  items  to  be  included  in  the  subcommittee  agenda  shall  be  forwarded  to  the 
secretaries. 

A provisional agenda will be drawn up by the chair for each meeting. It shall be forwarded by 
the secretary in charge to his or her counterpart not later than ten days before the beginning of 
the meeting. 

The  provisional  agenda  shall  include  the  items  in  respect  of  which  the  secretaries  have 
received a request for inclusion in the agenda no later than fifteen days before the beginning 
of  the  meeting.  Supporting  documentation  must  be  received  by  both  parties  at  least  seven 
days  ahead  of  the  meeting.  To  take  account  of  urgent  matters,  these  time  limits  may  be 
shortened provided both parties agree. 

The agenda shall be adopted by the subcommittee at the beginning of each meeting. 

7. 

Minutes 

Minutes  shall  be  taken  and  agreed  by  both  secretaries  after  each  meeting.  A  copy  of  the 
minutes, including the subcommittee's proposals, shall be forwarded by the secretaries of the 
subcommittee to the secretaries and chair of the Joint Committee. 

8. 

Publicity 

Unless otherwise decided, the meetings of the subcommittee shall not be public. 

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Rules of procedures 

EC-PLO Subcommittee Number 3 

SOCIAL ISSUES AND ENVIRONMENT 

1. 

Composition and chair 

The subcommittee shall be composed of representatives of the European Community and its 
Member States and representatives of the Palestinian Authority. It shall be chaired alternately 
by the two parties.  

2. 

Role 

The  subcommittee  shall  work  under  the  authority  of  the  Joint  Committee,  to  which  it  shall 
report after each meeting. The subcommittee  does  not  have  any  decision-making  power  but 
may submit proposals to the Joint Committee. 

3. 

Subject matter 

The  subcommittee  shall  discuss  the  implementation  of  the  Interim  Association  Agreement 
and  the  related  European  Neighbourhood  Policy  Action  Plan  including  in  the  areas  listed 
below and shall assess progress on the objectives and actions which have been identified and 
agreed upon in the Action Plan. Where relevant, co-operation in public administration matters 
shall  be  discussed.  The  subcommittee  shall  examine  any  problems  that  may  arise  in  the 
sectors listed below and shall suggest possible steps to be undertaken. 

–  Social issues, people-to-people contacts, education, and public health 

Promote women’s rights and ensure equal treatment and opportunities for women 

Education, training, and youth - development a modern education system based on 
peace, tolerance and mutual understanding; 

Development of a modern public health system. 

–  Environment 

Steps  to  promote  good  environmental  governance,  to  aim  for  prevention  of 
deterioration  of  the  environment,  and  to  enhance  co-operation  on  environmental 
issues. 

The above list is not exhaustive and other subjects may be added by the Joint Committee. 

The subcommittee may discuss matters relating to one, several or all of the above sectors. 

4. 

Secretariat 

A  representative  of  the  European  Commission  and  a  representative  of  the  Palestinian 
Authority shall act jointly as permanent secretaries of the subcommittee. 

All communications concerning the subcommittee shall be forwarded to the secretaries.  

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5. 

Meetings 

The subcommittee shall meet whenever circumstances require. A meeting may be convened 
on  the  basis  of  a  request  from  the  chairperson  of  either  party,  channelled  through  their 
secretary,  who  will  pass  the  request  onto  the  other  party.  Upon  receipt  of  a  request  for  a 
subcommittee  meeting,  the  secretary  of  the  other  party  shall  reply  within  fifteen  working 
days.  

In  cases  of  particular  urgency,  subcommittees  may  be  convened  at  shorter  notice  subject  to 
the agreement of both parties. All requests to convene meetings should be in writing. 

Each meeting of the subcommittee shall be held at a time and place agreed by both parties. 

The meetings shall be convened by the secretary in charge in agreement with the chair. Before 
each meeting, the chair will be informed of the intended composition of the delegation of each 
party. 

If  both  parties  agree,  the  subcommittee  may  invite  experts  to  its  meetings  to  provide  the 
specific information so requested. 

6. 

Agenda of the meetings 

All  requests  for  items  to  be  included  in  the  subcommittee  agenda  shall  be  forwarded  to  the 
secretaries. 

A provisional agenda will be drawn up by the chair for each meeting. It shall be forwarded by 
the secretary in charge to his or her counterpart not later than ten days before the beginning of 
the meeting. 

The  provisional  agenda  shall  include  the  items  in  respect  of  which  the  secretaries  have 
received a request for inclusion in the agenda no later than fifteen days before the beginning 
of  the  meeting.  Supporting  documentation  must  be  received  by  both  parties  at  least  seven 
days  ahead  of  the  meeting.  To  take  account  of  urgent  matters,  these  time  limits  may  be 
shortened provided both parties agree. 

The agenda shall be adopted by the subcommittee at the beginning of each meeting. 

7. 

Minutes 

Minutes  shall  be  taken  and  agreed  by  both  secretaries  after  each  meeting.  A  copy  of  the 
minutes, including the subcommittee's proposals, shall be forwarded by the secretaries of the 
subcommittee to the secretaries and chair of the Joint Committee. 

8. 

Publicity 

Unless otherwise decided, the meetings of the subcommittee shall not be public. 

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