Regulation (EC) No 1082/2006 of the European Parliament and of the Council of  5 July 2006  on a European grouping of territorial cooperation (EGTC)
Date: 2006-07-05
Institutions: Council of the European Union, European Parliament
Subjects: EU body for police and judicial cooperation, cross-border cooperation, economic and social cohesion, local authority, operation of the Institutions, powers of the institutions (EU), regional authority

31.7.2006

EN

Official Journal of the European Union

L 210/19

REGULATION (EC) No 1082/2006 OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL

of 5 July 2006

on a European grouping of territorial cooperation (EGTC)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EURO-
PEAN UNION,

(5)

Having regard to the Treaty establishing the European Com-
munity, and in particular the third subparagraph of Article 159
thereof,

Having regard to the proposal from the Commission,

Having regard to the opinion of the European Economic and
Social Committee (1),

Having regard to the opinion of
Regions (2),

the Committee of

the

Acting in accordance with the procedure laid down in
Article 251 of the Treaty (3),

Whereas:

(6)

(7)

(8)

(1)

(2)

(3)

(4)

The third subparagraph of Article 159 of the Treaty
provides for specific actions to be decided upon outside
the Funds which are the subject of the first subparagraph
of that Article, in order to achieve the objective of social
and economic cohesion envisaged by the Treaty. The
harmonious development of the entire Community terri-
tory and greater economic, social and territorial cohe-
sion imply the strengthening of territorial cooperation.
To this end it is appropriate to adopt the measures
necessary to improve the implementation conditions for
actions of territorial cooperation.

Measures are necessary to reduce the significant difficul-
ties encountered by Member States and, in particular, by
in implementing and
regional and local authorities
managing actions of territorial cooperation within the
framework of differing national laws and procedures.

land and maritime borders

Taking into account notably the increase in the number
of
in the Community
following its enlargement, it is necessary to facilitate the
reinforcement of
territorial cooperation in the Com-
munity.

existing

instruments,

The
the European
economic interest grouping, have proven ill-adapted to
organising structured cooperation under the INTERREG
initiative during the 2000-2006 programming period.

such as

(1) OJ C 255, 14.10.2005, p. 76.
(2) OJ C 71, 22.3.2005, p. 46.
(3) Opinion of

the European Parliament of 6 July 2005 (not yet
Journal), Council Common Position of
published in the Official
12 June 2006 (not yet published in the Official Journal) and Posi-
tion of the European Parliament of 4 July 2006 (not yet published
in the Official Journal).

The Council of Europe acquis provides different opportu-
nities and frameworks within which regional and local
authorities can cooperate across borders. This instru-
ment is not intended to circumvent those frameworks or
provide a set of specific common rules which would
uniformly govern all such arrangements throughout the
Community.

Council Regulation (EC) No 1083/2006 of 11 July 2006
laying down general provisions on the European
Regional Development Fund, the European Social Fund
and the Cohesion Fund (4)
in
support of European territorial cooperation.

the means

increases

It is likewise necessary to facilitate and follow up the
implementation
actions
territorial
without a financial contribution from the Community.

cooperation

of

In order to overcome the obstacles hindering territorial
cooperation,
it is necessary to institute a cooperation
instrument at Community level for the creation of coop-
erative groupings in Community territory, invested with
legal personality, called ‘European groupings of terri-
torial cooperation’ (EGTC). Recourse to an EGTC should
be optional.

(9)

It is appropriate for an EGTC to be given the capacity to
act on behalf of its members, and notably the regional
and local authorities of which it is composed.

(10)

The tasks and competencies of an EGTC are to be set
out in a convention.

(11) An EGTC should be able to act, either for the purpose of
implementing territorial cooperation programmes or
projects co-financed by the Community, notably under
the Structural Funds in conformity with Regulation (EC)
No 1083/2006 and Regulation (EC) No 1080/2006 of
the European Parliament and of the Council of 5 July
2006 on the European Regional Development Fund (5),
or for the purpose of carrying out actions of territorial
cooperation which are at
the
Member States and their regional and local authorities
with or without a financial contribution from the Com-
munity.

the sole initiative of

(12)

It should be specified that the financial responsibility of
regional and local authorities, as well as that of Member
States, with regard to the management of both Com-
munity funds and national funds, is not affected by the
formation of an EGTC.

(4) See page 25 of this Official Journal.
(5) See page 1 of this Official Journal.

L 210/20

EN

Official Journal of the European Union

31.7.2006

(13)

(14)

(15)

(16)

It should be specified that
the powers exercised by
regional and local authorities as public authorities,
notably police and regulatory powers, cannot be the
subject of a convention.

It is necessary for an EGTC to establish its statutes and
equip itself with its own organs, as well as rules for its
budget and for the exercise of its financial responsibility.

The conditions for territorial cooperation should be
created in accordance with the subsidiarity principle
enshrined in Article 5 of the Treaty. In accordance with
in that
the principle of proportionality, as set out
Article,
this Regulation does not go beyond what is
necessary in order to achieve its objectives, recourse to
an EGTC being optional, in accordance with the consti-
tutional system of each Member State.

The third subparagraph of Article 159 of the Treaty
does not allow the inclusion of entities from third coun-
tries in legislation based on that provision. The adoption
of a Community measure allowing the creation of an
EGTC should not, however, exclude the possibility of
entities from third countries participating in an EGTC
formed in accordance with this Regulation where the
legislation of a third country or agreements between
Member States and third countries so allow,

HAVE ADOPTED THIS REGULATION:

Article 1

Nature of an EGTC

A European grouping of territorial cooperation, herein-
1.
after referred to as ‘EGTC’, may be established on Community
territory under the conditions and subject to the arrangements
provided for by this Regulation.

2.
The objective of an EGTC shall be to facilitate and
promote cross-border, transnational and/or interregional coop-
eration, hereinafter
‘territorial cooperation’,
between its members as set out in Article 3(1), with the exclu-
sive aim of strengthening economic and social cohesion.

referred to as

3.

An EGTC shall have legal personality.

An EGTC shall have in each Member State the most
4.
extensive legal capacity accorded to legal persons under that
Member State's national law. It may, in particular, acquire or
dispose of movable and immovable property and employ staff
and may be a party to legal proceedings.

Article 2

Applicable law

(a) this Regulation;

(b) where expressly authorised by this Regulation, the provi-
sions of the convention and the statutes referred to in Arti-
cles 8 and 9;

(c)

in the case of matters not, or only partly, regulated by this
Regulation, the laws of the Member State where the EGTC
has its registered office.

is necessary under Community or

Where it
international
private law to establish the choice of law which governs an
EGTC's acts, an EGTC shall be treated as an entity of the
Member State where it has its registered office.

2. Where a Member State comprises several territorial enti-
ties which have their own rules of applicable law, the reference
to the law applicable under paragraph 1(c) shall include the law
of those entities, taking into account the constitutional struc-
ture of the Member State concerned.

Article 3

Composition of an EGTC

An EGTC shall be made up of members, within the limits
1.
of their competences under national law, belonging to one or
more of the following categories:

(a) Member States;

(b) regional authorities;

(c)

local authorities;

subparagraph

(d) bodies governed by public law within the meaning of the
second
of Directive
2004/18/EC of the European Parliament and of the Council
of 31 March 2004 on the coordination of procedures for
the award of public works contracts, public supply
contracts and public service contracts (1).

of Article

1(9)

Associations consisting of bodies belonging to one or more of
these categories may also be members.

An EGTC shall be made up of members located on the

2.
territory of at least two Member States.

Article 4

Establishment of an EGTC

The decision to establish an EGTC shall be taken at the

1.
initiative of its prospective members.

2.

Each prospective member shall:

(a) notify the Member State under whose law it has been
formed of its intention to participate in an EGTC; and

(b) send that Member State a copy of the proposed convention

and statutes referred to in Articles 8 and 9.

1.

An EGTC shall be governed by the following:

(1) OJ L 134, 30.4.2004, p. 114. Directive as last amended by Commis-
sion Regulation (EC) No 2083/2005 (OJ L 333, 20.12.2005, p. 28).

31.7.2006

EN

Official Journal of the European Union

L 210/21

3.
Following notification under paragraph 2 by a prospec-
tive member, the Member State concerned shall, taking into
account its constitutional structure, approve the prospective
member's participation in the EGTC, unless it considers that
such participation is not in conformity with this Regulation or
national law, including the prospective member's powers and
duties, or that such participation is not justified for reasons of
public interest or of public policy of that Member State. In
such a case, the Member State shall give a statement of its
reasons for withholding approval.

The Member State shall, as a general rule, reach its decision
within a deadline of three months from the date of receipt of
an admissible application in accordance with paragraph 2.

In deciding on the prospective member's participation in the
EGTC, Member States may apply the national rules.

Article 6

Control of management of public funds

1.
Control of an EGTC's management of public funds shall
be organised by the competent authorities of the Member State
where the EGTC has its registered office. The Member State
where the EGTC has its registered office shall designate the
competent authority for this task before giving its approval to
participation in the EGTC under Article 4.

2. Where required under the national legislation of the other
Member States concerned, the authorities of the Member State
where an EGTC has its registered office shall make arrange-
ments for the appropriate authorities in the other Member
States concerned to carry out controls on their territory for
those acts of the EGTC which are performed in those Member
States and to exchange all appropriate information.

4. Member States shall designate the competent authorities
to receive the notifications and documents as set out in para-
graph 2.

All controls shall be carried out according to internation-

3.
ally accepted audit standards.

The members shall agree on the convention referred to in
5.
Article 8 and the statutes referred to in Article 9 ensuring
consistency with the approval of the Member States in accord-
ance with paragraph 3 of this Article.

6.
Any amendment to the convention and any substantial
amendment to the statutes shall be approved by the Member
States according to the procedure set out
in this Article.
Substantial amendments to the statutes shall be those entailing,
directly or indirectly, an amendment to the convention.

4.
Notwithstanding paragraphs 1, 2 and 3, where the tasks
of an EGTC mentioned under the first or second subparagraph
of Article 7(3) include actions which are co-financed by the
Community, the relevant legislation concerning the control of
funds provided by the Community shall apply.

5.
The Member State where an EGTC has its registered
office shall inform the other Member States concerned of any
difficulties encountered during the controls.

Article 7

Tasks

Article 5

Acquisition of legal personality and publication in the
Official Journal

The statutes referred to in Article 9 and any subsequent
1.
amendments thereto shall be registered and/or published in
accordance with the applicable national
law in the Member
State where the EGTC concerned has its registered office. The
EGTC shall acquire legal personality on the day of registration
or publication, whichever occurs first. The members shall
inform the Member States concerned and the Committee of the
Regions of the convention and the registration and/or publica-
tion of the statutes.

2.
The EGTC shall ensure that, within 10 working days from
registration and/or publication of the statutes, a request is sent
to the Office for Official Publications of the European Commu-
nities for publication of a notice in the Official Journal of the
European Union announcing the establishment of the EGTC,
with details of its name, objectives, members and registered
office.

1.
An EGTC shall carry out the tasks given to it by its
members in accordance with this Regulation. Its tasks shall be
defined by the convention agreed by its members, in confor-
mity with Articles 4 and 8.

An EGTC shall act within the confines of the tasks given
2.
to it, which shall be limited to the facilitation and promotion
of territorial cooperation to strengthen economic and social
cohesion and be determined by its members on the basis that
they all fall within the competence of every member under its
national law.

Specifically,

the tasks of an EGTC shall be limited
3.
territorial cooperation
primarily to the implementation of
co-financed by the Community
programmes or projects
through the European Regional Development Fund, the Euro-
pean Social Fund and/or the Cohesion Fund.

An EGTC may carry out other specific actions of territorial
cooperation between its members in pursuit of the objective
referred to in Article 1(2), with or without a financial contribu-
tion from the Community.

L 210/22

EN

Official Journal of the European Union

31.7.2006

Member States may limit the tasks that EGTCs may carry out
without a Community financial contribution. However, those
tasks shall include at least the cooperation actions listed under
Article 6 of Regulation (EC) No 1080/2006.

4.
The tasks given to an EGTC by its members shall not
concern the exercise of powers conferred by public law or of
duties whose object is to safeguard the general interests of the
State or of other public authorities, such as police and regula-
tory powers, justice and foreign policy.

(d) the arrangements for its functioning, notably concerning
personnel management, recruitment procedures and the
nature of personnel contracts;

(e)

the arrangements for the members' financial contributions
and the
accounting and budgetary rules,
including on financial issues, of each of the members of the
EGTC with respect to it;

applicable

(f)

the arrangements for members' liability in accordance with
Article 12(2);

The members of an EGTC may decide by unanimity to

5.
empower one of the members to execute its tasks.

(g) the authorities responsible for the designation of indepen-

dent external auditors; and

Article 8

Convention

An EGTC shall be governed by a convention concluded

1.
unanimously by its members in accordance with Article 4.

2.

(a)

The convention shall specify:

the name of the EGTC and its registered office, which shall
be located in a Member State under whose laws at least one
of the members is formed;

(b) the extent of the territory in which the EGTC may execute

its tasks;

(c)

the specific objective and tasks of the EGTC, its duration
and the conditions governing its dissolution;

(d) the list of the EGTC's members;

(h) the procedures for amending the statutes, which shall
comply with the obligations set out in Articles 4 and 5.

Article 10

Organisation of an EGTC

1.

An EGTC shall have at least the following organs:

(a) an assembly, which is made up of representatives of its

members;

(b) a director, who represents the EGTC and acts on its behalf.

The statutes may provide for additional organs with

2.
clearly defined powers.

3.
An EGTC shall be liable for the acts of its organs as
regards third parties, even where such acts do not fall within
the tasks of the EGTC.

(e)

(f)

the law applicable to the interpretation and enforcement of
the convention, which shall be the law of the Member State
where the EGTC has its registered office;

the appropriate arrangements
including for the purposes of financial control; and

for mutual

recognition,

Article 11

Budget

(g) the procedures for amending the convention, which shall
comply with the obligations set out in Articles 4 and 5.

Article 9

Statutes

The statutes of an EGTC shall be adopted on the basis of

1.
the convention by its members acting unanimously.

The statutes of an EGTC shall contain, as a minimum, all

2.
the provisions of the convention together with the following:

(a)

the operating provisions of the EGTC's organs and their
competencies, as well as the number of representatives of
the members in the relevant organs;

(b) the decision-making procedures of the EGTC;

(c)

the working language or languages;

An EGTC shall establish an annual budget which shall be
1.
adopted by the assembly, containing, in particular, a compo-
nent on running costs and, if necessary, an operational compo-
nent.

2.
The preparation of its accounts including, where required,
the accompanying annual report, and the auditing and publica-
tion of those accounts, shall be governed as provided for by
Article 2(1)(c).

Article 12

Liquidation, insolvency, cessation of payments and liabi-
lity

As regards liquidation, insolvency, cessation of payments
1.
and similar procedures, an EGTC shall be governed by the laws
of the Member State where it has its registered office, unless
otherwise provided in paragraphs 2 and 3.

31.7.2006

EN

Official Journal of the European Union

L 210/23

An EGTC shall be liable for its debts whatever their

2.
nature.

To the extent that the assets of an EGTC are insufficient to
meet its liabilities, its members shall be liable for the EGTC's
debts whatever their nature, each member's share being fixed
in proportion to its contribution, unless the national law under
which a member is formed excludes or limits the liability of
that member. The arrangements for contributions shall be fixed
in the statutes.

If the liability of at least one member of an EGTC is limited as
a result of the national law under which it is formed, the other
members may also limit their liability in the statutes.

The members may provide in the statutes that they will be
liable, after they have ceased to be members of an EGTC, for
obligations arising out of activities of the EGTC during their
membership.

The name of an EGTC whose members have limited liability
shall include the word ‘limited’.

Publication of the convention, statutes and accounts of an
EGTC whose members have limited liability shall be at least
equal to that required for other kinds of legal entity whose
members have limited liability, formed under the laws of the
Member State where that EGTC has its registered office.

Article 14

Dissolution

1.
Notwithstanding the provisions on dissolution contained
in the convention, on an application by any competent
authority with a legitimate interest, the competent court or
authority of the Member State where an EGTC has its registered
office shall order the EGTC to be wound up if it finds that the
EGTC no longer complies with the requirements laid down in
in particular, that the EGTC is acting
Articles 1(2) or 7 or,
outside the confines of the tasks laid down in Article 7. The
competent court or authority shall
the Member
States under whose law the members have been formed of any
application to dissolve an EGTC.

inform all

2.
The competent court or authority may allow the EGTC
time to rectify the situation. If the EGTC fails to do so within
the time allowed, the competent court or authority shall order
it to be wound up.

Article 15

Jurisdiction

A Member State may prohibit the registration on its territory
of an EGTC whose members have limited liability.

1.
Third parties who consider themselves wronged by the
acts or omissions of an EGTC shall be entitled to pursue their
claims by judicial process.

3. Without prejudice to the financial
responsibility of
Member States in relation to any funding from the Structural
and/or Cohesion Funds provided to an EGTC, no financial liabi-
lity shall arise for Member States on account of this Regulation
in relation to an EGTC of which they are not a member.

2.
Except where otherwise provided for in this Regulation,
Community legislation on jurisdiction shall apply to disputes
involving an EGTC. In any case which is not provided for in
such Community legislation, the competent courts for the reso-
lution of disputes shall be the courts of the Member State
where the EGTC has its registered office.

Article 13

Public interest

Where an EGTC carries out any activity in contravention of a
Member State's provisions on public policy, public security,
public health or public morality, or in contravention of the
public interest of a Member State, a competent body of that
Member State may prohibit that activity on its territory or
require those members which have been formed under its law
to withdraw from the EGTC unless the EGTC ceases the activity
in question.

The competent courts for the resolution of disputes under
Article 4(3) or (6) or under Article 13 shall be the courts of the
Member State whose decision is challenged.

3.
Nothing in this Regulation shall deprive citizens from
exercising their national constitutional rights of appeal against
public bodies which are members of an EGTC in respect of:

(a) administrative decisions in respect of activities which are

being carried out by the EGTC;

(b) access to services in their own language; and

(c) access to information.

Such prohibitions shall not constitute a means of arbitrary or
disguised restriction on territorial cooperation between the
EGTC's members. Review of the competent body's decision by
a judicial authority shall be possible.

In these cases the competent courts shall be those of the
Member State under whose constitution the rights of appeal
arise.

L 210/24

EN

Official Journal of the European Union

31.7.2006

Article 16

Final provisions

Article 17

Report and review clause

1. Member States shall make such provisions as are appro-
priate to ensure the effective application of this Regulation.

Where required under
that Member State's
the terms of
national law, a Member State may establish a comprehensive
list of the tasks which the members of an EGTC within the
meaning of Article 3(1) formed under its laws already have, as
far as territorial cooperation within that Member State is
concerned.

The Member State shall inform the Commission and the other
Member States accordingly of any provisions adopted under
this Article.

2. Member States may provide for the payment of fees in
connection with the registration of the convention and statutes.
Those fees may not, however, exceed the administrative cost
thereof.

By 1 August 2011, the Commission shall forward to the Euro-
pean Parliament and the Council a report on the application of
this Regulation and proposals for amendments, where appro-
priate.

Article 18

Entry into force

This Regulation shall enter into force on the day following its
publication in the Official Journal of the European Union.

It shall apply by 1 August 2007, with the exception of
Article 16, which shall apply from 1 August 2006.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Strasbourg, 5 July 2006.

For the European Parliament

The President

J. BORRELL FONTELLES

For the Council

The President

P. LEHTOMÄKI