Council Regulation (EC) No 1990/2006 of 21 December 2006 on the implementation of Protocol 4 on the Ignalina nuclear power plant in Lithuania to the Act of Accession of the Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Slovenia and Slovakia Ignalina Programme
Date: 2006-12-21
Institutions: Council of the European Union
Subjects: EU aid, Lithuania, decommissioning of power stations, energy supply, financing, nuclear safety, security of supply

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COUNCIL REGULATION (EC) No 1990/2006 

of 21 December 2006 

on the implementation of Protocol No 4 on 

the Ignalina nuclear power plant in Lithuania to 

the Act of accession of the Czech Republic, Estonia, Cyprus, 

Latvia, Lithuania, Hungary, Malta, Poland, 

Slovenia and Slovakia "Ignalina Programme" 

THE COUNCIL OF THE EUROPEAN UNION, 

Having regard to the 2003 Act of accession, and in particular Article 56 thereof and Protocol No 4 

thereto, 

Having regard to Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the 
Financial Regulation applicable to the general budget of the European Communities1 

("the Financial Regulation"),  

Having regard to Commission Regulation (EC, Euratom) No 2342/2002 of 23 December 2002 
laying down detailed rules for the implementation of the Financial Regulation2, 

Having regard to the proposal from the Commission, 

Whereas: 

(1) 

The European Union has committed to continue to provide adequate additional European 

Community assistance to Lithuania's effort to decommission the Ignalina nuclear power 

plant also after Lithuania's accession to the Union for the period until 2006 and beyond. 

This commitment was made formally in Protocol No 4 on the Ignalina nuclear power plant 

in Lithuania, annexed to the 2003 Act of Accession. 

1 
2 

OJ L 248, 16.9.2002, p. 1. 
OJ L 357, 31.12.2002, p. 1. Regulation as last amended by Commission Regulation (EC, 
Euratom) No 1248/2006 (OJ L 227, 19.8.2006, p. 3). 

 
                                                 
 
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(2) 

Bearing in mind this expression of Union solidarity, Lithuania committed to close Unit 1 

of the Ignalina nuclear power plant before 2005 and Unit 2 by 31 December 2009 and to 

the subsequent decommissioning of these units. An assistance programme with a budget of 

EUR 285 million has been put in place to cover the period 2004-2006.  

(3) 

The decommissioning of the Ignalina nuclear power plant with two 1500 MW RBMK-type 

reactors inherited from the former Soviet Union is of an unprecedented nature and 

represents an exceptional financial burden for Lithuania not commensurate with the size 

and economic strength of the country. The decommissioning will continue beyond the 

Community's current Financial Perspectives. 

(4) 

According to Protocol No 4 the Ignalina Programme for 2004-2006 will be seamlessly 

continued and extended beyond 2006 in accordance with the procedure laid down in 

Article 56 of the 2003 Act of Accession and this extended programme will be based on the 

same elements and principles as the 2004-2006 programme.  

(5) 

It is therefore necessary to adopt rules for the implementation of the additional Community 

assistance for the period 2007-2013 to address the consequences of the closure and 

decommissioning of the Ignalina nuclear power plant. 

(6) 

According to Protocol No 4 for the period of the next Financial Perspectives, the overall 

average appropriations under the extended Ignalina Programme shall be appropriate. 

Programming of these resources will be based on actual payment needs and absorption 

capacity. 

(7) 

Protocol No 4 provides for different implementation routes for assistance to meet the 

above mentioned aims, including the direct delivery of assistance to Lithuania through a 

national administration body, accredited for full decentralisation, under which annual 

programmes have been implemented in the period 2004-2006. Consequently, Lithuania has 

an appropriate national implementation structure for the purpose of implementing 

measures under Protocol No 4 through a national agency in line with the delegation of 

budget-implementation tasks under Articles 53(2) and 54(2)(c) of the Financial Regulation. 

(8) 

International decommissioning funds managed by the European Bank for Reconstruction 

and Development (EBRD) have been in place for a number of years. Through the Phare 

programme in particular, the Community is the main contributor to these funds. 

 
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(9) 

Consequently, provision should be made for a contribution from the general budget of the 

European Union to fund the decommissioning of the Ignalina nuclear power plant over the 

period from 2007 to 2013. 

(10) 

The financial assistance may continue to be made available as a Community contribution 

to the Ignalina International Decommissioning Support Fund managed by the EBRD. 

(11) 

The Ignalina Programme also includes measures to support plant personnel in maintaining 

a high level of operational safety at the Ignalina nuclear power plant in the periods prior to 

the closure and during the decommissioning of the reactor units. 

(12) 

The tasks of the EBRD include managing the public funds allocated to the programmes for 

decommissioning nuclear power plants and monitoring the financial management of these 

programmes so as to optimise the use of public money. In addition, the EBRD carries out 

the budget tasks entrusted to it by the Commission in line with the requirements of 

Article 53(7) of the Financial Regulation. 

(13) 

The decommissioning of the Ignalina nuclear power plant will be carried out in line with 

the legislation on the environment, particularly Council Directive 85/337/EEC of 

27 June 1985 on the assessment of the effects of certain public and private projects on 
the environment1. 

(14) 

A financial reference amount, within the meaning of point 38 of the Interinstitutional 

Agreement of 17 May 2006 between the European Parliament, the Council and the 
Commission on budgetary discipline and sound financial management2, is included in this 

Regulation for the entire duration of the programme, without thereby affecting the powers 

of the budgetary authority as defined by the Treaty establishing the European Community, 

1 

2 

OJ L 175, 5.7.1985, p. 40. Directive as last amended by Directive 2003/35/EC of the 
European Parliament and of the Council (OJ L 156, 25.6.2003, p. 17). 
OJ C 139, 14.6.2006, p. 1. 

 
                                                 
 
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HAS ADOPTED THIS REGULATION: 

Article 1 

This Regulation lays down detailed rules for the implementation over the period 2007-2013 of 

Protocol No 4 on the Ignalina nuclear power plant in Lithuania, annexed to the 2003 Act of 

Accession. 

These rules shall ensure that the Ignalina Programme will be seamlessly continued and extended, in 

accordance with Article 3 of Protocol No 4. 

Article 2 

The Ignalina Programme shall cover, inter alia, measures to support the decommissioning of the 

Ignalina nuclear power plant without deterioration of nuclear safety, measures to support the 

nuclear safety authorities in safety assessment and licensing of decommissioning projects, measures 

for environmental upgrading in line with the acquis and for modernising conventional production 

capacity to replace the production capacity of the two reactors at the Ignalina plant and other 

measures which stem from the decision to close and decommission this plant and which contribute 

to the necessary restructuring, upgrading of the environment and modernisation of the energy 

production, transmission and distribution sectors in Lithuania as well as to enhancing security of 

supply and energy efficiency in Lithuania. 

The Ignalina Programme shall also include measures to support plant personnel in maintaining a 

high level of operational safety at the Ignalina nuclear power plant in the periods prior to the closure 

and during the decommissioning of the reactor units. 

Article 3 

1. 

The financial reference amount necessary for implementation of the Ignalina Programme 

provided for in Article 2 for the period from 1 January 2007 to 31 December 2013 shall be 

EUR 837 million at current prices. 

2. 

The annual appropriations shall be authorised by the budgetary authority within the limits 

of the financial framework. 

 
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3. 

The amount of the appropriations allocated to the Ignalina Programme may be reviewed in 

the course of the period from 1 January 2007 to 31 December 2013 to take account of the 

progress made with implementation of the programme and to ensure that the programming 

and allocation of the resources are based on actual payment needs and absorption capacity. 

Article 4 

The contribution under the Ignalina Programme may, for certain measures, amount to up to 100 % 

of the total expenditure. Every effort shall be made to continue the co-financing practice established 

under the pre-accession assistance and the assistance given over the period 2004-2006 for 

Lithuania's decommissioning effort as well as to attract co-financing from other sources, as 

appropriate. 

Article 5 

1. 

Measures under the Ignalina Programme shall be decided and implemented in accordance 

with the provisions laid down in Articles 53(2) and 54(2)(c) of the Financial Regulation. 

2. 

Financial assistance for measures under the Ignalina Programme, or parts thereof, may be 

made available as a Community contribution to the Ignalina International 

Decommissioning Support Fund, managed by the EBRD. 

3. 

Measures and financial assistance under the Ignalina Programme shall be approved in line 

with Article 4 of Council Decision 1999/468/EC of 28 June 1999 laying down the 
procedures for the exercise of implementing powers conferred on the Commission1. 

1. 

Public aid from national, Community and international sources for: 

Article 6 

– 

environmental upgrading in line with the acquis and measures to modernise the 

Elektrėnai thermal power plant in Lithuania as the key replacement for the 

production capacity of the two reactors at the Ignalina nuclear power plant, and 

– 

decommissioning the Ignalina nuclear power plant 

 
 
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shall be compatible with the rules concerning the internal market, as defined in the Treaty. 

2. 

Public aid from national, Community and international sources in support of Lithuania's 

efforts to address the consequences of the closure and of the decommissioning of the 

Ignalina nuclear power plant may, on a case by case basis, be considered to be compatible 

with the Treaty rules concerning the internal market, in particular public aid for enhancing 

the security of energy supply. 

Article 7 

Without prejudice to Article 1 of Protocol No 4, the safeguard clause referred to in Article 37 of the 

2003 Act of Accession shall apply until 31 December 2012 if energy supply is disrupted in 

Lithuania. 

Article 8 

1. 

The Commission may have an audit carried out of the use made of the assistance, either 

directly by its own staff or by any other qualified outside body of its choice. Such audits 

may be carried out throughout the lifetime of the agreement and for a period of five years 

from the date of payment of the balance. Where appropriate, the audit findings may lead to 

recovery decisions by the Commission.  

2. 

Commission staff and outside personnel authorised by the Commission shall have 

appropriate rights of access, particularly to the beneficiary's offices and to all the 

information, including information in electronic format, needed in order to conduct such 

audits. 

The Court of Auditors shall enjoy the same rights, especially of access, as the Commission. 

Furthermore, in order to protect the Community's financial interests against fraud and other 

irregularities, the European Anti-Fraud Office (OLAF) may carry out on-the-spot checks 

and inspections under this programme in accordance with Council Regulation (Euratom, 

EC) No 2185/96 of 11 November 1996 concerning on-the-spot checks and inspections 

1 

OJ L 184, 17.7.1999, p. 23. Decision as amended by Decision 2006/512/EC (OJ L 200, 
22.7.2006, p. 11). 

 
                                                                                                                                                                  
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carried out by the Commission in order to protect the European Communities' financial 
interests against fraud and other irregularities1. 

3. 

For the Community action financed under this Regulation, the term irregularity in 

Article 1(2) of Council Regulation (EC, Euratom) No 2988/95 of 18 December 1995 on 
the protection of the European Communities financial interests2 shall mean any 

infringement of a provision of Community law or any breach of a contractual obligation 

resulting from an act or omission by an economic operator which has, or would have, the 

effect of prejudicing the general budget of the European Communities or budgets managed 

by the European Communities by an unjustified item of expenditure or budgets managed 

by other international organisations on behalf of the European Communities. 

4. 

The agreements between the Community and the EBRD on making Community funds 

available to the Ignalina International Decommissioning Support Fund shall provide for 

appropriate measures to protect the financial interests of the Community against fraud, 

corruption and other irregularities and to enable the Commission, OLAF and the Court of 

Auditors to carry out on-the-spot checks. 

Article 9 

The Commission shall ensure the implementation of this Regulation and shall report at regular 

intervals to the European Parliament and the Council. It shall carry out a mid-term review, as 

provided for in Article 3. 

Article 10 

This Regulation shall enter into force on the twentieth day following that of its publication in the 

Official Journal of the European Union. 

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

1 
2 

OJ L 292, 15.11.1996, p. 2. 
OJ L 312, 23.12.1995, p. 1. 

 
                                                 
 
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Done at Brussels, 21 December 2006. 

For the Council 

The President 

J. KORKEAOJA