Proposal for a COUNCIL DECISION on the conclusion, on behalf of the European Union, of Amendment 1 to the Memorandum of Cooperation NAT-I-9406 between the United States of America and the European Union
Date: 2018-01-16
Institutions: Directorate-General for Mobility and Transport, European Commission
Subjects: United States, air traffic, air traffic control, civil aviation, cooperation agreement (EU), international cooperation, ratification of an agreement, research and development, revision of an agreement

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 16.1.2018  COM(2018) 27 final 2018/0009 (NLE)  Proposal for a COUNCIL DECISION on the conclusion, on behalf of the European Union, of Amendment 1 to the Memorandum of Cooperation NAT-I-9406 between the United States of America and the European Union  
 
 
EXPLANATORY MEMORANDUM 

1. 

• 

CONTEXT OF THE PROPOSAL 

Reasons for and objectives of the proposal 

Air  transport  is  a  priority  for  the  European  Union's  transport  policy.  The  Commission's 
objective is to achieve a high-performing air transport system that provides seamless, safe and 
efficient  mobility  of  passengers  and  goods,  for  the  benefit  of  citizens  and  industry.  This 
requires highly performing air traffic management (ATM) systems capable of addressing the 
present and future challenges of air transport in terms of increasing capacity and safety, while 
reducing the environmental impact of flights and the costs for the provision of air navigation 
services.  

Since 2004, the European Union has set out to improve the performance of ATM in Europe 
by  reforming  the  way  air  traffic  is  managed  and  organised  and  also  by  modernising  and 
harmonising  the  European  ATM  infrastructure  through  the  Single  European  Sky  (SES)1 
initiative. The completion of the SES is a major objective of the Aviation Strategy for Europe 
adopted  by  the  Commission  on  7.12.20152,  indicating  it  as  one  of  the  most  fundamental 
challenges  affecting  the  performance  and  competitiveness  of  the  European  Union's  aviation 
system today. The SESAR (Single European Sky ATM Research) project is the technological 
component of the SES. It aims to define, develop, validate and deploy new technologies and 
operational  procedures  that  contribute  to  enhancing  the  performance  of  ATM  systems  in 
Europe. 

Air  transport  is  a  global  business  that  strongly  relies  on  global  interoperability  of  ATM 
systems  that  ensures  safe,  efficient  and  cost  effective  flights  across  and  between  different 
regions  of  the  world.  Global  interoperability  can  only  be  achieved  through  effective  and 
continued cooperation with other regions. The USA is also addressing ATM modernisation, in 
particular through the NextGen programme managed by the Federal Aviation Administration 
(FAA).  SESAR  and  NextGen  are  today  the  main  worldwide  references  in  ATM 
modernisation. Both initiatives aim to improve the capacity of their current systems through 
the  increased  use  of  automation,  increased  sharing  of  information,  new  approaches  to  flight 
plans and flight routings, new methods of separation and extensive use of satellite technology. 
In this context, global interoperability is an essential goal when planning the development of 
ATM systems and is consequently one of the key requirements of both SESAR and NextGen.  

Sharing  the  common  goal  to  develop  safer  and  more  efficient  air  transport,  in  2011,  the 
European Union and the United States of America signed the Memorandum of Cooperation 
between the United States of America and the European Union in civil aviation research and 
development  (MoC).  The  cooperative  activities  carried  out  so  far  under  the  MoC  mainly 
address  ATM  particularly  cooperation  in  the  field  of  research  and  development  (R&D) 
between SESAR and NextGen. 

At  that  time,  these  two  programmes  were  both  in  their  research  and  development  phases, 
which  justified  the  initial  focus  of  cooperation  on  research,  development  and  validation 
activities.  Cooperation  under  the  MoC,  in  particular  between  SESAR  and  NextGen,  has 
reached  a  high  level  of  maturity  and  has  delivered  important  results  in  terms  of  promoting 

1 

2 

Regulations  (EC)  No  549,  550,  551  and  552  of  the  European  Parliament  and  of  the  Council,  of 
10.3.2004 (OJ L 96, 31.3.2004), pages 1, 10, 20 and 26, amended by Regulation (EC) No 1070/2009 of 
the European Parliament and of the Council of 21.10.2009 (OJ L 300, of 14.11.2009, p. 34).  
COM(2015) 598 of 7.12.2015. 

EN 

1 

  EN 

 
                                                 
global interoperability of ATM systems. This led the two parties to explore the potential for 
extending the scope of cooperation to topics relating to the deployment of ATM systems. On 
this basis, the Council authorised the Commission on 8 May 2017 to negotiate with the FAA 
concerning  an  amendment  to  the  MoC  to  extend  its  scope  to  cover  deployment.  The  three 
main negotiating objectives were: 

(1) 
to  expand  the  scope  of  the  existing  MoC  for  civil  aviation  R&D  to  include  the  full 
scope  of  ATM  modernisation  (i.e.  R&D,  validation,  demonstration,  deployment)  including 
emerging  aviation  areas  and  other  ATM  domains  of  the  Single  European  Sky  beyond 
technology; 

to streamline and optimise the governance arrangements of the MoC and its Annexes 

(2) 
and Appendices; 

to  negotiate  specific  arrangements  for  cooperation  on  ATM  deployment  while 
(3) 
maintaining 
the  existing  arrangements  on  “SESAR-NextGen  cooperation  on  global 
interoperability”  and  “Collaboration  on  ATM  performance  measurements”,  duly  adapted  to 
the new framework. 

The amendment to the MoC was negotiated between the Commission and the FAA and, on 
the basis of a corresponding Council Decision, has been signed on behalf of the Union while 
the present Decision follows its adoption process.  

• 

Consistency with existing policy provisions in the policy area 

The  proposed  Amendment  to  the  MoC  is  fully  consistent  with  the  Aviation  Strategy  for 
Europe, the Single European Sky policy, the SESAR project and the related legislation. The 
strategy  stresses  the  importance  of  completing  the  Single  European  Sky  through  the 
implementation of a fully optimised European air traffic management system that reduces the 
costs stemming from inefficiencies (delays and longer routes etc.). The implementation of the 
SESAR  project  plays  a  fundamental  role  in  that  implementation  as  well  as  a  strong  and 
efficient  cooperation  with  the  USA  in  order  to  ensure  that  the  respective  air  traffic 
management systems are aligned and interoperable. 

• 

Consistency with other Union policies 

This initiative complies with the Commission’s political priorities with regards to the internal 
market, growth and jobs and the European Union as  a global actor. The recommendation is 
consistent with the EU’s Research and Innovation policy and the Trans-European Networks 
policy  on  which  the  SESAR  research  and  development  and  deployment  frameworks  are 
based. 

2. 

• 

LEGAL BASIS 

Legal basis 

The  legal  basis  for  the  present  proposal  is  Article  100(2)  and  in  conjunction  with  Article 
218(6)(a) of the Treaty on the Functioning of the European Union. 

3. 

• 

RESULTS  OF  STAKEHOLDER  CONSULTATIONS  AND 
ASSESSMENTS 

IMPACT 

Stakeholder consultations 

The  Commission  has  involved  the  SESAR  Joint  Undertaking  and  the  SESAR  Deployment 
Manager  in  the  negotiation  process,  and  they  have  endorsed  the  results  of  the  negotiations. 

EN 

2 

  EN 

 
These entities represent a wide aviation stakeholder platform potentially benefitting from the 
amended  MoC.  The  Commisison  also  consulted  the  Member  States,  through  the  Special 
Committee established by the Council for the MoC, prior to initialling the draft texts. 

• 

Collection and use of expertise 

Technical  expertise  during  the  negotiations  was  provided by  the  SESAR  Joint  Undertaking, 
the  SESAR  Deployment  Manager  and  Eurocontrol.  Legal  expertise  was  provided  by  the 
Commission's Legal Service. There was no need for any other external expertise. 

• 

Impact assessment 

The proposal builds entirely on the same objectives and principles that underlie the existing 
MoC. The extension of the scope of cooperation between the Union and the USA to all phases 
of  ATM  modernisation  including  deployment  represents  the  natural  evolution  of  the  work 
successfully  carried  out  under  the  current  MoC.  The  initiative  does  not  aim  to  set  up  new 
programmes or funding mechanisms, so no impact assessment was performed as indicated in 
the roadmap. 

As indicated in the Commission's proposal to open negotiations to amend the MoC, the best 
option  was  to  amend  the  scope  of  the  existing  MoC  to  encompass  all  phases  of  ATM 
modernisation,  including  deployment,  within  the  scope  of  the  Single  European  Sky  policy, 
while  limiting  the  scope  of  cooperation  on  non-ATM  civil  aviation  topics  to  the  field  of 
research and development. The advantage of this approach is that the MoC would continue to 
cater  for  cooperation  on  any  non-ATM  civil  aviation  research  and  development  topic  while 
preserving the already negotiated binding cooperative framework with the USA. 

• 

4. 

BUDGETARY IMPLICATIONS 

The proposal does not have any additional budgetary implication. The activities that will be 
carried  out  under  the  modified  MoC  will  be  conducted  under  existing  instruments  and  their 
respective  financing  envelopes  and  work  programmes,  such  as 
the  SESAR  Joint 
Undertaking’s  SESAR  2020  multi-annual  work  programme  and  the  framework  partnership 
agreement with the SESAR Deployment Manager. 

5. 

• 

OTHER ELEMENTS 

Implementation plans and monitoring, evaluation and reporting arrangements 

The  research,  development  and  validation  activities  related  to  the  MoC  will  continue  to  be 
planned and monitored by the SESAR Joint Undertaking. The deployment activities will be 
planned  and  monitored  by  the  SESAR  Deployment  Manager  under  the  specific  grant 
agreements  signed  with  the  Commission.  The  Commission  will  monitor  and  supervise  the 
overall progress of the MoC’s implementation through the established reporting mechanisms 
of these two entities in accordance with the underlying legal and contractual frameworks and 
those of the MoC governance. 

• 

Detailed explanation of the specific provisions of the proposal 

The  proposed  Decision  aims  to  authorise  the  entry  into  force  of  Amendment  1  to  the  MoC 
signed  by  the  representatives  of  the  Union  and  of  the  United  States  on  the  basis  of  a 
corresponding Council Decision. The amendment includes the revised main text of the MoC 
and  a  revised  Annex  1  on  "ATM  modernisation  and  global  interoperability",  which 
comprises: 

EN 

3 

  EN 

 
– 

Appendix 1 on "SESAR-NextGen cooperation for research, development, validation 
and global interoperability", which also comprises five Attachments: 

(1) 

(2) 

(3) 

(4) 

(5) 

"SESAR-NextGen 
interoperability"; 

cooperation  on 

transversal 

activities 

for  global 

"SESAR-NextGen  cooperation  on 
interoperability"; 

"SESAR-NextGen  cooperation  on 
interoperability"; 

information  management  for  global 

trajectory  management 

for  global 

"SESAR-NextGen cooperation on CNS and airborne interoperability for global 
interoperability"; 

"SESAR-NextGen  cooperation  on  collaboration  projects 
interoperability"; 

for  global 

– 

– 

Appendix  2  on  "Collaboration  on  air 
measurement"; 

traffic  management  performance 

Appendix  3  on  "SESAR-NextGen  cooperation for  deployment  activities  and  global 
interoperability". 

Annex 1 and Appendix 3 are completely new documents. Annex 1 addresses the extension of 
the scope of the MoC to all ATM deployment and modifies the governance mechanisms while 
Appendix 3 describes the cooperative arrangements in the field of ATM deployment. 

The present proposal also sets out the role of the European Commission in the governance of 
the MoC. The European Union is represented by the European Commission in the MoC and 
all the related implementing arrangements (Annexes and Appendices).  

The  proposed  amendment  does  not  alter  the  original  role  of  the  Special  Committee  in  the 
governance  of  the  MoC.  The  proposed  Decision  on  the  conclusion  of  Amendment  1  to  the 
MoC defines which tasks require the prior consultation of the Special Committee and those - 
mainly  administrative  tasks  or  tasks  implementing  the  MoC  -  which  the  Commission  can 
implement under its own responsibility. 

EN 

4 

  EN 

 
2018/0009 (NLE) 

Proposal for a 

COUNCIL DECISION 

on the conclusion, on behalf of the European Union, of Amendment 1 to the 
Memorandum of Cooperation NAT-I-9406 between the United States of America and 
the European Union 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Article 100(2), in conjunction with Article 218(6)(a) thereof, 

Having regard to the proposal from the European Commission, 

Having regard to the consent of the European Parliament, 

Whereas: 

(1) 

(2) 

(3) 

(4) 

In accordance with Council Decision [XXX] of [XXXXX], the Amendment 1 to the 
Memorandum of Cooperation NAT-I-9406 between the United States of America and 
the European Union was signed on 13 December 2017, subject to its conclusion at a 
later date. 

The  Amendment  1  to  the  Memorandum  of  Cooperation  extends  the  scope  of 
cooperation between the Parties to all phases of air traffic management modernisation, 
including deployment activities, with the goal of ensuring global interoperability and 
modifies  the  structure  and  governance  of  the  Memorandum  so  as  to  optimise  the 
implementation and management of the cooperative activities carried out thereunder. 

It is necessary to lay down procedural arrangements for the participation of the Union 
in the executive management of the Memorandum of Cooperation. 

Therefore, the Amendment 1 to the Memorandum of Cooperation should be approved 
on behalf of the Union, 

HAS ADOPTED THIS DECISION:  

Article 1 

The  Amendment  1  to  the  Memorandum  of  Cooperation  NAT-I-9406A  between  the  United 
States of America and the European Union is hereby approved on behalf of the Union. 

The Amendment 1 to the Memorandum of Cooperation is attached to this Decision. 

Article 2 

The President of the Council shall designate the person empowered to proceed, on behalf of 
the  Union,  with  the  exchange  of  the  diplomatic  notes  provided  for  in  Article  II.B.  of 
Amendment  1  to  the  Memorandum  of  Cooperation,  in  order  to  express  the  consent  of  the 
Union to be bound by the Amendment1 to the Memorandum of Cooperation. 

EN 

5 

  EN 

 
Article 3 

The Commission, after consultation with a Special Committee appointed by the Council, shall 
determine  the  position  to  be  taken  by  the  Union  in  the  executive  management  of  the 
Memorandum  of  Cooperation  and  the  Annexes  thereto  established  under  Article  III  of  the 
Memorandum of Cooperation, with respect to: 

(1) 

(2) 

the  adoption  of  additional  Annexes  to  the  Memorandum  of  Cooperation  and 
Appendices thereto; 

the  adoption  of  amendments  to  Annexes  to  the  Memorandum  of  Cooperation  and 
Appendices thereto. 

Without  prejudice  to  Article  3,  the  Commission  may  take  any  appropriate  action  under 
Articles III, IV, V, VII and VIII of the Memorandum of Cooperation. 

Article 4 

The  Commission  shall  represent  the  Union  in  consultations  under  Article  XI  of  the 
Memorandum of Cooperation. 

Article 5 

The  Commission  shall  regularly  inform  the  Council  of  the  implementation  of  the 
Memorandum of Cooperation. 

Article 6 

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

Done at Brussels, 

Article 7 

For the Council 
The President 

EN 

6 

  EN