Proposal for a COUNCIL DECISION on the conclusion, on behalf of the European Union, of the Treaty establishing the Transport Community
Date: 2018-07-13
Institutions: Directorate-General for Mobility and Transport, European Commission
Subjects: Western Balkans, agreement (EU), common transport policy, inland waterway transport, land transport, maritime transport, ratification of an agreement, trans-European network, transport network

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   EUROPEAN COMMISSION  Brussels, 13.7.2018 COM(2018) 532 final 2018/0282 (NLE)  Proposal for a COUNCIL DECISION on the conclusion, on behalf of the European Union, of the Treaty establishing the Transport Community   
 
 
EXPLANATORY MEMORANDUM 

1. 

• 

CONTEXT OF THE PROPOSAL 

Reasons for and objectives of the proposal 

A well-functioning transport system connecting the Union and the neighbouring countries is 
essential  for  sustainable  economic  growth  and  the  wellbeing  of  all  citizens.  Transport 
cooperation  with  the  Western  Balkans  countries  had  been  governed  by  the  South  East 
European Transport Observatory (SEETO), a the  Memorandum of Understanding (MoU) of 
11  June  2004  signed  by  Albania,  Bosnia  and  Herzegovina,  Croatia,  the  former  Yugoslav 
Republic of Macedonia, Montenegro, Serbia, the United Nations Mission in Kosovo and the 
Commission.  The  main  objective  of  the  MoU  was  to  extend  the  Trans-European  Tranport 
Network (TEN-T) and related policies to the Western Balkans. 

The MoU has, however, shown limits and following an assessment made by the Commission 
in 2008, a more comprehensive cooperation approach – involving other transport policies and 
transport related areas – was suggested. In this context, based on the positive experience with 
the  implementation  of  the  Energy  Community  Treaty,  the  Commission  proposed  to  take 
inspiration  from  this  example  for  the  purposes  of  the  transport  sector  and  negotiate  an 
agreement providing that the legislation, standards and technical specifications applied by the 
Western Balkans partners be made compatible with those of the Union.  

The  Council  authorised  the  Commission  on  12  June  2008  and  on  9  October  2009  to  open 
negotiations  on  behalf  of  the  European  Union  with  Albania,  Bosnia  and  Herzegovina, 
Kosovo1, the former Yugoslav Republic of Macedonia, Montenegro and Serbia, on a Treaty 
establishing the Transport Community ('TCT').  

The discussions at technical level were successfully completed in July 2010. However, due to 
the impossibility to agree on the appropriate designation of one of the parties, the finalisation 
of  the  TCT  remained  stalled  for  almost  three  years.  The  discussions  were  resumed  in  2013 
and an agreement on the final version of the TCT was reached in 2016. 

The  TCT  was  signed  on  behalf  of  the  Union  on  12  July  and  9  October  2017,  subject  to  its 
conclusion at a later date, in accordance with Council Decision 2017/19372 which authorised 
its signing and provisional application. 

All  South  East  European  Parties  except  Kosovo  have  already  ratified  the  TCT.  In  the 
meantime,  the  TCT  is  applied  provisionally  among  the  Parties  in  accordance  with  Article 
41(3) of the TCT. 

• 

General context 

Strengthening regional cooperation within the Western Balkans is a key element for 
political  stability,  security,  economic  prosperity  and  social  development  in  the 
region. In this context, the TCT will benefit the accession framework for the Western 
Balkans by speeding up the alignment of national legislation with the Union acquis 
on transport and related areas. The TCT will also be a  key instrument to  foster the 
reform  process  in  the  context  of  the  Western  Balkan  Six  initiative  as  well  as  the 
implementation of the TEN-T as extended to the Western Balkans. 

1 

2 

This designation is without prejudice to positions on status, and is in line with UNSCR 1244/1999 and 
the ICJ Opinion on the Kosovo declaration of independence. 
Council Decision (EU) 2017/1937 of 11 July 2017 on the signing, on behalf of the European Union, and 
provisional application of the Treaty establishing the Transport Community (OJ L 278, 27.10.2017, p. 
1) 

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• 

Consistency with existing policy provisions in the policy area  

The  TCT  is  fully  compliant  with  existing  transport  provisions  and  will  replace  the  existing 
cooperation framework, the South East European Transport Observatory (SEETO), which is 
in place since 2004.  

• 

Consistency with other Union policies and objectives  

The  TCT  is  fully  compliant  with  the  policies  and  objectives  set  up in  the  framework  of  the 
cooperation  with  the  South  East  European  partners  or  in  the  framework  of  the  enlargement 
process.  The  TCT  will  play  a  key  role  in  supporting  these  policies  by  helping  the  Western 
Balkans countries to move closer to the Union transport acquis.  

The TCT is also fully aligned with all relevant transport related policies such as environment 
and social policies.  

2. 
IMPACT ASSESSMENTS  

RESULTS OF CONSULTATIONS WITH THE INTERESTED PARTIES AND 

Not applicable 

3. 

• 

LEGAL ELEMENTS OF THE PROPOSAL 

Legal basis 

The legal basis for the proposal is Articles 91 and 100(2) of the Treaty on the Functioning of 
the European Union, in conjunction with Article 218(6)(a) and Article 218(7) thereof.  

Article 91 TFEU provides that measures concerning rail, road and inland waterway transport 
within the framework of the common transport policy shall be adopted in accordance with the 
ordinary legislative procedure. Paragraph 2 of Article 100 provides that appropriate provision 
for  sea  transport  shall  be  as  well  adopted  in  accordance  with  the  ordinary  legislative 
procedure. 

Article 218 TFEU lays down the procedure for the negotiation and conclusion of agreements 
between the European Union and third countries or international organisations. In particular, 
paragraph  6  thereof  provides  for  the  Council,  on  a  proposal  from  the  Commission  as 
negotiator,  to  adopt  a  decision  authorising  the  conclusion  of  an  agreement  on  behalf  of  the 
European Union. 

• 

Choice of the instrument 

This proposal is in accordance with Article 218(6)(a) TFEU, which envisages the adoption by 
the Council of a decision on the conclusion of international agreements, after having obtained 
the consent of the European Parliament.  

4. 

BUDGETARY IMPLICATION  

There  will  be  no  impact  on  the  Union  budget.  In  accordance  with  the  TCT,  Union 
contribution  to  the  the  budget  of  the  Transport Community  shall  only  cover  the  operational 
expenses necessary for the functioning of its institutions. Funding is to be provided through 
2017/039-402.20/MC/Transport  Community.
the 

following 

budget 

line: 

IPA 

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2018/0282 (NLE) 

Proposal for a 

COUNCIL DECISION 

on the conclusion, on behalf of the European Union, of the Treaty establishing the 
Transport Community  

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union  and  in  particular 
Article  91  and  Article  100(2),  in  conjunction  with  Article  218(6)(a)  and  Article  218(7) 
thereof, 

Having regard to the proposal from the European Commission, 
Having regard to the consent of the European Parliament3,  

Whereas: 

(1) 

(2) 

(3) 

(4) 

The  Commission  has  negotiated,  on  behalf  of  the  Union,  the  Treaty  establishing  the 
Transport  Community  (‘the  Transport  Community  Treaty’)  between  the  European 
Union  and  Albania,  Bosnia  and  Herzegovina,  the  former  Yugoslav  Republic  of 
Macedonia, Kosovo, Montenegro and Serbia. 

The Transport Community Treaty was signed on behalf of the Union on 12 July and 9 
October  2017,  subject  to  its  conclusion  at  a  later  date,  in  accordance  with  Council 
Decision 2017/19374. 

The  Transport  Community  furthers  the  development  of  transport  between  the  Union 
and  the  South  East  European  Parties  on  the  basis  of  the  provisions  of  the  Union 
acquis.  

The  Commission  should  be  empowered  to  approve,  on  behalf  of  the  Union, 
amendments to the lists of Union legisation in Annex I, under Article 20(3)(a) of the 
Transport Community Treaty. 

(5) 

The Transport Community Treaty should be approved on behalf of the Union, 

HAS ADOPTED THIS DECISION:  

Article 1 

1. 

2. 

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The  Treaty  establishing  the  Transport  Community  is  hereby  approved  on  behalf  of 
the Union. 

The President of the Council shall designate the person(s) empowered to deposit, on 
behalf of the Union, the instrument of approval provided for in Article 41(1) of the 
Transport  Community  Treaty  in  order  to  express  the  consent  of  the  Union  to  be 
bound by the Transport Community Treaty. 

OJ …. 
Council Decision (EU) 2017/1937 of 11 July 2017 on the signing, on behalf of the European Union, and 
provisional application of the Treaty establishing the Transport Community (OJ L 287, 27.10.2017, p. 
1). 

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Article 2 

the  Regional  Steering 
The position to be taken by the Union as regards 
Committee under Article 20(3)(a) of the Transport Community  Treaty regarding  merely the 
inclusion of Union legislation into Annex I to the Transport Community Treaty, subject to any 
technical adjustments needed, shall be adopted by the Commission. 

decisions  of 

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

Done at Brussels, 

Article 3 

For the Council 
The President 

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