Proposal for a COUNCIL DECISION on the extension of the Agreement on the promotion, provision and use of Galileo and GPS satellite-based navigation systems and related applications between the European Community and its Member States and the United States of America
Date: 2022-01-14
Institutions: Directorate-General for Defence Industry and Space, European Commission
Subjects: United States, cooperation agreement (EU), international cooperation, renewal of an agreement, satellite communications, satellite navigation, technical cooperation

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   EUROPEAN COMMISSION  Brussels, 14.1.2022  COM(2022) 9 final 2022/0005 (NLE)  Proposal for a COUNCIL DECISION on the extension of the Agreement on the promotion, provision and use of Galileo and GPS satellite-based navigation systems and related applications between the European Community and its Member States and the United States of America  
 
EXPLANATORY MEMORANDUM 

1. 

• 

CONTEXT OF THE PROPOSAL 

Reasons for and objectives of the proposal 

The  ‘Agreement  on  the  promotion,  provision  and  use  of  the  Galileo  and  GPS  (Global 
Positioning  System)  satellite-based  navigation  systems  and  related  applications  between  the 
European  Community  and  its  Member  States,  of  the  one  part,  and  the  United  States  of 
America, of the other part’1 (hereafter, the ‘Agreement’) was signed in 2004. It entered into 
force in 2011, after ratification by the U.S., the EU and all the Member States. 

The objective of the Agreement is to provide a framework for cooperation between the Parties 
in  the promotion, provision  and use of  civil  GPS and  Galileo navigation and timing signals 
and services, value-added services, augmentations, and global navigation and timing goods.  

Article  20(5)  of  the  Agreement  provides  that  ‘This  Agreement  shall  remain  in  force  for  ten 
years.  At  least  three  months  before  the  end  of  the  initial  10-year  period,  the  Parties  shall 
inform  each  other  of  their  intention  whether  to  extend  the  Agreement  for  a  period  of  five 
years.’ The Agreement is due to expire on 12 December 2021.  

In June 2021, the U.S. signalled its interest in seeking authority to pursue an extension of the 
Agreement. The Commission replied in September that it would seek authorisation from the 
Council of the European Union to extend the Agreement  

The  evaluation  carried  out  by  the  European  Commission  clearly  demonstrates  that  the 
Agreement  provides  an  important  framework  for  conducting  and  facilitating  cooperation  in 
satellite navigation between the EU and the U.S. leading to mutual benefits.  

The  Agreement  is  essential  to  understand  each  other’s  satellite  navigation  landscape  and 
establish together priority areas of mutual interest on international cooperation. It offers also a 
useful forum to assess past cooperation and determine future actions. 

It is in the interest of the EU to renew this Agreement in order to continue to further engage in 
satellite navigation cooperation with the U.S.. 

• 

Consistency with existing policy provisions in the policy area 

This initiative is fully in line with Regulation (EU) 2021/696 of the European Parliament and 
of the Council of 28 April 2021 establishing the Union Space Programme and the European 
Union Agency for the Space Programme and repealing Regulations (EU) No 912/2010, (EU) 
No 1284/2013 and (EU) No 377/2014 and Decision No 541/2014/EU.  

Regulation (EU) 2021/696 stipulates: 

- In recital (67), that in order to optimise the use of the services provided, Galileo should be 
compatible  and  interoperable  as  far  as  possible  with  other  satellite  navigation  systems, 
without prejudice to the objective of strategic autonomy of the Union. 

-  In Article 48(2), that  Galileo and EGNOS (European Geostationary Overlay Service),  and 
the services they provide, shall be compatible and interoperable with other satellite navigation 

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0J L348 of 31.12.2011, p.3. 

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systems and with conventional means of radio navigation, where the necessary compatibility 
and  interoperability  requirements  and  conditions  thereof  are  laid  down  in  international 
agreements. 

Radiofrequency  compatibility  and  interoperability  between  Galileo  and  GPS  are  among  the 
main objectives of the Agreement.  

International cooperation is also a key element of the Space Strategy for Europe, as set by the 
Commission  in  its  Communication  of  26  October  20162,  which  stipulates  that  the 
Commission  will  take  into  account  the  specific  requirements  of  space  systems  when 
coordinating frequency allocation at European and international level. 

The  European  GNSS  (Global  Navigation  Satellite  Systems)  are  important  elements  in  the 
EU’s policy to ensure the full integration of land, sea and air transport infrastructure for safe, 
seamless,  economic  and  environmentally  friendly  navigation.  To  conclude  cooperation 
agreements on satellite navigation with countries that also develop their own GNSS, including 
the U.S., is part of the Union GNSS international strategy. 

The U.S. are a key partner and the closest GNSS provider partner for Galileo. 

This proposal does not foresee conferring ownership or decision-making rights to the U.S. 

• 

Consistency with other Union policies 

The proposal also takes into account the new EU-U.S. transatlantic agenda for global change, 
which is relevant in this context because it encourages the Union and the U.S to work together 
on technology, trade and standards. 

2. 

• 

LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY 

Legal basis 

Article 189 and Article 218(6) (a) (v) of the Treaty on the Functioning of the European Union.  

In  accordance with  the settled case law of the Court of Justice law,  ‘the  choice of the legal 
basis of a European Union act … must rest on objective factors amenable to judicial review, 
which include the aim and content of that measure.’3 

According  to  Article  189(1)  TFEU,  ‘to  promote  scientific  and  technical  progress,  industrial 
competitiveness and the implementation of its policies, the Union shall draw up a European 
space policy. To this end, it may promote joint initiatives, support research and technological 
development and coordinate the efforts needed for the exploration and exploitation of space.’ 

The  Agreement  contributes  to  this  as  evidenced  by  its  Article  1  according  to  which  its 
‘objective … is to provide a framework for cooperation between the Parties in the promotion, 
provision and use of civil GPS and Galileo navigation and timing signals and services, value-
added  services,  augmentations,  and  global  navigation  and  timing  goods.’  Moreover,  ‘the 
Parties intend to work together, both bilaterally and in multilateral fora, as provided herein, to 

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Communication  from  the  Commission  to  the  European  Parliament,  the  Council,  the  European 
Economic  and  Social  Committee  and  the  Committee  of  the  Regions,  Space  Strategy  for  Europe, 
COM(2016) 705, 26.10.2016. 
For example Case C-263/14 European Parliament v Council (Tanzania Pirates Agreement) ECLI EU C 
2016 435, paragraphs 43-44. 

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promote  and  facilitate  the  use  of  these  signals,  services,  and  equipment  for  peaceful  civil, 
commercial,  and  scientific  uses,  consistent  with  and  in  furtherance  of  mutual  security 
interests.’ In accordance with Article 216(1) TFEU, to achieve the objectives set out in Article 
189 TFEU, the EU has thus competence to  decide on the extension of the agreement on its 
behalf. 

The procedural  legal  basis  for deciding on the extension of the Agreement  on behalf of the 
EU  is  Article  218(6)  (a)  (v)  TFEU.  It  is  not  necessary  for  the  Commission  to  seek  an 
authorisation  to  negotiate the extension from  the Council in  accordance  with  Article 218(2) 
TFEU.  Article  20(5)  of  the  Agreement  does  not  provide  for  any  negotiations,  but  simple 
information. 

• 

Subsidiarity (for non-exclusive competence)  

Individual  Member  States  cannot  achieve  the  objectives  of  the  proposal  for  the  following 
reasons: 

- Galileo is owned by the Union, and with costs estimated at several tens of billions of Euros 
financed  as  a  European  initiative  managed  by  the  Commission  in  the  context  of  the  Space 
policy; 

-The Galileo system and its services are not provided by one single Member State. Therefore, 
the  scope  of  the  Agreement  to  be  extended  cannot  be  limited  to  any  single  Member  State 
alone or a group of Member States but affects the Union as a whole and in some aspects may 
even have a worldwide impact;  

- The industrial and technical knowledge in the space sector is spread over several Member 
States with no singular state capable of mastering all of it alone. Without a coordinated effort 
and information sharing, the risks of agreeing on sub-optimal solutions with the U.S. would 
increase. 

Union action will better achieve the objectives of the proposal for the following reasons: 

- The infrastructure of the Galileo system is deployed over the whole world and the security 
and  protection  of  Galileo  will  largely  depend  on  the  enforcement  of  coherent  protection 
measures by the Union and all its Member States, with support by the U.S. where relevant; 

- The Commission as the programme manager acting on behalf of the Union and the owner of 
the  system  is  better  positioned  to  take  all  reasonable  measures  to  induce  this  coherence. 
Failing to do this would increase security risks and the exposure of the Union and its Member 
States for liability claims in case of serious incidents. 

The  positions  that  the  Commission  takes  on  behalf  of  the  Union  in  the  different  Working 
Groups set up under Article 13 of the Agreement lead to Union coherence. 

Proportionality 

• 

N/A 

• 

Choice of the instrument 

The  extension  of  the  Agreement  is  the  sole  instrument  ensuring  Union-wide  coherence  in 
relations  with  the  U.S.  in  the  area  of  civil  satellite  navigation.  The  majority  of  military 
satellite-based navigation and timing aspects are exempted. 

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Coherence  in  application  is  particularly  important  regarding  measures  established  by  the 
Parties  concerning  civil  satellite  based  navigation  and  timing  signals  and  signal  providers, 
civil  satellite-based  navigation  and  timing  services  and  service  providers,  augmentations, 
value-added  services  and  value  added  service  providers,  as  well  as  global  navigation  and 
timing goods. 

The Treaty on the Functioning of the EU does not provide other viable options for regulating 
the relationships with a third country. 

3. 

• 

RESULTS 
CONSULTATIONS AND IMPACT ASSESSMENTS 

EX-POST 

EVALUATIONS, 

OF 

STAKEHOLDER 

Ex-post evaluations/fitness checks of existing legislation 

This initiative is not part of the REFIT agenda. 

• 

Stakeholder consultations 

The  Commission  has  addressed  the  extension  of  the  Agreement  in  the  GNSS  Programme 
Committee. 

The Commission has also consulted the Council Intermodal Transport Working Party and the 
Council Space Working Party. 

• 

Collection and use of expertise 

Summary of the advice received and used. 

It  is  appropriate and desirable for the Union to  extend the Agreement. The Agreement does 
not  contain  any  provisions  that  are  obsolete,  unacceptable  or  that  would  prevent  the 
Agreement to be extended. 

• 

Impact assessment 

The  first  option  is  to  take  no  initiative  in  response  to  the  interest  to  extend  the  Agreement 
expressed  by  the  Member  States  and  by  the  U.S.  This  could  be  perceived  as  a  gesture  of 
defiance,  which  could  endanger  the  compatibility  of  Galileo  and  GPS;  delay  or  stop 
cooperation  on  their  interoperability,  thereby  risking  delaying  the  operational  capability  of 
Galileo. 

The second option is to extend the current Agreement. This option is chosen because: 

• 
The Galileo and GPS systems are under further development and evolving. Continued 
cooperation between both systems is necessary for a number of reasons, including to ensure 
compatibility and interoperability; 

• 

• 

• 

The U.S. are a privileged satellite navigation partner of the Union; 

The U.S. and Union Member States do not oppose the extension of the Agreement. 

Regulatory fitness and simplification 

This initiative is not part of the REFIT agenda 

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4. 

BUDGETARY IMPLICATIONS 

During  its  ten  years  of  application,  none  of  the  activities  under  the  current  Agreement 
required funding from either of the Parties.  

For the next five-year period of extension of this Agreement, again no funding will be needed.  

The  budgetary  implications  will  be limited  to  administrative  costs  that  will  be  borne  by  the 
Parties  when  fulfilling  the  tasks  falling  under  their  responsibilities.  All  the  administrative 
costs are related to missions. All the missions from the Commission under the Agreement are 
paid from the Global Envelope for missions and not from the Galileo operational budget line 
under the EU Space Programme Regulation.  

5. 

• 

OTHER ELEMENTS 

Implementation plans and monitoring, evaluation and reporting arrangements 

This  proposal  to  extend  the  Agreement  does  not  foresee  conferring  Galileo  ownership  or 
decision-making rights to the U.S..  

The  proposal  does  not  give  the  U.S.  the  right  to  participate  in  the  EU  GNSS-related 
Programme Committees or Working Groups. 

The proposal does not allow the U.S. to participate in Galileo PRS (Public Regulated Service) 
relevant fora, working groups or discussions. 

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2022/0005 (NLE) 

Proposal for a 

COUNCIL DECISION 

on the extension of the Agreement on the promotion, provision and use of Galileo and 
GPS satellite-based navigation systems and related applications between the European 
Community and its Member States and the United States of America 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Article 189, in conjunction with Article 218(6), second subparagraph, point (a) (v) thereof, 

Having regard to the proposal from the European Commission, 
Having regard to the consent of the European Parliament1,  

Whereas: 

(1) 

(2) 

(3) 

The Council with Decision 2011/901/EU2 approved the conclusion of the Agreement 
on  the  promotion,  provision  and  use  of  Galileo  and  GPS  satellite  based  navigation 
systems  and  related  applications  between  the  United  States  of  America,  of  the  one 
part,  and  the  European  Community  and  its  Member  States,  of  the  other  part3.  The 
Agreement was signed at Dromoland Castle, Ireland, on 26 June 2004 and entered into 
force on 12 December 2011. 

In  accordance  with  Article  20(5)  of  the  Agreement,  the  Agreement  is  to  remain  in 
force for 10 years and at least three months before the end of the initial 10-year period, 
the  Parties  are  to  inform  each  other  of  their  intention  to  extend  the  Agreement  for  a 
period of five years. The Agreement expired on 12 December 2021.  

Both Parties have confirmed their intention to extend the Agreement for an additional 
period  of  five  years  without  any  amendment  to  the  Agreement  The  content  of  the 
Agreement  should  remain  the  same  after  the  extension.  For  the  purpose  of  ensuring 
continuity  of  the  Agreement,  this  Decision  should  enter  into  force  as  a  matter  of 
urgency and should apply from 12 December 2021. 

(4) 

The extension of the Agreement should therefore be approved on behalf of the Union. 

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OJ C , , p. . 
Council  Decision  2011/901/EU  of  12  December  2011  on  the  conclusion  of  the  Agreement  on  the 
promotion,  provision  and  use  of  Galileo  and  GPS  satellite-based  navigation  systems  and  related 
applications between the European Community and its Member States, of the one part, and the United 
States of America, of the other part (OJ L 348, 31.12.2011, p. 1). 
Agreement on the promotion, provision and use of Galileo and GPS satellite-based navigation systems 
and related applications between the European Community and its Member States, of the one  part, and 
the United States of America, of the other part (OJ L 348, 31.12.2011, p.3). 

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HAS ADOPTED THIS DECISION:  

Article 1 

The  extension  of  the  Agreement  on  the  promotion,  provision  and  use  of  Galileo  and  GPS 
satellite-based  navigation  systems  and  related  applications  between  the  United  States  of 
America  and the European Community and its  Member States  for an  additional period of  5 
years is hereby approved on behalf of the Union. 

Article 2 

The  Commission  shall,  on  behalf  of  the  Union  deliver  to  the  United  States  of  America  the 
diplomatic  note  provided  for  in  Article  20(1)  of  the  Agreement  and  make  the  following 
notification: ‘As a consequence of the entry into force of the Treaty of Lisbon on 1 December 
2009,  the  European  Union  has  replaced  and  succeeded  the  European  Community  and  from 
that  date  exercises  all  rights  and  assumes  all  obligations  of  the  European  Community. 
Therefore, references to “the European Community” in the text of the Agreement are, where 
appropriate, to be read as to “the European Union”’. 

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

Article 3 

It shall apply from 12 December 2021. 

Done at Brussels, 

For the Council 
The President 

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LEGISLATIVE FINANCIAL STATEMENT 

There is no legislative financial statement because there are no costs linked to this Agreement, 
except travel costs which are paid from the Global Envelope  for missions, and not from the 
Galileo operational budget line under the EU Space Programme. 

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