CELEX: 51973PC1860
Language: en
Date: 1973-11-07 00:00:00
Title: RECOMMENDATION FOR A COUNCIL DECISION on the position to be adopted by the Community in the OECD with regard to a special agreement on ground stations for telecommunications satellites (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (73) 1860
Vol. 1973/0330
 ---pagebreak--- Disclaimer
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                         I
                                                        COM(73 ) 1860 final
                                                        Brussels , 7 November 1973
                              RECOMMENDATION FOR A
                             ■  COUNCIL DECISION
                on the position to be adopted by the Community
              in the OECD with regard to a special agreement on
              ground stations for telecommunications satellites
                 (submitted to the Council by the Commission)
   COM(73) i860 final
 ---pagebreak--- Explanatory memorandum
The aim of this Recommendation is to secure the adoption by the Council of
a number of directives concerning the position that the Community should
adopt in the OECD with regard to the framing of a special agreement on the
credit terms which may be granted for ground stations for tele communications
satellites .
This Recommendation arises from the Commission 's Recommendations to the
Council concerning the special agreements being discussed in the OECD on
the subject of export credit for nuclear power plants and aircraft .
In this sphere too it appears necessary to avoid any distortions of
competition or deterioration of credit terms .   Thus the Commission
considers that the Community should define the principles of its commercial
policy on this subject and participate in the framing of the contemplated
OECD special agreement .
For this purpose the representatives of the Member States and the
Commission conferred in the Coordinating Committee on Credit Insurance ,
Guarantees and Financial Credit Policies and arrived at a joint approach.
The Commission therefore considers that the time has come for the Council
to lay down certain guidelines for the Community 's position on the basis
of the conclusions reached in those consultations 9 and recommends that it
should adopt for this purpose the Decision the draft of which is annexed
hereto .
 ---pagebreak---                 Kecommendation for a
                      Council Decision on the position to "be
                adopted by the Community in the OECD with
                regard to a special agreement on ground
                stations for telecommunications satellites
TH j COUNCIL OP TH3 EUROPEAIT COMMUNITIES ,
Having regard to the Treaty establishing the European Sconomic Community;
and in particular Arfciclo 113 thereof
Having regard to the Recommendation from the Commission;
Whereas it is desirable to issue certain directives on the position to be
adopted by the Community in the OECD with regard to the framing of a
special agreement on ground stations for telecommunication satellites ;
HAS D3CIDED AS FOLLOWS :
                                Sole Article
When a special agreement is framed in the OECD cn ground stations for
telecommunications satellites , the Commission shall express the
Community 1 s position in accordance with the directives annexed .
It shall act in consultation with the Special Committee referred to in
Article 113 of the Treaty, which shall assist it in its task.
                                      Done at Brussels ,
                                      For the Council
                                      The President
 ---pagebreak---                                                          Mtra
The Commission shall endeavour to achieve , in the OECD, an agreement "based
on the following principles s
I.     SC0P3
       The agreement shall concern all transactions which receive official
       support in whole or in part and which relate to contracts for the
       sale of ground stations for telecommunications satellites.
II .   TERM OP CREDIT
       1 . The maximum credit term shall not exceed eight years .
       2 . The credit shall run from the date when the seller has to have
                                                                           1
           constructed or completed the erection of the installations .
III .  OTH^R CONDITIONS
       1 . The amount of the instalments is fixed at a minimum of 10>,
           payable "before the final remittance (at least 5/j being payable
           at the date of signing of the contract ).
       2 . Payments on credit shall be in the form of regular equal half-
           yearly or, in exceptional cases , yearly payments .
                                                                 • ••/ • • •
 i.e. the date when the supplier has completed the construction of the
 station and the preliminary inspection to make sure that the station is
 ready for operation (whether or not it has been handed over to the
 purchaser at that stage , under the terms of the contract , and irrespectively
 of any commitment which may be outstanding whereby the supplier guarantees
 the actual functioning of the station or the training of local staff).
 ---pagebreak---                                    -2-
IV . IMPLIMSNTIîTG RULES AND PROCJIDURjîS
     The standard agreement envisaged in the O^CD, which would be
     applicable to all special agreements , would lay down detailed rules
     and procedures .                  '
     If the standard agreement came into force subsequently to the spe­
     cial agreement as proposed here , provisional rules and procedures
     would have to be adopted for the latter agreement until the
     standard agreement came into force .