CELEX: 32006R1990
Language: en
Date: 2006-12-21 00:00:00
Title: 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

L 411/10            EN             Official Journal of the European Union                    30.12.2006
                           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 Communities 1
("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 Regulation 2 ,
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
        OJ L 248, 16.9.2002, p. 1.
2
        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).
 ---pagebreak--- 30.12.2006            EN             Official Journal of the European Union                    L 411/11
(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.
 ---pagebreak--- L 411/12            EN             Official Journal of the European Union                     30.12.2006
(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 environment 1 .
(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 management 2 , 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
        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).
2
        OJ C 139, 14.6.2006, p. 1.
 ---pagebreak--- 30.12.2006          EN             Official Journal of the European Union                        L 411/13
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.
 ---pagebreak--- L 411/14            EN              Official Journal of the European Union                   30.12.2006
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 Commission 1 .
                                                   Article 6
1.        Public aid from national, Community and international sources for:
          –     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
 ---pagebreak--- 30.12.2006          EN             Official Journal of the European Union                       L 411/15
         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).
 ---pagebreak--- L 411/16             EN             Official Journal of the European Union                    30.12.2006
          carried out by the Commission in order to protect the European Communities' financial
          interests against fraud and other irregularities 1 .
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 interests 2 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
        OJ L 292, 15.11.1996, p. 2.
2
        OJ L 312, 23.12.1995, p. 1.
 ---pagebreak--- 30.12.2006        EN           Official Journal of the European Union L 411/17
Done at Brussels, 21 December 2006.
                                            For the Council
                                            The President
                                            J. KORKEAOJA