CELEX: 51973PC2020
Language: en
Date: 1973-12-03
Title: REPORT FROM THE COMMISSION TO THE COUNCIL on the work done in connection with the difficulties encountered in the operation of Council Regulation (EEC) No 1174/68 of 30 July 1968 on the introduction of a system of bracket tariffs for the carriage of goods by road between Member States.#PROPOSAL FOR A COUNCIL REGULATION amending Regulation (EEC) No 1174/68 on the introduction of a system of bracket tariffs for the carriage of goods by road between Member States. (submitted to the Council by the Commission)

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COM (73) 2020
Vol. 1973/0357
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                           COM(73)2020 final
                                                           Brussels , 3 December 1973
                    REPORT FROM THE COMMISSION TO THE COUNCIL
    on the work done in connection with the difficulties encountered in the
    operation of Council Regulation (EEC) No 1174/68 of 30 July 1968 on the
    introduction of a system of bracket tariffs for the carriage of goods "by
                            road "between Member States
                        PROPOSAL FOR A COUNCIL REGULATION
    amending Regulation (SEC) No 1174/68 on the introduction of a system of
    bracket tariffs for the carriage of goods by road between Member States
                  ( submitted to the Council by the Commission)
  COK(73) 2020 final
 ---pagebreak---                     Report from the Commission to the Council
on the work done in connection with the difficulties encountered in the
                                                    1
operation of Council Regulation (EEC ) No 1174/ 68 of 30 July 1968 on the
introduction of a system of bracket tariffs for the carriage of goods by
road between Member States
1.    (a ) At its 222nd Session of 18 and 19 December 1972      the Council ,
inter alia , instructed a working party to examine the problems arising in
international road haulage within the Community as regards the requirements
for the conclusion of special contracts and the procedures for publication ,
of such contracts . For this purpose special contracts are defined as
agreements concluded in writing between a carrier and another party providing
for transport rates which lie outside the upper or lower limits of the
relevant tariff brackets . Detailed rule3 governing the conditions under
which such contracts may be made and their publication are laid down in
Articles 5 an^ 8 of the Regulation and in the Commission implementing
Regulation .
      (b) In a statement recorded in the minutes of its Session^, the
Council stressed the need for greater flexibility in the publication
arrangements for special contracts . On this point it instructed the
Commission to present it with proposals for such amendments to the Regulation
as should be found necessary and to make the necessary consequential amend­
ments to the Commission implementing Regulation .
      ( c ) In the same statement , the Council , in agreement with the
Commission , stressed the need to harmonize the provisions of bilateral
tariffs , and in particular as regards the following points :
            - Discounts for quantity ;
            - Tariffs for the services of forwarding agents and other ancillary
              services ;
            - Tariff arrangements for combined transport operations .
   Council Regulation (EEC ) No 1174/68 of 30 July I968 (OJ No 1 I94/I ) as
   amended by Regulation (EEC ) No 293/70 of 16 February 1970 (OJ No L 40/1 )
   and by Regulation (EEC ) No 2826/72 of 28 December 1972 (OJ L 298/12 )
   (herein referred to as "the Regulation")
2
   Document R/184/73 ( Trans . 7 )
3 Document R/2679/72 (Trans . 152 ).
 ---pagebreak---        (d ) Finally , at the same Session , the Council and. the Commission
noted a statement by the German delegation on the subject of checking
procedures and penalties in respect of bilateral - tariffs , which vary greatly
in effectiveness from one Member State to another .
The Council requested the Commission to study this point as well and to
report back to it as soon as possible .
2.    Before proceeding to an examination of the various points , the Commission
deems it necessary to make two general observations :
–      the tariff system introduced by the regulation is an experiment at a
       transitional stage of the common transport rates policy . At present
      the long-term trend in this field shows a general tendency towards a
      progressive loosening of restrictions , leading ultimately to maximum
      freedom of rate formation . This tendency is based on the conviction
      that economic organization within the Community should not involve
      individual decisions in the matter of transport rates being dealt with
      by administrative departments . A rational economic programme should
      rather stem from the action of market forces ; • this?' will permit -. the': free play
      of competition and of the skills of the undertakings operating in this
      field and will imply the acceptance by these undertakings of certain
      risks . In looking for solutions to the questions of detail discussed
    ■ in this document , care should be taken to avoid any course of action in
      conflict with these principles ;
-     the experience gained so far with the tariff system laid down by the
      Regulation is too recent to allow any definitive conclusions to be
      drawn . One point which has however emerged clearly and which confirms
      the lessons drawn in the past from other tariff systems in force in the
      Member States , is this : it would be illusory to try to preserve a
      compulsory tariff system by making its rules stricter . Thus to deal
      with the problems in question by laying down a series of tightly drawn
      rules would not improve the operation of the Regulation . What the
      economy requires is a set of tariff rules' which reflect the market ,
      and are in themselves capable of convincing transport undertakings and
      their customers of the need for , and effectiveness of , compulsory rate
      regulation .
 ---pagebreak---  3.   In talcing up its stance on the different points examined , the Commission
v?as guided by these principles .
The points examined and the position adopted by the Commission in relation
thereto are set out below :
A     REQUIREMENTS FOR THE CONCLUSION OF SPECIAL CONTRACTS
 (a ) Should special contracts be of a "bilateral " or "multilateral " character?
The tariff system established by the Regulation is of a "bilateral " character .
Logically , special contracts which depart from this system should also be
"bilateral " in character . The Commission is of the opinion that this should
in general be the case .
Nevertheless , it would be ignoring economic realities to state formally in
the Regulation that this is a prerequisite for the conclusion of special
contracts . Were this the case , the Regulation would expressly prohibit
tariff agreements for "multilateral " haulage operations which might otherwise
be perfectly reasonable and natural , having regard to costs ,. the state of the
market and the individual needs of the contracting parties . Besides , a
measure of this nature v?ould increase still, further the temptation to evade
tariff provisions .
The Commission is therefore of the opinion that the rules require no
amendment in this respect . It is up to the authorities responsible for
enforcement to ensure that the rules are applied in accordance with the
objectives of the tariff system . This presupposes that in principle contracts
are concluded on a "bilateral " basis , without thereby necessarily excluding
contracts concluded in special cases on a "multilateral " basis .   The text of
the Regulation in its present form , by relying on the enforcement
authorities , allows for the rules to be applied in this way .
(b ) Specification of routes in special contracts
This question is linked to a certain extent with (a ). It is the duty of the
authorities responsible for checking rates to ensure that the terms of
special contracts are communicated in such a way as to permit of their
proper examination . Circumstances determine , in each individual case ,
whether each route should be indicated separately or whether an overall
indication is sufficient . The greatest possible precision must be sought
on this point , but it would be economically undesirable to include in a
 ---pagebreak--- regulation of this sort a provision generally limiting the number of routes
which m&y be specified . In these circumstances the Commission considers           j
that in Article 8 ( 2 ) of the Regulation the expression "route or routes          '
concerned", thought to be too narrow , should be replaced by the expression
"geographical area covered by the contract ".
 ( c ) Special contracts concluded with forwarding agents
It has been proposed that it should be specifically stated in Article 5 of
the Regulation that the conditions for the conclusion of special contracts
must be fulfilled by the real consignor . This would mean that forwarding
agents could not be parties to such contracts . It is thought by some that
the use of forwarding agents , who group the consignments of several
consignors and thus obtain cheaper rates , pushes down rates .
The Commission sees no economic need for such a provision . In addition to
their grouping operations proper and the consignment of grouped lots , which
are provided for in the tariffs , forwarding agents fulfil , through their
centralizing action a normal economic function . Consignors must be able to
choose either to employ a forwarding agent , if this seems advantageous from
the cost or operational point of view , or to go direct to a transport under­
taking . The Regulation and the tariff arrangements should not artificially "
influence this choice .
Moreover , restricting the conclusion of special contracts in this manner
would raise legal difficulties in most of the Member States , where true
forwarding agents , that is , persons who conclude contracts for the carriage
of goods in their own name on behalf of their customers , are regarded by
the law as consignors .
(d ) Competition as a circumstance .justifying the' conclusion of special contracts
Under Article 5 of the Regulation , special contracts may be concluded where
the following three conditions are all satisfied together :
– circumstances must exist which were not taken into account at the time when
    the tariffs were fixed ;
– the tonnage to be carried within a three month period must be not less
    than $00 metric tons ; -
 ---pagebreak---                                          -5-
– the special contract must be such as to maintain or increase the carriers *
   trading returns .                              : /:            .
As regards the first condition, the Regulation itself cites as two acoong
other possible examples of factors justifying the conclusion of special
contracts , the requirements of competition and a particularly lengthy
transit period .                            ~   '               1
According to the principle underlying the Regulation , the aim of compulsory
bracket tariffs should be to present both abuse of a dominant position and
damaging competition between road transport undertakings ( see the fifth
recital to the Regulation ), Normal competition should be practised within
the bracket , the level of which should be such as to enable such competition'
to have free play .   Normal competition between hauliers is therefore a
circumstance which will have been taken into account when the rates were
fixed .  Consequently , it may not be invoked to support the conclusion of a
special contract . Competition in the sense of Article 5 0 ) (a ) -f the
Regulation can only refer' to external competition from other modes of
transport or from own account carriers .
This conclusion is a direct consequence of the principle underlying the
Regulation and the tariff system provided for therein . Thus no amendment
is necessary .
(e ) Meaning: of "Such as to maintain or increase trading returns "
      It has been proposed that a more precise definition of this, requirement
should be given in the Regulation itself or that it should be expressed in .
figures in the actual tariffs . The Commission considei's that neither of
these two proposals should be accepted. In its opinion , a special contract
meets the requirement vrhera it enables a transport undertaking +o maintain
or increase its level of business on a given market ,, provic ed that the rates
agreed cover the . undertaking 's marginal costs and a part of its fixed costs .
The enforcement authorities have the task – a difficult one admittedly – of
examining - whether this is the .case . ^ An amendment to the Regulation would not
change this situation .
There can be no question of specifying in tariffs the maximum amount by which
rates may be reduced Under special 'contracts , for this would deprive the
special contract of its essential characteristics , namely the power to fix
 ---pagebreak--- in accordance with individual requirements rates outside the range prescribed .
       Tc specify max'tnuni reductions would amount to regulating also the one
area which has so far "been left in the discretion of the contracting parties .
It would be going against one of the principles underlying the tariff rules
laid down in the Regulation .
       Needless to say , there is nothing to prevent the enforcement authori­
ties , xifnthey so choose , from using tables prepared by the hauliers' trade
organizations to check special contracts .
(f) I-Iod.3 of expression of the rates agreed
       The raises indicated in special contracts must be expressed in such a
way as to a'l-.ow comparison with the tariff rates .   They must therefore in
principle bo expressed in the same form as the tariffs .
       Hie Commission believes however that a single norm , a rate per metric
ton , would not cater fully for all aspects of this sector .     It is felt that
business interests and the need to ensure compliance with the Regulation
would be best served by a provision requiring that rates be expressed either
per metric ton or per metric ton/kilometre       The Regulation should be amend­
ed accordingly .
( g) Tonnage requirements
The present requirement for the conclusion of special contracts that at
least 500 metric tons must be carried within a three month period does not
always correspond to transport needs .     It prevents long-distance transport ,
which is increasing all the time in the enlarged Community , from being
carried out at reasonable rates .
       In spite of the basic differences of opinion in the working party
which studied the question , and of the fact that at the discussions with
the interests concerned the views of the hauliers' organizations differed
frcm those of the organizations representing users' forwarding agents ,
 ---pagebreak---                                         - 7 -
    the Commission considers that the present minimum tonnage requirement
    should he supplemented "by an alternative one expressed in metric ton/kms ,
   with a minimum of 250 000 t/km to he worked within a three-month period .
    It believes that in so doing it is leaving the system sufficiently flexible ,
   as the tonnage requirement of 5^0 metric tons within three months is not
    excessive for short distances, while that of 250 000 t/km will he no
   obstacle to long-distance transport .
B* PUBLICATION OF SPECIAL CONTRACTS
         A thorough study of the system has shown that the current procedure
   is too complex .   The present arrangements have not come up to expectation .
   They have had little effect in making information as to the terms of special
   contracts readily available , unlike the complicated procedures established
   involving constraints out of all proportion to the results obtained .
         It is mainly the system of monthly returns , the second stage of pub­
   lication , which , although it has provided a certain amount of information
   on the problems raised by special contracts , is not roally capable , in its
   present form and in the light of present circumstances , of achieving its
   real aim .
         The Commission is of the opinion that the present system of publication
   can and must be simplified .   The system of immediate publication by display
   can be maintained , but the monthly returns should be replaced by a sub­
   scription system .   Each prospective contracting party would thus bo able
   to obtain information from the enforcement authorities on those special
   contracts which interest him .
        If monthly returns are abolished , then, since these are also sent to
   the Commission , the latter must be given some power to obtain all necessary
   or relevant information concerning special contracts and the grounds justi­
   fying the conclusion of such contracts .
 ---pagebreak---  C     HARMON!ZATI ON OF TARIFFS
 (a ) Provision in tariffs for discounts for ' quant ity
     ■ The Commission is in favour of such a measurs the effect of which
would be to offer a wider range of tonnage conditions without extending the
bracket spread . Extending the range of rates offered , and thus the scope
 of the tariff , would be consistent with the principles underlying the
tariff system . The introduction of such a measure would , of course ,
necesss-rily limit the scope for special contracts containing non-tariff
rates . If the tariff itself provides for a discount in respect of
carriage above a specified tonnage , then such a tonnage can no longer be
invoked as a ground justifying the conclusion of a special contract .
       The result should be a decrease in the large number of special
contracts on certain routes , which are sometimes difficult to justify from
an economic point of view . In many cases the real reason for concluding
contracts containing special rates is quite simply the lack of differentiation
in the relevant tariffs .
       However , the introduction of discounts for quantity would not require
an amendment to the Regulation . The necessary provisions can be adopted
under the normal implementing arrangements and inserted in the various
tariffs .
       The technical rule3 for the calculation of discounts should be as
simple as possible . VJhat must at all events be avoided is a situation
xvhere , on account of the close connection between discounts for quantity
and special contracts , their respective rules are in conflict . This is
particularly important with regard to the new alternative minimum
requirement for special contracts , namely '250 000 metric ton/kms worked
within a three month period . Moreover , the Commission hopes that governments
will encourage the greatest possible harmonization of quantity discounts
within the various bilateral tariffs .
(b ) Tariffs for the services of forwarding agents and other ancillary services
       There i3 provision in all bilateral tariffs for a percentage reduction
in rates – and a corresponding downward displacement of the tariff bracket -
where the, carriage contract is made between the carrier and a forwarding
 ---pagebreak---                                                                   •. f
                                      -9-
agent or the like .
      The amount of this reduction varies according to the class of goods ,
and according to whether a forwarding agent or freight broker is involved .
The tariffs with the new Member States will probably contain similar
provisions .
      The Commission does not consider it necessary to make any provision
tinder Regulation No 1174/68 as regards the remuneration of transport
intermediaries . Indeed , in its fourth recital the Regulation expressly
states that it will "in no way affect the position or conditions of
remuneration of any providers of services ancillary to transport partici­
pating in transport operations ". Moreover , the national laws applying to
transport ancillaries differ greatly from one Member State to another , as
does their economic function on the market .
      Enforced harmonization by means of fixed rates would not alter this
situation either in law or in fact .
      However , whenever the fixing or revision of tariffs is being negotiated
bilaterally , the Commission will strive to promote a progressive alignment
on this point .
( c ) Provisions relating to combined and "roll on/roll off" transport
      Current tariffs contain no special provisions relating to combined
transport . In practice rates are fixed in accordance with national regul­
ations and with those laid down in the CMR ( Convention on the contract
for the international carriage of goods by road ). Under these regulations
the whole transport operation is regarded in most Member States , in so far
as the relationship between the haulier and the consignor is concerned , as
a road haulage operation , even if the vehicle containing the goods is
conveyed , without the goods being unloaded by another means of transport .
      In practice this question has given rise to no special difficulties '
within the Community as originally "constituted in the most commonly occurring
case , that of "Piggy-back" transport (Road/Rail ).
      On the other hand , in consecjuence of the enlargement of the Community ,
the application of the Regulation to "roll on/roll off" haulage is causing -
 ---pagebreak---                                       ■10-                  VII/410/73-S
practical difficulties .   In the Commission 's view there can be no doubt
as to the applicability of Regulation No 1174/CS to transport oiaerations
where part of the journey is by sea and consequently the vehicle has to be
loaded on board ship .
     Article 16 (b ) of the Regulation is , in fact , decisive of the point .
There would be no point in that sub-paragraph if the Regulation did not
apply to operations where the vehicle is transported by ship , since its
purpose is precisely to specify that in such cases the sea crossing is
not to be included for the purposes of calculating whether the distance of
the operation is within the fifty kilometre limit below which the Regulation
does not apply .
     It follows that the system of compulsory bracket tariffs introduced
by the Regulation applies to road haulage of this type . If this were not
so the entire tariff system provided for in Regulation No 1174/68 would be
liable to be undermined when applied to the new Member States .
     In these circumstances , the only question which arises is that of the
technical rules to be laid down as to how , when drawing up and applying
tariffs , the sea crossing is to be allowed for in the case of road haulage
operations of this type . Certain Member States have requested that this
problem be studied jointly by the Commission and all the Member States .
The Commission will arrange a meeting of both parties at an early date to
discuss these technical rules . The fact of such discussions cannot , of
course , in any xvay call into question its legal position as regards the
applicability of the Regulation to transport operations of this type .
(d ) Carriage of live animals
     Experience has shown that it is difficult to make the carriage by road
of live animals subject to fixed rules as to rates , since the rates for
this type of carriage have to take account of special conditions . Moreover ,
the carriage of live animals is of little economic importance in relation to
international road haulage as a whole .
     In these circumstances , the Commission considers that carriage of this
type should be excluded from the tariff rules .
 ---pagebreak---                                     -11-
D    CHECKING PROCEDURES AND PENALTIES
     The Council , in a statement recorded in the minutes of its 222nd
Session , requested the Commission to undertake as a matter of priority a
study of the arrangements adopted by the Member States to enforce the
tariff rules and the manner in which these are being applied in practice ,
and to make a report thereon .
     To enable it to draw up this report , the Commission requested the
Member States to provide it with full particulars of the measures taken by
them to ensure compliance with the tariff rules , and in particular
information as to the way in which such measures are being applied in
practice , especially as regards checking procedures and the organization
and operation of the supervisory machinery .
     The information provided by some Member States requires further
clarification . Although, a generally favourable trend has been noted , there
are still differences between one State and another as to the means employed
and penalties applicable .
     The Commission will as soon as possible , present the required report
on the effectiveness of the measures taken , how they are applied in
practice , and the supervisory machinery set up .
4.   In conclusion , the Commission also presents to the Council a proposal
for a regulation amending Regulation No 1174/68 on the following points :
–    the minimum tonnage requirement for the conclusion of special contracts
     of 500 metric tons within a three month period is supplemented by an
     alternative requirement of 250 000 metric ton/kms worked ;
–    publication procedures are simplified , with , as a corollary , a special
     provision in the Regulation empowering the Commission to obtain all
     relevant information concerning special contracts ;
–    more detailed provision is made as regards certain of the compulsorily
     publishable terms of contracts ;
–    the carriage of live animals is excluded from the scope of the
     Regulation .
 ---pagebreak---                                                                Sinnott/iucin
                            EXPLANATORY MEDiORAMDUM
In the light of the experience gained from the operation of the bracket
tariff arrangements , the Commission proposes that Council Regulation
(EEC ) NO 1174/68 be amended as follows :
-     The condition requiring that a minimum of 500 metric tons be
      carried within any three month period , to which the conclusion
      of special contracts is subject should be supplemented by an
      alternative condition expressed in terms of metric ton/kms ,
      namely 25O 000 metric ton/kins . The present requirement of 500
      metric tons to be carried within a three month period does not ,
      in all cases , meet transport requirements .  Long-distance transport ,
      which is expanding in the enlarged Community , is especially
      penalized . By introducing into the Regulation an alternative
      condition expressed in metric ton^ans which is easier to fulfil
      over long distances , the Commission believes that it can remove
      this disadvantage and at the same time increase the flexibility
      of the tariff arrangements .
-     Publication procedures should be simplified .
      Experience has shown that the present publication system is too
      complicated and difficult to administer . Although the system of
      monthly returns of contracts has provided certain information
      concerning the scope of contracts and problems arising out of them ,
      it has fallen short of expectations .
      Consequently , the Commission proposes to replace the system of
      monthly returns by a system which involves the communication of
      the principal terms of contracts to interested parties who
      subscribe for this information to the relevant bodies in the
      Member States .  As soon as the Council adopts this amendment to
      its Regulation ITo 1174/68 on this subject , the Commission will
 ---pagebreak---                                                      Sinnott/mcm
amend its implementing Regulation No 358/69 .
If the publication system is to be simplified by abandoning
systematic and regular publication on the basis of monthly returns
then tha Commission must be given the power to obtain not only
details of the principal terms of contracts but also all other
information which it considers necessary or relevant for the
purposes of checking compliance with the Community provisions .
Provision should be made for certain of the compulsorily
publishable particulars of special contracts to be expressed in a
more appropriate form .
The amendment of Regulation Wo 1174/68 is a suitable occasion on
which to replace the notion of the "route or routes concerned" by
that of the "geographical area covered by the contract ".
Likewise , the mode of expression for the rates agreed should be
specified , a.nd should be metric tons or metric ton/.cms in order
to enable the authorities responsible for enforcement to compare
the contract rates with tariff rates .
The carriage of live animals should be excluded from the scope of
the Regulation . Experience has shorn that it is difficult to
subject such transportation to fixed rules as regards rates and
conditions of carriage . Practically every operation is a special
case requiring individual attention . Furthermore , these operations
are of no great economic importance in relation to international
road haulage as a whole .
 ---pagebreak---                                                              Sinnbtt/mcm
                       Proposal for a Council Regulation
Amending Regulation (EEC ) No 1174/68 on the introduction of a system
of "bracket tariffs for the carriage of goods by road between Member States .
THE COUNCIL OP THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community .
 and in particular Article 75 thereof ;
Having regard to the proposal from the Commission ;
Having regard to the Opinion of the European Parliament ;
Having regard to the Opinion of the Economic and Social Committee ;
Whereas Council Regulation No 1174/68 of 30 July 1968 on the introduction
of a system of bracket tariffs for the carriage of goods by road between
Member States ( 1 ) as amended by Council Regulation (EEC ) no 2826/72 of
28 December 1972 ( 2 ) provides for the conclusion, subject to certain
conditions , of special contracts which depart from the system of compulsory
bracket tariffs : whereas this provision is an important factor in the
smooth operation of the tariff arrangements ; whereas the requirements for
the conclusion of such contracts must be compatible with the purpose of
the contracts , which is to provide for transport rates which are economic ,
having regard to the state of the market , in circumstances for which no
provision was made when the tariffs were established ; xvhereas the minimum
tonnage requirement of 500 metric tons is not in itself sufficient in this
respect principally by reason of its restrictive effect on the type of long-
distance carriage normal within th.e Community ; whereas provision should
therefore be made for an alternative condition expressed in terms of
metric ton/kilometres worked .
( 1 ) OJ No L 194 . 6 August 1968
( 2 ) OJ No L 298 , 31 December 1972
 ---pagebreak---                                                            Sinnott/mcm
Whereas experience has shown that the publication arrangements for
special contracts should be improved and greatly simplified ; whereas the
system of monthly returns has in fact proved to bo an excessively
unwieldy instrument and has not produced the anticipated improvement
in making knowledge of the contracts concerned readily available ;
whereas , however , if proper checks are to be kept on compliance with the
tariff arrangements , then such simplification must be counterbalanced
by a power on the part of the Commission of the European Communities to
obtain all such information as it may consider relevant or necessary ;
whereas it seems that the carriage of live animals should be excluded
from the present system ; whereas transport rates in this field are set
in accordance with special rules ; whereas , from an economic point of
view , the carriage of live animals is unimportant in relation to inter­
national road haulage as a whole ;
HAS ADOPTED THIS REGULATION :
                                  Article 1
Regulation (EEC ) NO 1174/68 is amended as follows :
1.    The text of point ( ii ) of the second sub-paragraph of Article 5 0 )
is replaced by the following :
      "where the special contract provides for transport rates below
      the lower limit of the relevant tariff bracket , such contract shall
      be in respect either cf not less than 500 metric tons or of not
      less than 250 000 metric ton/kilometres , to be carried or worked
      within a three-month period "
2.    The following paragraph is added to Article 5 5
      " 9 * Member States shall send to the Commission of the European
      Communities , at the request of the latter , a copy of each special
      contract and the supporting evidence relating thereto , together
      with any other information which the Commission considers necessary
      or relevant for the pttrpose of checking compliance with the present
      tariff arrangements ."
 ---pagebreak---                                                          Sinnott/mcm
3.   In Article 8 (?) the words "route or routes concerned." are
replaced by the words "the geographical area covered by the contract "
and the words "rates agreed" are replaced by the words "rates per
metric ton or per metric ton/kilometre ".
4.   The second and third sub-paragraphs of Article 8 ( 2 ) are deleted .
5c   The second sentence of the first sub-paragraph of Article 11 (4 )
is deleted .-
6.   Article 16 is amended by the addition of a sub-paragraph ( e ) as
follows :
     "( e ) to the carriage of live animals ."
                                Article 2
This Regulation shall enter into force on
This Regulation shall be binding in its entirety and directly applicable
in all Member States .
Done at Brussels ,                              For the Council