CELEX: 51988PC0204
Language: en
Date: 1988-04-18
Title: Proposal for a COUNCIL DECISION concerning the conclusion of the Cooperation Agreement between the European Economic Community and the Republic of Finland on research in the field of wood, including cork, as a renewable raw material (submitted by the Commission)

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COM (88) 204
Vol. 1988/0063
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 ---pagebreak--- i
  COMMISSION OF THE EUROPEAN COMMUNITIES
                                             C0M88) 204 final
                                             Brussels , 18 April 1988
                                  Proposai for a
                                 COUNCIL DECISION
     concerning the conclusion of the Cooperation Agreement between the
         European Economic Community and the Republic of Finland on
             research in the field of wood , including cork , as a
                              renewable raw material
                         ( submitted by the Commission )
 ---pagebreak---                                                                                      \
                                       - 2 -
                  COMMUNICATION FROM THE COMMISSION TO THE COUNCIL
Subject : Proposal for a Council Decision concerning the conclusion of the
            Cooperation Agreement between the European Economic Community and
            the Republic of Finland on research in the field of wood , including
            cork , as a renewable raw material .
1.  By its decision of 10 June 1986 ,      the Council adopted a research programme
    on materials      ( raw materials  and   advanced  materials   - 1986-89 ) which
    includes a subprogramme on wood,          including cork ,   as a renewable raw
    material .
    Article 6 of this Decision authorizes the Commission to negotiate
    agreements with third States , in particular those involved in European
    Coopération in the field of scientific and technical research ( COST ), with
    a view to associating them wholly or partly with this programme .
2.  In the context of the Framework Agreement for scientific and technical
    cooperation between the European Communities and the Republic of Finland ,
    the conclusion of which on behalf of the Community was approved by Council
    Decision of 9 February 1987 ,          Finland has expressed an interest in
    cooperating on research in the field of wood .
3.  Bearing in mind the technical and scientific importance of research and
    development activities carried out in Finland in this field , and the
    favourable attitude      expressed on 30 June 1986 by the competent          CGC
    regarding cooperation with Finland in the field of wood , the Commission
    has negotiated a draft agreement to cooperate with Finland in the research
    areas covered by the above mentioned Community programme .
    The draft agreement ,      which is annexed to the attached proposal for a
    Council decision , provides for :
    -   the association of Finland with the implémentation of the Community
        programme ;
    - a financial contribution from Finland for the funding of the work to be
        carried out in the framework of shared cost research contracts and of
        the management and administrative operating expenditures for the
        Community programme; this financial contribution is proportional to
        Finland 's gross domestic product ;
        the entitlement of Finnish persons and undertakings to submit research
       proposals and to conclude the related research contracts with the
        Commi ssion ;
    – the enlargement of the Management and Coordination Advisory Committee
        " Raw materials and other materials " to include Finnish representatives .
 ---pagebreak---                                     - 3 -
5. In view of the nature of the cooperation , any additional expenditure paid
   from the Community budget ( relevant budget heading 7358 ) resulting from
   the implementation of this draft agreement will be covered by Finland 's
   financial contribution .
   The funds paid by Finland will        be credited to the Community budget
   ( relevant budget article 602 ).
6. The Commission proposes that the Council adopt the attached proposal for a
   decision .
 ---pagebreak---                                        Proposai for a
                                      COUNCIL DECISION
concerning the conclusion         of a Cooperation Agreement between the European
Economic Community and the Republic of Finland on research in the          field of
wood , including cork , as a renewable raw material .
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community ,      and
in particular Article 235 thereof ,
Having regard to the proposal submitted by the Commission ,
Having regard to the opinion of the European Parliament ,
Whereas by its Decision 86 / 235 / EEC CD , the Council adopted a research
programme ( 1986 to 1989 ) on materials ( raw materials and advanced materials )
which includes a subprogramme on wood , including cork , as a renewable raw
material ; whereas Article 6 of that Decision authorises the Commission to
negotiate agreements with third States ,           in particular those involved in
European cooperation in the field of scientific and technical research ( COST ),
with a view to associating them fully or partly with this programme ,
Whereas by Decision 87 / 177 / EEC ( 2 ), the Council approved the conclusion on
behalf of the European Economic Community of the Framework Agreement for
scientific and technical cooperation between the European Communities and ,
among others , the Republic of Finland ,
Whereas the present Agreement should be approved ,
Whereas the Treaty does not provide the necessary powers ,
HAS DECIDED AS FOLLOWS :
TT) O.J. N u L 159, 14 / 06 / 1986 , p. 36
( 2 ) O.J. N° L 71 , 14 / 03 / 1987 , p. 29
 ---pagebreak---                                                                              c
                                    - 5 -
                                    Article 1
The Cooperation Agreement between the European Economic Community and the
Republic of Finland on research in the field of wood , including cork , as a
renewable raw material , is hereby approved on behalf of the Community .
The text of the Agreement is attached to this Decision .
                                    Article 2
The President of the Council shall give the notification provided for in
Article 9 of the Agreement ( 3 ).
Done at
                                                   For the Council
                                                   The President
(3)  The date of entry into force of the Agreement will be published in the
     Official Journal of the European Communities by the General Secrétariat
     of the Council .
 ---pagebreak---                                                      )
                       - 6 -
               COOPERATION AGREEMENT
                      BETUEEN
         THE EUROPEAN ECONOMIE COMMUNITY
                         AND
             THE REPUBLIC OF FINLAND
                          ON
             RESEARCH IN THE FIELD OF
UOOD, INCLUDING CORK , AS A RENEMABLE RAM MATER I AL
 ---pagebreak---                                        - 7 -
                               COOPERATION AGREEMENT
                                        BETWEEN
                          THE EUROPEAN ECONOMIC COHMUNITY
                                          AND
                              THE REPUBLIC OF FINLAND
                                          ON
                             RESEARCH IN THE FIELD OF
                WOOD , INCLUDING CORK , AS A RENEWABLE RAM MATERIAL
THE EUROPEAN ECONOMIC COMMUNITY , hereinafter referred to as " the Community ",
and
THE REPUBLIC OF FINLAND , hereinafter referred to as " Finland ",
both hereinafter referred to as the " Contracting Parties ",
WHEREAS the Community and Finland concluded a framework agreement for
scientific and technical cooperation which entered into force on 17 July 1987 ;
WHEREAS , by decision of 10 June 1986 , the Council of the European Communities ,
hereinafter referred to as " the Council ", adopted , for a period of four years
from 1 January 1986 , a programme in the sector of materials ( raw materials
and advanced materials ), which includes a subprogramme relating to wood ,
including cork , as a renewable raw material , hereinafter referred to as " the
Community programme ";
WHEREAS , a comprehensive research and development programme in the field of
forest and forest products is carried out in Finland ;
WHEREAS the association of Finland with the Community programme can help to
improve the efficacy of the research carried out by the Contracting Parties in
the field of wood , including cork ,     as a renewable raw material and can avoid
the useless duplication of efforts ;
WHEREAS the Contracting Parties expect to derive mutual benefit from Finland 's
association with the Community programme ;
HAVE AGREED AS F0LL0WS :
 ---pagebreak---                                      - 8 -
Article 1
Finland is hereby associated with the        implementation of the Community
programme as set out in Annex A.
Article 2
The financial contribution of Finland deriving from its association with the
implementation of the Community programme shall be established in proportion
to the amount available each year in the general budget of the European
Communities for appropriations covering commitments to meet financial
obligations of the Commission of the European Communities , hereinafter
referred to as " the Commission", resulting from work to be carried out in the
framework of shared cost research contracts necessary to the implementation
of the Community programme and from management and administrative operating
expenditure for the Community programme .
The proportionality factor governing Finland 's contribution shall be given by
the ratio between Finland 's gross domestic product ( 6DP ), at market prices ,
and the sum of gross domestic products , at market prices , of the Member
States of the Community and of Finland . This ratio shall be calculated on the
basis of the last available OECD statistic data .
The amount estimated as necessary to carry out the Community programme , the
amount of Finland 's contribution and the timetable of the commitment
estimates are set out in Annex B.
The provisions and rules governing Finland's financial contribution are set
out in Annex C.
Article 3
For Finnish persons and undertakings ,      the terms and conditions for the
submission and the evaluation of research proposals and the terms and
conditions for the granting and conclusion of contracts under the Community
programme shall be the same as those applicable to persons and undertakings
in the Community . In particular , the provisions of the General Terms and
Conditions applicable to research contracts within the Community shall apply,
mutatis mutandis , to research contracts with Finnish persons and undertakings
as far as questions relating to taxation and customs duties and the
utilization of research results are concerned .
Article 4
The Commission shall be responsible for the implementation of the Community
programme . It shall be assisted by the Management and Coordination Advisory
Committee on "Raw Materials and Other Materials", ^ hereinafter referred to as
 " the Committee", set up by the Council Decision n 84/338 ( 1 ).
TT) 0„J . Nu 177, Ü07 . 19847 p. 25
 ---pagebreak---                                      - 9 -
The Committee shall be enlarged to include representatives or experts
designated by Finland not exceeding three in number .     They shall participate
solely in the work of the Committee which meets in its variable configuration
to accomplish the tasks concerning the Community programme on wood , including
cork , as a renewable raw material .    Travel costs of Finnish representatives
deriving from their participation in the work of the Committee shall be
reimbursed by the Commission .
Article 5
Each Contracting Party undertakes to facilitate the movement and residence of
research workers participating in Finland and in the Community in the
activities covered by this agreement .
Article 6
The Commission and the Technology Development Centre ,    Finland ,   shall ensure
the implémentation of this agreement .
Article 7
This agreement shall apply , on the one hand , to the territories in which the
Treaty establishing the European Economic Community is applied and under the
conditions laid down in that Treaty and , on the other hand , to the territory
of the Republic of Finland .
Article 8
1.  This   agreement   is  concluded   for  the   duration   of    the   Community
    programme .
    Should the Community revise the Community programme , the agreement may be
    terminated under mutually agreed conditions .     Finland shall be notified
    of the exact content of the revised programme within one week after its
    adoption by the Community .     The Contracting Parties shall notify each
    other within three months after the Community decision has been adopted
     if a termination of the agreement is envisaged .
2.  This agreement shall be renewed by tacit agreement when the Community
    adopts a new Community programme , for the duration of the new programme ,
    unless it is terminated by one Contracting Party within three months
    following the adoption of the new programme .
    The provisions of the second subparagraph of paragraph 1 above remain
    applicable .
3.  Whenever a decision on a Community programme is taken by the       Community ,
    Annexes A and B shall be amended in accordance with the            Community's
    decision , unless otherwise agreed upon by the Contracting Parties .
4.  This agreement shall not be regarded as having expired merely because
    there is a delay in the adoption of a future Community programme .
 ---pagebreak---                                        - 10 -
5 . Excepted as provided in paragraphs 1 and 2 of this article , either
    Contracting Party may at any time terminate this agreement with six
    month 's notice .      The projects and work in progress at the time of
    termination and /or expiry of this agreement shall be continued until they
    are completed under the conditions laid down in the agreement .
Article 9
This agreement shall be approved by the Contracting Parties in accordance
with their existing procedures .       Subject to the Contracting Parties having
notified each other of the completion of the procedures necessary for this
purpose , it shall enter into force on 1 January 1988 .
Article 10
This agreement shall be drawn up in duplicate in the Danish , Dutch , English ,
Finnish , French , German , Hellenic , Italian , Portuguese and Spanish languages ,
each of these texts being equally authentic .
Done at
                                                For the Republic of Finland
                                                For the Council
                                                of the European Communîties .
 ---pagebreak---                                            11
                                         ANNEX A
                        COMMUNITY PROGRAMME IN THE FIELD OF
                WOOD , INCLUDING CORK , AS A RENEWABLE RAW MATERIAL
                                     ( 1986 - 1989 )
The following research areas are included in the Community programme :
1 .  Wood production
     1.1 .   Forest-tree breeding and gene resource conservation .
     1.2 .   Protection against damage from biotic and abiotic agents and
             fire .
     1.3 .   Better use of Land resources ( coordination action only ).
     1.4 .   Forest inventory ( coordination action only ).
2.   Wood harvest , storaqe and transport
     2.1 .   Organization of harvesting operations and                development  of
             harvesting machinery .
     2.2 .   Harvesting , treatment , storage and transport .
3.   Wood as a material
     3.1 .   Properties ,    protection and improvement of wood and wood-based
             pane l s .
     3.2 .   Development of testing and grading procedures .
    Mechanical wood processing and use of finished wood products
    4.1 .    Merhanical conversion and manu f ac tur i ng processes .
    4.2 .    Drying process .
    •'.J.    Use of wood and wood-based materials in construction .
    '•.4 .   Other uses of finished Products made of wood .
S.  Pulp and paper manufacturing and processing and wood chemicals
    3.1      The physical and organic chemistry of wood defibring .
    3.2 .    Chemi-mechanical pulpinq ( high-yield pulping ).
    3.3 .    Pulping processes with low-grade wood .
    3.4 .    Substitutes for wood fibres and material additives .
    5.5 .    Fibre recycling .
    5.6 .    The process of manufacture of paper and board .
    5.7 .    Products derived from wood as a source of chemicals .
The   work  shall    be  carried   out    as  shared-costs  contract    research  and
coordination and training activities .
 ---pagebreak---                                       - 12 -
                                     ANNEX B
                              FINANCIAL PROVISIONS
Article 1
The amount estimated as necessary to carry out the Community programme
shall be 10 million ECU .
Article 2
Finland 's financial contribution to the execution of the Community
programme is estimated to be 216,100 ECU .
Article 3
The timetable of the commitment estimâtes and of Finland's financial
contribution is given in the following table .
   YEAR                        COMMITMENTS FOR                        FINLAND'S
                                                                    CONTRIBUTION
              MANAGEMENT AND        CONTRACTS             TOTAL
              ADMINISTRATIVE
                OPERATION
   1986           341,495               0                 341,495        7,380
   1987           480,205           7,678,300           8,158,505      176,305
   1988           364,700              685,300          1,050,000       22,690
   1989           380,950               69,050            450,000        9,725
============ =================== ssssrsssssssssss : :=============: ==============
 GRAND          1,567,350           8,432,650          10,000,000       216,100
 TOTAL
============ =================== ================= :=============: ==============
                  TIMETABLE OF THE COMMITMENTS ESTIMATED AS
                     NECESSARY TO CARRY OUT THE COMMUNITY
                    PROGRAMME ( COMMITMENT APPROPRIATIONS )
                    AND OF FINLAND’S CONTRIBUTION ( ECU ).
 ---pagebreak---                                            13 -
                                          ANNEX C
                                      FINANCING RULES
Article 1
This Annex lays down the provisions and rules governing Finland's financial
contribution referred to in Article 2 of the agreement .
Article 2
At the beginning of each year , or whenever the Community programme is revised
so as to involve an increase in the amount estimated as necessary to its
carrying out ,      the Commission shall send to Finland a call for funds
corresponding to its contribution to the costs under the agreement .
This contribution shall be expressed both in ECU and in the Finnish currency ,
the composition of the ECU being defined in the Council Regulation 318G / 78
( 1 ).   The value of the contribution in ECU shall be determined on the date of
the call for funds .
Finland shall pay its contribution to the annual costs under the agreement at
the beginning of each year and at the latest three months after the call for
funds is sent .       Any delay in the payment of the contribution shall give rise
to the payment of interest by Finland at a rate equal to the highest discount
rate obtaining in the Member States of the Community on the due date .         The
rate shall be increased by Q.25 of a percentage for each month of delay .
The increased rate shall be applied to the entire period of delay .       However ,
this interest shall be payable only if the contribution is paid more than
three months after a call for funds has been made by the Commission .
Article 3
The funds paid by Finland shall be credited to the programme as budget
receipts allocated to its appropriate heading in the statement of revenue of
the general budget of the European Communities .
Article 4
The Financial Régulations in force applicable to the general budget of the
European Communities shall apply to the management of the appropriations .
Article 5
At the end of each financial year , a statement of appropriations for the
Community Programme shall be prepared and transmitted to Finland for
information .
( 1 ) O.J. N ü L 379 , 30.12.78 , p.ï
 ---pagebreak---                  FICHE D' IMPACT SUR LA COMPETITIVITE ET L' EMPLOI
Ce projet a trait a une décision du Conseil concernant la conclusion d' un
accord de coopération entre la CEE et la Finlande relatif à lLa recherche dans
Le domaine du bois , y compris le liège , en tant que matière première
renouvelable .
En tant que tel ,   ce projet peut avoir un impact positif sur les PME , dans la
mesure où il constitue un instrument facilitant l' accès à l ;     connaissance et
à l' échange d' expériences .