Report on the Implementation of the European Commission's
Communication on Defence
1)

Introduction

The European Council in December 2013 established a solid foundation to enhance the
Common Security and Defence Policy (CSDP). It reaffirmed the importance and necessity of
strengthening the effectiveness and impact of CSDP missions and operations, developing the
required military capabilities and deepening European defence co-operation. The European
Council also recalled the importance of underpinning the CSDP with a genuine internal
market and a competitive and innovative European Defence and Technological Industrial
Base (EDTIB). It is, in particular, this latter area where the Commission can make a
significant contribution. Therefore, the support from the European Council for a proactive
Commission role in the security and defence sector, and for many of the measures proposed in
its Defence Communication1, was very welcome.
A strong European defence market and industrial base can only be achieved with a move
away from the existing focus on national markets for defence procurement to establishing a
genuine internal market for defence and security, which can involve both civilian and military
actors. Europe can no longer afford the inefficiencies of duplication and overcapacity that our
existing fragmented market entails.
European security depends, more than ever, on European security and defence cooperation
and a more collaborative approach towards security and defence R&D and procurement.
While Member States must decide on CSDP priorities, the Commission's major contribution
is to ensure that the EDTIB remains flexible and broad enough to meet predicted and
unforeseen military capability needs.
Continued top-down impetus from the European Council will be essential in maintaining the
momentum generated by its December 2013 meeting. This report provides an update on the
Commission’s activities to implement the Communication.

1

Towards a more competitive and efficient defence and security sector: COM (2013) 542

1

2)

Internal market, research, and industrial policy

2.1 Ensuring effective implementation of the Defence Directives
Procurement Directive
Strengthening the internal market for defence is an essential instrument to pursue the
objective of a strong, competitive and sustainable industrial base in Europe. Lack of
competition and the existence of protectionism have led to inefficient spending and
duplication of capabilities. To tackle this, the Defence Procurement Directive2 introduced
internal market rules, which are tailor-made for the defence sector and reconcile EU-wide
competition with security concerns. The Directive also strikes a balance between competition
and cooperation, setting out a framework designed to enable Member States to pursue defence
cooperation projects.
In December 2013, the European Council stressed the importance of the full and correct
application of the Directive. Whilst the number of contract notices and contract award notices
published in the Official Journal of the EU has been steadily increasing, it appears that
Member States conduct significant procurements of defence equipment without applying the
Directive. The Commission has constantly invited, and continues to invite, Member States to
start as early as possible informal technical dialogue with the Commission’s services when in
doubt on the correct application of EU law in the area of defence procurement.
The Commission will report to the Parliament and Council on the implementation of the
Directive by August 2016. In this report, the Commission will evaluate to what extent the
objectives of the Directive have been achieved. Internal preparatory work for the evaluation
of the Directive has started in January 2015. The report is likely to include i.a. a complete
overview of the transposition of the Directive, an analysis based on quantitative data and
qualitative information on its application, and an evaluation of its impact on the industrial
base, with particular regard to the situation of SMEs. In the light of the findings of the report,
the Commission may consider any adjustment needed to the provisions of the Directive.
In the July 2013 Communication, the Commission announced its intention to provide, in
consultation with Member States, guidance on the application of certain exclusions from the
Directive. In particular, the exclusion concerning government-to-government sales and
international arrangements and organisations were mentioned. The discussions with Member
States’ experts on the guidance document concerning the government-to-government
exclusion are expected to be finalised in May 2015. The intention is to publish the guidance in
2015.

2

Directive 2009/81/EC on defence and security procurement

2

Planned actions
•

Continue and further develop the dialogue with Member States to ensure the
application of the Directive and to tackle market distortions;

•

Consult Member States and the relevant stakeholders including industry to collect
relevant information in the context of the work on the evaluation of the Directive;

•

Continue in 2015 work on the exclusions concerning international organisations and
arrangements, in particular through discussions with Member States’ experts.

Transfers Directive
The Transfers Directive3 establishes a new harmonised licensing system for the transfer of
defence-related products within the EU. The objective is to reduce the administrative burden
on both industry and Member States allowing the least sensitive products to be transferred
more easily while allowing Member States to continue to control the transfer of the most
sensitive. The aim is also to enhance competitiveness and confidence in security of supply of
products provided by European companies in other Member States.
By June 2016 the Commission will report to the European Parliament and the Council on the
implementation of this Directive. While it is too early to fully assess the impact of the
Directive there are clear indications that the potential offered by its innovative and flexible
tools has not yet been fully exploited by Member States and defence companies. In particular
an initial analysis by the Commission has indicated that the main areas to be addressed are:
raising awareness around the tools offered by the Directive, boosting the use of general
licences and increasing incentives for companies to become certified.
To tackle these areas, the Commission has launched different initiatives aiming at engaging
with both industry and Member States. Firstly, in June 2014, the Register of the Certified
Defence-related Enterprises (CERTIDER) database has been upgraded. Its scope has been
broadened to enable Member States to publish nationally issued General Licences.
Secondly, the Commission started drafting, and plans to publish in autumn 2015, a 'SME
guide to the Transfers Directive' describing the benefits linked to the correct use of the
Directive.
Finally, in March 2015, the Commission agreed with Member States to establish a Working
Group on harmonising the implementation of the Transfers Directive. The working group will
report to the Committee on intra-EU transfers of defence-related products. It will define a
common EU harmonised approach to using the General Licences established by the Directive,
in particular by identifying a common minimum list of defence products and common
conditions for general licences for transfers to armed forces and transfers to certified defence
3

Directive 2009/43/EC on intra-EU transfers of defence related products within the EU.

3

companies. It will also look into ways to reduce discrepancies in Member States approaches
to the certification of defence companies.
The impact of these initiatives and the concrete results towards harmonisation coming out of
the Working Group will help the Commission define concrete and agreed solutions to be
included in the 2016 implementation report to the European Parliament and Council.
Planned Action
•

Promote awareness of the benefits of the tools introduced by the Transfers Directive
and strengthen information-sharing about existing General Licences, certified defence
companies and Member States’ national control systems. This may involve further
steps to improve the scope and quality of the database underpinning the new system
(CERTIDER);

•

Continue dialogue with Member States to encourage the use of General Licences
across all Member States;

•

Define an EU harmonised approach to the use of General Licences, in particular by
developing a common minimum list of non-sensitive defence-related products and
components agreed by all Member States, and common conditions to simplify their
transfer to armed forces and certified defence companies;

•

Consult Member States and industry on how to promote the certification of defence
companies, and improve and streamline national certification processes;

•

Find a more efficient way to annually update the annex of the Directive to correspond
to the EU Military List.

2.2 Towards a Roadmap for an EU-wide comprehensive Security of Supply Regime
As the European Council emphasised in its Conclusions of December 20134, EU-wide
Security of Supply is essential to foster defence co-operation and to achieve a wellfunctioning internal market for defence. It is in this context that the European Council called
“on the Commission to develop with Member States and in cooperation with the High
Representative and the European Defence Agency a roadmap for a comprehensive EU-wide
Security of Supply regime, which takes into account the globalised nature of critical supply
chains”.
The Commission has, as announced in the June 2014 Implementation Roadmap5, taken stock
of areas which should be covered by such a regime and existing instruments and
4

European Council Conclusions of 20 December 2013 (217/13)

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A New Deal for European Defence: COM (2014) 387

4

arrangements. It has also conducted initial discussions with Member States, and participated
in the work on Security of Supply in EDA.
On the basis of this preliminary work, the following observations can be made:
•

There is consensus that Security of Supply represents a broad and complex concept,
which can cover a wide range of different industrial, technological, legal and political
aspects.

•

Two key dimensions can be identified: 1) short/medium term Security of Supply - the
guarantee of regularity of deliveries of defence equipment and services to Member
States’ armed forces in terms of quantity, quality and price, including, in times of
crisis, the guarantee of exceptional and urgent deliveries under reasonable conditions;
2) long term Security of Supply - the ability of Member States to maintain key
operational, technological and industrial capabilities.

•

There seems to be a broad agreement among Member States and industry that a
stronger push to achieve unimpeded intra-EU transfers of defence products and
services for the end-use of Member States’ Armed Forces is needed.

•

Existing arrangements – e.g. those developed under the Letter of Intent (LoI)
framework, in NORDEFCO, or in EDA – address issues such as mutual support and
assistance, priorities and allocation systems, export control/transfer licenses. Such
arrangements aim at enhancing mutual trust essentially through best-effort obligations
and/or voluntary commitments. Initial discussions with Member States seem to show
that the majority view this kind of instruments as the best way to address this matter at
EU level, whilst some consider that more robust guarantees are needed to strengthen
Security of Supply across the EU. An industry association has proposed that existing
instruments should be developed into a European Defence Priorities and Allocation
System, while pointing out that additional cost should not fall on industry.

•

With regard to ensuring Security of Supply in the framework of relations with
contractors, the Defence Procurement Directive is particularly important. It lays down
a number of provisions specifically designed to address needs related to Security of
Supply. In 2010, the Commission services developed, in consultation with Member
States, a note to provide guidance on these provisions. Some uncertainties seem to
persist with regard to measures that Member States’ contracting authorities can take,
under the Directive, to address their Security of Supply needs, including with regard to
the role of subcontractors.

The Commission services have conducted internal analysis and initial discussions with
stakeholders on the current framework for review of investment in strategic technological and
industrial assets in the defence and sensitive security sector. The analysis also examines the
possible need for action at EU level to enhance security of supply, foster the internal market,
5

facilitate market access for SMEs and ultimately increase the competitiveness of the industry
and investment.
EDA is developing, with participating Member States, proposals for potential new actions to
improve Security of Supply. The Commission will continue cooperating with EDA and fully
take into account such proposals in view of the development of the Roadmap.
Planned action:
•

Following the European Council of June 2015, and in the light of any guidance it may
provide on the matter, the Commission will continue discussions with Member States,
and consult relevant stakeholders;

•

On this basis, the Commission expects to finalise the Roadmap for a comprehensive
EU-wide Security of Supply regime by the first quarter 2016 with the view to
endorsement by the European Council, and then swiftly proceed with its
implementation;
• The Commission may provide guidance on how best to use the provisions of the
Defence Procurement Directive, to guarantee Security of Supply.

•

The Commission services will continue their assessment and discussions with
stakeholders on the issue of investment review. The Commission will decide on any
possible follow-up in time to contribute to the Roadmap for a comprehensive EU-wide
Security of Supply regime.

2.3 Supporting European Investment, including in the Defence Industry, through
Research and Innovation
Investment in defence R&D, which was already low, has seen dramatic reductions through the
economic crisis with little sign that this is changing. However, Europe’s defence industry
depends on investment in R&D to develop the military technology of the future and to remain
competitive in the global market place.
Horizon 2020
The ability of the Commission to support in this area must be seen in the context of the
exclusive focus on civil applications of research and innovation activities carried out under
Horizon 2020, the Union’s research and innovation programme. Therefore, given this context,
the Commission is focusing its efforts in this area in two main areas: 1) to prepare future
actions in support of CSDP-related research through a Preparatory Action outside the scope of
Horizon 2020; and 2) to give general support to dual-use research in the light of Europe's
defence industry dependence on dual-use technologies and research. In this area,
considerable effort has gone into ensuring synergies between the security research of Horizon
2020 and the strategic research agenda of the EDA.
These work strands are identified below.
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2.3.1. Preparatory Action
In its Defence Communication the Commission proposed launching a Preparatory Action to
support CSDP-related research. This would allow the Commission, for the first time, to take
account of European military requirements from the start of developing projects in a way that
is impossible now.
The Preparatory Action is a flexible tool that provides the possibility to test new policy
approaches. The Financial Regulation places a number of limits on the establishment of such
a Preparatory Action in terms of its scope, contents, budget and implementation (e.g. an
action can last a maximum of three years6). However, a Preparatory Action would help
develop the case for a possible CSDP-related research programme which would be considered
for funding under the next multi-annual financial framework.
A high level Group of Personalities was established under the chairmanship of Commissioner
Bieńkowska. Its primary role is to provide strategic advice to the Commission on the scope
and modalities of the Action and on any future follow-up. It had its first meeting on 30th
March.
In parallel the Commission, together with the EDA, has organised three workshops with
Member States and the industry on the scope, governance, modalities and content of the
Preparatory Action. This allowed for a first mapping of the specific issues that need to be
addressed for the CSDP related research, in particular in terms of the governance and
Intellectual Property Rights. In addition, the Commission is about to launch a Pilot Project,
proposed by the European Parliament, to test certain aspects of the governance of the future
Preparatory Action. In particular, the Pilot Project will help to assess the capacity of the EDA
to implement, on behalf of the EU, CSDP related-research projects with EU financing.
Planned Action
•

The Group of Personalities will present its final report to Commissioner Bieńkowska
by March 2016.

•

There will be a second series of workshops with Member States and industry later in
2015 with a focus on finding solutions to the issues identified in the workshops
organised so far.

•

On this basis, a more detailed proposal for the Preparatory Action will be presented to
the European Parliament and Council for budgetary approval in early 2016. Following

6

Article 54.2(b) of Regulation (EU,EURATOM) No 966/2012 of the European Parliament and of the Council
(Financial Regulation).

7

this, the Commission will take the necessary steps to ensure the launch of the
Preparatory Action in early 2017.
2.3.2. Synergies between civil and defence research
a)

Maximising synergies with Horizon 2020

The Commission is already actively pursuing coordination with the research activities of EDA
in order to strengthen cooperation with it, notably through the already established European
Framework Cooperation within the scope allowed by the respective rules recognising that
there are areas of dual-use technology.
Planned Action
To complement this work, the Commission will establish a review mechanism for Horizon
2020 research topics/projects to flag up those with a dual-use potential. This mechanism will
operate only within the scope allowed by the Horizon 2020 rules.
The Commission will also examine ways of supplementing this work with an outreach
mechanism that will disseminate, while respecting the Horizon 2020 rules on intellectual
property, information about the results of this review to appropriate bodies in the Member
States responsible for defence-related research and for the benefit of defence-related SMEs.
This would enhance the possibilities to derive the maximum dual use synergies and benefits
from EU research funding.
b)

Key Enabling Technologies

The Commission is devoting considerable effort to promote the development of Key Enabling
Technologies (KETs), such as nanotechnology, micro-electronics, biotechnology and
photonics. They play an important role in the R&D and innovation of many industries and are
crucial for ensuring the long-term competitiveness of European industries, both on the civil
and military side. Support for KETs, but only for civil purposes, is also offered through
Horizon 2020 as well as through the European Regional Development Fund.
The Commission is advised on its KET policy by the High Level Group on KETs established
in 2013. In 2014 the Group established a sub-group to explore the dual-use potential of KETs
which delivered recommendations for the final report of the High Level Group which is
expected to be adopted shortly.

Planned Action
•

The Commission will launch a 10 months study in May 2015 on the dual use of KETs
with the objectives of:

8

o Developing of a methodology to analyse and identify technological
opportunities provided by KETs in the most promising innovation fields for
dual use (KETs innovation activities); and
o establishing a list of KETs that have the greatest potential for use in the
defence area and where the results of the research could be taken up and
further developed by the industry and Member States.
•

Inter-regional co-operation in the field of KETs will be supported through the interregional component of the European Structural and Investment Funds.

2.4 SMEs
In its Conclusions of December 2013, the European Council underlined “the importance of
cross-border market access for SMEs”, stressed that “full use should be made of the
possibilities that EU law offers on subcontracting”, and invited “the Commission to
investigate the possibilities for additional measures to open up supply chains to SMEs from
all Member States”.
The Commission organised in February 2014 a first workshop with Member States and
stakeholders to discuss the issue of cross-border market access for SMEs and non-distortive
alternative to offsets.
In order to receive expert advice to carry out the European Council’s tasking in this area, the
Commission is currently establishing a group with experts from Member States and industry
(system integrators and SMEs). The first meeting is expected to take place by May 2015.
The members of the group have been selected by the Commission on the basis of their
profiles and technical competence, and to ensure geographical balance and a balanced
representation of interests. The EDA will be invited to participate in the meetings of the
Group. The objectives of the expert group will be to: a) provide an overview of obstacles
currently hindering SMEs participation in defence contracts and cross-border market access;
b) explore options to improve the practical application of the subcontracting provisions of the
Defence Procurement Directive and to promote the use of these provisions by Member States’
contracting authorities; c) analyse possible ways to support cross-border integration of supply
chains; and d) investigate the possibilities for additional measures in this area.
In addition to the work aimed at supporting cross border market access for SMEs, the
Commission continues its practical work to help SMEs and Europe's regions to access EU
funding for dual-use projects. On 10th October 2014 the Commission launched its guide on
EU Funding for Dual Use projects7. In partnership with the EDA, the Commission has been
promoting this guide through regional workshops, match-making events and practical
7

Available at: http://ec.europa.eu/growth/sectors/defence/smes/index_en.htm

9

seminars on how to apply for funding. The guide is being translated into a number of
languages with the French, Spanish, Italian and German versions expected to be available
during the course of this year.
The first results of these actions can be already seen in the increased EU funding for projects
with dual use potential, especially under ESIF, in some Member States. Various regions (eg.
Aquitaine, Andalucía & Podkarpackie) have envisaged smart specialisation areas in their
regional development strategies for which a dual-use approach can be applied. This is a proof
of increasing awareness in the EU Regions of possible support for security and defence albeit
targeted at civilian objectives.
Planned actions:
• The expert group is expected to work for 12-18 months after the first meeting. This
will be followed by a broader consultation with Member States and stakeholders of the
conclusions of the group with a view to proposing a final set of recommendations on
any follow-up actions.
• Workshops/seminars on access to EU finding for dual use projects are planned for
June and October 2015 as well as for 2016.
•

Establish, through COSME8 and the interregional co-operation strand of ESIF, a
European Network of Defence-related Regions: such a network would bring regions
with dual-use activities together to exchange best practices, cooperate with others to
increase the dual-use potential of their regional strategies, and enhance the dual-use
opportunities for SMEs.

•

Explore the possibility of dedicated actions in support of defence-related SMEs under
the Commission's COSME 2016-2020 work programme.

2.5 Standardisation
In December 2014 a new mechanism to monitor and develop defence and hybrid standards
was agreed between the Commission, EDA and Member States. The mechanism provides an
important new role for the Materiel Standardisation Group (MSG), based in the EDA, to
examine potential gaps in existing standards used in defence and then to identify the
appropriate way to fill them including through the European Standardisation Organisations.
For the first time, there will be a new Member State-led, non-bureaucratic approach to
promoting the common use of standards in defence which is based on existing mechanisms
(e.g. NATO) and does not duplicate them.
Planned Action
The MSG is now identifying pilot cases to test this new approach.
8

COSME = Competitiveness of Enterprises and SMEs.

10

2.6 Certification - and safety of airspace
The Commission in conjunction with the European Aviation Safety Agency (EASA) will
continue to support the EDA and the Member States in the harmonisation of military
airworthiness requirements in order to achieve, as far as possible, convergence of military
certification system with the applicable civil requirements. The Commission together with
EASA will continue to encourage the use of their civil experience and standards in the process
of certification of military products, in cooperation with the EDA and the Member States.
With a view to reducing costs and avoiding duplication, EASA could be entrusted with the
common European civil certification of certain military or dual-use products and
infrastructure where manufacturers and Member States so desire, while Member States will
continue to be responsible for the certification of the military systems on board.
Experience gained with the certification of the civil configuration of military products, such
as the aircraft of type Airbus A-400M, and the recent submissions by the industry of
applications for EASA certification of dual-use Remotely Piloted Aircraft Systems (RPAS)
show that EASA in close cooperation with the Commission and the Member States has a
significant contribution to make in this domain. Steps towards such an approach will however
be based on a feasibility analysis to examine the resources implications for EASA as well as
legal and safety aspects arising from split responsibilities between civil/EU and
military/national authorities.
The European Commission is strongly committed to implement the Single European Sky
(SES) as a catalyst for the growth and competitiveness of the European aviation sector. To
meet the SES high level objectives continuous support from all operational stakeholders,
including from the military, is required. With the aim to establish an effective interaction
between the civil and military aviation communities, the Commission welcomes EDA's role
and support in facilitating the coordination of the military views in SES, in close coordination
with the Member States and other relevant international military organizations.
Within the context of its SES responsibilities, EASA could further contribute to civil-military
cooperation by facilitating the interaction with the EDA (and NATO as appropriate) with a
view to alleviating the impact of SES and EASA rulemaking activities to the military.

3)

Other areas of activity

3.1 Skills
The EDA has commissioned a study on key skills and competences in the defence sector. It
will identify key skills needed for the future and essential existing skills that might be lost.
11

Planned Action
Once this study is finalised it will provide a solid basis for the Commission to examine ways
it can help in this field through its tools such as the 'Sector Skills Alliance' and 'Knowledge
Alliances' programmes and the European Structural and Investment Funds.
3.2 Raw materials
The Commission's Joint Research Centre is carrying out an analysis with the aim to screen
raw materials that are critical for the defence sector. This work is being undertaken in close
cooperation with industry and the EDA and will be finalised in September 2015.
Planned Action
The conclusions of this analytical work will provide valuable inputs to the further
development of the overall EU raw materials strategy and may pave the way for possible
policy actions in support of the defence industry's need to access raw materials.
3.3 Civil-military Co-operation
The Commission has been working closely with the EDA to explore synergies in the field of
civil / military cooperation especially in the field of counter terrorism. Following discussions
with Member States, it was agreed that the most suitable areas for starting co-operation would
be in the field of explosives and Chemical Biological Radiological Nuclear (CBRN)
detection. Enhancing synergies between civil-military authorities has also been one of the
main objectives of the EU Maritime Security Strategy and Action Plan adopted by the
Council in 2014.
Planned Action
Two workshops with Member State representatives and practitioners (e.g. police services) are
planned for 2015:
Man Portable Air Defence System (MANPAD) vulnerability assessment workshop
This workshop would serve as a test/training for police officers and other actors, who would
participate in future MANPAD vulnerability assessments. The training to be offered would be
in two elements; understanding the vulnerability assessment process and understanding the
MANPAD technical capabilities. The draft guidance materials could be used by also Member
States to assess intra-EU vulnerabilities as well as outside of EU.
Improvised Explosive Devices (IED) Detection and Concealment trends workshop
The detection of IED's at entry points to military, government and critical infrastructure
installations are a high priority. The continuing innovation in IEDs poses a serious detection
threat to the existing security controls. The workshop would exchange best practices and use
of alternative security measures to detect such IED and other threats.
During spring 2015 Member States will be consulted on further areas for civil-military cooperation and in the autumn a joint meeting is planned of the Commission's CBRN-E
12

(explosive) Advisory Group and the equivalent group of the EDA to discuss further areas for
co-operation.
3.4 Civil Protection
Work is progressing on the implementation of the 2013 European Parliament and Council
Decision on a Union Civil Protection Mechanism (1313/2013/EU), and in particular the
establishment of a European Emergency Response Capacity in the form of a voluntary pool of
Member States' civil protection response capacities. This voluntary pool is also open to
Member States' military assets that could be deployed in support of disaster management
operations, and will provide the starting point for a European-wide gap analysis process,
which will also consider relevant military capacities.
3.5 Security Agenda and Information Exchange in the Maritime Domain
Work is also progressing in this area. The ambitions to enhance co-operation in the maritime
domain through the establishment of a Common Information Sharing Environment for the
maritime domain (Maritime CISE) has now been extended to other areas of co-operation.
Maritime CISE now forms part of a more extensive co-operation framework following the
adoption by the Council in 2014 of the EU Maritime Security Strategy and Action Plan9. In
addition to the Maritime CISE, this co-operation framework covers an array of actions under
five different work strands: 1) external action; 2) maritime awareness, surveillance and
information sharing; 3) capacity development and capacity building; 4) risk management,
protection of critical infrastructures and crisis response; and 5) maritime security research and
innovation, education and training. Maritime CISE was also subject to a third Commission
Communication adopted in July 2014. This Communication provides for CISE to develop as a
non-binding initiative with a priority focus on civil - military interoperability10.
Maritime CISE is necessary to enhance efficiency and cost effectiveness for security, growth
and jobs. Looking specifically at the area of information exchange, even if existing maritime
surveillance systems deliver excellent results, significant potentials remain unexploited: In
2012 Member States’ experts concluded that only 30% of the existing surveillance
information reaches those authorities (CISE users) who need it. Therefore, Maritime CISE is
being also developed to fill this gap by making the best out of all existing maritime
surveillance systems. As a consequence, civilian and military users, together, are making sure
Maritime CISE delivers the value-added they need to face the challenges of the 21st century.
9

The EUMSS was adopted by Council following a Joint Communication by the Commission and High
Representative on 6th March 2014: For an Open and Secure Global Maritime Domain

10

Next steps within the Common Information Sharing Environment for the EU maritime domain:
COM/2014/451

13

Such value added translates into €4 billion expected economic benefit for Europe brought by
Maritime CISE over ten years. This benefit compares with a relatively modest investment of
€100 million over ten years.
Planned Action
The implementation of the EUMSS Action Plan will be monitored by the Council through
regular meetings of the friends of the Presidency Group. The main actors for implementation
will be the EEAS, the Commission, EDA and Member States. The Commission is expected to
present implementation reports at regular intervals, on the basis of input from Member States.
This reporting procedure will cover all work strands identified in the EUMSS Action Plan,
including the implementation of Maritime CISE both at EU and national level.
Fourteen Member States engaged with representatives from all relevant civilian and military
sectors into their fourth project called ‘EUCISE2020’ to design, implement and test Maritime
CISE at large scale by 2017. By this means, Member States together with the European
Commission are developing Maritime CISE as a building block of the European Agenda on
Security. As an outcome they will create the framework to enable 400 public authorities
acting in the fields of transport, environmental control, border control, fisheries control,
general law enforcement, customs and defence, to become mutually interoperable.
3.6 Space
Space Surveillance and Tracking (SST).
The Decision of the European Parliament and of the Council establishing a Support
Framework for SST was adopted on 16 April 2014. Following the adoption in September
2014 of a first implementing decision, the procedure for the participation of the first Member
States in the SST Support Framework is ongoing. These Member States owning SST
capabilities will constitute a consortium and create a network in view of delivering SST
services at European level expected by the end of 2015.

Planned Action
To ensure the long-term, high efficiency SST service requires updating and renewal of SST
capacities of Member States participating in the SST Support Framework. To do this, and to
stimulate technological development in this area, an activity of €10 million on SST is
included in the 2015 work programme of Horizon 2020.
Government Satellite Communications (GOVSATCOM)

14

The Commission is analysing civilian user needs for GOVSATCOM to support EU securityrelated policies and infrastructures. Moreover, the Commission launched a study to identify
the necessary technologies for the next generation of GOVSATCOM.
The first elements of the study and the initial consultations with stakeholders indicate that
there may be an interest to: i) restructure and defragment the institutional demand for
SATCOM combining both civilian and defence needs and commercial and governmental
SATCOM; and (ii) explore a cooperation scheme in order to develop the next generation of a
GOVSATCOM capacity at European level.
The EDA has already undertaken a similar exercise for military user needs and is currently
performing a feasibility study concerning a future GOVSATCOM capability.
Planned Action
The Commission will consider exploring further activities focused on identifying possible
options for the next generation of government satellite communication based on high level
civil-military requirements developed in co-operation with the EEAS and EDA.
3.7 Energy
The Commission proposed setting up a Consultation Forum on Sustainable Energy in the
Defence and Security Sector (CF SEDSS) to bring together Member States' experts from the
defence and the energy sectors to discuss issues of common interest and to enhance the role of
the defence sector in energy-related matters. The proposed Consultation Forum is intended to
focus on energy efficiency and renewable energy issues.
The CF SEDSS activity will facilitate exchange of good practice on the use of renewables and
promoting energy efficiency in the non-combat related types of energy use in the defence
sector. In practice CF SEDSS will address only the civilian type of energy use (e.g.
refurbishment of barracks, offices, military hospitals, etc) or dual-use applications (e.g. use of
biofuels in ships to reduce the environmental impact of maritime surveillance of the coastal
guard, etc).

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Planned Action
The Consultation Forum has a dedicated budget under the Horizon 2020 work programme
2014-2015. It will be organised and managed by the EDA and the Commission is currently
discussing with the Agency the practical arrangements for this including the negotiation of a
service contract that is likely to be concluded in May 2015.
3.8 International Dimension
Competitiveness of the European defence industry on third markets
On 2nd December 2014 the Commission held a seminar with Member States and industry on
"Strengthening the competitiveness of the European defence industry on third markets". The
seminar addressed the possible contribution of trade and investment agreements, as well as
public procurement, offsets, SMEs and dual use export control in third markets. The
Commission did not identify new actions it could put forward at this stage, due notably to the
specificities of the defence sector in the existing international trade and investment regime.
Dual use export control
Latest state of play
Work continues on reviewing the European strategic export control policy following the
adoption of the Commission's Communication "Ensuring security and competitiveness in a
changing world" in April 201411. The Commission is now conducting an impact assessment
of the various review options identified in the Communication. This is due to be completed
by the end of 2015 and will be supported by extensive stakeholder consultations.
Planned Action
The Commission will complete the impact assessment by the end of 2015 and then, in early
2016, identify the most suitable regulatory and non-regulatory actions to generate the modern
control capabilities the EU needs for the coming decade and beyond, in order to face new
security challenges and sustain the competitiveness of EU dual-use companies, notably in the
defence sector.

4)

Follow-up - Consultation Mechanism

Consultation with Member States, industry and other stakeholders has been a key feature of
the development of the original Defence Communication and its implementation. There have
been regular consultations with Member States through Commission-chaired meetings, the
Council, and EDA. These will continue as will regular meetings with industry on a bilateral
basis and through the relevant industry associations.

11

The Review of Export Control Policy: COM (2014) 244

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