Explanatory Memorandum to COM(2016)453 - EU position in the Association Committee in Trade configuration established by the Association Agreement with Moldova - Main contents
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| dossier | COM(2016)453 - EU position in the Association Committee in Trade configuration established by the Association Agreement with Moldova. |
|---|---|
| source | COM(2016)453  |
| date | 11-07-2016 |
1. CONTEXT OF THE PROPOSAL
• Reasons for and objectives of the proposal
The attached proposal for a Council decision establishes the Union position on a Decision of the Association Committee in Trade configuration under the Association Agreement between the European Union and the European Atomic Energy Community and their Member States, of the one part, and the Republic of Moldova, of the other part ('the Agreement') in relation to the update of Annex XVI (List of legislation with a timetable for its approximation) and Annex XXIX (Public Procurement) to the Agreement. The Agreement was signed on 27 June 2014, and is provisionally applied, since 1 September 2014.
The update of the above-mentioned annexes is necessary in order to reflect the evolution of the Union acquis that has taken place since the initialling of the Agreement on 29 November 2013. The proposal is consistent with the parties' obligations set out in Article 436 and Article 449 of the Agreement.
• Consistency with existing policy provisions in the policy area
This proposal implements the Union’s common commercial policy toward the Republic of Moldova, an Eastern Neighbourhood Partner country, based on the provisions of the above-mentioned Agreement and in particular its objective to create a free trade area between the parties.
• Consistency with other Union policies
This proposal is consistent with and contributes to the implementation of other external policies of the Union, notably the European Neighbourhood Policy and the development cooperation policy in relation to the Republic of Moldova.
2. LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY
• Legal basis
The legal basis for establishing the Union position to be taken in the committees set up by the Agreement is the Treaty on the Functioning of the European Union, and in particular its Article 207 i in conjunction with Article 218(9) thereof.
• Subsidiarity (for non-exclusive competence)
The common commercial policy, in accordance with Article 3 of the TFEU, is defined as an exclusive Union competence. Therefore, the subsidiarity principle does not apply.
• Proportionality
This proposal is necessary in order to implement the Union’s international commitments set out in the Agreement with the Republic of Moldova.
• Choice of the instrument
This proposal is in accordance with Article 218(9) TFEU, which envisages the adoption by the Council of decisions. There exists no other legal instrument that could be used in order to achieve the objective expressed in this proposal.
3. RESULTS OF EX-POST EVALUATIONS, STAKEHOLDER CONSULTATIONS AND IMPACT ASSESSMENTS
• Ex-post evaluations/fitness checks of existing legislation
Not applicable.
• Stakeholder consultations
Stakeholder consultations are not applicable to this proposal, as it aims merely at updating the references to the Union acquis already listed for approximation by the Republic of Moldova in the Agreement.
• Collection and use of expertise
Not applicable.
• Impact assessment
The trade and trade-related provisions of the Agreement have been subject to ex-ante impact assessment in 2009, followed by the Commission DG Trade's Trade Sustainability Impact Assessment of 2012, which fed into the DCFTA negotiation process. That study confirmed that implementation of trade and trade-related provisions would have no negative impact on the Union, its acquis or its policies, while projecting a positive impact on the economic development of the Republic of Moldova. The proposal does not have any negative impact on the economic, social or environmental policy of the Union.
• Regulatory fitness and simplification
The Agreement is not subject to REFIT procedures at this stage; it does not imply any costs for the Union SMEs; and it does not raise any issues from the viewpoint of the digital environment.
• Fundamental rights
The proposal does not have consequences for the protection of fundamental rights in the Union.
4. BUDGETARY IMPLICATIONS
Not applicable.
5. OTHER ELEMENTS
• Implementation plans and monitoring, evaluation and reporting arrangements
The implementation of the Agreement is reviewed regularly by the EU-Republic of Moldova Association Council and its sub-ordinate bodies established by that Agreement. The European Commission also committed to report annually on the implementation of Title V (Trade and trade-related matters) of the Agreement, including on the elements included in this proposal, to the European Parliament and the Council.
• Explanatory documents (for directives)
Not applicable.
• Detailed explanation of the specific provisions of the proposal
The proposal aims to adopt a Union position in relation to the update of Annex XVI and Annex XXIX to the Agreement. Annex XVI to the Agreement provides the list of the Union acquis to which the Republic of Moldova intends to approximate its domestic legislation pertaining to technical regulations, standards and conformity assessment (Chapter 3 of Title V of the Agreement). Annex XXIX to the Agreement provides the list of the Union acquis for approximation by the Republic of Moldova in the area of public procurement (Chapter 8 of Title V of the Agreement).
The updates to these annexes are necessary in light of evolution of the Union acquis listed therein since the initialling of the Agreement on 29 November 2013. This proposal conforms to the obligations of the Union and of the Republic of Moldova on dynamic approximation set out in Article 449 of the Agreement, and aims to facilitate the ongoing process of approximation to the Union acquis in the Republic of Moldova.
Article 436(3) of the Agreement provides that the Association Council shall have the power to update or amend the Annexes to the Agreement and the Association Council delegated the power to update or amend certain trade-related annexes to the Association Committee in Trade configuration by its decision No. 3/2014 of 16 December 2014. Accordingly, the Union position is to be taken in the Association Committee in Trade configuration.