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PURPOSE: to conclude
a Stabilisation and Association Agreement (SAA) with Serbia. PROPOSED ACT:
Commission and Council Decision. BACKGROUND: in
April 2005, the Commission presented its Feasibility Report on an SAA with
Serbia and Montenegro . It concluded that Serbia and Montenegro was
sufficiently prepared to negotiate an SAA. The Council decided on 3 October
2005 to authorise the Commission to negotiate a Stabilisation and Association
Agreement with Serbia and Montenegro . The negotiation for a Stabilisation
and Association Agreement with Serbia and Montenegro was launched on 10
October 2005. As Serbia did
not fulfil the conditionality set in the Council Conclusion of 3 October
2005, to fully cooperate with the International Criminal Tribunal for the
former Yugoslavia (ICTY), the Commission decided on 3 May 2006 to call
off the SAA negotiations Following a referendum in May 2006, the Montenegrin Parliament
adopted on 3 June 2006 a Declaration of Independence and the Republic of
Montenegro withdrew from the State Union of Serbia and Montenegro.
Consequently, amended Negotiating Directives for Serbia were adopted on 24
July 2006 The
improvements in the cooperation with the ICTY that the new Serbian Government
was able to demonstrate in May and June 2007 enabled the Commission to resume
negotiations on 13 June. These negotiations were finished on 10 September
2007 and after consultations with the EU Member States, the Stabilisation and
Association Agreement was initialled on 7 November 2007. The final decision to sign the SAA remains subject to Serbia
meeting the political conditionality established when the Council adopted the
negotiating Directives – the full cooperation with the International Criminal
Tribunal for the former Yugoslavia (ICTY). The present proposal does not prejudge the assessment of Serbia's
compliance with its obligations in this regard. At the adoption of the negotiating Directives in October 2005, the
Commission and the Council jointly declared that before the final decision
can be taken: 1. the Commission will report on the political conditionality to
the Council and that; 2. the Council and Commission will jointly review the progress
made by Serbia. Consequently, the Commission will, in due time and in line with
the joint declaration, report to the Council and will jointly review progress
with the Council before the final decision can be taken to sign the SAA with
Serbia. CONTENT: the
Stabilisation and Association Agreement is in line with those already
concluded or proposed with Croatia (AVC/2001/0149);
the former Yugoslav Republic of Macedonia (AVC/2001/0049);
Albania (AVC/2006/0044);
and recently Montenegro (AVC/2007/0123).
It focuses on the following main elements: - provision
for political dialogue with Serbia;
- provisions
on enhanced regional co-operation, including the perspective of
establishing free trade areas between the countries of the region;
- the
perspective of the establishment of a free-trade area between the
Community and Serbia within 5 years of the entry into force of the
Agreement;
- provisions
on the movement of workers, freedom of establishment, supply of
services, current payments and movement of capital;
- the
commitment by Serbia to approximate its legislation to that of the EC,
notably in key areas of the internal market;
- provisions
on co-operation with Serbia in a wide range of fields, including
justice, freedom and security;
- provision
for the establishment of a Stabilisation and Association Council which
supervises the implementation of the Agreement, of a Stabilisation and
Association Committee and a Stabilisation and Association Parliamentary
Committee.
It should be noted
that this proposal states that the commercial provisions contained in this
agreement are of an exceptional nature, connected with the policy implemented
within the framework of the stabilisation and association process and will
not constitute, for the European Union, any precedent in the commercial
policy of the Community with regard to third countries other than those of
the Western Balkans. As a prerequisite for the entry into force of the Agreement, the
European Parliament must give its assent and it should be ratified by all
Member States. The procedures
for the signature and the conclusion of the Agreement are different for the
two European Communities: (the European Community and the European Atomic
Energy Community): a) as regards
signature, the first indent, first sentence of Article 300 (2) of the EC
Treaty provides for a separate Council Decision concerning the signing of the
Agreement on behalf of the European Community; similar acts are not required
under the EAEC Treaty; b) as regards
conclusion of the Agreement: - the Council
concludes the Agreement on behalf of the European Community, after having
received the assent of the European Parliament, by virtue of Article 310 of
the Treaty; - the Council
approves the Agreement on behalf of the European Atomic Energy Community by
virtue of the second paragraph of Article 101 of the EAEC Treaty and the
Agreement is then concluded by the Commission. The Commission
requests the Council to decide, as soon as the Council and Commission reach a
positive joint review of the political conditionality to sign the Agreement
on behalf of the European Community; to conclude the Agreement on behalf of
the European Community and to give its approval for conclusion by Euratom.
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