Explanatory Memorandum to COM(2009)438 - Signing of the 'Terms of Reference for the International Partnership for Energy Efficiency Cooperation' (IPEEC) and the 'Memorandum concerning the hosting by the International Energy Agency of the Secretariat to the International Partnership for Energy Efficiency Cooperation' by the EC

Please note

This page contains a limited version of this dossier in the EU Monitor.

As an important element of the integrated energy and climate change policy, the Commission has taken the initiative to promote energy efficiency also in the international context. It was agreed to establish the International Partnership for Energy Efficiency Cooperation ("IPEEC") in the Declaration adopted in Aomori, Japan in June 2008 by the Commission, the G8 members, China, India and South Korea. It is meant to be a high level forum for enhancing and coordinating our joint efforts to accelerate the adoption of sound energy efficiency improvement practices. IPEEC will provide a platform for discussion, consultation and exchange of information.

The Terms of Reference for the IPEEC (the 'Terms of Reference') were signed by the G8 members, China, South Korea, Brazil and Mexico on 24 May in Rome. Due to its government being in transition, India did not sign.

The Terms of Reference describe the cooperative activities of the IPEEC, establish its organisation, define the criteria for potential new members and contain general provisions regarding i.a. the funding of the Partnership and intellectual property rights.

Article 4.2 of the Terms of Reference provides for the possibility for other countries and inter-governmental organisations to become members. Membership in the IPEEC is contingent upon signature of the Terms of Reference. It is expedient for the Community to be represented in the Partnership as the Community will have significant contributions to make to the discussions, consultations and exchange of information for which the Partnership provides a platform. It is important that this is done in a coordinated way and some obligations provided for by the Terms of Reference affect or are likely to affect the arrangements laid down by Community acts adopted in the areas of environment and energy, and thus to affect Community competences. A code of conduct will apply so as to ensure the proper coordination of Community positions where necessary.

The Terms of Reference constitute an international agreement to which the provisions of Article 300 of the EC Treaty apply.

The process of joining does not entail any negotiations as the Terms of Reference were already signed by 12 States. The Community can therefore join the Terms of Reference on the basis of a Council decision designating the person empowered to sign the Terms of Reference on behalf of the European Community.

A Memorandum concerning the hosting by the International Energy Agency of the Secretariat to the IPEEC (the 'Memorandum') was signed by seven of the G8 members, China, South Korea, Brazil and Mexico on 24 May 2009 on the one hand and by the International Energy Agency ("the IEA") on 18 June 2009 on the other. The eighth G8 member, France, signed on 22 June 2009.

The Memorandum constitutes an international agreement between IPEEC members and the IEA and contains arrangements regarding the organisation of the Secretariat which is to be hosted by the IEA. It contains provisions regarding the staffing of the Secretariat and recruitment, as well as regarding the issues of funding and budgetary procedures. To this international agreement the provisions of Article 300 of the EC Treaty apply.

Point 16 of the Memorandum stipulates that to the extent that any intergovernmental organisation wishes to become a member of IPEEC, it will be asked to sign the Memorandum and be defined as a Member for the purpose of this Memorandum. As the Community wishes to become a member of IPEEC - for which the Commission is asking the Council's approval - the Council should authorise the signature of the Memorandum on behalf of the Community.

The process of joining does not entail any negotiations as the Memorandum was already signed by 12 States and the IEA. The Community can therefore join the Memorandum on the basis of a Council decision designating the person empowered to sign the Memorandum on behalf of the Community.

This proposal provides for the signature of the Terms of Reference and the Memorandum.

1.1. The budget

In accordance with section 5 of the Terms of Reference, the budget of the Partnership is to be financed by voluntary contributions of its members. The Community's contribution will be € 400.000 in 2009, and € 60.000 in every subsequent year. A legislative financial statement is included in this proposal.