Explanatory Memorandum to JOIN(2016)6 - Signing and provisional application of the Partnership Agreement on Relations and Cooperation between the EU and New Zealand

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1. CONTEXT OF THE PROPOSAL

The present proposal concerns the signature of the Partnership Agreement on Relations and Cooperation between the European Union and its Member States, on the one part and New Zealand, on the other part (‘the Agreement’).

On 25 June 2012, the Council adopted a Decision authorising the European Commission and the High Representative of the Union for Foreign Affairs and Security Policy to negotiate a Framework Agreement between the European Union and its Member States, of the one part, and New Zealand, of the other part. Negotiations began in July 2012 and were successfully concluded on 30 July 2014.

This Agreement will provide a comprehensive and modern legal foundation for relations between the EU and New Zealand. It will facilitate more effective bilateral engagement on the part of the EU and its Member States with New Zealand, by strengthening political dialogue and improving cooperation on economic and trade matters and in a wide range of other areas.

The Agreement includes the EU’s standard political clauses on human rights, the International Criminal Court (ICC), weapons of mass destruction (WMD), small arms and light weapons (SALW) and counter-terrorism. It also covers cooperation on economic and trade matters, and includes dialogues on economic, trade and investment related areas, agricultural trade and other sectoral issues. The Agreement additionally covers cooperation in a wide range of policy areas such as health, the environment, climate change, energy, education, culture, labour, disaster management, fisheries and maritime affairs, transport, legal cooperation, money laundering and terrorist financing, organised crime and corruption.

This Agreement, similarly to those concluded by the EU with partner countries, contains binding political clauses based on the shared values of the two Parties. Accordingly, the EU and New Zealand declare their commitments in areas including human rights, non-proliferation and the fight against terrorism. These clauses are fully in line with the standard clauses found in similar agreements. Respect for human rights and democratic principles, and for international law and the principles set out in the Charter of the United Nations constitute the basis for cooperation under the Agreement.

The Agreement contributes significantly to the improvement of the partnership between the EU and New Zealand, a partnership which is based on joint values and principles, including respect for democratic principles, human rights and fundamental freedoms, the rule of law, international peace and security.

In accordance with the EU’s Common approach on the use of political clauses, in cases of particularly serious and substantial violation of the essential elements of the Agreement, the Agreement may be suspended or terminated, and other appropriate measures affecting future agreements may be taken in accordance with the rights and obligations of the Parties under such agreements.

2. LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY

The attached joint proposal constitutes the legal instrument for the signature and provisional application of the Agreement.

The choice of legal basis for the signing of the Agreement must rest on objective factors amenable to judicial review, which include the aim and content of the measure.

The aim of the Agreement is ‘to establish a strengthened partnership between the Parties and to deepen and enhance cooperation on issues of mutual interest, reflecting shared values and common principles, including through intensifying high-level dialogue’ (Article 1 of the Agreement).

The content of the Agreement covers three pillars:

– political cooperation on foreign policy and security issues of common interest, including weapons of mass destruction (WMD), small arms and light weapons (SALW), counter-terrorism, promoting international peace and security and cooperation in multilateral fora;

– cooperation on economic and trade matters, including facilitating trade and investment flows, and sectoral economic and trade issues, such as sanitary and phytosanitary issues, the reduction of technical barriers to trade and intellectual property;

– sectoral cooperation, including in the areas of research and innovation, education and culture, migration, counter terrorism, the fight against organised crime and cybercrime and judicial cooperation.

As such, the Agreement is composed of the following titles: General Provisions (Title I), Political Dialogue and Cooperation on Foreign Policy and Security Matters (Title II), Cooperation on Global Development and Humanitarian Aid (Title III), Cooperation on Economic and Trade Matters (Title IV), Cooperation on Justice, Freedom and Security (Title V), Cooperation in the areas of Research, Innovation and the Information Society (Title VI), Cooperation in the area of Education, Culture and People-to-People Links (Title VII), Cooperation in the area of Sustainable Development, Energy and Transport (Title VIII), Institutional Framework (Title IX) and Final Provisions (Title X).

The provisions set out in the Agreement, in view of both their aim and content, fall within the scope of Article 37 of the Treaty on European Union and Articles 207 and 212 of the Treaty on the Functioning of the European Union.

The Agreement establishes a Joint Committee, the objective of which is to monitor the development of the bilateral relationship between the Parties. The Agreement provides for the possibility of suspending its application in the case of a violation of essential elements.

Pending its entry into force, certain parts of the Agreement, as mutually determined by the EU and New Zealand, will be provisionally applied in accordance with Article 58 of the Agreement. The scope of provisional application is without prejudice to the division of competencies between the Union and its member States as laid down in the Treaties.. The date of provisional application will be published in the Official Journal of the European Union.

The Agreement will extend upon and replace the Joint Declaration on Relations and Cooperation adopted in 2007. It will create a coherent, legally binding overall framework for the EU’s relations with New Zealand. All existing sector specific agreements remain in place.

3. RESULTS OF EX-POST EVALUATIONS, STAKEHOLDER CONSULTATIONS AND IMPACT ASSESSMENTS

The European External Action Service and the Commission services' have been involved in the negotiating process.

Member States have been consulted throughout the negotiating process at meetings of the relevant Council Working Parties. On 13 November 2014, the Permanent Representatives Committee endorsed the text of the Partnership Agreement on Relations and Cooperation, and on 25 February 2015, endorsed the insertion of the clause providing for provisional application.

The European Parliament has been kept regularly informed throughout the negotiations.

The High Representative and the Commission consider that the objectives set by the Council in its directives on the negotiation of the Agreement have been met and that the draft Agreement can be submitted for signature and provisional application.