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European Territorial Cooperation: Advantages and Implementation of EGTC

This article discusses the European Grouping for Territorial Cooperation (EGTC) and its advantages in facilitating cross-border and transnational cooperation. It also explores the process of establishing an EGTC and the participation of Third Countries.

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European Territorial Cooperation: Advantages and Implementation of EGTC

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  1. European Grouping for Territorial CooperationEspon Seminar in Portoroz 02-06-2008 Jean-Claude Sinner Luxembourg

  2. Major political evolutions • Territorial cohesion in the Lisbon Treaty • Territorial agenda going forward • New Structural Funds Objective “European Territorial Cooperation” • A lot of MS joining the Schengen-Space • One after the other adopts the common currency € • and a new legal instrument: EGTC

  3. EGTC – why? • Important difficulties in carrying out and managing actions of cross-border, trans-national and interregional cooperation in the framework of differing national laws and procedures. • The European Economic Interest Grouping - EEIG (GEIE, EWIV) ill-adapted, because orientated to commercial activities.

  4. The Madrid Convention • European Outline Convention on Trans-frontier Cooperation between Territorial Communities or Authorities, from 1980 • By this Convention, the signing States commit themselves to enhance the cross border cooperation of local and regional bodies • Needs to be implemented by Treaties.

  5. Field of application: • on Structural Funds for cooperation on program level; • and on project level; • as on projects co financed by other Community money; • or even at cooperation’s without any intervention from the Community side. • No matters of core sovereignty

  6. The main features - 1 • It is a Regulation, not a Directive, and so immediately applicable in all MS. • It is not compulsory to be used by operators, but MS must allow its application. • It should be invested with legal personality. • The applicable law is that of the MS where the Grouping has its seat. • It can have also MS in the partnership.

  7. The main features - 2 • It should dispose of the capacity to act on behalf of its members. • 2 Founding documents called Convention and Statutes. • The financial responsibility of the MS for Structural Funds is not affected by the creation of the Grouping. • The matters belonging to the core sovereignty of a State cannot be delegated to the Grouping.

  8. The main advantages - 1 - • legal personality, under public law or under private law, • legal guaranties for the joint activities • can be legal employer, • can have property, • can receive public funds and spent them out again, • coordinates members activities through the tasks of the director,

  9. The main advantages - 2 - • provides a more solid basis for cooperation, independent from changing political colours, • provides a more structured decision-taking, • ensures equal and democratic representation of the members • gives therefore a better legitimacy, • has a better political visibility, • as a stronger partner, is a better interface to regional, national and European authorities.

  10. How to establish an EGTC Consists of 3 phases: • a political phase to obtain a consensus about main elements as tasks and budget, • a technical phase drafting the Convention and the Statutes • an administrative phase: • adopting the draft Convention and Statutes by the potential members, • obtaining a decision on participation by the national authorities, • Publication of the founding documents.

  11. State of the play - 1 - MS are busy to adapt their national legislation to the EGTC, if necessary. Two EGTC founded: • Eurometropole Lille-Kortrijk-Tournai (France-Belgium) – general cooperation • Euroregio ISTER-Granum ( Slovakia-Hungary ) – general cooperation

  12. State of the play - 2 - Others are in the pipeline: • for program management: Interreg IV A Greater Region, … • for general cooperation: Viadrina Euroregion, MATRIOSCA, Cote d’Opale BE-FR, … • for specific cooperation: • the Cerdagne Hospital in Puigcerda, • brown field revitalisation LU-FR, • … • …

  13. Participation of Third Countries Basically, the Regulation does not apply to Third Countries. It’s possible when: • At least 2 EU MS must participate, • The registered office must be in a MS, • The possibility of participating in an EGTC must be allowed by the legislation of the Third Country or by agreements between the MS and the Third Country concerned.

  14. State of the play MS are busy to adapt their national legislation to the EGTC, if necessary. Two EGTC founded: • Eurometropole Lille-Kortrijk-Tournai (France-Belgium) - general cooperation • Euroregio ISTER-Granum ( Slovakia-Hungary ) – general cooperation • Others are in the pipeline:for general cooperation, for specific cooperation ( hospital in Puigcerda, brownfield revitalisation

  15. I thank you for your attention. jean-claude.sinner@mat.etat.lu

  16. The provisions of Regulation 1082/2006 Article 1 - Nature of an EGTC: It recalls the aim: to facilitate and promote cross-border, transnational and interregional cooperation, with the exclusive aim of strengthening economic and social cohesion. An EGTC shall have legal personality. That implies that it may acquire or dispose of property and employ staff.

  17. Article 2 - Applicable law: The EGTC is based • on this Regulation, • on the provisions of its the convention and • the statutes • and least, but not last, on the laws of the Member State where the EGTC has its registered office. In federal States like Germany or Belgium: on regional law.

  18. Article 3 - Composition of an EGTC: An EGTC shall be made up of members, within the limits of their competences, belonging to one or more of the following categories: • (a) Member States; • (b) regional authorities; • (c) local authorities; • (d) bodies governed by public law. and their groupings. An EGTC shall be made up of members located on the territory of at least two Member States.

  19. Article 4 - Establishment of an EGTC: • The decision to establish an EGTC shall be taken by its prospective members. • Each prospective member shall notify the Member State under whose law it has been formed of its intention to participate in an EGTC; • Following notification the Member State concerned shall approve the prospective member's participation in the EGTC, • The members shall agree on the convention and the statutes ensuring consistency with the approval of the Member States.

  20. Article 5 - Acquisition of legal personality and publication in the Official Journal The EGTC shall acquire legal personality on the day of registration or publication. Article 6 - Control of management of public funds: To be organised by the competent authorities of the Member State where the EGTC has its registered office.

  21. Article 7 - Tasks: • Facilitation and promotion of territorial cooperation to strengthen economic and social cohesion. • The tasks shall not concern the exercise of powers conferred by public law or of duties whose object is to safeguard the general interests, such as police and regulatory powers, justice and foreign policy.

  22. Article 8 - Convention: • the name of the EGTC and its registered office; • the territory in which the EGTC may execute its tasks; • the specific objective and tasks of the EGTC, its duration and the conditions governing its dissolution; • the list of the EGTC's members; • the law applicable, which shall be the law of the Member State where the EGTC has its registered; • the appropriate arrangements for mutual recognition; • the procedures for amending the convention.

  23. Article 9 Statutes: • operating provisions as well as the numberof representatives of the members; • decision-making procedures of the EGTC; • working language or languages; • arrangements for its functioning,; • arrangements for the members' financial contributions • arrangements for members' liability; • authorities responsible for the designation of independent external auditors; and • procedures for amending the statutes.

  24. Article 10 - Organisation of an EGTC: • an assembly, which is made up of representatives of its members; • a director, who represents the EGTC and acts on its behalf. Article 11 - Budget: An EGTC shall establish an annual budget.

  25. Article 12 - Liquidation, insolvency, cessation of payments and liability: An EGTC shall be liable for its debts, each member's share being fixed in proportion to its contribution. Article 13 - Public interest: The MS may prohibit any activity in opposition of its provisions on public policy, public security, public health or public morality, or in contravention of the public interest.

  26. Article 14 - Dissolution: The MS may ask even the dissolution. Article 15 - Jurisdiction: Nothing in this Regulation shall deprive citizens From exercising their national constitutional rights of appeal against public bodies which are members of an EGTC: • (a) administrative decisions in respect of activities which are being carried out by the EGTC; • (b) access to services in their own language; • (c) access to information.

  27. Articles 16, 17 and 18 are technical ones

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