EURATOM

by
Energy

Revised Statutes for the Euratom Supply Agency

SUMMARY OF:

Decision 2008/114/EC, Euratom establishing Statutes for the Euratom Supply Agency

Article 52 of the European Atomic Energy Community (Euratom) Treaty

WHAT IS THE AIM OF THIS DECISION?

It establishes Statutes for the Euratom Supply Agency (ESA), which was directly established by the Euratom Treaty of 1957, to take account of the increase in the number of EU countries as well as to modernise the Agency’s financial rules and establish its headquarters in Luxembourg.

Article 52 of the European Atomic Energy Community (Euratom) Treaty, which seeks to guarantee, by means of a common supply policy, a regular and equitable supply of nuclear materials to users in the EU countries, is the legal basis of ESA.

KEY POINTS

ESA is the body in the EU responsible for the management of supply and demand of:

  • mineral ores;
  • source materials (natural uranium, for example);
  • special fissile materials (enriched uranium and plutonium, for example).

ESA has the exclusive right to ‘conclude’ (i.e. countersign) contracts relating to the supply of nuclear materials, as above, coming from both inside and outside the EU. It has also, under the Euratom Treaty, a right of option to acquire nuclear materials.

ESA has legal personality (i.e. it is an independent entity in its own right).

Objectives and tasks

ESA:

  • receives all contracts relating to the supply of nuclear materials within the EU; following assessment, ESA’s Director-General decides whether, or not, to grant the Agency’s countersignature, which is a necessary condition for their validity;
  • is notified of all contracts relating to services provided in the nuclear sector.

In addition, ESA:

  • provides the EU with expertise, information and advice on the nuclear materials and services market;
  • monitors the nuclear market and identifies market trends that could affect the security of the EU’s supply of nuclear materials and services;
  • publishes annually a report of its activities in the previous year as well as its work programme for the coming year, which are both submitted to the European Parliament, the Council and the European Commission;
  • works in close cooperation with its Advisory Committee.

The ESA may also build up its own stock of nuclear materials. It is supervised by the Commission, which has the right to issue directives (i.e. instructions) to it and veto its decisions.

Legal status and HQ

ESA:

  • is non-profit making;
  • is based in Luxembourg;
  • may on its own initiative take any further measures concerning its own internal organisation to carry out its tasks within and outside the EU;
  • operates under the most extensive legal capacity available under each EU country’s laws and may, in particular, acquire or dispose of property and be a party to legal proceedings.

Director-General and staff

The ESA’s Director-General is responsible for:

  • ensuring the performance of the Agency’s tasks;
  • exercising the ESA’s exclusive right to conclude supply contracts for nuclear materials and its right of option;
  • day-to-day administration and management of the Agency’s resources;
  • keeping the Agency’s Advisory Committee regularly informed and consulting it on relevant matters;
  • preparing draft estimates of ESA revenue and expenditure, and execution of its budget;
  • conducting studies and producing reports (including an annual report) in cooperation with the Committee and their transmission to the European Parliament, the Council or the Commission.

The Director-General and ESA staff are European Commission officials and are subject to security clearance.

Finance

ESA is:

The Agency’s revenue consists nowadays, exclusively of a contribution from the EU.

ESA’s budget is adopted by the Commission and becomes final following the definitive adoption of the general budget of the EU.

Following Croatia’s accession to the EU, ESA’s capital is set at €5,856,000, subscribed by individual EU countries. Luxembourg and Malta do not take part.

Advisory Committee

EU countries (with the exception of Luxembourg and Malta) each select between 1 and 4 representatives to the Advisory Committee, in line with the Agency’s Statutes. The Committee members are appointed on the basis of their experience and expertise in nuclear materials trading or nuclear power generation or regulation.

The Committee is normally convened by ESA’s Director-General twice a year. It has to be consulted before important decisions (on matters listed in ESA’s Statutes) are adopted by the Agency’s Director-General.

The Committee assists ESA by giving opinions and providing analyses and information.

FROM WHEN DOES THIS DECISION APPLY?

It has applied since March 2008 and, in its revised version following the accession of Croatia, since 1 July 2013.

DOCUMENTS

Council Decision 2008/114/EC, Euratom of 12 February 2008 establishing Statutes for the Euratom Supply Agency (OJ L 41, 15.2.2008, pp. 15-20)

Successive amendments to Decision 2008/114/EC, Euratom have been incorporated in the original text. This consolidated version is of documentary value only.

Consolidated version of the Treaty establishing the European Atomic Energy Community — Title II — Provisions for the encouragement of progress in the field of nuclear energy — Chapter 6 — Supplies — Article 52 (OJ C 203, 7.6.2016, p. 24)

Regulation (EU, Euratom) 2018/1046 of the European Parliament and of the Council of 18 July 2018 on the financial rules applicable to the general budget of the Union, amending Regulations (EU) No 1296/2013, (EU) No 1301/2013, (EU) No 1303/2013, (EU) No 1304/2013, (EU) No 1309/2013, (EU) No 1316/2013, (EU) No 223/2014, (EU) No 283/2014, and Decision No 541/2014/EU and repealing Regulation (EU, Euratom) No 966/2012 (OJ L 193, 30.7.2018, pp. 1-222)