Revised Statutes for the Euratom Supply Agency

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:

• financially autonomous;
• is directly governed by the financial rules which apply to the EU’s general budget (currently, Regulation (EU, Euratom) 2018/1046).

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.