27.7.2016   

EN

Official Journal of the European Union

L 201/1

(1)

The Protocol to the Euro-Mediterranean Association Agreement establishing an Association between the European Community and its Member States, of the one part, and the Republic of Lebanon, of the other part, (‘Protocol’) was signed on behalf of the Union and its Member States on 18 June 2015.

(2)

The Protocol should be approved,

27.7.2016   

EN

Official Journal of the European Union

L 201/2

(1)

By Decision (EU) 2016/837 of 21 April 2016 (2), the Council authorised the signing, on behalf of the European Union, and provisional application of the Agreement between the European Union, Iceland, the Principality of Liechtenstein and the Kingdom of Norway on an EEA Financial Mechanism 2014-2021, the Agreement between the Kingdom of Norway and the European Union on a Norwegian Financial Mechanism for the period 2014-2021, the Additional Protocol to the Agreement between the European Economic Community and the Kingdom of Norway and the Additional Protocol to the Agreement between the European Economic Community and Iceland.

(2)

The text of the Additional Protocol to the Agreement between the European Economic Community and Iceland (‘the Additional Protocol’) which is attached to Decision (EU) 2016/837 provides for the renewal of three duty-free tariff quotas that ended on 30 April 2014 and for one new duty-free tariff quota for release for free circulation in the European Union of certain fish and fishery products originating in Iceland.

(3)

In accordance with the Additional Protocol, the volumes of the tariff quotas covering the period from 1 May 2014 until the date on which the provisional application of the Additional Protocol becomes effective shall be proportionally allocated and made available for the period from the date of provisional application of the Additional Protocol until 30 April 2021. The Additional Protocol does not provide for any carrying-over of remaining volumes in a tariff quota to a subsequent application period.

(4)

It is necessary to amend Regulation (EC) No 499/96 in order to implement the tariff quotas laid down in the Additional Protocol.

(5)

The tariff quotas should apply from the date on which the provisional application of the Additional Protocol becomes effective until 30 April 2021. This Regulation should therefore apply from the date of provisional application of the Additional Protocol laid down in Article 3 of Decision (EU) 2016/837.

(6)

Regulation (EU) No 1379/2013 of the European Parliament and of the Council (3) repealed Council Regulation (EC) No 104/2000 (4) and ended the system of reference prices for fishery products. It is therefore necessary to delete the condition laid down in Article 1(2) of Regulation (EC) No 499/96 on respecting reference prices.

(7)

Protocol 3 to the Agreement between the European Economic Community and the Republic of Iceland defining the concept of originating products and setting out the methods of administrative cooperation has been amended by Decision No 1/2016 of the EU-Iceland Joint Committee of 17 February 2016 (5). It is therefore necessary to provide that Protocol 3 as amended is to apply.

(8)

Rules on the management of tariff quotas are laid down in Commission Implementing Regulation (EU) 2015/2447 (6) replacing Commission Regulation (EEC) No 2454/93 (7) from 1 May 2016. Article 2 of Regulation (EC) No 499/96 should be amended to take account of the new rules.

(9)

The Annex to Regulation (EC) No 499/96 should be amended in order to take account of amendments of the Combined Nomenclature codes (‘CN codes’) laid down in Council Regulation (EEC) No 2658/87 (8) and of the Taric subdivisions. For reasons of clarity it is appropriate to replace the Annex to Regulation (EC) No 499/96 in its entirety.

(10)

The measures provided for in this Regulation are in accordance with the opinion of the Customs Code Committee,

(1)

Article 1 is amended as follows:

(2)

Article 2 is replaced by the following:

‘Article 2

The tariff quotas set out in this Regulation shall be managed in accordance with Articles 49 to 54 of Commission Implementing Regulation (EU) 2015/2447 (**).

(**)  Commission Implementing Regulation (EU) 2015/2447 of 24 November 2015 laying down detailed rules for implementing certain provisions of Regulation (EU) No 952/2013 of the European Parliament and of the Council laying down the Union Customs Code (OJ L 343, 29.12.2015, p. 558).’;"

(3)

Article 3 is deleted;

(4)

The Annex is replaced by the text in the Annex to this Regulation.

27.7.2016   

EN

Official Journal of the European Union

L 201/11

(1)

Regulation (EC) No 1831/2003 provides for the authorisation of additives for use in animal nutrition and for the grounds and procedures for granting such authorisation. Article 10 of that Regulation provides for the re-evaluation of additives authorised pursuant to Council Directive 82/471/EEC (2).

(2)

L-threonine was authorised without a time limit pursuant to Directive 82/471/EEC by Commission Directive 88/485/EEC (3) and was subsequently entered in the Register of feed additives as an existing product, in accordance with Article 10(1) of Regulation (EC) No 1831/2003.

(3)

In accordance with Article 10(2) of Regulation (EC) No 1831/2003 in conjunction with Article 7 thereof, applications were submitted for the re-evaluation of L-threonine as feed additive for all animal species. Applications were also submitted for the authorisation of L-threonine for all animal species in accordance with Article 7 of that Regulation. The applications were accompanied by the particulars and documents required under Article 7(3) of Regulation (EC) No 1831/2003.

(4)

The applications concern the authorisation of L-threonine produced by Escherichia coli DSM 25086, Escherichia coli FERM BP-11383, Escherichia coli FERM BP-10942, Escherichia coli NRRL B-30843, Escherichia coli KCCM11133P, Escherichia coli DSM 25085, Escherichia coli CGMCC 3703 or Escherichia coli CGMCC 7.58 as a feed additive for all animal species, to be classified in the additive category ‘nutritional additives’.

(5)

The European Food Safety Authority (‘the Authority’) concluded in its opinions of 9 July 2013 (4), 29 January 2014 (5), 9 September 2014 (6), 9 September 2015 (7), 1 December 2015 (8) and 19 April 2016 (9) that, under the proposed conditions of use, L-threonine produced by Escherichia coli DSM 25086, Escherichia coli FERM BP-11383, Escherichia coli FERM BP-10942, Escherichia coli NRRL B-30843, Escherichia coli KCCM11133P, Escherichia coli DSM 25085, Escherichia coli CGMCC 3703 and Escherichia coli CGMCC 7.58 does not have an adverse effect on animal health, human health or the environment, and that it is considered an efficacious source of the amino acid threonine for animal nutrition; for the supplemental L-threonine to be fully efficacious in ruminants, it should be protected against degradation in the rumen. The Authority does not consider that there is a need for specific requirements of post-market monitoring. It also verified the report on the method of analysis of the feed additive in feed submitted by the Reference Laboratory set up by Regulation (EC) No 1831/2003.

(6)

The Authority expressed in its opinions a concern over the safety of L-threonine for the target species when administered via water for drinking. However, no maximum content for L-threonine is proposed by the Authority. Thus, it is in the case of administration of L-threonine via drinking water appropriate to alert the user to take into account the dietary supply with all the essential amino acids.

(7)

The assessment of L-threonine shows that the conditions for authorisation, as provided for in Article 5 of Regulation (EC) No 1831/2003, are satisfied. Accordingly, the use of that substance should be authorised as specified in the Annex to this Regulation.

(8)

Since safety reasons do not require the immediate application of the modifications to the conditions of authorisation for L-threonine, it is appropriate to allow a transitional period for interested parties to prepare themselves to meet the new requirements resulting from the authorisation.

(9)

The measures provided for in this Regulation are in accordance with the opinion of the Standing Committee on Plants, Animals, Food and Feed,

27.7.2016   

EN

Official Journal of the European Union

L 201/16

(1)

Implementing Regulation (EU) No 543/2011 lays down, pursuant to the outcome of the Uruguay Round multilateral trade negotiations, the criteria whereby the Commission fixes the standard values for imports from third countries, in respect of the products and periods stipulated in Annex XVI, Part A thereto.

(2)

The standard import value is calculated each working day, in accordance with Article 136(1) of Implementing Regulation (EU) No 543/2011, taking into account variable daily data. Therefore this Regulation should enter into force on the day of its publication in the Official Journal of the European Union,

27.7.2016   

EN

Official Journal of the European Union

L 201/19

(1)

According to Article 126 of the Treaty, Member States shall avoid excessive government deficits.

(2)

The Stability and Growth Pact is based on the objective of sound government finances as a means of strengthening the conditions for price stability and for strong sustainable growth conducive to employment creation. The Stability and Growth Pact includes Council Regulation (EC) No 1467/97 (1), which was adopted in order to further the prompt correction of excessive general government deficits.

(3)

The Council, acting upon a recommendation by the Commission, decided on 27 April 2009, in accordance with Article 104(6) of the Treaty establishing the European Community, that an excessive deficit existed in Spain and issued a recommendation to correct the excessive deficit by 2012 at the latest in accordance with Article 104(7) of that Treaty. Since then, the Council has issued three recommendations to Spain (on 2 December 2009, 10 July 2012 and 21 June 2013) on the basis of Article 126(7) of the Treaty on the Functioning of the European Union, which extended the deadline for correcting the excessive deficit to 2013, 2014 and 2016 respectively. In all three recommendations the Council considered that Spain had taken effective action, but unexpected adverse economic events with major unfavourable consequences for government finances had occurred (2).

(4)

In its recommendation of 21 June 2013, the Council recommended that Spain reach a headline deficit target of 6,5 % of GDP in 2013, 5,8 % of GDP in 2014, 4,2 % of GDP in 2015, and 2,8 % of GDP in 2016, which was consistent with an improvement of the structural balance of 1,1 %, 0,8 %, 0,8 %, and 1,2 % of GDP in the years 2013-2016, respectively, based on the Commission 2013 spring forecast extended to 2016. To achieve that improvement, Spain was asked to implement additional measures amounting to 2 %, 1 % and 1,5 % of GDP in 2014, 2015 and 2016, respectively. Furthermore, Spain was requested (i) to strengthen the effectiveness of the institutional framework by raising further transparency in the implementation of the Budgetary Stability Law as well as by establishing an independent fiscal council to provide analysis, advice and monitor compliance of fiscal policy with national and Union fiscal rules; (ii) to undertake concrete steps to rein in the increasing structural deficit in the social security system; and (iii) to give greater emphasis to the growth-friendliness of the consolidation, including by conducting systematic reviews of expenditure and the tax system. Finally, to ensure the success of the fiscal consolidation strategy, the recommendation also pointed out that it was important to back the fiscal consolidation with comprehensive structural reforms, in line with the Council recommendations addressed to Spain in the context of the European Semester and the macroeconomic imbalances procedure.

(5)

The Commission 2013 spring forecast, extended to 2016, which underpinned the Council recommendation of 21 June 2013, projected that the Spanish economy would contract by 1,5 % in 2013 before growing by 0,9 %, 1,4 % and 1,9 %, respectively, in the three subsequent years. Nominal GDP growth was forecast at 0,1 % and 2,0 % in 2013 and 2014, respectively, and at 2,6 % and 3,2 % in the two following years.

(6)

In its recommendation of 21 June 2013, the Council established a deadline of 1 October 2013 for effective action to be taken in line with the provisions of Article 3(4) of Regulation (EC) No 1467/97. On 15 November 2013, based on the Commission 2013 autumn forecast, the Commission concluded that Spain had taken effective action to comply with that recommendation, although it pointed to risks of non-compliance in 2014. On that basis, the Commission considered that no additional steps in the excessive deficit procedure were necessary at that point in time. Since then the excessive deficit procedure has been held in abeyance.

(7)

Risks of non-compliance with the Council recommendation of 21 June 2013 were highlighted again in subsequent assessments. In July 2014, the Council concluded that the measures underpinning the budgetary strategy set out in the 2014 stability programme needed to be specified further and that additional efforts were needed to fully comply with that recommendation. Based on its assessment of the 2015 stability programme, the Council in July 2015 concluded that there was a risk that Spain would not comply with the provisions of the Stability and Growth Pact. Similarly, the Commission's opinions on Spain's draft budget plans for 2014, 2015 and 2016, have all concluded that Spain was at risk of not complying with the rules of the Stability and Growth Pact. In particular, the Commission pointed out risks related to the structural effort in the plans being lower than those recommended by the Council. Moreover, the Commission pointed out risks to the achievement of the headline deficit targets.

(8)

On 9 March 2016, based on the Commission 2016 winter forecast, the Commission also concluded that there was a risk of non-compliance with the deadline to correct the excessive deficit, given the still significant expected excess over the 4,2 %-of-GDP intermediate headline balance target for 2015 and the fact that the fiscal effort achieved until then fell well short of the recommended one. On that basis, the Commission issued a recommendation to Spain to step up efforts to ensure compliance with the Council Recommendation of 21 June 2013. To that end, Spain was recommended (i) to take measures to ensure a timely and durable correction of the excessive deficit, including by making full use as appropriate of the preventive and corrective tools set out in Spain's Stability Law to control for slippages at the sub-central government level from the respective deficit, debt and expenditure rule targets; and (ii) to report to the Commission on measures in response to the Commission recommendation in its updated 2016 draft budgetary plan or, at the latest, in a dedicated section of its forthcoming 2016 stability programme.

(9)

A new assessment of the action taken by Spain to correct the excessive deficit by 2016 in response to the Council recommendation of 21 June 2013 leads to the following conclusions:

(10)

The Commission 2016 spring forecast projects a general government deficit of 3,9 % of GDP in 2016 and 3,1 % of GDP in 2017. The 2016 stability programme targets a deficit at 3,6 % and 2,9 % of GDP in 2016 and 2017, respectively. Therefore Spain is not set to achieve a timely and durable correction of its excessive deficit in 2016. The public-debt-to-GDP ratio declined slightly from 99,3 % in 2014 to 99,2 % in 2015, thanks to net sales of financial assets more than offsetting the impact of the deficit growing faster than nominal GDP growth. According to the Commission 2016 spring forecast, the debt ratio is expected to rise again in 2016 to 100,3 % and to decline thereafter.

(11)

Since 2012, Spain's fiscal framework has been strengthened in order to, among other things, prevent deviations and ensure compliance by all government levels with their respective deficit, debt and expenditure rule targets. Since the Council recommendation of 21 June 2013, Spain has further strengthened its domestic fiscal framework by amending the 2012 Stability Law to provide incentives for public administrations to reduce public sector arrears to commercial suppliers and by creating in November 2013 an independent fiscal institution (AIReF). However, while Spain's Stability Law includes tools to prevent and correct deviations from the domestic fiscal targets, the experience over 2014 and 2015 shows that they could have been used to a greater extent. Following the Commission recommendation of 9 March 2016, the Spanish government has started to enforce corrective provisions in the Stability Law on regional government that had not previously been implemented. Moreover, the Central Government adopted expenditure cuts amounting to EUR 2 billion.

(12)

In December 2013 Spain adopted a reform revising pension indexation and introducing as from 2019 an automatic adjustment of future retirees' new pensions to take account of changes in life expectancy. Moreover, starting in June 2013, it has been implementing a public administration reform, with a view to reaping efficiency gains. At the same time, in 2014 Spain adopted a corporate and personal income tax reform, which had some positive features, for example by reducing the tax wedge, but was not fully funded.

(13)

This leads to the conclusion that the response of Spain to the Council recommendation of 21 June 2013 has been insufficient. Spain did not reach the intermediate target for the headline deficit in 2015 and is not forecast to put an end to its excessive deficit by 2016. The fiscal effort falls significantly short of what was recommended by the Council, and the fiscal stance was expansionary in 2015,

27.7.2016   

EN

Official Journal of the European Union

L 201/23

(1)

By virtue of Commission Decision 2011/30/EU (2), the auditors and audit entities that provide audit reports concerning the annual or consolidated accounts of companies incorporated in the third countries listed in Annex II to that Decision and whose transferable securities are admitted to trading on a regulated market of a Member State, have been exempted from the requirements of Article 45 of Directive 2006/43/EC for certain financial years provided that they provide the competent authorities of that Member State with a certain set of information.

(2)

The Commission has carried out assessments of the public oversight, quality assurance, investigation and penalty systems for auditors and audit entities of the third countries listed in Annex II to Decision 2011/30/EU. The assessments were carried out with the assistance of the European Group of Auditors' Oversight Bodies in light of the criteria set out in Articles 29, 30 and 32 of Directive 2006/43/EC, which govern the public oversight, quality assurance, investigation and penalty systems for auditors and audit firms of the Member States. Following such assessments, it appears that Mauritius, New Zealand and Turkey have public oversight, quality assurance, investigation and penalty systems for auditors and audit entities that meet requirements equivalent to those set out in Articles 29, 30 and 32 of Directive 2006/43/EC. Therefore, it is appropriate to consider those systems equivalent to the public oversight, quality assurance, investigation and penalty systems for auditors and audit firms of the Member States.

(3)

The ultimate objective of cooperation between Member States and third countries with respect to systems of public oversight, quality assurance, investigation and penalties for auditors and audit entities should be to reach mutual reliance on each other's oversight systems based on their equivalence.

(4)

Bermuda, Cayman Islands, Egypt and Russia have established or are in the process of establishing public oversight, quality assurance, investigation and penalty systems for auditors and audit entities. However, due to the recent establishment of those systems, certain information is still missing, rules are not fully implemented, inspections are not carried out or sanctions are not imposed. In order to carry out a further assessment for the purpose of taking a decision in respect of the equivalence of such systems, there is a need to obtain additional information from those third countries in order to better understand those systems. Therefore, it is appropriate to extend the transitional period granted by Decision 2011/30/EU in respect of the auditors and audit entities that provide audit reports concerning the annual or consolidated accounts of companies incorporated in those third countries and whose transferable securities are admitted to trading on a regulated market of a Member State.

(5)

In order to protect investors, auditors and audit entities that provide audit reports concerning the annual or consolidated accounts of companies that are incorporated in the third countries listed in Annex II to Decision 2011/30/EU and whose transferable securities are admitted to trading on a regulated market of a Member State should be able to continue their audit activities in the Union without being registered under Article 45 of Directive 2006/43/EC during an additional period running from 1 August 2016 to 31 July 2018 on condition that they provide the required information. In such a case, those auditors and audit entities should be able to continue their activities in accordance with the requirements of the relevant Member State in relation to audit reports concerning annual or consolidated accounts for financial years starting during the period from 1 August 2016 to 31 July 2018. This Decision does not affect the power of the Member States to apply their investigation and penalty systems in respect of such auditors and audit entities.

(6)

The Commission will monitor developments in the supervisory and regulatory cooperation with third countries on a regular basis. The Decision to grant equivalence or to extend the transitional period is without prejudice to the possibility of the Commission to undertake a review of the Decision at any time. That review may lead to the withdrawal of the recognition of equivalence or the premature end of the transitional period. Decision 2011/30/EU should therefore be amended accordingly.

(7)

The measures provided for in this Decision are in accordance with the opinion of the Committee established by Article 48(1) of Directive 2006/43/EC,

(1)

in Article 1, the following third paragraph is added:

‘For the purposes of Article 46(1) of Directive 2006/43/EC, the public oversight, quality assurance, investigation and penalty systems for auditors and audit entities of the following third countries meet requirements which shall be considered equivalent to those of Articles 29, 30 and 32 of that Directive in relation to audit activities concerning annual or consolidated accounts for financial years starting from 1 August 2016:

(2)

Article 2(2) is replaced by the following:

‘2.   A Member State shall not apply Article 45 of Directive 2006/43/EC in relation to auditors and audit entities that provide audit reports concerning the annual or consolidated accounts of companies incorporated in the third countries listed in Annex II to this Decision and whose transferable securities are admitted to trading on a regulated market of that Member State within the meaning of point 14 of Article 4(1) of Directive 2004/39/EC of the European Parliament and of the Council (*), for financial years starting during the period from 2 July 2010 to 31 July 2018, provided that the auditor or audit entity concerned provides the competent authorities of that Member State with all of the following:

(*)  Directive 2004/39/EC of the European Parliament and of the Council of 21 April 2004 on markets in financial instruments amending Council Directives 85/611/EEC and 93/6/EEC and Directive 2000/12/EC of the European Parliament and of the Council and repealing Council Directive 93/22/EEC (OJ L 145, 30.4.2004, p. 1).’;"

(3)

Annex II is replaced by the text in the Annex to this Decision.