Brussels, 31 Aug 2005
1.7.2005 Type of Procedure: Codecision procedure (first reading)
REPORT on the proposal for a regulation of the European Parliament and of the Council on the implementation of the deployment and commercial operating phases of the European programme of satellite radionavigation
Your rapporteur suggests, that taking into account the specific nature of a Public-Private-Partnership, it is important to regulate the following questions in the community legislation: 1 billion euros at 2004 prices shall be necessary for the implementation of the actions foreseen in the legislative act.
It is very likely that the Community will have to undertake (either directly, or indirectly through the Supervisory Authority) financial guarantee commitments. The Parliament and the Council, as Budgetary Authorities will have to be informed about these commitments adequately, and the commitments will have to pass the necessary approval procedure from the Community institutions.
It is also very likely that the Community will have to undertake liability commitments as well. The same is applicable to these commitments as to the guarantee commitments.
A profit-sharing mechanism will have to be established, because according to a best case scenario it is likely that the programme will be as beneficial that the Community demand for repayment may be justified.
It is fundamental to state that the ownership of the Intellectual Property Rights stays with the Supervisory Authority, but the revenues, generated from the exploitation of these rights can form the income of the concession holder. Since the concession contract is for a limited period, after the termination of the contract the Supervisory Authority can continue the exploitation of the IPR rights by itself or by entering into a contract with a new concession holder.
An observer status, to be granted to the Parliament at the Administrative Board of the Supervisory Authority could ensure that the Parliament gets all the necessary information to fulfil its budgetary responsibilities. The strategic importance of the timing of the programme Your rapporteur emphasises that it is very important to define the timing of the phases in the regulation to avoid any further delay. The realistic time schedule is the following: The deployment phase start sin 2006 and finish in 2010, when all the 30 satellites and the complete ground segment must be operational.