Transcript Sales of ODS to seaborne vessels under a foreign flag

European Union reporting of
imports and exports under the
Montreal Protocol
European Commission
Directorate General Climate Action
2011
1. Introduction
Content
1.
2.
3.
4.
5.
6.
Introduction
Reporting requirements
Definitions
Customs procedures
Stores
Conclusion
2. Reporting requirements
2.1 EU legislation (1)
• Each importer and exporter must report*:
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Annually before 31 March
All imports and export of controlled and new
substances under any customs procedure
Quantities and uses
Stocks
Purchases and sales
• No specific rules for maritime sector
* Under Article 26 of Regulation (EC) No 1005/2009
2. Reporting requirements
2.2 EU legislation (2)
• Other direct reporting obligations to EU
Production
 Destruction
 Process agent and feedstock uses
 Laboratory uses
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• Indirect reporting obligations via Member States
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QPS
• Phased out in March 2010
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Critical uses of non virgin Halons
• Phase out started
2. Reporting requirements
2.3 Montreal Protocol (1)
• Article 7(3) of the Montreal Protocol
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Annual report on imports and exports
• Decision IV/14*: Transhipments
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As opposed to imports and re-exports:
Country of origin to report export
Country of final destination to report import
* and as reminded by Decision IX/34
2. Reporting requirements
2.3 Montreal Protocol (2)
• Decision IV/14*: Imports and re-exports
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Two separate transactions:
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Country of origin to report export to country of
intermediate destination (CID)
CID to report import from country of origin
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CID to report export to country of final destination
Country of final destination to report import from CID
* and as reminded by Decision IX/34
3. Definitions
3.1 Import and export
• Montreal Protocol
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No definition of import or export
• World Customs Organisation*:
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The act of bringing or causing any good to be
brought into / taken out from a Customs territory
• European Union (ODS Regulation)**:
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The entry /exit of substances, products and
equipment covered by this Regulation into / from the
customs territory of the Community […]
* Glossary of international customs terms, World Customs Organisation, Brussels, 2006 (D2006/0448/20)
** Regulation (EC) No 1005/2009 on ozone depleting substances. Simplified extract.
3. Definitions
3.2 Customs territory
• Montreal Protocol
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No specific definition
All areas covered by the ratification
• Customs territory:
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Defined by national legislation
Usually the whole territory of a nation (land and sea)
Customs territory ≠ customs union
EU: customs territory  separate presentation
4. Customs procedures
4.1 Kyoto Convention
• Revised Kyoto Convention
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International convention on the
simplification and harmonisation
of customs procedures
Initial convention of 1974
Revised 1999, entry into force
2006
4. Customs procedures
4.2 Overview
• Import / Export
Permanent imports / exports
 Temporary imports / exports
 To be reported
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• Transit
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Transhipment
Customs transit
Not to be reported
4. Customs procedures
4.3 Permanent import / export
• Clearance for home use
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aka “release for free circulation”
• Re-importation in the same state
• Outright exportation
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aka “permanent export”
4. Customs procedures
4.3 Temporary import / export
• Customs warehouses and free zones
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Free zones are geographically defined
Customs warehouses can be anywhere
• Inward / outward processing
• Processing of goods for home use
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aka “processing under customs control”
• Temporary admission
4. Customs procedures
4.3 Special procedures
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Travellers
Postal traffic
Means of transport for commercial use
Containers
Relief consignments (“humanitarian aid”)
Stores
5. Stores
5.1 Definition
• Stores for consumption:
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[…] goods necessary for the operation and
maintenance of vessels, aircraft or trains including
fuel and lubricants but excluding spare parts and
equipment; which are either on board upon arrival or
are taken on board during the stay in the Customs
territory […]
• Other stores are not relevant in the Montreal
Protocol context
5. Stores
5.2 Reliefs - Exports
• Vessels and aircraft which depart […] shall be
entitled to take on board, exempted from duties
and taxes:
stores for consumption necessary for their
operation and maintenance, in [reasonable]
quantities having regard also to […] stores
already on board.
• No exclusion from export definition!
5. Stores
5.3 Reliefs - Import
• Exempted from import duties and taxes provided
that they stay on board
• Customs declarations upon arrival shall be kept
to the minimum
• Others
• Not excluded from import definition!
6. Conclusion
6.1 Summary
• Movement from/into customs territory is:
Import / export
 Processed under different customs procedures
 Subject to reporting under Montreal Protocol
 Except transit and certain special procedures
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• Stores
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Imports / exports benefiting from relieves
Account for consumption as imports & exports
Open questions remain
6. Conclusion
6.2 Open questions
• Customs territory vs. flag state approach
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How to handle:
• stores to be delivered to a ship of a foreign flag state but
commutes only within one customs territory?
• stores to be delivered to a ship of national flag but that will
leave the customs territory?
• Legal entity importing / exporting
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Owner? Operator? Representative?
• Consumption allocation mechanism
Thank you for your attention
• Aléxandros Kiriazis
• European Commission
DG Climate Action
1049 Brussels
Belgium
• [email protected]
• http://ec.europa.eu/clima/policies/ozone
7. Annex
7.1 Links
• WCO Glossary of international customs terms
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http://wcoomdpublications.org/glossary-ofinternational-customs-terms.html
• Revised Kyoto Convention
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http://www.wcoomd.org/home_pfoverviewboxes_tool
s_and_instruments_pfrevisedkyotoconv.htm
• Regulation (EC) No 1005/2009
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EU Regulation on ODS
http://eurlex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:3
2009R1005:EN:NOT
European Union reporting of
imports and exports under the
Montreal Protocol
European Commission
Directorate General Climate Action
2011