Brussels, 12/11/2002 (Agence Europe) - "Today we are happy to announce that we have reached agreement on the question of transit to and from Kaliningrad" European Council President Anders Fogh Rasmussen told the press on Monday at the end of the EU/Russia Summit. Enthusiasm shared by President Putin who declared himself to be "extremely satisfied" with the agreement, while recalling his final goal: introduction of a scheme without visas between the EU and Russia. The two parties also adopted an action plan on combating terrorism, a joint declaration on the Middle East (to which we shall return), as well as the third report on the EU/Russia energy dialogue. Although the Russian-Chechen conflict was avoided during the Summit, it was largely commented upon on the fringe of the meeting by Russian diplomats and MEPs (see page 8). Here are the main results of the Summit:
Kaliningrad: after months of prevarication, the EU and Russia finally managed to agree on transit between Kaliningrad and the rest of the Russian territory after Lithuania and Poland's membership of the EU (2004). Russians and Europeans found a solution guaranteeing Russia that it could maintain the flow of its citizens between the enclave and the rest of Russia, and Lithuania its sovereign right to decide who may cross its territory. Here are the provisions of the agreement:
(1) from 1 January 2003, Lithuania will put in place national controls at its borders "in a flexible manner" not to interrupt the traditional flow of train passengers transiting and that "does not violate Lithuania's sovereign right to exercise the necessary controls and refuse entry onto its territory";
(2) from 1 July 2003, all transit from Russia to Kaliningrad (or the other way round) will require a facilitating transit document (FTD). This, free of charge or at a low price, will come in two types: a) the multi-entry FTD, usable for all transit whatever type of transport, and issued by the Lithuanian consulate having made the necessary identity checks; (b) the FRTD issued for a single (return) trip only by train and issued by the Lithuanian authorities having checked the papers of the travellers, who will not have the right to stop in Lithuania. To accompany these FTDs, Lithuania shall accept the internal Russian passport until 31 December 2004, then only an international passport will be valid;
(3) the decision to undertake a feasibility study, by independent experts, on putting in place high-speed non-stop trains and requiring visas for passengers will only be taken with Lithuania's agreement, once it and the EU have reached agreement on the study's terms of reference. The Commission undertakes to set up the process after the European Council of Copenhagen so as to conduct the feasibility study as soon as possible. Furthermore, Russia takes note of the fact that the decision to bring this type of train into service will only be taken after Lithuania has joined the EU;
(4) Russia confirmed its intention of rapidly concluding a readmission agreement with Lithuania (for all nationalities) that should take effect in June 2003. In addition, at the end of this year, Russia and the EU should begin negotiations for a similar agreement.
The EU undertakes to provide Russia with technical and financial help to promote the economic development of the enclave and to improve border management, and Lithuania to put the FRTD into service. For its part, Russia agrees to extend the Lithuanian Consulate General in Kaliningrad by end-2002. Furthermore, it "welcomes" the request to open consulates in Kaliningrad of other candidate countries and EU Member states and undertakes to accelerate the issuance of international passports to its citizens.
Combating terrorism: in their joint declaration on combating terrorism, the EU and Russia condemn the hostage-taking of last October. They consider that combating terrorism demands "political, economic, diplomatic and military means", and involves co-ordination at national, regional and international levels. The two parties adopted a plan of action by which they undertake to: (1) place at the disposal of the law organisers of terrorist attacks and those responsible for hiding or supporting such people; (2) strengthen their co-operation to prevent terrorist acts, ensuring the putting in place of international anti-terrorist conventions and Security Council resolutions; (3) finalise the agreement between Europol and Russia on technical and strategic information exchange, to allow for its signing as quickly as possible and explore means of enhancing their legal co-operation by examining the possibility of co-operation agreements; (4) strengthen efforts aimed at putting an end to the financing of terrorism, notably by freezing terrorist funds; (5) strengthen co-operation with developing countries in that field.
Energy dialogue: The third synthesis report on the dialogue on energy between the EU and Russia, presented by François Lamoureux, Director General of DG Energy at the European Commission and Victor Khrishenko, Russian Vice Prime Minister, was published on Monday. The two parties welcome the recent opening of the EU/Russia Energy Technology Centre in Moscow (see EUROPE 7 November p 11) and presented the progress so far accomplished in the areas of:
Projects of common interest: the group of independent experts mandated during the last summit believe that the projects in strategic transport "have a strategic interest for the two parties and deserve to obtain the support of the Community and Russian authorities". It recommends adding other projects, and in order to finance them, the setting up of funds protecting investors and other parties. International financial institutions, public authorities and private investors would participate in these funds. The EU and Russia point to the "well-founded" recommendations of the experts, notably on the specific importance of carrying out projects such as the trans-Baltic gas pipeline.
The improvement of the legal framework governing energy production and transport: the EU and Russia have welcomed the progress accomplished with regard to the fiscal code applicable to the Production Sharing Agreement (PSA) and consider that numerous improvements will be needed in the area. They have also highlighted the need to call for other legal systems to be implemented such as joint ventures and in this framework to ensure sufficient access to energy transport networks.
Limits to EU imports of fossil fuels: on the basis of the Member States experts' report, the two parties have observed that contrary to what was previously believed there are not actually any provisions that limit EU Member States' imports of fossil fuels from Russia to 30% of the total of these kinds of imports. Russia has requested to the EU to provide it with indications that can guarantee that the Community's policy of opening up the electricity and gas markets to competition will not create limits to Russian supplies to the EU.
Legal guarantees to long-term supplies: the EU and Russia acknowledge that long-term gas supply contracts play an important role in the development of the European gas market. However, just as during the last summit, the two parties have highlighted the importance of finding a solution that is mutually acceptable for the so-called destination clauses (clauses that ban EU members from selling gas bought in Russia to other EU Member States, which the EU considers as in opposition to the single Community market.
The trade in nuclear materials: the Commission has asked the Council for a negotiation mandate for concluding a Euratom-Russia agreement in the trade of nuclear materials. Russia believes that "negotiations must aim to make the intergovernmental agreements and long-term contracts between Russia and candidate countries conform with the current EURATOM supply policy"…and, "ensure the necessary conditions for extending the general rules to trade in ordinary goods in a way that will also cover the trade in nuclear materials". The Commission is emphasising, "the need to ensure an enlarged supply for the EU that responds to demands for reliability security and safety".
The EU and Russia have also highlighted other important areas in their energy co-operation: 1) common analysis of the oil market: the two parties want to broaden their dialogue in the field of hydrocarbons and reinforce information exchange on the oil market, the volatility of which they have fiercely criticised; 2) Energy efficiency: technical work has begun with the aim of launching an important energy efficiency project in Kaliningrad (40% of energy economies could be achieved in this enclave); 3) Security of energy transport networks: a budget of EUR ten million is forecast in the framework of TACIS in order to begin rehabilitation work in the energy transport networks following an assessment exercise; 4) technical studies will be launched in order to check how material restrictions can be overcome that are linked to the inter-connection of electricity networks. If the results are favourable, the EU and Russia will tackle the issue of non-discriminatory market access methods. The Commission is highlighting the need for nuclear safety and the environment to be taken into account.
Chechnya: EU wants political solution to be found
The EU was keen to reiterate its position on the Russian-Chechen conflict. Mr Rasmussen said that, "the conflict cannot simply be seen as just a terrorist problem". He also repeated that a political solution should be found". The EU refused to say whether Mr Maskhadov (the Chechen independence leader) would participate in peace negotiations.
"It is not up to the EU to decide who is to be at the negotiating table", a Council source said. Mr Putin declared: "In 1997, we gave Chechnya its independence and we have paid for it". "I should like to stress that these radical extremists do not only target the Russian territory but also kill in Bali and in the United States", he added, to ensure he had his partners support. "Either we keep together in fighting terrorism, or we are lost", he concluded. During a press conference in the morning, his deputy advisor, Serguey Yastrjembskiy, announced that a referendum would be held on a new Chechen constitution in March or in April. Abdul-Khakim Soultygoc, representing Mr Putin for individuals' rights and freedoms in Chechnya, added "elections will be held if the referendum is held". Affirming that the hostage taking was piloted by Mr Maskhadov, Mr Yastrjembskiy went on to say "he blocked with his own hands all possibility of dialogue with us" before concluding: "the problem is the disintegration of Russia: if Chechnya falls into Maskhadov's hands it will then be the turn of the other republics of the Caucasus and then the Volga". Chris Patten, External Affairs Commissioner, reacted in a press release to the criticism addressed by the press to the Danish Presidency, that he congratulated for its way of dealing with the Chechen issue. He recalled that the EU tackled the question with the Russian authorities on several occasions and that it above all expressed its concern for the difficulties of access experienced by humanitarian organisations in Chechnya and for the safety of humanitarian personnel on the ground.
President Putin is the focus of criticism. According to Russian journalists, he verbally "aggressed" a journalist who was asking him about Chechnya during the press conference. Mr Putin reportedly said: "If you want to become a radical Islamist and be willing to have yourself circumcised, then I invite you to Moscow. This is a country of many religions. We have specialists on the question. I would recommend you undergo the operation in a way that prevents anything growing back". This translation has still to be confirmed by the Council's press service. Samuel Magid, Presidency spokesman, explained that the Russians had called for interpreters translating from Russian to English to be from the Russian delegation so that "Mr Putin would be translated properly".