(1)

The Galileo Joint Undertaking was set up by Regulation (EC) No 876/2002 (3) to complete the development phase and prepare for the following phases of the Galileo programme. As the Galileo programme currently stands, the development phase will not be completed before the end of 2008.

(2)

The European GNSS Supervisory Authority (hereinafter referred to as ‘the Authority’) was set up by Regulation (EC) No 1321/2004 (4), to manage the public interests relating to the European GNSS programmes and to act as the regulatory authority for the programmes during the deployment and operational phases of the Galileo programme.

(3)

The Authority is in a position to take over all the activities currently being carried out by the Galileo Joint Undertaking in the course of 2006 and subsequently complete them. Extending the lifetime of the Joint Undertaking beyond 2006 would therefore be pointless and not cost-effective. It is therefore appropriate to wind up the Galileo Joint Undertaking and, prior to this, transfer its activities to the Authority before the completion of the development phase.

(4)

It is also appropriate to assign explicitly to the Authority the tasks entrusted to the Galileo Joint Undertaking prior to its winding up, together with the task of attending, where appropriate and acting in accordance with a decision by the Administrative Board of the Galileo Joint Undertaking, to the proceedings involved in winding up the Joint Undertaking after 31 December 2006. It is also necessary to entrust the Authority with the task of carrying out all research of benefit to the European GNSS programmes.

(5)

However, the taking over of the management of the development phase from the Galileo Joint Undertaking is not listed as one of the Authority's tasks as laid down in Article 2 of Regulation (EC) No 1321/2004, nor does that Article mention research activities or work that the Authority may be called upon to carry out or finance during the development, deployment and operation phases of the programme.

(6)

Consequently, in order to ensure the continuity of the Galileo programme and the smooth transfer of the activities of the Galileo Joint Undertaking to the Authority, Article 2 of Regulation (EC) No 1321/2004 should be amended accordingly.

(7)

Moreover, for the sake of consistency, provision should be made for the Authority to assume ownership, of the tangible and intangible assets held by the Galileo Joint Undertaking, at the time of its winding up rather than at the end of the development phase. Provision should also be made for the Authority to assume ownership of the tangible and intangible assets created or developed, during the development phase, after the winding up of the Joint Undertaking. Furthermore, provision should be made for the modalities for the transfer.

(8)

In addition, to avoid any risk of differences of interpretation as to the scope of Regulation (EC) No 1321/2004, it is also necessary to specify that tangible and intangible assets created or developed by the concession holder during the deployment and operation phases include those created or developed by its subcontractors or by undertakings under its control or by their subcontractors. It should also be specified that the ownership of assets covers trade mark rights and all other intellectual property rights within the meaning of Article 1(1) of Commission Regulation (EC) No 772/2004 of 27 April 2004 on the application of Article 81(3) of the Treaty to categories of technology transfer agreements (5) and Article 2 of the Convention of 14 July 1967 establishing the Intellectual Property World Organisation.

(9)

Finally, due to the fundamental role played by the European Space Agency (ESA) in the conception and the development of the systems, which implies consideration and knowledge of all aspects related to security and safety of those systems, the ESA should be represented as an observer within the Administrative Board and the System Safety and Security Committee. In addition, similar provisions shall be made as regards the representation of the Secretary General/High Representative (SG/HR) in the Administrative Board.

(10)

Regulation (EC) No 1321/2004 should therefore be amended accordingly,

1.

In Article 2(1), the following points shall be added:

(*1)   OJ L 138, 28.5.2002, p. 1.’ "

2.

Article 3(1) and (2) shall be replaced by the following:

(*2)   OJ L 123, 27.4.2004, p. 11.’ "

3.

Article 3(3) shall be renumbered as Article 3(7).

4.

In Article 5(2) the following subparagraph shall be added:

‘A representative of the SG/HR and a representative of the ESA shall attend the Board meetings as observers.’.

5.

Article 10(1) shall be replaced by the following: