CHAPTER IGENERAL PROVISIONS

Article 1Subject matter1.A multiannual action programme "Customs 2020" ("the Programme") is hereby established to support the functioning of the customs union.2.The Programme shall cover the period from 1 January 2014 to 31 December 2020.

Article 2DefinitionsFor the purpose of this Regulation, the following definitions shall apply:(1)"customs authorities" means the authorities responsible for applying rules on customs;(2)"external experts" means:(a)representatives of governmental authorities, including those from countries not participating in the Programme, pursuant to Article 3(2);(b)economic operators and organisations representing economic operators;(c)representatives of international and other relevant organisations.

Article 3Participation in the Programme1.Participating countries shall be the Member States and the countries referred to in paragraph 2, provided that the conditions set out in that paragraph are met.2.The Programme shall be open to participation by any of the following countries:(a)acceding countries, candidate countries and potential candidates benefiting from a pre-accession strategy, in accordance with the general principles and general terms and conditions for the participation of those countries in Union programmes established in the respective framework agreements, Association Council decisions or similar agreements;(b)partner countries of the European Neighbourhood Policy provided that those countries have reached a sufficient level of approximation of the relevant legislation and administrative methods to those of the Union.The partner countries referred to in point (b) of the first subparagraph shall participate in the Programme in accordance with provisions to be determined with those countries following the establishment of framework agreements concerning their participation in Union programmes.

Article 4Contribution to the activities under the ProgrammeExternal experts may be invited to contribute to selected activities organised under the Programme wherever this is essential for the achievement of the objectives referred to in Articles 5 and 6. The external experts shall be selected by the Commission together with the participating countries, on the basis of their skills, experience and knowledge relevant to the specific activities.

Article 5General objective and specific objectives1.The general objective of the Programme shall be to support the functioning and modernisation of the customs union in order to strengthen the internal market by means of cooperation between participating countries, their customs authorities and their officials. The general objective shall be pursued through the achievement of specific objectives.2.The specific objectives shall be to support customs authorities in protecting the financial and economic interests of the Union and of the Member States, including the fight against fraud and the protection of intellectual property rights, to increase safety and security, to protect citizens and the environment, to improve the administrative capacity of the customs authorities and to strengthen the competitiveness of European businesses.The specific objectives shall be achieved, in particular by:(a)computerisation;(b)ensuring modern and harmonised approaches to customs procedures and controls;(c)facilitating legitimate trade;(d)reducing compliance costs and administrative burden; and(e)enhancing the functioning of the customs authorities.3.The achievement of the specific objectives shall be measured on the basis of the indicators listed in Annex I. Where necessary, those indicators may be revised during the course of the Programme.The Commission shall be empowered to adopt delegated acts in accordance with Article 15 amending the list of indicators laid down in Annex I.

Article 6Operational objectivesThe operational objectives of the Programme shall be the following:(a)to support the preparation, coherent application and effective implementation of Union law and policy in the field of customs;(b)to develop, improve, operate and support the European Information Systems for customs;(c)to identify, develop, share and apply best working practices and administrative procedures, in particular further to benchmarking activities;(d)to reinforce the skills and competences of customs officials;(e)to improve cooperation between customs authorities and international organisations, third countries, other governmental authorities, including Union and national market surveillance authorities, as well as economic operators and organisations representing economic operators.

CHAPTER IIELIGIBLE ACTIONS

Article 7Eligible actionsThe Programme shall provide, under the conditions set out in the annual work programme referred to in Article 14, financial support for the following types of action:(a)joint actions:(i)seminars and workshops;(ii)project groups, generally composed of a limited number of countries, operational during a limited period of time to pursue a predefined objective with a precisely defined outcome, including coordination or benchmarking;(iii)working visits organised by the participating countries or another country to enable officials to acquire or increase their expertise or knowledge in customs matters; for working visits organised within third countries only travel and subsistence (accommodation and daily allowance) costs are eligible under the Programme;(iv)monitoring activities carried out by joint teams made up of Commission officials and officials of the participating countries to analyse customs practices, identify any difficulties in implementing rules and, where appropriate, make suggestions for the adaptation of Union rules and working methods;(v)expert teams, namely structured forms of cooperation, with a non-permanent or permanent character, pooling expertise to perform tasks in specific domains or carry out operational activities, possibly with the support of online collaboration services, administrative assistance and infrastructure and equipment facilities;(vi)customs administration capacity building and supporting actions;(vii)studies;(viii)jointly developed communication actions;(ix)any other activity in support of the general, specific and operational objectives set out in Articles 5 and 6;(b)IT capacity building: development, maintenance, operation and quality control of Union components of the European Information Systems set out in Section A of Annex II and new European Information Systems established under Union law;(c)human competency building: common training actions to support the necessary professional skills and knowledge relating to customs.

Article 8Specific implementation provisions for joint actions1.Participation in joint actions referred to in point (a) of Article 7 shall be on a voluntary basis.2.Participating countries shall ensure that officials with an adequate profile and qualifications are nominated to participate in the joint actions.3.Participating countries shall, when appropriate, take the measures necessary for the implementation of the joint actions, in particular by raising awareness on those actions and by ensuring that an optimal use is made of the outputs generated.

Article 9Specific implementation provisions for IT capacity building1.The Commission and the participating countries shall ensure that the European Information Systems referred to in Section A of Annex II are developed, operated and appropriately maintained.2.The Commission shall coordinate, in cooperation with the participating countries, those aspects of the establishment and functioning of the Union components, listed in Section B of Annex II, and non-Union components, described in Section C of Annex II, of the European Information Systems referred to in Section A of Annex II which are necessary to ensure their operability, interconnectivity and continuous improvement.3.The Union shall bear the cost of acquisition, development, installation, maintenance and day-to-day operation of the Union components. The cost of acquisition, development, installation, maintenance and day-to-day operation of the non-Union components shall be borne by the participating countries.

Article 10Specific implementation provisions for human competency building1.Participation in the common training actions referred to in point (c) of Article 7 shall be on a voluntary basis.2.Participating countries shall, where appropriate, integrate jointly developed training content, including e-learning modules, training programmes and commonly agreed training standards into their national training programmes.3.Participating countries shall ensure that their officials receive the initial and continuing training necessary to acquire common professional skills and knowledge in accordance with the training programmes.4.Participating countries shall provide the linguistic training necessary for officials to ascertain a sufficient level of linguistic competence for participation in the Programme.

CHAPTER IIIFINANCIAL FRAMEWORK

Article 11Financial framework1.The financial envelope for the implementation of the Programme for the period 2014-2020 is set at EUR 522943000 in current prices.The annual appropriations shall be authorised by the European Parliament and the Council within the limits of the multiannual financial framework.2.Within the financial envelope for the Programme, indicative amounts shall be allocated to eligible actions listed in Article 7, within the percentages set out in Annex III for each type of action. The Commission may depart from the indicative allocation of funds set out in that Annex, but may not increase the allocated share of the financial envelope by more than 10 % for each type of action.Should it prove necessary to exceed that limit, the Commission shall be empowered to adopt delegated acts in accordance with Article 15 modifying the indicative allocation of funds set out in that Annex III.

Article 12Types of intervention1.The Commission shall implement the Programme in accordance with Regulation (EU, Euratom) No 966/2012.2.Union financial support for eligible actions provided for in Article 7 shall take the form of:(a)grants;(b)public procurement contracts;(c)reimbursement of costs incurred by the external experts referred to in Article 4.3.The co-financing rate for grants shall be up to 100 % of the eligible costs in the case of daily allowances, travel and accommodation costs and costs linked to the organisation of events.The applicable co-financing rate where actions require the awarding of grants shall be set out in the annual work programmes.4.The financial allocation for the Programme may also cover:(a)expenses pertaining to preparatory, monitoring, control, audit and evaluation activities which are required for the management of the Programme and the achievement of its objectives, in particular, studies, meetings of experts, information and communication actions, including corporate communication of the political priorities of the Union insofar as they are related to the objectives of this Programme;(b)expenses linked to IT networks focusing on information processing and exchange; and(c)all other technical and administrative assistance expenses incurred by the Commission for the management of the Programme.

Article 13Protection of the financial interests of the Union1.The Commission shall take appropriate measures ensuring that, where actions financed under this Regulation are implemented, the financial interests of the Union are protected by the application of preventive measures against fraud, corruption and any other illegal activities by effective checks and, if irregularities are detected, by the recovery of the amounts unduly paid and, where appropriate, by effective, proportionate and dissuasive administrative and financial penalties.2.The Commission or its representatives and the Court of Auditors shall have the power of audit, on the basis of documents and on the spot, over all grant beneficiaries, contractors and subcontractors who have received Union funds under this Regulation.3.The European Anti-fraud Office (OLAF) may carry out investigations, including on-the-spot checks and inspections, in accordance with the provisions and procedures laid down in Regulation (EU, Euratom) No 883/2013 of the European Parliament and of the CouncilRegulation (EU, Euratom) No 883/2013 of the European Parliament and of the Council of 11 September 2013 concerning investigations conducted by the European Anti-Fraud Office (OLAF) and repealing Regulation (EC) No 1073/1999 of the European Parliament and of the Council and Council Regulation (Euratom) No 1074/1999 (OJ L 248, 18.9.2013, p. 1). and Council Regulation (Euratom, EC) No 2185/96Council Regulation (Euratom, EC) No 2185/96 of 11 November 1996 concerning on-the-spot checks and inspections carried out by the Commission in order to protect the European Communities' financial interests against fraud and other irregularities (OJ L 292, 15.11.1996, p. 2). with a view to establishing whether there has been fraud, corruption or any other illegal activity affecting the financial interests of the Union in connection with a grant agreement or grant decision or a contract funded under this Regulation.

CHAPTER IVIMPLEMENTING POWERS

Article 14Work programme1.In order to implement the Programme, the Commission shall adopt annual work programmes by means of implementing acts. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 16(2).Each annual work programme shall implement the objectives of the Programme by determining the following:(a)the actions in accordance with the general, specific and operational objectives as set out in Articles 5 and 6, the method of implementation including, where appropriate, the modalities for the establishment of expert teams referred to in point (v) of point (a) of Article 7 and the expected results;(b)a breakdown of the budget per type of action;(c)the co-financing rate for grants referred to in Article 12(3).2.In preparing the annual work programme, the Commission shall take into account the common approach regarding the customs policy. That approach shall be regularly reviewed and established in a partnership between the Commission and the Member States in the Customs Policy Group, composed of the heads of customs administrations from the Member States or their representatives and the representatives of the Commission.The Commission shall keep the Customs Policy Group regularly informed of measures relating to the implementation of the Programme.

Article 15Exercise of the delegation1.The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article.2.The power to adopt delegated acts referred to in the second subparagraph of Article 5(3) and in the second subparagraph of Article 11(2) shall be conferred on the Commission for a period commencing on 1 January 2014 and ending on 31 December 2020.3.The delegation of power referred to in the second subparagraph of Article 5(3) and in the second subparagraph of Article 11(2) may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect on the day following publication in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.4.As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.5.A delegated act adopted pursuant to the second subparagraph of Article 5(3) and the second subparagraph of Article 11(2) shall enter into force only if no objection has been expressed either by the European Parliament or by the Council within a period of two months of the notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or of the Council.

Article 16Committee procedure1.The Commission shall be assisted by a committee. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011.2.Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.

CHAPTER VMONITORING AND EVALUATION

Article 17Monitoring of actions under the Programme1.The Commission shall, in cooperation with the participating countries, monitor the implementation of the Programme and actions under it on the basis of the indicators referred to in Annex I.2.The Commission shall make public the outcome of the monitoring.3.The outcome of the monitoring shall be used for the evaluation of the Programme in accordance with Article 18.

Article 18Evaluation1.The Commission shall submit to the European Parliament and to the Council a mid–term and a final evaluation report of the Programme regarding the matters referred to in paragraphs 2 and 3. The results of those evaluations, including the identification of major shortcomings, shall be integrated into decisions on the possible renewal, modification or suspension of the Programme for subsequent periods. Those evaluations shall be carried out by an independent external evaluator.2.The Commission shall, by 30 June 2018, draw up a mid-term evaluation report on the achievement of the objectives of the actions under the Programme, the efficiency of the use of resources and the added value of the Programme at the European level. That report shall, additionally, address the simplification and the continued relevance of the objectives, as well as the contribution of the Programme to the Union priorities of smart, sustainable and inclusive growth.3.The Commission shall, by 31 December 2021, draw up a final evaluation report on the matters referred to in paragraph 2, and on the long–term impact and the sustainability of the effects of the Programme.4.Upon request from the Commission, the participating countries shall provide it with all data and information relevant for the purpose of contributing to its mid–term and final evaluation reports.

CHAPTER VIFINAL PROVISIONS

Article 19RepealDecision No 624/2007/EC is repealed with effect from 1 January 2014.However, financial obligations related to actions pursued under that Decision shall continue to be governed by it until their completion.

Article 20Entry into forceThis Regulation shall enter into force on the third day following that of its publication in the Official Journal of the European Union.It shall apply from 1 January 2014.

This Regulation shall be binding in its entirety and directly applicable in all Member States.Done at Strasbourg, 11 December 2013.For the European ParliamentThe PresidentM. SchulzFor the CouncilThe PresidentV. LeškevičiusANNEX IIndicatorsThe achievement of the specific objectives referred to in Article 5(2) shall be measured on the basis of the following indicators:(a)the feedback from participants in actions under the Programme and users of the Programme index which will measure the perception of Programme stakeholders regarding the impact of the actions under the Programme inter alia in terms of:(i)networking impact of the actions under the Programme;(ii)cooperation impact of actions under the Programme;(b)the number of guidelines and recommendations issued following activities under the Programme relating to modern and harmonised approaches to customs procedures;(c)the Common Communication Network for the European Information Systems Indicator, which will measure the availability of the common network which is indispensable for the running of the customs-related European Information Systems. The network should be available 98 % of the time;(d)the Union Law and Policy Application and Implementation Index, which will measure the progress in the preparation, application and implementation of Union law and policy in the field of customs inter alia on the basis of:(i)the number of actions under the Programme organised in this area, in particular relating to the protection of intellectual property rights, the issues of safety and security, the fight against fraud and the security in the supply chain;(ii)the number of recommendations issued following those actions;(e)the European Information System Availability Indicator, which will measure the availability of the Union components of IT customs applications. These should be available 97 % of the time during business hours and 95 % of the time otherwise;(f)the Best Practices and Guideline Index, which will measure the evolution in the identification, development, sharing and application of best working practices and administrative procedures inter alia on the basis of:(i)the number of actions under the Programme organised in this area;(ii)the number of guidelines and best practices shared;(g)the Learning Index, which will measure the progress resulting from actions under the Programme aiming to reinforce skills and competences of customs officials, inter alia on the basis of:(i)the number of officials trained by using common training material of the Union;(ii)the number of times Programme eLearning modules were downloaded;(h)the Cooperation with third parties Indicator, which will establish how the Programme supports authorities other than Member States' customs authorities by measuring the number of actions under the Programme supporting that objective.ANNEX IIEuropean Information Systems and their Union and non-Union componentsA.The European Information Systems are the following:(1)the common communications network/common systems interface (CCN/CSI – CCN2), CCN mail3, the CSI bridge, the http bridge, CCN LDAP and related tools, CCN web portal, CCN monitoring;(2)supporting systems, in particular the application configuration tool for CCN, the activity reporting tool (ART2), Taxud electronic management of project online (TEMPO), service management tool (SMT), the user management system (UM), the BPM system, the availability dashboard and AvDB, IT service management portal, directory and user access management;(3)Programmes information and communication space (PICS);(4)the customs movement systems, in particular the (New) Computerised Transit System ((N)CTS), NCTS TIR for Russia, the Export Control System (ECS) and the Import Control system (ICS). The following applications/components are supporting these systems: the system to exchange data with third countries (SPEED bridge), the SPEED Edifact Converter Node (SPEED-ECN), the Standard SPEED Test Application (SSTA), the Standard Transit Test Application (STTA), the Transit Test Application (TTA), the Central Services/Reference Data (CSRD2) and the Central Services/Management Information System (CS/MIS);(5)the Community Risk Management System (CRMS) covering the Risk Information Forms (RIF) and the Common Profiles CPCA functional domains;(6)the Economic Operators System (EOS) covering the Economic Operator Registration and Identification (EORI), the Authorised Economic Operators (AEO), the Regular Shipping Services (RSS) and the mutual recognition with partner countries functional domains. The Generic Web Service is a support component for this system;(7)the tariff system (TARIC3) which is a reference data system for other applications such as the quota management system (QUOTA2), the surveillance management and monitoring system (SURV2), the European Binding Tariff Information system (EBTI3) the European Customs Inventory of Chemical Substances (ECICS2). The Combined Nomenclature (CN) and the suspensions (Suspensions) applications are managing legal information with a direct link to the tariff system;(8)the applications for control purposes, in particular the Specimen Management System (SMS) and the Information System for Processing Procedures (ISPP);(9)the anti-COunterfeit and anti-PIracy System (COPIS);(10)the Data Dissemination System (DDS2) managing all information which is accessible to the public via the Internet;(11)the Anti-Fraud Information System (AFIS); and(12)any other systems included in the multiannual strategic plan provided for in Article 8(2) of Decision No 70/2008/EC of the European Parliament and of the CouncilDecision No 70/2008/EC of the European Parliament and of the Council of 15 January 2008 on a paperless environment for customs and trade (OJ L 23, 26.1.2008, p. 21)., and the successors of that plan.B.The Union components of the European Information Systems are:(1)IT assets such as the hardware, the software and the network connections of the systems, including the associated data infrastructure;(2)IT services necessary to support the development, the maintenance, the improvement and the operation of the systems; and(3)any other elements which, for reasons of efficiency, security and rationalisation, are identified by the Commission as common to participating countries.C.The non-Union components of the European Information Systems are all those components which are not identified as Union components in Section B.ANNEX IIIIndicative allocation of fundsThe indicative allocation of funds to eligible actions listed in Article 7 is the following:

Types of action	Share of the financial envelope(in %)
Joint actions	maximum 20 %
IT capacity building	at least 75 %
Human competency building	maximum 5 %

Amendments and corrections
December 31, 2020	Repealed by 32021R0444
January 1, 2014	Application - See Art 20
December 23, 2013	Entry into force - Date pub. +3 See Art 20

Regulation (EU) No 1294/2013 of the European Parliament and of the Council of 11 December 2013 establishing an action programme for customs in the European Union for the period 2014-2020 (Customs 2020) and repealing Decision No 624/2007/EC