What changed

PR_NLE-AP_Agreement

P9_TA(2024)0063

Symbols for procedures

Conclusion of the Sustainable Investment Facilitation Agreement between the European Union and the Republic of Angola

* Consultation procedure

Committee on International Trade

*** Consent procedure

PE753.503

***I Ordinary legislative procedure (first reading)

European Parliament legislative resolution of 7 February 2024 on the draft Council decision on the conclusion, on behalf of the Union, of the Sustainable Investment Facilitation Agreement between the European Union and the Republic of Angola (10942/2023 – C9-0459/2023 – 2023/0181(NLE))

***II Ordinary legislative procedure (second reading)

***III Ordinary legislative procedure (third reading)

(The type of procedure depends on the legal basis proposed by the draft act.)

DRAFT EUROPEAN PARLIAMENT LEGISLATIVE RESOLUTION

on the draft Council decision on the conclusion, on behalf of the Union, of the Sustainable Investment Facilitation Agreement between the European Union and the Republic of Angola

(10942/2023 – C90459/2023 – 2023/0181(NLE))

(Consent)

2. Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the Republic of Angola.

EXPLANATORY STATEMENT

On 23 March 2021, the Commission adopted a recommendation for a Council Decision authorising the opening of negotiations with Angola on an agreement on investment facilitation. This followed a joint statement issued by Executive Vice-President of the European Commission, Mr. Valdis Dombrovskis and Minister of Trade and Industry of Angola, Mr. Victor Fernandes, on 8 September 2020 confirming “their intention to start exploratory discussions on an EU-Angola investment agreement, on top of the EPA, focusing on investment facilitation.” On 26 May 2021, the Council of the European Union authorised the opening of negotiations and adopted negotiating directives.

On 22 June 2021, the EU and Angola launched negotiations on a Sustainable Investment Facilitation Agreement (“the Agreement”). The negotiations were concluded after four rounds of negotiations on 18 November 2022.

The overall objective of the Agreement is to provide for legal certainty, improve the investment climate and facilitate the mobilisation and retention of investment between the EU and Angola on the basis of modern and simplified rules and procedures relating to foreign direct investment, benefiting both foreign and domestic companies. It promotes sustainable development, economic growth and job creation and strengthens the bilateral investment relationship. This Agreement is the first agreement on investment facilitation that the EU has negotiated.

The Agreement has four substantive chapters (II. Transparency and predictability; III: Streamlining of authorisation procedures; IV. Focal points and involvement of stakeholders; V. Investment and sustainable development). Chapter VI “Dispute avoidance and settlement”, which is based on cooperation between the Parties and seeking a mutually-agreed solution, includes furthermore the possibility of State-to-State arbitration as a last resort, in addition to mediation rules.

The Agreement also integrates a sustainable development dimension in the investment relationship, including commitments not to weaken labour or environmental laws and standards for the sake of attracting investment. It includes commitments to effectively implement international labour and environmental agreements, including the Paris Agreement. The Agreement requires the Parties to promote responsible business practices by investors and strengthens bilateral cooperation on investment-related aspects of climate change policies and gender equality policies.

In accordance with Article 218(6) TFEU, the consent of the European Parliament is required in order for the Council to adopt a decision on the conclusion of the Agreement.

In the light of the above, the Rapporteur recommends the Parliament to give its consent to the conclusion of the Agreement.

MINORITY POSITION

Pursuant to Rule 55(4) of the Rules of Procedure

Saskia Bricmont (Verts/ALE)

Angola can certainly benefit from foreign direct investments provided that it is supported by the appropriate regulatory framework. Yet, the Sustainable Investment Facilitation Agreement (SIFA) carries a misleading name. No provision is such that it aims at fostering sustainable investment. It contains no definition of sustainable investment and does not foresee that labour or environmental authorities will take part in the governance. Although the text includes declaratory commitments to sustainable development, it lacks binding provisions in case of non-compliance. While there is an Article on the linkages with the host economy, investors are not required to demonstrate that their projects will contribute to the sustainable development of the country or to its economic diversification, In this regard, economic diversification is not to be monitored. The SIFA should be explicitly tied to the Multiannual Indicative Programme of Angola so as to support the various objectives set out in this document and agreed with Angola’s authorities and stakeholders and with European partners (Member States, EIB...) in conformity with the policy coherence for development.

Since the SIFA is slated to be a blueprint for future similar agreements, it should be improved accordingly so as to genuinely contribute to economic diversification and sustainable development.

ANNEX: ENTITIES OR PERSONS FROM WHOM THE RAPPORTEUR HAS RECEIVED INPUT

Pursuant to Article 8 of Annex I to the Rules of Procedure, the rapporteur declares that he has received input from the following entities or persons in the preparation of the report, until the adoption thereof in committee:

Entity and/or person

Investment and Intellectual Property Unit, DG Trade, European Commission

The list above is drawn up under the exclusive responsibility of the rapporteur.

PROCEDURE – COMMITTEE RESPONSIBLE

Title

Conclusion of the Sustainable Investment Facilitation Agreement between the European Union and the Republic of Angola

References

10942/2023 – C9-0459/2023 – 2023/0181(NLE)

Date of consultation or request for consent

22.11.2023

Committee responsible

Date announced in plenary

INTA

14.12.2023

Committees asked for opinions

Date announced in plenary

AFET

14.12.2023

DEVE

14.12.2023

EMPL

14.12.2023

ENVI

14.12.2023

FEMM

14.12.2023

Not delivering opinions

Date of decision

AFET

18.7.2023

DEVE

23.10.2023

EMPL

29.6.2023

ENVI

17.7.2023

FEMM

13.7.2023

Rapporteurs

Date appointed

Joachim Schuster

27.6.2023

Discussed in committee

28.11.2023

Date adopted

24.1.2024

Result of final vote

+:

–:

0:

32

2

5

Members present for the final vote

Barry Andrews, Anna-Michelle Asimakopoulou, Tiziana Beghin, Saskia Bricmont, Jordi Cañas, Daniel Caspary, Markéta Gregorová, Roman Haider, Heidi Hautala, Karin Karlsbro, Miapetra Kumpula-Natri, Danilo Oscar Lancini, Bernd Lange, Margarida Marques, Gabriel Mato, Sara Matthieu, Emmanuel Maurel, Carles Puigdemont i Casamajó, Samira Rafaela, Inma Rodríguez-Piñero, Ernő Schaller-Baross, Helmut Scholz, Joachim Schuster, Sven Simon, Dominik Tarczyński, Kathleen Van Brempt, Marie-Pierre Vedrenne, Jörgen Warborn, Jan Zahradil, Juan Ignacio Zoido Álvarez

Substitutes present for the final vote

Michiel Hoogeveen, Włodzimierz Karpiński, Liudas Mažylis

Substitutes under Rule 209(7) present for the final vote

Hildegard Bentele, Izaskun Bilbao Barandica, Paolo Borchia, Antonio Maria Rinaldi, Domènec Ruiz Devesa, Lucia Vuolo

Date tabled

26.1.2024

FINAL VOTE BY ROLL CALL IN COMMITTEE RESPONSIBLE

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