AGREEMENT

to establish a science and technology centre in Ukraine

CANADA, SWEDEN, UKRAINE, AND THE UNITED STATES OF AMERICA,

REAFFIRMING the need to prevent the proliferation of technologies and expertise related to weapons of mass destruction — nuclear, chemical, and biological weapons;

TAKING NOTE OF the present critical period in the States of the former Soviet Union, a period that includes the transition to a market economy, the developing process of disarmament, and the conversion of industrial-technical potential from military to peaceful endeavours;

RECOGNISING, in this context, the need to create an international science and technology centre in Ukraine that would minimise incentives to engage in activities that could result in such proliferation, by supporting and assisting the activities for peaceful purposes of weapons scientists and engineers in Ukraine and, if interested, in other States of the former Soviet Union;

RESPONDING TO the need to contribute, through the Centre's projects and activities, to the transition of the States of the former Soviet Union to market-based economies and to support research and development for peaceful purposes;

DESIRING THAT the Centre projects provide impetus and support to participating scientists and engineers in developing long-term career opportunities, which will strengthen the scientific research and development capacity of Ukraine, and

REALISING THAT the success of the Centre will require strong support from governments, foundations, academic and scientific institutions, and other intergovernmental and non-governmental entities,

HAVE AGREED AS FOLLOWS:

Article I

The Science and Technology Centre in Ukraine (hereinafter referred to as ‘the Centre’) is hereby established as an intergovernmental organisation. Each party shall facilitate, in its territory, the activities of the Centre. In order to achieve its objectives, the Centre shall have, in accordance with the laws and regulations of the parties, the legal capacity to contract, to acquire and dispose of immovable and movable property, and to institute and respond to legal proceedings.

Article II

The Centre shall develop, approve, finance, and monitor science and technology projects for peaceful purposes, which are to be carried out primarily at institutions and facilities located in Ukraine and, if interested, in other States of the former Soviet Union.

The objectives of the Centre shall be:

(i) to give weapons scientists and engineers, particularly those who possess knowledge and skills related to weapons of mass destruction or missile delivery systems, in Ukraine and, if interested, in other States of the former Soviet Union, opportunities to redirect their talents to peaceful activities, and

(ii) to contribute thereby through its projects and activities: to the solution of national or international technical problems, and to the wider goals of reinforcing the transition to market-based economies responsive to civil needs, of supporting basic and applied research and technology development,

inter alia,

in the fields of environmental protection, energy production, and nuclear safety, and the remediation of the consequences of nuclear power reactor accidents, and of promoting the further integration of scientists of Ukraine and the former Soviet Union into the international scientific community.

Article III

In order to achieve its objectives, the Centre is authorised:

(i) to promote and support, by use of funds or otherwise, science and technology projects in accordance with Article II of this Agreement;

(ii) to monitor and audit Centre projects in accordance with Article VIII of this Agreement;

(iii) to disseminate information, as appropriate, to promote its projects, encourage proposals, and broaden international participation;

(iv) to establish appropriate forms of cooperation with governments, intergovernmental organisations, nongovernmental organisations (which shall, for the purposes of this Agreement, include the private sector), and programmes;

(v) to receive funds or donations from governments, intergovernmental organisations, and non-governmental organisations;

(vi) to establish branch offices as appropriate, and

(vii) to engage in other activities as may be agreed on by the Parties.

Article IV

The Centre shall have a governing board and a secretariat, consisting of an executive director, deputy executive directors, and such other staff as may be necessary, in accordance with the Statute of the Centre.

The Governing Board shall be responsible for:

(i) determining the Centre's policy and its own rules of procedure;

(ii) providing overall guidance and direction to the secretariat;

(iii) approving the Centre's operating budget;

(iv) governing the financial and other affairs of the Centre, including approving procedures for the preparation of the Centre's budget, drawing up of accounts, and auditing thereof;

(v) formulating general criteria and priorities for the approval of projects;

(vi) approving projects in accordance with Article VI;

(vii) adopting the Statute and other implementing arrangements as necessary, and

(viii)

other functions assigned to it by this Agreement or necessary for the implementation of this Agreement.

Decisions of the Governing Board shall be by consensus of all parties on the Board, subject to conditions and terms determined pursuant to Article V, except as provided otherwise in this Agreement.

Each of the signatory parties shall be represented by a single vote on the Governing Board. Each shall appoint one representative to the Governing Board within 7 days after entry into force of this Agreement.

The Governing Board shall adopt a statute in implementation of this Agreement. The Statute shall establish:

(i) the structure of the secretariat;

(ii) the process for selecting, developing, approving, financing, carrying out, and monitoring projects;

(iii) the process by which the executive director shall obtain scientific and other necessary profesional advice with regard to proposed projects directly from international experts;

(iv) procedures for the preparation of the Centre's budget, drawing up of accounts, and auditing thereof;

(v) appropriate guidelines on intellectual property rights resulting from Centre projects and on the dissemination of project results;

(vi) procedures governing the participation of governments, intergovernmental organisations, and nongovernmental organisations in Centre projects;

(vii) provision for allocating the Centre's property on termination of this Agreement or withdrawal of a party;

(viii)

personnel policies, and

(ix) other arrangements necessary for the implementation of this Agreement.

Article V

The Governing Board shall have the discretion and exclusive power to expand its membership to include representatives appointed by parties that accede to this Agreement, on such conditions and terms as the Board may determine. Parties not represented on the Governing Board and intergovernmental and non-governmental organisations may be invited to participate in Board deliberations, in a non-voting capacity.

Article VI

Each project submitted for approval by the Governing Board shall be accompanied by the written concurrence of the State(s) in which the work is to be carried out. In addition to the prior concurrence of those State(s), the approval of projects shall require the consensus of parties on the Governing Board other than any State eligible for projects under Article II(A). (Such consensus shall be subject to the conditions and terms determined pursuant to Article V).

Article VII

Projects approved by the Governing Board may be financed or supported by the Centre, or by governments, intergovernmental organisations, or non-governmental organisations, directly or through the Centre. Such financing and support of approved projects shall be provided on terms and conditions specified by those providing it, which shall be consistent with this Agreement.

Representatives of the parties on the Board and personnel of the Centre secretariat shall be ineligible for project grants and may not directly benefit from any project grant.

Article VIII

The Centre shall have the right, within Ukraine or other States of the former Soviet Union that accede to this Agreement:

(i) to examine on-site centre project activities, materials, supplies, use of funds, and project-related services and use of funds, on its notification or, in addition, as specified in a project agreement, and

(ii) to inspect or audit, on request, any information, including records or documents, in connection with Centre project activities and use of funds, wherever such records or documentation are located, during the period in which the Centre provides the financing, and for a period thereafter as determined in the project agreement.

The written concurrence required in Article VI shall include the agreement, of both the State of the former Soviet Union in which the work is to be carried out and the recipient institution, to provide the Centre with access necessary for auditing and monitoring the project, as required by this paragraph.

Any party represented on the Governing Board shall also have the rights described in paragraph (A), coordinated through the Centre, with regard to projects it finances in whole or in part, either directly or through the Centre.

If it is determined that the terms and conditions of a project have not been respected, the Centre or a financing government or organisation may, having informed, the Board of its reasons, terminate the project and take appropriate steps in accordance with the terms of the project agreement.

Article IX

The headquarters of the Centre shall be located in Ukraine.

By way of providing material support to the Centre, the Government of Ukraine shall provide at is own expense a facility suitable for use by the Centre, along with maintenance, utilities, and securitiy for the facility.

In Ukraine, the Centre shall have the status of a legal person and, in that capacity, shall be entitled to contract, to acquire and dispose of immovable and movable property, and to institute and respond to legal proceedings.

Article X

The Government of Ukraine shall ensure that:

(i)

(a) funds and property of the Centre or any branch thereof, including any interest arising from keeping funds in banks in Ukraine, are exempt from taxation or other charges imposed by the Government of Ukraine and any subdivision thereof;

(b) commodities, supplies, and other property provided or utilised in connection with the Centre and its projects and activities may be imported into, exported from, or used in Ukraine free from any tariffs, dues, customs duties, import taxes, and other similar taxes or charges imposed by Ukraine. In order to receive exemptions under this paragraph, commodities, supplies, and other property must either be specified in a project agreement or be certified by the executive director as items to be used by the Centre or in a Centre project. The procedures for such certifications shall be described in the Statute;

(c) funds received by natural and legal persons, including Ukrainian scientific organisations or scientists and specialists, in connection with the Centre's projects and activities, shall not be subject to taxation or other charges by the Government of Ukraine or any subdivision thereof;

(ii)

(a) the Centre, governments, intergovernmental organisations, and non-governmental organisations shall have the right to move funds related to the Centre and its projects or activities, other than the local currency in Ukraine, into or out of Ukraine without restriction, each in amounts not to exceed the total amount is moved into Ukraine;

(b) to finance the Centre and its projects and activities, the Centre shall be entitled, for itself and on behalf of the entities referred to in point (a), to sell foreign currency in Ukraine.

Article XI

The parties shall closely cooperate in order to facilitate the settlement of legal proceedings and claims under this Article.

Unless otherwise agreed, the Government of Ukraine shall, in respect of legal proceedings and claims by Ukrainian nationals or organisations, other than contractual claims, arising out ot the acts or omissions of the Centre or its personnel done in the performance of the Centre's activities:

(i) not bring any legal proceedings against the Centre and its personnel;

(ii) assume responsibility for dealing with legal proceedings and claims brought by the aforementioned against the Centre and its personnel, and

(iii) hold the Centre and its personnel harmless in respect of legal proceedings and claims referred to in sub-paragraph (ii).

The provisions of this Article shall not prevent compensation or indemnity available under applicable international agreements or national law of any State.

Nothing in paragraph (B) shall be construed to prevent legal proceedings or claims against Ukrainian nationals.

Article XII

Personnel of the United States Government, Canadian Government, and Swedish Government who are present in Ukraine in connection with the Centre or its projects and activities shall be accorded by the Government of Ukraine status equivalent to that accorded to administrative and technical staff under the Vienna Convention on Diplomtic Relations of 18 April 1961.

Personnel of the Centre shall be accorded by the Government of Ukraine the following privileges and immunities, which are usually accorded to employees of international organisations, namely:

(i) immunity from arrest, detention, and legal proceedings, including criminal, civil and administrative jurisdiction with regard to words said or written by themselves or any acts performed in the course of their official duties;

(ii) exemption from any income, social security, or other taxation duties, customs duties, or other charges on income derived from Centre activities, except those that are normally incorporated in the price of goods or paid for services rendered;

(iii) immunity from social security provisions, immigration restrictions, and alien registration, and

(iv) the right to import their furniture and personal effects, at the time of first taking up their post, free of any Ukrainian tariffs, dues, customs duties, import taxes, and other similar taxes or charges.

Representatives of the parties on the Governing Board, the executive director, and the deputy executive directors shall be accorded by the Government of Ukraine, in addition to the privileges and immunitites listed in paragraphs (A) and (B) of this Article, the privileges, immunities, exemptions, and facilities accorded to representatives of members and executive heads of international organisations in accordance with international law.

Any party may notify the executive director of any person, other than those in paragraphs (A) and (C), who will be in Ukraine in connection with the Centre's projects and activities. A party making such a notification shall inform such persons of their duty to respect the laws and regulations of Ukraine. The executive director shall notify the Government of Ukraine, which shall accord to such persons the privileges described in subparagraphs (ii) to (iv) of paragraph (B) of this Article.

Nothing in this Article shall require the Government of Ukraine to provide the privileges and immunities provided in paragraphs (A), (B), and (C) of this Article to its nationals.

Without prejudice to the privileges, immunities, and other benefits provided above, it is the duty of all persons enjoying privileges, immunities, and benefits under this Article to respect the laws and regulations of Ukraine.

Nothing in this Agreement shall be construed to derogate from privileges, immunities, and other benefits granted to personnel described in paragraphs (A) to (D) under other agreements.

Article XIII

Any State desiring to become party to this Agreement shall notify the Governing Board through the executive director. The Governing Board shall provide such a State with certified copies of this Agreement through the executive director. On approval by the Governing Board, that State shall be permitted to accede to this Agreement. In the event that a State or States of the former Soviet Union accede to this Agreement, that State or those States shall comply with the obligations undertaken by the Government of Ukraine in Articles VIII, IX(C), and X to XII.

Article XIV

Although nothing in this Agreement limits the rights of the parties to pursue projects without resort to the Centre, the parties shall make their best efforts to use the Centre when pursuing projects of character and objectives appropriate to the Centre.

Article XV

This Agreement shall be subject to review by the parties two years after entry into force. This review shall take into account the financial commitments and payments of the parties.

This Agreement may be amended at any time by written agreement of all the parties.

Any party may withdraw at any time from this Agreement six months after written notification to the other parties.

Article XVI

Any question or dispute relating to the application or interpretation of this Agreement shall be the subject of consultation between the parties.

Article XVII

With a view to financing projects as soon as possible, the signatories shall establish necessary interim procedures until the adoption of the Statute by the Governing Board. These shall include, in particular, the appointment of an executive director and necessary staff and the establishment of procedures for the submission, review, and approval of projects.

Article XVIII

Each signatory shall notify the others through diplomatic channels that it has completed all internal procedures necessary to be bound by this Agreement.

This Agreement shall enter into force on the 30th day after the date of the last notification described in paragraph (A).

In witness whereof the undersigned, being duly authorised thereto, have signed this Agreement.

Done at Kiev, on 25 October 1993, in a single original, in the English, French, and Ukrainian languages, each text being equally authentic.

FOR CANADA:

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FOR THE KINGDOM OF SWEDEN:

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FOR UKRAINE:

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FOR THE UNITED STATES OF AMERICA:

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PROTOCOL

to amend the agreement to establish a science and technology centre in Ukraine

CANADA, SWEDEN, UKRAINE AND THE UNITED STATES OF AMERICA,

Acting in accordance with Article XV(B) of the Agreement to establish a science and technology centre in Ukraine signed on 25 October 1993 at Kiev (the 1993 Agreement),

HAVE AGREED AS FOLLOWS:

Article I

Article XII (A) of the 1993 Agreement is hereby amended to read:

‘Personnel of the parties who are present in Ukraine in connection with the Centre or its projects and activities shall be accorded by the Government of Ukraine status equivalent to that accorded to administrative and technical staff under the Vienna Convention on Diplomatic Relations of 18 April 1961.’

Article II

Article XIII of the 1993 Agreement is hereby amended to read:

‘Any State, or the European Communities, desiring to become a party to this Agreement, shall notify the Governing Board through the executive director. The Governing Board shall provide such a State, or the European Communities, with certified copies of this agreement through the executive director. On approval by the Governing Board, that State, or the European Communities, shall be permitted to accede to this Agreement. In the event that a State or States of the former Soviet Union accede to this Agreement, that State or those States shall comply with the obligations undertaken by the Government of Ukraine in Articles VIII, IX(C) and X to XII.’

Article III

This Protocol shall be provisionally applied on signature by all parties to the 1993 Agreement.

Each signatory shall notify the others through diplomatic channels that it has completed all internal procedures necessary to be bound by this Protocol.

This Protocol shall enter into force on the date of the last notification described in paragraph (B).

In witness whereof the undersigned, being duly authorised thereto, have signed this Protocol.

Done at Kyiv, on 7 July 1997, in a single original, in the English, French and Ukrainian languages, each text being equally authentic.

FOR CANADA:

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FOR THE KINGDOM OF SWEDEN:

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FOR UKRAINE:

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FOR THE UNITED STATES OF AMERICA:

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Declaration by the representatives of the Community on the deposit of the Instrument of Accession with the science and technology centre in Ukraine

The Community declares that the Centre shall have the legal personality and enjoy the most extensive legal capacity accorded to legal persons under laws applicable in the Community, and, in particular, may contract, acquire and dispose of movable and immovable property and be a party to legal proceedings.