Basic information
Outline of the system
The import of ozone-depleting substances (ODS) is subject to licensing. In the context of the Vienna Convention for the Protection of the Ozone Layer and the Montreal Protocol on the substances that Deplete the Ozone Layer, the European Commission issues ODS licences based on applications submitted via the ODS Licensing System. Imports (as well as exports) of controlled substances, referred to hereby as ozone depleting substances (ODS) and products and equipment containing or relying on ODS are prohibited. However, there are exemptions to this prohibition. Below, the responses to the questionnaire focus on the procedures in place for the importation of controlled substances.
Product coverage
For information on types of imports of ODS, which are exempted from the general prohibition in the European Union, see Article 15 of the Regulation. Article 15(2) outlines which types of ODS imports are allowed. The types are listed based on the use of the ODS. Furthermore, Article 15(3) of the Regulation indicates that a licence is required for activities listed in Article 15(2). The exemption to the licensing requirement is also outlined in Article 15(3). Four customs procedures are exempted from the licence requirement under the 45-day re-export rule.
Annex I to the Regulation outlines the controlled substances. The import of these substances is subject to licensing. Substances listed in Annex II to the Regulation (i.e. new substances) are not controlled substances and are not covered under Article 15 of the Regulation; therefore are not subject to licensing.
Although import for activities outlined in Article 15(2) are allowed under the condition of a licence, this may be overruled by Article 20(1) prohibiting the import of controlled substances and of products & equipment containing or relying on controlled substances from any State not party to the Montreal Protocol. Furthermore, Article 18(6) establishes that, in specific cases, the European Commission may share the licence application data with competent authorities of the Parties concerned and may reject the import licence application, if the competent authorities from the exporting country reports that the exporter is not authorised. The Commission applies this Article for instance with the countries that participate in the so-called informal Prior Informed Consent (iPIC) procedure.
Licensing System:
A licence is required in case of import of ODS. Licences are issued by the European Commission with the use of a software called the ODS Licensing System. A licence is required for the import of the substance itself, a mixture containing ODS and a product or equipment containing or relying on ODS.
Please see Products - Ozone-depleting substances - ODS - (Controlled Substances)
CN/TARIC code - Commission Implementing Regulation (EU) 2021/1832 of 12 October 2021 amending Annex I to Council Regulation (EEC) No. 2658/87 on the tariff and statistical nomenclature and on the Common Customs Tariff, as modified through the corrigendum published in the EU Official Journal L 414, 19.11.2021.
Nature of licensing
Automatic
If Automatic, administrative purpose
Non-Automatic
If Non-Automatic, description of the notified Non-Automatic Licensing regime
Products under restriction as to the quantity or value of imports
Restrictions in ODS trade are imposed by the Montreal Protocol and its amendments. The amendments to the Protocol provide specific limitations for different substance groups. A particular group of ODS can be imported from a country if this country has ratified the relevant amendment to the Montreal Protocol. It is possible that a country may be party to the Protocol for one substance group but not for another. This requirement is applicable to all Montreal Protocol signatories.
The licensing requirement does not apply in rare cases when the ODS goods remain in the EU no longer than 45 days and are not subsequently presented for release for free circulation in the European Union, destroyed or processed. Four customs procedures are exempted from the licencing requirement under the 45 day re-export rule.
The customs procedures exempted under the 45 day re-export rule are:
• Transit; • Temporary storage; • Customs warehousing; • Free zone procedure.
Questions for products under restriction as to the quantity or value of imports
An importer must hold quota for the import of the ODS in the case of some imports. Quota is allocated annually for the next calendar year.
Imports for the following uses require quota:
• Essential laboratory and analytical uses; • Halons for critical uses; • Feedstock uses; • Process agent uses.
Please see Answers 6.1-6.11.
The system applies to products originating from which country?
Country restrictions:
An ODS licence will not be issued in cases of import of certain substance groups from certain countries as a consequence of an exclusion defined in the Regulation: the Regulation under Article 20 (1) prohibits the import of ODS and of products and equipment containing or relying on ODS from any country not party to the Montreal Protocol.
In short, trade of a certain group of ODS with countries which have not ratified the amendment of the Montreal Protocol related to that group is not allowed.
Some territories of Member States of the EU are excluded from ratification of the Montreal Protocol or its amendments and therefore trade with these territories may be limited or prohibited.
Expected duration of licensing procedure
Legal requirements
Is the licensing statutorily required?
Legal basis:
• Regulation (EC) No 1005/2009 of the European Parliament and of the Council of 16 September 2009 on substances that deplete the ozone layer (OJ L 286, 31.10.2009, p. 1). A consolidated version of the Regulation can be consulted at the following address:
https://eur-lex.europa.eu/legal-content/EN/TXT/?qid=1566893918935&uri=CE...
Does the legislation leave designation of products to be subject to licensing to administrative discretion?
Is it possible for the government to abolish the system without legislative approval?
Eligibility of applicants
Is there a system of registration of persons or firms permitted to engage in importation?
What persons or firms are eligible to apply for a licence?
Any undertaking which is defined as natural or legal person can register in the ODS Licensing System and after verification apply for ODS licences.
Is there a registration fee?
This service is free of charge.
Is there a published list of authorized importers?
Contact point for information on eligibility
Ministry/Authority
Address
Telephone
Fax
E-mail address
Website
Contact officer
Submission of an application
Administrative body(ies) for submission of an application
Documentation requirements
What information is required in applications?
The general content of a licence form is the following:
• Consignee; • Country of destination; • Consignor/ Exporter; • Country of export; • Customs of entry; • Customs of import; • Customs procedure; • Commercial description; • Substance name; • Use; • CN code; • CAS-number; • GROSS mass; • NET mass; • Number of units; • Nature of substance
Licences for import (and export) of fire extinguishers containing halon for use on aircrafts do not contain information on the gross mass and net mass.
What documents is the importer required to supply with the application?
Window of submission of an application
How far in advance of importation must application for a licence be made?
Are there any limitations as to the period of the year during which application for licence can be made? If so, explain
Applications for licences can be made all year long.
Issuing the license
Can a licence be granted immediately on request?
The Commission must take a decision whether or not to issue a licence no later than 30 days after having received a correct application.
Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence
Yet, in urgent cases the Commission endeavours processing the licences upon request.
Which administrative body is responsible for approving application of licences?
Must the applications be passed on to other organs for visa, note or approval?
Are there any other conditions attached to the issue of a licence?
Not applicable.
Fees and other administrative charges
Is there any licensing fee or administrative charge?
Not applicable.
What is the amount of the fee or charge?
Is there any deposit or advance payment required associated with the issue of licences?
Not applicable.
Amount or rate?
Is it refundable?
What is the period of retention?
What is the purpose of this requirement?
Refusal of an application
Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria?
The reason for rejection is always provided in the licence application form and it is the failure to meet ordinary criteria.
Are the reasons for any refusal given to applicants?
The reason for rejection is always provided in the licence application form and it is the failure to meet ordinary criteria.
Have applicants a right of appeal in the event of refusal to issue a licence?
If so, to what bodies and under what procedures?
Importation
Are there any limitations as to the period of year during which importation may be made?
What documents are required upon actual importation?
Not applicable.
Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?
Not applicable.
Conditions of licensing
What is the period of validity of a licence? Can the validity be extended? How?
The licence cannot be extended or transferred. The undertaking must cancel an expired licence and apply for a new licence.
Most import licences have a maximum validity of 28 days (seven days before and 21 days after the estimated date of import). In cases where this validity period exceeds the licensing year (before 1 January and after 31 December), the validity period is cut accordingly. The validity of the licence is also cut when the date of issue is less than seven days before the estimated date of import or if the licence is issued after that date.
Different rules apply to the validity period for the import (and export) licences for fire extinguishers containing halon for use on aircrafts. Such licence is valid from the day it is issued until the end of the calendar year for which it was issued. In cases where the application proceeds the licensing year (i.e. it is issued before 1 January), the validity period starts 1 January the following year. Such licences can be used multiple times during their validity period, unlike all other licence types that can be used only once.
Is there any penalty for the non-utilization of a licence or a portion of a licence?
Not applicable.
Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?
Not applicable.
Foreign Exchange
Is foreign exchange automatically provided by the banking authorities for goods to be imported?
Not applicable.
Is a licence required as a condition to obtaining foreign exchange?
Not applicable.
Is foreign exchange always available to cover licences issued?
Not applicable.
What formalities must be fulfilled for obtaining the foreign exchange?
Not applicable.
The following questions are only for products under restriction as to the quantity or value of imports (whether applicable globally or to a limited number of countries or whether established bilaterally or unilaterally)
Where is information on allocation and formalities for licences published? Is the overall amount published? The amount allocated to goods from each country? The maximum amount allocated to each importer? How to request any exceptions or derogations from the licensing requirement?
At the beginning of each year the Commission publishes a notice in the Official Journal of the European Union about the quota procedure for the following year. The notice informs about the relevant details of the quota application process for the following year including the deadline for applying for quota. Importers and producers request quota for the period from 1 January to 31 December of the following year.
Is the size of the quota determined: on yearly, six-monthly or quarterly basis? Are there cases where the size of quota is determined on a yearly basis but licences are issued for imports on a six-monthly or quarterly basis? In the latter case, is it necessary for importers to apply for a fresh licence on a six-monthly or quarterly basis?
Quota is determined on yearly basis.
Are licences allocated for certain goods partly or only to domestic producers of like goods? What steps are taken to ensure that licences allocated are actually used for imports? Are unused allocations added to quotas for a succeeding period? Are names of importers to whom licences have been allocated made known to governments and export promotion bodies of exporting countries upon request? If not, for what reason? (Indicate products to which replies relate)
The unused quota is not added to next quota period. The Commission notifies importers of the quantity of the ODS and the use for which the import is authorised for the following year. The competent authorities of Member States also receive this information.
From the time of announcing the opening of quotas, as indicated in I above, what is the period of time allowed for the submission of applications for licences?
Usually it is about one month where companies can apply for quota. The exact timeframe is defined annually and notified in the notice in the Official Journal of the European Union.
What are the minimum and maximum lengths of time for processing applications?
The Commission processes the applications in about five-ten working days.
How much time remains, at a minimum, between the granting of licences and the date of opening of the period of importation?
It is usually approximately a three month period between the vote of the Member States on allocating quota and the beginning of the quota year.
Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
The importer must approach only one institution which is the European Commission.
If the demand for licences cannot be fully satisfied, on what basis is the allocation to applicants made? First come, first served? Past performance? Is there a maximum amount to be allocated per applicant and if so, on what basis is it determined? What provision is made for new importers? Are applications examined simultaneously or on receipt?
The decision on how much quota an importer or producer receives is made in accordance with the quota allocation procedure set out in Regulation (EC) No 1005/2009, Article 10 and Commission Regulation (EU) No 537/2011.
In the case of bilateral quotas or export restraint arrangements where export permits are issued by exporting countries, are import licences also required? If so, are licences issued automatically?
Export licences are not issued automatically if import licence is required.
In cases where imports are allocated on the basis of export permits only, how is the importing country informed of the effect given by the exporting countries to the understanding between the two countries?
Not applicable.
Are there products for which licences are issued on condition that goods should be exported and not sold in the domestic market?
Licences for imports of HCFC for uses other than laboratory and analytical uses, feedstock or destruction were issued until end of 2019 under the condition that the good was later re-exported. The imported good was to be re-packaged and re-exported. Such type of import is not anymore allowed. More detail is provided in Regulation (EC) No 1005/2009, Article 15 (2)(e).