(1)

By letter of 14 May 2020, the Faroe Islands expressed their formal interest in becoming associated to Horizon Europe – the Framework Programme for Research and Innovation (‘the Horizon Europe Programme’) (2021–2027), which was established by Regulation (EU) 2021/695 of the European Parliament and of the Council (1).

(2)

On 13 July 2021, the Council authorised the opening of negotiations on behalf of the Union with a view to concluding an agreement between the Union and the Faroe Islands on the general principles governing the participation of the Faroe Islands in Union programmes and the association of the Faroe Islands to the Horizon Europe Programme.

(3)

The negotiations have been completed, and the Agreement between the European Union, of the one part, and the Government of the Faroe Islands, of the other part, on the participation of the Faroe Islands in Union programmes (‘the Agreement’) was initialled on 8 October 2021.

(4)

The objectives of the Agreement are to establish a lasting framework for cooperation between the Union and the Faroe Islands and to set out the terms and conditions for the participation of the Faroe Islands in the Union programmes which are opened for their participation in accordance with the basic acts establishing Union programmes as defined in the Agreement. Under the Agreement, the Union will carry out cooperation measures with the Faroe Islands pursuant to Article 212 of the Treaty on the Functioning of the European Union. Pursuant to Article 3 of the Agreement, the specific terms and conditions for the participation of the Faroe Islands in any Union programme or activity are subject to the adoption of protocols.

(5)

In line with the Council authorisation, the Protocol on the association of the Faroe Islands to Horizon Europe – the Framework Programme for Research and Innovation (2021–2027) was negotiated in parallel to the Agreement and, pursuant to Article 15(9) of the Agreement, forms an integral part thereof.

(6)

The Faroe Islands fulfil the criteria set out in Article 16(1), point (d), of Regulation (EU) 2021/695.

(7)

The Agreement complies with Article 16(2) of Regulation (EU) 2021/695, which requires that the association to the Horizon Europe Programme of the third countries under Article 16(1), point (d), of that Regulation be in accordance with the conditions laid down in an agreement covering the participation of such a country or territory to any Union programme, provided that the agreement: ensures a fair balance as regards the contributions and benefits of the third country participating in the Union programmes; lays down the conditions of participation in the Union programmes, including the calculation of financial contributions to individual programmes, and their administrative costs; does not confer on the third country any decision-making power in respect of the Union programme; and guarantees the rights of the Union to ensure sound financial management and to protect the Union’s financial interests.

(8)

The Agreement should be signed on behalf of the Union, subject to its conclusion at a later date.

(9)

With a view to ensuring uninterrupted cooperation between the Union and the Faroe Islands in the field of research, technological development and innovation, and allowing for the participation of the Faroe Islands in the Horizon Europe Programme from the start of that Programme, the Agreement should be applied retroactively from 1 January 2021 and provisionally, pending the completion of the procedures necessary for its entry into force,