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Standard Twinning Project Fiche Strengthening of Standardisation, Metrology, Conformity Assessment and Accreditation in SASMP – Standards Agency Azerbaijan TWINNING PROJECT FICHE “Support to Azerbaijan in the field of technical regulations, standards and conformity assessment” 1. Basic Information 1.1. Programme: TACIS National Action Programme for Azerbaijan 2006 1.2. Twinning Number: AZ07/PCA/TR03 1.3. Title: Strengthening of Standardisation, Metrology, Conformity Assessment and Accreditation in SASMP – Standards Agency Azerbaijan. 1.4. Sector: Trade and Industry 1.5. Beneficiary country: Azerbaijan – SASMP (State Agency of Standardization, Metrology and Patents) 2. Objectives 2.1. Overall Objective(s): This Twinning supports the adoption and effective implementation of the European Union-Azerbaijan ENP Action Plan of 14 November 2006 as regards approximation of Azerbaijani legislation on standards, technical regulations and conformity assessment to those of EU and in line with WTO requirements. 2.2. Project purpose: • The first purpose of the Project is the creation of a horizontal framework legislation for quality infrastructure in Azerbaijan which is conforming with EU’s internal market and also fulfils the requirements of the rules of the World Trade Organisation related to free movement of goods. This will help in accelerating the trade exchange of goods between Azerbaijan and the EU by reducing the need for re-testing, re-inspection or re-certification by enhancing the acceptance of Azerbaijani and EU conformity assessment results issued in Azerbaijan or EU. • In order to have the legislative framework implemented and operating effectively, the second purpose of the Project is the improvement and strengthening of the infrastructure capacity in SASMP for the implementation of the EU technical legislation principles (mainly the Global Approach) and in line with WTO-TBT requirements for transparent access to regulations related to free movement of goods. This will be done for instance through the upgrade and strengthening of Azerbaijan’s accreditation , metrology and notification systems as internationally recognised organisational components ensuring the operational roles in the correct functioning of the market regulation models. This will also be done through the dissemination and adoption/practice of the related regulations by the economic operators thanks to seminars and trainings targeting them through a training centre for market education. 1 Strengthening of Standardisation, Metrology, Conformity Assessment and Accreditation in SASMP – Standards Agency Azerbaijan 2.3. Contribution to the National Development Plan and to the EU-Azerbaijan ENP Action Plan In the context of the ENP, and to accelerate the process of administrative reform and facilitate the design and implementation of public policies, it has been agreed to extend the instruments of institutional twinning and TAIEX to Azerbaijan particularly for the setting up of EU compatible regulatory frameworks. The Azerbaijani authorities have shown their interest in the approximation, sometimes harmonisation, of its laws and regulations with those of the EU to help boosting the Azerbaijani economy to new levels of competitiveness. To that end, the Article 43 of the PCA concluded by the EU and Azerbaijan mentions that “The Republic of Azerbaijan should endeavor to ensure that its legislation will be gradually made compatible with that of the Community”. Through the approximation of its legislation to that of the EU, as well as the adoption of harmonised European standards, Azerbaijan would increase the export of its products to the EU, and also meet WTO requirements. This is in line with the Priority Area 7 of the ENP Action Plan regarding “Further convergence of economic legislation and administrative practices” and especially the first specific action of this Priority Area: • “Strengthen the institutions responsible for standardisation, accreditation, conformity assessment, metrology and market surveillance”; This is also in line with the ENPI – NIP 2007-2010 chapter 5.2.3 on regulatory reform for adoption of international standards: • “Improvement in the operation of Azerbaijan's standardisation, certification and accreditation systems and enhanced capacity of the local organisations responsible for these functions” 3. Description 3.1. Background and justification: After getting independency from the former Soviet Union, the Azerbaijani Government has adopted several laws, decrees and resolutions in the area of Standardisation and Conformity Assessment as a continuation of the former Soviet Union GOST system on standards and certification. Not only the former GOST system does not ensure compatibility with EU or international regulations but legislation shows a number of discrepancies and contradictions in comparison with internationally accepted principles such as those promoted in the context of international trade regulatory instruments. Additionally implementation and application of the secondary legislation between the stakeholders of the regulated markets is not ensured or properly functional so that several institutions and ministries are now challenging the SASMP roles and duties by implementing their own technical regulations often overlapping with other ministries and sometimes ignoring SASMP; as an example, through some decrees the Ministry of Economic Development is responsible for Market Surveillance of the products put into the consumer markets in Azerbaijan whilst this task was supposed to be mainly ensured by law by SASMP ( Law of the Republic of Azerbaijan “on Standards” No. 60-IQ of 16.04.1996, articles 10, 11, 12; supplemented by the Presidential Decree N°799 of 10 October 2002, chapters III and IV, article series 10 and 11 “on the duties of the established Standards Agency”). But if we suppose that a new responsibilities partitioning may have been architectured between SASMP and MoED so that “before market survey and support” is ensured by SASMP and “in-market/after-market Market Surveillance” is ensured by MoED, then we have overlapping activities when it comes to the 2 Strengthening of Standardisation, Metrology, Conformity Assessment and Accreditation in SASMP – Standards Agency Azerbaijan certification of fishery products before they are exported to Europe, which is typically a “before market” activity and not a “market surveillance” activity. Such overlapping generates not only confusion but also is in full contradiction with the principles of separation between “before market certification” activities as support to local industry, and “in-market surveillance” activities, thus potentially generating direct conflicts of interests. Such problems show that not only the Azerbaijani institutions need to be reformed and refocused on their activities but also an overall architecture and framework are to be developed for technical regulations, starting in priority with the horizontal framework legislation. Such legislation has to provide the national framework on how to organise regulated markets through standards, conformity assessment, metrology and accreditation systems to be upgraded to EU models and then allocate responsibilities amongst the different stakeholders and regulatory bodies in Azerbaijan. Vertical technical regulations (sector specific) can only be efficiently implemented if the horizontal framework legislation is already implemented and working. Institutional Set-up In 1992, the Centre for Standardisation and Metrology was established under the authority of the Cabinet of Ministers of the Republic of Azerbaijan. The Standardization Centre was established as the central authority on behalf of the Government in the field of standardisation, metrology and certification. In 2001, following the Presidential Decree No. 623 of December 27, 2001, the Standardisation and Metrology Centre was merged with the Patent-Licensing Department of the State Committee for Science and Technology. Following this merge the new institution established was called the State Agency of Standardization, Metrology and Patents (SASMP). The SASMP is the central executive body responsible for implementing the state policy in the sphere of standardisation and metrology and ensuring the protection of industrial intellectual property rights. A Director-General appointed by the President of the Republic of Azerbaijan heads the Agency (Article 12, Chapter V of the Statute of the Agency). The SASMP is a large organisation including a central level entity with nine branch offices in the regions, a research institute and a technical library, altogether staffed with about 800 employees. Recently, following some changes of its top management, the Agency is undergoing an internal institutional re-organisation aimed at consolidating its structure and functions. As mentioned above, the tasks and responsibilities of the Agency are set out in the Presidential Decree No. 799, dated October 10, 2002, which approved the Statutes of the Agency. Based on this decree, the Agency is the main authority in the field of standardisation, conformity assessment and intellectual industrial property rights in Azerbaijan. According to the decree, key responsibilities of the Agency are to: - co-ordinate and implement the Government’s policies in the fields of standardisation, conformity assessment, certification, accreditation, metrology and industrial intellectual property rights; - organise and supervise procedures for developing and approving Azerbaijan’s standards, conformity assessment of products, services,
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