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GEG WP 93 the Governance of the World Intellectual Property Updated 26 MarchMay 2015 2015 The Global Economic Governance Programme University of Oxford The Governance of the World Intellectual Property Organization: A Reference Guide Carolyn Deere Birkbeck* Abstract The World Intellectual Property Organization (WIPO) is the multilateral system’s key agency charged with intellectual property (IP). This working paper is the first of two documents prepared as background for a political analysis of WIPO’s governance and reform debates. This first paper presents an overview of the core components of WIPO’s governance system, described in practical, readily-accessible terms for policymakers and stakeholders in the form of a factual reference guide. The second paper provides a chronological review of governance discussions at WIPO since 1967, as well as actions taken by Member States and the Secretariat to date. The third paper offers a political assessment of WIPO’s governance and reform efforts, critically reviewing the power politics and dynamics of governance. After presenting a framework for analysing WIPO’s governance system, this paper reviews the origins of WIPO and sets out its current functions and activities, as well as the leadership, size and structure of the Secretariat. The core of the paper identifies and examines the core components of WIPO’s current governance system in five thematic areas: mandate and legal foundations; decision-making structures, processes and practices for Member State representation; financial arrangements (e.g., income sources and budget process); accountability mechanisms (i.e., for oversight, audit and evaluation); and transparency and external relations. The paper highlights that WIPO’s financial model is unique among UN organisations: the organization relies almost entirely on self-financing, raising revenue from private sector fees in exchange for treaty-related services rather than from Member State contributions. The paper also shows that while the WIPO Secretariat is a core subject of WIPO’s formal governance structure, it is also an actor in the wider governance system that impact what the organisation does and how. * Senior Researcher, GEG. The author thanks Ahmed Abdel-Latif and participants in the Global Economic Governance Programme’s research group for their input, particularly Emily Jones, Taylor St John and Geoffrey Gertz. She is also grateful for editorial and research assistance from Catherine Saez, Iveta Cherneva, Emma Burnett, and Alexa Zeitz, and archival assistance from Lise Macleod at the WIPO Library. The paper benefited from feedback from an informal dialogue with officials from WIPO, a number of WIPO Member States, and experts hosted by the International Centre for Trade and Sustainable Development in March 2015, where a draft of this paper was distributed. The author thanks Edward Kwakwa, WIPO’s Legal Counsel, for his feedback and clarification of several aspects of WIPO’s governance system, and to Christine Castro Hublin, Head of the Legal and Constitutional Affairs Section within the Office of WIPO’s Legal Counsel. The Secretariat of WIPO assumes no liability or responsibility with regard to the transformation of data provided by WIPO. For comments or feedback, please contact: [email protected]. ** This working paper forms the basis for a forthcoming book to be published by Edward Elgar in March 2016. The book elaborates and supplements the analysis provided here, updating information for the status at the end of 2015, and also includes numerous appendices. The Global Economic Governance Programme, co-hosted by University College and the Blavatnik School of Government, is directed by Ngaire Woods. Page 1 of 66 The Governance of the World Intellectual Property Organization: A Reference Guide – Carolyn Deere Birkbeck © November 2014/ GEG WP93 The Global Economic Governance Programme University of Oxford Table of Contents INTRODUCTION ...................................................................................... 4 PART 1. ANALYSING WIPO’S GOVERNANCE ..................................... 8 PART 2: WHAT IS WIPO AND WHAT DOES IT DO? ........................... 13 2.1 WIPO’s origins ................................................................................................................................ 13 2.2 What is WIPO’s purpose? .............................................................................................................. 13 2.3 What does WIPO do in practice? ................................................................................................... 14 2.4 The WIPO Secretariat .................................................................................................................... 19 2.4.1 Leadership and staffing ........................................................................................................... 20 2.4.2 Headquarters and external offices ........................................................................................... 23 2.4.3 Internal organisation ................................................................................................................ 24 PART 3. WIPO’S GOVERNANCE SYSTEM .......................................... 25 3.1. WIPO’s mandate and legal foundations ........................................................................................ 25 3.1.1. The WIPO Convention ............................................................................................................ 25 3.1.2. Agreement between the United Nations and WIPO ............................................................... 26 3.1.3. The WIPO Development Agenda: a key decision relevant to debates on WIPO’s mandate . 26 3.2. WIPO’s decision-making structure, processes, and practices ...................................................... 27 3.2.1. WIPO’s complex governance structure .................................................................................. 27 The main organs ........................................................................................................................... 28 The annual WIPO Assemblies and the Governing Bodies of the Unions ..................................... 32 WIPO Committees and other subsidiary bodies ........................................................................... 33 Expert committees established by treaty provisions ..................................................................... 36 Working groups ............................................................................................................................ 36 Diplomatic conferences ................................................................................................................ 36 Mechanisms for coordination across committees ......................................................................... 38 3.2.2. Decision-making procedures, working methods and processes ............................................ 39 WIPO General Rules of Procedure .............................................................................................. 39 Special Rules of Procedure .......................................................................................................... 40 Voting and consensus .................................................................................................................. 41 3.2.3. Processes for rule-making: treaties and soft law .................................................................... 43 3.2.4. Regional groups ..................................................................................................................... 44 3.2.5. Role of the Secretariat in Member State deliberations ........................................................... 46 3.2.6. Practices for Member State representation ............................................................................ 46 National representation ................................................................................................................ 47 Interaction among Member States ............................................................................................... 49 Interaction with the Secretariat ..................................................................................................... 50 3.3. WIPO’s financial arrangements and budget process .................................................................... 51 3.3.1. Income and Arrears ................................................................................................................ 51 Income sources for the Regular Budget: Fees ............................................................................. 51 Income sources for the regular budget: Member State contributions, the Unitary Contribution System and arrears ...................................................................................................................... 55 Other income sources for WIPO’s Regular Budget ...................................................................... 58 Extra-budgetary income and Funds-in-Trust ................................................................................ 58 3.3.2. Financial Rules and Regulations ............................................................................................ 58 3.3.3. Custody of WIPO funds .......................................................................................................... 60 3.3.4. The WIPO Controller .............................................................................................................
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