Decision

Trade and Cooperation Agreement Partnership Council Decision number 2 for 2025: Energy (HTML)

Published 20 June 2025

DECISION No 2/2025 OF THE PARTNERSHIP COUNCIL ESTABLISHED BY THE TRADE AND COOPERATION AGREEMENT BETWEEN THE EUROPEAN UNION AND THE EUROPEAN ATOMIC ENERGY COMMUNITY, OF THE ONE PART, AND THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND, OF THE OTHER PART

of 19 June 2025

issuing an interpretation of Article 331(2) and extending the application of Part Two, Heading One, Title VIII on energy, of the Trade and Cooperation Agreement between the European Union and the European Atomic Energy Community, of the one part, and the United Kingdom of Great Britain and Northern Ireland, of the other part

THE PARTNERSHIP COUNCIL,

Having regard to the Trade and Cooperation Agreement between the European Union and the European Atomic Energy Community, of the one part, and the United Kingdom of Great Britain and Northern Ireland, of the other part (‘the Agreement’), and in particular Article 519(b) and Article 331(2) thereof,

Whereas:

(1) In accordance with Article 331(1) of the Trade and Cooperation Agreement, Part Two, Heading One, Title VIII of that Agreement (‘Title VIII’) shall cease to apply on 30 June 2026.

(2) In accordance with Article 331(2) of the Agreement, between 1 July 2026 and 31 December 2026, the Partnership Council may decide to extend the application of Title VIII until 31 March 2027:

(3) A situation in which the Partnership Council could adopt a decision on the extension of the application of Title VIII only once Title VIII has already ceased to apply could lead to an interruption to the application of Title VIII, and therefore to uncertainty as regards the legal framework applicable to trade and investment between the European Union and the United Kingdom in the areas of energy and raw materials.

(4) To provide for legal certainty and predictability, it is therefore appropriate to adopt a decision interpreting Article 331(2) of the Agreement to the effect that a decision of the Partnership Council on the extension of the application of Title VIII until 31 March 2027 can be adopted before 1 July 2026, provided that it takes effect only as of 1 July 2026.

(5) The objectives of the Title VIII are to facilitate trade and investment between the European Union and the United Kingdom in the areas of energy and raw materials, and to support security of supply and environmental sustainability, notably in contributing to the fight against climate change in those areas.

(6) To achieve the objectives of Title VIII, it is opportune for both the European Union and the United Kingdom to continue their cooperation on energy through the application of the Title VIII.

(7) Energy stakeholders should be provided with a stable and predictable legal framework concerning the continuation of such cooperation which facilitates business and ensures market stability.

(8) It is therefore appropriate to adopt a decision on the application of the Title VIII until 31 March 2027,

HAS ADOPTED THIS DECISION:

Article 1

Article 331(2) of the Trade and Cooperation Agreement shall be interpreted to the effect that a decision on the extension of the application of Part Two, Heading One, Title VIII of the Trade and Cooperation Agreement until 31 March 2027 can be adopted before 1 July 2026, provided that it takes effect only as of 1 July 2026.

Article 2

The application of Part Two, Heading One, Title VIII of the Trade and Cooperation Agreement shall be extended until 31 March 2027.

Article 3

This Decision shall enter into force on the day of its adoption. Article 2 shall take effect on 1 July 2026.

Done at Brussels and London, 19 June 2025

For the Partnership Council The Co-Chairs

Maros SEFCOVIC

Nick THOMAS-SYMONDS