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Session 1998-99
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Delegated Legislation Committee Debates

Draft International Mobile Satellite Organisation (Immunities and Privileges) Order 1999

Fourth Standing Committee on Delegated Legislation

Tuesday 23 March 1999

[Mr. Joe Benton in the Chair]

Draft International Mobile Satellite Organisation (Immunities and Privileges) Order 1999

10.30 am

The Minister of State, Foreign and Commonwealth Office (Mr. Tony Lloyd): I beg to move,

    That the Committee has considered the draft International Mobile Satellite Organisation (Immunities and Privileges Order) 1999.

The order is required for the implementation of the new headquarters agreement, which is necessary because of the reorganisation of the International Mobile Satellite Organisation. The order revokes and replaces the 1980 order, which conferred immunities and privileges on the organisation's predecessor.

The restructuring of the existing International Mobile Satellite Organisation is largely due to the effects of privatisation. The international community considered that move necessary to ensure the organisation's survival and its commercial competitiveness. That restructuring is due to take effect on 15 April, when most of the organisation's staff, assets and liabilities will be transferred to a limited liability company, to be known as INMARSAT.

A small inter-governmental secretariat will remain, and it will be located in London. It will be known as the International Mobile Satellite Organisation. Its sole purpose will be the oversight of the new company's public service obligations, specifically the operation of the global maritime distress and safety services—GMDSS—the ``999'' service for ships. The organisation will also provide administrative and secretariat facilities for COSPAS-SARSAT—a complementary safety system that is available to sailors.

The Government strongly support the restructuring of the International Mobile Satellite Organisation, which is endorsed by the International Maritime Organisation—the IMO. It is important to note that the re-formed organisation will be entirely funded by the new private INMARSAT company, and no cost burden will fall on member countries. The result will be private sector funding of an international public service, and more efficient and competitive use of public sector staff and assets.

The order will give the new organisation such privileges and immunities as its predecessor has had. Those are the minimum required to meet our international obligations, and they parallel those given to other international organisations, such as the IMO. The number of staff who are accorded privileges and immunities will be much reduced. In the existing organisation, 472 members of staff have been accorded them; under the new structure from 15 April, a maximum of 11 may be accorded them.

The new headquarters agreement is modelled on and closely follows the wording of the 1980 agreement with the organisation's forerunner. The new order will terminate the 1980 agreement. It is essential to the organisation's 86 member states that the order is made by the Privy Council on 13 April at its next monthly meeting, so that the new headquarters agreement can be signed on 15 April. I commend the order to the Committee and hope that hon. Members will give it their approval.

10.32 am

Mr. Nigel Jones (Cheltenham): I have a technical question for the Minister, and I promise not to take long to ask it. Sprinkled through the order are references to British dependent territories citizens. The Minister will remember that last Wednesday, the Secretary of State for Foreign and Commonwealth Affairs announced in a statement on overseas territories that dependent territories would be renamed. He said:

    ``The White Paper confirms our commitment to drop the title `dependent territories'. It is the wrong name for today's territories, which are energetic, self-governing, and anything but dependent . . . We will be introducing legislation to rename the territories `United Kingdom overseas territories', and in the meantime we will adopt that title in all Government communications.''—[Official Report, 17 March 1999; Vol. 327, c. 1125-1126.]

Should not the terminology be amended in the order? If it is not, we shall have to return to it and consider an amendment. Will the Minister clarify the position?

10.34 am

Sir David Madel (South-West Bedfordshire): There is, of course, a European Commission angle to the matter. In autumn 1998, the Commission issued a press release which said:

    ``The Commission has closed the file by means of a negative clearance administrative letter. This means that the restructuring is not in the Commission's view caught by Article 85(1) EC Treaty. The letter specifies, however, that its view of the case is based on the assumption that an IPO will take place within three years. Any delay could lead to the re-opening of the file.''

We are all aware of the difficulties that the Commission currently faces, but I assume that the Government's proposals are in line with the view that the Commission took in the autumn.

Mr. Tony Lloyd: I shall try to deal with the questions that have been asked.

As I understand it, no problems arise at Commission level. However, I undertake to get in touch with the hon. Gentleman if a problem exists that I have not spotted. I can assure him that, as of today, the problem that he anticipates does not arise.

On the issue of the dependent territories, I was about to chance my arm. However, I have now received advice—and it is consistent with what I was going to say. The phrase ``dependent territory'' is an existing form of legal terminology and such territories still legally exist. Therefore, it was necessary to phrase the order in those terms. Many pieces of primary and secondary legislation refer to British dependent territories, so the legislation that will introduce the changes that my right hon. Friend the Foreign Secretary announced last week will have to update them. There is no problem with the current wording of the order. It will be updated subsequently to reflect the new and more acceptable form of words that we propose to introduce. I hope that I have answered the questions.

Question put and agreed to.

Resolved,

    That the Committee has considered the draft International Mobile Satellite Organisation (Immunities and Privileges) Order 1999.

        Committee rose at twenty-two minutes to Eleven o'clock.

The following Members attended the Committee:
Benton, Mr. Joe (Chairman)
Colvin, Mr.
Jones, Mr. Nigel
Kennedy, Jane
King, Mr. Andy
Kumar, Dr.
Lepper, Mr.
Lloyd, Mr.
MacShane, Mr.
Madel, Sir David
Rapson, Mr.
Wood, Mr.

 
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