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  • European UnionCohesion Policy

    EU Cohesion Policy2014 – 2020

    Proposals from the European Commission

  • European UnionCohesion Policy │ 2

    Structure of the presentation

    1. What is the impact of EU cohesion policy?

    2. Why is the Commission proposing changes for 2014-2020?

    3. What are the main changes?

    4. How will the funding be allocated?

    5. When will the changes come into effect?

    6. Where can I find further information?

  • European UnionCohesion Policy │ 3

    1. What is the impact of EU Cohesion Policy?

  • European UnionCohesion Policy │ 4

    EU Cohesion Policy invests in …

    Transport

    Renewableenergy

    Researchand innovation

    Training

    Cooperationbetween regions

    Energyefficiency

    Supportfor SMEs

  • European UnionCohesion Policy │ 5

    Results of EU Cohesion Policy(figures from 2000-2006 period)

    8400 km of rail built or improved

    5100 km of road built or improved

    Access to clean drinking water for 20 million more people

    Training for 10 million people each year

    Over 1 million jobs created

    GDP/capita up 5 % in newer Member States

  • European UnionCohesion Policy │ 6

    Yet gaps between regions remain

    Average2006 ‒‒‒‒ 2007 ‒‒‒‒ 2008► Closing these gaps

    remains a key objective

    Regional GDP figures: 2006-07-08GNI figures: 2007-08-09© EuroGeographics Association for the administrative boundaries

    < 50GDP/capita*

    *index EU27=100

    75-90 100-125

    ��

    ��

    Canarias

    Guyane

    Réunion

    Guadeloupe/Martinique

    Madeira

    Açores

    Malta

    50-75 90-100 > 125

  • European UnionCohesion Policy │ 7

    2. Why is the Commission proposing changes for 2014-2020?

  • European UnionCohesion Policy │ 8

    Objectives

    Deliver the Europe 2020 strategy objectivesof smart, sustainable and inclusive growth

    Focus on results

    Maximise the impact of EU funding

  • European UnionCohesion Policy │ 9

    Proposed EU budget 2014-2020

    “Ambitious but realistic” proposals issued by the Commissionin June 2011 for the Multiannual Financial Framework (MFF) 2014-2020

    Cohesion Policy

    33 % (€336 billion)

    ConnectingEurope Facility

    4 % (€40 billion)

    Other policies

    (agriculture, research, external etc.)

    63 % (€649 billion)

  • European UnionCohesion Policy │ 10

    3. What are the main changes?

  • European UnionCohesion Policy │ 11

    Reinforcing effectiveness and performance

    Focus on results• Common & programme-specific indicators, reporting, monitoring &

    evaluationPerformance framework for all programmes• Clear and measurable milestones and targetsPerformance reserve• 5 % of national allocations (by Member State, fund and category of

    region)Ex-ante conditionality• Ensuring conditions for effective investment are in placeMacro-economic conditionality• Alignment with new economic governance

  • European UnionCohesion Policy │ 12

    More coherent use of available EU funds

    • Comprehensive investment strategy: aligned with Europe 2020 objectives

    • Coherence with National Reform Programmes• Coordination: cohesion policy, rural development, maritime &

    fisheries funds• Objectives and indicators to measure progress towards Europe

    2020 targets• Effectiveness: introduction of a performance framework• Efficiency: reinforcement of administrative capacity, cutting red tape

    OperationalProgrammes

    PartnershipContract

    Common StrategicFramework

  • European UnionCohesion Policy │ 13

    A menu of thematic objectives

    • Research & innovation• Information and communication technologies (ICT)• Competitiveness of Small and Medium-sized Enterprises (SMEs) • Shift towards a low-carbon economy• Climate change adaptation & risk prevention and management• Environmental protection & resource efficiency• Sustainable transport & removing bottlenecks in key network

    infrastructures• Employment & supporting labour mobility• Social inclusion & combating poverty• Education, skills & lifelong learning• Institutional capacity building & efficient public administrations

  • European UnionCohesion Policy │ 14

    Less developed regionsMore developed &transitional regions

    60% 20%

    6%

    44%

    Concentrating resources to maximise impact

    Flexibility – different regions have different needsSpecial arrangements for ex-convergence regions

    Research & innovationEnergy efficiency & renewable energy Competitiveness of SMEs

    Concentration of ERDF investments

  • European UnionCohesion Policy │ 15

    European Social Fund (ESF)

    25%22%

    Share of ESF within Cohesion Policy budget

    2014-20202007-2013

    Of total Structural Fund support (ERDF & ESF), ESF w ill represent:• 25 % in less developed regions

    • 40 % in transition regions

    • 52 % in more developed regions

  • European UnionCohesion Policy │ 16

    European Social Fund (ESF)

    Fully in line with the Europe 2020 strategy• Promoting employment & supporting labour mobility• Investing in education, skills & life-long learning• Promoting social inclusion & combating poverty • Enhancing institutional capacity & efficient public administration

    Reinforced social dimension• 20 % of ESF allocations for social inclusion• Greater emphasis on fighting youth unemployment• Mainstreaming & specific support for gender equality &

    non-discrimination

  • European UnionCohesion Policy │ 17

    Cohesion Fund

    Supports Member States with GNI/capita < 90 % of EU 27 averageInvesting in environment• Climate change adaptation and risk prevention• Water and waste sectors• Biodiversity including through green infrastructures• Urban environment• Low carbon economy

    Investing in transport• Trans-European Transport Networks (TEN-T)• Low-carbon transport systems and urban transport

  • European UnionCohesion Policy │ 18

    Simplification

    Common rules - funds covered by Common Strategic Fra mework• Cohesion Policy, rural development and maritime & fisheries policy

    Option of multi-fund programmes• ERDF, ESF and Cohesion Fund

    Streamlined delivery system• Harmonised rules on eligibility and durability • Greater use of simplified costs• Linking payments with results• e-Cohesion: “one stop shop” for beneficiaries• Proportional approach to control

  • European UnionCohesion Policy │ 19

    Reinforcing Territorial Cohesion

    Focus on sustainable urban development• At least 5 % of ERDF resources

    Creation of urban development platform• Networking between cities and exchanges on urban policy

    Innovative actions for sustainable urban developmen t• Subject to a ceiling of 0.2 % of the annual funding

    Areas with specific natural or demographic features• Additional allocation for outermost & sparsely populated regions

  • European UnionCohesion Policy │ 20

    An investment-oriented policy

    Promoting the use of innovative financing instrumen ts• Extending scope to all areas of investment• Clearer regulatory framework• 10 % bonus for innovative financing instruments & community-led

    development• A range of options offering flexibility to programme managers

    Maximum co-financing rates• 75-85 % in less developed and outermost regions• 60 % in transition regions • 50 % in more developed regions

  • European UnionCohesion Policy │ 21

    Management and control

    Financial management• New system of annual accounts• Annual management declaration

    • Annual clearance of accounts by the Commission

    Management and control systems• National accreditation (greater responsibility for Member States)

    • Managing Authorities may act as Certifying Authorities

    • Commission can review accreditation(taking into account risks & track record)

    Greater proportionality• Exemptions for low volume programmes

    • Exemptions for systems that have delivered consistently good results

    • Limitations on frequency of Commission audits on individual operations

  • European UnionCohesion Policy │ 22

    Territorial Cooperation

    • Separate regulation• Increase of financial resources (+30 %)• Concentration of programmes on up to 4 thematic objectives• Simplified programme management (merger of managing and

    certifying authorities)• Easier creation of European Groupings of Territorial Cooperation

    (EGTC)

  • European UnionCohesion Policy │ 23

    4. How will the funds be allocated?

  • European UnionCohesion Policy │ 24

    A fair system for all EU regions(eligibility simulation)

    3 categoriesof regions

    Regional GDP figures: 2006-07-08GNI figures: 2007-08-09© EuroGeographics Association for the administrative boundaries

    < 75 % of EU averageGDP/capita*

    *index EU27=100

    75-90 % > 90 %

    ��

    ��

    Canarias

    Guyane

    Réunion

    Guadeloupe/Martinique

    Madeira

    Açores

    Malta

    Less developed regions

    Transition regions

    More developed regions

  • European UnionCohesion Policy │ 25

    How will funding be allocated?

    68,7%

    11,6%

    15,8%

    0

    10

    20

    30

    40

    50

    60

    70

    80

    90

    100

    119.2

    72.4

    307.1

    0

    50

    100

    150

    200

    250

    300

    350

    400

    450

    500

    Budget allocation (in %)

    Population covered(in millions)

    Less developed regions/MS Transition regions More developed regions

    336.0Total

    0.9Outermost regions and sparsely populated areas

    11.7European Territorial Cooperation

    53.1More developed regions

    38.9Transition regions

    162.6Less developed regions

    68.7Cohesion Fund¹

    ¹ €10 billion from the Cohesion Fund will be allocated to the Connecting Europe Facility

  • European UnionCohesion Policy │ 26

    5. When will these changes come into effect?

  • European UnionCohesion Policy │ 27

    Timeline

    European Union Cohesion Policy │ 27

    2014Nov.2010

    Jan.2012

    2012 – 2013Dec.2011

    Oct.2011

    June2011

    March2010

    5th Reporton Economic,

    Social andTerritorial

    Cohesion & public

    consultation

    PublicConsultationon Common

    Strategic Framework

    Agreement on MFF and adoption of

    new legislativepackage

    Entry intoforce and adoption of

    programmes

    Communication from the

    Commission: CommonStrategic

    Framework

    Proposals for Cohesion

    Policy2014-2020

    Proposal by theCommission for

    a MultiannualFinancial

    Framework(MFF)

    Adoption of Europe 2020

    Strategy

  • European UnionCohesion Policy │ 28

    Where can I find further information?

    Follow@EU_Regional on Twitter

    www.ec.europa.eu/inforegio