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Cohesion Policy EU Cohesion Policy 2014 – 2020 Proposals from the European Commission Cohesion Policy EU Cohesion Policy 2014 – 2020 Proposals from the European Commission

│  2 Structure of the presentation 1. What is the impact of EU cohesion 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?

Cohesion Policy 1. What is the impact of EU Cohesion Policy? Cohesion Policy 1. What is the impact of EU Cohesion Policy?

│  4 EU Cohesion Policy invests in … Transport Renewable energy Research and innovation. Training│ 4 EU Cohesion Policy invests in … Transport Renewable energy Research and innovation. Training Cooperation between regions. Energy efficiency Support for SMEs

│  5 Results of EU Cohesion Policy (figures from 2000 -2006 period) 8400 km of│ 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

│  6 Yet gaps between regions remain Average 2006  2007  2008‒ ‒ ►│ 6 Yet gaps between regions remain Average 2006 2007 2008‒ ‒ ► Closing these gaps remains a key objective. GDP/capita* * index EU 27=100 125 Regional GDP figures: 2006 -07 -08 © Euro. Geographics Association for the administrative boundaries Canarias Guyane Réunion Guadeloupe/ Martinique Madeira Açores Malta │

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

│  8 Objectives Deliver the Europe 2020 strategy objectives of smart, sustainable and inclusive growth│ 8 Objectives Deliver the Europe 2020 strategy objectives of smart, sustainable and inclusive growth Focus on results Maximise the impact of EU funding

│  9 Proposed EU budget 2014 -2020 “ Ambitious but realistic” proposals issued by the│ 9 Proposed EU budget 2014 -2020 “ Ambitious but realistic” proposals issued by the Commission in June 2011 for the Multiannual Financial Framework (MFF) 2014 -2020 Cohesion Policy 33 % (€ 336 billion) Connecting Europe Facility 4 % (€ 40 billion)Other policies (agriculture, research, external etc. ) 63 % (€ 649 billion)

Cohesion Policy 3. What are the main changes? Cohesion Policy 3. What are the main changes?

│  11 Reinforcing effectiveness and performance Focus on results • Common & programme-specific indicators, reporting,│ 11 Reinforcing effectiveness and performance Focus on results • Common & programme-specific indicators, reporting, monitoring & evaluation Performance framework for all programmes • Clear and measurable milestones and targets Performance reserve • 5 % of national allocations (by Member State, fund and category of region) Ex-ante conditionality • Ensuring conditions for effective investment are in place Macro-economic conditionality • Alignment with new economic governance

│  12 More coherent use of available EU funds • Comprehensive investment strategy: aligned with│ 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 Operational Programmes. Partnership Contract. Common Strategic Framework

│  13 A menu of thematic objectives • Research & innovation • Information and communication│ 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

│  14 Less developed regions. More developed & transitional regions. Concentrating resources to maximise impact│ 14 Less developed regions. More developed & transitional regions. Concentrating resources to maximise impact Flexibility – different regions have different needs Special arrangements for ex-convergence regions Research & innovation. Energy efficiency & renewable energy Competitiveness of SMEs. Concentration of ERDF investments

│  15 European Social Fund (ESF)  Share of ESF within Cohesion Policy budget 2014│ 15 European Social Fund (ESF) Share of ESF within Cohesion Policy budget 2014 -20202007 -2013 Of total Structural Fund support (ERDF & ESF), ESF will represent: • 25 % in less developed regions • 40 % in transition regions • 52 % in more developed regions

│  16 European Social Fund (ESF) Fully in line with the Europe 2020 strategy •│ 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

│  17 Cohesion Fund Supports Member States with GNI/capita  90  of EU 27│ 17 Cohesion Fund Supports Member States with GNI/capita < 90 % of EU 27 average Investing 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

│  18 Simplification Common rules - funds covered by Common Strategic Framework • Cohesion Policy,│ 18 Simplification Common rules — funds covered by Common Strategic Framework • 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

│  19 Reinforcing Territorial Cohesion Focus on sustainable urban development • At least 5 │ 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 development • 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

│  20 An investment-oriented policy Promoting the use of innovative financing instruments • Extending scope│ 20 An investment-oriented policy Promoting the use of innovative financing instruments • 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

│  21 Management and control Financial management • New system of annual accounts • Annual│ 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

Cohesion Policy 4. How will the funds be allocated? Cohesion Policy 4. How will the funds be allocated?

│  24 A fair system for all EU regions (eligibility simulation) 3 categories of regions│ 24 A fair system for all EU regions (eligibility simulation) 3 categories of regions 90 % Canarias Guyane Réunion Guadeloupe/ Martinique Madeira Açores Malta. Less developed regions Transition regions More developed regions Regional GDP figures: 2006 -07 -08 © Euro. Geographics Association for the administrative boundaries │

│  25 How will funding be allocated? Budget allocation (in )  Population covered (in│ 25 How will funding be allocated? Budget allocation (in %) Population covered (in millions)Less developed regions/MS Transition regions More developed regions Cohesion Fund¹ 68. 7 Less developed regions 162. 6 Transition regions 38. 9 More developed regions 53. 1 European Territorial Cooperation 11. 7 Outermost regions and sparsely populated areas 0. 9 Total 336. 0 ¹ € 10 billion from the Cohesion Fund will be allocated to the Connecting Europe Facility

Cohesion Policy 5. When will these changes come into effect? Cohesion Policy 5. When will these changes come into effect?

│  27 Timeline 2014 Nov. 2010 2012 – 20135 th Report on Economic, Social and│ 27 Timeline 2014 Nov. 2010 2012 – 20135 th Report on Economic, Social and Territorial Cohesion & public consultation Agreement on MFF and adoption of new legislative package Entry into force and adoption of programmes. March 2012 Common Strategic Framework. Oct. 2011 Proposals for Cohesion Policy 2014 -2020 June 2011 Proposal by the Commission for a Multiannual Financial Framework (MFF)March 2010 Adoption of Europe 2020 Strategy

│  28 Where can I find further information? Follow@EU_Regional on Twitterwww. inforegio. europa. eu │ 28 Where can I find further information? [email protected]_Regional on Twitterwww. inforegio. europa. eu