Regional Policy ESI Funds' Policy in European Trade Unions Confederation Brussels – 13 March 2014 Diego Villalba de Miguel – DG Regional and Urban Policy

Regional Policy Objectives / principles of ESIF Policy Objectives: strengthen the EU’s economic, social and territorial cohesion Alignment with ‘Europe 2020’ and its focus on smart, sustainable and inclusive growth Increased thematic focus & performance orientation Primary role of the partnership principle Shared responsibility through (public / private) co- financing 2

Regional Policy - 1 Common Provisions Regulation for 5 Funds (CPR) - 5 Fund specific Regulations: European Regional Development Fund (ERDF) Cohesion Fund (CF) European Social Fund (ESF) European Agricultural Rural Development Fund (EARDF) European Maritime and Fisheries Fund (EMFF) + European Territorial Cooperation + European Grouping of Territorial Cooperation The legal framework: the ESI Funds Regulations 3

Regional Policy The policy framework: Common Strategic Framework 1)Integrated use of the ESI Funds 2)Provides more detail on how to promote integration and coordination between the ESI Funds and with other Union instruments and policies 3)Horizontal principles and cross-cutting policy objectives 4)Key territorial challenges 5)Cooperation 4 Translation of EU 2020 priorities into ESI Funds language Developed into partnership agreements and programmes

Regional Policy 5 A menu of 11 thematic objectives 1.Research & innovation 2.Information and communication technologies (ICT) 3.Competitiveness of Small and Medium-sized Enterprises (SMEs) 4.Shift towards a low-carbon economy 5.Climate change adaptation & risk prevention and management 6.Environmental protection & resource efficiency 7.Sustainable transport & removing bottlenecks in key network infrastructures 8.Employment & supporting labour mobility 9.Social inclusion & combating poverty 10. Education, skills & lifelong learning 11. Institutional capacity building & efficient public administrations Smart Growth Sustainable Growth Inclusive Growth Translated into Fund-specific investment priorities

Regional Policy Scope of the ERDF – what is possible a.Productive investment: SMEs all thematic objectives; larger entreprises R&I / low carbon and ICT for cooperation between large enterprises and SMEs b.Infrastructure: energy, environment, transport, ICT (all regions), business, social, health, R&I, education c.Endogenous potential: small-scale infrastructure, services to entreprises, support to R&I bodies… d.Networking, cooperation, capacity building, studies Main issues: productive investment in large companies (agreement on R&I/low carbon, ICT if cooperation with SMEs) investment in tourism and culture: agreement on small scale infrastructure under endogenous potential – support to multi-objective territorial strategies 6

Regional Policy Scope of the ERDF – what is not possible a.De-commissioning or construction of nuclear power stations b.Reduction of greenhouse gas emissions from activities falling under Emissions Trade Scheme c.Manufacturing, processing and marketing tobacco d.Undertakings in difficulties (EU's State Aid rules) e.Airport infrastructure unless related to environmental protection or accompanied by mitigating measures 7

Regional Policy ERDF thematic concentration At least 80% (more developed regions), 60 % (transition regions) or 50% (less developed regions) to innovation, ICT, SMEs and low carbon economy. At least 20% (more developed), 15% (transition regions) or 12% (less developed regions) to low carbon economy. o The Cohesion Fund can contribute to ERDF thematic concentration requirements for the low carbon economy. In case of less developed regions, this will increase the requirement from 12 % to 15%. o For the purposes of thematic concentration NUTS 2 regions consisting solely of island MS or of islands in MS which receive support from the CF, or which are outermost regions, shall be considered less developed regions.

Regional Policy Less developed regionsMore developed regions ERDF thematic concentration Research and Innovation Low-carbon economy (energy efficiency and renewable energy) SMEs competitiveness ICT 60%

Regional Policy Community-led local Development (CLLD) Integrated Territorial Investments (ITI) Sustainable urban development New territorial tools (I)

Regional Policy New territorial tools (II): sustainable urban development Integrated approach to tackle the economic, environmental, climate, (demographic) and social challenges Minimum 5% of each MS ERDF allocation – selection of operations delegated to urban authorities Through three possible mechanisms: ITI, dedicated OP, dedicated priority axis Integrated urban strategies required