Commission proposal for a new LIFE Regulation ( ) Presentation to Directors Meeting DK 22 May 2012

Context: The LIFE instrument The only EU financial instrument specifically targeting the environment. Since 1992, financed over 3100 projects contributing to over €2.7 billion to the protection of the environment.

Structure Creation of two sub-programmes: LIFE sub-programme for Environment LIFE sub-programme for Climate Action

Structure: the sub-programme for Environment Biodiversity: Focused on Natura2000 (in particular Integrated Projects to implement Prioritised Action Frameworks); and the implementation of EU Biodiversity Strategy 2020; Best practice and demonstration for nature and biodiversity 50% of resources allocated to biodiversity projects under the sub-programme for Environment.

Structure: the sub-programme for Environment LIFE sub-programme for Environment: three priority areas: Environment & Resource Efficiency: Development, testing and demonstration of policy approaches, best practices and solutions to environmental problems; Shift focus towards implementation through Integrated Projects (waste, water, air); Includes a specific objective in relation to Resource efficiency; Private sector oriented market-replication excluded (to be covered under Horizon 2020).

Structure: the sub-programme for Environment Environmental Governance & Information: Supports information and awareness raising projects and activities and facilitates knowledge sharing; Supports cooperation networks, and best practices for enforcement and compliance; Promotes better governance and supports environmental NGOs.

Integrated Project: what is it? IP are larger projects that shall: Implement plans, programmes or strategies required by EU environmental or climate legislation or pursuant to other acts or developed by MS authorities; Have a Larger scale, e.g., regional, multiregional, national; Be primarily in the areas of nature, water, waste, air, climate mitigation and adaptation Involve, where appropriate, stakeholders (NGOs, private sector, farmers, water companies, transport companies, etc.) Promote, when possible, the coordination with and mobilisation of other EU funds

Examples: IP - Nature A Region develops a Regional Programme for Natura2000 covering all 100 sites under its jurisdiction It identifies a range of management and conservation activities. The region then identifies the financial needs for the implementation of these activities and submits a proposal for a LIFE Integrated Project. This project clearly specifies the activities or group of activities among those included in the programme that will be financed by LIFE e.g. the restoration and connectivity activities, capacity building, awareness raising. In addition, it may present evidence on how it will use other funds (EARDF, ERDF, private) to implement the complementary measures compensation payments, correction of power lines, infrastructure etc.

Ensuring success of Integrated Projects At EU level: Ensure better link and coordination with other EU Funds - Common Strategic Framework Simplify selection process for IP: the 2-step approach Simplify reporting obligations for IP Active dissemination of examples and good practices by LIFE and in the specific working groups and committees for the sectors concerned Technical assistance for MS facing problems to prepare an IP For Natura2000: LIFE+ is already financing Prioritised Action Frameworks (PAFs) that will serve as a basis for IP.

Multi Annual Work Programmes Shift from a pure bottom-up approach to a flexible top-down approach; Prepared by the Commission in consultation with the MS. These will cover e.g., priorities, allocation of resources between interventions, and targets for the period – not exhaustive. Closer links to EU policy priorities and possibility to create critical mass in specific areas. They set priorities for at least 2 years ensuring stability for potential applicants. Priorities are not exhaustive: a proposal may be submitted if it falls within the priority areas included in the Regulation. Limitation: Integrated Projects primarily in areas referred to by the Regulation.

Territorial Scope Possible participation of Third Countries (as per current LIFE+). Possible co-operation with International Organisations (e.g., international studies such as TEEB). Activities outside the Union possible in exceptional cases: Action outside the EU is indispensable to achieve EU environmental/climate objectives; or To ensure the effectiveness of interventions carried out in the MS; and The coordinating beneficiary is based in the EU.

Simplification and complementarity Most problematic categories of cost for beneficiaries to be considered ineligible (VAT, permanent staff costs). To compensate for the loss of these categories, there is an increase in the co-financing rate (from 50 to 70% - to 80% for IPs).

A budget for achieving LIFE objectives €3.6 billion for (only 0.3% of EU budget): €2.7 billion for the sub- programme for Environment. €0.9 billion for the sub- programme for Climate Action The budget has been calculated in a bottom-up manner as the minimum to achieve objectives and targets.

National allocations : did they work?

Thank you for your attention