1. 1 Cohesion policy post 2013 Jiri Svarc Head of Unit for Finland, Latvia, Lithuania and Estonia DG Employment, Social Affairs and Inclusion

2. 2 Timeline October 5: Legislative proposals by the Commission: –General regulation –Fund specific regulation (ESF, ERDF, CF) –ETC regulation End of 2011: Communication from the Commission – Common Strategic Framework End 2012: Adoption of new legislative package and expected agreement on new budget post 2013 Early 2013 Adoption of Common Strategic Framework (Council, EP) 2013: Negotiation of new programming documents –Partnership Contracts and OPs in parallel 2014: Entry into force and adoption of programmes

3. 3 Key components of effectiveness in cohesion policy Alignment of cohesion policy with Europe 2020 Reinforced strategic programming Thematic concentration Conditionality Stronger focus on results Streamlined delivery system

4. 4 Strategic programming Europe 2020 Common Strategic Framework ERDF, ESF & Cohesion Fund EMFFEAFRD NRP Country recom’tions SGP Economic governance Investment Partnership Contracts objectivesconditionalitiesindicatorsreporting Operational Programmes

5. 5 Common Strategic Framework Sets a comprehensive investment strategy for cohesion policy at EU level Translates the targets and objectives of Europe 2020 into investment priorities for Member States and regions Covers cohesion, rural development and fisheries policies and coordination with other EU instruments

6. 6 Partnership contract Results from negotiation between the Commission and Member State on: Thematic objectives to address the priorities/targets established in Europe 2020 Specific objectives and corresponding indicators that translate Europe 2020 priorities in a national and/or regional context Commitments for fulfilment of conditionalities Coordination with other EU funds Covers cohesion policy, the rural development policy and the maritime and fisheries policy Programmes (either thematic or regional) Translates agreement on contract into concrete investment priorities accompanied by clear and measurable targets

7. 7 Thematic concentration Member States and regions will be required to concentrate EU and national resources on a limited number of thematic objectives linked to Europe 2020 strategy –Regulation will establish a menu of thematic objectives directly linked to Europe 2020 strategy –Within each thematic objective, there will be a number of investment priorities. –Differentiation between more developed and less developed Member States and regions. Less developed Member States and regions may focus on a larger number of thematic objectives and/or investment priorities (also mentioned in the proposal for the MFF)

8. 8 Architecture Three categories of regions –Less developed regions (GDP p.c. < 75% of EU average) –Transition regions (GDP p.c. between 75% and 90%) –More developed regions (GDP per capita > 90%) Cohesion Fund for Member States with GNI per capita <90% Territorial cooperation (3 strands: cross-border, transnational, interregional cooperation)

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10. 10 Budget for Cohesion Policy post 2013 billion EUR (2011 prices) Cohesion Fund*68.7 Less developed regions162.6 Transition regions39.0 More developed regions53.1 Cooperation11.7 Extra allocation for outermost + northern regions 0.9 TOTAL336.0 Connecting Europe facility for transport, energy, ICT 40.0 TOTAL 376.0 * Cohesion Fund will ringfence 10 billion EUR for the new Connecting Europe Facility

11. 11 Focus on the less developed regions and Member States to increase Share of budget 2007-2013 2014-2020 - EU1549%43% - EU1251%57% Aid intensity (EUR/cap/year)2007-20132014-2020 - EU156552 - EU12249264

12. 12 Average annual aid intensity: Fair and balanced support for the 3 categories

13. 13 Reinforcing the role of the European Social Fund Minimum ESF shares (ESF/ERDF) established for each category of regions: 25% less developed regions 40% transition regions 52% more developed regions

14. 14 Focus of ESF Employment and labour mobility Skills, education and life-long learning Social inclusion and fight against poverty Institutional capacity and public administration Combating discrimination on which ever ground, promoting gender equality and equal opportunities as horizontal principles. Promotion of social innovation and transnational co- operation.

15. 15 Thematic concentration of resources Transition and more developed regions will have to focus their allocation primarily on Energy efficiency Renewable energy SME competitiveness and innovation Less developed regions will be able to devote their allocation to a wider range of objectives reflecting their broader development needs 20 % of total

16. 16 budget: EUR 40 billion + EUR 10 billion ring- fenced in the Cohesion Fund Facility will be centrally managed by executive agency Connecting Europe Facility

17. 17 Performance reserve Strengthening the focus on results : 5% of the cohesion budget set aside and allocated during a mid-term review to the Member States and regions whose programmes have met their milestones related to the achievement of Europe 2020 objectives. Failure to achieve progress may lead to suspension or cancellation of funding.

18. 18 Implementation Possibility of multi-fund programmes Cross-financing maintained (5%) Equipment financed from the ESF More focus on financial engineering

19. 19 Simplification (for beneficiaries) Taking further the simplified cost options: –increasing the maximum amount for lump sums; –more standardisation and legal certainty; –obligatory for small projects. Joint Action Plans –Agreement between the Commission and the MS on a set of actions, including milestones, output and result targets  setting the price for a policy objective. –Payments and controls only based on agreed (intermediary and final) targets. –No more eligibility issues, not based on real costs.

20. 20 Preparation Start the preparations before the adoption of the legislative proposals. Determine and select national priorities. Select the Cohesion Policy thematic objectives and investment priorities that are in conformity with national strategic goals and priorities. Concentration on results and impact. “Everything is a priority” principle to be avoided. Involvement of various stakeholders at early stages of the preparation of national strategies.

21. 21 Preparation The choice of the level of programming for the ESF – at national or regional, should primarily be made in view of the competences of the different levels of administrations in the fields of employment, education and social inclusion. Set up administrative structures and processes for: –Preparation of strategic documents –Preparation for negotiations –Implementation of future programmes –Involvement of all relevant national, international, governmental and non-governmental stakeholders

22. 22 Questions… What could be the areas of ESF interventions post 2013 in Finland? What balance between regional and national programming? Would Joint action plans be welcome and in what areas of intervention?

23. 23 Thank you for your attention. Jiri Svarc jiri.svarc@ec.europa.eu DG Employment, Social Affairs and Inclusion