1. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr The Community Strategic Guidelines on Cohesion 2007-2013 Focus on the Lisbon Strategy (growth and jobs).

2. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr After two years of negotiations, the EU has agreed the budget and regulations for the next round of Structural Fund programmes for 2007-2013. There will be less funding than now for richer Member States

3. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr Map of Structural actions 2000 - 2006 out)

4. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr The New Cohesion Policy 2007 - 2013

5. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr The European Commission will allocate the Structural and Cohesion Fund budget to Member States according to criteria set out in the regulations. Member States with good economic and jobs performance will receive less money than in the period 2000 – 2006 for ex.: UK -40%, FR -34%

6. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr The EU budget for the period between 2007 and 2013 is €864 billion out of which 35 % (= 308 billion) will be allocated to the Cohesion Policy. €252 billion for the new Objective 1 aiming the convergence of New Member States and European regions in difficulties €48,4 bn allocated to the new Objective (former Obj.2 + 3) “Regional Competitiveness and Employment” €7,5 billion for the new “Regional and Territorial Co- operation” Objective. The New Cohesion Policy

7. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr 5 new regulations a general regulation laying down a common set of rules for all Structural and Cohesion Funds; specific regulations on the priorities of – the European Social Fund (ESF), – the European Regional Development Fund (ERDF) – the Cohesion Fund; and a regulation establishing a new structure for cross-border co-operation.

8. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr What will change? The regulations introduce a number of changes to the Structural and Cohesion Fund regime: – A new strategic approach to ensure that funds support the Lisbon agenda for growth and jobs. – Thus, the ESF will be more strongly aligned to the European Employment Strategy and National Reform Programmes. – For the first time, there will be Community Strategy Guidelines on Cohesion and National Strategic Reference Frameworks.

9. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr Community Strategic Guidelines “Earmarking” the Lisbon Strategy The EU adopted Community Strategic Guidelines, providing an indicative framework to inform the development of Member States' Structural Fund strategies and programmes and identifying 3 main priorities: – improving the attractiveness of Member States, regions and cities by improving accessibility, ensuring adequate quality and level of services, and preserving their environmental potential; – encouraging innovation, entrepreneurship and the growth of the knowledge economy by research and innovation capacities, including new information and communication technologies; and – creating more and better jobs by attracting more people into employment or entrepreneurial activity, improving adaptability of workers and enterprises and increasing investment in human capital. The Guideline on more and better jobs is particularly relevant to ESF.

10. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr National Strategic Reference Framework Each Member State will draw up a National Strategic Reference Framework which describes its main priorities for spending Structural Funds. The Framework will inform the development of more detailed Operational Programmes. Member States are required to submit Operational Programmes to the European Commission within five months of the adoption of the Community Strategic Guidelines.

11. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr Four key areas for action: Increasing adaptability of workers and enterprises; Enhancing access to employment and participation in the labour market; Reinforcing social inclusion by combating discrimination and facilitating access to the labour market for disadvantaged people; Promoting partnership for reform in the fields of employment and inclusion. The European Social Fund (ESF)

12. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr The European Social Fund (ESF) In the least prosperous regions and Member States, the Funds will concentrate on promoting structural adjustment, growth and job creation. To this end, under the 'Convergence' objective, the ESF will also support: efforts to expand and improve investment in human capital, in particular by improving education and training systems; action aimed at developing institutional capacity and the efficiency of public administrations, at national, regional and local level.

13. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr The ERDF supports programmes addressing regional development, economic change, enhanced competitiveness and territorial cooperation. Funding priorities include: - research, - innovation, - environmental protection and risk prevention, while infrastructure investment retains an important role, helping to reduce regional disparities across the Union. The European Development Regional Fund (ERDF)

14. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr The Cohesion Fund Contributes to interventions in the field of the environment and trans-European transport networks. It applies to Member States with a Gross National Income (GNI) of less than 90% of EU average which means it covers the new Member States, Greece and Portugal. [Spain will still be eligible to the Cohesion Fund on a transitional basis] In the new period, the Fund will contribute alongside the ERDF to multi-annual investment programmes managed in a decentralised way, rather than being subject to individual project approval by the Commission.

15. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr The European Grouping of Territorial Cooperation (EGTC) The aim of this new instrument is to facilitate cross- border, transnational and/or inter-regional co- operation between regional and local authorities. In order to overcome obstacles hindering territorial cooperation, the EGTC will act as a cooperative grouping, invested with legal personality based on a convention agreed between the participating national, regional, local or other public authorities. Recourse to an EGTC remains optional.

16. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr Regional and national programmes ERDF ESF Cohesion Fund including phasing-out Regions with a GDP/head  75% of average EU25 Statistical effect: Regions with a GDP/head  75% of EU15 and >75% in EU25 Member States GNI/head  90% EU25 average innovation; environment/ risk prevention; accessibility; infrastructure; human resources; administrative capacity transport (TENs); sustainable transport; environment; renewable energy 57.6% €177.29 bn 4.1% €12.52 bn 20.0% €61.42 bn The Convergence Objective 81.7% €251.33 bn Programmes and Instruments EligibilityPrioritiesAllocations

17. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr Differentiation of co-financing rates (1) Member States whose average per capita/ GDP below 85% between 2001-03 CZ, EE, GR, CY, LV, LT, HU, MT, PL, PT, SI, SK, BG, RO 85% Criteria Member States, regions ERDF, ESF Cohesion Fund (2) Member States other than those under (1) eligible to the Cohesion Fund ES 80%/50%*85% * The first rate concerns regions eligible under the "Convergence"; the second one those under the "Regional Competitiveness and Employment" objective ** If applicable (3) Member States other than those under (1) and (2) AT, BE, DK, DE, FR, IR, IT, LU, NL, SE, SF, UK 75%/50%*- (4) Outermost regions referred to in Article 299 (2) of the Treatyregions in ES, FR, PT 85%85%**

18. Philippe Le Guen leguen@racine.fr Riga, 5 th and 6 th December 2006 RESEAU D’APPUI ET DE CAPITALISATION DES INNOVATIONS EUROPEENNES 73 rue Pascal 75013 Paris France  Tel. 33 (0)1 4408 6510  Fax 33 (0)1 4408 6511  www.racine.fr Thank you for your attention Philippe Le Guen Responsable de mission / Head of Department RACINE – Fonds social européen en France 73, rue Pascal F-75013 Paris Tél. : +33 1 44 08 65 10 - Fax : +33 1 44 08 65 11 www.racine.fr www.equal-france.com