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EU Parl Watch

opinion parliamentary committee, 7 May 2026

On the proposal for a regulation of the European Parliament and of the Council establishing the European Competitiveness Fund ('ECF’), including the specific programme for defence research and innovation activities, repealing Regulations (EU) 2021/522, (EU) 2021/694, (EU) 2021/697, (EU) 2021/783, and amending Regulations (EU) 2021/696, (EU) 2023/588, (EU) [EDIP]

Document REGI-AD-782321 · (COM(2025)0555 – C100165/2025 – 2025/0555(COD))

Committee on Regional Development · Rapporteur: Dan Barna

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Short justification 937 paragraphs

The Rapporteur welcomes the Commission’s proposal, which represents a timely effort to close the innovation gap and unlock the full potential of every region to compete globally. The objective of the Commission proposal is to increase European competitiveness, notably in strategic sectors and technologies supporting the economic operators all along the investment journey.

In the Rapporteur's opinion, the approach must ensure that the pursuit of competitiveness does not exacerbate persistent disparities or leave less developed and transition regions behind.

From the perspective of cohesion policy, it is imperative that the Fund aligns with the "do no harm to cohesion" principle, ensuring that investments do not concentrate solely in already performing economic ecosystems. When considering regional aspects such as the specific needs of coal and peat regions, or the need for place-based innovation, the support must be tailored to local dynamics to drive economic growth effectively.

The Rapporteur’s amendments therefore focus on integrating a strong territorial dimension, ensuring a fair and balanced geographical distribution of opportunities and resources across the Union. They aim to ensure synergies with the National and Regional Partnership Plans and smart specialisation strategies, preventing duplication and ensuring regions receive necessary support.

The proposed amendments introduce significant modifications to the Commission's proposal, establishing a definition for "place-based innovation" and mandating the active involvement of local and regional authorities in governance structures like the Stakeholders Board.

Several amendments establish specific support for SMEs in less developed and transition regions, prioritize critical infrastructure that links less connected regions to the Single Market, and ensure just transition support for workers and communities.

Overall, the Rapporteur considers that these changes are essential to strengthen economic, social, and territorial cohesion while achieving the Union's competitiveness goals.

AMENDMENTS

The Committee on Regional Development submits the following to the Committee on Industry, Research and Energy, as the committee responsible:

Amendment 1

Proposal for a regulation

Citation 1

Read the rest (925 paragraphs)
Text proposed by the CommissionAmendment
Having regard to the Treaty on the Functioning of the European Union, and in particular Article 43(2), Article 168(5), Article 172, first subparagraph, Article 173(3), first subparagraph, Article 175, first subparagraph, Article 182(4), Article 183 in conjunction with Article 188, second paragraph, Article 189(2), Article 192(1), Article 194(2), Article 212(2) and Article 322(1), point (a), thereof,Having regard to the Treaty on the Functioning of the European Union, and in particular Article 43(2), Article 168(5), Article 172, first subparagraph, Article 173(3), first subparagraph, Article 175, first subparagraph, Article 182(4), Article 183 in conjunction with Article 188, second paragraph, Article 189(2), Article 192(1), Article 194(2), Article 212(2), Article 322(1), point (a), and Article 349 thereof,

Amendment 2

Proposal for a regulation

Recital 2

Text proposed by the CommissionAmendment
(2) The Union is facing a defining period for its future, from a political, economic, social, environmental, climate and security perspective, including increased risks of conventional military threats. The Draghi report on the future of European Competitiveness3 presented a new vision to reignite sustainable growth in Europe. The Letta report4 outlined that Europe must leverage its Single Market to achieve a leadership position in the global competition. The Commission communication on the Competitiveness Compass5 provided a roadmap for boosting competitiveness, building on the recommendations of these reports. The Commission communication on the Clean Industrial Deal6 outlined the need to accelerate decarbonisation, reindustrialisation and innovation, bringing together climate action and competitiveness under one overarching growth. Sectorial Industrial Action Plans, such as Automotive, Steel and Metals and Chemicals aim to ensure the long-term competitiveness, sustainability, and resilience of the European industry. The State of the Digital decade 20257 highlights the urgent need to foster cooperation and increase public and private investments for strengthening Union’s digital leadership, sovereignty and inclusiveness. The Joint White Paper on European Defence Readiness8 underlines the need to massively and rapidly reinvest in defence in support of Europe’s freedom of action. Moreover, the priorities of the Economic Security Strategy further underline the crucial need to secure the Union’s technological edge and de-risk economic relations including by enhancing the resilience of supply chains and thereby reducing dependencies on others. The European Ocean Pact outlines the need to enhance competitiveness and accelerate the strategic transition across the blue economy sectors, focussing especially on decarbonisation and scaling up innovation. As outlined in the Commission Communication on the Road to the next MFF,9 the next Union long-term budget needs to be more focused, simpler, more flexible, and predictable and better deliver on the Union priorities, including bolstering the Union competitiveness.(2) The Union is facing a defining period for its future, from a political, economic, social, territorial, environmental, climate and security perspective, including increased risks of conventional military threats. In this context, strengthening the Union’s competitiveness should go hand in hand with social progress and quality job creation. The Draghi report on the future of European Competitiveness3 presented a new vision to reignite sustainable growth in Europe. The Letta report4 outlined that Europe must leverage its Single Market to achieve a leadership position in the global competition, while simultaneously acknowledging that the single market remains an incomplete project, with persistent barriers preventing all companies and regions from fully benefiting from its scale. The Commission communication on the Competitiveness Compass5 provided a roadmap for boosting competitiveness, building on the recommendations of these reports. The Niinistö report on strengthening Europe’s civilian and military crisis preparedness and readiness highlighted the need for an integrated approach to the Union’s security, including strategic stockpiling, in particular of foodstuffs. The Commission communication on the Clean Industrial Deal6 outlined the need to accelerate decarbonisation, reindustrialisation and innovation, bringing together climate action and competitiveness under one overarching growth. Sectorial Industrial Action Plans, such as Automotive, Steel and Metals and Chemicals aim to ensure the long-term competitiveness, sustainability, and resilience of the European industry. The State of the Digital decade 20257 highlights the urgent need to foster cooperation and increase public and private investments for strengthening Union’s digital leadership, sovereignty and inclusiveness. The Joint White Paper on European Defence Readiness8 underlines the need to massively and rapidly reinvest in defence in support of Europe’s freedom of action. Moreover, the priorities of the Economic Security Strategy further underline the crucial need to secure the Union’s technological edge and de-risk economic relations including by enhancing the resilience of supply chains and thereby reducing dependencies on others. The European Ocean Pact outlines the need to enhance competitiveness and accelerate the strategic transition across the blue economy sectors, focussing especially on decarbonisation and scaling up innovation. As outlined in the Commission Communication on the Road to the next MFF,9 the next Union long-term budget needs to be more focused, simpler, more flexible, and predictable and better deliver on the Union priorities, including bolstering the Union competitiveness throughout the Union. European competitiveness should then be understood as its capacity to deliver long-term and sustainable prosperity by building innovation, industrial capabilities, and skills that produce concrete results: improved productivity, strategic resilience, energy security, and economic stability, while delivering on the Union’s climate-neutrality, environmental, energy, and social objectives.
3 The future of European competitiveness: Report by Mario Draghi, September 2024, https://commission.europa.eu/topics/eu-competitiveness/draghi-report_en3 The future of European competitiveness: Report by Mario Draghi, September 2024, https://commission.europa.eu/topics/eu-competitiveness/draghi-report_en
4 Enrico Letta's Report on the Future of the Single Market, April 2024, https://www.consilium.europa.eu/media/ny3j24sm/much-more-than-a-market-report-by-enrico-letta.pdf.4 Enrico Letta's Report on the Future of the Single Market, April 2024, https://www.consilium.europa.eu/media/ny3j24sm/much-more-than-a-market-report-by-enrico-letta.pdf.
5 Competitiveness compass - European Commission5 Competitiveness compass - European Commission
6 Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions, The Clean Industrial Deal: A joint roadmap for competitiveness and decarbonisation, COM(2025) 85 final, 26.2.2025.6 Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions, The Clean Industrial Deal: A joint roadmap for competitiveness and decarbonisation, COM(2025) 85 final, 26.2.2025.
7 COM(2025) 290 final State of the Digital Decade 2025: Keep building the EU's sovereignty and digital future.7 COM(2025) 290 final State of the Digital Decade 2025: Keep building the EU's sovereignty and digital future.
8 Joint Communication to the European Parliament, the European Council and the Council on ‘European Economic Security Strategy’, JOIN(2023) 20 final, 20.6.2023.8 Joint Communication to the European Parliament, the European Council and the Council on ‘European Economic Security Strategy’, JOIN(2023) 20 final, 20.6.2023.
9 Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions, The road to the next multiannual financial framework, COM(2025) 46 final, 11.2.2025.9 Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions, The road to the next multiannual financial framework, COM(2025) 46 final, 11.2.2025.

Amendment 3

Proposal for a regulation

Recital 2 a (new)

Text proposed by the CommissionAmendment
(2a) At the same time, the European Union should continue its policies of decarbonisation, striving to replace carbon intensive coal and peat-based energy with renewable energy. The Just Transition Fund highlighted the imperative need of supporting coal and peat regions in developing new economic environments that achieve high standards of competitiveness, with investments prioritising the re-industrialisation and the reskilling of the workers. To make sure that no region is left behind, this regulation should continue to support these objectives in the European Competitiveness Fund;

Amendment 4

Proposal for a regulation

Recital 2 b (new)

Text proposed by the CommissionAmendment
(2b) Different strategic sectors within the Union face continuous challenges, including the agricultural sector, which are called upon to play a decisive role in achieving climate neutrality, enhancing ecological resilience, and reinforcing the EU’s strategic autonomy, these challenges are further exacerbated due to increased exposure to global climatic and geopolitical risks. The ECF should reflect the importance of these strategic sectors, including agriculture as key structural components of the EU’s competitiveness and the development of its regions.

Amendment 5

Proposal for a regulation

Recital 2 c (new)

Text proposed by the CommissionAmendment
(2c) The Eastern Border regions are at this moment confronted with the negative impact of the Russian war against Ukraine and of the aggressive policies of Belarus against its European neighbours. Strong borders are an important security guarantee for the Union, and it is highly important that the Eastern Border regions are prioritised in the EU policies as shown in the Commission's Communication on Eastern Border Regions, adopted on 18 February 2026, titled ‘Strong regions for a safe Europe’. This regulation must address the economic, social and security challenges in those regions while focusing on economic growth and projects adapted to the new necessities of the Eastern Border regions enabling investments in the local economy and its SMEs, fostering the growth of the economy, leading to the creation of new jobs, new economic opportunities and prosperity, social development that reduce demographic challenges and depopulation in those regions.

Amendment 6

Proposal for a regulation

Recital 3

Text proposed by the CommissionAmendment
(3) To regain and reinforce its competitive edge, it is essential that the Union revives the innovation cycle by developing its disruptive innovation capacity and investing in emerging, cutting-edge and strategic technologies with significant economic potential. To ensure its autonomy in the global economy, the Union should guarantee its technological and industrial leadership in strategic sectors, starting with critical raw materials supply chains, to develop and manufacture strategic technologies in Europe, as well as mitigate risks affecting its security and resilience emanating from critical external dependencies. This can be done by addressing market failures and suboptimal investment situations, in a proportionate manner and without crowding out private funding, considering the high investment needs for delivering on Union priorities, including for decarbonisation and the digital transition. Greater emphasis should be put on leveraging private sector participation by improving the use of risk-sharing mechanisms between Union funds and private investors, to ensure an efficient use of public funding. This will build upon and further amplify the impact of the progress achieved on the Savings and Investment Union, which will provide the necessary regulatory landscape for private investments to thrive. The use of any additional national resources is without prejudice to the application of Articles 107 and 108 TFEU.(3) To regain and reinforce its competitive edge, it is essential that the Union revives the innovation cycle by developing its disruptive innovation capacity and investing in emerging, cutting-edge and strategic technologies with significant economic potential. To ensure its autonomy in the global economy, the Union should guarantee its technological and industrial leadership in strategic sectors, starting with critical raw materials supply chains, to develop and manufacture strategic technologies in Europe, as well as mitigate risks affecting its security and resilience emanating from critical external dependencies. This can be done by addressing market failures and suboptimal investment situations both in economic and territorial terms in a proportionate manner and without crowding out private funding, considering the high investment needs for delivering on Union priorities, including for decarbonisation and the digital transition. Greater emphasis should be put on leveraging private sector participation by improving the use of risk-sharing mechanisms between Union funds and private investors, to ensure an efficient use of public funding. This will build upon and further amplify the impact of the progress achieved on the Savings and Investment Union, which will provide the necessary regulatory landscape for private investments to thrive. The use of any additional national resources is without prejudice to the application of Articles 107 and 108 TFEU.

Amendment 7

Proposal for a regulation

Recital 4

Text proposed by the CommissionAmendment
(4) This requires that Union funding offers support to businesses and projects along the entire investment journey. This journey encompasses all stages of developing and manufacturing strategic technologies, products and services in Europe, from applied research, through all forms of innovation, scale-up, industrial deployment, to manufacturing and market deployment, including the necessary investment and operational costs support, infrastructure and skills. The investment journey is not linear as all stages feed each other, and ideas for new products or services might arise at any stage. European funding needs to cater for this non-linear reality with increased flexibility of providing support preserving predictability for funding.(4) This requires that Union funding offers support to businesses and projects along the entire investment journey. This journey encompasses all stages of developing and manufacturing strategic technologies, products and services in Europe, from applied research, through all forms of innovation, scale-up, industrial deployment, to manufacturing and market deployment, including the necessary investment and operational costs support, infrastructure and skills. The investment journey is not linear as all stages feed each other, and ideas for new products or services might arise at any stage. In particular, the Fund should accelerate the industrial deployment of research results and strengthen European manufacturing capacity. Moreover, together with Horizon Europe, which will continue to serve as the central Union programme for fundamental and applied research and innovation, including for local and regional authorities, the ECF will complement EU efforts by primarily targeting stages where risks are high and the potential to leverage private investment is low, supporting the full spectrum of innovation activities, including development, demonstration, scaling up and commercialisation of research and innovation results.

Amendment 8

Proposal for a regulation

Recital 4 a (new)

Text proposed by the CommissionAmendment
(4a) The Fund's implementation mechanisms should encourage the development and integration of European value chains by involving companies and research centres in as many Member States as possible and by avoiding an overconcentration of funded projects in just a few Member States.

Amendment 9

Proposal for a regulation

Recital 4 b (new)

Text proposed by the CommissionAmendment
(4b) The European Union must pay particular attention to access to safe energy and affordable prices as an essential part of bolstering European economic competitiveness. In this context, the European Competitiveness Fund should support investments that help bring energy costs down for industry and contribute to increasing the resilience of energy systems, including by developing energy infrastructure, diversifying supply sources and accelerating technological innovation. Ensuring competitive energy prices is a key condition for keeping and reshoring industrial capacity in/back to the European Union to stimulate investment and avoid relocating production to regions with lower energy costs.

Amendment 10

Proposal for a regulation

Recital 5

Text proposed by the CommissionAmendment
(5) This also requires that Union funding facilitates the creation and expansion of innovative and industrial ecosystems, where different actors interact in a synergetic way. Successful ecosystems feature intensive and agile interactions and collaboration between small and large companies, universities research institutions, infrastructure providers, investors as well as public authorities. Without such collaborations within and between individual innovation and industrial ecosystems, innovation potential stays unexploited.(5) This also requires that Union funding facilitates the creation and expansion of innovative and industrial ecosystems, where different actors interact in a synergetic way. Successful ecosystems feature intensive and agile interactions and collaboration between small and large companies, universities research and technology organisations and institutions, infrastructure providers, investors, and non-governmental organisations as well as public authorities at national, regional and local level. To this end, the work programmes may provide for structured partnerships between regions with different levels of innovation performance, as well as targeted exchange and transfer formats, in order to systematically disseminate best practices and strengthen innovation capacities. Without such collaborations within and between individual innovation and industrial ecosystems, innovation potential stays unexploited.

Amendment 11

Proposal for a regulation

Recital 5 a (new)

Text proposed by the CommissionAmendment
(5a) The ECF Work Programmes shall ensure synergies and coordinate with existing national and regional innovation ecosystems and innovation measures set out in the National and Regional Partnership Plans such as the smart specialisation strategies for research and innovation, in order to ensure that they receive the necessary support from the ECF financial toolbox.

Amendment 12

Proposal for a regulation

Recital 5 b (new)

Text proposed by the CommissionAmendment
(5b) The Union has already initiated long-term transformation processes in regions most affected by the shift away from carbon-intensive activities, including through the preparation and implementation of Territorial Just Transition Plans. As these transformations extend well beyond the current multiannual financial framework, it is essential to ensure continuity and predictability of support. Sustaining the momentum of these transitions is a matter of strategic responsibility, necessary to maintain public trust, safeguard economic restructuring and secure the long-term competitiveness of the Union.

Amendment 13

Proposal for a regulation

Recital 6

Text proposed by the CommissionAmendment
(6) Digital connectivity is crucial to foster collaboration within the ecosystem, accelerating innovation, enabling seamless and secure access to critical digital capacities and solutions across the Union, facilitating cross-border public-private partnerships, and fostering interoperability and cost-effectiveness.(6) Digital connectivity is crucial to foster collaboration within the ecosystem, accelerating innovation, enabling seamless, secure and resilient access to critical digital capacities and solutions across the Union, facilitating cross-border public-private partnerships, and fostering interoperability and cost-effectiveness, including by addressing the persistent connectivity gaps affecting least favoured regions, including rural areas, which limit competitiveness and territorial cohesion. Digitalisation shall only reach its full potential in such areas through targeted and sustained investments in robust, high-quality and future-proof digital connectivity infrastructures.

Amendment 14

Proposal for a regulation

Recital 8

Text proposed by the CommissionAmendment
(8) In the EU, persistent disparities in competitiveness and innovation performance across regions continue to exist. After sustained efforts at both EU and national level to close the innovation gap, it is time to unlock the full potential of every region. By ensuring that less-developed regions are effectively connected to EU value chains, the Union as a whole will be better positioned to compete globally.(8) In the EU, persistent disparities in competitiveness and innovation performance across and within regions continue to exist and are further exacerbated by the fact that the Single Market remains incomplete. After sustained efforts at both EU and national level to close the innovation gap, it is time to unlock the full potential of every region. The ECF implementation must respect the principle 'do no harm to cohesion' and should seek to promote regional balance in the allocation of resources while preserving the ECF competitive and excellence-based character. By ensuring that less-developed and transition regions as well as rural areas are effectively connected to EU value chains and that the ECF ensures balanced geographical distribution of funds, the Union as a whole will be better positioned to compete globally. The ECF must also guarantee respect for the 'right to stay' principle, ensuring that 'no region is left behind'.

Amendment 15

Proposal for a regulation

Recital 8 a (new)

Text proposed by the CommissionAmendment
(8a) In a context of growing economic and technological competitiveness globally, the European Union must strengthen its capacity for innovation, its productivity and its industrial base to avoid being left behind by other major economies and to retain its global competitive position. At the same time, it faces significant demographic challenges, including population ageing and labour shortages in several regions. These trends can weaken regional innovation ecosystems and reduce the capacity of territories to attract investment. The implementation of the ECF should therefore contribute to strengthening innovation ecosystems across all regions of the Union. Furthermore, the coordination between European, national and regional development strategies must be ensured for effective implementation of the ECF.

Amendment 16

Proposal for a regulation

Recital 8 b (new)

Text proposed by the CommissionAmendment
(8b) To ensure that the ECF is tapping into the potential of the whole Union, the geographic distribution of support should be monitored and progress of the regions, including the least favoured, less developed and transition ones in the ECF implementation, should be reported.

Amendment 17

Proposal for a regulation

Recital 9

Text proposed by the CommissionAmendment
(9) The EU outermost regions and overseas countries and territories represent unique and strategic assets that benefit the Union as a whole – including proximity to third countries, exceptional conditions for space and astrophysics research, abundant renewable energy potential, rich biodiversity, and extensive maritime zones. The ECF should leverage their potential as geostrategic outposts, particularly in support of the Union’s objectives on security, preparedness, regional value chains, and competitiveness.(9) The EU least favoured regions including outermost regions, border regions, Northernmost Sparsely Populated Areas and overseas countries and territories represent unique and strategic assets that benefit the Union as a whole – including proximity to third countries, exceptional conditions for space and astrophysics research, deep-sea research, abundant renewable energy potential, rich biodiversity, and extensive and deep maritime zones. The ECF should leverage their potential as geostrategic outposts, particularly in support of the Union’s objectives on security, preparedness, regional value chains, and competitiveness, as well as enhance their transport connectivity by overcoming transport poverty and connectivity gaps.

Amendment 18

Proposal for a regulation

Recital 10

Text proposed by the CommissionAmendment
(10) The Commission should ensure tight coordination and synergies between all Union founding sources in the MFF. For this purpose, the Framework Programme for Research and Innovation will be tightly linked to the ECF: to ensure that the European industry leverages research results funded by the Union to further innovate and produce in Europe. In order to foster synergies, the work programmes adopted under this Regulation should integrate in a specific and dedicated part and ensure coherence with the ‘Competitiveness’ component, Part II ‘Competitiveness and Society’ of the Regulation (EU) [XXX]10 of the European Parliament and of the Council [Horizon Europe Framework programme for Research and Innovation]11 in accordance with the committee procedure set out in this Regulation. Besides, the ECF shall ensure coherence with the types of actions planned to be implemented under the Innovation Fund, notably when developing work programmes.(10) The Commission should ensure tight coordination and synergies between all Union founding sources in the MFF, ensuring that the funds are complementary rather than mutually exclusive. For this purpose, the Framework Programme for Research and Innovation will be tightly linked to the ECF: to ensure that the European industry leverages research results funded by the Union to further innovate and produce in Europe. In order to foster synergies, the work programmes adopted under this Regulation should integrate in a specific and dedicated part and ensure coherence with the ‘Competitiveness’ component, Part II ‘Competitiveness and Society’ of the Regulation (EU) [XXX]10 of the European Parliament and of the Council [Horizon Europe Framework programme for Research and Innovation]11 in accordance with the committee procedure set out in this Regulation. Besides, the ECF shall ensure coherence with the types of actions planned to be implemented under the Innovation Fund, notably when developing work programmes. The work programmes should also include operational mechanisms for the pipeline, from research findings to scaling and production, including dedicated calls to leverage the results of projects funded through Horizon Europe, where this is relevant to the objectives of the ECF.
10 OJ L.., p10 OJ L.., p
11 COM(2025) 54311 COM(2025) 543

Amendment 19

Proposal for a regulation

Recital 11

Text proposed by the CommissionAmendment
(11) In order to foster synergies between actions under the ECF and the Innovation Fund, the work programmes of the ECF should ensure coherence with the priorities and types of actions that could be funded under the Innovation Fund. Together, the ECF, Horizon Europe, and the Innovation Fund will provide coherent support to the Union competitiveness.(11) In order to foster synergies between actions under the ECF and the Innovation Fund, the work programmes of the ECF should ensure coherence with the priorities and types of actions that could be funded under the Innovation Fund, ensuring complementarity between instruments and avoiding any duplication or double financing. Together, the ECF, Horizon Europe, and the Innovation Fund will provide coherent support to the Union competitiveness. In order to ensure such synergies, the Commission should also address persistent geographical investment gaps observed in existing Union instruments, so that regions undergoing energy transition can effectively participate in clean technology deployment and contribute to resilient European value chains.

Amendment 20

Proposal for a regulation

Recital 11 a (new)

Text proposed by the CommissionAmendment
(11a) The ECF should support the development of strategic storage capacities for essential goods including food as well as critical infrastructures such as energy and fuel in order to strengthen the Union’s resilience during crisis.

Amendment 21

Proposal for a regulation

Recital 12

Text proposed by the CommissionAmendment
(12) Moreover, to foresee a strong connection with the Competitiveness Coordination Tool, the work programme of the ECF should ensure coherence with the selected projects and competitiveness priorities identified under the Tool.(12) Moreover, to foresee a strong connection with the Competitiveness Coordination Tool, the work programme of the ECF should ensure coherence with the selected projects and competitiveness priorities identified under the Tool. The Tool shall ensure synergies with national and regional chapters within the National and Regional Partnership Plans, Country Specific Recommendations within the European Semester, National Energy and Climate Plans, CAP national recommendations and other relevant documents and strategies.

Amendment 22

Proposal for a regulation

Recital 14 a (new)

Text proposed by the CommissionAmendment
(14a) Competitiveness, resilience and cohesion must not be seen as competing political objectives but as complementary pillars that mutually reinforce a sustainable and balanced European development model. In this respect, the European Competitiveness Fund should support strategic investments in innovation, industrial capacity, critical technology and resilient supply chains, while ensuring an even territorial distribution of investments across the Union.

Amendment 23

Proposal for a regulation

Recital 16 a (new)

Text proposed by the CommissionAmendment
(16a) The evolving geopolitical environment and the persistent hybrid threats targeting the Union’s external borders demonstrate that the security and resilience of the eastern border regions are essential for the competitiveness, stability and strategic autonomy of the Union. Investments strengthening the resilience of the eastern borders of the Union should therefore be considered a strategic priority in line with the European Commission Communication on the EU’s eastern regions bordering Russia, Belarus and Ukraine “Strong regions for a safe Europe”. In order to ensure effective implementation of this strategic approach, the ECF should provide for dedicated instruments and targeted implementation arrangements, including through specific priorities in the work programmes and tailored financing and advisory support, while ensuring complementarity and coordination with other Union and national measures. Furthermore, in this context, strategic defence infrastructure projects such as the Eastern Shield and the Baltic Defence Line should therefore be recognised as priority investments in the ECF framework as identified in the Action Plan on Defence Readiness 2030 and being substantial part of the flagship programme “Eastern Flank Watch”.

Amendment 24

Proposal for a regulation

Recital 16 b (new)

Text proposed by the CommissionAmendment
(16b) To foster cross-border collaboration and strengthen the resilience of the internal market, the ECF should prioritise funding applications submitted by consortiums of companies established in different Member States. Furthermore, acknowledging the severe economic disruptions and heightened security risks faced by the Union's eastern frontier as a direct consequence of Russia's war of aggression against Ukraine, the ECF should provide targeted support. A financing bonus should therefore be granted to consortiums that include at least one company from these affected eastern border regions, ensuring they remain integrated and competitive within European value chains.

Amendment 25

Proposal for a regulation

Recital 17

Text proposed by the CommissionAmendment
(17) The ECF should facilitate access to funding from Union programmes through user-centric, fast, simpler and harmonised procedures and improve coherence among Union instruments and with Member States investments. The ECF should put beneficiaries of Union funding, and notably industry, SMEs, start-ups and scale-ups, including those established under the upcoming 28th regime, at the centre of the design of Union funding instruments.(17) The ECF should facilitate access to funding from Union programmes through user-centric, fast, simpler and harmonised procedures and improve coherence among Union instruments and with Member States investments. The ECF should put beneficiaries of Union funding, and notably industry, SMEs, start-ups and scale-ups, including those established under the upcoming 28th regime, at the centre of the design of Union funding instruments. These measures shall be designed to guarantee democratic and broad access to Union funding, and the ECF should prioritise technical assistance for those with limited administrative capacity, such as SMEs and local authorities, ensuring that they are placed at the centre of the design and implementation of support, including dedicated measures envisaged in the work programmes under the ECF to effectively address their specific needs, and to avoid creating structural vulnerabilities in strategic sectors such as energy, transport and digital infrastructure. Moreover, in order to increase SME participation, the ECF implementation needs to be accompanied by simplified administrative and reporting requirements, including using simplified cost options, proportionate application, evaluation and audit procedures and digital support tools.

Amendment 26

Proposal for a regulation

Recital 19

Text proposed by the CommissionAmendment
(19) Infrastructure is an essential enabler for European competitiveness. Investments in infrastructure are a necessary condition for the proper functioning of the EU's single market, the green and digital transition and for increasing the Union’s resilience and security. For example, the trans-European transport network fosters sustainable forms of transport, promotes improved multimodal and interoperable digital and transport solutions, thereby contributing to a smooth functioning of the internal market. The trans-European networks for energy are key for a genuine Energy Union to enable the Union’s energy and climate objectives by connecting Union countries’ electricity and clean energy networks to ensure our energy independence and competitiveness. For this, the development of cross-border interconnectors, domestic transmission and distribution grids is essential. The ECF support will work in coherence and complementarity with the Connecting Europe Facility (CEF). It is essential for Europe’s competitiveness to provide for synergies between the development of trans-European networks in energy and transport with strong cross-border impact supported by CEF, and investment support for the decarbonisation, modernisation and expansion of transport, energy and digital infrastructure under ECF.(19) Infrastructure is an essential enabler for European competitiveness. Investments in infrastructure are a necessary condition for the proper functioning of the EU's single market, the green and digital transition and for increasing the Union’s resilience and security. For example, the trans-European transport network fosters sustainable forms of transport, promotes improved multimodal and interoperable digital and transport solutions, thereby contributing to a smooth functioning of the internal market. The trans-European networks for energy are key for a genuine Energy Union to enable the Union’s energy and climate objectives by efficiently connecting Union countries’ electricity and clean energy networks and integrating renewable energy to ensure our energy independence and competitiveness. For this, the development, optimisation and modernisation of cross-border interconnectors, domestic transmission and particularly distribution grids, as well as the rapid deployment of Projects of Common Interest (PCIs), is essential. The ECF support will work in coherence and complementarity with the Connecting Europe Facility (CEF) and should be available to provide special funding to PCIs to enhance regional cohesion, market integration, improve energy security and interconnectivity to ensure resilient energy supply and avoiding regional disparities, and ensure the long-term decarbonisation of the economy. It is essential for Europe’s competitiveness to provide for synergies between the development of trans-European networks in energy and transport with strong cross-border impact supported by CEF, and investment support for the decarbonisation, modernisation, flexibilisation and expansion of transport, energy, digital and water infrastructure under ECF.

Amendment 27

Proposal for a regulation

Recital 19 a (new)

Text proposed by the CommissionAmendment
(19a) An efficient, sustainable and integrated water resource management should be recognised as an indispensable condition for strengthening the competitiveness of all regions, including urban areas, for adaptation to climate change, and for ensuring the Union’s food security, while simultaneously ensuring the protection of ecosystems. To that end, the ECF should support the implementation of intelligent and efficient water management systems across all regions.

Amendment 28

Proposal for a regulation

Recital 19 b (new)

Text proposed by the CommissionAmendment
(19b) To support investments in strategic technologies, industrial capabilities, and infrastructure in the maritime sector, particularly in the development of port facilities for zero- and low-emission ships within the European Union, to increase the competitiveness of maritime industry, which will also have a positive impact on the Union’s fisheries sector.

Amendment 29

Proposal for a regulation

Recital 19 c (new)

Text proposed by the CommissionAmendment
(19c) In line with the Action Plan for the Social Economy adopted by the Commission on 9 December 2021, which recognises the key role played by social economy entities, including cooperatives, mutual societies, associations, foundations and social enterprises, in strengthening local and regional economies, fostering inclusive growth and supporting territorial cohesion across the Union;

Amendment 30

Proposal for a regulation

Recital 19 d (new)

Text proposed by the CommissionAmendment
(19 d) The European Competitiveness Fund shall include a dedicated financial support for the establishment of an Union-level agricultural reinsurance guarantee mechanism intended to complement national insurance schemes, taking into account the increasing intensity, unpredictability and severity of extreme climatic events. That mechanism shall constitute a priority instrument for strengthening the resilience of the agricultural sector, ensuring the stability of farmers’ income, mitigating systemic risks and guaranteeing a level playing field within the internal market, while simultaneously contributing to the continuity of agricultural production and to the Union’s food security. It shall also contribute to economic, social, and territorial cohesion by reducing regional disparities and supporting regions and citizens that are vulnerable to extreme climate events.

Amendment 31

Proposal for a regulation

Recital 21

Text proposed by the CommissionAmendment
(21) The competitive strength of the Union lies in its people. The Competitiveness Compass identifies promoting skills and quality jobs as a horizontal enabler. The European Council Conclusions highlight that “following the Commission communication of 5 March 2025 on a Union of Skills, further efforts should be made to enhance the acquisition, recognition and retention of skills across the EU, from the building of basic skills to engaging in life-long learning, reskilling and upskilling, in line with the European Pillar of Social Rights and its Action Plan”. A strong dialogue is part of this. Human capital is key to the prosperity of the Union, its economic resilience and unique social market economy. It is essential to foster prosperity, including high quality jobs, by boosting productivity growth, making Union industries more competitive and innovative, attracting additional investments, and supporting a dynamic single market and enhanced economic security. The ECF should contribute to the Union of Skills12 by supporting the development of a skilled workforce equipped with the specific skills needed in the strategic investment areas of the Fund, through life-long learning, education, training projects and apprenticeships, and the creation of attractive quality jobs accessible to all and by accompanying ECF investments with skills investment to alleviate skills shortages in the given strategic sector of the ECF and indicate when it is included. This includes a Skills Guarantee that should enable workers in sectors undergoing restructuring to upskill and reskill, in line with relevant national, regional and/or sectoral transition strategies. The ECF should support skills intelligence, upskilling and reskilling, and foster public-private partnerships between universities, VET providers, businesses, in particular SMEs, social partners and applied research institutes. The ECF could also support activities of University Alliances, also in cooperation with employers, to improve their delivery on innovation and the development of skills and talent.(21) The competitive strength of the Union lies in its people. The Competitiveness Compass identifies promoting skills and quality jobs as a horizontal enabler. The European Council Conclusions highlight that “following the Commission communication of 5 March 2025 on a Union of Skills, further efforts should be made to enhance the acquisition, recognition and retention of skills across the EU, from the building of basic skills to engaging in life-long learning, reskilling and upskilling, in line with the European Pillar of Social Rights and its Action Plan”. A strong dialogue is part of this. Human capital is key to the prosperity of the Union, its economic resilience and unique social market economy. It is essential to foster prosperity, including high quality jobs, by boosting productivity growth, making Union industries more competitive and innovative, attracting additional investments, and supporting a dynamic single market and enhanced economic security. The creation of attractive, quality jobs is not only a driver of industrial competitiveness but an essential instrument to enable the 'right to stay', allowing local talent to thrive without being forced to leave due to lack of opportunities. The ECF should contribute to the Union of Skills12 by supporting the development of a skilled workforce equipped with the specific skills needed in the strategic investment areas of the Fund, including digital skills for strategic sectors, through life-long learning, education, training projects and apprenticeships, and the creation of attractive quality jobs accessible to all and by accompanying ECF investments with skills investment to alleviate skills shortages in the given strategic sector of the ECF and indicate when it is included. This includes a Skills Guarantee that should enable workers in sectors undergoing restructuring to upskill and reskill, in line with relevant national, regional and/or sectoral transition strategies with special attention to the least favoured regions including the less developed and transition ones. The ECF should support skills intelligence, upskilling and reskilling, and foster public-private partnerships between universities, VET providers, businesses, in particular SMEs, social partners and applied research institutes. The ECF could also support activities of University Alliances, also in cooperation with employers, to improve their delivery on innovation and the development of skills and talent. Investments in skills should be regionally balanced, ensuring that education and vocational training opportunities are linked to local economic specialisations. This is essential to harness and develop regional talent, safeguard citizens 'right to stay', and counter the risk of brain drain and depopulation in the EU.
12 Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions, The Union of Skills, COM(2025) 90 final, 5.3.2025.12 Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions, The Union of Skills, COM(2025) 90 final, 5.3.2025.

Amendment 32

Proposal for a regulation

Recital 21 a (new)

Text proposed by the CommissionAmendment
(21a) In order to avoid the concentration of support in a limited number of Member States, and to maximise economic and social impact while strengthening competitiveness and the single market, it is essential that the support provided contributes to a balanced territorial distribution of investments across the Member States.

Amendment 33

Proposal for a regulation

Recital 22

Text proposed by the CommissionAmendment
(22) The ECF should contribute to the objectives of decarbonising the European industry by promoting the development and deployment of clean technologies. The ECF will support the implementation of the Clean Industrial Deal, turning the clean transition and decarbonisation into a driver of growth and competitiveness for European industries. To this end, the ECF will support decarbonisation with a technology neutral approach, while recognising a contribution of different technologies to grid balancing and sector coupling, to align in particular with the investment needs of energy intensive sectors. Furthermore, it should advance the implementation of the Affordable Energy Action plan, ensuring secure, affordable, efficient and clean energy for all Europeans. The ECF will contribute to the shift towards a decarbonised, circular, resource-efficient, climate-neutral, water resilient and bio-based economy. It will also support sustainable, nature-positive and resilient industrial production in energy-intensive industries in the Union, in line with the objectives of the forthcoming proposal for the Industrial Decarbonisation Accelerator Act. It should also support the objectives of the Regulation (EU) 2024/172413 of the European Parliament and of the Council (Net-Zero Industry Act), boosting the manufacturing capacity of net-zero technologies and the ramp up of production capacities and investing in related infrastructure. To decarbonise the transport sector, amongst others the ECF will also invest in sustainable fuels, the related infrastructure and mobile assets as well as in the modernisation and digitisation of transport.(22) The ECF should contribute to the objectives of decarbonising the European industry by promoting the development and deployment of clean technologies. The ECF will support the implementation of the Clean Industrial Deal, turning the clean transition and decarbonisation into a driver of growth and competitiveness for European industries and regions, especially transition ones, that are still in the process of building and developing a new economic ecosystem. To this end, the ECF will support decarbonisation with a technology neutral approach, while recognising a contribution of different technologies to grid balancing and sector coupling, to align in particular with the investment needs of energy intensive sectors. Furthermore, it should advance the implementation of the Affordable Energy Action plan, ensuring secure, affordable, efficient and clean energy for all Europeans. The ECF will contribute to the shift towards a decarbonised, circular, resource-efficient, climate-neutral, water resilient and bio-based economy. It will also support sustainable, nature-positive and resilient industrial production in energy-intensive industries in the Union, in line with the objectives of the forthcoming proposal for the Industrial Decarbonisation Accelerator Act. It should also support the objectives of the Regulation (EU) 2024/172413 of the European Parliament and of the Council (Net-Zero Industry Act), boosting the manufacturing capacity of net-zero technologies and the ramp up of production capacities and investing in related infrastructure. To decarbonise the transport sector, amongst others the ECF will also invest in sustainable fuels including renewable advanced biofuels, RFNBOs and other renewable fuels, the related infrastructure and mobile assets as well as in the modernisation and digitisation of transport. Supporting the digital transformation of European enterprises and accelerating the deployment of low- and zero-emission technologies are essential to closing the Union’s innovation and productivity gaps. Strengthening the Union’s energy security and resilience requires investments in critical energy infrastructure, diversification of energy sources and reduction of strategic dependencies.
13 Regulation (EU) 2024/1735 of the European Parliament and of the Council of 13 June 2024 on establishing a framework of measures for strengthening Europe’s net-zero technology manufacturing ecosystem and amending Regulation (EU) 2018/1724 (OJ L, 2024/1735, 28.6.2024, ELI: http://data.europa.eu/eli/reg/2024/1735/oj).13 Regulation (EU) 2024/1735 of the European Parliament and of the Council of 13 June 2024 on establishing a framework of measures for strengthening Europe’s net-zero technology manufacturing ecosystem and amending Regulation (EU) 2018/1724 (OJ L, 2024/1735, 28.6.2024, ELI: http://data.europa.eu/eli/reg/2024/1735/oj).

Amendment 34

Proposal for a regulation

Recital 22 a (new)

Text proposed by the CommissionAmendment
(22a) The implementation of the Fund should respect the principle of technological neutrality, allowing different technological pathways and industrial solutions to compete on equal terms.

Amendment 35

Proposal for a regulation

Recital 23

Text proposed by the CommissionAmendment
(23) The ECF will also contribute to protect, restore and improve the quality of the environment, including water, coast, sea and soil, to reduce pollution, to halt and reverse biodiversity loss and tackle the degradation of terrestrial and marine ecosystems, while enhancing climate and water resilience. The ECF Clean Transition and Decarbonisation window should finance projects that contribute to these objectives.(23) The ECF will also contribute to protect, restore and improve the quality of the environment, including former mining exploitations, including coal and peat exploitations, water management, coast, sea and soil, to reduce pollution, to halt and reverse biodiversity loss and tackle the degradation of terrestrial and marine ecosystems, while enhancing climate and water resilience. The ECF Clean Transition and Decarbonisation window should finance projects that contribute to these objectives.

Amendment 36

Proposal for a regulation

Recital 24

Text proposed by the CommissionAmendment
(24) Projects and activities under the Clean Transition and Industrial Decarbonisation window shall promote energy efficiency, integrated renewable energy, new energies, energy renovations, and innovative heating and cooling solutions.(24) Projects and activities under the Clean Transition and Industrial Decarbonisation window shall promote energy efficiency, energy system integration and flexibilisation, renewable energy solutions, including energy efficiency, building renovations, and innovative efficient renewable-based heating and cooling solutions.

Amendment 37

Proposal for a regulation

Recital 25

Text proposed by the CommissionAmendment
(25) Union manufacturing productivity also depends on resource efficiency, with materials input representing a signification portion of production costs. Circular approaches to products and manufacturing boost resource productivity, whilst value retention activities such as remanufacturing, refurbishment and repair provide significant job opportunities. The ECF should contribute to the bioeconomy, circular economy and access to materials including biomaterials.(25) Union manufacturing productivity also depends on resource efficiency, with materials input representing a signification portion of production costs. Circular approaches to products and manufacturing boost resource productivity, whilst value retention activities such as remanufacturing, refurbishment and repair provide significant job opportunities. The ECF should contribute to the bioeconomy, circular economy and access to materials including biomaterials taking into account the possibility of creating opportunities in the least favoured regions including rural areas and less-developed ones, where access to local biological resources and circular production models can foster regional development, strengthen local and regional industrial ecosystems and generate quality jobs.

Amendment 38

Proposal for a regulation

Recital 26

Text proposed by the CommissionAmendment
(26) The Union can become a global leader in digital technologies, such as artificial intelligence, digital identity, semiconductors, robotics, quantum technologies, space technologies and others by harnessing the untapped potential of our researchers and industries. The ECF should promote the development and deployment of digital solutions and infrastructures and capacities across the Union for the benefit of the European society and economy.(26) The Union can become a global leader in digital technologies, such as artificial intelligence, digital identity, semiconductors, robotics, quantum technologies, space technologies and others by harnessing the untapped potential of our researchers and industries. The ECF should promote the development and deployment of digital and cybersecurity solutions, infrastructures and capacities across the Union for the benefit of the European society and economy. This is particularly important for areas with limited or inexistent network coverage, as well as those with limited digital infrastructure, in order to prevent territorial isolation and reduce digital disparities across the Union.

Amendment 39

Proposal for a regulation

Recital 27

Text proposed by the CommissionAmendment
(27) Chronic underinvestment in the European tech sector is one of the main reasons for the lack of competitiveness of the Union, as compared to our global competitors. Moreover, European sovereignty in digital technologies and infrastructures has become key for our resilience, security and for democracy, as highlighted in the 2025 State of the Digital decade report which also underlined the remaining significant gaps to reach Union’s 2030 goals, notably for the development of Artificial Intelligence (AI) and space technologies, semiconductors, 5G and digital skills.(27) Chronic underinvestment in the European tech sector is one of the main reasons for the lack of competitiveness of the Union, as compared to our global competitors. Moreover, European sovereignty in digital technologies and infrastructures has become key for our resilience, security and for democracy, as highlighted in the 2025 State of the Digital decade report which also underlined the remaining significant gaps to reach Union’s 2030 goals, notably for the development of Artificial Intelligence (AI) and space technologies, semiconductors, 5G and digital skills. Addressing these gaps requires a strong focus on improving the connectivity of the least favoured regions, tackling chronic underinvestment, and ensuring their full participation in the Single Market, so they can fully benefit from the Union’s digital sovereignty and actively contribute to its overall competitiveness.

Amendment 40

Proposal for a regulation

Recital 28

Text proposed by the CommissionAmendment
(28) While Europe’s digital transformation is accelerating, the many critical dependencies on non-Union suppliers (from raw materials, advanced semiconductors, and AI chips to systems, infrastructures and services) require European alternatives that anchor the digital transformation in Europe’s economy, with our shared values as the essential differentiator, including by leveraging the power of open-source technologies. Support for digital leadership is driven by regulatory and non-regulatory Union policy initiatives in the digital area such as the AI Act, AI Continent and AI Action Plan, the Apply AI Strategy, the Cloud and AI Development Act, the Data Union Strategy, the Digital Networks Act, the EU Quantum Strategy and the Quantum Act, the Cyber-Solidarity Act, the Cyber-Resilience Act and the Cybersecurity Act, the White Paper for European Defence-Readiness 2030, and the revision of the EU Chips Act, and by future policy initiatives. The digital areas to invest in include a number of critical frontier technologies such as Artificial Intelligence (AI) and AI-powered digital twins, robotics, semiconductors, autonomous or quantum technologies. They also include key infrastructures such as digital identity, cloud, high performance and quantum computing, communication, advanced underwater observation infrastructure, and sensing infrastructures, digital connectivity networks, including submarine cables, as well as cybersecurity, defence or space capacities. Fostering their uptake across private and public sectors makes our entire economy more competitive, secure, sovereign, and sustainable, fortifying societal resilience and preparedness. Moreover, interoperable digital technologies are driving the modernisation of the public sector, serving for the integration of the single market, which is our most valuable stepping stone for European digital start-ups to become globally competitive. Technological progress and innovation in every economic sector, and thus their productivity and competitiveness, are essentially driven by the integration of sector-specific digital developments and use of digital solutions that should be supported across the ECF.(28) While Europe’s digital transformation is accelerating, the many critical dependencies on non-Union suppliers (from raw materials, advanced semiconductors, and AI chips to systems, infrastructures and services) require European alternatives that anchor the digital transformation in Europe’s economy, with our shared values as the essential differentiator, including by leveraging the power of open-source technologies. Support for digital leadership is driven by regulatory and non-regulatory Union policy initiatives in the digital area such as the AI Act, AI Continent and AI Action Plan, the Apply AI Strategy, the Cloud and AI Development Act, the Data Union Strategy, the Digital Networks Act, the EU Quantum Strategy and the Quantum Act, the Cyber-Solidarity Act, the Cyber-Resilience Act and the Cybersecurity Act, the White Paper for European Defence-Readiness 2030, and the revision of the EU Chips Act, and by future policy initiatives. The digital areas to invest in include a number of critical frontier technologies such as Artificial Intelligence (AI) and AI-powered digital twins, robotics, semiconductors, autonomous or quantum technologies. They also include key infrastructures such as digital identity, cloud, high performance and quantum computing, communication, advanced underwater observation infrastructure, and sensing infrastructures, digital connectivity networks, including submarine cables, as well as cybersecurity, defence or space capacities. Fostering their uptake across private and public sectors makes our entire economy more competitive, secure, sovereign, and sustainable, fortifying societal resilience and preparedness. The Union’s digital sovereignty can only be fully realised if it is territorially inclusive, ensuring that all regions, including the least favoured ones, have equitable access to secure digital infrastructures and services, thereby preventing regions from falling behind in competitiveness due to lack of access to digital systems. Moreover, interoperable digital technologies are driving the modernisation of the public sector, serving for the integration of the single market, which is our most valuable stepping stone for European digital start-ups to become globally competitive. Technological progress and innovation in every economic sector, and thus their productivity and competitiveness, are essentially driven by the integration of sector-specific digital developments and use of digital solutions that should be supported across the ECF.

Amendment 41

Proposal for a regulation

Recital 29

Text proposed by the CommissionAmendment
(29) Technological progress and innovation in every economic sector, and thus their productivity and competitiveness are essentially driven by the integration of sector-specific digital developments and use of digital solutions that should be supported across the Fund in the context of the activities developed in the different policy windows of the EDependency on high-risk suppliers in critical sectors can pose a strategic risk of foreign interference and jeopardise the Union’s security, resilience and sovereignty. The NIS Cooperation Group, in cooperation with the Commission and the European Union Agency for Cybersecurity (ENISA), plays a key role in carrying out EU Coordinated security risk assessments of critical supply chains, taking into account technical and, where relevant, non-technical risk factors in accordance with Article 22 of Directive (EU) 2022/2555.14(29) Technological progress and innovation in every economic sector, and thus their productivity and competitiveness are essentially driven by the integration of sector-specific digital developments and use of digital solutions that should be supported across the Fund in the context of the activities developed in the different policy windows of the EDependency on high-risk suppliers in critical sectors can pose a strategic risk of foreign interference and jeopardise the Union’s security, resilience and sovereignty. The NIS Cooperation Group, in cooperation with the Commission and the European Union Agency for Cybersecurity (ENISA) and the European Cybersecurity Competence Centre (ECCC), plays a key role in carrying out EU Coordinated security risk assessments of critical supply chains, taking into account technical and, where relevant, non-technical risk factors in accordance with Article 22 of Directive (EU) 2022/2555.14 In accordance with Article 136 of the Financial Regulation, eligibility restrictions can apply to high-risk suppliers, for security reasons.
14 Directive (EU) 2022/2555 of the European Parliament and of the Council of 14 December 2022 on measures for a high common level of cybersecurity across the Union, amending Regulation (EU) No 910/2014 and Directive (EU) 2018/1972, and repealing Directive (EU) 2016/1148; Text with EEA relevance, ELI: http://data.europa.eu/eli/dir/2022/2555/2022-12-27.14 Directive (EU) 2022/2555 of the European Parliament and of the Council of 14 December 2022 on measures for a high common level of cybersecurity across the Union, amending Regulation (EU) No 910/2014 and Directive (EU) 2018/1972, and repealing Directive (EU) 2016/1148; Text with EEA relevance, ELI: http://data.europa.eu/eli/dir/2022/2555/2022-12-27.

Amendment 42

Proposal for a regulation

Recital 31 a (new)

Text proposed by the CommissionAmendment
(31a) To promote a more balanced geographical uptake of the Fund and to ensure that competitiveness is supported across all Member States, the Commission should publish an annual scoreboard on geographical participation in the ECF. Where significant disparities emerge, the Commission should introduce targeted support measures, such as dedicated calls, simplified application procedures, enhanced advisory services and differentiated co-financing rates, in order to facilitate access for applicants, in particular those located the least favoured regions including in rural and remote areas.

Amendment 43

Proposal for a regulation

Recital 32

Text proposed by the CommissionAmendment
(32) To improve public health and strengthen the competitiveness of the Union, it is crucial to tackle the rise of communicable and non-communicable diseases through targeted health promotion and disease prevention strategies and continued investments, including into the pharmaceutical and medical devices sectors. Such action, coupled with fostering effective, accessible, and resilient health systems, can significantly boost workforce productivity by improving population health and alleviating labour shortages, while also supporting health systems that drive innovation. Leveraging health data is essential in those efforts, enabling informed decision-making. Moreover, fostering innovation by solidifying the evidence-based path from medical breakthroughs to marketable solutions is key to enhancing Union competitiveness and also beneficial to reinforcing supply security.(32) To improve public health and strengthen the competitiveness of the Union, it is crucial to tackle the rise of communicable and non-communicable diseases, including cancer, through targeted health promotion and disease prevention strategies and continued investments, including into the pharmaceutical and medical devices sectors, while ensuring the deployment of evidence-based solutions for prevention, screening, personalised medicine and innovation. Such action, coupled with fostering effective, accessible, and resilient health systems, can significantly boost workforce productivity by improving population health and alleviating labour shortages, while also supporting health systems that drive innovation. Leveraging health data is essential in those efforts, enabling informed decision-making. Moreover, fostering innovation by solidifying the evidence-based path from medical breakthroughs to marketable solutions is key to enhancing Union competitiveness and also beneficial to reinforcing supply security.

Amendment 44

Proposal for a regulation

Recital 33

Text proposed by the CommissionAmendment
(33) The bioeconomy is a growth engine that allows Europe to make a success of the green transition, strengthen its competitiveness and strategic autonomy. Although Europe’s bioeconomy is already reshaping industrial ecosystems, reinforcing strategic autonomy, and unlocking value across strategic sectors, it is crucial to strengthen investments, initiatives and strategies at Union and Member State level to bring it from niche to norm across Union sectors and regions to realise its potential, and in particular for key industries. There is a need to foster the competitiveness, sustainability, resilience and fairness of the agricultural, fisheries, aquaculture and forestry sectors, of rural and coastal areas and to contribute to long-term food security in the Union.(33) The bioeconomy is a growth engine that allows Europe to make a success of the green transition, strengthen its competitiveness and strategic autonomy. Although Europe’s bioeconomy is already reshaping industrial ecosystems, reinforcing strategic autonomy, and unlocking value across strategic sectors, it is crucial to strengthen investments, initiatives and strategies at Union and Member State level to bring it from niche to norm across Union sectors and regions to realise its potential, and in particular for key industries. There is a need to foster the competitiveness, sustainability, resilience and fairness of the agricultural, food production, fisheries, aquaculture and forestry sectors, of rural and coastal areas as well as the least favoured regions including the outermost ones and to contribute to long-term food security in the Union.

Amendment 45

Proposal for a regulation

Recital 34

Text proposed by the CommissionAmendment
(34) Investments, initiatives and strategies are needed to close the innovation gap and accelerate the discovery, development, derisking, demonstration, scale-up of bioeconomy innovations, to support their market uptake, to provide finance along the innovation journey for start-ups and for scaling up high growth companies, to maximise resource efficiency and to secure sustainably sourced biomass supply. The bioeconomy contributes to decarbonisation, by providing sustainable alternatives to fossil-based products and processes, but also to circularity, the clean transition, carbon farming, biodiversity, ecosystem services, and nature restoration.(34) Investments, initiatives and strategies are needed to close the innovation gap and accelerate the discovery, development, derisking, demonstration, scale-up of bioeconomy innovations, to support their market uptake, to provide finance along the innovation journey for start-ups and for scaling up high growth companies, to maximise resource efficiency and to secure sustainably sourced biomass supply. The bioeconomy contributes to decarbonisation, by providing sustainable alternatives to fossil-based energy, fuels, products and processes, but also to circularity, the clean transition, carbon farming, biodiversity, ecosystem services, nature restoration and through the valorisation of livestock waste and animal by-products. Particular attention should be given to strengthening regional innovation ecosystems, especially in the least favoured regions including rural areas and outermost ones, to ensure balanced territorial development and cohesion across the Union.

Amendment 46

Proposal for a regulation

Recital 34 a (new)

Text proposed by the CommissionAmendment
(34a) European competitiveness requires the mobilisation of innovation potential across all regions of the Union. In order to achieve this goal from a balanced and inclusive approach it is needed to contribute to the development of regional and local innovation ecosystems. To maximise its impact, the ECF should operate in synergy with Union instruments supporting economic, social and territorial cohesion, in particular those implemented through the National and Regional Partnership Plans. Where relevant, the Fund may also support place-based innovation and actions linked to sustainable urban development, including through cooperation with existing Union urban initiatives, as well as investments in the rehabilitation and regeneration of the built environment, where these contribute to innovation capacity, sustainability and the resilience of local and regional economies.

Amendment 47

Proposal for a regulation

Recital 35

Text proposed by the CommissionAmendment
(35) Fostering the resilience of the European industry is essential for the Union to remain competitive even in times of crisis and is essential for Union’s security. To ensure its resilience, the ECF should support actions aimed to reduce dependencies and diversify supply in strategic sectors such as the raw materials sector, thus reinforcing the Union capacities for a secure supply of sustainable critical raw materials along the whole value chain in line with the objectives of the Regulation (EU) 2024/1252 of the European Parliament and of the Council (Critical Raw Materials Act)15 and the chemicals industry, underpinning almost all industry sectors. Pursuing an ambitious and mutually beneficial trade agenda is essential for the Union’s ability to diversify its supply chains and effectively reduce dependencies.(35) Fostering the resilience of the European industry is essential for the Union to remain competitive even in times of crisis and is essential for Union’s security. To ensure its resilience, the ECF should support actions aimed to reduce dependencies, enhance the economic potential of territories and diversify supply in strategic sectors such as the raw materials sector, thus reinforcing the Union capacities for a secure supply of sustainable critical raw materials along the whole value chain in line with the objectives of the Regulation (EU) 2024/1252 of the European Parliament and of the Council (Critical Raw Materials Act)15 and the chemicals industry, underpinning almost all industry sectors. Pursuing an ambitious and mutually beneficial trade agenda is essential for the Union’s ability to diversify its supply chains and effectively reduce dependencies. Regions and municipalities play a decisive role in strengthening Union competitiveness, notably in ensuring the necessary conditions for industrial development, including the provision of infrastructure, industrial symbiosis and the development of local innovation and supplier ecosystems. In order to maximise the impact of the European Competitiveness Fund, it is appropriate to explicitly recognise regions and municipalities as potential recipients of support under the Fund, in accordance with its objectives and through competitive calls.
15 Regulation (EU) 2024/1252 of the European Parliament and of the Council of 11 April 2024 establishing a framework for ensuring a secure and sustainable supply of critical raw materials and amending Regulations (EU) No 168/2013, (EU) 2018/858, (EU) 2018/1724 and (EU) 2019/1020 (Text with EEA relevance), OJ L, 2024/1252, 3.5.2024, ELI: http://data.europa.eu/eli/reg/2024/1252/oj15 Regulation (EU) 2024/1252 of the European Parliament and of the Council of 11 April 2024 establishing a framework for ensuring a secure and sustainable supply of critical raw materials and amending Regulations (EU) No 168/2013, (EU) 2018/858, (EU) 2018/1724 and (EU) 2019/1020 (Text with EEA relevance), OJ L, 2024/1252, 3.5.2024, ELI: http://data.europa.eu/eli/reg/2024/1252/oj

Amendment 48

Proposal for a regulation

Recital 36

Text proposed by the CommissionAmendment
(36) In addition, the geopolitical context, in particular Russia’s war of aggression against Ukraine, has exposed the Union and its Member States to a high risk of materialisation of conventional military threats, in particularly to the ones bordering Russia, Belarus and Ukraine. Considering this, together with the threats on the rest of the EU borders,increased investment in defence is deemed a priority, including for projects such as the Baltic Defence Line and Eastern Border Shield. Defence industry and space are key ecosystems to ensure the European Union’s resilience and strategic autonomy and increase the Union’s readiness and preparedness in line with the White Paper for European Defence – Readiness 2030.16 It also supports the Union’s focus on sustainability, competitiveness, resilience and security and the Union position in the world. A strong European Defence Technological and Industrial Base (EDTIB) is an indispensable prerequisite of defence readiness and credible deterrence. It is also essential for the protection of European citizens, ensuring the Union’s ability to respond to emerging security challenges, to support Ukraine, and to uphold Europe's position as a global actor. The EDTIB is recognised as a strategic asset, contributing to the Union’s economic resilience and security, innovation, technological leadership and strategic autonomy. Across the Union and its Member States, the defence sector is evolving rapidly, with cutting-edge technologies and new actors playing an increasingly important role. Innovation cycles are also accelerating, with growing emphasis on rapid prototyping, testing and validation, including in real operational environments. To improve military mobility, investments in new civilian-military assets, including mobile assets and dual use infrastructure need to be developed. Coordinated and sustained support to the EDTIB is therefore key to reinforce the collective security of the Union and its Member States, the development of Union-wide defence projects of common interest, and Europe’s defence readiness. In relation to this, actions supporting the reinforcement of the Ukrainian defence technological and industrial base should be also financed, as its industry will be essential to support European increased defence needs. To this end, the ECF shall be implemented taking into account the objectives of the Strategic Compass for Security and Defence and shall be consistent with the defence capability priorities commonly agreed by Member States within the framework of the Common Foreign and Security Policy (CFSP).(36) In addition, the geopolitical context, in particular Russia’s war of aggression against Ukraine, has exposed the Union and its Member States to a high risk of materialisation of conventional military threats, in particularly to the ones bordering Russia, Belarus and Ukraine. Considering this, together with the threats on the rest of the EU borders, increased investment in defence is deemed a priority, including for projects such as the Baltic Defence Line and Eastern Border Shield. Defence industry and space are key ecosystems to ensure the European Union’s resilience and strategic autonomy and increase the Union’s readiness and preparedness in line with the White Paper for European Defence – Readiness 2030.16 Moreover, ensuring reliable fuel supply infrastructure on the eastern flank of the Union is essential for both civilian resilience and the operational readiness of NATO forces. It also supports the Union’s focus on sustainability, competitiveness, resilience and security and the Union position in the world. Territorial cohesion is a pillar of the Union’s security and defence strategy, as strong border and strategically important regions, including the outermost ones, ensure they do not become vulnerable points, thereby directly linking cohesion to collective security and resilience. A strong European Defence Technological and Industrial Base (EDTIB) is an indispensable prerequisite of defence readiness and credible deterrence. It is also essential for the protection of European citizens, ensuring the Union’s ability to respond to emerging security challenges, to support Ukraine, and to uphold Europe's position as a global actor. The EDTIB is recognised as a strategic asset, contributing to the Union’s economic resilience and security, innovation, technological leadership and strategic autonomy. Across the Union and its Member States, the defence sector is evolving rapidly, with cutting-edge technologies and new actors playing an increasingly important role. Innovation cycles are also accelerating, with growing emphasis on rapid prototyping, testing and validation, including in real operational environments, taking into account the complementarity and the interoperability of the new technologies. To improve military mobility, investments in new civilian-military assets, including mobile assets and dual use infrastructure need to be developed. Coordinated and sustained support to the EDTIB is therefore key to reinforce the collective security of the Union and its Member States, the development of Union-wide defence projects of common interest, and Europe’s defence readiness. In relation to this, actions supporting the reinforcement of the Ukrainian defence technological and industrial base should be also financed, as its industry will be essential to support European increased defence needs. To this end, the ECF shall be implemented taking into account the objectives of the Strategic Compass for Security and Defence and shall be consistent with the defence capability priorities commonly agreed by Member States within the framework of the Common Foreign and Security Policy (CFSP).
16 Commission, the High Representative have present, White Paper for European Defence – Readiness 2030, 19.03.2025.16 Commission, the High Representative have present, White Paper for European Defence – Readiness 2030, 19.03.2025.

Amendment 49

Proposal for a regulation

Recital 36 a (new)

Text proposed by the CommissionAmendment
(36a) Dual-use infrastructure strengthens both economic competitiveness and security preparedness and therefore contributes to the resilience of the Union’s internal market. Therefore, the ECF should reinforce the European defence technological and industrial base, that requires harnessing existing industrial capacities across the whole Union, including supply chains and regional industrial clusters.

Amendment 50

Proposal for a regulation

Recital 36 b (new)

Text proposed by the CommissionAmendment
(36b) To foster cross-border collaboration and strengthen the resilience of the internal market, the ECF should prioritise funding applications submitted by consortiums of companies established in different Member States. Furthermore, acknowledging the severe economic disruptions and heightened security risks faced by the Union's eastern frontier as a direct consequence of Russia's war of aggression against Ukraine, the ECF should provide targeted support. A financing bonus should therefore be granted to consortiums that include at least one company from these affected eastern border regions, ensuring they remain integrated and competitive within European value chains.

Amendment 51

Proposal for a regulation

Recital 39

Text proposed by the CommissionAmendment
(39) The ECF should also support the policy goals of a safer, more secure Europe that is better prepared against security threats, in particular by enhancing European industry competitiveness and strategic autonomy, including maritime and customs security, critical energy and transport infrastructure and civil preparedness. To address increasing security and hybrid threats like terrorism, organised crime, cybercrime, climate disasters and attacks on critical infrastructure, the ECF should support Europe’s efforts to increase its threat awareness, build resilience and boost security investments, and promote preparedness by design across relevant sectors.(39) The ECF should also support the policy goals of a safer, more secure Europe that is better prepared against security threats, in particular by enhancing European industry competitiveness and strategic autonomy, including maritime and customs security, critical energy and transport infrastructure, strategic food storage facilities and civil preparedness. To address increasing security and hybrid threats like terrorism, organised crime, cybercrime, climate disasters and attacks on critical infrastructure, the ECF should support Europe’s efforts to increase its threat awareness, build resilience and boost security investments, and promote preparedness by design across relevant sectors.

Amendment 52

Proposal for a regulation

Recital 41

Text proposed by the CommissionAmendment
(41) To ensure predictability for stakeholders and provide a sufficient level of certainty for investment planning, the ECF should set out an indicative budget distribution across the policy windows for the period 2028 to 2034 while maintaining flexibility to reallocate parts of the budget in accordance with new challenges and emerging priorities throughout the duration of the Multiannual Financial Framework. To this extent, it should be ensured that a certain minimum budget envelope is available for long-term planning and commitments broken down over several years into annual instalments in each policy window, allowing the Union to consolidate its demand and enter into strategic long-term relations with recipients give long-term predictability to industry and financial ecosystem, and enable the setup of important Union infrastructures, such as for hydrogen and industrial carbon management, world-class satellite systems, underwater observation infrastructures, cybersecurity, semiconductors quantum, AI and high-performance computing or critical infrastructure, and defence or space projects of common interest.(41) To ensure predictability for stakeholders and provide a sufficient level of certainty for investment planning, the ECF should set out an indicative budget distribution across the policy windows for the period 2028 to 2034 while maintaining flexibility to reallocate parts of the budget in accordance with new challenges and emerging priorities throughout the duration of the Multiannual Financial Framework. To this extent, it should be ensured that a certain minimum budget envelope is available for long-term planning and commitments broken down over several years into annual instalments in each policy window, allowing the Union to consolidate its demand and enter into strategic long-term relations with recipients give long-term predictability to industry and financial ecosystem, and enable the setup of important Union infrastructures, such as for hydrogen and industrial carbon management, world-class satellite systems, underwater observation infrastructures, cybersecurity, semiconductors quantum, AI and high-performance computing or critical infrastructure, health infrastructure producing treatments for chronic diseases such as cancer, and defence or space projects of common interest.

Amendment 53

Proposal for a regulation

Recital 47

Text proposed by the CommissionAmendment
(47) The ECF should be open and facilitate synergies with other Union activities that support policy areas closely linked with competitiveness, the including the Framework Programme for Research and Innovation, external policies and programmes in shared management with Member States. This should allow for the combination and cumulation of funding for actions supporting the objectives of more than one Union policy area. Cooperation between the Commission and Member States should be established to ensure consistency and complementarities between the ECF and the Regulation (EU) [XXX] [National and Regional partnership plans] Moreover, support from the Regulation (EU) [XXX] [National and Regional Partnership Plans ] and from the ECF to projects that have been awarded the Competitiveness Seal should be facilitated, taking advantage of the assessment conducted prior to the attribution of the Seal and without prejudice to the State aid rules. The criteria for awarding the Competitiveness Seal should be designed in a manner that can enable to seal to also act as a quality guarantee providing assurances to institutional investors that the project has been appropriately vetted. The Competitiveness Seal should be awarded to high quality projects contributing to the objectives of the ECF. The ECF may be implemented jointly with other Union programmes or other co-donors or co-investors, and those partners should be able to participate in evaluation committees for jointly funded award procedures. The implementation of all those synergy activities should be simple. Reporting and record-keeping requirements for recipients should be reduced, where possible to a single contractual reporting and payment stream with a single set of rules for all support provided.(47) The ECF should be open and facilitate synergies with other Union activities that support policy areas closely linked with competitiveness, the including the Framework Programme for Research and Innovation, external policies and programmes in shared management with Member States. This should allow for the combination and cumulation of funding for actions supporting the objectives of more than one Union policy area. Cooperation between the Commission and Member States should be established to ensure consistency and complementarities between the ECF and the Regulation (EU) [XXX] [National and Regional partnership plans] Moreover, support from the Regulation (EU) [XXX] [National and Regional Partnership Plans ] and from the ECF to projects that have been awarded the Competitiveness Seal should be facilitated, taking advantage of the assessment conducted prior to the attribution of the Seal and without prejudice to the State aid rules. The criteria for awarding the Competitiveness Seal should be designed in a manner that can enable to seal to also act as a quality guarantee providing assurances to institutional investors that the project has been appropriately vetted. The Competitiveness Seal should be awarded to high quality projects including those under CRMA, NZIA, Chips Act, and CMA, projects of digital technology as well as other strategic projects identified in Union legislation, contributing to the objectives of the ECF also taking into account the territorial dimension, the specificities and needs of the region and the impact on the competitiveness of the region where the project will be implemented. When a project, in addition to meeting all quality requirements, directly contribute to the Union's economic, social and territorial cohesion and to regional competitiveness, it can receive the Competitiveness Seal with the regional dimension. The award of a Competitiveness Seal shall be based on objective, transparent and predefined criteria, ensuring a level playing-field amongst local and regional authorities. The Commission shall publish the assessment methodology and provide a reasoned decision for each award. The ECF may be implemented jointly with other Union programmes or other co-donors or co-investors, and those partners should be able to participate in evaluation committees for jointly funded award procedures. The implementation of all those synergy activities should be simple. Reporting and record-keeping requirements for recipients should be reduced, where possible to a single contractual reporting and payment stream with a single set of rules for all support provided. In particular, synergies with cohesion policy programmes should be encouraged to facilitate the uptake and deployment of high-quality projects, including those awarded a Competitiveness Seal.

Amendment 54

Proposal for a regulation

Recital 48

Text proposed by the CommissionAmendment
(48) Union support should focus on the achievement of policy objectives. In all cases, ECF funding should be provided in the form best able to achieve its objectives, while limiting administrative burden for recipients to the absolute minimum. When implementing the budget, the ECF should provide the full toolbox of Union support and ensure synergies between its supported policies, in particular by allowing for simplified common award procedures to pursue objectives of more than one policy. As such, the elimination of burdensome financial reporting through the widest possible use of financing not linked to cost should be pursued as a major simplification measure.(48) Union support should focus on the achievement of policy objectives making sure it respects the “do no harm to cohesion” principle. In all cases, ECF funding should be provided in the form best able to achieve its objectives, while limiting administrative burden for recipients to the absolute minimum. When implementing the budget, the ECF should provide the full toolbox of Union support and ensure synergies between its supported policies, in particular by allowing for simplified common award procedures to pursue objectives of more than one policy. As such, the elimination of burdensome financial reporting through the widest possible use of financing not linked to cost for example through lump sums grants, should be pursued as a major simplification measure.

Amendment 55

Proposal for a regulation

Recital 49

Text proposed by the CommissionAmendment
(49) The ECF should support a diverse set of policies contributing to competitiveness, while providing a harmonised baseline set of eligibility criteria to provide policy steer and ensuring a sufficient level of protection of economic and security interests by focusing Union support on recipients in the Member States, including Overseas Countries and Territories. Where necessary, the ECF should establish specific eligibility conditions for strategic sectors and technologies, including underlying value chains, critical Union infrastructures and specific capabilities.(49) The ECF should support a diverse set of policies contributing to competitiveness, while providing a harmonised baseline set of eligibility criteria to provide policy steer, ensuring a sufficient level of protection of economic and security interests by focusing Union support on recipients in the Member States and ensuring a geographically balanced distribution of the financial support without leaving any region behind, including the least favoured ones such as outermost as well as Overseas Countries and Territories Where necessary, the ECF should establish specific eligibility conditions for strategic sectors and technologies, including underlying value chains, critical Union infrastructures and specific capabilities.

Amendment 56

Proposal for a regulation

Recital 49 a (new)

Text proposed by the CommissionAmendment
(49a) Respect for the rule of law, as referred to in Article 2 of the Treaty on European Union, is one of the fundamental values on which the Union is founded and constitutes a precondition for the mutual trust between Member States and for the proper functioning of the Union. Compliance with the principles of the rule of law is essential to ensure the legitimacy, transparency and accountability of the use of Union funds.

Amendment 57

Proposal for a regulation

Recital 49 b (new)

Text proposed by the CommissionAmendment
(49b) To effectively secure Europe's strategic autonomy while strengthening territorial cohesion, the ECF should employ a dual-track allocation system. While 60% of the core support for industry should be allocated on a strictly competitive basis, 40% of the resources should be dedicated to geographically balanced actions, drawing inspiration from the Connecting Europe Facility. This 40% allocation must take into account, in addition to excellence criteria, geographical balance and economic resilience, particularly by supporting EU-wide value chains and access to rare raw materials, ensuring that all Member States benefit from these resources. These geographically balanced actions should be reflected in an EU-wide list of industrial projects of common European interest across the four core industrial pillars of the ECF, which should be pre-identified and included in an Annex to this Regulation.

Amendment 58

Proposal for a regulation

Recital 50

Text proposed by the CommissionAmendment
(50) The ECF should be implemented through work programmes as set out in this Regulation. Work programmes could be adopted under an annual or multi-annual format. The latter could in particular be considered for the purposes of Union support provided for budgetary guarantees and financial instruments, with a view to provide predictability to implementing partners. The designated mode of implementation reflects the identified needs for directionality, flexibility, predictability and efficiency, required to meet the objectives of the Regulation. In accordance with Regulation (EU Euratom) 2024/2059, the work programmes and the call documents will set out more technical implementation details for the budget across the set of policies supported by the ECF, including specific eligibility and award criteria depending on the instrument of budget implementation, be it grant, or procurement, and the specific policy objectives pursued. In accordance with Article 136 of the Financial Regulation, eligibility restrictions should apply to high-risk suppliers, for security reasons. Work programmes are also the appropriate place to allocate budget in accordance with evolving policy priorities, and they should set out contributions, specific conditions and expected results.(50) The ECF should be implemented through work programmes as set out in this Regulation. Work programmes could be adopted under multi-annual format, preferably every three years in order to contribute to the foreseeability for local and regional authorities and in particular for the purposes of Union support provided for budgetary guarantees and financial instruments, with a view to provide predictability to implementing partners. The designated mode of implementation reflects the identified needs for directionality, flexibility, predictability and efficiency, required to meet the objectives of the Regulation. In accordance with Regulation (EU Euratom) 2024/2059, the work programmes and the call documents will set out more technical implementation details for the budget across the set of policies supported by the ECF, including specific eligibility and award criteria depending on the instrument of budget implementation, be it grant, or procurement, and the specific policy objectives pursued. In accordance with Article 136 of the Financial Regulation, eligibility restrictions should apply to high-risk suppliers, for security reasons. Work programmes are also the appropriate place to allocate budget in accordance with evolving policy priorities, and they should set out contributions, specific conditions and expected results.

Amendment 59

Proposal for a regulation

Recital 50 a (new)

Text proposed by the CommissionAmendment
(50a) Because the Fund mostly operates on a competitive basis, the design of work programmes may significantly affect the capacity of entities across the Union to participate. Therefore, in order to ensure broad and balanced participation and to fully harness the potential of all regions, work programmes should provide for measures facilitating the formation of consortia and the integration of emerging regional ecosystems.

Amendment 60

Proposal for a regulation

Recital 54

Text proposed by the CommissionAmendment
(54) In order to foster resilient Union value chains spanning across multiple Member States, the work programmes may include special value-chains scale up calls which shall support both. project preparation and crowding in of additional public and private capital to integrate suppliers, manufacturers, and innovators from different Member States and diversify sources of supply.(54) In order to foster resilient Union value chains spanning across multiple Member States, the work programmes may include special value-chains scale up calls which shall support both. project preparation and crowding in of additional public and private capital to integrate suppliers, manufacturers, and innovators from different Member States and regions and diversify sources of supply.

Amendment 61

Proposal for a regulation

Recital 55

Text proposed by the CommissionAmendment
(55) In order to foster competitiveness of European industry through industry-driven bottom-up innovation, the work programmes may include special 2-stage bottom-up award procedures to identify and support EU Tech frontrunners through industry-driven consortia.(55) In order to foster competitiveness of European industry through industry-driven bottom-up innovation, the work programmes may include special 2-stage bottom-up award procedures to identify and support EU Tech frontrunners through industry-driven consortia as well as territorial consortia, public platforms, and regional ecosystems. In order to safeguard transparency, equal treatment and the integrity of the European Competitiveness Fund, decisions on the allocation of Union support should be based on independent and external evaluations carried out in accordance with the predefined eligibility and award criteria. The selection process should ensure objectivity, avoid conflicts of interest and prevent undue political or administrative interference in the award of funding.

Amendment 62

Proposal for a regulation

Recital 55 a (new)

Text proposed by the CommissionAmendment
(55a) In order to maximise the economic impact of the Fund, administrative procedures should be simplified, fully digitalised and designed to ensure rapid decision-making and efficient deployment of investments.

Amendment 63

Proposal for a regulation

Recital 56

Text proposed by the CommissionAmendment
(56) A horizontal, cross-cutting funding toolbox should be set at the service of all policy windows, offering every form of support allowed by Regulation (EU, Euratom) 2024/2059, such as financial instruments, including support provided in the form of equity. The choice of the specific funding instrument and in particular whether support will be repayable or not, shall depend on the nature of the actions to be funded (for example underlying market failures, the specific need, the nature of the industry, the stage of development or type of the beneficiary). Union support should derisk projects to the degree necessary for the private sector to invest and for the project to be successfully delivered. Co-financing rates should be as low as possible and as high as needed to realise the supported project. A mix of funding tools could be used, including blending operations and combination of funding. The ECF should also provide each policy area with advice on the most appropriate funding tool to be used for its specific actions, depending on, inter alia, the development stage, the specific industry needs and underlying market failures.(56) A horizontal, cross-cutting funding toolbox should be set at the service of all policy windows, offering every form of support allowed by Regulation (EU, Euratom) 2024/2059, such as financial instruments, including support provided in the form of equity. The choice of the specific funding instrument and in particular whether support will be repayable or not, shall depend on the nature of the actions to be funded (for example underlying market failures, the specific need, the nature of the industry, the stage of development or type of the beneficiary). Union support should derisk projects to the degree necessary for the private sector to invest and for the project to be successfully delivered. Co-financing rates should be as low as possible and as high as needed to realise the supported project, considering both the type of action and of potential applicants. For actions implemented in the Outermost Regions, the European Union co-financing rates should not be lower than 85%. A mix of funding tools could be used, including blending operations and combination of funding. The ECF should also provide each policy area with advice on the most appropriate funding tool to be used for its specific actions, depending on, inter alia, the development stage, the specific industry needs and underlying market failures.

Amendment 64

Proposal for a regulation

Recital 57

Text proposed by the CommissionAmendment
(57) Multistakeholder consultations, including those of researchers and industry, the social partners, as well as investors, end-users and civil society, from SME, small to large organisations, should contribute to the priorities of the ECF. Those consultations should be structured via advisory boards including the ECF Stakeholder Board whose task should be to provide insights and advise the Commission on policy trends, on investment needs, and on the implementation of the ECF from the perspective of project promoters, with the aim to ensure that feedback from stakeholder communities is reflected in the design of work programmes.(57) Multistakeholder consultations, including those of researchers and industry, the social partners, as well as investors, end-users, local and regional authorities and civil society, from SME, small to large organisations, should contribute to the priorities of the ECF. Those consultations should be structured via advisory boards including the ECF Stakeholder Board whose task should be to provide insights and advise the Commission on policy trends, on investment needs, and on the implementation of the ECF from the perspective of project promoters, with the aim to ensure that feedback from stakeholder communities is reflected in the design of work programmes. The composition of the ECF Stakeholder Board should ensure a balanced geographical representation and include the President of Committee of Regions and a representative of the Outermost Regions, in order to duly reflect their specific needs and development potential.

Amendment 65

Proposal for a regulation

Recital 62 a (new)

Text proposed by the CommissionAmendment
(62a) The Commission must set up adequate monitoring and evaluation mechanisms to track the geographical distribution of funding and the benefits generated by the European Competitiveness Fund. These instruments should allow for the periodic evaluation of the participation of Member States and economic actors from different regions of the Union, so that the implementation of the Fund does not end up accentuating existing disparities but instead helps strengthen the European Union's economic convergence, cohesion and competitiveness in the long term.

Amendment 66

Proposal for a regulation

Recital 64

Text proposed by the CommissionAmendment
(64) Where necessary and duly justified, the ECF should incentivise start-ups and innovators established outside of the Union to relocate or invest, and to build up their business in the single market, by providing an ‘inducement intervention’ mechanism attracting successful start-ups and innovators from all over the world, drawing also on its network of EU Delegation. For this purpose, the eligibility requirements, for example as regards establishment in the Member States or associated countries at the start of Union support, should be temporarily waived to allow recipient to resettle within a set timeframe with the assurance of subsequent Union support. The financial interest of the Union should be duly protected, and payments should not be provided until the eligibility requirements are fulfilled.(64) Where necessary and duly justified, the ECF should incentivise start-ups and innovators established outside of the Union to relocate or invest, and to build up their business in the single market, by providing an ‘inducement intervention’ mechanism attracting successful start-ups and innovators from all over the world, drawing also on its network of EU Delegation. For this purpose, the eligibility requirements, for example as regards establishment in the Member States, especially in the least favoured regions including the less developed and transition ones, or associated countries at the start of Union support, should be temporarily waived to allow recipient to resettle within a set timeframe with the assurance of subsequent Union support. The financial interest of the Union should be duly protected, and payments should not be provided until the eligibility requirements are fulfilled.

Amendment 67

Proposal for a regulation

Recital 65

Text proposed by the CommissionAmendment
(65) Where necessary and duly justified, the ECF should allow for a more flexible and accessible way of identifying, selecting and supporting innovative projects and ideas, including by providing for instrument-neutral award procedures that will allow researchers, entrepreneurs, companies and other citizens to propose their innovation solution without the initial artificial narrowing or limitation of Union support to a grant, procurement or other form of Union support. Ideas should be assessed and selected based on their merit in addressing the respective challenge or Union policy priority, and the most appropriate and effective instrument of budget implementation to support these ideas, whether grant, procurement or others, should be selected only afterwards based on the requirements and merits of the individual project.(65) Where necessary and duly justified, the ECF should allow for a more flexible and accessible way of identifying, selecting and supporting innovative projects and ideas, including by providing for instrument-neutral award procedures that will allow researchers, entrepreneurs, companies, local and regional authorities and other citizens to propose their innovation solution without the initial artificial narrowing or limitation of Union support to a grant, procurement or other form of Union support. Ideas should be assessed and selected based on their merit in addressing the respective challenge or Union policy priority, and the most appropriate and effective instrument of budget implementation to support these ideas, whether grant, procurement or others, should be selected only afterwards based on the requirements and merits of the individual project.

Amendment 68

Proposal for a regulation

Recital 70

Text proposed by the CommissionAmendment
(70) To provide implementing partners with broader access to the ECF InvestEU Instrument, the Commission should be able to conclude agreements in indirect management with all the categories of entities listed under Article 62(1), point (c), Regulation (EU, Euratom) 2024/2059. To unlock private capital, bodies established in a Member State, governed by the private law of a Member State or Union law should also be eligible to be exceptionally entrusted, following a positive pillar assessment, with the implementation of financial instruments or budgetary guarantees, including when combined with grants or with other forms of non-repayable support in blending operations, to the extent that such bodies are provided with adequate financial guarantees. Such bodies should be selected taking due account of the nature of the financial instrument or budgetary guarantee to be implemented, the experience and the financial and operational capacity of those bodies, and their rules and procedures for verifying the economic viability of projects of final recipients. The selection should be transparent, justified on objective grounds and should not give rise to a conflict of interests.(70) To provide implementing partners with broader access to the ECF InvestEU Instrument, the Commission should be able to conclude agreements in indirect management with all the categories of entities listed under Article 62(1), point (c), Regulation (EU, Euratom) 2024/2059. To unlock private capital, bodies established in a Member State, including regional and local authorities, governed by the private law of a Member State or Union law should also be eligible to be exceptionally entrusted, following a positive pillar assessment, with the implementation of financial instruments or budgetary guarantees, including when combined with grants or with other forms of non-repayable support in blending operations, to the extent that such bodies are provided with adequate financial guarantees. Such bodies should be selected taking due account of the nature of the financial instrument or budgetary guarantee to be implemented, the experience and the financial and operational capacity of those bodies, and their rules and procedures for verifying the economic viability of projects of final recipients. The selection should be transparent, justified on objective grounds and should not give rise to a conflict of interests.

Amendment 69

Proposal for a regulation

Recital 75 a (new)

Text proposed by the CommissionAmendment
(75a) The Commission should develop guidelines to facilitate national co-financing for multi-country projects supported under the ECF, including for the purposes of ensuring quick, predictable and coherent processing in the application of State aid rules, especially for projects that contribute directly to the Union's security and resilience objectives.

Amendment 70

Proposal for a regulation

Recital 76

Text proposed by the CommissionAmendment
(76) Whereas European innovative start-ups and scale-ups are essential engines of growth and competitiveness, and acknowledging that they face persistent barriers to access necessary financing in the Union, the ECF InvestEU Instrument should provide targeted financial support to growing and scaling up companies in the Union at all stages — from inception and start-up to scale-up and industrial manufacturing. The ECF InvestEU Instrument should provide direct and indirect funding for European companies with a view to attract private investors — thereby unlocking the full potential of European entrepreneurship and investment. This will empower start-ups and scale-ups and reinforce the Union’s global leadership in technology and industry, while bridging Europe’s innovation and investment gaps and delivering on the ambition of the Savings and Investment Union. The ECF InvestEU Instrument would include a facility aiming to ensure that high-growth enterprises developing or deploying innovative technologies, including in areas important for the Union’s strategic interests and economic security, can access adequate capital to scale up their businesses. It will mobilise investments from Europe’s capital markets, in line with Union’s policy priorities.(76) Whereas European innovative start-ups and scale-ups are essential engines of growth and competitiveness, and acknowledging that they face persistent barriers to access necessary financing in the Union, the ECF InvestEU Instrument should provide targeted financial support to growing and scaling up companies in the Union at all stages and across all EU regions, with particular attention to the least favoured regions including the outermost ones, to foster regional innovation and competitiveness — from inception and start-up to scale-up and industrial manufacturing. The ECF InvestEU Instrument should provide direct and indirect funding for European companies with a view to attract private investors — thereby unlocking the full potential of European entrepreneurship and investment. This will empower start-ups and scale-ups and reinforce the Union’s global leadership in technology and industry, while bridging Europe’s innovation and investment gaps and delivering on the ambition of the Savings and Investment Union. The ECF InvestEU Instrument would include a facility aiming to ensure that high-growth enterprises developing or deploying innovative technologies, including in areas important for the Union’s strategic interests and economic security, can access adequate capital to scale up their businesses. It will mobilise investments from Europe’s capital markets, in line with Union’s policy priorities.

Amendment 71

Proposal for a regulation

Recital 77

Text proposed by the CommissionAmendment
(77) A Project Advisory should be established to support objectives of the ECF, building on the of InvestEU Advisory Hub. It should unify advisory support to private and public entities across Europe, offering tailored services to potential beneficiaries and contribute to development of a pipeline of potential investment operations under the ECF. At the same time, role of business support services such as the EU for Business Network, among others, should be to make European businesses become more innovative and competitive, grow and scale in the Single Market and to raise awareness and contribute to capacity building on avenues for accessing capital market-based funding. To avoid undue administrative burden and ensure a swift deployment and support to the market in continuity, the ECF may rely on the existing community of the InvestEU Programme pillar assessed advisory partners.(77) A Project Advisory should be established to support objectives of the ECF, building on the of InvestEU Advisory Hub also including representatives of local and regional authorities. It should unify advisory support to private and public entities across Europe, offering tailored services to potential beneficiaries and contribute to development of a pipeline of potential investment operations under the ECF. At the same time, role of business support services such as the EU for Business Network, among others, should be to make European businesses become more innovative and competitive, grow and scale in the Single Market and to raise awareness and contribute to capacity building on avenues for accessing capital market-based funding. To avoid undue administrative burden and ensure a swift deployment and support to the market in continuity, the ECF may rely on the existing community of the InvestEU Programme pillar assessed advisory partners.

Amendment 72

Proposal for a regulation

Recital 78

Text proposed by the CommissionAmendment
(78) SMEs make up more than 99 % of all businesses in the Union, provide two thirds of jobs, and contribute substantially to the creation of new quality jobs in all sectors. Scaling firms exist across all sectors and levels of innovative prowess. Stimulating the Union’s growth and innovation can only happen by boosting the many scalers that exist across the Union SME population. SMEs are essential to achieve the green and digital transformations of the economy, including the achievement of climate neutrality.(78) SMEs make up more than 99 % of all businesses in the Union, provide two thirds of jobs, contribute substantially to the creation of new quality jobs in all sectors, and are vital to regional economies, often serving as the “backbone” of local, rural, and, in some cases, remote areas. Scaling firms exist across all sectors and levels of innovative prowess. Stimulating the Union’s growth and innovation can only happen by boosting the many scalers that exist across the Union SME population. SMEs are essential to achieve the green and digital transformations of the economy, including the achievement of climate neutrality.

Amendment 73

Proposal for a regulation

Recital 79

Text proposed by the CommissionAmendment
(79) However, access to finance is an important barrier for SMEs, especially for start-ups and scale-ups, as they often rely on external financing to support their growth plans. SMEs face further barriers to innovation and growth that do not affect larger firms to the same extent, for example the lack of entrepreneurial skills, lack of access technology infrastructure, difficulties in protecting intellectual property or accessing export markets and value chains in order to develop their internationalisation activities.(79) However, access to finance is an important barrier for SMEs, especially for start-ups and scale-ups, as they often rely on external financing to support their growth plans. SMEs face further barriers to innovation and growth, particularly in regions that are rural, remote, or structurally disadvantaged, that do not affect larger firms to the same extent, for example the lack of entrepreneurial skills, lack of access technology infrastructure, difficulties in protecting intellectual property or accessing export markets and value chains in order to develop their internationalisation activities. These challenges are particularly pronounced in the least favoured regions including the outermost ones, where structural challenges, remoteness, small market size and higher costs further exacerbate barriers to access to finance, innovation capacity and integration into European and global value chains.

Amendment 74

Proposal for a regulation

Recital 80

Text proposed by the CommissionAmendment
(80) Evidence shows that direct financial support to SMEs is not enough on its own to support their scaling-up and that they need and benefit from dedicated advice at Union level. Providing advice on Single Market rules, innovation and access to finance contributes to Union competitiveness. Moreover, business support at local, regional and national level is diverse and should also connect less developed and outermost regions. Existing Union initiatives such as the Enterprise Europe Network, European Cluster Collaboration Platform and European Digital Innovation Hubs have helped bridge this gap. Accordingly, an ‘EU for Business Network’ shall be established, building on the Enterprise Europe Network (EEN), the European Cluster Collaboration Platform (ECCP) and other networks, to simplify and streamline advisory and partnership services.(80) Evidence shows that direct financial support to SMEs is not enough on its own to support their scaling-up and that they need and benefit from dedicated advice at Union level. Providing advice on Single Market rules, innovation and access to finance contributes to Union competitiveness. Moreover, business support at local, regional and national level is diverse and should also connect the least favoured regions including border, less developed and outermost regions as well as their rural areas. Existing Union initiatives such as the Enterprise Europe Network, European Cluster Collaboration Platform and European Digital Innovation Hubs have helped bridge this gap. Accordingly, an ‘EU for Business Network’ shall be established, building on the Enterprise Europe Network (EEN), the European Cluster Collaboration Platform (ECCP) and other networks, to simplify and streamline advisory and partnership services.

Amendment 75

Proposal for a regulation

Recital 81

Text proposed by the CommissionAmendment
(81) The ECF will support SME’s access to finance and strengthen the competitiveness of the Union SMEs via two main avenues: First, in addition to the EU for Business Network, the ECF will also conduct additional cross-cutting activities focused on strengthening the competitiveness of SMEs. Second, the ECF policy windows should include dedicated SME actions targeting SMEs in strategic sectors, such as bonus systems to encourage SME participation, with a view to fostering SME innovation, growth and scaling-up. Special support may be granted for access to and the availability of finance for SMEs and small mid-cap companies across all sectors of the economy, including micro-finance, support for social enterprises. Furthermore, a flexible financial toolbox under the ECF should ensure that SMEs could receive the type of support that best fits their needs along their investment journey.(81) The ECF will support SME’s access to finance and strengthen the competitiveness of the Union SMEs via two main avenues, to be implemented through the work programmes adopted pursuant to this Regulation. First, in addition to the EU for Business Network, the ECF will also conduct additional cross-cutting activities focused on strengthening the competitiveness of SMEs. Second, the ECF policy windows should include dedicated SME actions targeting SMEs especially but not exclusively in strategic sectors, such as bonus systems to encourage SME participation, with a view to fostering SME innovation, growth and scaling-up. Special support may be granted for access to and the availability of finance for SMEs and small mid-cap companies across all sectors of the economy, including micro-finance, support for social enterprises and for the SMEs operating in less developed and transition regions. Furthermore, a flexible financial toolbox under the ECF should ensure that SMEs could receive the type of support that best fits their needs along their investment journey. SMEs, start-ups and mid-cap companies are key drivers of innovation and technological development in the Union’s industrial ecosystems. Their effective participation in projects supported by the Fund should be ensured. Moreover, it is essential to introduce mechanisms preventing their marginalisation and to ensure a dedicated allocation of resources for these enterprises, particularly for scale-up projects.

Amendment 76

Proposal for a regulation

Recital 83

Text proposed by the CommissionAmendment
(83) The ECF is to be implemented in accordance with Regulation (EU) [XXX]23 of the European Parliament and of the Council [Performance Regulation] which establishes the rules for the expenditure tracking and the performance framework for the Union budget, including rules for ensuring a uniform application of the principles of ‘do no significant harm’ and gender equality referred to in Article 33(2), points (d) and (f), of Regulation (EU, Euratom) 2024/2509 respectively, rules for monitoring and reporting on the performance of Union programmes and activities, rules for establishing a Union support portal, rules for the evaluation of the programmes, as well as other horizontal provisions applicable to all Union programmes such as those on information, communication and visibility.(83) The ECF is to be implemented in accordance with Regulation (EU) [XXX]23 of the European Parliament and of the Council [Performance Regulation] which establishes the rules for the expenditure tracking and the performance framework for the Union budget, including rules for ensuring a uniform application of the principles of ‘do no significant harm’, “do no harm to cohesion” and gender equality referred to in Article 33(2), points (d) and (f), of Regulation (EU, Euratom) 2024/2509 respectively, rules for monitoring and reporting on the performance of Union programmes and activities, rules for establishing a Union support portal, rules for the evaluation of the programmes, as well as other horizontal provisions applicable to all Union programmes such as those on information, communication and visibility.
23 OJ L.., p23 OJ L.., p

Amendment 77

Proposal for a regulation

Recital 87 a (new)

Text proposed by the CommissionAmendment
(87a) Renewed Smart Specialisation Strategies (S3) are a key place-based tool to strengthen synergies between the National and Regional Partnership Plans and the European Competitiveness Fund by aligning European competitiveness priorities with regional innovation ecosystems and industrial strengths.

Amendment 78

Proposal for a regulation

Recital 88 a (new)

Text proposed by the CommissionAmendment
(88a) ECF support should address cohesively the critical infrastructure germane to competitiveness and resilience, including when this is a prerequisite for achieving the objectives of security, industrial transition and strategic autonomy, hence preventing any inconsistencies between the financing of objectives and the financing of the infrastructure needed for their implementation.

Amendment 79

Proposal for a regulation

Article 1 – paragraph 2 – point b

Text proposed by the CommissionAmendment
(b) A ‘Health, Biotech, Agriculture and Bioeconomy’ window – implemented through the activities set out in Chapter II and Chapter V, and contributing to the specific objectives set out in Article 3(2), point (b);(b) A ‘Health, Biotech, Agriculture, Food Production and Bioeconomy’ window – implemented through the activities set out in Chapter II and Chapter V, and contributing to the specific objectives set out in Article 3(2), point (b);

Amendment 80

Proposal for a regulation

Article 1 – paragraph 2 – point d a (new)

Text proposed by the CommissionAmendment
(da) A ‘Urban Innovation’ window contributing to the specific objective set out in Article 3(2), point (e).

Amendment 81

Proposal for a regulation

Article 1 – paragraph 3

Text proposed by the CommissionAmendment
3. The Regulation also sets up a legal framework aiming at ensuring security of supply, removing investment obstacles and production bottlenecks and supporting the competitiveness of the Union’s industrial base.3. The Regulation also sets up a legal framework aiming at ensuring innovation, security of supply, inter alia through the creation and modernisation of strategic storage capacities, removing investment obstacles and production bottlenecks and supporting the competitiveness of the Union’s sustainable industrial base, while ensuring alignment with the Union’s climate objectives and the Union’s commitment to a clean and just transition.

Amendment 82

Proposal for a regulation

Article 2 – paragraph 1 – point 3 a (new)

Text proposed by the CommissionAmendment
(3a) ‘Competitiveness’ means the capacity of companies, sectors and local and regional economies to provide long-term and sustainable prosperity by developing and deploying innovation, industrial capabilities and skills, as well as to compete fairly with other countries, companies and organisations within the internal market and globally. The competitiveness aims to foster economic growth and productivity, achieve strategic resilience, energy transition objectives, as well as economic, social and territorial cohesion, and create high-quality, stable and well-paid jobs in European cities and regions.

Amendment 83

Proposal for a regulation

Article 2 – paragraph 1 – point 8

Text proposed by the CommissionAmendment
(8) ‘Imperative public interest’ means, for the purpose of Article 20, an overriding reason for providing Union support for a certain action, or set of actions, due to a clear and significant contribution to the achievement of policy objectives under the ECF, which justifies the application of accelerated and simplified rules to the award;(8) ‘Imperative public interest’ means, for the purpose of Article 20, an overriding reason for providing Union support for a certain action, or set of actions, due to a clear and significant contribution to the achievement of policy objectives under the ECF, including regional development and cohesion policy ones, which justifies the application of accelerated and simplified rules to the award;

Amendment 84

Proposal for a regulation

Article 2 – paragraph 1 – point 10 a (new)

Text proposed by the CommissionAmendment
(10a) ‘Project of Common Interest’ means a project as defined in art. 2 point 5 of the European Parliament and the Council Regulation (EU) 2022/869 of 30 May 2022;

Amendment 85

Proposal for a regulation

Article 2 – paragraph 1 – point 11

Text proposed by the CommissionAmendment
(11) ‘Investment journey’ means the continuum of public and private financial support and policy support mechanisms provided to recipients across its entire development chain, including a comprehensive series of activities involved in the allocation of financial resources and provision of support to foster innovation and economic growth. This journey includes, but is not limited to, the initiation from fundamental and applied research phases, progressing through stages of scaling up, industrial deployment, and advancing to the culmination in full-scale manufacturing and industrial maturity and internationalisation;(11) ‘Investment journey’ means the continuum of public and private financial support and policy support mechanisms provided to recipients across its entire development, production and deployment chain, including a comprehensive series of activities involved in the allocation of financial resources and provision of support to foster innovation and economic growth. This journey includes, but is not limited to, the initiation from fundamental and applied research phases, progressing through stages of scaling up, industrial deployment, and advancing to the culmination in full-scale manufacturing and industrial maturity and internationalisation;

Amendment 86

Proposal for a regulation

Article 2 – paragraph 1 – point 17

Text proposed by the CommissionAmendment
(17) ‘Competitiveness Seal’ means a quality label awarded to a proposal submitted to a call for proposals that meets all the quality requirements set out in the award procedure but might receive support from other Union or national funding sources;(17) ‘Competitiveness Seal’ means a quality label awarded to a proposal submitted to a call for proposals that meets all the quality requirements set out in the award procedure but might receive support from other Union or national funding sources. Within the Competitiveness Seal, a Regional Competitiveness dimension should also be established, that should be awarded to projects which, in addition to meeting all quality requirements, directly contribute to the Union's economic, social and territorial cohesion and to regional competitiveness.

Amendment 87

Proposal for a regulation

Article 2 – paragraph 1 – point 20

Text proposed by the CommissionAmendment
(20) ‘Stakeholders' means individuals, groups, or organizations that are affected by and can be involved in the programme implementation;(20) ‘Stakeholders' means individuals, groups, or organisations including local and regional authorities, civil society organisations, regional clusters, industry, research and innovation experts, as well as academia that are affected by and or can be involved in the programme implementation;

Amendment 88

Proposal for a regulation

Article 2 – paragraph 1 – point 21

Text proposed by the CommissionAmendment
(21) ‘Infrastructure’ means all physical and virtual elements necessary for the provision of services and economic activities, including networks, grids and assets, as well as mobile assets linked to infrastructure, fostering decarbonisation, resilience, efficiency, digitalisation, and interoperability;(21) ‘Infrastructure’ means all physical and virtual elements necessary for the provision of services and economic activities, including water management, networks, grids and assets, as well as mobile assets linked to infrastructure, fostering decarbonisation, resilience, efficiency, digitalisation, and interoperability;

Amendment 89

Proposal for a regulation

Article 2 – paragraph 1 – point 21 a (new)

Text proposed by the CommissionAmendment
(21a) "Place-based innovation" means innovation based on the local and regional context and aims to drive economic growth, improve quality of life, and contribute to sustainable development at regional and local level, while also having strong potential to contribute to the realisation of EU competitiveness and innovation agendas.

Amendment 90

Proposal for a regulation

Article 2 – paragraph 1 – point 21 b (new)

Text proposed by the CommissionAmendment
(21b) The least favoured regions mean regions referred to in Articles 174 and 349 of the Treaty on the Functioning of the European Union.

Amendment 91

Proposal for a regulation

Article 3 – paragraph 1 – introductory part

Text proposed by the CommissionAmendment
1. The general objective of the ECF is to increase European competitiveness, notably in strategic sectors and technologies along the investment journey by:1. The general objective of the ECF is to increase European competitiveness across the Union in line with the “Do no harm to cohesion” principle, particularly but not exclusively in strategic sectors and technologies along the investment journey, while ensuring fair, transparent and non-discriminatory access for all relevant actors, in particular in support of projects and companies including SMEs, start-ups, large enterprises, local public authorities, universities, research and technology organisations, by:

Amendment 92

Proposal for a regulation

Article 3 – paragraph 1 – point a

Text proposed by the CommissionAmendment
(a) delivering technological, economic and environmental impact from the Union's investments, including by developing disruptive and incremental innovation, and emerging, cutting-edge, dual-use, and strategic technologies with significant economic potential, including by developing and accelerating their manufacturing and industrial deployment;(a) delivering technological, economic and environmental impact from the Union's investments, including by developing disruptive and incremental innovation, and emerging, cutting-edge, dual-use, and strategic technologies with significant economic potential, including by developing and accelerating their manufacturing and industrial deployment, in a manner that ensures both the excellency, and a fair and balanced geographical distribution of opportunities and resources across the Union, through dedicating an adequate share of the Fund to the least favoured regions as well as less developed and transition ones;

Amendment 93

Proposal for a regulation

Article 3 – paragraph 1 – point a a (new)

Text proposed by the CommissionAmendment
(aa) engaging and connecting the full competitiveness potential across the Union by promoting EU-wide collaboration and inclusive participation of Member States in strategic industrial value chains, including by supporting SMEs’ integration and the modernisation of traditional industrial sectors;

Amendment 94

Proposal for a regulation

Article 3 – paragraph 1 – point b

Text proposed by the CommissionAmendment
(b) reducing or preventing the Union’s strategic dependencies, and reinforcing the Union’s resilience, and economic security, including through diversifying sources and markets, support to ramp up of European production of strategic technologies and creating, strengthening and protecting critical Union value chains and infrastructure;(b) reducing or preventing the Union’s strategic dependencies, and reinforcing the Union’s resilience, and economic security, including water and food security, through diversifying sources and markets, supporting the ramp up of European production of strategic technologies, integrating the regional value chains at the EU level and creating, strengthening and protecting critical Union value chains, strategic storage facilities and infrastructure;

Amendment 95

Proposal for a regulation

Article 3 – paragraph 1 – point c

Text proposed by the CommissionAmendment
(c) addressing market failures and suboptimal investment situations, including by crowding in private capital and institutional investors as well as public funding in a proportionate manner, while avoiding duplication and without crowding out private investors; serving as an integrated platform for delivering targeted financial support to companies across all development phases start-ups, scale-ups, and strategic companies, including those actively pursuing manufacturing, industrial and market deployment;(c) addressing market failures and suboptimal investment situations across the EU from economic, social and territorial perspectives, including by crowding in private capital and institutional investors as well as public funding in a proportionate manner, while avoiding duplication and without crowding out private investors, ensuring that projects are selected and implemented based on excellence, empowering national and regional entities to support a local, clean industrial transition; serving as an integrated platform for delivering targeted financial support to companies across all development phases start-ups, scale-ups, and strategic companies, including those actively pursuing manufacturing, industrial and market deployment, while ensuring high levels of cybersecurity and technological autonomy across all EU regions and avoiding further widening of the 'innovation divide' due to digital exclusion.

Amendment 96

Proposal for a regulation

Article 3 – paragraph 1 – point d

Text proposed by the CommissionAmendment
(d) furthering the integration of Union capital markets in alignment with the objective of delivering Savings and Investment Union, including solutions to address the fragmentation of Union capital markets, eliminate barriers and create incentives for private investments and diversify and reinforce the sources of financing for Union enterprises in all the Member States, including those with less developed capital markets;(d) furthering the integration of Union capital markets in alignment with the objective of delivering Savings and Investment Union, including solutions to address the fragmentation of Union capital markets, eliminate barriers and create incentives for private investments and diversify and reinforce the sources of financing for Union enterprises in all the Member States and their regions, ensuring access to the capital market across the Union and that 'no region is left behind';

Amendment 97

Proposal for a regulation

Article 3 – paragraph 1 – point f

Text proposed by the CommissionAmendment
(f) developing Union cross-border and critical infrastructure key to the Union’s competitiveness, and strategic independence in particular energy and transport, digital and security, defence and space infrastructure as well as social infrastructure and related data and services;(f) developing and strengthening Union cross-border and critical infrastructure essential to the Union’s competitiveness, regional connectivity, strategic independence and resilience, prioritising critical infrastructure that improves access of less connected regions to the Single Market, in particular in energy and transport, digital and security, defence, dual-use and space infrastructure, water and social infrastructure as well as related data and services, recognising digital regional connectivity as an essential requirement for competitiveness and specific needs of regions in energy transition and eastern border regions;

Amendment 98

Proposal for a regulation

Article 3 – paragraph 1 – point g

Text proposed by the CommissionAmendment
(g) strengthening the competitiveness of SMEs and small mid-cap companies established in the Union and their ability to grow and scale up, in particular by improving their access to finance, including private investment, micro-finance and support to social enterprises as facilitating access to Union funding, through faster, simplified and harmonised procedures; reducing and ensuring a proportionate reporting burden;(g) Strengthening the competitiveness and sustainability of SMEs and small mid-cap companies established in the Union and their ability to secure long-term viability and continuity of operations, as well as to grow and scale up, in particular by introducing various form of support, fostering the growth, promoting and creating of SMEs and enterprise networks, improving their access to the Single Market and to finance, including private investment, micro-finance, and support to social enterprises, and by providing them technical assistance, including advisory support, as well as by facilitating access to Union funding through faster, simplified and harmonised procedures, ensuring equal and broad access for all eligible entities; reducing and ensuring a proportionate reporting burden and ensuring tailored financing solutions and simplified access conditions for SMEs and small mid-cap companies that accurately reflect their distinct financing needs and capacities;

Amendment 99

Proposal for a regulation

Article 3 – paragraph 1 – point h

Text proposed by the CommissionAmendment
(h) addressing shortages of skills critical to all kinds of quality jobs in strategic sectors for EU competitiveness, through both horizontal and specific skills investment, contributing to the availability of skills in future emerging technologies, and by pursuing to accompany investments with skills investment and indicate when it is included;(h) addressing shortages of skills and gender gaps thereof through investments in both horizontal and specific skills, critical to all kinds of quality jobs in strategic sectors, contributing to the availability of skills for current developing and future emerging industries and technologies, and by systematically pursuing to accompany investments with skills investment;

Amendment 100

Proposal for a regulation

Article 3 – paragraph 1 – point h a (new)

Text proposed by the CommissionAmendment
(ha) promoting responsible subcontracting practices in projects supported by the Fund, by mandatory disclosure of the full subcontracting chain. Where the Commission identifies serious breaches of labour law, social law or obligations relating to subcontracting transparency, Union support may be suspended, reduced or recovered;

Amendment 101

Proposal for a regulation

Article 3 – paragraph 1 – point i

Text proposed by the CommissionAmendment
(i) ensuring the integration of the Single Market, including by supporting initiatives at any stage of the investment journey with positive spill-over effects for the Single Market and resilience of its value chains;(i) ensuring the integration of the Single Market, including by supporting initiatives at any stage of the investment journey with positive spill-over effects for the Single Market and resilience of its value chains, and promoting interoperability to ensure that the ECF operates as a unified investment capacity;

Amendment 102

Proposal for a regulation

Article 3 – paragraph 1 – point k

Text proposed by the CommissionAmendment
(k) ensuring a just transition to a sustainable, decarbonised and digital economy that is fair and supporting workers and communities.(k) ensuring a just transition to a sustainable, decarbonised and digital economy that is fair and supporting workers and communities, as well as aiming at economic and innovation convergence among Member States and regions, with particular focus on less developed and transition regions; as well as both urban and rural areas dependent on energy- and carbon-intensive industries, while safeguarding people’s right to stay in their regions;

Amendment 103

Proposal for a regulation

Article 3 – paragraph 1 – point k a (new)

Text proposed by the CommissionAmendment
(ka) developing and supporting regional and local innovation and deployment ecosystems in order to strengthen the territorial dimension of competitiveness by facilitating cooperation among industry including SMEs and small mid-caps, research organisations, and local and regional authorities; promoting territorially anchored industrial, technological and skills capacities; and promoting integration into sustainable, inclusive, resilient and strategic Union value chains, by enabling the deployment of innovative actions that contribute to Union competitiveness and resilience and by promoting synergies with programmes contributing to economic, social and territorial cohesion, in particular those implemented under the National and Regional Partnership Plans;

Amendment 104

Proposal for a regulation

Article 3 – paragraph 1 – point k b (new)

Text proposed by the CommissionAmendment
(kb) supporting actions carried out by regional and local authorities that provide the conditions necessary to accommodate industrial investments and industrial transformation contributing to the Union’s competitiveness objectives;

Amendment 105

Proposal for a regulation

Article 3 – paragraph 2 – introductory part

Text proposed by the CommissionAmendment
2. Under the general objectives set out in paragraph 1, the ECF shall in particular pursue the following specific objectives:2. Under the general objectives set out in paragraph 1, the ECF shall in particular pursue the following specific objectives, with a view to ensuring balanced and fair access to funding across Member States:

Amendment 106

Proposal for a regulation

Article 3 – paragraph 2 – point a

Text proposed by the CommissionAmendment
(a) For support to Clean Transition and Industrial Decarbonisation, the specific objectives of support to decarbonisation of European industry, including SMEs and energy intensive industries, clean tech manufacturing and its supply chains, and contributing to the shift towards a sustainable, circular, energy-, water- and resource-efficient, climate-neutral and resilient economy. This includes the uptake by industries of decarbonisation technologies and other solutions for their industrial processes and activities, as well as the decarbonisation of energy supply, promotion of energy efficiency, the uptake of renewable and clean energy solutions, the development of energy system flexibility, the uptake of lead markets for clean products , the development, resilience, integration and digitalisation of the energy and transport infrastructures and systems, boosting smart mobility and sustainable alternative fuels, as well as boosting the sustainable blue economy, the development of innovative nature-based business models and demand side solutions for clean and decarbonised buildings, transport and industry, and production ramp up contributing to Europe’s strategic autonomy.(a) For support to Clean Transition and Industrial Decarbonisation, the specific objectives of Decarbonisation, the specific objectives of closing the investment gap identified in the Commission’s assessment of the National Energy and Climate Plans, in particular to support the decarbonisation of European industry, including SMEs and small mid-caps and energy intensive industries, clean tech manufacturing and its supply chains, with a view to addressing interconnection bottlenecks in regions where integration into the Single Energy Market remains insufficient and contributing to the development and support for regional and local innovation and deployment ecosystems to strengthen the territorial dimension of competitiveness by facilitating cooperation among industry including SMEs and small mid-caps, research organisations, and local and regional authorities and the shift towards a sustainable, circular, energy-, water- and resource-efficient, climate-neutral and resilient economy. This includes the uptake by industries of decarbonisation sustainable and resource-efficient technologies and other solutions for their industrial processes and activities, as well as the implementation of local and regional climate and energy plans, the decarbonisation of energy supply, promotion of energy efficiency, the uptake of renewable and clean energy solutions, the development of energy system integration and flexibility, the uptake of lead markets for clean products, the development, resilience, integration and digitalisation of the energy and transport infrastructures and systems, boosting demand for energy transition solutions and technologies, boosting smart mobility and sustainable alternative fuels, as well as boosting the sustainable blue economy, the development of innovative nature-based business models and demand side solutions for clean and decarbonised buildings, transport and industry, the guarantee of supply of raw materials necessary for the shift to a decarbonised and digitalised economy, and production ramp up contributing to Europe’s strategic autonomy. It also includes support to a Just Transition, such as tailored territorial actions to support societal transformations, including economic diversification, upskilling and reskilling in regions and communities most affected by the transition to climate neutrality and other structural shifts, in close partnership with local and regional authorities and relevant stakeholders.

Amendment 107

Proposal for a regulation

Article 3 – paragraph 2 – point b – introductory part

Text proposed by the CommissionAmendment
(b) For support to Health, Biotechnology, Agriculture and Bioeconomy:(b) For support to Health, Biotechnology, Agriculture, Food Production and Bioeconomy:

Amendment 108

Proposal for a regulation

Article 3 – paragraph 2 – point b – point 2

Text proposed by the CommissionAmendment
(2) For support to biotechnology, the specific objectives of contributing to the development and scalable production and uptake, availability and accessibility of medicinal products, medical devices, diagnostics and other medical countermeasures.(2) For support to biotechnology, the specific objectives of contributing to the development and scalable production and uptake, availability and accessibility of medicinal products, medical devices, diagnostics and other medical countermeasures, ensuring equitable access to medicines across all Member States and regions.

Amendment 109

Proposal for a regulation

Article 3 – paragraph 2 – point b – point 4

Text proposed by the CommissionAmendment
(4) For support to the agriculture and food security, the specific objective of fostering the competitiveness, sustainability, and resilience of the agriculture, fisheries and aquaculture, forestry and rural and coastal areas and their role in the transition to a climate-neutral climate-resilient, water-smart, nature-positive economy and the protection of natural resources biodiversity while contributing to long term food security in the Union.(4) For support to the agriculture and food security, the specific objective of fostering the competitiveness, sustainability, and resilience of the agriculture, fisheries and aquaculture, forestry and the least favoured regions, including rural and coastal areas, as well as Outermost Regions and their role in the transition to a climate-neutral climate-resilient, water-smart, nature-positive economy and the protection of natural resources biodiversity while contributing to long term food security in the Union.

Amendment 110

Proposal for a regulation

Article 3 – paragraph 2 – point c

Text proposed by the CommissionAmendment
(c) For support to Digital Leadership policy, the specific objectives of fostering innovation and competitiveness of digital sector for a competitive and secure Union and bringing its benefits to citizens and society, public administrations and businesses across the Union. This shall include, but not be limited to, supporting the entire digital value- and supply-chains and activities including support to start-ups, scale-ups and SMEs, in particular along the following dimensions: Achieving leadership in digital and AI technologies, including through technology transfer and innovation, and through cutting-edge infrastructures such as AI-powered digital twins; Achieving technological sovereignty by building resilient digital ecosystems and ensuring a high-level of cybersecurity in the Union; Enabling the power of digital for businesses and citizens by deploying advanced digital applications and services, infrastructures, capacities and capabilities and by reinforcing interoperability across the Union, Including support to digitalisation of companies, including SMEs, small mid-cap companies, start-ups and scale-ups; Supporting the digital transformation and interoperability of public and private sectors through the rapid uptake of AI, the wallet technologies, such as EU Digital Identity Wallets and trust services established pursuant to Regulation (EU) No 910/2014 and the forthcoming European Business Wallets and other digital innovative solutions. Support to cultural and creative industries, complementing the AgoraEU programme.(c) For support to Digital Leadership policy, the specific objectives of fostering innovation and competitiveness of digital sector for a competitive and secure Union and bringing its benefits to citizens and society, public administrations and businesses across the Union, including in the least favoured regions. This shall include, but not be limited to, supporting the entire digital value- and supply-chains and activities including support to start-ups, scale-ups and SMEs, in particular along the following dimensions: Achieving leadership in digital and AI technologies, including through technology transfer and innovation, and through cutting-edge infrastructures such as AI-powered digital twins; Achieving technological sovereignty by building resilient digital ecosystems and ensuring a high-level of cybersecurity in the Union, including at all levels of government; Enabling the power of digital for businesses and citizens by deploying advanced digital applications and services, infrastructures, capacities and capabilities and by reinforcing interoperability across the Union, Including support to digitalisation of companies, including SMEs, small mid-cap companies, start-ups and scale-ups across all sectors; Supporting the digital transformation and interoperability of public and private sectors through the rapid uptake of AI, the wallet technologies, such as EU Digital Identity Wallets and trust services established pursuant to Regulation (EU) No 910/2014 and the forthcoming European Business Wallets and other digital innovative solutions. Support to cultural and creative industries, complementing the AgoraEU programme.

Amendment 111

Proposal for a regulation

Article 3 – paragraph 2 – point d – point 1

Text proposed by the CommissionAmendment
(1) For support to resilience of supply chains, the specific objectives of reinforcing Europe’s resilience by strengthening the Union capacity in exploration, extraction, processing and recycling of raw materials and diversifying supply sources and markets, and improving the timely availability of such products, including through the reduction of their delivery lead time, reservation of manufacturing slots or stockpiling of products, intermediate products or raw materials.(1) For support to resilience of supply chains and the integration of regional value chains at EU level, the specific objectives of reinforcing Europe’s resilience by strengthening the Union capacity in exploration, extraction, processing and recycling of raw materials and diversifying supply sources and markets, prioritising those within the Union’s regions, and improving the timely availability of such products, including through the reduction of their delivery lead time, reservation of manufacturing slots or stockpiling of products, intermediate products or raw materials.

Amendment 112

Proposal for a regulation

Article 3 – paragraph 2 – point d – point 2 a (new)

Text proposed by the CommissionAmendment
(2a) For upgrading EU security and defence infrastructure, the specific objective of supporting investments strengthening the resilience and security of the Union’s external borders, in particular along the eastern border of the Union, including strategic defence and dual-use infrastructure projects such as the Eastern Shield and the Baltic Defence Line; supporting investments in strategic fuel infrastructure contributing to security and defence preparedness and diversification of supply; Supporting investments strengthening energy security and resilience of energy supply chains including by deployment of low- and zero-emission technologies across strategic industrial ecosystems.

Amendment 113

Proposal for a regulation

Article 3 – paragraph 2 – point d – point 3

Text proposed by the CommissionAmendment
(3) For the implementation of EU space systems and space policy, the specific objectives of developing, maintaining and operating space systems, providing cutting-edge space-based information, data and services supporting Union policies, notably in the area of security, defence, sustainable growth, environment protection and climate resilience, global engagement and strategic independence; Maximising the socio-economic benefits of space-based activities, in particular by fostering the development of an innovative and competitive Union space economy and supporting the development of a genuine Single Market for space activities, including collaborative research and innovation for space products and technologies and support to SMEs; Enhancing the safety, security and sustainability of all outer space activities; Promoting the role of the Union as a global actor in the space sector.(3) For the implementation of EU space systems and space policy, the specific objectives of developing, maintaining and operating space systems, including the terrestrial segment and the data processing infrastructure, providing cutting-edge space-based information, data and services supporting Union policies, notably in the area of security, defence, sustainable growth, environment protection and climate resilience, global engagement and strategic independence; maximising the socio-economic benefits of space-based activities, in particular by fostering the development of an innovative and competitive Union space economy and supporting the development of space industries across the whole value chain, including SMEs and start-ups in diverse geographical locations creating a genuine Single Market for space activities, including collaborative research and innovation for space products and technologies; Enhancing the safety, security and sustainability of all outer space activities; Promoting the role of the Union as a global actor in the space sector fostering a balanced European space industry.

Amendment 114

Proposal for a regulation

Article 3 – paragraph 2 – point d – point 4

Text proposed by the CommissionAmendment
(4) For support to civil industrial security, the specific objectives of strengthening the competitiveness and responsiveness of the European civil security industry, in the application areas of security, resilience of critical and dual-use infrastructures, technologies including critical energy infrastructure, and solutions for the control of goods and persons at borders, the protection of borders, maritime security, customs security and civil preparedness against security threats, as well as reinforcing the capabilities of the relevant end-users in the civil security sector.(4) For support to civil industrial security, the specific objectives of strengthening the competitiveness and responsiveness of the European civil security industry, in the application areas of security, resilience of critical and dual-use infrastructures, technologies including critical energy infrastructure and ports, and solutions for the control of goods and persons at borders, the protection of borders, strategic food storage facilities, maritime security, customs security and civil preparedness against security threats and against climate-related disasters as well as reinforcing the capabilities of the relevant end-users in the civil security sector.

Amendment 115

Proposal for a regulation

Article 3 – paragraph 2 – point d a (new)

Text proposed by the CommissionAmendment
(da) For strengthening the territorial dimension of the Union's competitiveness, the specific objective of supporting the development of regional and local innovation ecosystems, alongside sustainable urban development and urban innovation initiatives, shall be implemented through competitive calls targeting city-anchored consortia to drive deployment and scale-up actions, including clean energy, zero-emission mobility, circular procurement, and the decarbonisation, rehabilitation, and regeneration of the built environment, where these contribute to the innovation capacity and sustainability of regional and local economies. To maximise the impact on cities and regions, the Fund shall promote synergies with programmes contributing to economic, social, and territorial cohesion, in particular those implemented under the National and Regional Partnership Plans. The Fund may provide technical assistance to cities and regional and local authorities aimed at supporting project preparation, public procurement, and the development of standardised monitoring, reporting, and verification frameworks.

Amendment 116

Proposal for a regulation

Article 3 – paragraph 2 a (new)

Text proposed by the CommissionAmendment
2 a. All actions supported under the Fund shall respect the principle of technological neutrality, ensuring that different technological pathways and industrial solutions can contribute on equal terms to the general and specific objectives referred to in Article 3 paragraph 1 and 2 of this Regulation.

Amendment 117

Proposal for a regulation

Article 4 – paragraph 2 – point c

Text proposed by the CommissionAmendment
(c) EUR 20 393 000 000 for the specific objectives referred to in Article 3(2), point (b);(c) EUR 20 393 000 000 for the specific objectives referred to in Article 3(2), point (b), of which a minimum amount shall be allocated to addressing challenges in the agricultural sector, in particular to strengthening water resilience, and the establishment of a European agricultural reinsurance guarantee mechanism, in order to enhance the sector’s resilience to climate and market shocks and contribute to the Union’s food security and strategic autonomy.

Amendment 118

Proposal for a regulation

Article 5 – paragraph 1

Text proposed by the CommissionAmendment
1. Member States, Union institutions, bodies and agencies, third countries, international organisations, international financial institutions, or other third parties, may make additional financial or non-financial contributions available to the ECF, or any of its specific activities or objectives referred to in Article 3(2), including specific contributions to the ECF InvestEU Instrument budgetary guarantee and financial instruments as referred to in Article 21. Additional financial contributions shall constitute external assigned revenue within the meaning of Article 21(2), points (a), (d), or (e) or Article 21(5) of Regulation (EU, Euratom) 2024/2509.1. Member States, regional and local authorities, Union institutions, bodies and agencies, third countries, international organisations, international financial institutions, or other third parties, may make additional financial or non-financial contributions available to the ECF, or any of its specific activities or objectives referred to in Article 3(2), including specific contributions to the ECF InvestEU Instrument budgetary guarantee and financial instruments as referred to in Article 21. Additional financial contributions shall constitute external assigned revenue within the meaning of Article 21(2), points (a), (d), or (e) or Article 21(5) of Regulation (EU, Euratom) 2024/2509.

Amendment 119

Proposal for a regulation

Article 5 – paragraph 2

Text proposed by the CommissionAmendment
2. Resources allocated to Member States under shared management may, at their request, in accordance Article X of Regulation (EU) [XXX][NRPF regulation], be made available to the ECF. The Commission shall implement those resources directly or indirectly in accordance with Article 62(1), point (a) or (c) of Regulation, (EU, Euratom) 2024/2509. They shall be additional to the amount referred to in Article 4. Those resources shall be used for the benefit of the Member State concerned. Where the Commission has not entered into a legal commitment under direct or indirect management for additional amounts thus made available to the ECF, the corresponding uncommitted amounts may, at the request of the Member State concerned, be transferred back to one or more respective chapters of the Plan or their successors.2. Resources allocated to Member States under shared management may, at their request, in accordance Article X of Regulation (EU) [XXX][NRPF regulation], be made available to the ECF. The Commission shall implement those resources directly or indirectly in accordance with Article 62(1), point (a) or (c) of Regulation, (EU, Euratom) 2024/2509. They shall be additional to the amount referred to in Article 4. Those resources shall be used for the benefit of the Member State and regions concerned. The Commission shall ensure that the implementation rules for the transferred amounts are streamlined with state-aid rules and do not result in double reporting obligation. Where the Commission has not entered into a legal commitment under direct or indirect management for additional amounts thus made available to the ECF, the corresponding uncommitted amounts may, at the request of the Member State concerned, be transferred back to one or more respective chapters of the Plan or their successors. In preparing such a request, Member States shall, where appropriate, involve the authorities responsible for national and regional partnership plans, with a view to ensuring consistency with territorial priorities and maximising the impact of the Plans at regional level.

Amendment 120

Proposal for a regulation

Article 5 a (new)

Text proposed by the CommissionAmendment
Article 5a
Geographical balance of the Fund’s implementation
1. The Commission shall ensure supportive measures to avoid excessive concentration, in particular geographical concentration, of ECF funding.
2. The Commission shall develop robust monitoring systems to track the geographical distribution of funding across regions, including the creation of a European Competitiveness Scoreboard and an ECF Dashboard identifying innovation and competitiveness performance across regions and Member states. The results of the monitoring shall be reflected in the drawing-up of subsequent work programmes.
3.Where significant concentration is identified, the Commission shall trigger appropriate balancing measures.
4. Where applicable, award criteria shall be laid down in the work programmes referred to in Article 15, taking into account, the following elements:
(a) an assessment of the expected results of the proposals and their impact on achieving the objectives set out in Article 3, with particular attention to SMEs, small mid-caps, start-ups and to regions lagging behind in competitiveness and innovation performance;
(b) the ability of the proposals to support specific activities under Chapters III, IV, V, VI and VII, Sections 1, 3 and 4, taking into account the nature of the activities, ensuring EU-wide coverage and the participation of partners from all types of regions, including the least favoured ones;
(c) in the case of collaborative actions and consortia, the participation of partners from the least favoured regions and the establishment of research or production activities in those regions, with a view to promoting Union value chains and ensuring a balanced territorial impact of the ECF;
(d) the participation of partners from the least favoured regions in consortia;
(e) the ability of the proposal to disseminate technology and knowledge across Member States;
(f) proven impact on strengthening the innovation eco-system via place-based innovation.
5. The work programme shall lay down rules for dealing with proposals of equal merit (ex aequo), including weighting factors relating to geographical diversity and the participation of partners from the least favoured regions as tie-breaking elements. The work programmes shall include specific calls enabling first-time applicants, less experienced applicants and entities from the least favoured regions to join existing consortia under Chapters IV to VII, including, where appropriate, the possibility to add additional beneficiaries during project implementation in order to enhance flexibility, responsiveness and EU-wide impact.
6. Complementary measures shall be put in place by the Commission:
(a) to establish minimum indicative thresholds, based on objective and transparent criteria, for the allocation of funding to start-ups and first-time applicants under certain calls or instruments of the ECF;
(b) to support the integration of entities from different Member States into Single Market value chains, as referred to in Article 16, including by promoting the composition and participation of consortia from different Member States across the value chain.

Amendment 121

Proposal for a regulation

Article 6 – paragraph 1

Text proposed by the CommissionAmendment
1. The ECF shall be implemented in synergy with other Union programmes. An action that has received a Union contribution from another programme may also receive another contribution under the ECF. The rules of the relevant Union programme shall apply to the corresponding contribution or a single set of rules may be applied to all contributions and a single legal commitment may be concluded. If the Union contribution is based on eligible costs, the cumulative support from the Union budget shall not exceed the total eligible costs of the action and may be calculated on a pro-rata basis in accordance with the documents setting out the conditions for support.1. The ECF shall be implemented in synergy with other Union programmes. An action that has received a Union contribution from another programme may also receive another contribution under the ECF. When applicable, a single set of rules shall be applied to all contributions and a single legal commitment shall be concluded. If the Union contribution is based on eligible costs, the cumulative support from the Union budget shall not exceed the total eligible costs of the action and may be calculated on a pro-rata basis in accordance with the documents setting out the conditions for support. In particular, the ECF should be able to be combined with funding under shared management, including from National and Regional Partnership Plans, to support projects from development and testing to implementation and scaling up in regions.

Amendment 122

Proposal for a regulation

Article 6 – paragraph 2

Text proposed by the CommissionAmendment
2. Award procedures under the ECF may be jointly conducted under direct or indirect management with Member States, Union institutions, their departments, bodies and agencies, third countries international organisations, international financial institutions, or other third parties, provided the protection of the financial interests of the Union as well as of the security and defence interests of the Union and its Member States is ensured. Such procedures shall be subject to a single set of rules and lead to the conclusion of single legal commitments. For that purpose, the partners may make resources available to the ECF in accordance with Article 5 of this Regulation, or the partners may be entrusted with the implementation of the award procedure, where applicable in accordance with Article 62(1), point (c), of Regulation (EU, Euratom) 2024/2509. In joint award procedures representatives of the partners to the joint award procedure may also be members of the evaluation committee referred to in Article 153(3) of Regulation (EU, Euratom) 2024/2509.2. Award procedures under the ECF may be jointly conducted under direct or indirect management with Member States, Union institutions, their departments, bodies and agencies, third countries international organisations, international financial institutions, or other third parties, provided that the protection of the financial interests of the Union as well as of the security and defence interests of the Union and its Member States is fully ensured. Such procedures shall be subject to a single set of rules and lead to the conclusion of single legal commitments. For that purpose, the partners may make resources available to the ECF in accordance with Article 5 of this Regulation, or the partners may be entrusted with the implementation of the award procedure, where applicable in accordance with Article 62(1), point (c), of Regulation (EU, Euratom) 2024/2509. In joint award procedures representatives of the partners to the joint award procedure may also be members of the evaluation committee referred to in Article 153(3) of Regulation (EU, Euratom) 2024/2509.

Amendment 123

Proposal for a regulation

Article 6 – paragraph 2 a (new)

Text proposed by the CommissionAmendment
2 a. Specific and tailor-made conditions may be applied to entities operating in the least favoured regions including outermost ones in order to take into account their structural constraints, higher operating costs and limited economies of scale.

Amendment 124

Proposal for a regulation

Article 7 – paragraph 2

Text proposed by the CommissionAmendment
2. The Commission and Member States shall, in a manner commensurate to their respective responsibilities, facilitate coordination and coherence between European Competitiveness Fund and national and regional partnership plans on common competitiveness priorities in selected key areas and projects deemed of strategic importance and of common European interest.2. The Commission and Member States shall, in a manner commensurate to their respective responsibilities, ensure coordination and coherence between European Competitiveness Fund and national and regional partnership plans through a regular structured dialogue. This dialogue shall ensure alignment on common competitiveness priorities in selected key areas and projects deemed of strategic importance and of common European interest with respect. The dialogue should aim at avoiding duplication of funding and ensuring synergies with regional smart specialisation strategies as well as coordination with national and regional development strategies. Such coordination shall involve local and regional authorities based on multilevel governance and partnership provisions (as per Article 6 of the NRPP Fund Regulation) and in full consistency with the European Code of Conduct of Partnership, while ensuring synergies and interoperability across instruments, promoting cohesion and integration of the least favoured regions into EU strategic value chains as well as enhancing the Union’s overall competitiveness.

Amendment 125

Proposal for a regulation

Article 7 – paragraph 3 a (new)

Text proposed by the CommissionAmendment
3 a. In order to ensure continuity of the European Union’s just transition efforts, the European Commission and Member States shall ensure that support provided under this Regulation is coherent and complementary with territorial just transition plans and chapters set out in the National and Regional Partnership Plans Regulation (EU) [XXX], in particular for regions and territories in the transition to a climate-neutral and resource-efficient economy, such as coal and peat regions. Local and regional authorities shall be closely involved in the design, implementation, monitoring and evaluation of such support in accordance with the principles of multilevel governance and partnership.

Amendment 126

Proposal for a regulation

Article 8 – paragraph 1 a (new)

Text proposed by the CommissionAmendment
1 a. The award of the Competitiveness Seal shall be based on objective, transparent and predefined criteria, including the project’s demonstrable contribution to European added value and fair competition, as well as the regional dimension of the seal whereby the seal is awarded to projects that directly contribute to the Union’s economic, social and territorial cohesion. The Commission shall publish the list of awarded projects, the assessment methodology and provide a reasoned decision for each award.

Amendment 127

Proposal for a regulation

Article 8 – paragraph 3 a (new)

Text proposed by the CommissionAmendment
3 a. Projects awarded the Competitiveness Seal may be supported under the National and Regional Partnership Plans (NRPPs) without requiring a new evaluation assessment.

Amendment 128

Proposal for a regulation

Article 8 – paragraph 4

Text proposed by the CommissionAmendment
4. Strategic projects under CRMA, NZIA, CMA and other strategic projects identified in Union legislation that fulfil the conditions in paragraph 1, will be directly granted the Competitiveness Seal.4. Strategic projects under CRMA, the European Chips Act, NZIA, CMA and other strategic projects identified in Union legislation that fulfil the conditions in paragraph 1, will be directly granted the Competitiveness Seal.

Amendment 129

Proposal for a regulation

Article 9 – paragraph 1

Text proposed by the CommissionAmendment
1. Eligibility criteria shall be set to support achievement of the general and specific objectives referred to in Article 3 of this Regulation, in accordance with Regulation (EU, Euratom) 2024/2509 and apply to all award procedures under the ECF.1. Eligibility criteria shall be set to support achievement of the general and specific objectives referred to in Article 3 of this Regulation, in accordance with Regulation (EU, Euratom) 2024/2509 and apply to all award procedures under the ECF. Eligibility criteria shall be designed in a transparent and non-discriminatory manner, avoiding that structural barriers arise for entities operating in different technological, industrial, energy and territorial contexts within the Union.

Amendment 130

Proposal for a regulation

Article 9 – paragraph 5

Text proposed by the CommissionAmendment
5. The work programme or the documents related to the award procedure may further specify the eligibility criteria set out in this Regulation or set out additional eligibility criteria for specific actions.5. The work programme or the documents related to the award procedure may further specify the eligibility criteria set out in this Regulation or set out additional eligibility criteria for specific actions, with a view to facilitating broad participation of public and private entities, and fostering integrated, long-term and place-based investment approaches, including specific and tailor-made criteria for different type of territories, such as the least favoured regions.

Amendment 131

Proposal for a regulation

Article 9 a (new)

Text proposed by the CommissionAmendment
Article 9a
Respect for the rule of law
1. Union support under this Regulation shall be conditional upon respect for the rule of law as referred to in Article 2 TEU.
2. Where the Commission considers that serious and systemic breaches of the principles of the rule of law are undermined, it may suspend, reduce or restrict access to Union funding under this Regulation, including to entities established in the relevant member state.
3. Measures adopted pursuant to paragraph 2 shall be proportionate and shall take into account the nature, gravity and duration of the breach.
4. Before adopting any measure, the Commission shall give the Member State concerned the opportunity to submit observations.
5. Measures shall be lifted where the conditions leading to their adoption are no longer fulfilled.

Amendment 132

Proposal for a regulation

Article 10 – paragraph 1

Text proposed by the CommissionAmendment
1. The ECF support shall target development manufacturing and exploitation in the Union of strategic technologies and sectors, in line with Union law and international commitments. The award procedures may apply any of the conditions set out in paragraph 2 to protect Union’s strategic and economic security interests, as well as security and critical assets and the services they provide.1. The ECF support shall target development manufacturing and exploitation in the Union of strategic technologies and sectors, in line with Union law and international commitments. The award procedures shall apply any of the conditions set out in paragraph 2 in line with strategic assessments from the Competitiveness Coordination Tool to protect Union’s strategic and economic security interests, as well as security and critical assets and the services they provide. When applying these conditions, the Commission shall ensure a distribution of strategic manufacturing and development, avoiding over-concentration in a few Member States.

Amendment 133

Proposal for a regulation

Article 10 – paragraph 2 – introductory part

Text proposed by the CommissionAmendment
2. The work programme, the investment guidelines or the documents related to the award procedure may set out eligibility conditions to ensure the competitiveness of the Union, including protection of economic interests and autonomy of the Union where necessary and appropriate, including through preferential conditions such as restrictions or incentives for Union entities, while limiting distortion of the single market. Those eligibility conditions may take the form of:2. The work programme, the investment guidelines or the documents related to the award procedure may set out eligibility conditions to ensure the competitiveness of the Union, including protection of economic interests and autonomy of the Union where necessary and appropriate, including through preferential conditions such as restrictions or incentives for Union entities, while limiting distortion of the single market such as shown in territorial impact assessments. Those eligibility conditions may take the form of:

Amendment 134

Proposal for a regulation

Article 11 – paragraph 1 – point b

Text proposed by the CommissionAmendment
(b) acceding countries, candidate countries and potential candidates;(b) acceding countries, candidate countries and potential candidates in order to ensure these countries an access to funding and to align their industries with the Union's internal market standards from the outset in the process;

Amendment 135

Proposal for a regulation

Article 12 – paragraph 1

Text proposed by the CommissionAmendment
1. The ECF is to be implemented through work programmes in accordance with Article 110 of Regulation (EU, Euratom) 2024/2509.1. The ECF is to be implemented through work programmes in accordance with Article 110 of Regulation (EU, Euratom) 2024/2509, ensuring coordination, complementarity and synergies with other relevant Union instruments, as well as broad and balanced territorial participation, including from the least favoured regions.

Amendment 136

Proposal for a regulation

Article 12 – paragraph 2

Text proposed by the CommissionAmendment
2. The ECF shall be implemented in accordance with Regulation (EU, Euratom) 2024/2509, under direct management or under indirect management with entities referred to in Article 62(1), point (c) of that Regulation.2. The ECF shall be implemented in accordance with Regulation (EU, Euratom) 2024/2509, under direct management or under indirect management with entities referred to in Article 62(1), point (c) of that Regulation. The Commission shall indicate and justify the choice of the implementation model (direct or indirect management) in every work programme.

Amendment 137

Proposal for a regulation

Article 12 – paragraph 3

Text proposed by the CommissionAmendment
3. Award procedures implemented under the ECF, shall comply with the general provisions of the ECF as set out in Chapters I and II of this Regulation, which, in case of conflict, shall prevail over any other rules pertaining to the activities or subsequent implementing acts.3. Award procedures implemented under the ECF, shall comply with the general provisions of the ECF as set out in Chapters I and II of this Regulation, ensuring both the excellency, and a fair and balanced geographical distribution of opportunities and resources across the Union in order to strengthen economic, social and territorial cohesion. In case of conflict, this Regulation shall prevail over any other rules pertaining to the activities or subsequent implementing acts.

Amendment 138

Proposal for a regulation

Article 12 – paragraph 3 a (new)

Text proposed by the CommissionAmendment
3 a. The allocation of the overall financial envelope of the ECF shall be structured as follows:
(a) 60% of the resources shall be allocated through competitive award procedures based primarily on excellence criteria;
(b) 40% of the resources shall be allocated to geographically balanced actions such as dedicated calls and indicative targets that support sectors ensuring Europe's strategic independence.
In award procedures for this share, the evaluation shall take into account, in addition to excellence criteria, geographical balance, economic resilience, cross-border dimension, economic growth dynamics of the Member States and regions, the support of EU-wide value chains, and access to critical and rare raw materials, ensuring that all Member States can benefit from these resources and no region or Member State is left behind.

Amendment 139

Proposal for a regulation

Article 12 – paragraph 4

Text proposed by the CommissionAmendment
4. Where award procedures concern more than one specific objective laid down in Article 3(2), the work programme may specify that the award procedure is implemented under a single set of rules by applying directly Regulation (EU, Euratom) 2024/2509, complemented by the general rules set out in Chapter I and II, or by applying the rules of one of the concerned specific objectives.4. Where award procedures concern more than one specific objective laid down in Article 3(2), the work programme shall specify that the award procedure is implemented under a single set of rules by applying directly Regulation (EU, Euratom) 2024/2509, complemented by the general rules set out in Chapter I and II, or by applying the rules of one of the concerned specific objectives. Promoting synergies between instruments, should aim at simplifying access to funding, enabling different forms of support to work together seamlessly, and maximise the impact of Union resources in an integrated and coherent manner.

Amendment 140

Proposal for a regulation

Article 12 – paragraph 4 a (new)

Text proposed by the CommissionAmendment
4 a. In award procedures implemented under the ECF, priority shall be given to applications submitted by consortiums comprising companies established in different Member States. The evaluation committees shall apply a financing bonus to the funding rate or the award score of such consortiums if at least one of the participating companies is established in a border region of the Union, with special attention given to Eastern regions affected by Russia’s war of aggression against Ukraine.

Amendment 141

Proposal for a regulation

Article 12 – paragraph 4 b (new)

Text proposed by the CommissionAmendment
4 b. Award procedure shall include solutions facilitating access for funding for small and medium-sized enterprises, start-ups or mid-cap companies in form of inter alia: additional points or fast-track application. Solutions facilitating access to funding shall also be provided for dual-use projects, including where they strengthen the resilience of critical infrastructure.

Amendment 142

Proposal for a regulation

Article 12 – paragraph 4 c (new)

Text proposed by the CommissionAmendment
4 c. In addition and beyond indicators set out in Regulation (EU) [XXX] of the European Parliament and of the Council [Performance Regulation], the Commission shall implement the ECF on the basis of clear intervention logic, regular analysis of programme implementation, participation trends and access barriers, including relevant programme management data and network analytics. On that basis, the Commission shall re-assess and take measures to ensure broad geographical participation, avoid unjustified concentrations and achieve an EU-wide impact.

Amendment 143

Proposal for a regulation

Article 12 – paragraph 5

Text proposed by the CommissionAmendment
5. In certain duly substantiated circumstances, Union funding may be granted without a call for proposals in accordance with Article 198 of Regulation (EU, Euratom) 2024/2509, including with point (e).5. In certain duly substantiated and exceptional circumstances, Union funding may be granted without a call for proposals in accordance with Article 198 of Regulation (EU, Euratom) 2024/2509, including with point (e). The Commission shall inform the committee referred to in Article 83 of such decisions to ensure transparency and equal treatment.

Amendment 144

Proposal for a regulation

Article 12 – paragraph 8

Text proposed by the CommissionAmendment
8. Where Union funding is provided in the form of a grant, including when combined in blending operations with other forms of repayable support not supported by the Union budget, funding shall be provided in accordance with Title VIII of Regulation (EU, Euratom) 2024/2509 and in the form of financing not linked to costs in accordance with Article 125(1), point (a), of that Regulation (EU, Euratom) 2024/2509, or, where necessary, simplified cost options. Funding may be also provided in the form of actual eligible cost reimbursement where the objectives of an action cannot be achieved otherwise or where this form is necessary to enable other sources of funding, including financing from Member States.8. Where Union funding is provided in the form of a grant, including when combined in blending operations with other forms of repayable support not supported by the Union budget, funding shall be provided in accordance with Title VIII of Regulation (EU, Euratom) 2024/2509 and in the form of financing not linked to costs in accordance with Article 125(1), point (a), of that Regulation (EU, Euratom) 2024/2509, or, where necessary, simplified cost options. Particular attention shall be given to minimising administrative burden and facilitating access for operators of all sizes. Funding may be also provided in the form of actual eligible cost reimbursement where the objectives of an action cannot be achieved otherwise or where this form is necessary to enable other sources of funding, including financing from Member States.

Amendment 145

Proposal for a regulation

Article 12 – paragraph 11 a (new)

Text proposed by the CommissionAmendment
11 a. Regional and local authorities may be supported as implementing organisations under the Fund, including through competitive selection, where they play a substantive role in accommodating high-tech industrial investments and the twin transition, while contributing to the objectives of the Fund.

Amendment 146

Proposal for a regulation

Article 14 – paragraph 2

Text proposed by the CommissionAmendment
2. The members of the ECF Strategic Stakeholders Board shall be appointed by the Commission, following an open call for nominations or for expressions of interest, or both, whichever the Commission finds more appropriate, and taking into account the need for balance in sector, organisation type, including private investors, and size, expertise, gender, age and geographical distribution. The term of members the Board shall be limited to four years, renewable once. Members of the Board should act with integrity and probity.2. The members of the ECF Strategic Stakeholders Board shall be appointed by the Commission, in consultation with Member States following an open call for nominations or for expressions of interest, or both, whichever the Commission finds more appropriate, and taking into account the need for balance in sector, organisation type, including private investors, and size, expertise, gender, age and geographical distribution, and shall also include representatives of regional and local authorities and cities, as well as regional clusters. The term of members the Board shall be limited to four years, renewable once. Members of the Board should act with integrity and probity.

Amendment 147

Proposal for a regulation

Article 14 – paragraph 4

Text proposed by the CommissionAmendment
4. The ECF Strategic Stakeholder Board, informed by an observatory on emerging technologies, shall advise on the overall direction for the ECF, advise on long-term competitiveness trends, advise on areas of market failures and suboptimal investment situations that could be addressed in the implementation of the ECF, and advise on the identification of strategic portfolios of projects within and across activities of the ECF, for which it may be composed in different policy-oriented configurations.4. The ECF Strategic Stakeholder Board, informed by an observatory on emerging technologies, shall advise on the overall direction for the ECF, advise on long-term competitiveness trends, including the industrial deployment of research results and the competitiveness of innovative and traditional industrial sectors advise on areas of market failures and suboptimal investment situations that could be addressed in the implementation of the ECF, and advise on the identification of strategic portfolios of projects within and across activities of the ECF, for which it may be composed in different policy-oriented configurations.

Amendment 148

Proposal for a regulation

Article 14 – paragraph 8

Text proposed by the CommissionAmendment
8. The Advisory Board on ECF InvestEU Instrument shall be composed of one representative of each implementing partner and one representative of each Member State. the Advisory Board on ECF InvestEU Instrument shall, provide advice on the design of financial products and on the strategic and operational direction in its area of competence. It shall also provide advice on the coordination with the EIC to ensure complementarity with other Union funding or private investments. The Advisory Board shall be chaired by a representative of the Commission.8. The Advisory Board on ECF InvestEU Instrument shall be composed of one representative of each implementing partner and one representative of each Member State and one representative of the European Committee of the Regions. The Advisory Board on ECF InvestEU Instrument shall, provide advice on the design of financial products, on climate-related and environmental risks in investment decisions, and on the strategic and operational direction in its area of competence. It shall also provide advice on the coordination with the EIC to ensure complementarity with other Union funding or private investments, as well as shall provide recommendations on measures to unlock the full potential of all Member States and regions, with a view to reducing the innovation gaps within and fostering their effective integration into Union value chains. It shall also ensure effective territorial coverage of the Fund’s implementation. The Advisory Board shall be chaired by a representative of the Commission.

Amendment 149

Proposal for a regulation

Article 14 – paragraph 11

Text proposed by the CommissionAmendment
11. The Commission shall ensure that stakeholders are consulted in the development of the work programmes, with the creation of one or several thematic platforms per window.11. The Commission shall ensure that stakeholders at all levels of government, including regional innovation agencies, clusters and development agencies are consulted in the development of the work programmes, with the creation of one or several thematic platforms per window. These consultations shall include a comprehensive representation of the following partners:
(a) regional, local, urban, rural and other public authorities or associations representing such authorities;
(b) economic and social partners;
(c) relevant bodies representing civil society such as environmental partners and NGOs;
(d) research organisations and universities.

Amendment 150

Proposal for a regulation

Article 14 a (new)

Text proposed by the CommissionAmendment
Article 14a
Promotion of place-based innovation
1. The ECF shall promote and leverage the potential of place-based innovation by
(i) learning from local dynamics,
(ii) aligning European investments with key priorities, and
(iii) broadening the potential for productivity growth, thereby ensuring better deployment and scaling, while promoting economic growth in all types of places, while maintaining the directionality of the EU sustainability and inclusiveness agenda.
This shall be achieved by alignment of the governance structures at the EU and national and regional levels around key priorities thereby providing the basis for an active engagement of territorial ecosystems in the specific objectives of the fund.
The following actions shall be envisaged:
(a) promote effective synergies in combining EU support for place-based innovation via renewed smart specialisation strategies in Europe’s regions that are aligned with European long-term sustainability and inclusiveness goals,
(b) promote effective synergies in combining local, regional and national support from renewed smart specialisation strategies towards EU competitiveness and innovation priorities,
(c) elevate place-based innovation systems through capacity-building measures that promote transformative innovation approaches,
(d) allow co-creation and mutual learning across policy areas, borders and governance levels to ensure horizontal and vertical coherence via supporting the networking of innovation ecosystems particularly along European value chains,
(e) establish a community of practices to apply innovative tools in promoting cutting edge concepts of place-based innovation-driven transformation,
(f) provide resources for developing new approaches in innovation promotion and testing them at local/regional level, through dedicated regulatory learning spaces,
(g) support measures to promote partnership and multilevel governance of policies and measures to support place-based innovation-driven transformation in a coordinated and consistent way.
Each funding objective of the ECF should take into account the need to reach out to the place-based innovation systems when implementing their policies.

Amendment 151

Proposal for a regulation

Article 15 – paragraph 1 – introductory part

Text proposed by the CommissionAmendment
1. The work programmes may set out:1. The work programmes shall set out:

Amendment 152

Proposal for a regulation

Article 15 – paragraph 1 – point a

Text proposed by the CommissionAmendment
(a) actions and associated budget from ECF as well as actions set out in the specific dedicated part of the work programmes indicated in paragraph 2;(a) actions and associated budget from ECF as well as actions set out in the specific dedicated part of the work programmes indicated in paragraph 2 based on a thorough assessment of the identified needs and proposed actions. In instances where subnational data are unavailable, work programmes may use results from self-assessment tools that have been supported or developed with either direct or indirect support from the European Commission;

Amendment 153

Proposal for a regulation

Article 15 – paragraph 1 – point b

Text proposed by the CommissionAmendment
(b) instruments and form of funding;(b) types of instruments and form of funding (grants, guarantees, loans, blended financing and others);

Amendment 154

Proposal for a regulation

Article 15 – paragraph 1 – point b a (new)

Text proposed by the CommissionAmendment
(b a) model of implementation: direct or indirect management;

Amendment 155

Proposal for a regulation

Article 15 – paragraph 1 – point c

Text proposed by the CommissionAmendment
(c) eligibility and award criteria;(c) clear, fair and inclusive eligibility and award criteria, including those aimed at geographical balance, and facilitating application of different types of beneficiaries and addressed to specific territories as referred in art. 12 of this Regulation;

Amendment 156

Proposal for a regulation

Article 15 – paragraph 1 – point d

Text proposed by the CommissionAmendment
(d) a single co-financing rate per action for actual cost grants;(d) co-financing rates per action for actual cost grants that reflects the financial capacity of beneficiaries, allowing for higher rates for regions or sectors with limited resources. However, for the outermost regions, the co-financing rate shall not be lower than 85% of eligible costs;

Amendment 157

Proposal for a regulation

Article 15 – paragraph 1 – point f

Text proposed by the CommissionAmendment
(f) rules applicable to actions concerning more than one specific objective;(f) rules applicable to actions concerning more than one specific objective. Special attention shall be paid to simplifying reporting obligations ensuring fair, transparent, predictable and non-discriminatory access to ECF-supported actions for all relevant actors, including SMEs, industry, and local and regional authorities;

Amendment 158

Proposal for a regulation

Article 15 – paragraph 1 – point h a (new)

Text proposed by the CommissionAmendment
(h a) measures to broaden participation and facilitate the integration of emerging regional ecosystems in the value chains, including through capacity-building actions, partnership-building activities, and calls for proposals that encourage cross-border consortia with participants from the least favoured regions, including the outermost ones;

Amendment 159

Proposal for a regulation

Article 15 – paragraph 1 – point h b (new)

Text proposed by the CommissionAmendment
(h b) where relevant, dedicated actions addressing the specific needs of the Union’s eastern border regions bordering Russia, Belarus and Ukraine, in particular to strengthen their economic resilience and competitiveness, improve investment conditions and connectivity, support innovation, skills and industrial capacity, and address challenges in economic, social and territorial convergence;

Amendment 160

Proposal for a regulation

Article 15 – paragraph 1 – point h c (new)

Text proposed by the CommissionAmendment
(h c) actions that support the implementation and achievement of the Union targets and objectives, notably for climate, energy, biodiversity, and public health;

Amendment 161

Proposal for a regulation

Article 15 – paragraph 2

Text proposed by the CommissionAmendment
2. The work programmes under this Regulation shall integrate in a specific dedicated part collaborative research and innovation activities and their dedicated budget.2. The work programmes under this Regulation shall integrate in a specific dedicated part collaborative research and innovation activities and their dedicated budget and specify the operational links with relevant actions in Horizon Europe, including continuity of funding from research to demonstration, deployment, and production. It shall also identify high-risk sectors and promote pathways from research results to industrial deployment, including by facilitating the uptake of high-quality projects awarded Competitiveness Seal through complementary Union, national, regional or local funding, including cohesion policy funds.

Amendment 162

Proposal for a regulation

Article 15 – paragraph 3

Text proposed by the CommissionAmendment
3. The Commission shall, by means of implementing acts, adopt the work programmes implementing the specific objectives referred to in Article 3(2), points (a), (b), (c) and (d) and for the horizontal activities in Chapter III. Those implementing acts shall be adopted in accordance with the advisory procedure referred to in Article 83(2).3. The Commission shall, by means of implementing acts, adopt the work programmes implementing the specific objectives referred to in Article 3(2), points (a), (b), (c) and (d) and for the horizontal activities in Chapter III. Those implementing acts shall be adopted in accordance with the advisory procedure referred to in Article 83(2). Their adoption shall be followed by structural dialogue with Member States in defining priorities and in coordinating complementarities with National and Regional Partnership Plans.

Amendment 163

Proposal for a regulation

Article 16 – paragraph 1

Text proposed by the CommissionAmendment
1. In order to foster resilient Union value chains, the work programmes may include dedicated value-chains scale up calls which shall support both project preparation and crowding in of additional public and private capital to integrate suppliers, manufacturers, and innovators from different Member States and diversify sources of supply.1. In order to foster resilient Union value chains, the work programmes may include dedicated value-chains scale up calls which shall support both project preparation, deployment and crowding in of additional public and private capital to integrate suppliers, manufacturers, innovators and beneficiaries from different Member States and regions and diversify sources of supply and demand. They should also foresee measures to promote interregional and cross-border cooperation of local and regional eco-systems along these value chains.

Amendment 164

Proposal for a regulation

Article 17 – paragraph 4

Text proposed by the CommissionAmendment
4. Proposals and offers shall be evaluated and ranked based on common award criteria such as their comparative contribution to Union competitiveness.4. Proposals and offers shall be evaluated and ranked based on common award criteria such as their comparative contribution to Union competitiveness and EU added value as well as their economic and societal impact with excellence as the primary selection criterion, however, where appropriate geographical balance shall be introduced sub-criterion in specific calls, with the aim of incentivising the inclusion of partners from underrepresented Member States and regions and reduction of persistent participation gaps in accessing financing.

Amendment 165

Proposal for a regulation

Article 17 – paragraph 4 a (new)

Text proposed by the CommissionAmendment
4 a. Award procedures shall encourage the participation of SMEs and smaller suppliers within European value chains.

Amendment 166

Proposal for a regulation

Article 18 – paragraph 2

Text proposed by the CommissionAmendment
2. The work programme or the documents related to the award procedure shall set out additional conditions to ensure that the support is necessary and proportionate, excluding overcompensation and double funding, is temporary and decreases over time.2. The work programme or the documents related to the award procedure shall set out additional conditions to ensure that the support is necessary, proportionate and of EU-wide relevance, excluding overcompensation and double funding, is temporary and decreases over time.

Amendment 167

Proposal for a regulation

Article 19 – paragraph 1 – point b a (new)

Text proposed by the CommissionAmendment
(b a) projects of Common Interest (PCIs) that directly contribute to EU energy and climate goals, improve interoperability of energy networks across borders, and ensure the security of energy supply for the cross-border regions and Member States, taking advantage of accelerated permitting procedures and improved regulatory conditions.

Amendment 168

Proposal for a regulation

Article 19 a (new)

Text proposed by the CommissionAmendment
Article 19a
Industrial Projects of Common European Interest
The ECF shall support an EU-wide list of industrial projects of common European interest within the five core industrial pillars of the ECF:
a. Clean Transition and Industrial Decarbonisation;
b. Health, Biotech, Agriculture, Food Production and Bioeconomy;
c. Digital Leadership; and Resilience;
d. Security, Defence Industry, and Space;
e. Urban Innovation.
2. Projects eligible for support under this section shall be pre-identified to ensure Europe's strategic autonomy and economic resilience. The specific list of these industrial projects of common European interest for the 2028-2034 Multiannual Financial Framework is set out in Annex I.
3. The Commission is empowered to adopt delegated acts in accordance with Article 84 to allocate resources from the 40% geographically balanced allocation referred to in Article 12(3a), point (b) to the projects listed in Annex I.
Annex I
ANNEX I: List of pre-identified industrial projects of common European interest for the 2028-2034 Multiannual Financial Framework

Amendment 169

Proposal for a regulation

Article 21 – paragraph 1

Text proposed by the CommissionAmendment
1. As a horizontal delivery tool for Union internal policies, the ECF InvestEU Instrument shall contain the budgetary guarantee and financial instruments, including when combined with non-repayable support in a blending operation, for the purpose of contributing to the general and specific objectives set out in Article 3, and may be implemented in synergy with other Union or national activities, including through compartments for Member States.1. As a horizontal delivery tool for Union internal policies, the ECF InvestEU Instrument shall contain the budgetary guarantee and financial instruments, including when combined with non-repayable support in a blending operation, for the purpose of contributing to the general and specific objectives set out in Article 3, and may be implemented in synergy with other Union or national activities, including through compartments for Member States. The ECF InvestEU Instrument shall provide dedicated access to finance for SMEs, including tailored financial products and risk-sharing solutions supporting scale-up and industrial deployment.

Amendment 170

Proposal for a regulation

Article 21 – paragraph 5

Text proposed by the CommissionAmendment
5. The investment guidelines set out by the Commission shall define in more detail the scope of intervention in support of the general and specific objectives set out in Article 3. The investment guidelines shall be prepared in close dialogue with the potential implementing partners.5. The investment guidelines set out by the Commission shall define in more detail the scope of intervention in support of the general and specific objectives set out in Article 3. The investment guidelines shall be prepared in close dialogue with the potential implementing partners and ensure that the deployment of financial instruments considers a balanced geographical distribution.

Amendment 171

Proposal for a regulation

Article 21 – paragraph 6 a (new)

Text proposed by the CommissionAmendment
6 a. When implementing the ECF InvestEU instrument, particular attention shall be paid to ensuring balanced access to finance across the Union, including by supporting the development of financial markets and investment capacities in Member States and regions with lower levels of capital market development.

Amendment 172

Proposal for a regulation

Article 22 – paragraph 1

Text proposed by the CommissionAmendment
1. The ECF InvestEU Instrument shall serve as the Union’s integrated platform for delivering targeted financial support to companies across all development phases start-ups, scale-ups, including those actively pursuing manufacturing, industrial and market deployment. It shall ensure that high-potential European companies developing or deploying innovative solutions can access the capital and resources to grow in the Union, thus strengthening the integration of the Single market and the Savings and Investment Union.1. The ECF InvestEU Instrument shall serve as the Union’s integrated platform for delivering targeted financial support to companies across all development phases including start-ups, scale-ups and innovative social economy entities, including those actively pursuing manufacturing, industrial and market deployment. It shall ensure that high-potential European companies developing or deploying innovative solutions can access the capital and resources to grow in the Union, thus strengthening the integration of the Single market and the Savings and Investment Union. Special attention shall be given to businesses and entities rooted in local and regional economic ecosystems, including social economy entities, which contribute to innovation, jobs creation and regional economic development.

Amendment 173

Proposal for a regulation

Article 25 – paragraph 1

Text proposed by the CommissionAmendment
1. The ECF InvestEU Instrument will be implemented by partners in an open architecture model, including the European Investment Bank (EIB) Group, international financial institutions, the national promotional banks and institutions.1. The ECF InvestEU Instrument will be implemented by partners in an open architecture model, including the European Investment Bank (EIB) Group, international financial institutions, the national promotional banks and institutions. The Commission shall ensure a level playing field between national development banks and the EIB to facilitate broad regional coverage and local expertise in project selection.

Amendment 174

Proposal for a regulation

Article 25 – paragraph 3 a (new)

Text proposed by the CommissionAmendment
3 a. The Commission shall develop a coherent approach to ensure that, at the end of the investment period, a wide range of sectors and regions are covered, and excessive sectoral or geographical concentration is avoided. Those efforts shall be based on fair and unbiased assessment.

Amendment 175

Proposal for a regulation

Article 26 – paragraph 1

Text proposed by the CommissionAmendment
1. The Project Advisory shall be made available for repayable and non-repayable instruments. Actions and activities supported under this chapter shall contribute to the general objectives set out in Article 3(1) and shall support and complement, where relevant, activities under the other chapters.1. The Project Advisory shall be made available for repayable and non-repayable instruments. Actions and activities supported under this chapter shall contribute to the general objectives set out in Article 3(1) and shall support and complement, where relevant, activities under the other chapters. Each Member State shall establish at least one national contact point for advisory services.

Amendment 176

Proposal for a regulation

Article 26 – paragraph 2 – point a

Text proposed by the CommissionAmendment
(a) investment advisory services, including market development activities and advisory support for the identification, preparation, development, structuring, procuring and implementation of investment projects, and for enhancing the capacity of project promoters and financial intermediaries to implement financing and investment operations and improve the understanding and use of financial instruments to exploit their full potential. Such support may cover any stage of the life cycle of a project or financing of a supported entity;(a) investment advisory services, including market development activities and advisory support for the identification, preparation, development, structuring, procuring and implementation of investment projects, and for enhancing the capacity of project promoters and financial intermediaries to implement financing and investment operations and improve the understanding and use of financial instruments to exploit their full potential. Such support may cover any stage of the life cycle of a project or financing of a supported entity. Advisory services may also be extended to national and regional public authorities assisting companies within their territories to facilitate their participation in the Fund’s activities;

Amendment 177

Proposal for a regulation

Article 26 – paragraph 2 – point b

Text proposed by the CommissionAmendment
(b) business coaching and acceleration services targeting potential ECF beneficiaries and other project promoters, including SMEs and mid-cap companies, start-ups and scale-ups, supporting and facilitating their access to ECF funding and financing, and facilitating matchmaking with private investors and promoting financial literacy of entrepreneurs, including understanding of the opportunities offered by capital market based financing;(b) business coaching and acceleration services targeting potential ECF beneficiaries and other project promoters, including SMEs and mid-cap companies, start-ups and scale-ups, as well as local and regional authorities supporting and facilitating their access to ECF funding and financing, and facilitating matchmaking with private investors and promoting financial literacy of entrepreneurs, including understanding of the opportunities offered by capital market based financing;

Amendment 178

Proposal for a regulation

Article 26 – paragraph 2 – point b a (new)

Text proposed by the CommissionAmendment
(b a) tailored project advisory and proposal screening services supporting first-time applicants, aimed at reducing barriers to entry and facilitating successful participation and contribution; as well as strengthening national advisory structures supporting international networking and consortia building;

Amendment 179

Proposal for a regulation

Article 26 – paragraph 3 a (new)

Text proposed by the CommissionAmendment
3 a. Project Advisory services shall primarily target SMEs and local authorities with limited administrative capacity to ensure they can effectively identify, prepare, and execute investment projects, thereby ensuring broad and democratic participation across all regions of the Union.

Amendment 180

Proposal for a regulation

Article 26 – paragraph 4

Text proposed by the CommissionAmendment
4. The Commission may conclude advisory agreements with advisory partners and service providers in line with the needs of each policy windows. The Commission and the advisory partners, including the EIB Group, shall cooperate closely with a view to ensuring efficiency, synergies and effective geographic coverage across the Union, while taking account of existing structures and work.4. The Commission may conclude advisory agreements with advisory partners, national and regional public authorities assisting participating entities and service providers, in line with the needs of each policy windows. The Commission and the advisory partners, including the EIB Group and national promotional banks or institutions acting as partners of the EIB Group shall cooperate closely with a view to ensuring efficiency, synergies and effective geographic coverage across the Union, guaranteeing a balanced distribution across regions, while taking account of existing structures and work.

Amendment 181

Proposal for a regulation

Article 26 – paragraph 4 a (new)

Text proposed by the CommissionAmendment
4 a. The Project Advisory services shall also provide targeted support to project promoters located in regions facing structural challenges such as demographic decline or labour shortages.

Amendment 182

Proposal for a regulation

Article 27 – paragraph 1

Text proposed by the CommissionAmendment
1. “EU for Business” Network shall be established to help Union businesses become more competitive and innovate, grow and scale in the Single Market and beyond, with a particular emphasis on SMEs, startups, scaleups and small mid-cap companies. The network shall have a Union-wide and geographically balanced coverage, taking into account the specificities of all types of regions in the Union, including the less developed regions and the Union outermost regions.1. “EU for Business” Network shall be established to help Union businesses become more competitive and innovate, grow and scale in the Single Market and beyond, with a particular emphasis on SMEs, startups, scaleups and small mid-cap companies. The network shall have a Union-wide and geographically balanced coverage, taking into account the specificities of all types of regions in the Union, including the less developed regions, transition regions, border regions, insular and rural areas the Union outermost regions providing support for the creation of project pipelines and increasing the success rate of enterprises in these regions.

Amendment 183

Proposal for a regulation

Article 27 – paragraph 1 – subparagraph 1 a (new)

Text proposed by the CommissionAmendment
The European Business Network should collaborate with local training centres and universities to identify and develop talent, facilitating their integration into regional SMEs and start-ups, thereby strengthening the resilience of local communities.

Amendment 184

Proposal for a regulation

Article 28 – paragraph 1 – introductory part

Text proposed by the CommissionAmendment
1. The ECF shall conduct cross-cutting activities focused on strengthening the competitiveness of the SMEs and achieve additionality at Union level, including through the following measures:1. The ECF shall conduct cross-cutting activities focused on strengthening the competitiveness of the SMEs and achieve additionality at Union level, taking into account existing structures, such as national and regional advisory and support service providers, including through the following measures:

Amendment 185

Proposal for a regulation

Article 28 – paragraph 1 – point c

Text proposed by the CommissionAmendment
(c) support and assistance for access to technologies, technology infrastructure and facilities, support market uptake of innovation and support business organisations, SMEs and small mid-cap companies, including startups and scaleups, to participate in collaborative platforms and sectors;(c) support and assistance for access to technologies, technology infrastructure and facilities, support market uptake of innovation and support business organisations, SMEs and small mid-cap companies, including startups and scaleups, as well as social economy entities to participate in collaborative platforms and sectors;

Amendment 186

Proposal for a regulation

Article 28 – paragraph 1 – point c a (new)

Text proposed by the CommissionAmendment
(c a) support for SMEs, local and regional social economy entities that contribute to the resilience of local value chains, regional economic development and the creation of sustainable employment;

Amendment 187

Proposal for a regulation

Article 28 – paragraph 1 – point f

Text proposed by the CommissionAmendment
(f) facilitation access to markets including through support to the internationalisation of SMEs and provision of market intelligence, including in less developed regions and outermost regions;(f) facilitation access to markets including through support to the internationalisation of SMEs and provision of market intelligence, including in the least favoured regions, the transition and border ones as well as insular and rural areas;

Amendment 188

Proposal for a regulation

Article 28 – paragraph 1 – point h

Text proposed by the CommissionAmendment
(h) promoting entrepreneurship, including women and youth entrepreneurship and the acquisition of entrepreneurial and business skills.(h) promoting entrepreneurship, including women and youth entrepreneurship, as well as entrepreneurship in rural areas, and the acquisition of entrepreneurial and business skills.

Amendment 189

Proposal for a regulation

Article 29 – paragraph 1

Text proposed by the CommissionAmendment
1. Each window shall support dedicated, sector-specific actions targeting start-ups, SMEs and small mid-cap companies or calls for SMEs in strategic sectors with a view to fostering innovation, business acceleration, commercialisation and scaling-up.1. Each window shall support dedicated, sector-specific actions targeting start-ups, SMEs and small mid-cap companies or calls for SMEs in strategic sectors with a view to fostering innovation, local growth, business acceleration, commercialisation and scaling-up building largely on existing support structures.

Amendment 190

Proposal for a regulation

Article 30 – paragraph 1 a (new)

Text proposed by the CommissionAmendment
1 a. The ECF should support local training programmes that enable workers and young students to access high-quality qualification pathways in their own regions, aligned with the needs of local and strategic Union value chains, thereby promoting social and territorial cohesion.

Amendment 191

Proposal for a regulation

Article 31 – paragraph 1

Text proposed by the CommissionAmendment
1. In accordance with Article 150 of Regulation (EU, Euratom) 2024/2509, the ECF shall contribute to the maintenance and extension of the single electronic data interchange area for participants to ensure simplified access to Union funding. That contribution shall be irrespective of the mode or instrument of budget implementation and including advisory and business acceleration services and support to a single gateway for access to Union support in accordance with Regulation (EU) [XXX] [Performance Regulation].1. In accordance with Article 150 of Regulation (EU, Euratom) 2024/2509, the ECF shall contribute to the maintenance and extension of the single electronic data interchange area for participants to ensure simplified access to Union funding. That contribution shall be irrespective of the mode or instrument of budget implementation and including advisory and business acceleration services and support to a single gateway for access to Union support in accordance with Regulation (EU) [XXX] [Performance Regulation], with the aim of ensuring simplified access to Union funding, including through standardized document templates, proportionate reporting for SMEs, and the priority use of simplified costs (lump sums, flat rates) wherever appropriate.

Amendment 192

Proposal for a regulation

Article 31 – paragraph 2

Text proposed by the CommissionAmendment
2. The ECF may support any additional activities to facilitate and accelerate access to Union funding, and other funding, financing and investments, as well as to ensure valorisation and uptake of results through tools and instruments such as proof of concept, deployment grants, advisory and business support services, and any dedicated platform.2. The ECF may support any additional activities to facilitate and accelerate access to Union funding, and other funding, financing and investments, as well as to ensure valorisation and uptake of results through tools and instruments such as proof of concept, deployment grants, advisory and business support services, and any dedicated platform promoting balanced access and enhancing competitiveness across all Member States and regions.

Amendment 193

Proposal for a regulation

Article 32 – paragraph 1

Text proposed by the CommissionAmendment
1. Actions supported under this chapter shall contribute to the general objectives set out Article 3(1) and the specific objectives set out in Article 3(2), point (a).1. Actions supported under this chapter shall contribute to the general objectives set out Article 3(1) and the specific objectives set out in Article 3(2), point (a). The design and implementation of actions under this chapter shall ensure transparent and equal access for entities operating in different energy, technological or territorial contexts.

Amendment 194

Proposal for a regulation

Article 33 – paragraph 1 – point a

Text proposed by the CommissionAmendment
(a) ”LIFE activities”: providing support to bottom-up projects for the demonstration, testing and market uptake of innovative solutions and best practices in clean transition and industrial decarbonisation and awareness raising on climate and environment to relevant governance levels.(a) ”LIFE activities”: providing support to bottom-up projects for the demonstration, testing and market uptake of innovative solutions and best practices in clean transition, water resilience and industrial decarbonisation and awareness raising on climate to relevant governance levels, including local and regional authorities.

Amendment 195

Proposal for a regulation

Article 33 – paragraph 1 – point b

Text proposed by the CommissionAmendment
(b) Energy efficiency, energy storage, demand-response, domestic transmission and distribution grids, digitalisation of energy systems, integrated renewable energy, energy renovations, and heating and cooling solutions, systems and services.(b) Energy efficiency, energy storage, demand-response, domestic transmission and distribution grids, cross-border interconnections designated as Projects of Common Interest (PCIs), integration of the regional energy markets, and supporting critical infrastructure for the Union’s energy resilience, including isolated energy grids, digitalisation of energy systems, integrated renewable energy, energy renovations, and heating and cooling solutions, systems and services.

Amendment 196

Proposal for a regulation

Article 33 – paragraph 1 – point b a (new)

Text proposed by the CommissionAmendment
(b a) The development, production, storage and integration of renewable energy sources, including the infrastructure and technologies necessary for their integration into energy systems, with a view to accelerating the clean transition, reducing dependence on fossil fuels and strengthening the Union’s energy security.

Amendment 197

Proposal for a regulation

Article 33 – paragraph 1 – point c

Text proposed by the CommissionAmendment
(c) Clean energy and decarbonisation solutions in industry, including electrification of energy intensive industries and carbon capture, storage and utilisation (CCS/CCU), and in cities, in particular for energy, transport and buildings.(c) Clean energy and decarbonisation solutions in industry, including carbon capture, removal, storage and utilisation (CCS/CCU), electrification of energy intensive industries ensuring clean transition funds are accessible for industries with high energy consumption to maintain regional industrial bases and employment and considering their role in strategic value chains, including in the security and defence sector and in cities, in particular for energy, transport and buildings.

Amendment 198

Proposal for a regulation

Article 33 – paragraph 1 – point c a (new)

Text proposed by the CommissionAmendment
(c a) Investments for the adaptation and modernisation of industrial infrastructure, as well as related infrastructure critical for the clean transition, including energy networks, transport infrastructure relevant for decarbonisation, and supporting digital infrastructure, in particular in Member States and regions requiring increased efforts for convergence and industrial modernisation.

Amendment 199

Proposal for a regulation

Article 33 – paragraph 1 – point c b (new)

Text proposed by the CommissionAmendment
(c b) Development, implementation and monitoring of climate and energy action plans at the local and regional level, in particular for energy, transport and buildings.

Amendment 200

Proposal for a regulation

Article 33 – paragraph 1 – point d

Text proposed by the CommissionAmendment
(d) Sourcing, production, storage, distribution and uptake of sustainable fuels, facilitating decarbonisation of mobility.(d) Sourcing, production, storage, distribution and uptake of sustainable fuels, including renewable advanced biofuels, RFNBOs and other renewable fuels facilitating decarbonisation of mobility and transport.

Amendment 201

Proposal for a regulation

Article 33 – paragraph 1 – point j

Text proposed by the CommissionAmendment
(j) Climate and water resilience.(j) Climate and water resilience including through water storage, as well as modern and efficient water infrastructure;

Amendment 202

Proposal for a regulation

Article 33 – paragraph 1 – point m

Text proposed by the CommissionAmendment
(m) Sustainability and clean transition of SMEs, including in tourism, construction and other economic sectors.(m) Sustainability and just transition of regions facing significant socio-economic challenges resulting from the energy transition, especially those heavily dependent on fossil fuels (like coal, peat, oil shale) or carbon-intensive industries.

Amendment 203

Proposal for a regulation

Article 33 – paragraph 1 – point o

Text proposed by the CommissionAmendment
(o) Support actions for the development, implementation, monitoring and enforcement of relevant Union legislation and policy. This includes supporting the relevant institutions, the cooperation between national authorities and with stakeholders, studies, the development and deployment of tools and infrastructures, including IT infrastructure and tools.(o) Support actions for the development, implementation, monitoring and enforcement of relevant Union legislation and policy. This includes supporting the relevant institutions, the cooperation between national, local and regional authorities and with stakeholders, studies, the development and deployment of tools and infrastructures, including IT infrastructure and tools.

Amendment 204

Proposal for a regulation

Article 33 – paragraph 1 – point o a (new)

Text proposed by the CommissionAmendment
(o a) Support for SMEs, social economy actors, and energy communities in Just Transition, border and less developed regions, in particular those with carbon-based energy systems, helping boost competitiveness and regional cohesion.

Amendment 205

Proposal for a regulation

Article 33 – paragraph 1 – point o b (new)

Text proposed by the CommissionAmendment
(o b) Development of regional and local innovation and deployment ecosystems that strengthen the territorial dimension of industrial decarbonisation by facilitating cooperation among industry, SMEs, research organisations, and cities and regions; promoting regionally anchored clean-technology value chains, skills and innovation capacities; and enabling the deployment and scaling of climate-neutral technologies and solutions across all territories of the Union.

Amendment 206

Proposal for a regulation

Article 33 – paragraph 1 a (new)

Text proposed by the CommissionAmendment
1 a. When implementing the activities referred to in paragraph 1, due account shall be taken of the principle of technological neutrality, ensuring that the selection of solutions is based on their performance, impact and scalability.

Amendment 207

Proposal for a regulation

Article 33 – paragraph 2

Text proposed by the CommissionAmendment
2. Support provided through the activities referred to in paragraph 1, may be provided in any form, including through collaborative research and innovation activities set out in Regulation (EU) [XXX] [Framework Programme for Research and Innovation] and identified in a specific dedicated part of the Work Programme.2. Support provided through the activities referred to in paragraph 1, may be provided in any form, including through collaborative research and innovation activities set out in Regulation (EU) [XXX] [Framework Programme for Research and Innovation] and identified in a specific dedicated part of the Work Programme. The Work Programme shall ensure synergies and coordinate with existing national and regional innovation ecosystems and new innovation measures set in National and Regional Partnership Plans, such as the smart specialisations strategies for research and innovation, to ensure they receive the necessary support from the ECF financial toolbox.

Amendment 208

Proposal for a regulation

Article 34 – paragraph 1

Text proposed by the CommissionAmendment
1. For activities supporting Coordination and Support Actions in the area of energy efficiency and clean energy transition, Union support may cover up to 100 % of the eligible costs, without prejudice to the co-financing principle.1. For activities supporting Coordination and Support Actions in the area of energy efficiency and clean energy transition as well as climate and water resilience, Union support may cover up to 100 % of the eligible costs, without prejudice to the co-financing principle.

Amendment 209

Proposal for a regulation

Article 37 – paragraph 1 – introductory part

Text proposed by the CommissionAmendment
1. Support for Health, Biotech, Agriculture and Bioeconomy policy shall be implemented in particular through the following activities:1. Support for Health, Biotech, Agriculture, Food Production and Bioeconomy policy shall be implemented in particular through the following activities:

Amendment 210

Proposal for a regulation

Article 37 – paragraph 1 – point a

Text proposed by the CommissionAmendment
(a) Improving and protecting health, including cross-border health, by prioritising health promotion and disease prevention across the life course through a health-in-all and One Health policies approach, with a special emphasis on communicable and non-communicable diseases, including mental health, degenerative health, autism, cardiovascular diseases, cancer and other non-communicable diseases, including those related to pollution, sexual and reproductive health and enhancing international health initiatives and cooperation.(a) Improving and protecting health, including cross-border and rural health, by prioritising health promotion and disease prevention across the life course through a health-in-all and One Health policies approach, with a special emphasis on communicable and non-communicable diseases, including mental health, degenerative health, autism, cardiovascular diseases, cancer and other non-communicable diseases, including those related to pollution, antimicrobial resistance (AMR), sexual and reproductive health and enhancing international health initiatives and cooperation, as well as by stimulating research, innovation and the implementation of innovative solutions, including vaccines, digital tools and diagnostic technologies.

Amendment 211

Proposal for a regulation

Article 37 – paragraph 1 – point c

Text proposed by the CommissionAmendment
(c) Fostering the development, production capacity, manufacturing and industrial deployment of health and bioeconomy technologies, to increase the competitiveness of the sector, and ensure availability of Union medicinal products, medical devices, digital solutions and medical countermeasures relevant for preparedness and response to cross-border threats to health, as well as the competitiveness and resilience of the sectors by ensuring that such products are innovative, safe, accessible, available, and affordable, thereby promoting equitable access across the Union.(c) Fostering the development, production capacity, manufacturing and industrial deployment of health and bioeconomy technologies, to increase the competitiveness of the sector, and ensure availability of Union medicinal products, medical devices, digital solutions and medical countermeasures relevant for preparedness and response to cross-border threats to health, as well as the competitiveness and resilience of the sectors by ensuring that such products are innovative, safe, accessible, available, and affordable, thereby promoting equitable access across the Union. Strategic projects in the fields of health and biotechnology shall prioritise resilience, cybersecurity, and the cross-border interoperability of healthcare, while also addressing the specific needs of the Outermost Regions.

Amendment 212

Proposal for a regulation

Article 37 – paragraph 1 – point e

Text proposed by the CommissionAmendment
(e) Protecting people by supporting the development, implementation and monitoring of health security policies, in cooperation with Member States authorities and stakeholders, as well as coordinating Union and national prevention, preparedness and response plans.(e) Protecting people by supporting the development, implementation and monitoring of health security policies, in cooperation with Member States, regional and local authorities, including cities and stakeholders, as well as coordinating Union and national prevention, preparedness and response plans.

Amendment 213

Proposal for a regulation

Article 37 – paragraph 1 – point g

Text proposed by the CommissionAmendment
(g) Fostering the competitiveness, the sustainability, the resilience and fairness of agriculture, fisheries, aquaculture, forestry sectors and rural and coastal areas, and contribute to long term food security in the Union.(g) Fostering the competitiveness, the sustainability, the resilience and fairness of agriculture, including feed and food production systems, fisheries, aquaculture, forestry sectors and rural and coastal areas, and the least favoured regions including the outermost ones, while contributing to long term food security and water resilience in the Union.

Amendment 214

Proposal for a regulation

Article 39 – paragraph 1

Text proposed by the CommissionAmendment
1. Support for digital leadership shall address, in a comprehensive and coherent manner, the entire scope of the digital sector, such as Artificial Intelligence, (including AI Factories and Gigafactories), high performance computing, quantum technologies, semiconductors and photonics, robotics, large data technologies, telco-edge and cloud technologies, 6G and other wireless technologies, communication networks, advanced connectivity, including 6G and other wireless technologies, sensing technologies, cybersecurity and network resilience, software engineering, augmented reality and virtual worlds, digital twins, Union digital identity and business wallets, trust technologies, new and emerging digital technologies as well as cross-sectoral digital technologies and applications, including those with dual-use potential, support for data technologies and data spaces.1. Support for digital leadership shall address, in a comprehensive and coherent manner, the entire scope of the digital sector, while ensuring that digital solutions and infrastructures are deployable across diverse economic sectors and territories such as Artificial Intelligence, (including AI Factories and Gigafactories), high performance computing, quantum technologies, semiconductors and photonics, robotics, large data technologies, telco-edge and cloud technologies, 6G and other wireless technologies, communication networks, advanced connectivity, including 6G and other wireless technologies, sensing technologies, cybersecurity and network resilience, software engineering, augmented reality and virtual worlds, digital twins, Union digital identity and business wallets, trust technologies, new and emerging digital technologies as well as cross-sectoral digital technologies and applications, including those with dual-use potential, support for data technologies and data spaces.

Amendment 215

Proposal for a regulation

Article 39 – paragraph 2 – point a

Text proposed by the CommissionAmendment
(a) Achieving leadership in digital and AI technologies through research and innovation, applied research, technology transfer, industrial deployment, and market uptake. The implementation shall include, but not be limited to, developing and shaping sustainable core digital technologies that reflect Union values, safeguard the Union’s security and foster its competitiveness globally.(a) Achieving leadership in digital and AI technologies through research and innovation, applied research, technology transfer, industrial deployment, and market uptake. The implementation shall include, but not be limited to, developing and shaping sustainable core digital technologies that reflect Union values and support their uptake throughout economic sectors and territories, safeguard the Union’s security and foster its competitiveness globally.

Amendment 216

Proposal for a regulation

Article 39 – paragraph 2 – point c

Text proposed by the CommissionAmendment
(c) Enabling the power of digital for businesses and citizens by deploying state-of-the-art and sustainable digital applications, infrastructures and services across the Union. The implementation shall include, but not be limited to, actions to research and innovate, develop, produce, manufacture, or deploy advanced digital infrastructures at scale across the Union (e.g. high-performance computing, telco-cloud-edge, AI Factories and Gigafactories, data and data spaces, testing and experimentation facilities, semiconductor, photonics and quantum chips pilot lines, quantum computing, communication and sensing infrastructures, cybersecurity hubs, the EU for Business Network, European Digital Innovation Hubs, advanced connectivity infrastructures including submarine cables and non-terrestrial networks), the EU Digital Identity Wallets and trust services as well as the European Business Wallets and services, secure and interoperable digital public infrastructure, to act as a key enabler of the digital transformation and in support of societal resilience and preparedness, bringing clear added-value to businesses, public services and citizens. Where relevant, these actions shall be coordinated with national investments and shall otherwise exploit untapped potential to create a domestic market for advanced digital technologies ‘made in Europe’. Such actions may be provided under the framework of Multi-Country Projects established in accordance with Decision (EU) 2022/2481, including notably those implemented through the European Digital Infrastructure Consortia or Joint Undertakings.(c) Enabling the power of digital for businesses and citizens, including in rural and remote areas, by deploying state-of-the-art and sustainable digital applications, infrastructures and services across the Union, while reducing structural digital divides and gaps linked to geography. The implementation shall include, but not be limited to, actions to research and innovate, develop, produce, manufacture, or deploy advanced digital infrastructures at scale across the Union (e.g. high-performance computing, telco-cloud-edge, AI Factories and Gigafactories, data and data spaces, testing and experimentation facilities, semiconductor, photonics and quantum chips pilot lines, quantum computing, communication and sensing infrastructures, cybersecurity hubs, the EU for Business Network, European Digital Innovation Hubs, advanced connectivity infrastructures including submarine cables and non-terrestrial networks), to accelerate the digital transformation by supporting robotics, automated data collection and transmission, and cutting-edge technologies, including the use of artificial intelligence and remote sensing technologies, to reduce input consumption and external dependencies, lower greenhouse gas emissions, and increase resource efficiency, the EU Digital Identity Wallets and trust services as well as the European Business Wallets and services, secure and interoperable digital public infrastructure, to act as a key enabler of the digital transformation and in support of societal resilience and preparedness, bringing clear added-value to businesses, public services and citizens. Where relevant, these actions shall be coordinated with national investments and shall otherwise exploit untapped potential to create a domestic market for advanced digital technologies ‘made in Europe’. Such actions may be provided under the framework of Multi-Country Projects established in accordance with Decision (EU) 2022/2481, including notably those implemented through the European Digital Infrastructure Consortia or Joint Undertakings.

Amendment 217

Proposal for a regulation

Article 39 – paragraph 2 – point e

Text proposed by the CommissionAmendment
(e) Support actions for the development, implementation, monitoring and enforcement of relevant Union legislation and policy. This includes supporting the relevant institutions, the cooperation between national authorities and with stakeholders, studies, the development and deployment of tools and infrastructures, including IT infrastructure and tools.(e) Support actions for the development, implementation, monitoring and enforcement of relevant Union legislation and policy. This includes supporting the relevant institutions, the cooperation between national authorities and with stakeholders, studies, input from local and regional authorities, the development and deployment of tools and infrastructures, including IT infrastructure and tools.

Amendment 218

Proposal for a regulation

Article 39 – paragraph 3

Text proposed by the CommissionAmendment
3. Activities under this Section shall support the development, deployment and procurement of advanced cybersecurity capacities, infrastructures, technologies and capabilities, with a view to ensure the security of critical infrastructures & digital supply chains, develop an Union situational picture of the threat landscape as well as improve detection capacities and incident response capabilities; supporting the competitiveness of the Union cybersecurity industrial base, cybersecurity skills development together with the cyber maturity of the European industrial basis, including SMEs.3. Activities under this Section shall support the development, deployment and procurement of advanced cybersecurity capacities, infrastructures, technologies and capabilities, with a view to ensure the security of critical infrastructures & digital supply chains, develop an Union situational picture of the threat landscape as well as improve detection capacities and incident response capabilities. The activities shall, where relevant, bring these cybersecurity tools and expertise to the least favoured regions including rural areas and outermost regions, ensuring that all parts of the Union can enhance their cyber maturity; supporting the competitiveness of the Union cybersecurity industrial base, cybersecurity skills development together with the cyber maturity and resilience of the European industrial basis, including SMEs.

Amendment 219

Proposal for a regulation

Article 41 – paragraph 1

Text proposed by the CommissionAmendment
1. A Space and Defence Advisory Board is set up and may advice the Commission on the coordination and complementarity between space and defence activities as laid down Article 3(2)(d), sub-points (1) and (2) and related financial tools to increase efficiency of investments and effectiveness of results. The members of the Advisory Board referred to in paragraph 1 shall be appointed by Member States1. A Space and Defence Advisory Board is set up and may advice the Commission on the coordination and complementarity between space and defence activities as laid down Article 3(2)(d), sub-points (1) and (2) and related financial tools to increase efficiency of investments and effectiveness of results. The members of the Advisory Board referred to in paragraph 1 shall be appointed by Member States and may include a representative from the Outermost Regions and the Northern Sparsely Populated Areas, given their strategic position and importance for space-related issues.

Amendment 220

Proposal for a regulation

Article 42 – paragraph 1

Text proposed by the CommissionAmendment
1. Support to Resilience policy shall reinforce the strategic autonomy, economic security and the resilience of the Union industry by strengthening the different stages of the raw materials value chain, including through diversification of the supply of critical raw materials from third countries.1. Support to Resilience policy shall reinforce the strategic autonomy, economic security and the resilience of the Union industry by strengthening the different stages of the raw materials value chain by supporting the development of industrial and technological capabilities distributed in a balanced manner across Member States and regions, including through diversification of the supply of critical raw materials from third countries.

Amendment 221

Proposal for a regulation

Article 42 – paragraph 2 – point b a (new)

Text proposed by the CommissionAmendment
(b a) support for strategic food storage facilities;

Amendment 222

Proposal for a regulation

Article 45 – paragraph 4 – point c

Text proposed by the CommissionAmendment
(c) the benefits of the project extend to a wider part of the Union and ensures a broad geographical participation(c) the benefits of the project extend to a wider part of the Union and ensures a broad geographical participation, including through the involvement of SMEs and industrial actors in supply chains and in emerging regional ecosystems;

Amendment 223

Proposal for a regulation

Article 49 – paragraph 1 – point f

Text proposed by the CommissionAmendment
(f) The enhancement of the protection and resilience of infrastructures that are strategic for military mobility especially for those located on a military mobility corridor and those having a European impact.(f) The enhancement of the protection and resilience of infrastructures that are strategic for military mobility especially for those located on a military mobility corridor and those having a European impact, prioritising critical infrastructure upgrades and the rapid deployment of Projects of Common Interest (PCIs) involving at least two Member States. Priority shall be given to applications submitted by consortiums comprising companies established in different Member States, with a financing bonus applied to the funding rate or the award score of such consortiums if at least one of the participating companies is established in a border region of the Union, with special attention given to Eastern regions affected by Russia's war of aggression against Ukraine.

Amendment 224

Proposal for a regulation

Article 53 – paragraph 1 – point b

Text proposed by the CommissionAmendment
(b) The objectives, priorities and the expected results set for the relevant action, in particular trough the evaluation of one or more of the following criteria as specified in the work programmes: (i) contribution to excellence in the defence domain, (ii) innovation capacities, (iii) cross-border cooperation, in particular with SMEs and mid-caps that bring substantial added-value to the action, (iv) competitiveness, (v) increase in production capacities and availability, (vi) reduction of lead production time, (v) increase in interoperability, (vii) increase in interchangeability and (viii) security of supply throughout the Union in response to identified risks, including in particular high exposure to the risk of materialisation of conventional military threats.(b) The objectives, priorities and the expected results set for the relevant action, in particular trough the evaluation of one or more of the following criteria as specified in the work programmes:
(i) contribution to excellence in the defence domain,
(ii) innovation capacities,
(iia) EU added value, including the contribution to economic, social and territorial cohesion;
(iii) extension of cross-border cooperation, in particular with SMEs and mid-caps that bring substantial added-value to the action,
(iv) competitiveness,
(v) increase in production capacities and availability,
(vi) reduction of lead production time,
(via) increase in interoperability,
(vii) increase in interchangeability and
(viii) security of supply throughout the Union in response to identified risks, including in particular high exposure to the risk of materialisation of conventional military threats;
(ix) involving SMEs in emerging innovation ecosystems and developing their capacity to participate in strategic value chains,
(x) contributing to research and innovation partnerships and transnational projects of common European interest, including by expanding the participation of actors from less-represented Member States and regions;
(xi) optimal use of strategic locations and balanced distribution of activities and benefits across Union regions including the least favoured, less-developed and transition regions inter alia trough geographical diversification of the Union’s industrial and technological capabilities, the expansion of the innovation base, and to the strengthening of security of supply throughout the Union., in full respect to the principle 'do no harm to cohesion'.

Amendment 225

Proposal for a regulation

Article 60 – paragraph 2

Text proposed by the CommissionAmendment
2. Copernicus shall also support the formulation, implementation and monitoring of the Union’s and its Member States’ policies in particular in the fields of environment, climate change, marine, maritime, atmosphere, agriculture and rural development, preservation of cultural heritage, civil protection, infrastructure monitoring, safety and security, as well as digital economy, under the Digital Leadership window, which shall be aligned with the objective of Copernicus.2. Copernicus shall also support the formulation, implementation and monitoring of the Union’s its Member States’ and local and regional authorities policies, in particular in the fields of environment, climate change, marine, maritime, atmosphere, agriculture and rural development, preservation of cultural heritage, civil protection, infrastructure monitoring, safety and security, as well as digital economy, under the Digital Leadership window, which shall be aligned with the objective of Copernicus.

Amendment 226

Proposal for a regulation

Article 65 – paragraph 3 – point a

Text proposed by the CommissionAmendment
(a) procurement and aggregation of launch services for the needs of the Union and, at their request, aggregation and joint procurement of launch services for the needs of Member States, international organisations, and other public entities;(a) procurement and aggregation of launch services for the needs of the Union and, at their request, aggregation and joint procurement of launch services for the needs of Member States, international organisations, and other public entities, including regional and local authorities;

Amendment 227

Proposal for a regulation

Article 66 – paragraph 2 – point c

Text proposed by the CommissionAmendment
(c) support to the development of the Union of skills targeted to the space sector, including skills intelligence, space curricula development, upskilling, reskilling, mobility and exchange programmes;(c) support to the development of the Union of skills targeted to the space sector, including skills intelligence, space curricula development, upskilling, reskilling, mobility and exchange programmes, particularly in regions with strategic locations or advanced academic and research capacities, to strengthen expertise and foster regional contributions to the Union’s space objectives;

Amendment 228

Proposal for a regulation

Article 80 – paragraph 1 – point a

Text proposed by the CommissionAmendment
(a) Security and resilience of critical civil infrastructures, in particular against hybrid threats;(a) Security and resilience of critical civil infrastructures, in particular against hybrid threats including cybersecurity and security for critical energy infrastructure;

Amendment 229

Proposal for a regulation

Article 80 – paragraph 1 – point d a (new)

Text proposed by the CommissionAmendment
(d a) the establishment, modernisation and protection of strategic food storage facilities and related logistical infrastructure, as essential components of civil preparedness and the resilience of critical supply chains.

Amendment 230

Proposal for a regulation

Article 82 a (new)

Text proposed by the CommissionAmendment
Article 82a
Monitoring and reporting on the distribution of support
Monitoring of geographical distribution
(1) The Commission shall monitor the geographical distribution of support granted under this Regulation, including the participation of Member States and of the various categories of regions.
(2) the Commission shall include in the annual reports on the implementation of the Fund an analysis of the contribution it has made to strengthening competitiveness across the Union and to reducing territorial disparities pursuant to Article 174 TFEU.
(3) Where necessary, the Commission may bring forward measures to ensure a better balance of participation.

Amendment 231

Proposal for a regulation

Article 83 – paragraph 6 a (new)

Text proposed by the CommissionAmendment
6 a. The European Commission may invite representatives of regional, local, and other public authorities, as well as representatives of the civil society (e.g. non-governmental organisations, social and economic partners) to participate as observers in the meetings of the ECF general committee, and in the meetings of the committees referred to in paragraph 1, points b, c, d and f of this article. However, they may not participate when the ECF general committee is debating subjects related to the committees referred to in paragraph 1 points e, g, h of this article.

Amendment 232

Proposal for a regulation

Article 83 – paragraph 7

Text proposed by the CommissionAmendment
7. In accordance with international agreements concluded by the Union, representatives of third countries, international organisations or other European Union institutions, bodies and agencies may be invited as observers in the meetings of the committee configurations under the conditions laid down in their rules of procedure, taking into account security and public order interests of the Union. Representatives of third countries or international organisations shall not be present in deliberations on matters related to eligibility, including deliberations related to Articles 9 and 10 of this Regulation.7. In accordance with international agreements concluded by the Union, representatives of third countries, international organisations or other European Union institutions, including the European Committee of the Regions, bodies and agencies may be invited as observers in the meetings of the committee configurations under the conditions laid down in their rules of procedure, taking into account security and public order interests of the Union. Representatives of third countries or international organisations shall not be present in deliberations on matters related to eligibility, including deliberations related to Articles 9 and 10 of this Regulation.
Annex: declaration of input 4 paragraphs

Pursuant to Article 8 of Annex I to the Rules of Procedure, the rapporteur for opinion declares that he included in his opinion input on matters pertaining to the subject of the file that he received, in the preparation of the opinion, from the following interest representatives falling within the scope of the Interinstitutional Agreement on a mandatory transparency register, or from the following representatives of public authorities of third countries, including their diplomatic missions and embassies:

1. Interest representatives falling within the scope of the Interinstitutional Agreement on a mandatory transparency register
Eurocities, non-governmental organisation, registry number 12493392840-79
Climate Strategy, Professional consultancies, registry number 32967558277-95
2. Representatives of public authorities of third countries, including their diplomatic missions and embassies
-

The list above is drawn up under the exclusive responsibility of the rapporteur for opinion.

Where natural persons are identified in the list by their name, by their function or by both, the rapporteur for opinion declares that he has submitted to the natural persons concerned the European Parliament's Data Protection Notice No 484 (https://www.europarl.europa.eu/data-protect/index.do), which sets out the conditions applicable to the processing of their personal data and the rights linked to that processing.

Procedure pages

How the committees handled the text, and how their members voted on it.

Procedure – committee asked for opinion 1 paragraph
TitleEstablishing the European Competitiveness Fund (’ECF’), including the specific programme for defence research and innovation activities
ReferencesCOM(2025)0555 – C10-0165/2025 – 2025/0555(COD)
Committee(s) responsible Date announced in plenaryITRE 23.10.2025
Opinion by Date announced in plenaryREGI 23.10.2025
Rapporteur for opinion Date appointedDan Barna 5.1.2026
Discussed in committee25.2.2026
Date adopted6.5.2026
Result of final vote+: –: 0:14 1 17
Final vote by roll call by the committee asked for opinion 3 paragraphs

14 · For

EPP
Pascal Arimont, Fredis Beleris, Paulo do Nascimento Cabral, Gabriella Gerzsenyi, Krzysztof Hetman, Andrey Novakov, Marta Wcisło
Patriots
Klara Dostalova
Renew
Dan Barna, Raquel García Hermida-Van Der Walle, Elsi Katainen, Ciaran Mullooly
Greens
Vladimir Prebilič, Mārtiņš Staķis

1 · Against

EPP
Christian Doleschal

17 · Abstained

ECR
Denis Nesci, Antonella Sberna, Şerban Dimitrie Sturdza, Francesco Ventola
ESN
Irmhild Boßdorf
Patriots
Marie-Luce Brasier-Clain, André Rougé, Alexandre Varaut
S&D
Dragoş Benea, Klára Dobrev, Sofie Eriksson, Nora Mebarek, Sabrina Repp, Marcos Ros Sempere
The Left
Sebastian Everding, Kathleen Funchion, Valentina Palmisano