Eco-innovation, EACI, European Commission Market Replication Eco-Innovation Unit Judit Fejes

1. CIP Eco-Innovation Call 2011: Market Replication ProjectsClosing the gap between research and markets Eco-innovation, EACI, European Commission Market Replication Eco-Innovation Unit Judit Fejes CIP Eco-Innovation European Info Day – Brussels – 28 April 2011

2. Part of the CIP programme in EIP pillar New services: greening businesses New processes: cleaner production New materials New products What do we do?Eco-innovation – the market replication definition « All forms of innovation reducing environmental impacts and/or optimising the use of resources » Good for business, good for the environment

3. Support innovative ideas which can be turned into ‘marketable’ green products and services These need incentives to penetrate the market. Potential for replication and wider application must be demonstrated Budget ~ €200 million (2008-2013) Eco-innovation market replication projects

4. 23 million SMEs in the EU The backbone of the economy 99% of all enterprises 1/3 world market shares Yet causing 60-70% of theEU’s industrial pollution Main target group: SMEs

5. How does it work?Key design elements • Risk sharing for green ideas (50%) • Market orientation • Bridging the gap between RTD and commercialisation • Direct funding (no intermediaries) • A kind of public business angels Good for business, good for the environment

6. Key design elements: How does it work?Key design elements • Life cycle assessment thinking • Flexible - no partnerships required but EU added value important • Leverage factor and replication crucial • Approximate project size: 1,4 m € total costs Good for business, good for the environment

7. Materials recycling Sustainable building products Food and drink Water → NEW! Greening business/ smart purchasing → 38m€ for ~45-50 projects Five priorities  Compared to the 2010 call: resource efficiency transversal priority, new water priority and small fine tuning on the rest

8. Materials recycling • Improve quality of recycled material, better waste sorting and treatment methods • Innovative products using recycled material or facilitating material recycling • Business innovations to strengthen the competitiveness of recycling industries, such as new market structures for recycling products, processes and services

9. Sustainable building products • Construction products and related processes (construction, maintenance, repair, retrofitting or demolition of buildings) that reduce consumption of resources, embodied carbon and production of by-product wastes. • More environmentally friendly construction materials and innovative manufacturing processes.

10. Food and Drink Sector • Cleaner and innovative products, including packaging methods and materials aiming at higher resources efficiency, reduction of waste and greenhouse gas emissions, or/and increasing recycling and recovery • New or improved production processes with high water efficiency and improved water quality • Innovative cleaner products, processes and services aiming at reducing the environmental impact of consumption of food and drinks

11. Water • Water efficient processes, products and technologies (reduce water consumption by at least 30%) • Water-free processes. • Water and wastewater treatment: solutions that offer greater efficiency and reduced environmental impact. • Smart distribution systems aiming at the saving of water, chemicals, energy and materials: innovative systems for measuring and adjusting chemical dosing, flow and pumping rates; leakage detection and repair, novel pipe materials etc.

12. Greening business and smart purchasing • Green products and services • Substitution of materials by others leading to a reduced environmental impact • Clean production processes • Re-manufacturing mechanisms and innovative repairing services

13. Performance indicators • Improved environmental performance • Better use of resources • Economic Performance / Market Replication

14. Increasing response to Eco-innovation Calls Important attention from the market, mainly SMEs More than 1000 web enquiries answered every year 14

15. Reaching the target group: more than 65% SMEs! SME 81% private sector LARGE Enterprises Universities/Public/Others Our beneficiaries (Source: call 2010)

16. SME’s breakdown - Beneficiaries Eco-innovation 79% of SME‘s are small and micro companies 16

17. Fourth Call: 28 April with a closing date of8 September 2011, 17h00 Electronic submission (EPSS) Evaluation: end of 2011 First projects start May 2012 50% funding rate of eligible costs Max 3 years contract duration Call planning 2011

18. Eco-Innovation website as source of information • Newsflash subscription • Call for proposals • Guide for proposers • Frequently asked questions • Grant Agreement and Financial Guidelines • Info days + slides/recordings • Pre-screening: max 2 pages summary • Link to EPSS • Projects database http://ec.europa.eu/ecoinnovation

19. How to Apply for Funding 2011? • A good idea that matches with CIP Eco-innovation objectives • A thorough reading of the Call and the following supporting documents: • Frequently Asked Questions (9 pp) • Guide for proposers (40 pp, explaining all steps) • Application Forms – access through the online submissionsystem EPSS

20. Which are the parts of a proposal? You must use the forms provided: • Part A: Administrational information • Part B: Work description • Part C: Budget and indicators • Annexes • Letters of Intent • Legal documents • Attention: to be successful you need to provide sufficient answers to all award criteria! Follow the structure of the forms, expecially Part B/C

21. How will proposals be evaluated? • Fair and equal treatment of all proposers: • Based on the criteria announced in the Call • Confidential process, no conflicts of interest • Independent external experts as advisers • Transparency: You will receive a feedback on your proposal arguing each award criterion and its score • Four successive checks: • Eligibility criteria (yes/no) • Exclusion Criteria (yes/no) • Selection criteria (yes/no) • Award criteria (scores with thresholds)

22. Relevance of the action (7 of 10):alignment with Call priorities and environmental policies, innovation, substantial environmental benefits & SMEs Quality of the proposed actions (6 of 10):Soundness and coherence of project from a technical perspective Impact on target audience (6 of 10):Replication during and after the project, exploitation & business approach Budget and cost-effectiveness (6 of 10):appropriate level of effort per task/partner, justified costs, notably equipment/ co-financing European added value (6 of 10) Call for proposals 2011: Award Criteria You need to reach the threshold of each criterion (x of 10) and a total threshold of at least 34

23. No formal criterion on international partnership.However, European added value of Eco-Innovation projects is part of the award criteria: • Value generated by the project being a EU-funded project as compared to local, regional & national actions • EU dimension of the market barriers • Level of European cooperation in the project

24. Application is only possible online • EPSS: Electronic Proposal Submission System • Link to be followed via the CIP Eco-innovation website • Submission of proposals only electronically and using the application forms • Deadline is 8 September 2011, h 17:00:00 Brussels time straight. Even one second too late will not be accepted!

25. Timeline : from proposal to signature of Grant Agreement 8 September 2011 May 2012 Project implementation Call forproposals Evaluationof proposals Contractnegotiation 28 April 2011 January 2012

26. Realistic costing is required ! • Direct staff costs – hourly costs must equal actual salary (from pay slips) + social chargesBe sure you can substantiate staff costs (eg: copies of payslips) • Equipment and infrastructure (depreciated,only parts for innovative action) • Sub-contracts to specialised professionalsbut not core tasks – up to 35% of total eligiblecosts • Meetings and travel – budget should bereasonable • Other specific cost (not: electricity & gas) • 7% of the total eligible direct costs for overheads/indirect costs

27. Co-financing • Funding from EU tax payers must be justified – Why EC money instead of local/regional/national funding? • Explain WHY you (or others) are willing to co-finance the action • State clearly the status of negotiations in case of an application for co-financing from a 3rd party • Income e.g. generated by selling of your eco-innovative product, can be used as co-financing – but you cannot generate profit

28. Writing your proposal (things to do) I • Provide answers to all award criteria • Create a clear picture of what you want to do and how • Business case with clear view on the market already during the development of the project • Include clear flow charts regarding processes • Realistic time planning – account for the time needed for permits (environmental / construction etc)

29. Writing your proposal (things to do) II • Quantify! Measure the performance of your project using the indicators table: Realistic, but ambitious targets • Estimate appropriate efforts for each partner and each work package throughout the proposal • Choice of partners and subcontracting is clearly explained, and their skills fit with the allocation of tasks in the work packages • Ensure that you have attached the correct files when submitting your proposal

30. Writing your proposal (things not to do) • Do not submit a research project • Do not submit an energy project • Do not forget the LCA perspective (Life cycle assessment) when describing the environmental benefits • Replication is not the same as dissemination. Exploitation is not the same as dissemination. Please distinguish potential from realities during the project • Do not wait too long with submitting your proposal – you can always replace earlier versions

31. IPR and Partners finder • Enterprise Europe Network: Partners Finder • Free service by the European Commission to assist with the protection of IPR: http://www.ipr-helpdesk.org/home.html http://www.enterprise-europe-network.ec.europa.eu/index_en.htm

32. Thank you very much For questions: contact our mailbox at eaci-eco-innovation-enquiries@ec.europa.eu In >95% we reply within 14 days!