Het Meerjarig Financieel Kader 2014-2020 Een budget voor Europa 2020

1. Het Meerjarig Financieel Kader 2014-2020 Een budget voor Europa 2020 1

2. MFK • I. Het oorspronkelijke voorstel van de COM • II. De huidige stand van zaken • III. Van speciaal belang voor onderwijs/onderzoek

3. EU Budget = beleid in getallen Antwoorden • European logic fully geared to Europe 2020 strategy • Modernised budget - outputoriented,simplification, conditionality, leveraging investment • Limited in size, but redesigned - savings in some areas - more to areas that matter - multi-purpose expenditure • Budgetary rigour, administrative limits • New legitimacy of traditional policies Uitdagingen • Lisbon Treaty: more responsibilities • Connect Europe better • Social, economic disparities • Unstable neighborhood • Austerity climate • Financial crisis interventions • Response to natural disasters • Ensure synergies to prove EU Value-added Meer EUROPA voor evenveel GELD!

4. Meer moderne begroting • Connecting Europe Facility • Innovative financial instruments • Key changes in research, cohesion, agriculture and external action • Administrative rigour • Simplification • New Own resources • Simplified system of corrections

5. I. Voorstel COM: overzicht • Totaal volume • Uitgaven - overzicht • [Eigen middelen en correcties]

6. Vastleggingen versus betalingskredieten

7. Buiten het Meerjaren Financieel Kader

8. Overzicht voorstelling • Totaal volume • Overzicht uitgavenzijde • [Eigen middelen en correcties]

9. Ambitieus, maar realistisch…

10. Beduidende herverdeling in sleutelsectoren beleid

11. Ontwikkeling GLB en Cohesie in 2013-2020

12. Cohesie Niewe architectuur cohesiebeleid • Three categories of regions • Less developed regions (GDP per capita < 75%) • Transition regions (GDP per capita between 75% and 90%) • More developed regions (GDP per capita > 90%) • Cohesion Fund for Member States with GNI per capita <90% • Territorial cooperation (3 strands: CBC, transnational, interregional)

13. Cohesion policy • Common strategic framework for all structural funds • Investment partnership contracts with Member States • Stronger conditionality • The biggest spending area by 2020 • Concentration on poorer and weakest regions • Thematic concentration • Transition regions

14. Landbouw • Declining share in the EU budget until 2020 • Greening of CAP - direct aid 30 % linked to environment measures • Progressive convergence towards EU average: • Close 33% of the gap with 90% of EU average • Financed by all Member States above the average • Market measures: Emergency Mechanism • European Globalisation Fund to help farmers adapt to globalisation

15. Administratieve uitgaven • Budget under restraint • Staff reduction up to 5% • Efficiency gains (increase working hours to 40 a week) • Reviewing certain benefits in line with similar trends in Member States • Administrative expenditure discipline for all EU institutions * Excluding Pensions and European Schools

16. Overzicht presentatie • Totaalvolume • Uitgavenzijde • [Eigen middelen en correcties]

17. II. Huidige situatie • Manier van werken: • Raadswerkgroep SA en FOP; bilaterales met kabinet Van Rompuy 2. Coreper – RAZ – Europese Raad - Trilaterales

18. II. Huidige situatie (b) 2. Stavaza 1 november 2012: naar Europese Raad op 22-23/11 * Kloof tussen netto-betalers (DU, NL, FI, …) en netto-ontvangers (nieuwe lidstaten, lidstaten in serieuze fin.-econ. Problemen) * BE: in tussenpositie … * Cyprioten zetten cijfers in “onderhandelingsdoos” MFK

19. II. Huidigesituatie (c) • Grote spanningen rond: • Algemeen volume begroting: - 100 miljard euro? (Voorstel CY: op dit ogenblik in totaal: - 50 miljard: “tussensituatie naar extra bezuinigingen”; wellicht naar – 50 tot – 75 miljard euro • Geld voor cohesie: transitieregio’s, competiviteitsregio’s, macro-economische conditionaliteit? Allocatiecriteria competregio’s … • Geld voor GLB: daling pijler 1 (art. 53)? Convergentie tussen oude en nieuwere LS: snelheid? Pijler 2 voor wie? Vergroening … • Food for deprived (2 miljard) naar ESF • Connecting Europe Facility: - 30 % t.a.v. voorstel COM voor Transport, - 23 % Energie, - 24 % ICT

20. II. Huidigesituatie (d) • Rubriek 1 a: Competiviteit: - 11 % (SIC); maar toch nog 61,3 % t.a.v. vorige periode • Wat met ITER, GMES: in 1 a zonder compensatie? • 1b: (Cohesie): - 4 % - vooral meest ontwikkelde - en transitieregio’s

21. III. Belangrijk voor hoger onderwijs a) Horizon 2020: onderzoeksprogramma b) Erasmus for All

22. Proposal for the EU Framework Programme for Research and Innovation (2014-2020) DG Research & Innovation, European Commission

23. Impact of R&D on economic recovery

24. Context • Economic context: • Priority for growth enhancing measures within smart fiscal consolidation • R&I essential for competitiveness and creating and retaining high value jobs and industries • Policy context: • R&I central to Europe 2020 strategy and to realise EU goals in areas such as energy, environment, transport, security • International context: • EU falling behind other regions in R&D (e.g. US, Japan) and losing ground to emerging countries (e.g. China, India)

25. Added value of R&I spending at EU level • Cross-border pooling of resources achieves critical mass and diffusion of knowledge • EU level competition increases levels of R&I excellence and international attractiveness for global talent • Cross-border training and career development enhances Europe’s research and innovation capacities • EU projects provide knowledge to address pan-European policy challenges and advance Single Market • Partnerships with Member States increases efficiency and effectiveness of public spending (e.g. removes duplications) • Risk sharing with private sector, leverages additional private R&I investments

26. Some examples: • EU collaborative research on 3G mobile phone standards, led to €250 billion market revenues for EU companies. • EU Risk Sharing Finance Facility has leveraged investments in R&D (EIB, private sector) worth 30 times EU contribution. • European Research Council grants are attracting leading researchers from US (in some fields more than half of grant holders have doctorates/ post docs in US) • Evaluations show every €1 of EU R&D spending leads to an increase in industry added value of €7-14.

27. Horizon 2020: general objective • General objective: building an economy based on knowledge and innovation; supporting Europe 2020 and European Research Area. • Proposed budget 2014-20: €77.606 billion (constant 2011 prices) • Also €1.665 billion Euratom 2014-18; €0.729 provisioned for 2019-20 • Performance indicators: Europe 2020 R&D target (3% of GDP, currently 2.01%); Europe 2020 innovation indicator

28. Horizon 2020: specific objectives (1) Priority 1 – Excellent Science

29. Horizon 2020: specific objectives (2) Priority 2 – Industrial Leadership

30. Horizon 2020: specific objectives (3) Priority 3 – Societal Challenges *Additional €1 788m for nuclear safety and security from the Euratom Treaty activities (2014-18). Does not include ITER.

31. Horizon 2020: specific objectives (4) Three priorities also supported by: * Second tranche pro rata from Enabling & Industrial Technologies and Societal challenges (subject to review) **Additional €656 m for the JRC to be funded from the Euratom Treaty activities

32. Major simplification • Single framework programme integrating 3 separate instruments (and 8 different specific programmes) • Single set of rules covering all R&I funding, aligned with Financial Regulations • One project, one funding rate – 100% direct costs*, 20% flat rate for indirect costs • Fewer, better targeted, controls & audits • Faster time to grant – average time reduced by 100 days • Efficient management, including greater use of external management • * Lower maximum rate (70%) for closer to market projects. Projects will require co-funding by participants for indirect costs which are typically in the order of 100% of direct costs.

33. Synergies with Cohesion policy • Clear division of labour: • Horizon 2020 = excellence through open, EU wide competitions • Cohesion policy = building regional research and innovation capacity • Horizon 2020: • Simplification to ensure equal access for all • Targeted measures for less developed regions to improve policy learning, support international networking, and attract talent • Cohesion Policy: • Research and innovation as an investment priority • R&I operational programmes conditional on smart specialisation strategy • Inter-regional cooperation to includes cooperation between clusters, researchers and research institutions, based on FP7 ‘Regions of Knowledge’ and ‘Research potential’

34. Synergies with the Competitiveness and SME programme (COSME) • Horizon 2020 and COSME are complementary programmes to generate growth and jobs: • Horizon 2020 = innovation driven growth • COSME = support to create favourable business environment and competitiveness • Which will be closely coordinated, e.g: • Financial instruments (debt and equity): clear criteria to decide which programme provides EU contribution • SME support: Enterprise Europe Network under COSME, to act as ‘one stop shop’ for EU funding

35. « ERASMUS FOR ALL » A Single Programme for Education, Training, Youth and Sport (2014-2020)

36. The context and rationale of the MFF2014-2020 • Concentration of efforts on Europe 2020: objectives and strategic priorities • Focus on EU added value: pooling of resources; from a culture of entitlement to a culture of results, incentives, partnerships and evaluation of impact • Simplification: streamlined legal basis and programmes, simpler rules and innovative financing sources to enhance the leverage of the EU budget

37. The context and rationale of Erasmus for All • Key role:to enhance the contribution of education and human capital to sustainable growth. Hence the rationale: ► Concentration of efforts on the education aspects of Europe 2020 through the policy frameworks of ET2020 and the Youth strategy, and through policy development; ► Focus on EU added value through mobility, cooperation and policy reform to promote the modernisation of education systems at all levels and address skills shortages and mismatches; ► Simplification via streamlining of legal bases into a single programme, simpler rules and innovative funding sources.

38. International higher education programmes: Erasmus Mundus, Tempus, Alfa, Edulink, Bilateral Programmes Grundtvig Erasmus Leonardo Comenius Lifelong Learning Programme Youth in Action Programme A Streamlined architecture Existing programmes A single integrated programme Erasmus for All 3. Policy Support 2. Co-operation projects 1. Learning Mobility • Specific activities: • Jean Monnet • Sport

39. 3 Key actions Key action 1: Learning mobility of individuals Key action 2: Co-operation for innovation and good practices Key action 3: Support for policy reform

40. Learning Mobility • Modernising education through chances to learn abroad: ►Students: higher education and vocational training ►Masters students: a new loan guarantee mechanism ►Youth: international volunteering and youth exchanges ►Staff: teachers, trainers, school leaders and youth workers ►International dimension: mobility for EU and non-EU beneficiaries

41. Erasmus Master- Loan Guarantee scheme Why? No support for degree mobility at master level National grants/loans often not portable More inclusive access to mobility Leverage effect of EU budget Who? Managed by the European Investment Fund (EIF) Eligibility? Students who wish to study a full Masters degree in another participating country Average of 47.000 loans a year How? EU Budget provides part guarantee against non-repayment – technicalities dealt within the debt platform and in cooperation with EIF, ECFIN and BUDG In return, banks/student loan agencies must agree to offer favourable terms (interest rates, repayment terms, grace periods etc.)

42. Cooperation for innovation • Modernising education through cooperation: ► Partnerships between education institutions, youth organisations, training institutions and other actors ► Large-scale cooperation between education and business: ‘Knowledge Alliances’ and ‘sector Skills Alliances’ ► Connecting students and staff via web platforms ► Helping modernisation of universities in third countries

43. Support for policy reform • Modernising education through policy support: ► Evidence based support for effective education investment ► Development and promotion of EU wide tools to assess and recognise skills ► Peer learning and cross-fertilization between education systems

44. International Dimension Objective (MMF Communication): incorporate all existing international programmes (Erasmus Mundus, Tempus, Alfa, and Edulink) to: (1) put an end to the current fragmentation; (2) enhance the global visibility and impact and (3) increase efficiency. 1. International opening of Erasmus: more mobility of students and staff between EU – non EU in both directions 2. Joint Master courses of high quality offered by consortium of EU/non EU universities to attract the very best students worldwide 3. Specific support with neighbourhood countries: More cooperation between universities for capacity building and more student and staff mobility, in line with development objectives • Rest of the world: More cooperation between universities in the EU and rest of the world for capacity building, in line with development objectives

45. Jean Monnet • Erasmus for all will Include support for teaching and research on European integration via Jean Monnet activities • We maintain the Institutional support for College of Europe (Bruges and Natolin) and the European Institute of Florence • We open a competitive support to other institutions based on excellence and added value • The Jean Monnet Chair continues to be a key component • We propose the creation of the Jean Monnet Label of Excellence

46. Sport • Focus on grassroots sport activities (not the top professional level) • Tackle transnational threats to sport (amateur doping, match-fixing, violence, racism, intolerance) • Develop European Cooperation in sport (improving good governance, promoting dual careers for athletes • Social inclusion in sport and health enhancement • Erasmus for all will Support the European dimension of Sport

47. Budget BUDGET ALLOCATION BY TYPE OF ACTION FOR THE PROGRAMME

48. Budget Indicative allocations expressed in percentage: • 25 % for higher education; • 17 % for vocational education and training and adult learning (of which 2 % for adult learning); • 7 % for schools; • 7 % for youth

49. Budget implementation architecture • Management by National Agencies: 12,7 billion € (65%) • Learning mobility of individuals (excluding joint/double degree) also for the international dimension • Cooperation for innovation and good practices: Strategic partnerships between education institutions or between youth organisations and/or relevant actors • Centralised management by Executive Agency : 6,8 billion € (35%) • Learning mobility of HE students in joint/double degree • Cooperation for innovation and good practices: Knowledge alliances, Sector Skills alliances, Capacity building in third countries, IT support platforms • Support to policy reform: Support to open method of coordination, EU transparency tools, Policy dialogue Centralised management by EC : Residual

50. 2007-2013 EC sets management rules MS designates National Agency MS issues ex-ante declaration of assurance on National Agency MS delivers yearly declaration of assurance on National Agency compliance and accounts MS in charge of audits and control of National Agency Good results but heavy and continuous workload on MS Difficult match with timing requirements for Annual Activity Report 2014-2020 EC sets management rules MS designates National Agency and independent audit body MS issues ex-ante compliance assurance on National Agency National Agency provides yearly management declaration of assurance with independent audit report MS supervises national system and informs EC High assurance level kept, but with less burden for MS In tune with timing requirements for Annual Activity Report Management system