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Public-Private Partnerships in Research at EU-Level

Public-Private Partnerships in Research at EU-Level. Seán O'Reagain Acting Head of Unit DG Research European Commission. PPPs under Seventh Framework Programme (FP7). JTIs: a special funding scheme under FP7 Institutionalized PPPs based on Article 187 TFEU

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Public-Private Partnerships in Research at EU-Level

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  1. Public-Private Partnerships in Research at EU-Level Seán O'Reagain Acting Head of Unit DG Research European Commission

  2. PPPs under Seventh Framework Programme (FP7) • JTIs: a special funding scheme under FP7 • Institutionalized PPPs based on Article 187 TFEU • When the scope of an RTD objective and the scale of the resources involved could justify setting up a PPP • Five JTIs launched; EU contribution > €3 bn • Contractual PPPs under FP7 • Consultation structures between Commission and industry • Recovery Plan PPPs, Future Internet PPP and EIIs under SET-Plan; EU contribution > €1.6 bn

  3. PPPs Communication Action Plan • PPPs in research are dealt with separately: • Research outputs are “less predictable and tangible” • “… the Commission will consider all options in reviewing the legal framework … to provide a simple and cost-efficient model, based on mutual understanding, true partnership and risk sharing” • Three actions: • 1. A report including policy recommendations • 2. A new framework for JTIs • 3. Participation of the EU in private law bodies

  4. Action 1: Policy Report • High-Level Industry Experts Final Report: • “Designing together the ‘ideal house’ for PPPs in European research” • Main Recommendations: • “Seize the opportunity of the … review of the Financial Regulation in recognising PPPs, including JTIs, as special bodies in order to develop tailor-made provisions for them” • “Move towards a more risk-tolerant and trust-based approach”

  5. Action 2: New Framework for PPPs • Financial Regulation Revision - Commission Proposal: • PPPs recognized as potential recipients/managers of EU funds • Two new possibilities: • PPPs set-up by a Basic Act (Articles 53(1)(2)(e) and 185a FR) • using a Model Financial Regulation: a set of principles necessary to ensure sound financial management of EU funds • PPPs governed by Member States’ Private Law (Article 53(1)(2)(g) FR) • Work on other aspects of the PPPs architecture: • Governance • Risk-tolerant, trust-based approach and accountability • Staff regime • Rules of participation (especially funding rates and IPR)

  6. Action 3: EU Participation in Private Law Bodies • Current approach • The Commission shall not, in principle, participate in private law bodies • in order to avoid risks such as: • Risk to the Commission’s image • Financial risk/misuse of financial procedures • Conflict of interests for officials concerned • Criticism on recruitment policy • “Captivity” • Unfair competition with other entities • Request of derogation to non-participation shall be considered: • in cases where: • There is evidence of outstanding interest for the Institution • Objectives pursued cannot be achieved by other means of co-operation (such as by consultation or by funding) • Towards a revision of the current approach?

  7. Next Steps • Commission Communication on Partnering in Research in 2011 • Follow-up the Revision of the General Financial Regulation • Develop a Detailed Architecture for the ‘Ideal House’ for EU-Level PPPs

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