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What’s happening in Europe? Horizon 2020 and new TEN-T core corridors as future research possibilities for NETLIPSE

What’s happening in Europe? Horizon 2020 and new TEN-T core corridors as future research possibilities for NETLIPSE. Massimo Corradi Sea - Aeroporti di Milano Giuseppe Pace University of Ghent, Centre for Sustainable Mobility and Spatial Planning (AMRP). NETLIPSE Network Meeting

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What’s happening in Europe? Horizon 2020 and new TEN-T core corridors as future research possibilities for NETLIPSE

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  1. What’s happening in Europe?Horizon 2020 and new TEN-T core corridors as future research possibilities for NETLIPSE Massimo Corradi Sea - Aeroporti di Milano Giuseppe Pace University of Ghent, Centre for Sustainable Mobility and Spatial Planning (AMRP) NETLIPSE Network Meeting Warsaw, 15th – 16th October 2012

  2. Summary • Introduction (and questions) • Horizon 2020 • New TEN-T guidelines • Core Network Corridors • Management and evaluation needs • The Corridor Development plan • The CEF and other opportunities

  3. Introduction (and questions) • Time for thinking about the next EU Financial Framework 2014 – 2020 • Its strategy is based on the EUROPE 2020, EU's growth strategy for the coming decade, that is: • smart, through more effective investments in education, research and innovation; • sustainable, thanks to a decisive move towards a low-carbon economy; and • inclusive, with a strong emphasis on job creation and poverty reduction. • How can NETLIPSE have a role in this strategy? • How should the evaluation and management of large transport infrastructure projects be targeted? • What are the potential fields of an Infrastructure Project Assessment Tool (IPAT) exploitation? • Under what programme could the network be supported and developed? • Today what role can NETLIPSE play in the implementation of the next TEN-T programme ?

  4. 2. Horizon 2020 (1/3) • Innovation Union is Europe 2020 flagship initiative aimed at securing Europe's global competitiveness. • Horizon 2020 is the financial instrument implementing “Innovation Union”, such as part of the drive to create new growth and jobs in Europe • Horizon 2020 is the EU’s new programme for research and innovation for the 2014 -2020, with a proposed €80 billion budget

  5. 2. Horizon 2020 (2/3) • It’s more than a FP8 because it combines all R & I funding currently provided through FP7, Competitiveness and Innovation Framework Programme (CIP) and European Institute of Innovation and Technology (EIT). • Horizon 2020 provides major simplification through a single set of rules • Goals are to strength: • EU’s position in Science (€ 24 598 million) • Industrial leadership in innovation (€ 17 938 million) • Address major concerns shared by all Europeans such as climate change, developing sustainable transport and mobility, making renewable energy more affordable, ensuring food safety and security, and coping with the challenge of an ageing population (€ 31 748 million) • Its objective is even more market oriented than FP7, being its promises to tackle societal challenges by helping to bridge the gap between research and market • This market-driven approach will include creating partnerships with the private sector and Member States to bring together the resources needed. • In the field of Transport, priorities are those already proposed in the White Paper on Transport 2011: Roadmap to a Single European Transport Area – Towards a Competitive and Resources-Efficient Transport System • In particular, transport are part of the main Societal Challenges, with the “Smart, green and integrated transport” • In future all calls will be managed inside DG MOVE, being planned a reduction of the DG Research role to a pure general management one. • The first call will be launched 1st January 2014.

  6. 2. Horizon 2020 (3/3) • What is the right place for financing a NETLIPSE follow-up? • The place of NETLIPSE is clearly inside the “Smart, green and integrated transport” challenge. • Any expert network and evaluation tool in the field of transport should support such challenge, and in general the Sustainable development, which will be an overarching objective of Horizon 2020. • The dedicated funding for climate action and resource efficiency will be complemented through the other specific objectives of Horizon 2020 with the result that at least 60 % of the total Horizon 2020 budget will be related to sustainable development. • The vast majority of this expenditure contributing to mutually reinforcing climate and environmental objectives. It is expected that around 35% of the Horizon 2020 budget will be climate related expenditure. • But we can envisage other two main potential challenges for NETLIPSE, that’s: • “Inclusive, innovative and secure societies”, which demands for policy learning and advice with the aim to reform research and innovation policies. This will also involve networking and twinning schemes enhancing the connections between researchers and innovators in all Member States and regions • International cooperation, in particular for the promotion of worldwide standards and guidelines, and the acceptance and deployment of European solutions outside Europe.

  7. 3. New TEN-T guidelines Core Network Corridors The proposal aims at achieving one of the 10 White Paper goals: A fully functional and EU-wide multimodal TEN-T ‘core network’ by 2030, with a high quality and capacity network by 2050 and a corresponding set of information services Together with the comprehensive network – which remains the basis for the identification of TEN-T projects of common interest – the core networks incorporates those elements with the highest strategic importance for achieving the objectives of the trans-European transport network policy, and in particular: shall contribute to coping with increasing mobility and to the development of a low-carbon transport system shall be interconnected in nodes and provide for connections with neighbouring countries' transport infrastructure network The Core network corridors are the instrument to facilitate the coordinated implementation of the core network The idea of ‘core network corridors’ come out from the WP: Europe needs a core network of corridors, carrying large and consolidated volume of freight and passengers traffic with high efficiency and low emissions, thanks to the extensive use of more efficient modes in multimodal combinations and the wide application of advanced technologies and supply infrastructure for clean fuels

  8. 3. New TEN-T guidelines (2/3) Management and evaluation needs The Core network corridors: Need for a coordinated development and management of infrastructure, in order to lead to resource-efficient multimodal transport. Need for a coordinated approach with regard to infrastructure use and investments, so as to manage capacities in the most efficient way. Need for a comprehensive deployment of interoperable traffic management systems Multimodal infrastructure within core network corridors shall be built and coordinated, wherever needed, in a way to optimise the use of each transport mode and their cooperation. How Core Network Corridors should be managed: The governance system of each corridor should be coordinated by an European Coordinator, designated by EC, which will chair the corridor platform The European Coordinator shall draw up together with the Member States concerned a work plan for the activities to be fulfilled. For each core network corridor, the MS concerned shall establish a corridor platform responsible MS concerned, in cooperation with the corridor platform, shall draw up and notify to the Commission a corridor development plan within six months after entry into force of this Regulation

  9. 3. New TEN-T guidelines (3/3) The Corridor Development plan Description of the characteristics of the core network corridor, including bottlenecks Objectives for the core network corridor in particular in terms of performance expressed as the quality of the service, its capacity and its compliance with the requirements set out in the guidelines Programme of measures necessary for developing the core network corridor Multimodal transport market study Implementation plan, including: Deployment plan relating to interoperable traffic management systems on multi-modal freight corridors Plan for the removal of physical, technical, operational and administrative barriers between and within transport modes and for the enhancement of efficient multimodal transport and services Measures to improve the administrative and technical capacity to conceive, plan, design, procure, implement and monitor projects of common interest Risk assessment, including the possible impacts of climate change on the infrastructure (that’s, sustainability plan) Investment plan, to be updated regularly, including: List of projects for the extension, renewal or redeployment of transport infrastructure Related financial plan, with the various sources envisaged for funding and financing, at international, national, regional, local and Union level, including, whenever possible, earmarked cross-financing systems as well as private capital

  10. 3. New TEN-T guidelines (3/3) Opportunities for NETLIPSE The establishment of the Core Network Corridors appears a relevant field of application for IPAT and for further developing NETLIPSE. In particular, in the frame of the TEN-T Annual call 2011, the priority 5 was the following Support to the long term implementation of the TEN-T network, in particular development of corridors that shall enable a coordinated implementation of the network The studies to be supported had to define and consolidate all the different aspects of a TEN-T corridor taking into account at least the following elements: A corridor needs to be multi-modal on the basis of its cost-effectiveness and taking into account future developments in traffic A corridor must demonstrate its high EU added value and potential International cooperation is a critical part to success Need to ensure uniform implementation of legislation across the corridor Complexity of the corridor concept needs to be adequately addressed through adapted managerial structures. Different management levels have to be defined and applied in line with technical, operational, financial and political requirements. Efficient and effective coordination among the different levels is key to success of the whole concept and must be ensured Detailed investment plan with realistic options has to be included.

  11. 3. New TEN-T guidelines Results Call 2011 – Priority 5

  12. 4. The CEF: € 50 billion investment plan • Connecting Europe Facility • Energy:                      € 9,1 bn • Transport :              € 31,7 bn • (including €10 bnfromCohesionFund) • DigitalNetworks:        € 9,2 bn;

  13. 4. The Connecting Europe Facility (CEF):budget • CEF transport: € 31.7 bn • Innovative financialinstruments: € 2 bn(leverageeffect up to 15 or 20could generate investmentsof € 30bn to € 40bn) • Grant Component : €19.7 bn(averageco-funding rate 20% could generate € 98.5 bn) • GrantsfromCohesionFund: €10 bn(averageco-funding rate 85% could generate €11.5 bn) • TOTAL POSSIBLE AMOUNT OF INVESTMENTS • THAT COULD BE GENERATED: • €140 – 150 BN

  14. 4. The Connecting Europe Facility (CEF):budget • Six reasons to save the Transport Budget! • No internal market without transport • Postponing transport investment is postponing recovery • European transport industries are economic world beaters • Reduced EU transport investment will cause member states to follow suit • The investment is not new money • Defend the European added value

  15. 4. Europe 2020 Project Bond Initiative (PBI) Result More private sector financing attracted from the capital markets to finance key infrastructure Potential investors Long-term institutional investors Objective To increase the debt financing availability for large scale infrastructure projects Target areas Transport Energy Broadband How? EU/EIB joint support to project companies issuing bonds to finance infrastructure projects Form of support Funded/unfunded subordinated credit enhancement by EIB to ensure sufficient rating of the bonds

  16. 4. PBI: A pilot phase in 2012-2014 • Timeline: • Adoption of legislative proposal in July 2012 • Agreement with EIB to be signed in October • First commitments in second half 2012 • Must have EIB approval by end 2014, signature by end 2016 • Key features of suitable projects: • Strong politicalsupport; TEN-T eligibility • In tender during pilot phase with appropriate tender documentation to facilitate bond financing • Strong sovereign credit, realistic business plan • Strong consortium partners with good track record • From 2014 onwards, proposal to merge into Connecting Europe Facility

  17. 4. PBI: identified projects Source: Financial Assistance Committee 12th July 2012 .

  18. 4. PBI: TEN-T Call2010 “MXPT2LINK-UP”

  19. 4. PBI: “MXPT2LINK-UP” suitable project • Preliminary cost estimate, including: • Rail link (3,6 km), • T2 rail station • T2 multi-storey car park 140 Mio €

  20. 4. PBI: TEN-T Call2011 priority 4 Title: “PPP MXPT2LINK-UP” Subject: Study of possible innovative forms of financing, based on Public-Private Partnership (PPP) and on the user-pays principle Beneficiaries: FERROVIENORD (Coordinator) Lombardy Region SEA Milan Airports Total cost: 1,05 mio € EC support: 0,525 mio € (50% total cost) Time action: start: 06/2012 end: 07/2013

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