Key EU legislation, key EU financing, Key EU legislation, key EU financing, llocal ocal

experience and best world prаcticesexperience and best world prаctices

Dr. eng. Irina TerzyiskaDr. eng. Irina TerzyiskaEuropean labor institute - ELIEuropean labor institute - ELI

SMEs in EUSMEs in EU

SMEs are the back-bone of the European economy being primarily responsible for economic growth and playing key role in innovation and R&D.

European SMEs: European SMEs:

are 23 M; represent 99% of all businesses, typical SME - a micro-enterprise with less than 10 employees;

provide around 90 M jobs in the single market or 2 out of 3 (of the private sector) jobs;

contribute to more than half of the total value-added created by businesses in EU;

> half are engaged in trade, real estate, renting and business;

create largely green jobs - 37% of them have at least one (full or part-time) green employee.

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Attitude towards environment

SMEs contribute (roughly) 64% to the industrial pollution in Europe.

They are largely “green” in terms of compliance with environmental legislation:

¼ have positive environmental behavior: save energy (64%), minimise their waste (62%) and recycle (61%); have an environmental management system ;

26% offer green products or services; mainly on the national market (at about 80%);

58% of SMEs consider the best means to help “greening” of products and services offered are financial incentives . 43% - receive external support for environmental actions, 1 in 10 SMEs - EU support;

Problems: lack of expertise, lengthy approval procedures for new products, lack of consumer demand. Training for green skills is essential.

Needs: easier environmental permitting procedures, simpler environmental reporting, one-stop-shops to save time and free or subsidised advisory services.

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Environmental Compliance Assistance Programme (ECAP) )

ECAP (proposed by the EC in 2008) aims ECAP (proposed by the EC in 2008) aims to ease SMEsto ease SMEs for improving for improving theirtheir environmentalenvironmentalperformanceperformance and to: and to:

mminimisinimisee the administrative burden the administrative burden;;

create create accessible tailor-made environmental management schemes foraccessible tailor-made environmental management schemes for SMEsSMEs;; bbuild up local know-howuild up local know-how by: c by: capacity building seminarsapacity building seminars, , network of environmental network of environmental

experts experts andand business support organisations business support organisations; ;

iimprovmprovee communication communication;;

pprovidrovidee information for information for funding funding opportunities etc.opportunities etc.

http://ec.europa.eu/environment/sme/programme/programme_en.htm

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Key EU legislationKey EU legislation

Europe 2020 Strategy;Europe 2020 Strategy;

Energy Efficiency Energy Efficiency (EE) (EE) DirectiveDirective (2012); (2012);

Energy Performance of Buildings DirectiveEnergy Performance of Buildings Directive - - EPBD Recast (Directive EPBD Recast (Directive 2010/31/EU2010/31/EU;;

The Directive 2009/28/EC on Renewable Energy;The Directive 2009/28/EC on Renewable Energy;

Environmnet Impact Assessment (EIA) Directive 85/337/EEC; Environmnet Impact Assessment (EIA) Directive 85/337/EEC;

Small Business ActSmall Business Act (SBA) (SBA) forfor EuropeEurope (2008); (2008);

EU Cohesion Policy of the European UnionEU Cohesion Policy of the European Union 2014-2020; 2014-2020;

Programme for the Competitiveness of enterprises and SMEs (COSME) 2014-Programme for the Competitiveness of enterprises and SMEs (COSME) 2014-2020;2020;

Horizon 2020.Horizon 2020.

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Key EU legislationKey EU legislation

Environmental policy - relatively recent EU policy area:

environmental protection was not mentioned in the Treaty of Rome (1958);

the Single European Act (1986) - introduces the principal that environmental protection should be included in the EU legislation;

EU environmental policy expanded by the Treaties of Maastricht (1992) and Amsterdam (1997) - the sustainable development became EU central objectives, it forms a key part of the Europe 2020 Strategy;

the implementation of a Community environmental legislation is to be ensured (in the first place) by Member States.

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Key EU legislationKey EU legislation/programmes/programmes

Europe 2020 Strategy -Europe 2020 Strategy - EU EU growthgrowth strategy for the coming decade strategy for the coming decade

It has It has 5 targets5 targets, covering:, covering:1. Employment1. Employment 75% of the 20-64 year-olds to be employed75% of the 20-64 year-olds to be employed

2. R&D 2. R&D  3% of the EU's GDP to be invested in R&D3% of the EU's GDP to be invested in R&D

3. Climate change / energy 3. Climate change / energy greenhouse gas emissions 20% (or even 30%, if the conditions are right) lower than 1990 greenhouse gas emissions 20% (or even 30%, if the conditions are right) lower than 1990 20% of energy from renewables 20% of energy from renewables 20% increase in energy efficiency 20% increase in energy efficiency

4. Education 4. Education Reducing school drop-out rates below 10% Reducing school drop-out rates below 10% at least 40% of 30-34 year-olds completing third level education at least 40% of 30-34 year-olds completing third level education

5. Poverty / social exclusion 5. Poverty / social exclusion at least 20 million fewer people at risk of poverty and social exclusion at least 20 million fewer people at risk of poverty and social exclusion

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Key EU legislationKey EU legislation/programmes- 2/programmes- 2

And And 7 7 ““flagship initiatives”” framework for EU and national framework for EU and national authorities to support Europe 2020 priorities and both - to authorities to support Europe 2020 priorities and both - to coordinate their efforts for:coordinate their efforts for:

1. Smart growth Digital agenda for Europe Innovation Union - creating more jobs, building a greener society, improving the quality of life and

maintaining EU competitiveness on the global markets. Youth on the move

2. Sustainable growth Resource efficient Europe – more cost-efficient ways to make the EU economy climate-friendly and

less energy-consuming. By 2050, Europe could cut most of its greenhouse gas emissions. Clean tecnologies are the future for Europe’s economy.

An industrial policy for the globalization era

3. Inclusive growth An agenda for new skills and jobs European platform against poverty

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EU EU DirectivesDirectives

Directives:

1. 1. Energy Efficiency Energy Efficiency (EE) (EE) DirectiveDirective:: adopted - on the 11th Sept., 2012; establishes a common framework to ensure the target of 20 % primary energy

savings by 2020; aims to remove barriers impeding EE in energy supply and use.

Provisions related to SMEs. MS should: ensure that energy audits are available for SMEs; establish a favourable framework for providing SMEs with technical assistance

and targeted information; stimulate the energy performance contracting and the third-party financing

arrangements in favour of end-users.

Text version before official publication: http://www.buildup.eu/publications/30773

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EU EU DirectivesDirectives - 2- 2

2. 2. Energy Performance of Buildings DirectiveEnergy Performance of Buildings Directive - - EPBD Recast (Directive 2010/31/EU)EPBD Recast (Directive 2010/31/EU)::

adopted on 19 May 2010 – a step towards higher EE efficiency in buildings ;

establishes requirement for new public buildings (from 2018) must consume nearly zero energy, for all new buildings – the demand is from 2020;

agrees a definition of very low energy building as: "nearly zero energy building”- NZEB. It means a building that has a very high energy performance;

sets out a harmonised calculation methodology for minimum energy performance

requirements towards a cost-optimal level;

requires MS to ensure that an Energy Performance Certificate is issued when buildings are constructed, sold or rented out and penalties for non-compliance.

http://www.eceee.org/buildings/EPBD_Recast

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EU EU Directives - 3Directives - 3

3. 3. The Directive 2009/28/EC on renewable energy (RE): The Directive 2009/28/EC on renewable energy (RE): implemented in MS by December 2010;implemented in MS by December 2010;

sets ambitious targets to EU: to reach a 20% share of RE by 2020 and a 10% share of sets ambitious targets to EU: to reach a 20% share of RE by 2020 and a 10% share of RE in the transport sector (mainly covered by biofuels);RE in the transport sector (mainly covered by biofuels);

improves the legal framework for promoting renewable electricity, requires national action improves the legal framework for promoting renewable electricity, requires national action plans that establish pathways for the development of RES;plans that establish pathways for the development of RES;

Sets up cSets up calculation‘s methofology of the alculation‘s methofology of the greenhouse gas impact of biofuels and greenhouse gas impact of biofuels and bioliquids; bioliquids;

4. 4. Directive 85/337/EEC, known as 'Environmental Impact Assessment' (EIA) Directive: Directive 85/337/EEC, known as 'Environmental Impact Assessment' (EIA) Directive: ensures that plans, programmes and projects likely to have significant effects on the ensures that plans, programmes and projects likely to have significant effects on the

environment are made subject to environment are made subject to an environmental assessmentan environmental assessment, prior to their approval or , prior to their approval or authorisation; authorisation;

requires the projects and programmes co-financed by the EU funds have to comply with requires the projects and programmes co-financed by the EU funds have to comply with the EIA Directive to receive approval for financial assistance -It is a crucial tools for the EIA Directive to receive approval for financial assistance -It is a crucial tools for sustainable development. sustainable development.

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EU EU acts for SMEsacts for SMEs

The Small Business Act (SBA) for Europe (2008) - tool for reaching the objectives ofEurope 2020 strategy and the first comprehensive SME policy framework for EU and MSs:

aims to raise SMEs’ awareness on environmental and energy-related issues; assists them in implementing legislation and in upgrading their skills and qualifications; promotes entrepreneurship and anchors the “Think Small First” principle in law and policy making to strengthen SMEs’

competitiveness.

SBA is built around 10 principles – friendly environment for entrepreneurs, honest entrepreneursfacing bankruptcy to have second chance, public administrations to become responsive to SMEs’ needs,ease use of State Aid possibilities for SMEs, help for SMEs to benefit of the Single Market, enablingSMEs to turn environmental challenges into opportunities etc.

After the SBA Review (2011) a set of new actions were proposed to meet the challenges of theeconomic crisis, and enhance further development in line with the Europe 2020 strategy by: making smart regulation a reality for European SMEs, paying specific attention to SMEs’ financing needs, enhancing market access for SMEs, helping SMEs to contribute to a resource-efficient economy, and promoting entrepreneurship, job creation and inclusive growth.

http://ec.europa.eu/governance/better_regulation/documents/minimizing_burden_sme_EN. http://ec.europa.eu/governance/better_regulation/documents/minimizing_burden_sme_EN.

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Further EU acts for Further EU acts for SMEs’ support SMEs’ support

1.1. EU Cohesion Policy of EUEU Cohesion Policy of EU 2014-2020: 2014-2020:

Its task - to contribute to EU 2020 Strategy of a smart, sustainable and inclusive growth;

The legislative pack (the rules and the priorities) for the policy after 2014 - adopted by the EC in 2011. Further - will be discussed by the Council and EP during 2012-2013. The new Regulations should enter into force in 2014;

The budget for Europe 2020 - focused for providing added value of EU. The overall amount proposed for the period - €1 025 bn;

Future funding for energy policy - €50 bn (for investments to improve transport, energy and digital networks across Europe). The energy sector will benefit from €9.1 bn;

Clear rules elaborated - for better combination of financial instruments and other kind of support (in particular - grants). MS will experience greater flexibility to choose investments and to select the financial instruments.

http://ec.europa.eu/regional_policy/what/future/proposals_2014_2020_en.cfm

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Further EU acts for Further EU acts for SMEs’ support - 2SMEs’ support - 2

2. Programme for the Competitiveness of enterprises and SMEs (COSME) 2014-2020.2. Programme for the Competitiveness of enterprises and SMEs (COSME) 2014-2020.Will run from 2014 to 2020, with a planned budget of Will run from 2014 to 2020, with a planned budget of €€2.5 bn.2.5 bn.

Objectives: Objectives: facilitating SMEs’ access to finances;facilitating SMEs’ access to finances; creating favourable environment to business creation and growth;creating favourable environment to business creation and growth; encouraging entrepreneurial culture in Europe;encouraging entrepreneurial culture in Europe; increasing competitiveness of EU companies;increasing competitiveness of EU companies; helping small businesses operate outside their home countries and improving their access to helping small businesses operate outside their home countries and improving their access to

markets.markets.

Main beneficiaries Main beneficiaries Existing entrepreneurs (small businesses in particular) – easier access to funding for Existing entrepreneurs (small businesses in particular) – easier access to funding for

development, consolidation and growth of their business.development, consolidation and growth of their business. Future entrepreneurs (including young people) – assistance in setting up their own business.Future entrepreneurs (including young people) – assistance in setting up their own business. National, regional and local authorities – providing tools for effectively reforming policy: EU wide National, regional and local authorities – providing tools for effectively reforming policy: EU wide

data, best practice and financial support to test and scale up solutions for improving global data, best practice and financial support to test and scale up solutions for improving global competitiveness.competitiveness.

COSME is expected to contribute to an annual increase of COSME is expected to contribute to an annual increase of €1.1bn€1.1bn in the EU's GDP. in the EU's GDP.The Enterprise Europe Network is expected to assist The Enterprise Europe Network is expected to assist 40,000 companies40,000 companies with partnership with partnership

agreements. agreements.

http://ec.europa.eu/cip/cosme/index_en.htm

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Further EU acts forFurther EU acts forSMEs’ support - 3SMEs’ support - 3

3. Horizon 2020 – a financial instrument implementing the 3. Horizon 2020 – a financial instrument implementing the Innovation Union and the and the Europe 2020 flagships, which:flagships, which:

runs from 2014 to 2020 with an runs from 2014 to 2020 with an €80 bn€80 bn budget; budget;

provides major simplification through a provides major simplification through a single setsingle set of rules, combines all research and of rules, combines all research and innovation funding currently provided;innovation funding currently provided;

proposes support for research and innovation and will:proposes support for research and innovation and will:1.1. enhance EU science with a budget of enhance EU science with a budget of € 24.598 bn;€ 24.598 bn; 2.2. promote industrial leadership in innovation with promote industrial leadership in innovation with € 17.938 bn€ 17.938 bn i.e by investment in key technologies, i.e by investment in key technologies,

greater access to capital and support for SMEs;greater access to capital and support for SMEs;3.3. provide provide € 31.748 bn€ 31.748 bn to address major concerns such: as climate change, developing sustainable to address major concerns such: as climate change, developing sustainable

transport and mobility, making RE more affordable, ensuring food safety and security, or coping with transport and mobility, making RE more affordable, ensuring food safety and security, or coping with the challenge of an ageing population.the challenge of an ageing population.

http://ec.europa.eu/research/horizon2020/index_en.cfm

4. A4. As EU presidency, s EU presidency, Cyprus, Cyprus, will put SMEs at the centre of policy-makingwill put SMEs at the centre of policy-making. In November it will . In November it will host host Assembly on SME issuesAssembly on SME issues, , in in NicosiaNicosia and bring together SMEs; business organisations; and bring together SMEs; business organisations; EU, EU, national national

and and regional government; academia and the media to discuss how to help SMEs regional government; academia and the media to discuss how to help SMEs ‘Go for Growth’‘Go for Growth’..

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MMain funding opportunities to ain funding opportunities to European SMEsEuropean SMEs

EEUU support supportss European SMEs European SMEs in in the followingthe following forms forms: : as grants, loansas grants, loans; ; in some cases in some cases - - guarantees guarantees;;

directly or through programmesdirectly or through programmes,, managed at national or regional level managed at national or regional level ( (such as the Esuch as the EUU’s Structural ’s Structural FundsFunds););

non-financial assistance non-financial assistance - - programmes and business support services programmes and business support services..

4 supporting schemes are available:4 supporting schemes are available: TThematic funding opportunitieshematic funding opportunities - - with specific objectives - environment, research, educationwith specific objectives - environment, research, education

– by the departments of the EC. – by the departments of the EC. SMEs can apply directlySMEs can apply directly;;

Structural fundsStructural funds - - European Regional Development Fund European Regional Development Fund ((ERDFERDF)) and European Social Fund and European Social Fund ((ESF) ESF) - - the largest Community funding instruments benefiting SMEs, through different the largest Community funding instruments benefiting SMEs, through different thematic programmesthematic programmes, , managed at national levelmanaged at national level;;

Financial instrumentsFinancial instruments - - available indirectly, via national financial intermediaries. Many of available indirectly, via national financial intermediaries. Many of them are managed by the European Investment Fund.them are managed by the European Investment Fund.

4. Support for 4. Support for the business and the the business and the internationalisation of SMEsinternationalisation of SMEs - via intermediary - via intermediary organisations – EEN...organisations – EEN...

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Key EU Funding Key EU Funding

Sectors: Sectors: Environment, Environment, EEnergy and nergy and TTransportransport

1. Programme 1. Programme LIFE LIFE +:+: contributecontributess to the implementation, updating and development of EU environmental policy and to the implementation, updating and development of EU environmental policy and

legislationlegislation;; cco-financo-financeses pilot or demonstration projects with European added value pilot or demonstration projects with European added value;; began began in1992in1992, , current phase of the program runs current phase of the program runs to to 2013 2013 with with global budget of global budget of €2.1 b€2.1 bnn. .

ContainsContains 33 strands: strands: Nature and BiodiversityNature and Biodiversity;;

Environment Policy and GovernanceEnvironment Policy and Governance;;

Information and CommunicationInformation and Communication

SMEs may access LIFE+ funds, both from the part managed centrally by theSMEs may access LIFE+ funds, both from the part managed centrally by the EECC and from th and from the one, e one, managed by national agenciesmanaged by national agencies..

http://ec.europa.eu/environment/life/funding/lifeplus.htm

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Key EU Funding - 2Key EU Funding - 2

2. 2. Competitiveness and Innovation Framework Programme (CIP)Competitiveness and Innovation Framework Programme (CIP) = = an an integrated integrated response to the objectives of the response to the objectives of the ((renewedrenewed)) Lisbon strategy for growth and jobs. Run Lisbon strategy for growth and jobs. Runssfrom 2007 to 2013, from 2007 to 2013, with with a budget of a budget of ((approximatelyapproximately)) €3.6 b€3.6 bnn. .

As regards As regards environment and energy concernsenvironment and energy concerns, the CIP comprises:, the CIP comprises:

an Entrepreneurship and Innovation Programmean Entrepreneurship and Innovation Programme (EIP) with (EIP) with an eco-innovation partan eco-innovation part. . €€430 430 MM are are allocatedallocated for for taptappingping the full potential of environmental technologies; the full potential of environmental technologies;

an Intelligent Energy Europe Programmean Intelligent Energy Europe Programme (IEE) (IEE) withwith approximately approximately €727 €727 MM..ForFor actions to increase actions to increase thethe energy energy efficiency, to promote renewable energy efficiency, to promote renewable energy sources and energysources and energy diversification, and tdiversification, and to o stimulate the diversification of fuels stimulate the diversification of fuels and energy efficiency inand energy efficiency in transporttransport;;

an Information and Communication Technologies Policyan Information and Communication Technologies Policy Support Programme Support Programme (ICT-PSP), with a budget of(ICT-PSP), with a budget of €€ 730 730 MM for for pilot actions pilot actions ( (involving both public and involving both public and private organizationsprivate organizations)). The aim . The aim - - to stimulate innovation and competitiveness to stimulate innovation and competitiveness through the best use of ICT through the best use of ICT incl. for incl. for energy efficiency.energy efficiency.

http://ec.europa.eu/cip/index_en.htm ELIELI

Key EU Funding - 3Key EU Funding - 3 Sector: Sector: Innovation and ResearchInnovation and Research

1. 1. The Seventh Framework Programme for ResearchThe Seventh Framework Programme for Research and Technologicaland Technological Development (2007-2013)Development (2007-2013) - - FP7 pays special attention to the SMEs through its differentprogrammes: “Co-operation” (circa € 32.3 bn), “Ideas” (circa € 7.5 bn), “People” (circa €4.7 bn) and “Capacities” (circa € 4 bn):

““Co- operation” programmeCo- operation” programme - - SMEs are actively encouraged to participate in all SMEs are actively encouraged to participate in all research actionsresearch actions, especially in: , especially in: Joint Technology Initiatives (JTIs)Joint Technology Initiatives (JTIs);;

"Ideas" programme "Ideas" programme - - open to SMEsopen to SMEs L Like any other organisation, research teams ike any other organisation, research teams from from SSMEs can MEs can compete on the basis of excellence ;compete on the basis of excellence ;

““People” programmePeople” programme - - encouraging increased SME participation under “Industry-encouraging increased SME participation under “Industry-academia partnerships and pathways”academia partnerships and pathways”;;

““Research for the benefit of SMEs” in the“Capacities” aims to strengthen the Research for the benefit of SMEs” in the“Capacities” aims to strengthen the innovative capacity of European SMEs and their contribution to theinnovative capacity of European SMEs and their contribution to the development of development of new technologynew technology -- basedbased products and markets.The indicative budget for the SME products and markets.The indicative budget for the SME specific actions is circa specific actions is circa €1.3 b€1.3 bnn..

http://cordis.europa.eu/fp7/home_en.html

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Key EU Funding - 4Key EU Funding - 4

2. Competitiveness and Innovation Framework Programme (CIP) – as regards innovation and information technologies, the CIP comprises two main strands:

the Entrepreneurship and Innovation Programme (EIP) - aims to improve the conditions for innovation: exchanges of best practices between MS and actions to encourage and promote innovation in SMEs – especially fostering sector-specific innovation, clusters, public-private innovation partnerships and - application of innovation management;

the ICT Policy Support Programme with € 728 M - aims to stimulate the new converging markets for electronic networks and services, media content and digital technologies.

http://ec.europa.eu/cip/index_en.htm

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Key EU Funding – 5Key EU Funding – 5

Structural FundsStructural Funds - - forfor reduc reducinging disparities in the development of disparities in the development of regions, and promotregions, and promotinging economic economicand social cohesion within the EU.and social cohesion within the EU.

EEC C co-finances regional projectsco-finances regional projects in the Member States.in the Member States. D Direct aid to SMEs to co-finance theirirect aid to SMEs to co-finance theirinvestments is only possible in economically less developedinvestments is only possible in economically less developed regionsregions..

PProgrammes are managed and the projects selected at national and/or regional levelrogrammes are managed and the projects selected at national and/or regional level !!

For the period 2007-2013For the period 2007-2013, S, Strategy and resources of trategy and resources of the Cthe Cohesion policyohesion policy, embracing the, embracing theStructural funds,Structural funds, hadhad three priority three priority objectives, withobjectives, with a total allocation of € a total allocation of € 347.41 b347.41 bnn::

Convergence: to speed up the economic convergence of the less developed regions (81.54%Convergence: to speed up the economic convergence of the less developed regions (81.54% of the budget);of the budget);

Regional competitiveness and employment: to strengthen regional competitiveness and Regional competitiveness and employment: to strengthen regional competitiveness and attractiveness and help workers and companies to adapt themselves to economic changes attractiveness and help workers and companies to adapt themselves to economic changes (15.94% of the budget);(15.94% of the budget);

European territorial co-operation: to strengthen cross-border, transnational and interregional European territorial co-operation: to strengthen cross-border, transnational and interregional co-operation (2.52% of the budget).co-operation (2.52% of the budget).

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Key EU Funding – 6Key EU Funding – 6

European Regional Development FundEuropean Regional Development Fund ( ERDF) - ( ERDF) - the largest Community financial instrumentthe largest Community financial instrumentBenefiting Benefiting SMEsSMEs - - aim aimss to reduce disparities in the development of regions and to to reduce disparities in the development of regions and to supportsupportSocialSocial and economic cohesion within the Eand economic cohesion within the EU. U.

ERDF co-finances activities in ERDF co-finances activities in the the areas:areas:

entrepreneurship, innovation and competitiveness of SME (for exentrepreneurship, innovation and competitiveness of SME (for ex.. entrepreneurial mentoring, entrepreneurial mentoring, innovative innovative technologies and management systems in SMEs, eco-innovation, better use of ICT);technologies and management systems in SMEs, eco-innovation, better use of ICT);

improving the regional and local environment for SMEs (for example access to capital for SMEs in the start-up improving the regional and local environment for SMEs (for example access to capital for SMEs in the start-up and growth phase, business infrastructure an support services for SMEs, regional and local RTD and and growth phase, business infrastructure an support services for SMEs, regional and local RTD and innovation capacities, business co-operation and innovation capacities);innovation capacities, business co-operation and innovation capacities);

interregional and cross-border co-operation of SMEs;interregional and cross-border co-operation of SMEs;

investment in human resources (along with funding from the European Social Fund).investment in human resources (along with funding from the European Social Fund).

ERDF programmes are not directly managed by the ERDF programmes are not directly managed by the EECC but by national and regionalbut by national and regionalauthorities.authorities.

http://ec.europa.eu/regional_policy/funds/feder/index_en.htm

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Key EU Funding – 7Key EU Funding – 7

Financial instrumentsFinancial instruments - - processed through financial intermediaries such as banks, creditprocessed through financial intermediaries such as banks, creditinstitutions or investment fundsinstitutions or investment funds - - intend to increase the volume of credit available to SMEsintend to increase the volume of credit available to SMEs..

1. 1. Competitiveness and Innovation Framework Programme (CIP)Competitiveness and Innovation Framework Programme (CIP) - - € €1130 1130 MM - - for financial for financial instruments for 2007-2013instruments for 2007-2013, , organised under organised under 3 3 schemesschemes. The schemes are . The schemes are managed on managed on behalf of the Ebehalf of the EC C by the European Investment Fund (EIF):by the European Investment Fund (EIF):

The High Growth and Innovative SME Facility (The High Growth and Innovative SME Facility (GIFGIF) ) - - aims to increase the supply of equity for innovative aims to increase the supply of equity for innovative SMEs both in their early stages (GIF1) and in the expansion phase (GIF2). GIF shares risk and reward SMEs both in their early stages (GIF1) and in the expansion phase (GIF2). GIF shares risk and reward with private equity investors, providing important leverage for the supply of equity to innovative with private equity investors, providing important leverage for the supply of equity to innovative companiescompanies;;

The SME Guarantee Facility The SME Guarantee Facility ((SMEGSMEG) ) provides additional guarantees to guarantee schemes, in order to provides additional guarantees to guarantee schemes, in order to increase the supply of debt finance to SMEs. increase the supply of debt finance to SMEs.

A Capacity Building Scheme supports the capacity of financial intermediaries in someA Capacity Building Scheme supports the capacity of financial intermediaries in some MS. MS.

http://ec.europa.eu/cip/index_en.htm http://ec.europa.eu/enterprise/policies/finance/cip-financial-instruments/index_en.htmhttp://ec.europa.eu/enterprise/policies/finance/cip-financial-instruments/index_en.htmhttp://eif.europa.eu/http://eif.europa.eu/

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Key EU Funding – 8 Key EU Funding – 8

2. 2. Joint European Resources for Micro and Medium Enterprises (JEREMIEJoint European Resources for Micro and Medium Enterprises (JEREMIE)) - - a a joint joint initiative of the Einitiative of the ECC and the European Investment Fund and the European Investment Fund (EIF) (EIF) with the European with the European Investment BankInvestment Bank (EIB): (EIB):

aims to improve access to finance for micro to medium- sized enterprises and in particular the aims to improve access to finance for micro to medium- sized enterprises and in particular the supply of supply of micro-credit, venture capital finance or guaranteesmicro-credit, venture capital finance or guarantees and and/or/or other forms of innovative other forms of innovative financingfinancing;;

gives sgives special emphasis to supporting pecial emphasis to supporting start-ups, technology transferstart-ups, technology transfer, technology and innovation , technology and innovation funds and micro-creditfunds and micro-credit;;

is managed is managed as an integral part of the ERDFas an integral part of the ERDF::

itsits projects are selected at national and regional level. projects are selected at national and regional level.

http://eif.europa.eu/jeremie/http://eif.europa.eu/jeremie/http://ec.europa.eu/regional_policy/funds/2007/jjj/jeremie_en.htmhttp://ec.europa.eu/regional_policy/funds/2007/jjj/jeremie_en.htm

For For access financingaccess financing of of national/regional managing authorities national/regional managing authorities::http://ec.europa.eu/regional_policy/manage/authority/authority_en.cfmhttp://ec.europa.eu/regional_policy/manage/authority/authority_en.cfm

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Key EU Funding – 9Key EU Funding – 9

3. 3. European Investment Fund (EIF)European Investment Fund (EIF) - - based on two instruments:based on two instruments: EIF’s EIF’s venture capital instrumentsventure capital instruments consist of capital investments in venture capital funds and consist of capital investments in venture capital funds and

business incubators that support SMEs, particularly those that are newly created and business incubators that support SMEs, particularly those that are newly created and technology-oriented.technology-oriented.

EIF’s EIF’s guarantee instrumentsguarantee instruments consist of providing guarantees to financial institutions that cover consist of providing guarantees to financial institutions that cover credits to SMEs.credits to SMEs.

http://www.eif.europa.eu/http://www.eif.europa.eu/

44. . European Investment Bank (EIB) loansEuropean Investment Bank (EIB) loans - - delivered via intermediaries such as commercial delivered via intermediaries such as commercial banks. They are targeted at tangible or intangible investments by SMEs. EIB loans may also banks. They are targeted at tangible or intangible investments by SMEs. EIB loans may also help to provide a stable working capital base to SMEshelp to provide a stable working capital base to SMEs..The duration of the loans will be between The duration of the loans will be between 2 and 12 years, with a maximum amount of2 and 12 years, with a maximum amount of €€12.5 12.5 MM per loan. per loan.

http://eib.europa.eu http://eib.europa.eu/projects/topics/sme/index.htmhttp://eib.europa.eu http://eib.europa.eu/projects/topics/sme/index.htm

5. 5. European Bank for Reconstruction and Development European Bank for Reconstruction and Development (EBRD) (EBRD) programmesprogrammes - - provides provides financing to SMEs in 11 countries in central Europe, including new member states. Thfinancing to SMEs in 11 countries in central Europe, including new member states. Thee finance finance is processed through local banks, leasing companies and equity funds. The funding available is is processed through local banks, leasing companies and equity funds. The funding available is of €of € 847 847 MM from the EBRD, with a contribution from the European Commission of € from the EBRD, with a contribution from the European Commission of € 130 130 MM..

http://www.ebrd.com/pages/sector/financial/sme.shtmlhttp://www.ebrd.com/pages/sector/financial/sme.shtml

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EU Funding and EU companiesEU Funding and EU companies

In brief: MIn brief: Micro, small, mediumicro, small, medium and and largelarge Companies could participate Companies could participate: :

in almost all FP7 activities and are encouraged to do so. The FP7- Capacities in almost all FP7 activities and are encouraged to do so. The FP7- Capacities Programme has specific schemes for research relating to SMEsProgramme has specific schemes for research relating to SMEs;;

in pin pilot and market replication projects in the area of ICT or eco-innovationilot and market replication projects in the area of ICT or eco-innovation. . CIP Eco-CIP Eco-innovation actions mainly targets SMEs (more than 70 % of participants are SMEs)innovation actions mainly targets SMEs (more than 70 % of participants are SMEs);;

In In Intelligent Energy Europe programmeIntelligent Energy Europe programme;;

In In CIP Financial InstrumentsCIP Financial Instruments (mainly (mainly the the SMEsSMEs). ). They They should contact a financial should contact a financial intermediary located in their country or region.intermediary located in their country or region. The list of financial intermediaries, and The list of financial intermediaries, and information on eligibility criteria and application procedures, can be found at: information on eligibility criteria and application procedures, can be found at: http://www.access2finance.eu/http://www.access2finance.eu/;;

The The Structural Funds offer many funding possibilities for companies (in particular SMEs). Structural Funds offer many funding possibilities for companies (in particular SMEs). The The ESFESF supports activities that make people more employable supports activities that make people more employable by by initial and vocational initial and vocational trainingtraining. .

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EU Funding – combinationsEU Funding – combinations

EEU funding sourcesU funding sources: : FP7, CIP and Structural Funds, FP7, CIP and Structural Funds, could be combined, as follows:could be combined, as follows:

By By Co-financingCo-financing:: GGeneral rule - beneficiary (whether a public authority, SME or research entity) also contributes to the

cost. The Structural Funds, EFRD, FP7 and CIP have their specific rules on the required level of co-financing.

Funds from the European Investment Bank Group (EIB and EIF) can generally be used to finance the national or regional contribution to a project under the ESF.

In the case of FP7 or the CIP – given the system of calls for proposals with specific subjects, eligibility and selection criteria, the applicant’s contribution to a project under other funds is in practical terms impossible.

By Complementary financing: While co-financing the same project by different EU funds is either prohibited or not practically possible,

it is possible to combine the resources of the Structural Funds, FP7 and CIP in a complementary way. This means using different funds for different actions (with separate cost statements/bills), which are carried out in a related or consecutive manner.

For instance, the preparatory phase (planning and design) of a research infrastructure project may be financed by FP7 , the construction - by ERDF. After the construction, the use for research activities, including the training of researchers, may be supported by FP7, CIP, ERDFor ESF. training of researchers, may be supported by FP7, CIP, ERDFor ESF.

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Examples of good practices Examples of good practices in some in some EU MEU MSS

SMEs are the green championsSMEs are the green champions - c- calculations by Carbonalculations by Carbon Trust estimate that Trust estimate that businesses wastebusinesses waste2626%% of all of all energy they consume. This can be reduced with smallenergy they consume. This can be reduced with small a adjustments. djustments.

LLack ofack of information,information, time andtime and finances can prevent businesses fromfinances can prevent businesses from undertakingundertaking energyenergy efficiencyefficiencymeasuresmeasures::

UKUK: : AAnn unique new initiative, called unique new initiative, called Low Carbon ChampionsLow Carbon Champions (LCC) (LCC) taktakeses a ann innovative approach to innovative approach to help SMEs overcome thehelp SMEs overcome the above above problems by creating ‘ problems by creating ‘ambassadorsambassadors’ to champion carbon reduction ’ to champion carbon reduction programmes. LCC programmes. LCC waswas designed specifically to reduce the need for businesses to rely on external designed specifically to reduce the need for businesses to rely on external resourcesresources, to become, to become self-sufficient and take a long-term self-sufficient and take a long-term attitudeattitude to carbon reduction to carbon reduction;;

DenmarkDenmark: Through : Through a specially created a specially created Business Innovation FundBusiness Innovation Fund (EUR 100 (EUR 100 MM for 2010-2012), the for 2010-2012), the Danish Ministry of Economic and Business Affairs supports Danish Ministry of Economic and Business Affairs supports SMEs valuable SMEs valuable business business initiatives initiatives in in green marketsgreen markets – national and addressed to the Single one. – national and addressed to the Single one.

The NetherlandsThe Netherlands: : A A Foundation for Knowledge and Innovation in EnergyFoundation for Knowledge and Innovation in Energy and Environmental and Environmental TechnologyTechnology was set up - was set up - a network of 160 companies, knowledge institutes and a network of 160 companies, knowledge institutes and public authorities forpublic authorities for co-financing projects delivering eco-products and technologies (e.g. smart solar applications, smart co-financing projects delivering eco-products and technologies (e.g. smart solar applications, smart grids, etc.).grids, etc.).

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Good practices for tGood practices for turning environmental urning environmental challenges into opportunitieschallenges into opportunities

Belgium, Bulgaria, Cyprus, France, Germany Malta, Portugal, Slovenia and the UBelgium, Bulgaria, Cyprus, France, Germany Malta, Portugal, Slovenia and the UK K help SMEs help SMEs upgrade or replace equipment with energy efficient alternativesupgrade or replace equipment with energy efficient alternatives providing providing funding through favourable funding through favourable loan conditions or direct subsidiesloan conditions or direct subsidies;;

Bulgaria, Czech Republic, Germany and SlovakiaBulgaria, Czech Republic, Germany and Slovakia implemented special policy measures and levers to implemented special policy measures and levers to

supsuppport ort and stimulate and stimulate SMEs SMEs for developing green products and services. for developing green products and services.

Austria, Belgium, Bulgaria, Germany, Hungary, Spain, Sweden and the UAustria, Belgium, Bulgaria, Germany, Hungary, Spain, Sweden and the UKK provide consulting provide consulting and and information information services for SMEs and raise awareness of energy efficiency cost-saving and services for SMEs and raise awareness of energy efficiency cost-saving and innovative innovative business opportunitiesbusiness opportunities..

BulgariaBulgaria launche launchedd Energy Efficiency and Green Economy ProgrammeEnergy Efficiency and Green Economy Programme in Ain April 25th 2012pril 25th 2012. It aims to . It aims to help SMEs become more competitive in the EU market. help SMEs become more competitive in the EU market.

The porgramme will be The porgramme will be managed by the Ministry of Economy, Energy and Tourismmanaged by the Ministry of Economy, Energy and Tourism and and is supportis supported ed with a with a grant of up to EUR grant of up to EUR 150 150 MM by by the E the EU U Structural Funds. Structural Funds.

The resources will be used to The resources will be used to makemake SMEs undertaking investments in energy efficiency and renewable SMEs undertaking investments in energy efficiency and renewable energy projects reimbursing up to energy projects reimbursing up to 30-50%30-50% of eligible project costs upon successful implementation. of eligible project costs upon successful implementation. A A technical assistance technical assistance will be porvided by will be porvided by the Ministrythe Ministry for the for the preparation of investment projects. preparation of investment projects.

In parallel, the EBRD is launching a new EUR In parallel, the EBRD is launching a new EUR 150 150 MM credit line credit line : : Bulgarian Energy Efficiency Bulgarian Energy Efficiency for Competitive Industry Finance Facility (BEECIFFfor Competitive Industry Finance Facility (BEECIFF), ), for for supportsupportinging the Programme. the Programme. ThisThis financing will be extended to commercial banks for on-lending to financing will be extended to commercial banks for on-lending to SMEs SMEs needneedinging resources resources for the energy projects for the energy projects implementataion.implementataion.

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Good practices outside EU Good practices outside EU

EExamples of resource efficiency xamples of resource efficiency supporting initiatives:supporting initiatives:

JapanJapan Started Started policy on policy on Green PurchasingGreen Purchasing and and the market share of the market share of ““environmental businessenvironmental business”” in Japan in Japan

started started rapid increasrapid increase. e. The target is to have 30% of private companies applying green purchasing The target is to have 30% of private companies applying green purchasing principlesprinciples in the next 2 years. in the next 2 years.

Establsihed aEstablsihed a Green IT Promotion CouncilGreen IT Promotion Council as an industry-government-university partnership to as an industry-government-university partnership to promote green IT. promote green IT. It will It will assist the development of innovative technologies; promote the assist the development of innovative technologies; promote the dissemination of energy-efficient technologies and products; and facilitate the monitoring, reporting dissemination of energy-efficient technologies and products; and facilitate the monitoring, reporting and verification of the environmental contribution of ICT. and verification of the environmental contribution of ICT.

USUS Created Created Green Suppliers NetworkGreen Suppliers Network based on cooperation between industry and the US based on cooperation between industry and the US

Government. The Network works with large manufacturers to engage their Government. The Network works with large manufacturers to engage their SME-SME-suppliers in low-suppliers in low-cost technical cost technical evaluations in order to evaluations in order to ususee materials more efficiently. materials more efficiently.

ChinaChina Implemented a special Implemented a special LLaw aw forfor ““creating a 'circular economy‘creating a 'circular economy‘”” requir requiringing low energy consumption low energy consumption

and high efficiency, low emissions of pollutants and minimal waste dischargeand high efficiency, low emissions of pollutants and minimal waste discharge. It uses. It uses the '3-R' the '3-R' principle ofprinciple of:: reduce, reuse, and recycle. Action is carried out at individual firm level, within industrial reduce, reuse, and recycle. Action is carried out at individual firm level, within industrial parks and clustered/chained industriesparks and clustered/chained industries. . The new 5-year plan 2011-2015 provides for huge The new 5-year plan 2011-2015 provides for huge investments in clean technologies. The concept of green GDP is exploredinvestments in clean technologies. The concept of green GDP is explored..

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This is the last slide!This is the last slide!

Thank you for the attention!Thank you for the attention!

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