State aid: Commission invites interested parties to provide comments on proposed revision of State aid Framework for research, development and innovation

(Credit: Unsplash)

This article is brought to you in association with the European Commission.


The European Commission has launched today a public consultation inviting all interested parties to comment on a proposed targeted revision of the State aid Framework for research, development and innovation (the “RDI Framework”). Interested parties can respond to the consultation for eight weeks, until 3 June 2021.

Executive Vice-President Margrethe Vestager, in charge of competition policy, said: “We want to further simplify our existing State aid Framework to make it easier for Member States to support research, development and innovation, including by small and medium sized enterprises, while ensuring that possible competition distortions are kept to the minimum. We now invite stakeholders to share their views. All this to provide the right incentives to tackle the challenges we are facing and enable Europe’s green and digital transition.”

The RDI Framework aims at facilitating research, development and innovation (“RDI”) activities, which, due to market failures, would not occur in the absence of public support. In this respect, the RDI Framework enables Member States, subject to certain conditions, to provide the necessary incentives to companies and the research community to carry out these important activities and investments in this field.

The Commission has conducted an evaluation of the current RDI Framework as part of the State aid Fitness Check. The evaluation revealed that the current provisions of the RDI Framework work well overall, and constitute an effective tool in facilitating research, development and innovation activities at both national and European level.

At the same time, the evaluation showed that some targeted adjustments of the existing rules may be necessary to reflect the latest regulatory, economic and technological developments. Furthermore, the RDI Framework may need to be aligned to the Commission’s new strategic priorities, such as the European Green Deal and the EU’s Digital Strategies.

In this context, the Commission is proposing a number of targeted changes. More specifically, the proposed revisions consist in:

  • Improving and updating the existing definitions of research and innovation activities eligible for support under the RDI Framework, in particular to clarify their applicability with respect to digital technologies and activities related to digitalisation. This aims at providing legal certainty to Member States and stakeholders, while facilitating RDI investments that will enable the digital transformation of companies in the EU.
  • Introducing new provisions to enable public support for technology infrastructures (e.g. facilities, equipment,  capabilities  and  support  services  required  to  develop,  test  and  upscale technology, such as testing labs) with a view to incentivise RDI investments in this type of infrastructures. This aims at further enabling the swift development of innovative technologies especially by small and medium sized enterprises (SMEs) and facilitating the green and digital transition of the EU economy;
  • Simplifying certain rules, for example by introducing a simplified indirect cost calculation methodology for determining the eligible costs, in order to facilitate the practical application of the RDI Framework, where the evaluation has identified possible excessive administrative burden for companies and managing authorities.

The draft RDI Framework and all the details about the public consultation are available online.

Next steps

In addition to the consultation launched today, the proposed text of the RDI Framework will also be discussed in a meeting between the Commission and Member States that will take place towards the end of the consultation period. This process will ensure that both Member States and other interested parties will have sufficient opportunities to comment on the draft Commission proposal.

The adoption of the new RDI Framework is foreseen for the second half of 2021.

Background

The RDI Framework sets out the conditions under which State aid for research, development and innovation activities may be considered compatible with the Internal Market. It applies to all technologies, industries and sectors to ensure that the rules do not prescribe in advance which research paths would result in new solutions for innovative products, processes and services.

The provisions of the RDI Framework are complemented by the General Block Exemption Regulation (“GBER”), which lays down ex ante compatibility conditions on the basis of which Member States can implement State aid measures without prior notification to the Commission.

the sting Milestones

Featured Stings

Can we feed everyone without unleashing disaster? Read on

These campaigners want to give a quarter of the UK back to nature

How to build a more resilient and inclusive global system

Stopping antimicrobial resistance would cost just USD 2 per person a year

Climate action ‘both a priority and a driver of the decade’: Guterres

Finland is a world leader in clean energy. Here’s what’s driving its success

Trump’s Russophiles under investigation, Europe remains ‘en garde’

Syria war: executions condemned as violence continues ‘on both sides’ of border with Turkey

Now is the time to seize ‘unprecedented opportunity’ of the Sustainable Development Forum, says ECOSOC President

Afghanistan extends ceasefire with Taliban; UN urges both sides to work towards lasting peace

EU and China in search of a win-win agreement through strategic cooperation ahead of the EU-China summit

‘Wind blowing in the direction of peace’ in Africa: UN Secretary-General

Harnessing the power of nature in the fight against climate change

Rule of law in Hungary: Parliament should ask Council to act, say committee MEPs

COP25: ‘Signals of hope’ multiplying in face of global climate crisis, insists UN chief Guterres

Council Presidency: Floundering with the EU 2014 budget

EU Banks still get subsidies from impoverished citizens

Century challenge: inclusion of immigrants in the health system

State aid: Commission approves €53 million public support scheme for charging stations for low emission vehicles in Romania

Is China about to launch its own cryptocurrency?

European Health Union: Commission publishes open public consultation on the European Health Data Space

Trade preferences boost developing countries’ exports to the European Union

These are New York Public Library’s 10 most borrowed books

Bank resolutions to remain a politically influenced affair

China in my eyes

5 charts that show renewable energy’s latest milestone

Making the move to more sustainable mobility – three steps for companies

This young activist explains how to change the world in 3 steps

Hungary’s emergency measures: MEPs ask EU to impose sanctions and stop payments

Telemedicine: union when the rule is isolation

International partners pledge $1.2 billion to help cyclone-hit Mozambique recover, ‘build back better’

Vulnerable young people must not be blamed & stigmatised for violent radicalisation

Scotland wants to create an ethical stock exchange (Post Brexit)

Addressing the Challenges of COVID-19 Vaccination

The future of the plastics industry is green

A clean energy future with hydrogen could be closer than we think

Human rights breaches in Guinea Conakry and Madagascar

Art, mental health and suicide: different strategies for increasing access to health services

As human genome editing moves from the lab to the clinic, the ethical debate is no longer hypothetical

How debt for climate swaps could spur a green recovery

The UN’s unyielding effort to tackle sexual abuse and exploitation: our quarterly update

Security Union: Significant progress and tangible results over past years but efforts must continue

Impact investing in Latin America and addressing the ‘missing middle’

Governments must take further action to boost job opportunities at an older age

EUREKA @ European Business Summit 2014: Innovation across borders – mobilising national R&D funds for transnational innovation in Europe

The world’s impact in a small Brazilian town and the increased demand for mental health

Long-term EU budget: The Union’s ambitions must be matched with sufficient reliable funding

Time to pay up: UN summit to push for development finance breakthrough

‘Great cause of concern’ UN chief tells Security Council, surveying ‘bleak’ state of civilian protection

How Islamic finance can build resilience to climate change

Further reforms in France can drive growth, improve public finances and boost social cohesion

The best companies to work for in 2020, according to Glassdoor

Countries must up their game to reduce low birth weights, warns UN-backed report

Libya: EU efforts should focus on protecting migrants, MEPs say

MWC2021 Launches New Initiative to Widen Access for Spanish Industry Professionals

One in three children do not get the nutrition they need

Largest joint UN humanitarian convoy of the war, reaches remote Syrian settlement

Is the EU denying its social character favouring a banking conglomerate?

Why the UN is investigating poverty in the United Kingdom

Sustainable fishing staying afloat in developed world, sinking in poorer regions

A comprehensive strategy for Eurozone’s long term growth gains momentum

Silk Road Unlimited

This is how Europe is helping companies and workers as the coronavirus crisis deepens

UN chief announces progress on committee to shape Syria’s political future

More Stings?

Speak your Mind Here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s