Presentation on theme: "Innovation and Competitiveness in HORIZON 2020"— Presentation transcript:
1 Innovation and Competitiveness in HORIZON 2020 Clara de la Torre Director Research and Innovation, DG Research and Innovation, European Commission
2 Obstacles to getting innovations to market – and what we are doing about them Framework conditions: unitary patent, faster standard- setting, modernised procurement rules, passport for VC funds…Availability of finance: debt and equity facilities, leverage and multiplier effects…Establishing technical & economic viability in operational environments: demo and pilot projects, PPPs, P2Ps, SME instrument, Eurostars, EIT KICs…Demand-side approaches: early user involvement, innovation procurement, regulation fostering innovation, standard-setting activities…Capturing a good part of the value chain: exploitation services, innovative business models, mentoring and coaching services for SMEs…First: Adverse framework conditions are preventing good ideas from reaching the market. Europe needs to unleash its innovation potential by updating Single Market regulations and procedures, cheaper and easier patenting, faster standard-setting, etc. While proposed measures still need to be implemented to start bringing results, they represent a fundamental shift in the right direction.Second: Poor availability of finance is a key roadblock. Horizon 2020 and COSME financial instruments will leverage and multiply the impact of the EU budget. They will use two facilities for SMEs' growth and R&I: one for equity, and one for debt. In addition, Horizon 2020 will also support debt financing for midcaps, large firms, research bodies, and other entities investing in R&I.Third: From establishing technical feasibility in the lab, there is still some way to go before it hits the marketplace, including though establishing technical and economic viability in operational environments. Horizon 2020 can help realise this journey, notably through support to demo and pilot projects, Public-Private and Public-Public Partnerships, a dedicated SME instrument, the Eurostars programme, EIT Knowledge and Innovation Communities etc.A fourth difficulty in getting results to market often appears in cases where the researchers/entrepreneurs do not take sufficiently into consideration the ultimate end-use or demand for their work. Also on this point Horizon 2020 can help, in particular through support to early user involvement, to innovation procurement, to analyses of how regulation can foster innovation; and to standard-setting activities.Finally, even with finance in place and clear demands, you may still fail if you do not capture a good part of the value chain or if the business model is not well elaborated. On this point, Horizon 2020 foresees support to exploitation services for participants, to exploration of innovative business models, and to mentoring and coaching services for SMEs, in particular.
3 Average R&D Investment, 2004-2009 Investment in R&D is part of the solution to exit from the economic crisesAverage R&D Investment,GPD growth, 2010
4 Financial Instruments in MMF 2014-2020 Centrally managed by ECShared management with MSResearch Development InnovationHorizon 2020Equity and Risk Sharing InstrumentsInstruments under Structural and Cohesion FundsEU level (central management)National/regional (shared management)Off-she-shelf instrumentsTailor-made instrumentsGrowth, Jobs and Social CohesionCompetitiveness & SME (COSME) Equity and GuaranteesCreative EuropeGuarantee FacilitySocial Change & InnovationErasmus for AllGuarantee FacilityInfrastructureThere is a multitude of financial instruments offering support for growth.Connecting Europe Facility Risk sharing (e.g. project bonds) and equity instruments)
5 What is Horizon 2020Initial Commission proposal for a €80 billion research and innovation funding programme ( ); now just over €70 billion, but still a big increase over the last ProgrammeA core part of Europe 2020, Innovation Union & European Research Area:Responding to the economic crisis to invest in future jobs and growthAddressing people’s concerns about their livelihoods, safety and environmentStrengthening the EU’s global position in research, innovation and technology
6 Active involvement of stakeholders EU Presidencies: Sweden (societal challenges-based approach), Spain (integration of research and innovation), Hungary (FP7 interim evaluation), Poland (widening participation), European Council conclusions from (Common Framework to bring together all EU research and innovation funding)European Parliament reports: Merkies (Innovation Union), Audy (FP7 evaluation), Matias (Horizon 2020) and Carvalho (simplification)Overwhelming response to the public consultation on Horizon 2020 (more than 2000 contributions)Survey on administrative costs for participants in FP725 workshops on the content of Horizon 2020
7 What's newA single programme bringing together three separate programmes/initiatives*Coupling research to innovation – from research to retail, all forms of innovationFocus on societal challenges facing EU society, e.g. health, clean energy and transportSimplified access, for all companies, universities, institutes in all EU countries and beyondThe 7th Research Framework Programme (FP7), innovation aspects of Competitiveness and Innovation Framework Programme (CIP), EU contribution to the European Institute of Innovation and Technology (EIT)
8 Industrial leadership Three prioritiesExcellent scienceIndustrial leadershipSocietal challenges
9 Priority 1. Excellent science Why:World class science is the foundation of tomorrow’s technologies, jobs and wellbeingEurope needs to develop, attract and retain research talentResearchers need access to the best infrastructures
10 Priority 2. Industrial leadership Why:Strategic investments in key technologies (e.g. advanced manufacturing, micro-electronics) underpin innovation across existing and emerging sectorsEurope needs to attract more private investment in research and innovationEurope needs more innovative small and medium-sized enterprises (SMEs) to create growth and jobs
11 'Access to risk finance' with strong SME focus Proposed funding (€ million, )Leadership in enabling and industrial technologies (LEITs)(ICT, nanotechnologies, materials, biotechnology, manufacturing, space)€13.6 billionAccess to risk financeLeveraging private finance and venture capital for research and innovation€2.8 billionInnovation in SMEsFostering all forms of innovation in all types of SMEs€0.6 billion + complemented by expected 20% of budget of societal challenges + LEITs and'Access to risk finance' with strong SME focus
12 Priority 3. Societal challenges Why:Concerns of citizens and society/EU policy objectives (climate, environment, energy, transport, etc) cannot be achieved without innovationBreakthrough solutions come from multi-disciplinary collaborations, including social sciences & humanitiesPromising solutions need to be tested, demonstrated and scaled up
13 Horizon 2020 and partnering Public private partnerships:Through Joint Technology Initiatives or other formal structures (Art. 187)Through contractual agreements, which provide inputs for work programmesOnly when criteria met, e.g. clear commitments from private partnersPublic public partnerships:Through « ERA-Nets » for topping up individual calls/actions (replacing current ERA-Net, ERA-Net Plus, Inco-Net, Inno-net)Through participation in joint programmes between Member States (Art. 185)Supporting agendas of Joint Programming Initiatives when in line with HorizonOnly when criteria met, e.g. financial commitments of participating countriesEuropean Innovation Partnerships:Not funding instruments, but for coordination with broader policies and programmes
14 Simplification: Rules for Participation A single set of rules:Adapted for the whole research and innovation cycleCovering all research programmes and funding bodiesAligned to the Financial Regulation, coherent with other new EU ProgrammesOne project – one funding rateMaximum of 100% of the total eligible costs (except for innovation actions, where a 70% maximum will apply for profit making entities)Indirect eligible costs: a flat rate of 25% of direct eligible costsSimple evaluation criteriaExcellence – Impact – Implementation (Excellence only, for the ERC)New forms of funding aimed at innovationpre-commercial procurement, inducement prizes, dedicated loan and equity instrumentsInternational participationfacilitated but better protecting EU interests
15 Simplification: Rules for Participation Simpler rules for grantsbroader acceptance of participant's accounting practices for direct costs, flat rate for indirect costs, no time-sheets for personnel working full time on a project, possibility of output-based grantsFewer, better targeted controls and auditsLowest possible level of requirements for submission of audit certificates without undermining sound financial managementAudit strategy focused on risk and fraud preventionImproved rules on intellectual propertyBalance between legal security and flexibilityTailor-made IPR provisions for new forms of fundingA new emphasis on open access to research publicationsBeyond the Rules: further simplified provisions in the Grant Agreement and implementing procedures to facilitate access to Horizon 2020 (e.g. common IT platform).
16 Simplification: summary Single set of simpler and more coherent participation rulesNew balance between trust and controlMoving from several funding rates for different beneficiaries and activities to just twoReplacing the four methods to calculate overhead or «indirect costs» with a single flat rateMajor simplification under the forthcoming financial regulationSuccessful applicants to get working more quickly: time-to-grant of 8 months; exceptions for the ERC and in duly justified cases
17 Strong participation by SMEs Integrated approach - around 20% of the total budget for societal challenges and LEITs to go to SMEsSimplification of particular benefit to SMEs (e.g. single entry point)A new SME instrument will be used across all societal challenges as well as for the LEITsA dedicated activity for research-intensive SMEs in 'Innovation in SMEs''Access to risk finance' will have a strong SME focus (debt and equity facility)
18 Widening participation Principle of excellence: continue to allocate funding on the basis of competitive calls, selecting only the best projectsClear division of labour between cohesion policy and Horizon 2020Cohesion policy: support for regions in building up their research and innovation capacityHorizon 2020: widen participation, better coordination between the two Union funding programmes, support policy learning reformsAccompanying measures in Horizon 2020 to ensure that excellence prevails wherever it exists, including: competitive teaming, twinning, ERA chairs, support for access to international networks, development of smart specialisation strategies
19 International cooperation International cooperation is crucial to address many Horizon 2020 objectivesPrinciple of general openness: the programme will remain to be the most open funding programme in the worldHorizon 2020 shall be open to the association of: acceding countries, candidate countries and potential candidates and selected international partner countries that fulfil the relevant criteria (capacity, track record, close economic and geographical links to the Union, etc.)Targeted actions to be implemented taking a strategic approach to international cooperation (dedicated measures in the 'Inclusive, innovative and secure societies' challenge)
20 Next steps Formal political decisions on Horizon 2020 Formal political decision on Multi-annual financial framework ( )Adoption of work programme and publication of first calls for proposalsHorizon 2020 national launch eventsAutumn December 2013 October to January 2014
21 Horizon 2020 and RomaniaEducation, Youth, Sport
22 Performance of Romania in FP7 694 signed grant agreements, with 858 participations from RomaniaRomanian applicant success rate of 14,6% is lower than EU-28 average rate of 20,6%High SME participation: 22 % of total Romanian participations (EU : 18 %)Romania ranks 17 in terms of number of applicants and requested EC contribution, 18 in number of participations and 19 in budget share.Most active FP7 priority areas by EU contribution granted to research projects: ICT, Nanosciences Nanotech, Materials and new Production Technologies, Research Potential, Transport, Research for the benefit of SMEs and Environment
23 Romania performs better and better in Framework Programmes FP7 contribution to Romania (€ 115 mil) more than doubled as compared to FP6 (€53 mil)The number of Romanian participations has more than doubled in FP7 as compared with FP5.The number of projects with Romanian participations increased by 125%.The EC funding received is more than four times in FP7 as compared with FP5.
24 Horizon 2020 can further help to realise Romania's ambitions! A clear and smart specialisation strategy building on domains where Romania has a good industrial tradition and ST strengths (i.e. chemical industry, ICT, automotive sector)Increased efforts at national level to strengthen R&I capacity to ensure successful applications for competitive EU fundingCloser links between research, innovation and industry by prioritising RD activities in the new national strategy that attract private investment
25 Successful EU Research An innovative production platform for micro-products(LIGHT-ROLLS)Micro-products responding to demand for flexible products and the need for low cost production.Coordinator: Fundacion PRODINTEC from Gijon, SpainEU funding: € 3.7 M out of € 5.1 M of total costsAn SME from Romania - ROELECTRONICA SA from Bucharest was among partners of the consortium (partners from the following countries ES, CH, DE, AT, UK, SE, RO)More at:tinyurl.com/05zdwtvMicro-products have become increasingly important in the medical, biotechnology, consumer and automotive sectors. However, products in these sectors such as innovative display solutions and light emitting panels require the integration of different functionalities and demand new mass manufacturing methods and technologies.An on-going research effort is bringing high-speed and self-assembling methods to production lines for micro-products, with potential applications in a wide range of sectors. Started in July 2009 , Light-Rolls is researching the development of a production platform for the seamless and mass manufacture of these micro-products.With €3.7 in EU-funding under the Seventh Framework Programme, Light-Rolls is integrating highly innovative manufacturing and assembly technologies into a common technology platform. This platform uses “roll-to-roll manufacturing” which is the process of creating electronic devices on a roll of plastic or foil.
26 Successful EU Research Improved waste recycling will benefit environment and boost European industry(HYDROWEEE Demo)A mobile plant using liquid solvents to extract metals like lithium, cobalt, zinc, copper, gold, silver, nickel, lead and tin in a high purity from electronic waste.Coordinator: Kopacek KEG, from Vienna, AustriaEU funding: € 2.7 M out of € 3.7 M of total costsAn SME from Romania – Greentronics from Alexandria is among other 9 partners of the consortium (partners from the following countries: AT, IT, HR, RO)More at:tinurl.com/oa8pj3vWaste from electrical and electronic equipment is one of the fastest growing waste streams in the European Union (EU). The increasing prevalence of affordable electronics means landfill sites are filling up with the consequent waste from sources such as light bulbs, spent batteries, printed circuit boards, liquid crystal displays and cathode ray tubes. The quantity of such waste doubles every 12 to 15 years.What’s more, this waste contains rare and precious metals. Emerging green technologies such as solar cells and energy-efficient light bulbs depend heavily on raw materials like gallium, indium and rare-earth elements. Improved electronic waste recycling could thus not only reduce the environmental impact from new mining, but also boost European industry and provide resource security.That is the aim of the EU-funded project HydroWEEE Demo (‘hydro’ for hydrometallurgical, and ‘WEEE’ for waste from electrical and electronic equipment). Started in October 2012, the project brings together research organisations across four European countries with € 2.6 million in EU funding.
27 Successful EU Research Young innovators tackle composite aircraft structures (ADVITAC)A new method for building a composite aircraft tail cone that will help get more efficient air transport off the ground.Coordinator: Daher Aerospace SAS, Saint Julien de Chedon, FranceEU funding: € 4 Million out of € 5.8 Million of total costsAn SME from Romania – RECOMET IMPEX SRL from Cluj Napoca was among other 8 partners of the consortium(partners from the following countries FR, RO, NL, ES, UK, BE, BR)More at:tinyurl.com/ptjqrttAlthough lighter and more durable than conventional materials, the use of composites in the production of aircraft structures has been limited due to high costs. Now, a clever European SME has developed a new method for building a composite aircraft tail cone that will help get more efficient air transport off the ground.Created by three ambitious student engineers and initially incubated through academic research grants, France's Coriolis Composites S.A.S is an innovative SME specialising in the development, marketing and distribution of fibre-placement technologies.