COMPETITIVENES AND INNOVATION FRAMEWORK PROGRAMME (CIP) (A greater access to EU funds for SMEs) UNIVERSITY OF NOVI SAD CENTER FOR ADVANCED EUROPEAN STUDIES AND RESEARCH "European Studies Across Borders“ Dragica Koldžin

C O N T E N T 1. BACKGROUND, RATIONALE AND ADOPTION 2. PREDECESSOR PROGRAMMES 3. OBJECTIVES 4. STRUCTURE 4.1. Entrepreneurship and Innovation Programme (EIP) 4.2. The ICT Policy Support Programme 4.3. The Intelligent Energy-Europe Programme (IEE) 5. BUDGET AND IMPLEMENTATION 6. CONSISTENCY WITH OTHER EU POLICIES 7. CONCLUSION

1. BACKGROUND, RATIONALE AND ADOPTION  The Lisbon European Council Making Europe the most competitive and dynamic knowledge-based economy in the world by 2010  Particular attention – ensuring coherence and synergy among all actions implemented at EC level in the field of innovation and competitiveness  2003 Spring Council recommendations – put forward a proposal for the implementation of CIP  December 2004 to February Public stakeholders consultation  April 2005 – Commission has adopted the proposal for CIP  October 2006 – European Parliament and the Council adopted decision on establishing a CIP

2. PREDECESSOR PROGRAMMES CIP MAP Innovation LIFE (Environment) eTen eCONTENT Modinis Intelligent Energy Europe (STEER, SAVE, ALTENER)

2. PREDECESSOR PROGRAMMES  Multiannual Programe for Enterprise and Entrepreneurship (MAP) - the most important framework plan of activities for the period  Aims: -enhancing the growth and competitiveness of business in a knowledge-based internationalized economy; -enhancing the growth and competitiveness of business in a knowledge-based internationalized economy; -promoting entrepreneurship; -promoting entrepreneurship; -simplifying and improving the administrative and regulatory framework for business so that research, innovation and business creation in particular can flourish; -simplifying and improving the administrative and regulatory framework for business so that research, innovation and business creation in particular can flourish; -improving the financial environment for business, especially SMEs; -improving the financial environment for business, especially SMEs; -giving business easier access to Community support services, programmes and networks and improving the coordination of these facilities -giving business easier access to Community support services, programmes and networks and improving the coordination of these facilities - did not include direct support to enterprises - did not include direct support to enterprises

3. OBJECTIVES  Enterprise (particularly SME) competitiveness (specifically target SMEs, encourage entrepreneurship, development of innovation governance and culture, support mutual learning and exchange of good practice) (specifically target SMEs, encourage entrepreneurship, development of innovation governance and culture, support mutual learning and exchange of good practice)  Competitive, innovative and inclusive information society (stimulate the wider uptake of ICT by citizens, businesses and governments; development of the Single European Information Space; intensifying the public investment in ICT; address the fragmentation of the European digital content market) (stimulate the wider uptake of ICT by citizens, businesses and governments; development of the Single European Information Space; intensifying the public investment in ICT; address the fragmentation of the European digital content market)

3. OBJECTIVES  Energy efficiency and new (renewable) energy sources (facilitate the development and implementation of the energy regulatory framework; increase the level of investment in new and best performing technologies; increase the uptake and demand for energy efficiency, renewable energy sources and energy diversification through awareness and knowledge raising among key actors in the EU) (facilitate the development and implementation of the energy regulatory framework; increase the level of investment in new and best performing technologies; increase the uptake and demand for energy efficiency, renewable energy sources and energy diversification through awareness and knowledge raising among key actors in the EU)  Innovation and eco innovation (Eco-innovation will be a transversal theme of the whole programme) (Eco-innovation will be a transversal theme of the whole programme)

4. STRUCTURE  Comprises three sub-programmes: 4.1 The Entrepreneurship and Innovation Programme (EIP) 4.1 The Entrepreneurship and Innovation Programme (EIP) 4.2. The ICT Policy Support Programme 4.2. The ICT Policy Support Programme 4.3. The Intelligent Energy Europe Programme 4.3. The Intelligent Energy Europe Programme

4.1. The Entrepreneurship and Innovation Programme (EIP) 4.1. The Entrepreneurship and Innovation Programme (EIP)  The OBJECTIVES of EIP are: - access to finance for the start-up and growth of SMEs and investment in innovation activities; - access to finance for the start-up and growth of SMEs and investment in innovation activities; - the creation of an environment favorable to SME cooperation, particularly in the field of cross- border cooperation - the creation of an environment favorable to SME cooperation, particularly in the field of cross- border cooperation - all forms of innovation in enterprises; - all forms of innovation in enterprises; - eco-innovation; - eco-innovation; - entrepreneurship and innovation culture; - entrepreneurship and innovation culture; - enterprise and innovation-related economic and administrative reform - enterprise and innovation-related economic and administrative reform

4.1. The Entrepreneurship and Innovation Programme (EIP) 4.1. The Entrepreneurship and Innovation Programme (EIP)  The INSTRUMENTS referred to it are:  The High Growth and Innovative SME Facility (GIF) - Contribute to the establishment and financing of SMEs and the reduction of the equity and risk capital market gap, which prevents SMEs from exploiting their growth potential, with a view to improving the European venture capital market and supporting innovative SMEs with high growth potential, in particular those undertaking research, development and other innovation activities - Contribute to the establishment and financing of SMEs and the reduction of the equity and risk capital market gap, which prevents SMEs from exploiting their growth potential, with a view to improving the European venture capital market and supporting innovative SMEs with high growth potential, in particular those undertaking research, development and other innovation activities - GIF1 will cover early stage (seed and start up) investments - GIF1 will cover early stage (seed and start up) investments - GIF2 will cover expansion stage investments - GIF2 will cover expansion stage investments

4.1. The Entrepreneurship and Innovation Programme (EIP)  The SME Guarantee (SMEG) Facility - provide counter-guarantees or, where appropriate, co guarantees for guarantee schemes operating in the eligible countries and providing direct guarantees for any other appropriate financial intermediary - provide counter-guarantees or, where appropriate, co guarantees for guarantee schemes operating in the eligible countries and providing direct guarantees for any other appropriate financial intermediary  The Capacity Building Scheme (CBS) - improve the investment and technology expertise of funds and other financial intermediaries investing in innovative SMEs or SMEs with growth potential; stimulate the supply of credit to SMEs by enhancing the credit appraisal procedures for SME lending - improve the investment and technology expertise of funds and other financial intermediaries investing in innovative SMEs or SMEs with growth potential; stimulate the supply of credit to SMEs by enhancing the credit appraisal procedures for SME lending

4.1. The Entrepreneurship and Innovation Programme (EIP)  The SERVICES IN SUPPORT of business and innovation: - Euro Info Centre - Euro Info Centre - Innovation Relay Centre networks - Innovation Relay Centre networks  ACTIONS FOR ENTREPRENEURSHIP AND INNOVATION CULTURE AND POLICY DEVELOPMENT (encouraging entrepreneurial mindsets, skills and culture; encouraging a business environment favorable to innovation, enterprise development and growth; supporting cooperation between actors, including trans-national cooperation of national and regional programme managers; encouraging the creation and transfer of enterprises; analyzing and monitoring performance, and developing and coordinating policy; contributing to the definition and promotion of competitiveness strategies related to industry and service sectors; supporting mutual learning for excellence in national and regional administrations) (encouraging entrepreneurial mindsets, skills and culture; encouraging a business environment favorable to innovation, enterprise development and growth; supporting cooperation between actors, including trans-national cooperation of national and regional programme managers; encouraging the creation and transfer of enterprises; analyzing and monitoring performance, and developing and coordinating policy; contributing to the definition and promotion of competitiveness strategies related to industry and service sectors; supporting mutual learning for excellence in national and regional administrations)

4.2. The ICT Policy Support Programme 4.2. The ICT Policy Support Programme  Promote the opportunities and benefits that ICT bring to citizens, public authorities and business, in particular SMEs  The ACTIONS under this Programme are: - development of the Single European information space and strengthening of the internal market for ICT products and services and ICT-based products and services; - development of the Single European information space and strengthening of the internal market for ICT products and services and ICT-based products and services; - stimulation of innovation through the wider adoption of and investment in ICT - stimulation of innovation through the wider adoption of and investment in ICT - development of an inclusive information society and more efficient and effective services in areas of public interest, and improvement of quality of life - development of an inclusive information society and more efficient and effective services in areas of public interest, and improvement of quality of life

4.3. The Intelligent Energy Europe Programme  The IEE will contribute to achieving the three general objectives of the EU energy strategy: - improving energy diversification and supply security in the EU - improving energy diversification and supply security in the EU - enhancing the competitiveness of EU companies - enhancing the competitiveness of EU companies - protecting the environment - protecting the environment  It includes ACTIONS: - to foster energy efficiency and the rational use of energy resources - to foster energy efficiency and the rational use of energy resources - to promote new and renewable energy sources and to support energy diversification - to promote new and renewable energy sources and to support energy diversification - to promote energy efficiency and the use of new and renewable energy sources in transport - to promote energy efficiency and the use of new and renewable energy sources in transport

5. BUDGET AND IMPLEMENTATION  BUDGET: billion EUR ( ) - Entrepreneurship and Innovation Programe (EIP) billion EUR - Entrepreneurship and Innovation Programe (EIP) billion EUR - ICT Policy Support Programme billion EUR - ICT Policy Support Programme billion EUR - Intelligent Energy Europe Programme (IEE) billion EUR - Intelligent Energy Europe Programme (IEE) billion EUR  ANNAL WORK PROGRAMMES (measures needed for its implementation; priorities; qualitative and quantitative objectives; appropriate evaluation criteria and qualitative and quantitative indicators to analyze effectiveness in delivering outcomes that will contribute to the achievement of the objectives of the specific programmes and the Framework Programme as a whole; operational timetables; the rules for participation; the criteria for the selection and evaluation of the measures) (measures needed for its implementation; priorities; qualitative and quantitative objectives; appropriate evaluation criteria and qualitative and quantitative indicators to analyze effectiveness in delivering outcomes that will contribute to the achievement of the objectives of the specific programmes and the Framework Programme as a whole; operational timetables; the rules for participation; the criteria for the selection and evaluation of the measures)

6. CONSISTENCY WITH OTHER EU POLICIES  Regional and Cohesion Policy (The new cohesion policy addressees to persistent regional disparities in the fields of competitiveness and innovation by making these fields an explicit and central basis for Structural Fund intervention in the objectives of Convergence and Regional competitiveness and employment ) (The new cohesion policy addressees to persistent regional disparities in the fields of competitiveness and innovation by making these fields an explicit and central basis for Structural Fund intervention in the objectives of Convergence and Regional competitiveness and employment )  Rural Development Policy (By improved competitiveness of the agro-food chain, sustainable land management, economic diversification and local development – it contributes to rural areas throughout the EU to sustainable development, growth and employment. A particular accent is put on innovation.) (By improved competitiveness of the agro-food chain, sustainable land management, economic diversification and local development – it contributes to rural areas throughout the EU to sustainable development, growth and employment. A particular accent is put on innovation.)

6. CONSISTENCY WITH OTHER EU POLICIES  Research and Development - FP7 and CIP are complementary and mutually reinforcing in their support of the Lisbon goals - FP7 and CIP are complementary and mutually reinforcing in their support of the Lisbon goals -CIP will promote innovation support services for technology transfer and use, projects for the implementation and market take-up of existing new technologies in fields like ICT, energy and environmental protection, as well as the development and coordination of national and regional innovation programmes and policies -CIP will promote innovation support services for technology transfer and use, projects for the implementation and market take-up of existing new technologies in fields like ICT, energy and environmental protection, as well as the development and coordination of national and regional innovation programmes and policies

6. CONSISTENCY WITH OTHER EU POLICIES  Education (Essential for Europe’s human capital necessary for innovation. Lifelong Learning will help to promote entrepreneurship, support continuous vocational education and training and help organizations to become ‘learning organizations’ ) (Essential for Europe’s human capital necessary for innovation. Lifelong Learning will help to promote entrepreneurship, support continuous vocational education and training and help organizations to become ‘learning organizations’ )  Trans European Networks for Transport, Energy and Telecommunications (Reinforce each other by helping to foster competitiveness for business) (Reinforce each other by helping to foster competitiveness for business)

7.CONCLUSION  New and the most important instrument at promoting innovative potential of European enterprises  Increased emphasis on small firms  Open questions (there are not more specific explanations as to how the synergies of the existing programme will effectively take place; concerns and calls for a strengthened coordination between Member States, the establishment of common indicators and objectives and better follow-up mechanisms as well as the calls to involve more representative business organizations at an early stage of the policy making process) (there are not more specific explanations as to how the synergies of the existing programme will effectively take place; concerns and calls for a strengthened coordination between Member States, the establishment of common indicators and objectives and better follow-up mechanisms as well as the calls to involve more representative business organizations at an early stage of the policy making process)  Shall be open to countries of the Western Balkans