1. EU innovation policy: current issues and next steps – essentials for regional policy makers
Tomasz JERZYNIAK
European Commission
DG Enterprise and Industry
Policy Development for Industrial Innovation

2. Main issues
Innovation: where is Europe? Where is my country? Where is my region?
Strategic position of EU innovation policy;
Evidence-based innovation policy: monitoring, benchmarking, analysing;
EU Innovation policy: Current issues and next steps

3. Innovation: where is Europe?

4. Innovation: where is my country?
Innovation Union Scoreboard 2010

5. Innovation: where is my region?
Regional Innovation Scoreboard, 2009

6. EU innovation policy in Europe 2020
Smart Growth
developing an economy based on knowledge and innovation
Sustainable Growth
more efficient, greener and more competitive economy
Inclusive Growth fostering a high-employment economy delivering social and territorial cohesion
Innovation
« Innovation Union »
Climate, energy and mobility
« Resource efficient Europe »
Employment and skills
« An agenda for new skills and jobs »
Education
« Youth on the move »
Competitiveness
« An industrial policy for the globalisation era »
Fighting poverty
« European platform against poverty »
Digital society
« A digital agenda for Europe »

7. Key messages of Innovation Union Altogether 34 commitments
Strengthening the knowledge base: ERA: mobility, infrastructures, skills, EU funding instruments
Getting good ideas to market: financial instruments, VC, state aid, patent, standards, procurement, design, creativity, open access, model grant agreements and IP marketplace
Maximising social and regional benefits: “smart specialisation”, social innovation pilot
Pooling efforts for breakthroughs: European Innovation Partnerships
Collaborating internationally: attract international talent, research infrastructure
Accelerate national reforms & track progress: self-assessment, 3% target + Innovation indicator (fast-growing innovative firms)

8. Policy based on evidence: monitoring, benchmarking, analysing.
Innovation Union Scoreboard
Regional Innovation Scoreboard
Regional Innovation Monitor
GRIPS (Global Review of Innovation Policy Studies)
Innovation Policy Trendchart

9. Innovation Union Scoreboard & Regional Innovation Scoreboard

10. Regional Innovation Monitor

11. GRIPS: Global Review of Innovation Policy Studies

12. Supply- vs. demand side policy
Demand-side measures
- regulation
- procurement
standardisation - Fiscal measures for buyers - Clusters
- Fiscal measures for R&D
- Equity support
- R&D funding …
Supply-side measures

13. Public procurement of innovation
Public procurement in Europe: around 18% of EU GDP, i.e. € 2,000 billion;
Using public procurement for innovation: new challenge for national, regional and local authorities;
EU: new framework conditions

14. Lead Market Initiatives in 6 sectors
Standardisation
Labelling
Certification
Legislation
Public Procurement
Complementary Actions
e-Health
eHealth action plan
Sustainable construction
Sust. Construction action plan
Lead Market Areas
Protective textiles
Protective Text. action plan
Bio-based products
Bio-based products action plan
Recycling
Recycling action plan
Renewable energies
Renewable Energies action plan
New networks

15. Final evaluation of the Lead Market Initiative
LMI's novel architecture was an innovation in itself.
Choice of instruments (public procurement, standards, regulation and 'complementary actions') was right and gave EU-added value.
Action plans have mostly delivered. Impact found in 4 out of 6 sectors.
LMI did not have a dedicated budget, but achieved with limited funds (total of € 153 m from FP7 and CIP in 4 years).
Great involvement of industry and other stakeholders particularly in 3 sectors (bio-based products, eHealth and protective textiles).

16. 4 key lessons learnt in the Lead Market Initiative:
Building bridges takes time
In practice, few tools for demand-side policy exist
Greatest impact may be medium-long term
Obtaining good visibility is essential for success

17. Next steps in demand-side policies (not mutually exclusive):
Continue LMI approach:
In innovation, industry (sector) and other policies
Linking regional and national demand-side policies
Connect demand-side and supply-side tools:
Innovation Partnerships: aging, raw materials, agriculture, water
Set up looser cooperation/ alignment forms (JTI+, LMI+ ?)
Prioritise ‘societal goals’ or specify challenges (what level of granularity?)
Further develop our demand-side toolkit in Innovation Union and Horizon2020:
New forms of supporting public procurement of innovations
Broaden to private demand: procurement, supply-chains, end-users
Worry: Demand-side policies do not cost much, but need good human resources

18. Public sector innovation
Mix of innovation actors: private vs. public
Innovative public sector
European Public Sector Innovation Scoreboard

19. Horizon 2020: € 80 billion for research and innovation
Europe 2020 priorities
European Research Area
International cooperation
Shared objectives and principles
Tackling Societal Challenges
Health, demographic change and wellbeing
Food security and the bio-based economy
Secure, clean and efficient energy
Smart, green and integrated transport
Supply of raw materials
Resource efficiency and climate action
Inclusive, innovative and secure societies
EIT and JRC will contribute to addressing these challenges
Creating Industrial Leadership and Competitive Frameworks
Leadership in enabling and industrial technologies
Access to risk finance
Innovation in SMEs
Excellence in the Science Base
Frontier research (ERC)‏
Future and Emerging Technologies (FET)‏
Skills and career development (Marie Curie)‏
Research infrastructures
Simplified access
Coherent with other EU and MS actions
Common rules, toolkit of funding schemes

20. European Design Innovation Initiative
The goal of the initiative is to:
raise the awareness of design as a driver of innovation in Europe
enhance its role as a key discipline to bring ideas to market transforming them into user-friendly and appealing products, processes or services by enterprises and public services in the EU.

21. Social Innovation
Social innovation produces innovations that meet a social need by
Workplace innovation: empowering people
Connect social economy, social entrepreneurs, business, charities, public sector, finance

22. Multiannual Financial Framework
COMPARISON MFF /
Billion € in 2011 prices
Difference (in %)
1. Smart and Inclusive Growth
445.5
490.9
10.2%
Of which Cohesion Policy
354.8
336.0
-5.3%
Of which infrastructure (Connecting Europe Facility)
12.9
40.0
209.7%
Of which Competitiveness (CSF research & innovation; Education; Galileo etc)
77.8
114.9
47.7%
2. Sustainable Growth: natural resources
421.1
382.9
-9.1%
Of which Market related expenditure and direct payments
322.0
281.8
-12.5%
3. Security and Citizenship
12.4
18.5
49.9%
of which Freedom, Security and Justice
7.6
11.6
53.0%
of Citizenship
4.8
6.9
44.9%
4. Global Europe
56.8
70.0
23.2%
5. Administration (including pensions and European schools)
56.9
62.6
10.1%
Of which administrative expenditure of EU institutions
48.4
50.5
4.2%
6. Compensations
0.9
Total commitment appropriations
993.6
3.2%
In % of EU-27 GNI
1.12%
1.05%

23. Thank you very much for your attention!
Tomasz JERZYNIAK
DG Enterprise and Industry
Policy Development for Industrial Innovation