1. This Regulation lays down guidelines for the timely deployment and interoperability of projects of common interest in the field of trans-European networks in the area of telecommunications infrastructure.
2. In particular, this Regulation provides for:
(a)
the objectives for and operational priorities of projects of common interest;
(b)
the identification of projects of common interest;
(c)
the criteria according to which actions contributing to projects of common interest shall be eligible for Union financial assistance in accordance with Regulation (EU) No 1316/2013 in their development, implementation, deployment, interconnection, and interoperability;
(d)
priorities for funding projects of common interest.
Article 2 -
Definitions
1. For the purposes of this Regulation, the definitions set out in Article 2 of Regulation (EU) No 1316/2013 shall apply.
2. For the purposes of this Regulation and of Regulation (EU) No 1316/2013, the following definitions shall also apply:
(a)
"telecommunications infrastructure" means broadband networks and digital service infrastructures;
(b)
"digital service infrastructures" means infrastructures which enable networked services to be delivered electronically, typically over the internet, providing trans-European interoperable services of common interest for citizens, businesses and/or public authorities, and which are composed of core service platforms and generic services;
(c)
"building blocks" means basic digital service infrastructures, which are key enablers to be reused in more complex digital services infrastructures;
(d)
"core service platforms" means central hubs of digital service infrastructures aiming to ensure trans-European connectivity, access and interoperability, and which are open to Member States and may be open to other entities;
(e)
"generic services" means gateway services linking one or more national infrastructure(s) to core service platform(s);
(f)
"broadband networks" means wired and wireless access networks, ancillary infrastructure and core networks capable of delivering very high speed connectivity;
(g)
"horizontal actions" means studies and programme support actions as defined in points (6) and (7) of Article 2 of Regulation (EU) No 1316/2013, respectively.
Article 3 -
Objectives
1. The projects of common interest shall contribute to achieving the general objectives specified in Article 3 of Regulation (EU) No 1316/2013.
2. In addition to the general objectives, the projects of common interest shall pursue one or more of the following specific objectives:
(a)
economic growth and support to the completion and functioning of the internal market in support of the competitiveness of the European economy, including small and medium-sized enterprises (SMEs);
(b)
improvements in daily life for citizens, businesses and public authorities at every level through the promotion of broadband networks, interconnection and interoperability of national, regional and local broadband networks, as well as non-discriminatory access to such networks and digital inclusion.
3. The following operational priorities shall contribute to the achievement of the objectives referred to in paragraphs (1) and (2):
(a)
interoperability, connectivity, sustainable deployment, operation and upgrading of trans-European digital service infrastructures, as well as coordination at European level;
(b)
efficient flow of private and public investments to stimulate the deployment and modernisation of broadband networks with a view to contributing to achieving the broadband targets of the Digital Agenda for Europe.
Article 4 -
Projects of common interest
1. Projects of common interest shall, in particular:
(a)
aim at the creation and/or enhancement of interoperable and, whenever possible, internationally compatible core service platforms, accompanied by generic services for digital service infrastructures;
(b)
provide efficient investment vehicles for broadband networks, attract new categories of investors and project promoters, and encourage replicability of innovative projects and business models.
2. Projects of common interest may encompass their entire cycle, including feasibility studies, implementation, continuous operation and upgrading, coordination and evaluation.
3. Projects of common interest may be supported through horizontal actions.
4. Projects of common interest, and actions contributing to them, are further described in the Annex.
Article 5 -
Methods of intervention
1. In the area of digital service infrastructures, core service platforms shall be implemented primarily by the Union while generic services shall be implemented by the parties connecting to the relevant core service platform. Investments in broadband networks shall be undertaken predominantly by the private sector, supported by a competitive and investment-friendly regulatory framework. Public support for broadband networks shall be provided only where there is market failure or a sub-optimal investment situation.
2. Member States and other entities in charge of or contributing to the implementation of projects of common interest shall be encouraged to take the measures necessary to facilitate the implementation of projects of common interest. The final decision on the implementation of a project of common interest which relates to the territory of a Member State shall be taken after the approval of that Member State.
3. Actions contributing to projects of common interest, which meet the criteria set out in Article 6 of this Regulation, shall be eligible for Union financial assistance under the conditions and instruments available under Regulation (EU) No 1316/2013. Financial assistance shall be provided in accordance with the relevant rules and procedures adopted by the Union, the funding priorities set out in Article 6 of this Regulation, and the availability of resources, taking into account the specific needs of beneficiaries.
4. Actions contributing to projects of common interest in the field of digital service infrastructures shall be supported by:
(a)
procurement; and/or
(b)
grants.
5. Actions contributing to projects of common interest in the field of broadband networks shall be supported by:
(a)
financial instruments as defined in Regulation (EU) No 1316/2013, which shall be open to additional contributions from other sectors of the CEF, other instruments, programmes and budget lines in the Union budget, Member States, including regional and local authorities and any other investors, including private investors in accordance with Article 15(2) of Regulation (EU) No 1316/2013; and /or
(b)
the combination of financial instruments and grants from public sources other than the CEF, whether they are public sources of the Union or national.
6. Horizontal actions shall be supported by:
(a)
procurement; and/or
(b)
grants.
7. The total amount of the budget allocated to financial instruments for broadband networks shall not exceed the minimum necessary to establish cost-efficient interventions which shall be determined on the basis of ex-ante assessments as referred to in Article 14(1) of Regulation (EU) No 1316/2013.
That amount shall be 15 % of the financial envelope for the telecommunications sector referred to in point (b) of Article 5(1) of Regulation (EU) No 1316/2013.
8. At least one-third of the broadband projects receiving financial assistance under this Regulation shall aim at broadband speeds above 100 Mbps.
9. Following the report referred to in Article 8(6), the European Parliament and the Council may, upon a proposal by the Commission, revise the amount determined in accordance with paragraph 7 of this Article and the proportion of projects referred to in paragraph 8 of this Article.
10. Where the support from the CEF complements ESI Funds and other direct public support, the achievement of synergies between CEF actions and support from ESI Funds may be reinforced by using an appropriate coordination mechanism.
Article 6 -
Eligibility criteria and priorities for funding
1. Actions contributing to projects of common interest in the field of digital service infrastructures shall meet all the following criteria in order to be eligible for funding:
(a)
have sufficient maturity to be deployed, as proven in particular through successful piloting under programmes such as the Union programmes related to innovation and research;
(b)
contribute to Union policies and activities in support of the internal market;
(c)
create European added value and have a strategy and planning for long-term sustainability, where appropriate through funding sources other than CEF, the quality of which is to be demonstrated by a feasibility and cost-benefit assessment. Such strategy shall be updated when appropriate;
(d)
comply with international and/or European standards or open specifications and orientations for interoperability, such as the European Interoperability Framework, and capitalise on existing solutions.
2. The selection of actions contributing to projects of common interest in the field of digital service infrastructures to be funded under the CEF, as well as their level of funding, shall be carried out as part of an annual work programme referred to in Article 17(1) of Regulation (EU) No 1316/2013.
3. Building blocks essential for, and with demonstrable prospects of being used in, the development, deployment and operation of other digital service infrastructures as listed in Section 1.1 of the Annex, shall be given top priority for funding.
4. Second priority shall be given to other digital service infrastructures in support of Union law, policies and programmes, as listed in Sections 1.2 and 1.3 of the Annex and, where possible, be based on existing building blocks.
5. Support to core service platforms shall take priority over generic services.
6. On the basis of the objectives provided for in Article 3 of this Regulation, the description of projects of common interest in the Annex to this Regulation and, taking into account the available budget, the annual and multiannual work programmes referred to in Article 17 of Regulation (EU) No 1316/2013 may establish further eligibility and priority criteria in the field of digital service infrastructures.
7. Actions contributing to projects of common interest in the field of broadband networks shall meet all the following criteria in order to be eligible for funding:
(a)
make a significant contribution to the realisation of the targets of the Digital Agenda for Europe;
(b)
have sufficiently mature project development and preparation stages that are underpinned by effective implementation mechanisms;
(c)
address market failures or sub-optimal investment situations;
(d)
not lead to market distortions or crowding out of private investment;
(e)
use the technology which is deemed most suitable to address the needs of the geographic area in question, taking into account geographic, social and economic factors based on objective criteria and in keeping with technological neutrality;
(f)
deploy the technology best suited for the specific project, while proposing the best balance between state of the art technologies in terms of data flow capacity, transmission security, network resilience, and cost efficiency;
(g)
have a high potential for replicability and/or be based on innovative business models.
8. The criteria referred to in point (g) of paragraph 7 of this Article shall not be required for projects funded from additional ring-fenced contributions provided in accordance with Article 15(2) of Regulation (EU) No 1316/2013.
9. Horizontal actions shall meet either of the following criteria in order to be eligible for funding:
(a)
prepare or support implementation actions in their deployment, governance and address existing or emerging implementation problems;
(b)
create new demand for digital service infrastructures.
Article 7 -
Cooperation with third countries and international organisations
1. The Union may establish contacts, discuss and exchange information, and cooperate with public authorities or any other organisations in third countries to achieve any objective pursued by this Regulation. Among other objectives, this cooperation shall seek to promote interoperability between networks in the area of telecommunications infrastructure in the Union and similar networks in third countries.
2. European Free Trade Association (EFTA) countries which are members of the European Economic Area (EEA) may participate in the sector of the CEF covering telecommunications infrastructure in accordance with the conditions laid down in the EEA Agreement.
3. By way of derogation from Articles 8(3) and 9(4) of Regulation (EU) No 1316/2013, acceding States and candidate countries benefiting from a pre-accession strategy may participate in the sector of the CEF covering telecommunications infrastructure in accordance with agreements signed with the Union.
4. For the purposes of the participation of EFTA countries, the sector of the CEF covering telecommunications infrastructure shall be considered as a separate programme.
Article 8 -
Exchange of information, monitoring and reporting
1. On the basis of information received under the third subparagraph of Article 22 of Regulation (EU) No 1316/2013, Member States and the Commission shall exchange information and best practices about the progress made in the implementation of this Regulation. Where appropriate, Member States shall involve local and regional authorities in the process. The Commission shall publish a yearly overview of that information and submit it to the European Parliament and to the Council.
2. The Commission shall consult and be assisted by an Expert Group composed of a representative of each Member State. In particular, the Expert Group shall assist the Commission in:
(a)
monitoring the implementation of this Regulation;
(b)
taking account of national plans or national strategies, where applicable;
(c)
taking measures to evaluate the implementation of the work programmes on a financial and technical level;
(d)
addressing existing or emerging project implementation problems;
(e)
defining strategic orientations prior to the drawing-up of the annual and multiannual work programmes referred to in Article 17 of Regulation (EU) No 1316/2013, with particular regard to the selection and withdrawal of actions contributing to projects of common interest and the determination of the budget breakdown, as well as the revision of those work programmes.
3. The Expert Group may also consider any other issue relating to the development of the trans-European networks in the area of telecommunications infrastructure.
4. The Commission shall inform the Expert Group on the progress made in implementing the annual and multiannual work programmes referred to in Article 17 of Regulation (EU) No 1316/2013.
5. The Expert Group shall cooperate with entities involved in the planning, development and management of digital networks and services as well as with other relevant stakeholders.
The Commission and other entities in charge of the implementation of this Regulation, such as the European Investment Bank, shall pay particular attention to the Expert Group's observations.
6. In conjunction with the mid-term evaluation and the ex-post evaluation of Regulation (EU) No 1316/2013 as referred to in Article 27 of that Regulation, and with the assistance of the Expert Group, the Commission shall publish a report on the progress in the implementation of this Regulation. That report shall be submitted to the European Parliament and to the Council.
7. The report shall provide an evaluation of the progress achieved in the development and implementation of projects of common interest, including where relevant delays in implementation and difficulties are encountered, as well as information about commitments and payments.
8. In the report, the Commission shall also evaluate whether the scope of the projects of common interest continues to reflect technological developments and innovations, as well as regulatory or market and economic developments and whether, in view of such developments and the need for long-term sustainability, funding for any of the projects of common interest supported should be phased out or sourced in other ways. For projects which are likely to have significant effects on the environment, those reports shall include an analysis of the environmental impact, taking into account, where appropriate, climate change adaptation and mitigation needs, and disaster resilience. Such an evaluation may also be carried out at any other time when it is deemed appropriate.
9. The achievement of the specific objectives set out in Article 3 shall be measured ex post, inter alia, on the basis of:
(a)
the availability of digital service infrastructures, measured by the number of Member States connected to each digital service infrastructure;
(b)
the percentage of citizens and businesses using digital service infrastructures and the availability of such services across borders;
(c)
the volume of investments attracted in the field of broadband, and the leverage effect, for projects funded through contributions from public sources referred to in point (b) of Article 5(5).
Article 9 -
Repeal
Decision No 1336/97/EC is hereby repealed.
Article 10 -
Entry into force
This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union.
It shall apply from 1 January 2014.
This Regulation shall be binding in its entirety and directly applicable in all Member States.
