PRE-COMMERCIAL PROCUREMENT
(PCP)
PUBLIC PROCUREMENT OF
INNOVATIVE SOLUTIONS (PPI)
POSSIBLE SYNERGIES BETWEEN
EUROPEAN STRUCTURAL AND INVESTMENT
FUNDS(ESIF) AND HORIZON 2020(H2020)
IN THE PROGRAMMING PERIOD 2014-220
This is a very first piece of information regarding the synergies between ESIF and H2020 on PCP/PPI. A SWD on that issue
will provide more detailed information.
What is:
Pre-commercial Procurement (PCP)?
Public Procurement of Innovative Solutions (PPI)?
PCP-PPI
•
PCP to steer the development of solutions towards concrete public sector
needs, whilst comparing/validating alternative solution approaches from
various vendors
•
PPI to act as launching customer / early adopter / first buyer of innovative
commercial end-solutions newly arriving on the market
Applied R&D / Pre-commercial Procurement (PCP)
Phase 0
Curiosity
Driven
Research
Phase 1
Solution design
Phase 2
Prototype
development
Supplier A
Supplier B
Supplier B
Supplier C
Supplier C
Supplier D
Supplier D
Phase 3
Original development
of limited volume
of first test products /
services
Supplier B
Supplier D
Public Procurement of
Innovative Solutions (PPI)
Phase 4
Deployment of commercial
volumes of end-products
Wide diffusion of newly
developed solutions
Supplier(s)
A,B,C,D
and/or X
Also normally multiple sourcing
here to keep competition going
Objectives:
– Price/quality products that better fit public sector needs
– Earlier customer feedback for companies developing solutions
– Better take-up/Wider commercialisation of R&D results
COMPLEMENTARITY/SPLIT BETWEEN PCP and PPI
enables to…

Get 20% better value for money products(US defense data)

Use PPI also if no(more) R&D is necessary for procurement need

Use a small budget PCP to de-risk a large budget PPI

PPI spec can be 'completely rephrased' benefiting from PCP lessons learnt

Use conditions that encourage job creation 'in Europe'

Have more R&D in Europe because PCP falls outside WTO rules

Prevent foreclosing of competition & crowding out of private investment in R&D

Companies that are not financing their R&D via procurement/PCP (e.g. via
grants, own company resources) can still bid for deployment contracts/PPIs

Facilitates access to procurement market for SMEs
•
Gradually increasing contract sizes, tasks, required manpower
•
Stringent financial guarantee/qualification requirements:'no' in PCP,'ltd' in PPI
PCP Win-win for all stakeholders
Politicians
Suppliers
- Better products
- Economies of scale
- Wider market size
- Shorter Time to market
-First buyer in early R&D
-Shared risks & benefits
- Quality of public services
- Focus on political priorities
- New lead markets
- Improve innovation climate
- Increase export
- Global competitiveness - Attract foreign investment
- Increase employment
Pre-commercial
Procurement
Get the ‘Best Product’…
- Address ‘public market innovation failure’
- Shape product development to public needs
- Increase technology knowledge
- Reduce risk in commercial tendering
- Favour supplier competition
- Reduce cost of procurement
- Reduce risk of innovation
… at the ‘Lowest Price’
- Pooling of resources
- Economies of scale
- No licensing costs
- ‘First time right’ product
- ‘EU interoperable’
- Attractive to venture capitalists
- Reduce unforeseen expenditure
Procurers
PCP – PPI
• IN A COHESION POLICY CONTEXT
Why should MA and Regions be interested in Innovation Procurement?
……it is a win-win situation for

Public authorities
•
by engaging actively as first potential customers in getting new solutions developed and
tested, involved in PCPs, can act as a "seal of approval" confirming the market potential of
new emerging technological developments, thereby attracting new investors.
•
by triggering the development of breakthrough solutions ahead of the rest of the market, can
through their role of demanding first buyer create opportunities for companies in Europe to
take international leadership in new markets.
•
by increasing "local" public sector demand to develop innovative solutions for the societal
challenges of the future, can help combat delocalisation and encourage companies to invest
in highly qualified R&D in Europe.
•
can get more efficient infrastructures and service solutions

•
Innovators
can get first client for new product (lead customer) and faster ROI
SETTING THE SCENE

The implementation of a PCP and/or PPI should take place in the framework
of a holistic approach that involves R&I to achieve the goals set for the
development of each region mainly reflected through the Smart
Specialisation Strategy and provides clear impact on competitiveness, job
creation and growth.

The Smart Specialization strategies will set out the national or regional
frameworks for investments in research and innovation not only from ESIF
but from all funding sources. In that way synergies with H2020 will be
better ensured and actions will be in line with the Europe 2020 objectives.

What is important at strategic level
The relevant OPs and European Territorial Cooperation Programs should be
designed in a way to support public demand driven innovation in terms of
PCP/PPI implementation as well as coordination, consortium building,
networking and preparation activities
SMART SPECIALIZATION DEFINITION
 Smart Specialisation is a strategic approach to economic
development through targeted support to Research and
Innovation (R&I). It will be the basis for Structural Fund
investments in R&I as part of the future Cohesion Policy’s
contribution to the Europe 2020 jobs and growth agenda.
 Smart specialisation involves a process of developing a vision,
identifying competitive advantage, setting strategic priorities and
making use of smart policies to maximise the knowledge-based
development potential of any region.
 This type of specialisation allows regions to take advantage of
scale, scope and spill overs in knowledge production and use,
which are important drivers of productivity
SMART
- Place evidence based
- Bottom up partnership
approach
SPECIALISATION
- Priority setting in times of
scare resources
- Excellence in something
specific
- Global perspective on
potential advantage &
potential for cooperation
- Accumulation of critical
mass
- Source in Knowledge,
services , technologies,
talent and investors
- Not necessarily focus on a
single sector but cross
sectorial approach
EUROPE 2020
COHESION POLICY
2014-2020
POLICY 2014-2020
SMART SPECIALIZATION
Ensures synergies with
H2020
H2020
Cohesion Policy may support measures in the
framework of the Operational Programs to:

Foster more innovative public procurement procedures and administrative
capacities
TO 11 (IP11) Enhancing institutional capacity and an efficient public administration
TO 2 (IP2C) strengthening ICT applications for e-government, e- learning, e-inclusion, e-culture and
e-health
Target group: procurement officers

Foster innovation through public procurement - both PCP and PPI
•
•

TO 1 (IP1B) Strengthening research, technological development and innovation
Target group: enterprises
Foster better meeting of public needs through buying innovative solutions
TO 1 (IP1A) enhancing research and innovation (R&I) infrastructure
TO 2 (IP2C) strengthening ICT applications for e-government, e- learning, e-inclusion, e-culture and
e-health
TO 4 (all IPs) supporting the shift toward a low –carbon economy in all sectors
TO 5 (all IPs) promoting climate change adaption, risk prevention and management
TO 6 (all IPs) preserving and protecting the environment and promoting resource efficiency
TO 7 (all IPs) promoting sustainable transport and removing bottlenecks in key network
infrastructures
Target group: town planners, transport, environment, health etc. ministries – ERDF,
Cohesion Fund and ESF)
Cohesion Policy may also support:
 Private demand for innovative solutions (e.g. adoption of energy
efficiency and renewables solutions in SMEs and in the housing sector)
TO 4 (all IPs) supporting the shift toward a low –carbon economy in all sectors
 Major projects / Joint Action Plans in cooperation with other
Regions and key players in the Cohesion Policy
 Coordination, Networking and Preparation actions for the
implementation of a PCP and/or PPI through European Territorial
Cooperation Programs
PCP/PPI IN THE
FRAMEWORK OF THE OPs
OPERATIONAL PROGRAMME
PCP/PPI UNDER A SPECIFIC THEMATIC
OBJECTIVE.
BUDGET ALLOCATION FOR SPECIFIC
CALLS FOR PROPOSALS BY THE MAs
ON PCP/PPI
Example of the Italian Regions
- In the the previous programming period
specific calls on PCP were launched with
reference to related priority axis of each
respective Regional Operational Program -
HORIZONTAL PRESENCE - AFFECT ALL
THEMATIC OBJECTIVES/INVESTMENT
PRIORITIES.
NO SPECIFIC CALLS FOR PROPOSALS
BY THE MAs ON PCP/PPI.
PCPs/PPIs are implemented as projects in
the framework of relevant calls for project
proposals launched by the MA of each
respective OP
PCP – PPI
• IN THE FRAMEWORK OF
• HORIZON 2020
H2020 RULES ON PCP/PPI –
FORESEEN TYPES OF SUPPORT
 Coordination and Support Actions (CSA)
supporting networks of procurers to prepare joint PCPs / PPIs
 PCP cofund actions and PPI cofund actions co-
fund the price of an actual PCP or PPI call for tender + related
coordination and networking activities to prepare, manage and
follow-up the PCP or PPI
H2020 RULES ON PCP/PPI – FORESEEN CO- FUNDING
RATES AND CONSORTIA
Co-funding rate: 70% for PCP and 20% for PPI
CSAs 100% co-funding rate
One joint PCP or PPI procurement per action
Consortium of participants from min 3 different MS or
AC, of which min 2 public procurers from 2 different MS
or AC investing in the joint procurement that form the
buyers group(+ possibly other procurers that are
providing services of public interest and other entities
that are assisting the procurers)
The special role of the Lead Procurer
 The Lead Procurer is one of the beneficiaries
 Should be a Contracting Authority/Entity (definition of the EU
Procurement Directives)
 Could be (or not) part of the buyers group
 It co-ordinates the procedure, launches the calls and signs the
Framework Contracts/Agreements*
 An EGTC could play the role of either the Lead Procurer or the Buyers
Group (for the latter on the condition that at least 2 procurers from 2 different
MS participate in the EGTC as partners)
* in the name and on behalf of the procurers of the buyers group
COORDINATION AND SUPPORT ACTIONS (CSA)
Prepare for a PCP/PPI execution by:
 Identifying the common challenge to be tackled through the execution of
PCP/PPI
 Networking and Consortium Building
 Defining the Lead Procurer and the applicable national law
 Preparing the tendering documents
 ............other relevant preparation, coordination etc activities
CSAs vs.
Preparation, Coordination etc. activities in the
framework of the H2020 PCP/PPI Cofund actions
CSAs
 Part of a specific calls for
proposals
 Co-funding rate 100%
 There will not be calls on
CSAs for all the PCPs/PPIs
that will be executed in
the framework of H2020
Preparation, Coordination,
etc. activities
 Part of a PCP or PPI cofund action
 Co-funding rate the same as the PCP
or PPI cofund actions
i.e for PCP 70% and for PPI 20%
 On the condition that preparatory,
coordination etc. activities have not
been already implemented (and cofunded by H2020(CSAs), ESIF or by
National Funds)can always be cofunded in the framework of a
PCP/PPI cofund action
ONE JOINT PCP
 In their proposal, consortium shall have already identified one concrete procurement
need as proposed focus for the PCP that is identified as a common challenge in the
innovation plans of the buyers group and requires R&D!
 One joint call for tender published EU wide
 One joint evaluation of offers
 One lead procurer awarding all contracts in the name and on behalf of all
procurers in buyers group
 Each winning tenderer gets: 1 framework agreement to participate in the PCP + one
specific contract per PCP phase (solution design, prototyping, testing)
 One joint total budget (grouping financial commitments of all procurers in buyers group)
from which all R&D providers are paid
 But, actual payments can be carried out centralised or distributed
 Either all R&D providers paid by the lead procurer
Or
 each R&D provider paid pro rata by each procurer in the buyers group according to the
share of each procurer's contribution to the common pot
 Also supervising suppliers and testing of solutions can be centralised or distributed
(Choice between testing all solutions of all R&D providers in 1 procurers site or on several sites
procurers sites etc)
ONE JOINT PPI
 In their proposal, consortium shall have already identified one concrete procurement
need as proposed focus for the PCP that is identified as a common challenge in the
innovation plans of the buyers group and requires R&D!
 One joint call for tender published EU wide (unless PPI procures limited set of
prototypes / test products developed during PCP, then negotiated procedure
without publication foreseen in public procurement directives possible)
 One joint evaluation of offers
 But contract award can be centralised or distributed
 Either one lead procurer awarding all contracts to all suppliers on
behalf of all procurers in the buyers group
Or
 one lead procurer only awarding a framework contract with lots (lots
per procurer) to each supplier, and each individual procurer awarding
(a) specific contract(s) for his lot(s) to the supplier(s) delivering the
solution(s) he buys
This means same core functionality and performance characteristics for solutions
procured by all procurers, but possible additional local functionality for each procurer
 Also supervising suppliers and payments can be centralised or distributed
•
POSSIBLE SYNERGIES BETWEEN
• ESIF AND H2020
• ON PCP/ PPI
SYNERGIES BETWEEN H2020 AND ESIF ON PCP/PPI
WHY?
• BECAUSE:
 The value of support for research, development and innovation
could be further enhanced by combining funding resources
(increase of effects at regional level)
 Procurers could choose for higher ESIF co-funding rates instead
of H2020 co-funding rates' whilst participating to H2020 funded
PCP/PPIs.
 Better communication between "regional development community"
and "Horizon-Science community"
 A regional development scheme through the participation in a
H2020 project acquires a European perspective
CONDITIONS FOR SUCCESS
Include innovation procurement in the RIS3 SWOT and policy
mix.
Build PCP/PPI references into OPs in every relevant thematic
objective.
 Ensure support of public demand driven innovation in the
framework of the European Territorial Cooperation.
Involve MA from the beginning to ensure availability of ESIF &
synchronisation.
GENERAL RULE
IT IS NOT ALLOWED !!!!!!
- To use ESIF and H2020 funding accumulatively to
finance the same cost/expenditure item
- To finance the own contribution of the participant
from H2020 or ESIF
CATEGORIES OF POSSIBLE SYNERGIES
BETWEEN H2020 AND ESIF ON PCP/PPI
Joint or
simultaneous
use of funds
Sequential
funding
Additional
funding
Alternative
funding
A. JOINT OR SIMULTANEUS
USE OF FUNDS
Different funding sources in the same project.
This is only possible if the cost items (eligible and submitted)
are NOT the same.
Requires very strict financial management to separate the cost items clearly
from the conception phase of the project and will only work if the funding
decisions of H2020 and ESIF are synchronised.
The rules of both funding sources (ESIF – H2020) should be respected
beneficiaries even if they receive co-financing from only one funding source.
by all
A partner who receives co-financing from ESIF to participate in a H2020 project should
also respect the H2020 rules and vice versa.
Possible Scenario* # 1 on PCP
 Preparatory, coordination etc. activities are cofunded by the ESIF
(in particular in the framework of European Territorial
Cooperation Programs)
 Execution of a PCP is co-funded by H2020
* The list of the presented scenarios is not exhaustive. In practice more than those scenarios presented in that
set of slides could be possibly implemented.
Coordination ,
preparatory etc.
activities are cofinanced by the ESIF
OPs
or European Territorial
Cooperation Programs –
Cross Border or
Transnational or
Interregional
THE CO-FUNDING RATE
IS DEPENDED ON THE
PROGRAM AND/OR THE
PARTICIPANT
Α mature project proposal in the
framework of the PCP Cofund
actions calls (H2020) can be
submitted.
In case of approval it will receive
co-funding for the execution of a
joint PCP
FLAT CO-FUNDING RATE 70%
Possible Scenario #2 on PCP
 Coordination and preparatory activities are co-funded
by H2020 in the framework of CSAs
i.e Assignment of Lead Procurer, Formation of Buyers Group, Preparation of Tender
Documents etc.
 Execution of a PCP is co-funded by the ESIF.
The distinction between different cost items could be easier in cases like the following:
One joint PCP, one lead procurer, one jointly committed budget but each R&D provider
is paid pro rata by each procurer in the buyers group according to the share of each
procurer's contribution.
PROCURER A (Less
developed Region)
Coordination,
preparatory, etc.
activities are cofunded by
H2020(CSAs)
100% CO-FUNDING
RATE
CO-FUNDS HIS
CONTRIBUTION TO
THE JOINTLY
COMMITED BUDGET
THROUGH THE ESIF
CO-FUNDING RATE
up to 85% (for his
contribution)
PROCURER C
(Transitional Region)
CO-FUNDS HIS
CONTRIBUTION TO
THE COMMON POT
THROUGH THE ESIF
CO-FUNDING RATE
up to 60% (for his
contribution
EXECUTION OF A JOINT PCP
PROCURER B (Less
developed Region)
CO-FUNDS HIS
CONTRIBUTION TO
THE JOINTLY
COMMITTED BUDGET
THROUGH THE ESIF
CO-FUNDING RATE
up to 85% (for his
contribution)
Expenses are
paid pro rata
by each
procurer of the
buyers group
according to
his
contribution to
the jointly
committed
budget
Possible scenario on the execution of a PCP
 In the framework of PCP Cofund action calls, some participants of the
consortium of the buyers group may receive co-funding from the ESIF and
others from H2020.
 This case is applicable only if there is a clear distinction between budgets
offered per OP and between expenditures co-funded by the ESIF (per OP) vs
expenditures co-funded by H2020.
Example - each R&D provider is paid pro rata by each procurer in the buyers group
according to the share of each procurer's contribution to the jointly committed budget.
 To achieve innovation goals in their territory by using ESI Funds procurers
from less developed Regions could receive higher co-funding rates to
participate in a PCP/PPI implemented in the framework of H2020 by/with
procurers from more advanced Regions.
Condition for success : synchronization between the ESIF calls and the
H2020 cofund action calls
•
PROCURER A (Less
developed Region)
CO-FUNDS HIS
CONTRIBUTION TO
THE JOINTLY
COMMITTED BUDGET
THROUGH THE ESIF
Coordination, Preparatory
etc. activities are co-funded
by H2020 (CSAs)
100% CO-FUNDING RATE
OR
Coordination, Preparatory
etc. activities are co-funded
by the ESIF
DIFFERENT CO-FUNDING
RATE PER PROGRAM
AND/OR PARTICIPANT
CO-FUNDING RATE
up to 85% (for his
contribution)
PROCURER C
CO-FUNDS HIS
CONTRIBUTION TO
THE JOINTLY
COMMITTED BUDGET
THROUGH H2020
CO-FUNDING RATE
70%(for his
contribution)
EXECUTION OF A JOINT PCP
PROCURER B
(Transitional Region)
CO-FUNDS HIS
CONTRIBUTION TO
THE JOINTLY
COMMITTED BUDGET
THROUGH THE ESIF
CO-FUNDING RATE
up to 60%(for his
contribution)
PROCURER D
CO-FUNDS HIS
CONTRIBUTION TO
THE JOINTLY
COMMITTED BUDGET
THROUGH H2020
CO-FUNDING RATE
70%(for his
contribution)
Possible Scenario #1 on PPI
H2020 co-finances networking, coordination preparation etc. activities
 Consortium building
 Preparation of the calls
 Drafting of the tender documents
 …
ESIF co-finances the execution of a PPI
ESIF co-finances the purchase of the innovative solutions.
 The lead procurer launches one procurement procedure and awards the
Framework Contract or Agreement. Procurers participating in the buyers
group implement separate specific contracts.
or
 The lead procurer launches one procurement procedure, signs all the
contracts but every individual procurer pays the invoices
Coordination,
preparatory etc.
activities are cofunded by
H2020(CSAs)
PROCURER A
(Less developed Region)
PROCURER C
(Transitional Region)
purchases the
innovative solution
with the support of
the ESIF in line with
the objectives of the
relevant OP
CO-FUNDING RATE up
to 85% (for his
contribution)
purchases the
innovative solution
with the support of
the ESIF in line with
the objectives of the
relevant OP
CO-FUNDING RATE up
to 60%(for his
contribution)
EXECUTION OF A JOINT PPI
100% CO-FUNDING
RATE
PROCURER B
PROCURER D
purchases the
innovative solution
with the support of
the ESIF in line with
the objectives of the
relevant OP
CO-FUNDING RATE up
to 85%(for his
contribution)
purchases the
innovative solution
with the support of
the ESIF in line with
the objectives of the
relevant OP
CO-FUNDING RATE up
to 60%(for his
contribution)
(Less developed Region)
(Transitional Region)
Possible Scenario #2 on PPI
 ESIF co-funds coordination, preparation etc. activities






(i.e. in
consortium building
preparation of the call/s
evaluation of bids
legal issues
trans-national check for possible price reductions due to large volumes
……….
the framework of European Territorial Cooperation Programs)
 H2020 co-funds the purchase of
solutions (flat co-funding rate 20%)
the
innovative
Coordination,
Preparatory etc. are
activities co-funded by
the ESIF
(i.e. ETC Programs)
DIFFERENT COFUNDING RATE PER
PROGRAM AND/OR
PARTICIPANT
One joint PPI that has been
prepared with the support of the
ESIF is executed.
The execution of the PPI is cofunded by H2020
(PPI Cofund action calls)
FLAT CO-FUNDING RATE 20% FOR
ALL PROCURERS
Possible Scenario #3 on PPI
Joint implemented PPI: A procurer located in a less developed Region
purchases the innovative solution co-funded by the ESIF (up to 85% rate)
and another procurer in another MS is co-funded by H2020 (20% rate) to
purchase the innovative solution.
The networking and the preparation phase for the execution of the PPI may be cofunded either by the ESIF or by the H2020 (CSAs). In case that they haven't received
co-financing for the preparatory activities these can be co-funded by the PPI Cofund
actions according to the rules applicable to these actions.
Applicable Scenario in cases:

under a joint Framework Contract/Agreement which provides the joint technical specifications
separate contracts are implemented by the procurers according to their national law for the
purchase of the innovative solutions
Or
 the lead procurer launches one procurement procedure awards all the contracts but the
invoices are paid by every individual procurer
PROCURER A
purchases the
innovative solution
with the support of
H2020
Coordination, Preparation
etc. activities are co-funded
by H2020 (CSA)
100% CO-FUNDING RATE
FLAT CO-FUNDING
RATE 20% (for his
contribution)
DIFFERENT CO-FUNDING
RATE PER PROGRAM
AND/OR PARTICIPANT
purchases the
innovative solution
with the support of
H2020
FLAT CO-FUNDING
RATE 20% (for his
contribution)
EXECUTION OF ONE JOINT PPI
PROCURER B
(Less developed Region)
OR
Coordination, Preparation
etc. activities are co-funded
by the ESIF
PROCURER C
purchases the
innovative solution
with the support of the
ESIF in line with the
objectives of the
relevant O.P
CO-FUNDING RATE up to
85%(for his
contribution)
PROCURER D
Less developed Region
purchases the
innovative solution
with the support of
the ESIF in line with
the objectives of the
relevant O.P
CO-FUNDING RATE up
to 85%(for his
contribution)
Possible Scenario #4 on PPI
 Joint implemented PPI: Procurer A located in a less developed
Region purchases (co-funded by the ESIF – up to 85% rate) an X
lot of the innovative solution and another procurer (procurer B) in
another MS purchases the lot Y of the same innovative solution
(co-funded by H2020- rate 20%).
 The coordination, preparation etc. activities for the execution of the PPI
could have possibly been co-funded either by the ESIF or by the
H2020(CSA). In case that they haven't received co-funding for the
preparatory activities these can be co-funded by the PPI Cofund actions
according to the rules applicable to these actions.
Applicable in cases like the following :
Under a joint Framework Contract/ Agreement that sets out the common functional
specifications separate contracts for different lots are implemented by the procurers
according to their national law for the purchase of the innovative solutions.
Coordination, Preparation
etc. activities are co-funded
by H2020 (CSA)
100% CO-FUNDING RATE
OR
Coordination,
Preparation etc.
activities are co-funded
by the ESIF
DIFFERENT CO-FUNDING
RATE PER PROGRAM
AND/OR PARTICIPANT
PROCURER A
PROCURER C
purchases the LOT A
of the innovative
solution with the
support of H2020
purchases the LOT B
of the innovative
solution with the
support of H2020
FLAT CO-FUNDING RATE
20%(for his
contribution)
FLAT CO-FUNDING
RATE 20%(for his
contribution)
EXECUTION OF ONE JOINT PPI
PROCURER B
(Less developed Region)
purchases the LOT C
of the innovative
solution with the
support of the ESIF in
line with the
objectives of the
relevant O.P
C0-FUNDING RATE up to
85%(for his
contribution)
One
Framework
Agreement
/Contract.
Several
contracts are
signed by
the
procurers
PER LOT
Possible scenario on the coordination, preparation
etc. activities for PCP and PPI
To implement the coordination, preparation etc. activities
necessary for the execution of a PCP or a PPI procurers A and B that
come from less developed regions are co-funded by the ESIF (up to
85% co-funding rate) and procurers B and C are co-funded for their
contribution by H2020 (CSAs – if there is a specific call -100% cofunding rate or PCP/PPI Cofund actions co-funding rate 70%/20%
accordingly)

The execution of the joint PCP/PPI can follow one of the scenarios presented in the
previous slides.

Minimum conditions for success:
-
- Separate and distinguished cost/expenditure items even at project proposal level
-
- Synchronization and coordination between ESIF MAs and H2020 Managing Bodies
PROCURER A
PROCURER B
Coordination and
preparation etc.
activities for a PCP are
co-funded by the ESIF
Coordination and
preparation etc. activities
for a PCP are co-funded
by the ESIF
CO-FUNDING RATE up
to 85% (for his
contribution)
CO-FUNDING RATE up to
60% (for his
contribution)
PROCURER C
PROCURER D
Coordination and
preparation etc.
activities for a PCP are
co-funded by H2020
(PCP Cofund actions)
Coordination and
preparation etc. activities
for a PCP are co-funded
by H2020 (PCP Cofund
actions)
FLAT CO-FUNDING
RATE 70% (for his
contribution)
FLAT CO-FUNDING RATE
70% (for his
contribution)
(Less developed Region)
(Transitional Region)
EXECUTION
OF A JOINT
PCP
PROCURER A
PROCURER B
Coordination and
preparation etc.
activities for a PPI are
co-funded by the ESIF
Coordination and
preparation etc. activities
for a PPI are co-funded by
the ESIF
CO-FUNDING RATE up
to 85% (for his
contribution)
CO-FUNDING RATE up to
60% (for his
contribution)
PROCURER C
PROCURER D
Coordination and
preparation etc.
activities for a PCP are
co-funded by H2020
(PPI Cofund actions)
Coordination and
preparation etc. activities
for a PCP are co-funded
by H2020 (PPI Cofund
actions)
FLAT CO-FUNDING
RATE 20% (for his
contribution)
FLAT CO-FUNDING RATE
20% (for his
contribution)
(Less developed Region)
(Transitional Region)
EXECUTION
OF A JOINT
PPI
B. SEQUENTIAL FUNDING
Separate successive and legally/financially not linked
projects with alternating H2020 or ESIF support –
- First PCP and then PPI –
This is an easier way to combine funds with less risk
of (involuntarily) creating double co-funding
scenarios.
Sequential funding can go in both directions:
First ESIF and then H2020 or vice versa.
Possible Scenario
First PCP (ESIF) to develop and test the innovative
solution and then PPI (H2020)for the deployment of the
innovative solutions developed and tested through PCP
and vice versa (H2020 for PCP and ESIF for PPI)
Example:
A group of Public Procurers from different cities are looking for a new
sustainable public water supply system. It requires R&D. At
first they implement a PCP (Phases 1,2,3) with the support of H2020
and different solutions are developed and tested.
Thereafter they implement a PPI with the support of ESIF/ERDF to cofund the preparation of the call for tender and the purchase of these
new solutions (each MA for the territory covered by its OP).
PCP
PPI
Coordination,
preparatory
etc. activities
are co-funded
by H2020(CSA)
100% COFUNDING RATE
OR
Coordination,
preparatory
etc. activities
are co-funded
by the ESIF
DIFFERENT COFUNDING RATE
PER PROGRAM
AND /OR
PARTICIPANT
Coordination,
preparatory etc.
activities are cofunded by
H2020(CSA)
Execution of a
PCP using
either only
H2020 or
ESIF Funds or
combination
of both Funds
100% CO-FUNDING
RATE
OR
Coordination,
preparatory etc.
activities are cofunded by the ESIF
DIFFERENT COFUNDING RATE PER
PROGRAM AND/OR
PARTICIPANT
Directly without CSAs or
preparatory activities
(Option)
Execution of a
PPI using either
only H2020 or
ESIF Funds or
combination of
both Funds per
contract or per
lot and contract
C. ADDITIONAL/PARALLEL USE OF FUNDS
ESIF money is not linked to a H2020 project
(PCP/PPI), but a regional/national authority decides
to co-fund a regional/national project or beneficiaries
to enhance the H2020 project or programme in its
region.
This may be particularly relevant to skills development or capacity
building in innovation and cooperation
Example
Skills enhancement of the public procurer focused on the use of the
innovative product that is purchased in the framework of a PPI that is cofunded by H2020
D. ALTERNATIVE FUNDING
• ESI Funds could be used for project proposals that
have received positive evaluation under H2020 and
could not be co-funded due to lack of H2020 funds
under the call.
• These proposals could be reoriented towards ESIF
requirements and submitted at national/regional level, if
this type and topic of project fits into the operational
programmes of the concerned territories.