### where non - compliance causes a significant risk to the environment or to human health , the reclamation plant operator shall immediately suspend any further supply of the reclaimed water until the competent authority determines that compliance has been restored . ### where non - compliance causes a significant risk to the environment or to human health , the reclamation facility operator shall immediately suspend any further supply of the reclaimed water until the competent authority determines that compliance has been restored .


### it shall apply from . . . [ one year after the date of entry into force of this regulation ] . ### it shall apply from . . . [ two years after the date of entry into force of this regulation ] .


### member states shall lay down the rules on penalties applicable to infringements of this regulation and shall take all measures necessary to ensure that they are implemented . the penalties provided for shall be effective , proportionate and dissuasive . member states shall , by … [ three years after the date of entry into force of this regulation ] , notify the commission of those rules and of those measures and shall notify it of any subsequent amendment affecting them . ### member states shall lay down the rules on penalties applicable to infringements of this regulation and shall take all measures necessary to ensure that they are implemented . the penalties provided for shall be effective , proportionate and dissuasive . member states shall , by … [ five years after the date of entry into force of this regulation ] , notify the commission of those rules and of those measures and shall notify it of any subsequent amendment affecting them .


### for the purposes of producing and supplying reclaimed water risk management shall be undertaken by the reclamation plant operator in consultation with the following actors : ### for the purposes of producing , supplying and storage of reclaimed water risk management shall be undertaken by the reclamation plant operator in consultation with the following actors :


### the water resources of the union are increasingly coming under pressure , leading to water scarcity and quality deterioration . in particular , climate change and drought are contributing significantly to the strain on the availability of freshwater , arising from urban development and agriculture . ### the water resources of the union are increasingly coming under pressure , leading to water scarcity and quality deterioration . numerous challenges are contributing significantly to the strain on the availability of freshwater , arising from urban development and agriculture . climate change is particularly contributing to the extreme weather events which have uneven consequences across the eu : while southern and western european countries are facing droughts , the northern european countries have to deal with significant environment and economic damages caused by floods .


### the reclamation plant operator shall draw - up a water reuse risk management plan based on the key risk management tasks set out in annex ii . the water reuse risk management plan shall propose any additional requirements to those specified in annex i necessary to further mitigate any risks , and shall , inter alia , identify hazards , risks and appropriate preventive measures . ### the reclamation facility operator concerned shall draw - up a water reuse risk management plan based on the key risk management tasks set out in annex ii for which he is responsible . the water reuse risk management plan shall propose any additional requirements to those specified in annex i necessary to further mitigate any risks , and shall , inter alia , identify hazards , risks and appropriate preventive measures . the reclamation facility operator shall inform the end user as soon as sufficient information is collected .


### competent authorities should verify compliance of the reclaimed water with the conditions set out in the permit . in cases of non - compliance , they should require the reclamation plant operator to take the necessary measures to ensure compliance . the operators of reclamation plants should immediately suspend any supply of the reclaimed water when non - compliance causes a significant risk to the environment or to human health . ### competent authorities should verify compliance of the reclaimed water with the conditions set out in the permit . in cases of non - compliance , they should require the reclamation facility operator to take the necessary measures to ensure compliance . the operators of reclamation facilities should immediately suspend any supply of the reclaimed water when non - compliance causes a significant risk to the environment or to human health .


### this regulation lays down minimum requirements for water quality and monitoring and the obligation to carry out specified key risk management tasks , for the safe reuse of treated urban waste water in the context of integrated water management . ### this regulation lays down minimum requirements for reclaimed water quality and monitoring and the obligation to carry out specified key risk management tasks , for the safe reuse of treated urban waste water in the context of integrated water management .


### ‘ reclaimed water’ means urban waste water that has been treated in compliance with the requirements set out in directive 91 / 271 / eec and which results from further treatment in a reclamation plant ; ### ‘ reclaimed water’ means urban waste water that has been treated in compliance with the requirements set out in directive 91 / 271 / eec and which results from further treatment in a reclamation facility that makes its quality suitable for the use it is intended for ;


### where non - compliance causes a significant risk to the environment or to human health , the reclamation plant operator shall immediately suspend any further supply of the reclaimed water until the competent authority determines that compliance has been restored . ### where non - compliance causes a significant risk to the environment or to human health , the reclamation facility operator shall immediately suspend any further supply of the reclaimed water until the competent authority determines that compliance has been restored , and inform the users who may be affected .


### in order to effectively protect the environment and human health , reclamation plant operators should be primarily responsible for the quality of reclaimed water . for the purposes of compliance with the minimum requirements and any additional conditions , set by the competent authority , reclamation plant operators should monitor the quality of reclaimed water . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec . ### in order to effectively protect the environment , human health and soil quality , reclamation facility operators and the competent authorities shall be primarily responsible for the quality of reclaimed water . in order to guarantee users , and in particular farmers , water of a quality consistent with the parameters set , reclamation facility operators should monitor the quality of reclaimed water in accordance with the minimum requirements and any additional conditions set by the competent authority . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec .


### reclamation plant operators shall ensure that reclaimed water destined for a use specified in section 1 of annex i , shall , at the outlet of the reclamation plant , comply with the following : ### reclamation plant operators shall ensure that reused water destined for a use specified in section 1 of annex i , shall , at the outlet of the reclamation plant , comply with the following :


### an operator shall submit an application for the permit referred to in paragraph 1 , or for a modification of an existing permit to the competent authority of the member state in which the reclamation plant operates or is planned to operate . ### an entity responsible for a water reuse project shall submit an application for the permit referred to in paragraph 1 , or for a modification of an existing permit to the competent authority of the member state in which the water reuse project is implemented or is planned to be implemented .


### health standards in relation to food hygiene for agricultural products irrigated with reclaimed water can be achieved only if quality requirements for reclaimed water destined for agricultural irrigation do not differ significantly in member states . harmonisation of requirements will also contribute to the efficient functioning of the internal market in relation to such products . it is therefore appropriate to introduce minimum harmonisation by setting minimum requirements for water quality and monitoring . those minimum requirements should consist of minimum parameters for reclaimed water and other stricter or additional quality requirements imposed , if necessary , by competent authorities together with any relevant preventive measures . in order to identify stricter or additional requirements for water quality , the reclamation plant operators should perform key risk management tasks . the parameters are based on the technical report of the commission joint research center and reflect the international standards on water reuse . ### equivalent health standards in relation to food hygiene for agricultural products irrigated with reclaimed water can be achieved across the union only if quality requirements for reclaimed water destined for agricultural irrigation do not differ significantly in member states . harmonisation of requirements will also contribute to the efficient functioning of the internal market in relation to such products . it is therefore appropriate to introduce minimum harmonisation by setting minimum requirements for water quality and monitoring , while allowing member states to go further and have higher standards and to assess risks considering site specific conditions , especially for environment . those minimum requirements should consist of minimum parameters for reclaimed water and other stricter or additional quality requirements imposed , if necessary , by competent authorities together with any relevant preventive measures . in order to identify stricter or additional requirements for water quality , the reclamation facility operators should perform key risk management tasks . the parameters are based on the technical report of the commission joint research center and reflect the international standards on water reuse .


### the water resources of the union are increasingly coming under pressure , leading to water scarcity and quality deterioration . in particular , climate change and drought are contributing significantly to the strain on the availability of freshwater , arising from urban development and agriculture . ### the water resources of the union are increasingly coming under pressure , leading to water scarcity and quality deterioration . in particular , climate change , unpredictable weather patterns and drought are contributing significantly to the strain on the availability of freshwater , arising from urban development and agriculture


### ‘ reclamation plant’ means an urban waste water treatment plant or other plant that further treats urban waste water complying with the requirements set out in directive 91 / 271 / eec in order to produce water that is fit for a use specified in section 1 of annex i to this regulation ; ### ‘ reclamation facility’ means a part of an urban waste water treatment plant or other facility that further treats urban waste water previously treated according to and complying with the requirements set out in directive 91 / 271 / eec in order to produce reclaimed water that is fit for a use specified in section 1 of annex i to this regulation ;


### ' reclamation plant operator ' means a natural or legal person who operates or controls a reclamation plant ; ### ' reclamation facility operator ' means a natural or legal person who operates or controls a reclamation facility ;


### the operator of the urban waste water treatment plant supplying a reclamation plant with water , if different from the reclamation plant operator ; ### the operator of the urban waste water treatment plant supplying a reclamation plant with urban waste water , if different from the reclamation plant operator ;


### it is necessary to ensure the safe use of reclaimed water , thereby encouraging water reuse at union level and enhancing public confidence in it . supply of reclaimed water for particular uses should therefore only be permitted on the basis of a permit , granted by competent authorities of member states . in order to ensure harmonised approach at union level , traceability and transparency , the substantive rules for that permit should be laid down at the union level . however , the details of the procedures for granting permits should be determined by member states . member states should be able to apply existing procedures for granting permits which should be adapted to take account of the requirements introduced by this regulation . ### it is necessary and important to ensure economic reliability and security through the safe and secure use of reclaimed water , thereby encouraging the development of water reuse at union level , encouraging eu farmers to adopt this practice and enhancing public confidence in it . supply of reclaimed water for particular uses should therefore only be permitted on the basis of a permit , granted by competent authorities of member states . in order to ensure harmonised approach at union level , traceability and transparency , the substantive rules for that permit should be laid down at the union level . however , the details of the procedures for granting permits should be determined by member states , whose competent authorities are themselves responsible for assessing the risks linked to water reuse . member states should be able to apply existing procedures for granting permits which should be adapted to take account of the requirements introduced by this regulation .


### it is necessary to ensure the safe use of reclaimed water , thereby encouraging water reuse at union level and enhancing public confidence in it . supply of reclaimed water for particular uses should therefore only be permitted on the basis of a permit , granted by competent authorities of member states . in order to ensure harmonised approach at union level , traceability and transparency , the substantive rules for that permit should be laid down at the union level . however , the details of the procedures for granting permits should be determined by member states . member states should be able to apply existing procedures for granting permits which should be adapted to take account of the requirements introduced by this regulation . ### it is necessary to ensure the safe supply , storage and use of reclaimed water , thereby encouraging water reuse at union level and enhancing public confidence in it . supply and storage of reclaimed water for agricultural irrigation should therefore only be permitted on the basis of a permit , granted by competent authorities of member states . in order to ensure harmonised approach at union level , traceability and transparency , the substantive rules for that permit should be laid down at the union level . however , the details of the procedures for granting permits should be determined by member states . member states should be able to apply existing procedures for granting permits which should be adapted to take account of the requirements introduced by this regulation .


### reclamation plant operators shall ensure that reclaimed water destined for a use specified in section 1 of annex i , shall , at the outlet of the reclamation plant , comply with the following : ### reclamation facility operators shall , at the point of compliance , ensure that reclaimed water destined for a use specified in section 1 of annex i , shall comply with the following :


### in order to adapt the existing minimum requirements and the key risk management tasks to scientific and technical progress , the power to adopt acts in accordance with article 290 of the treaty on the functioning of the european union should be delegated to the commission to amend the minimum requirements and the key risk management tasks . moreover , in order to ensure a high level of protection of the environment and human health , the commission should also be able to adopt delegated acts supplementing the key risk management tasks by laying down technical specifications . it is of particular importance that the commission carries out appropriate consultations during its preparatory work , including at expert level , and that those consultations be conducted in accordance with the principles laid down in the interinstitutional agreement of 13 april 2016 on better law - making37 . in particular , to ensure equal participation in the preparation of delegated acts , the european parliament and the council receive all documents at the same time as member states ' experts , and their experts systematically have access to meetings of commission expert groups dealing with the preparation of delegated acts . _________________ 37 oj l 123 , 12 . 5 . 2016 , p . 1 . ### in order to adapt the existing minimum requirements and the key risk management tasks to scientific and technical progress , the power to adopt acts in accordance with article 290 of the treaty on the functioning of the european union should be delegated to the commission to amend the minimum requirements and the key risk management tasks , without compromising the scope for reusing properly treated waste water . moreover , in order to ensure a high level of protection of the environment and human health , the commission should also be able to adopt delegated acts supplementing the key risk management tasks by laying down technical specifications . it is of particular importance that the commission carries out appropriate consultations during its preparatory work , including at expert level , and that those consultations be conducted in accordance with the principles laid down in the interinstitutional agreement of 13 april 2016 on better law - making37 . in particular , to ensure equal participation in the preparation of delegated acts , the european parliament and the council receive all documents at the same time as member states ' experts , and their experts systematically have access to meetings of commission expert groups dealing with the preparation of delegated acts . _________________ 37 oj l 123 , 12 . 5 . 2016 , p . 1 .


### in order to effectively protect the environment and human health , reclamation plant operators should be primarily responsible for the quality of reclaimed water . for the purposes of compliance with the minimum requirements and any additional conditions , set by the competent authority , reclamation plant operators should monitor the quality of reclaimed water . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec . ### in order to effectively protect the environment , human health and soil quality , reclamation plant operators and the competent authorities shall be primarily responsible for the quality of reclaimed water . to guarantee end users , and in particular farmers , water of a quality consistent with the parameters set , reclamation plant operators should monitor the quality of reused water in accordance with the minimum requirements and any additional conditions set by the competent authority . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec .


### in order to effectively protect the environment and human health , reclamation plant operators should be primarily responsible for the quality of reclaimed water . for the purposes of compliance with the minimum requirements and any additional conditions , set by the competent authority , reclamation plant operators should monitor the quality of reclaimed water . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec . ### in order to effectively protect the environment and human health , reclamation facility operators should be primarily responsible for the quality of reclaimed water at the point of compliance , which will be the delivery point of reclaimed water . for the purposes of compliance with the minimum requirements and any additional conditions , set by the competent authority , reclamation facility operators should monitor the quality of reclaimed water in accordance with the minimum requirements and any additional conditions set by the competent authorities . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec . the users of the reclaimed water should be responsible for preventing the deterioration of water quality from the point of delivery of reclaimed water to the places of use .


### this regulation shall apply to reclaimed water destined for a use specified in section 1 of annex i . ### this directive shall apply to reclaimed water intended for agricultural irrigation specified in section 1 of annex i .


### ' reclamation plant ' means an urban waste water treatment plant or other plant that further treats urban waste water complying with the requirements set out in directive 91 / 271 / eec in order to produce water that is fit for a use specified in section 1 of annex i to this regulation ; ### ' reclamation facility ' means an urban waste water treatment plant or other plant that further treats urban waste water complying with the requirements set out in directive 91 / 271 / eec in order to produce reclaimed water that is fit for a use specified in section 1 of annex i to this regulation ;


### this regulation lays down minimum requirements for water quality and monitoring and the obligation to carry out specified key risk management tasks , for the safe reuse of treated urban waste water in the context of integrated water management . ### this directive lays down minimum quality requirements for water intended for agricultural irrigation , minimum monitoring requirements and the obligation to carry out specified key risk management tasks , for the safe use of reclaimed water in the context of integrated water management .


### competent authorities should verify compliance of the reclaimed water with the conditions set out in the permit . in cases of non - compliance , they should require the reclamation plant operator to take the necessary measures to ensure compliance . the operators of reclamation plants should immediately suspend any supply of the reclaimed water when non - compliance causes a significant risk to the environment or to human health . ### to reduce these risks use of treated waste water on agricultural land for food production should be of a high standard . competent authorities should verify compliance of the reclaimed water with the conditions set out in the permit . in cases of non - compliance , they should require the reclamation facility operator to take the necessary measures to ensure compliance . the operators of reclamation facility should immediately suspend any supply of the reclaimed water when non - compliance causes a significant risk to the environment or to human health . the competent authorities should work closely with farmers in order to facilitate the reuse of reclaimed water .


### obligations of reclamation plant operators as regards water quality ### obligations of reclamation facility operators as regards water quality


### ‘ reclaimed water’ means urban waste water that has been treated in compliance with the requirements set out in directive 91 / 271 / eec and which results from further treatment in a reclamation plant ; ### ‘ reused water’ means treated water which results from further treatment in a treatment plant ;


### risk management should comprise identifying and managing risks in a proactive way and incorporate the concept of producing reclaimed water of a quality required for particular uses . the risk assessment should be based on key risk management tasks and should identify any additional water quality requirements necessary to ensure sufficient protection of the environment , human and animal health . ### risk management should comprise identifying and managing risks in a proactive way and incorporate the concept of producing reused water of a quality required for particular uses . the risk assessment should be based on key risk management tasks and should identify any additional water quality requirements necessary to ensure sufficient protection of the environment , human and animal health .


### in order to encourage confidence in water reuse , information should be provided to the public . making available of information on water reuse should allow for increased transparency and traceability and could also be of particular interest to other relevant authorities for whom the specific water reuse has implications . ### if the union’s targets for the sparing use of resources are to be met , making consumers aware of their responsibilities is also important . it would be necessary , first of all , to review practices involving the use of natural resources , with the aim of achieving savings . in order to encourage confidence in water reuse and secure consumer acceptance of this sustainable practice , information should be provided to the public . making available of information on water reuse should allow for increased transparency and traceability and could also be of particular interest to other relevant authorities for whom the specific water reuse has implications . in order to encourage water reuse , member states should ensure the development of communication strategies that are specific , active and adapted to the different parties , to ensure that they are all aware of the urban water cycle , the need to reuse water and its benefits , thereby promoting stakeholder acceptance and involvement .


### health standards in relation to food hygiene for agricultural products irrigated with reclaimed water can be achieved only if quality requirements for reclaimed water destined for agricultural irrigation do not differ significantly in member states . harmonisation of requirements will also contribute to the efficient functioning of the internal market in relation to such products . it is therefore appropriate to introduce minimum harmonisation by setting minimum requirements for water quality and monitoring . those minimum requirements should consist of minimum parameters for reclaimed water and other stricter or additional quality requirements imposed , if necessary , by competent authorities together with any relevant preventive measures . in order to identify stricter or additional requirements for water quality , the reclamation plant operators should perform key risk management tasks . the parameters are based on the technical report of the commission joint research center and reflect the international standards on water reuse . ### equivalent health standards in relation to food hygiene for agricultural products irrigated with reclaimed water can be achieved across the union only if quality requirements for reclaimed water destined for agricultural irrigation do not differ significantly in member states . harmonisation of requirements will also contribute to the efficient functioning of the internal market in relation to such products . it is therefore appropriate to introduce minimum harmonisation by setting minimum requirements for water quality and monitoring , while allowing member states to go further and have higher standards and to assess risks considering site specific conditions , especially for environment . those minimum requirements should consist of minimum parameters for reclaimed water and other stricter or additional quality requirements imposed , if necessary , by competent authorities together with any relevant preventive measures . in order to identify stricter or additional requirements for water quality , the reclamation facility operators should perform key risk management tasks . the parameters are based on the technical report of the commission joint research center and reflect the international standards on water reuse .


### ‘ end - user’ means a natural or legal person who uses reclaimed water ; ### ‘ user’ means a natural or legal person or a public or private entity who uses reclaimed water for its intended use .


### the operator of the urban waste water treatment plant supplying a reclamation plant with water , if different from the reclamation plant operator ; ### the operator of the urban waste water treatment plant supplying a reclamation facility with water , if different from the reclamation facility operator ;


### in order to effectively protect the environment and human health , reclamation plant operators should be primarily responsible for the quality of reclaimed water . for the purposes of compliance with the minimum requirements and any additional conditions , set by the competent authority , reclamation plant operators should monitor the quality of reclaimed water . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec . ### in order to effectively protect the environment , human health and soil quality , reclamation facility operators and the competent authorities shall be primarily responsible for the quality of reclaimed water . in order to guarantee users , and in particular farmers , water of a quality consistent with the parameters set , reclamation facility operators should monitor the quality of reclaimed water in accordance with the minimum requirements and any additional conditions set by the competent authority . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec .


### ‘ end - user’ means a natural or legal person who uses reclaimed water ; ### ‘ end - user’ means a natural or legal person who uses reclaimed water for agricultural irrigation in the course of their professional activities , including operators , technicians , contractors , employers and self - employed people in farming sector ;


### in order to effectively protect the environment and human health , reclamation plant operators should be primarily responsible for the quality of reclaimed water . for the purposes of compliance with the minimum requirements and any additional conditions , set by the competent authority , reclamation plant operators should monitor the quality of reclaimed water . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec . ### in order to effectively protect the environment and human health , reclamation plant operators should be responsible for the quality of reclaimed water at the point of compliance . for the purposes of compliance with the minimum requirements and any additional conditions , set by the competent authority , reclamation plant operators should monitor the quality of reclaimed water . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec . the distribution system operator and end - users should maintain the quality of reclaimed water intended for a specific use and should keep in place permanent risk management measures as laid down by this regulation .


### the water resources of the union are increasingly coming under pressure , leading to water scarcity and quality deterioration . in particular , climate change and drought are contributing significantly to the strain on the availability of freshwater , arising from urban development and agriculture . ### the water resources of the union are increasingly coming under pressure , leading to water scarcity and quality deterioration . in particular , climate change and drought are contributing significantly to the strain on the availability of freshwater , especially in urban and rural areas , as well as in agriculture .


### ‘ reclamation plant’ means an urban waste water treatment plant or other plant that further treats urban waste water complying with the requirements set out in directive 91 / 271 / eec in order to produce water that is fit for a use specified in section 1 of annex i to this regulation ; ### ‘ reclamation facility’ means a part of an urban waste water treatment plant or other facility that further treats urban waste water complying with the requirements set out in directive 91 / 271 / eec in order to produce reclaimed water that is fit for a use specified in section 1 of annex i to this regulation ;


### the purpose of this regulation is to guarantee that reclaimed water is safe for its intended use , thereby ensuring a high level of protection of human and animal health and the environment , addressing water scarcity and the resulting pressure on water resources in a coordinated way throughout the union , thus also contributing to the efficient functioning of the internal market . ### the purpose of this regulation is to guarantee that reused water is safe for its intended use , thereby ensuring a high level of protection of human and animal health and the environment , addressing water scarcity and the resulting pressure on water resources in a coordinated way throughout the union , thus also contributing to the efficient functioning of the internal market .


### set up and publish by &#8230 ; [ three years after the date of entry into force of this regulation ] , and update every 6 years thereafter , a data set containing information on the outcome of the compliance check performed in accordance with article 8 and other information to be made available online to the public in accordance with article 10 ; ### set up and publish by &#8230 ; [ five years after the date of entry into force of this regulation ] , and update every 6 years thereafter , a data set containing information on the outcome of the compliance check performed in accordance with article 8 and other information to be made available online to the public in accordance with article 10 ;


### if an incident affecting compliance with the permit ' s conditions occurs , the reclamation plant operator shall immediately inform the competent authority and the end - user which may be potentially affected , and communicate to the competent authority the information necessary for assessing the impacts of such an incident . ### if an incident affecting compliance with the permit ' s conditions occurs , the reclamation facility operator shall immediately inform the competent authority and all reclaimed water distributors and end - user and communicate to the competent authority the information necessary for assessing the impacts of such an incident .


### risk management should comprise identifying and managing risks in a proactive way and incorporate the concept of producing reclaimed water of a quality required for particular uses . the risk assessment should be based on key risk management tasks and should identify any additional water quality requirements necessary to ensure sufficient protection of the environment , human and animal health . ### risk management should comprise identifying and managing risks in a proactive way and incorporate the concept of producing reclaimed water of a quality required for particular uses . the risk assessment should be based on key risk management tasks and should identify any additional water quality requirements necessary to ensure sufficient protection of the environment , human and animal health . risk management should be a responsibility shared among all the parties involved in a water reuse project ; the distribution of these responsibilities and the role of each of the parties involved should be clearly specified .


### this regulation lays down minimum requirements for water quality and monitoring and the obligation to carry out specified key risk management tasks , for the safe reuse of treated urban waste water in the context of integrated water management . ### this directive lays down minimum quality requirements for water intended for agricultural irrigation , minimum monitoring requirements and the obligation to carry out specified key risk management tasks , for the safe use of reclaimed water in the context of integrated water management .


### in order to effectively protect the environment and human health , reclamation plant operators should be primarily responsible for the quality of reclaimed water . for the purposes of compliance with the minimum requirements and any additional conditions , set by the competent authority , reclamation plant operators should monitor the quality of reclaimed water . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec . ### in order to effectively protect the environment and human health , reclamation facility operators should be primarily responsible for the quality of reclaimed water at the point of compliance , which will be the delivery point of reclaimed water . for the purposes of compliance with the minimum requirements and any additional conditions , set by the competent authority , reclamation facility operators should monitor the quality of reclaimed water in accordance with the minimum requirements and any additional conditions set by the competent authorities . it is therefore appropriate to establish the minimum requirements for monitoring , consisting of the frequencies of the routine monitoring and the timing and performance targets for validation monitoring . certain requirements for routine monitoring are specified in accordance with directive 91 / 271 / eec . the users of the reclaimed water should be responsible for preventing the deterioration of water quality from the point of delivery of reclaimed water to the places of use .


### reuse of appropriately treated waste water , for example from urban waste water treatment plants or industrial installations , is considered to have a lower environmental impact than other alternative water supply methods , such as water transfers or desalination , but such reuse only occurs to a limited extent in the union . this appears to be partly due to the lack of common union environmental or health standards for water reuse , and , as regards in particular agricultural products , the potential obstacles to the free movement of such products irrigated with reclaimed water . ### reuse of appropriately treated waste water , for example from urban waste water treatment plants or industrial installations , is considered to have a lower environmental impact than other alternative water supply methods , such as water transfers or desalination , but such reuse only occurs to a limited extent in the union . this appears to be partly due to the significant cost of reclaimed water projects and the lack of common union environmental or health standards for water reuse , and , as regards in particular agricultural products , the potential obstacles to the free movement of such products irrigated with reclaimed water .


### 1 . minimum requirements applicable to reclaimed water destined to be used for agricultural irrigation ### 1 . minimum requirements applicable to reclaimed water intended for agricultural irrigation


### competent authorities should verify compliance of the reclaimed water with the conditions set out in the permit . in cases of non - compliance , they should require the reclamation plant operator to take the necessary measures to ensure compliance . the operators of reclamation plants should immediately suspend any supply of the reclaimed water when non - compliance causes a significant risk to the environment or to human health . ### to reduce these risks use of treated waste water on agricultural land for food production should be of a high standard . competent authorities should verify compliance of the reclaimed water with the conditions set out in the permit . in cases of non - compliance , they should require the reclamation facility operator to take the necessary measures to ensure compliance . the operators of reclamation facility should immediately suspend any supply of the reclaimed water when non - compliance causes a significant risk to the environment or to human health . the competent authorities should work closely with farmers in order to facilitate the reuse of reclaimed water .


### where non - compliance causes a significant risk to the environment or to human health , the reclamation plant operator shall immediately suspend any further supply of the reclaimed water until the competent authority determines that compliance has been restored . ### where non - compliance causes a significant risk to the environment or to human health , the reclamation plant operator shall immediately suspend any further supply of the reused water until the competent authority determines that compliance has been restored .


### for the situations referred to in points , , and of article 106 , a panel shall be set up by the commission at the request of an authorising officer of the commission or of an executive agency or a joint panel at the request of another institution , body or european office . the panel , on behalf of the commission and its executive agencies , other institutions , bodies or european offices , shall apply the following procedure : ### for the situations referred to in points , , and of article 106 , a panel shall be set up by the commission at the request of an authorising officer of the commission or of an executive agency or a joint panel at the request of another institution , body or european office . the panel shall appoint a standing high - level board and be composed of members with technical and legal competences . the commission shall ensure that the panel can work independently . the panel , on behalf of the commission and its executive agencies , other institutions , bodies or european offices , shall apply the following procedure :


### the european parliament , upon a recommendation from the council acting by qualified majority , shall , before 15 may of year n + 2 , give a discharge to the commission in respect of the implementation of the budget for year n . 2 . if the date provided for in paragraph 1 cannot be met , the european parliament or the council shall inform the commission of the reasons for the postponement . 3 . if the european parliament postpones the decision giving a discharge , the commission shall make every effort to take measures , as soon as possible , to remove or facilitate removal of the obstacles to that decision . ### article 164 is replaced by the following : ' 1 . the european parliament , upon a recommendation from the council acting by qualified majority , shall , before 15 may of year n + 2 , give a discharge in respect of the implementation of the budget for year n to the union institutions and the bodies referred to in articles 208 and 209 . 2 . if the date provided for in paragraph 1 cannot be met , the european parliament or the council shall inform the institutions and bodies concerned of the reasons for the postponement . 3 . if the european parliament postpones the decision giving a discharge , the institutions and bodies concerned shall make every effort to take measures , as soon as possible , to remove or facilitate removal of the obstacles to that decision . '


### fraud , corruption , participation in a criminal organisation , money laundering , terrorist financing , terrorist - related offences , child labour or other forms of trafficking in human beings on the basis of evidence established by the panel referred to in article 108 or as established by a final judgement ; ### fraud , tax fraud , tax evasion – including tax evasion via untaxed offshore structures – , corruption , participation in a criminal organisation , money laundering , terrorist financing , terrorist - related offences , child labour or other forms of trafficking in human beings on the basis of evidence established by the panel referred to in article 108 or as established by a final judgement ;


### the court of auditors shall transmit to the institution or the body concerned any observations which are , in its opinion , such that they should appear in a special report . those observations shall remain confidential and shall be subject to an adversarial procedure . the institution or the body concerned shall inform the court of auditors , within two and a half months of transmission of those observations , of any replies it wishes to make in relation to those observations . the court of auditors shall adopt the definitive version of the special report the month following receipt of the replies made by the institution or body concerned . the special reports , together with the replies of the institutions or bodies concerned , shall be transmitted without delay to the european parliament and the council , each of which shall decide , where appropriate in conjunction with the commission , what action is to be taken in response . the court of auditors shall take all necessary steps to ensure that the replies to its observations from each institution or body concerned are published together with the special report . ### article 163 is replaced by the following : ' 1 . the court of auditors shall transmit to the institution or the body concerned any observations which are , in its opinion , such that they should appear in a special report . those observations shall remain confidential and shall be subject to an adversarial procedure . the replies of the institution or the body concerned shall directly and exclusively address those observations . the court of auditors shall adopt the definitive version of the special report within two and a half months of transmission of those observations to the institution or body concerned . the special reports , together with the replies of the institutions or bodies concerned , shall be transmitted without delay to the european parliament and the council , each of which shall decide , where appropriate in conjunction with the commission , what action is to be taken in response . the court of auditors shall take all necessary steps to ensure that the replies to its observations from each institution or body concerned are published together with the special report . '


### the contracting authority may modify a contract or framework contract substantially without a procurement procedure only in cases provided for in the delegated acts adopted pursuant to this regulation and provided the substantial modification does not alter the subject matter of the contract or framework contract . ### the contracting authority may modify a contract or framework contract without a procurement procedure only in cases provided for in the delegated acts adopted pursuant to this regulation and provided the modification does not alter the subject matter of the contract or framework contract .


### ' 7 . paragraphs 5 and 6 shall not apply to the contribution of the union to entities which are subject to a separate discharge procedure under article 208 . ### article 60 is replaced by the following : ' 7 . paragraphs 5 and 6 shall not apply to the contribution of the union to entities which are subject to a separate discharge procedure under articles 208 and 209 . ’


### the bodies having legal personality set up by a basic act and entrusted with the implementation of a public - private partnership shall adopt their financial rules . those rules shall include a set of principles necessary to ensure sound financial management of union funds . the commission shall be empowered to adopt a model financial regulation by means of a delegated act in accordance with article 210 which shall lay down the principles necessary to ensure sound financial management of union funds and which shall be based on article 60 . the financial rules of those bodies shall not depart from the model financial regulation except where their specific needs so require and with the commission ' s prior consent . ### article 209 is replaced by the following : ' 1 . the bodies having legal personality set up by a basic act and entrusted with the implementation of a public - private partnership shall adopt their financial rules . those rules shall include a set of principles necessary to ensure sound financial management of union funds . the commission shall be empowered to adopt a model financial regulation by means of a delegated act in accordance with article 210 which shall lay down the principles necessary to ensure sound financial management of union funds and which shall be based on article 60 . the financial rules of those bodies shall not depart from the model financial regulation except where their specific needs so require and with the commission ' s prior consent . 2 . discharge for the implementation of the budgets of the bodies referred to in paragraph 1 , shall be given by the european parliament on the recommendation of the council . the bodies referred to in paragraph 1 shall fully cooperate with the institutions involved in the discharge procedure and provide , as appropriate , any additional necessary information , including through attendance at meetings of the relevant bodies . 3 . the commission’s internal auditor shall exercise the same powers over the bodies referred to in paragraph 1 as those exercised in respect of the commission . 4 . an independent external auditor shall verify that the annual accounts of each of the bodies referred to in paragraph 1 properly present the income , expenditure and financial position of the relevant body prior to the consolidation in the commission’s final accounts or by the date set in the financial rules of the relevant bodies . unless otherwise provided in the basic act referred to in paragraph 1 , the court of auditors shall prepare a specific annual report on each body in line with the requirements of article 287 tfeu . in preparing this report , the court shall consider the audit work performed by the independent external auditor and the action taken in response to the auditor’s findings . '


### the court of auditors shall transmit to the commission and the institutions concerned , by 30 june , any observations which are , in its opinion , such that they should appear in the annual report . those observations shall remain confidential and shall be subject to an adversarial procedure . each institution shall address its reply to the court of auditors by 15 october . the replies of institutions other than the commission shall be sent to the commission at the same time . ### article 162 is replaced by the following : ' 1 . the court of auditors shall transmit to the commission and the institutions concerned , by 30 june , any observations which are , in its opinion , such that they should appear in the annual report . those observations shall remain confidential and shall be subject to an adversarial procedure . they shall nevertheless be made available to the european parliament on request , if appropriate on a confidential basis . each institution shall address its reply to the court of auditors by 15 october . the replies of institutions other than the commission shall be sent to the commission at the same time . '


### the commission shall submit to the european parliament , at the latter’s request , any information required for the smooth application of the discharge procedure for the financial year concerned , in accordance with article 319 tfeu . ### article 165 is replaced by the following : ' 3 . the union institutions and bodies shall submit to the european parliament , at the latter’s request , any information required for the smooth application of the discharge procedure for the financial year concerned , in accordance with article 319 tfeu . '


### the contracting authority may also verify whether a subcontractor is not in a situation of exclusion listed in paragraph 1 of this article or is in one of the cases referred to in paragraph 3 of this article . ### the contracting authority may also apply paragraphs 1 to 3 to a subcontractor of the economic operator , and shall require that a candidate or tenderer replaces a subcontractor or an entity on whose capacity it intends to rely , which is in an exclusion situation .


### the commission shall be empowered to adopt delegated acts in accordance with article 210 concerning detailed rules on the methods of implementation of the budget , including direct management , the exercise of powers delegated to executive agencies , and specific provisions for indirect management with international organisations , with bodies referred to in articles 208 and 209 , with public law bodies or bodies governed by private law with a public service mission , with bodies governed by the private law of a member state and entrusted with the implementation of a public - private partnership and with persons entrusted with the implementation of specific actions in the cfsp . ### article 58 is replaced by the following : ' 8 . the commission shall be empowered to adopt delegated acts in accordance with article 210 concerning detailed rules on the methods of implementation of the budget , including direct management , the exercise of powers delegated to executive agencies , and specific provisions for indirect management with international organisations , with bodies referred to in articles 208 and 209 , with public law bodies or bodies governed by private law with a public service mission , with bodies governed by the private law of a member state and entrusted with the implementation of a public - private partnership and with persons entrusted with the implementation of specific actions in the cfsp . these provisions shall include criteria to assess the status of international organisation set up by intergovernmental agreements , and the procedure and criteria for assimilating a non - profit organisation to an international organisation . '


### in accordance with article 319 tfeu and article 106a of the euratom treaty , the commission and the other institutions shall take all appropriate steps to act on the observations accompanying the european parliament ' s discharge decision and on the comments accompanying the recommendation for discharge adopted by the council . 2 . at the request of the european parliament or the council , the institutions shall report on the measures taken in the light of those observations and comments , and , in particular , on the instructions they have given to any of their departments which are responsible for the implementation of the budget . the member states shall cooperate with the commission by informing it of the measures they have taken to act on those observations so that the commission may take them into account when drawing up its own report . the reports from the institutions shall also be transmitted to the court of auditors . ### article 166 is replaced by the following : ' 1 . in accordance with article 319 tfeu and article 106a of the euratom treaty , the commission and the other institutions and bodies shall take all appropriate steps to act on the observations accompanying the european parliament’s discharge decision and on the comments accompanying the recommendation for discharge adopted by the council . 2 . at the request of the european parliament or the council , the other institutions and bodies shall report on the measures taken in the light of those observations and comments , and , in particular , on the instructions they have given to any of their departments which are responsible for the implementation of the budget . the member states shall cooperate with the commission by informing it of the measures they have taken to act on those observations so that the commission may take them into account when drawing up its own report . the reports from the institutions and bodies shall also be transmitted to the court of auditors . '


### the court of auditors shall transmit to the institution or the body concerned any observations which are , in its opinion , such that they should appear in a special report . those observations shall remain confidential and shall be subject to an adversarial procedure . the institution or the body concerned shall inform the court of auditors , within two and a half months of transmission of those observations , of any replies it wishes to make in relation to those observations . the court of auditors shall adopt the definitive version of the special report the month following receipt of the replies made by the institution or body concerned . the special reports , together with the replies of the institutions or bodies concerned , shall be transmitted without delay to the european parliament and the council , each of which shall decide , where appropriate in conjunction with the commission , what action is to be taken in response . the court of auditors shall take all necessary steps to ensure that the replies to its observations from each institution or body concerned are published together with the special report . ### article 163 is replaced by the following : ' 1 . the court of auditors shall transmit to the institution or the body concerned any observations which are , in its opinion , such that they should appear in a special report . those observations shall remain confidential and shall be subject to an adversarial procedure . the institution or the body concerned shall inform the court of auditors , in general within five weeks of transmission of those observations , of any replies it wishes to make in relation to those observations . the replies of the institution or the body concerned shall directly and exclusively address those observations . the court of auditors shall ensure that special reports are drawn up and adopted within an appropriate period of time , which shall , in general , not exceed 12 months . the special reports , together with the replies of the institutions or bodies concerned , shall be transmitted without delay to the european parliament and the council , each of which shall decide , where appropriate in conjunction with the commission , what action is to be taken in response . the court of auditors shall take all necessary steps to ensure that the replies to its observations from each institution or body concerned , as well as the timeline for the drawing up of the special report , are published together with the special report . '


### paragraph 5 and 6 shall not apply to the contribution of the union to entities which are subject to a separate discharge procedure under articles 208 . ### article 60 is replaced by the following : ' 7 . paragraph 5 and 6 shall not apply to the contribution of the union to entities which are subject to a separate discharge procedure under articles 208 and 209 . '


### except for cases provided for in point of paragraph 1 , the contracting authority may decide not to exclude the economic operator concerned where it has taken remedial measures to demonstrate its reliability . ### except for cases provided for in point of paragraph 1 , the panel referred to in article 108 may decide not to exclude the economic operator concerned where it has taken remedial measures to demonstrate its reliability .


### the contracting authority may also verify whether a subcontractor is not in a situation of exclusion listed in paragraph 1 of this article or is in one of the cases referred to in paragraph 3 of this article . ### the contracting authority may also apply paragraphs 1 to 3 to a subcontractor of the economic operator .


### the commission shall be empowered to adopt delegated acts in accordance with article 210 concerning detailed rules on the methods of implementation of the budget , including direct management , the exercise of powers delegated to executive agencies , and specific provisions for indirect management with international organisations , with bodies referred to in articles 208 and 209 , with public law bodies or bodies governed by private law with a public service mission , with bodies governed by the private law of a member state and entrusted with the implementation of a public - private partnership and with persons entrusted with the implementation of specific actions in the cfsp . ### article 58 is replaced by the following : ' 8 . the commission shall be empowered to adopt delegated acts in accordance with article 210 concerning detailed rules on the methods of implementation of the budget , including direct management , the exercise of powers delegated to executive agencies , and specific provisions for indirect management with international organisations , with bodies referred to in articles 208 and 209 , with public law bodies or bodies governed by private law with a public service mission , with bodies governed by the private law of a member state and entrusted with the implementation of a public - private partnership and with persons entrusted with the implementation of specific actions in the cfsp . non - profit organisations which do not have the status of an international organisation set up by intergovernmental agreements shall not be assimilated to such an international organisation . '


### the obligations of member states as regards convictions of third country nationals should also include fingerprints to secure identification . this obligation includes to store information , including fingerprints , to reply to requests on information from other central authorities , to ensure that a criminal record extract requested by a third country national is supplemented as appropriate with information from other member states , and to make the technical changes to apply state - of - the - art technologies necessary to make the information exchange system work . ### the obligations of member states as regards convictions of third country nationals should also include an obligation to store and exchange fingerprints to secure identification . this obligation includes storing information , including fingerprints ; replying promptly , fully and effectively to requests on information from other central authorities ; ensuring that a criminal record extract requested by a third country national is supplemented as appropriate with information from other member states , in order to provide a complete picture of a person ' s previous criminal convictions ; making the technical changes to apply state - of - the - art technologies necessary to make the information exchange system work ; while ensuring the highest levels of data protection and security .


### the ecris legal framework , however , does not sufficiently cover the particularities of requests concerning third country nationals . although it is now possible to exchange information on third country nationals through ecris , there is no procedure or mechanism in place to do so efficiently . ### the existing ecris legal framework , however , does not sufficiently address the particularities of requests concerning third country nationals . although it is already possible to exchange information on third country nationals through ecris , there is no common european procedure or mechanism in place to do so efficiently .


### in order to compensate the lack of a single member state where information on a particular third country national is stored , decentralised information technology should enable the central authorities of the member states to find out in which other member state criminal record information is stored . for this purpose , each central authority should distribute to the other member states an index - filter which includes , in an anonymised form , the identification data of the third country nationals convicted in its member state . the personal data should be rendered anonymous in such a way that the data subject is not identifiable . the receiving member state may then match these data with their own information on a ‘ hit’ / ‘ no hit’ basis , thus finding out whether or not criminal record information is available in other member states and , in case of a ‘ hit’ , in which member states . the receiving member state should then follow up a ‘ hit’ using the ecris framework . with respect to third country nationals who also hold the nationality of a member state , the information included in the index should be limited to information available as regards nationals of member states . ### in order to compensate for the lack of a centralised union database where information on a particular third country national is stored , decentralised information technology should enable the central authorities of the member states to find out in which other member state criminal record information is stored . for this purpose , each designated central authority should distribute to the other member states an index - filter which includes , in pseudonymised form , the identification data of the third country nationals convicted in its member state . the personal data related to the information in the index should be pseudonymised in such a way that the data subject is not identifiable . the receiving member state may then match these data with their own information on a ‘ hit’ / ‘ no hit’ basis , thus finding out whether or not criminal record information is available in other member states and , in case of a ‘ hit’ , in which member states . the receiving member state should then follow up a ‘ hit’ using the ecris framework . with respect to third country nationals who also hold the nationality of a member state , the information included in the index should be limited to information available as regards nationals of member states .


### the ecris legal framework , however , does not sufficiently cover the particularities of requests concerning third country nationals . although it is now possible to exchange information on third country nationals through ecris , there is no procedure or mechanism in place to do so efficiently . ### the existing ecris legal framework , however , does not sufficiently cover the particularities of requests concerning third country nationals . although it is now possible to exchange information on third country nationals through ecris , there is no common or european - wide procedure or mechanism in place to do so efficiently .


### the obligations of member states as regards convictions of third country nationals should also include fingerprints to secure identification . this obligation includes to store information , including fingerprints , to reply to requests on information from other central authorities , to ensure that a criminal record extract requested by a third country national is supplemented as appropriate with information from other member states , and to make the technical changes to apply state - of - the - art technologies necessary to make the information exchange system work . ### the obligations of member states as regards convictions of third country nationals should also include an obligation to take , store and exchange fingerprints to secure identification . this obligation includes storing information , including fingerprints ; replying fully and effectively to requests on information from other central authorities ; ensuring that a criminal record extract requested by a third country national is supplemented as appropriate with information from other member states , to provide a complete picture of a person’s previous criminal convictions ; making the technical changes to apply state - of - the - art technologies necessary to make the information exchange system work ; and ensuring the highest levels of data protection and security .


### in order to compensate the lack of a single member state where information on a particular third country national is stored , decentralised information technology should enable the central authorities of the member states to find out in which other member state criminal record information is stored . for this purpose , each central authority should distribute to the other member states an index - filter which includes , in an anonymised form , the identification data of the third country nationals convicted in its member state . the personal data should be rendered anonymous in such a way that the data subject is not identifiable . the receiving member state may then match these data with their own information on a ‘ hit’ / ‘ no hit’ basis , thus finding out whether or not criminal record information is available in other member states and , in case of a ‘ hit’ , in which member states . the receiving member state should then follow up a ‘ hit’ using the ecris framework . with respect to third country nationals who also hold the nationality of a member state , the information included in the index should be limited to information available as regards nationals of member states . ### in order to compensate the lack of a single member state being directly responsible for the storage of information on each particular convicted third country national , a decentralised information technology system should enable the central authorities of the member states to find out which other member state has criminal record information on this particular third country national . for this purpose , each designated central authority should distribute to the other member states an index - filter which includes , in a pseudonymised form , the identification data of the third country nationals convicted in its member state . the personal data should be pseudonymised in such a way that the data subject is not directly identifiable . the convicting member state may then match these data with their own information , thus finding out whether a particular third country national has already been convicted in other member states . given the fact that in the case of third country nationals there is no member state of nationality , it is appropriate to consider the possibility of establishing for third country nationals a centralised system which would be more efficient .


### such blanket requests impose an administrative burden on all member states , including those not holding information on the particular third country national . in practice , this negative effect deters member states from requesting information on third country nationals and leads to member states limiting the criminal record information on information stored in their national register . ### such blanket requests impose a disproportionate administrative burden on all member states , including those not holding information on the particular third country national . in practice , this negative effect deters member states from requesting information on third country nationals and leads to member states limiting the criminal record information on information stored in their national register . as a consequence , the risk of information exchanges between member states being inefficient and incomplete is increased , which in turn affects the level of security and safety provided to union citizens and persons residing within the union .


### with 1 . 8% of eu gdp , down from 2 . 2% in 2009 , infrastructure investment activities in the union in 2016 were about 20% below investment rates before the global financial crisis . thus , while a recovery in investment - to - gdp ratios in the union can be observed , it remains below what might be expected in a strong recovery period and is insufficient to compensate years of underinvestment . more importantly , the current investment levels and forecasts do not cover the union ' s structural investment needs in the face of technological change and global competitiveness , including for innovation , skills , infrastructure , small and medium - sized enterprises and the need to address key societal challenges such as sustainability or population ageing . consequently , continued support is necessary to address market failures and sub - optimal investment situations to reduce the investment gap in targeted sectors to achieve the union ' s policy objectives . ### with 1 . 8% of eu gdp , down from 2 . 2% in 2009 , infrastructure investment activities in the union in 2016 were about 20% below investment rates before the global financial crisis . thus , while a recovery in investment - to - gdp ratios in the union can be observed , it remains below what might be expected in a strong recovery period and is insufficient to compensate years of underinvestment . more importantly , the current investment levels and forecasts do not cover the union ' s structural investment needs in the face of technological change and global competitiveness , including for innovation , education , skills , infrastructure , small and medium - sized enterprises and the need to address key societal challenges such as sustainability , demographic change or the brain drain , especially among young people . consequently , continued support is necessary to address market failures and sub - optimal investment situations to reduce the investment gap in targeted sectors to achieve the union ' s policy objectives .


### as set out in the reflection paper on the social dimension of europe16and the european pillar of social rights17 , building a more inclusive and fairer union is a key priority for the union to tackle inequality and foster social inclusion policies in europe . inequality of opportunities affects in particular access to education , training and health . investment in the social , skills and human capital - related economy , as well as in the integration of vulnerable populations in the society , can enhance economic opportunities , especially if coordinated at union level . the investeu fund should be used to support investment in education and training , help increase employment , in particular among the unskilled and long - term unemployed , and improve the situation with regard to intergenerational solidarity , the health sector , homelessness , digital inclusiveness , community development , the role and place of young people in society as well as vulnerable people , including third country nationals . the investeu programme should also contribute to the support of european culture and creativity . to counter the profound transformations of societies in the union and of the labour market in the coming decade , it is necessary to invest in human capital , microfinance , social enterprise finance and new social economy business models , including social impact investment and social outcomes contracting . the investeu programme should strengthen nascent social market eco - system , increasing the supply of and access to finance to micro - and social enterprises , to meet the demand of those who need it the most . the report of the high - level task - force on investing in social infrastructure in europe18has identified investment gaps in social infrastructure and services , including for education , training , health and housing , which call for support , including at the union level . therefore , the collective power of public , commercial and philanthropic capital , as well as support from foundations , should be harnessed to support the social market value chain development and a more resilient union . _________________ 16 com 206 . 17 com 250 . 18 published as european economy discussion paper 074 in january 2018 . ### as set out in the reflection paper on the social dimension of europe16 and the european pillar of social rights17 , building a more inclusive and fairer union is a key priority for the union to tackle inequality and foster social inclusion policies in europe . inequality of opportunities affects in particular access to education , training , health , culture and cultural heritage . investment in the social , skills and human capital - related economy , as well as in the integration of vulnerable populations , and in particular persons with a disability , in society , can enhance economic opportunities , especially if coordinated at union level . the investeu fund should be used to support investment in education and training , help increase employment , in particular among the unskilled and long - term unemployed , and improve the situation with regard to intergenerational solidarity , the health sector , homelessness , digital inclusiveness , community development , the role and place of young people in society as well as vulnerable people , including persons with a disability and third country nationals . the investeu programme should also contribute to the support of european culture and creativity . to counter the profound transformations of societies in the union and of the labour market in the coming decade , it is necessary to invest in human capital , microfinance , social enterprise finance and new social economy business models , including social impact investment and social outcomes contracting . the investeu programme should strengthen the nascent social market eco - system , increasing the supply of and access to finance to micro - and social enterprises , to meet the demand of those who need it the most . the report of the high - level task - force on investing in social infrastructure in europe18 has identified investment gaps in social infrastructure and services , including for education , training , health and housing , which call for support , including at the union level . therefore , the collective power of public , commercial and philanthropic capital , as well as support from foundations , should be harnessed to support the social market value chain development and a more resilient union . _________________ 16 com 206 final . 17 com 250 final . 18 published as european economy discussion paper 074 in january 2018


### to increase the access to and the availability of microfinance and finance to social enterprises , support financing and investment operations related to social investment and skills and develop and consolidate social investment markets , in the areas referred to in point of article 7 . ### to increase the access to and the availability of microfinance and finance to social enterprises , educational institutions , training centres , the cultural and creative sector , sport , support financing and investment operations related to social investment , investment in culture and sport and skills and the development of competences and develop and consolidate social investment markets , in the areas referred to in point of article 7 .


### a significant effort is urgently needed to invest in digital transformation and to distribute the benefits of it to all union citizens and businesses . the strong policy framework of the digital single market strategy should now be matched by investment of a similar ambition , including in artificial intelligence . ### a significant effort is urgently needed to invest in digital transformation , to promote digital skills and combat the inter - generational gap in order to maximise the distribution of the benefits thereof to all union citizens and businesses . the strong policy framework of the digital single market strategy should now be matched by investment of a similar ambition , including in artificial intelligence .


### as set out in the reflection paper on the social dimension of europe16and the european pillar of social rights17 , building a more inclusive and fairer union is a key priority for the union to tackle inequality and foster social inclusion policies in europe . inequality of opportunities affects in particular access to education , training and health . investment in the social , skills and human capital - related economy , as well as in the integration of vulnerable populations in the society , can enhance economic opportunities , especially if coordinated at union level . the investeu fund should be used to support investment in education and training , help increase employment , in particular among the unskilled and long - term unemployed , and improve the situation with regard to intergenerational solidarity , the health sector , homelessness , digital inclusiveness , community development , the role and place of young people in society as well as vulnerable people , including third country nationals . the investeu programme should also contribute to the support of european culture and creativity . to counter the profound transformations of societies in the union and of the labour market in the coming decade , it is necessary to invest in human capital , microfinance , social enterprise finance and new social economy business models , including social impact investment and social outcomes contracting . the investeu programme should strengthen nascent social market eco - system , increasing the supply of and access to finance to micro - and social enterprises , to meet the demand of those who need it the most . the report of the high - level task - force on investing in social infrastructure in europe18has identified investment gaps in social infrastructure and services , including for education , training , health and housing , which call for support , including at the union level . therefore , the collective power of public , commercial and philanthropic capital , as well as support from foundations , should be harnessed to support the social market value chain development and a more resilient union . _________________ 16 com 206 . 17 com 250 . 18 published as european economy discussion paper 074 in january 2018 . ### as set out in the reflection paper on the social dimension of europe16 and the european pillar of social rights17 , building a more inclusive and fairer union is a key priority for the union to tackle inequality and foster social inclusion policies in europe . inequality of opportunities affects in particular access to education , training and health . investment in the social , skills and human capital - related economy , as well as in the integration of vulnerable populations in the society and support for the younger generation , can enhance economic opportunities , especially if coordinated at union level . the investeu fund should be used to support investment in education and training , help increase employment , in particular among the unskilled and long - term unemployed , and improve the situation with regard to intergenerational solidarity , the health sector , homelessness , digital inclusiveness , community development , the role and place of young people in society , especially those not in education , employment or training , as well as vulnerable people , including third country nationals . the investeu programme should also contribute to the support of european culture and creativity as well as grassroots sport that is a lever for social and economic development . to counter the profound transformations of societies in the union and of the labour market in the coming decade , it is necessary to invest in human capital , microfinance and the financing of social enterprises , educational institutions , cultural and creative sector businesses , sports organisations as well as in new social economy business models , including social impact investment and social outcomes contracting . the investeu programme should strengthen nascent social market eco - system , increasing the supply of and access to finance to micro - and social enterprises , to meet the demand of those who need it the most . the report of the high - level task - force on investing in social infrastructure in europe18 has identified investment gaps in social infrastructure and services , including for education , training , health , housing , culture and sport which call for support , including at the union level . therefore , the collective power of public , commercial and philanthropic capital , as well as support from foundations , should be harnessed to support the social market value chain development and a more resilient union . _________________ 16 com 206 . 17 com 250 . 18 published as european economy discussion paper 074 in january 2018 .


### the investeu fund should support investments in tangible and intangible assets to foster growth , investment and employment , and thereby contributing to improved well - being and fairer income distribution in the union . intervention through the investeu fund should complement union support delivered through grants . ### the investeu fund should support investments in tangible and intangible assets to foster growth , investment , employment , education and skills and thereby contributing to improved well - being and fairer income distribution in the union . intervention through the investeu fund should complement union support delivered through grants .


### social investment and skills policy window : comprises microfinance , social enterprise finance and social economy ; skills , education , training and related services ; social infrastructure ; social innovation ; health and long - term care ; inclusion and accessibility ; cultural activities with a social goal ; integration of vulnerable people , including third country nationals . ### social investment and skills policy window : comprises microfinance , social enterprise finance and social economy ; skills , education , training and related services ; social infrastructure ; social innovation ; health and long - term care ; inclusion and accessibility ; cultural and sports activities with a social goal ; actions relating to young people , especially those not in education , employment or training ; integration of vulnerable people , including third country nationals .


### as set out in the reflection paper on the social dimension of europe16and the european pillar of social rights17 , building a more inclusive and fairer union is a key priority for the union to tackle inequality and foster social inclusion policies in europe . inequality of opportunities affects in particular access to education , training and health . investment in the social , skills and human capital - related economy , as well as in the integration of vulnerable populations in the society , can enhance economic opportunities , especially if coordinated at union level . the investeu fund should be used to support investment in education and training , help increase employment , in particular among the unskilled and long - term unemployed , and improve the situation with regard to intergenerational solidarity , the health sector , homelessness , digital inclusiveness , community development , the role and place of young people in society as well as vulnerable people , including third country nationals . the investeu programme should also contribute to the support of european culture and creativity . to counter the profound transformations of societies in the union and of the labour market in the coming decade , it is necessary to invest in human capital , microfinance , social enterprise finance and new social economy business models , including social impact investment and social outcomes contracting . the investeu programme should strengthen nascent social market eco - system , increasing the supply of and access to finance to micro - and social enterprises , to meet the demand of those who need it the most . the report of the high - level task - force on investing in social infrastructure in europe18has identified investment gaps in social infrastructure and services , including for education , training , health and housing , which call for support , including at the union level . therefore , the collective power of public , commercial and philanthropic capital , as well as support from foundations , should be harnessed to support the social market value chain development and a more resilient union . _________________ 16 com 206 . 17 com 250 . 18 published as european economy discussion paper 074 in january 2018 . ### as set out in the reflection paper on the social dimension of europe16 and the european pillar of social rights17 , building a more inclusive and fairer union is a key priority for the union to tackle inequality and foster social inclusion policies in europe . inequality of opportunities affects in particular access to education , training , culture and health . investment in the social , skills and human capital - related economy , as well as in the integration of vulnerable populations in the society , can enhance economic opportunities , especially if coordinated at union level . the investeu fund should be used to support investment in education and training , help increase employment , in particular among the unskilled and long - term unemployed , and improve the situation with regard to intergenerational solidarity , the health sector , homelessness , digital inclusiveness , community development , the role and place of young people in society as well as vulnerable people , including third country nationals . the investeu programme should also contribute to the support of european culture and creativity . to counter the profound transformations of societies in the union and of the labour market in the coming decade , it is necessary to invest in human capital , microfinance , social enterprise finance and new social economy business models , including social impact investment and social outcomes contracting . the investeu programme should strengthen the nascent social market eco - system , increasing the supply of and access to finance to micro - and social enterprises , to meet the demand of those who need it the most . the report of the high - level task - force on investing in social infrastructure in europe18 has identified investment gaps in social infrastructure and services , including for education , training , health and housing , which call for support , including at the union level . therefore , the collective power of public , commercial and philanthropic capital , as well as support from foundations , should be harnessed to support the social market value chain development and a more resilient union . _________________ 16 com 206 final . 17 com 250 final . 18 published as european economy discussion paper 074 in january 2018 .


### the efsi , implemented and co - sponsored by the eib group , is firmly on track to deliver the objective of mobilising at least eur 315 billion in additional investments in the real economy by mid - 2018 . the market absorption has been particularly quick under the sme window where the efsi is delivering well beyond expectations . in july 2016 the sme window was thus scaled - up by eur 500 million within the existing parameters of regulation no 2015 / 1017 . a larger share of financing to be geared towards smes given the exceptional market demand for sme financing under the efsi : 40% of the increased risk bearing capacity of the efsi should be geared towards increasing access to financing for smes . ### the efsi , implemented and co - sponsored by the eib group , is on track in terms of approved operations to deliver the objective of mobilising at least eur 315 billion in additional investments in the real economy by mid - 2018 , however it is lagging behind in terms of signed operations as well as disbursements according to the eib’s operation evaluation of its functioning , that covered the period up to june 30 2016 . the market response and adoption has been particularly quick under the sme window where the efsi is delivering according to expectations due to the fact that it used existing eif mandates to have an accelerated kick start . in july 2016 the sme window was thus scaled - up by eur 500 million within the existing parameters of regulation no 2015 / 1017 . a larger share of financing to be geared towards smes given the exceptional market demand for sme financing under the efsi as well as due to the generally higher multipliers achieved through eif operations : 40% of the increased risk bearing capacity of the efsi should be geared towards increasing access to financing for smes .


### the eib shall target that at least 40 % of efsi financing under the infrastructure and innovation window supports projects with components that contribute to climate action , in line with the cop21 commitments . the steering board shall provide detailed guidance to that end . ### whilst recognizing the demand driven nature of efsi , the eib shall aim that at least 40% of efsi financing in the combined objectives under the infrastructure and innovation window contributes to climate action in line with the cop21 commitments . efsi financing for smes and mid - cap companies shall not be included in that computation .


### on 28 june 2016 , the european council concluded that “the investment plan for europe , in particular the european fund for strategic investments , has already delivered concrete results and is a major step to help mobilise private investment while making smart use of scarce budgetary resources . the commission intends to soon put forward proposals on the future of the efsi , which should be examined as a matter of urgency by the european parliament and the council . ” ### on 28 june 2016 , the european council concluded that “the investment plan for europe , in particular the european fund for strategic investments , has already delivered concrete results and is a major step to help mobilise private investment while making smart use of scarce budgetary resources . until june 30 2016 , under the infrastructure and innovation window , 63% of the total amount signed was in the united kingdom , italy and spain and 91% in eu15 countries . under the sme window , 54% of the amount signed was in italy , france and germany and 93% in eu15 countries . in order to improve balance of efsi support , member states should designate and support national promotional banks , whereas the eib should further deploy region specific specialised task force groups and the eiah should facilitate the combination of esi funds with efsi in cohesion regions .


### in order to reinforce the take - up of the efsi in less - developed and transition regions , the scope of the general objectives eligible for efsi support should be enlarged . ### in order to reinforce the take - up of the efsi in less - developed and transition regions and in regions that are not within the european average in terms of gdp growth , the scope of the general objectives eligible for efsi support should be enlarged .


### the eib shall target that at least 40 % of efsi financing under the infrastructure and innovation window supports projects with components that contribute to climate action , in line with the cop21 commitments . the steering board shall provide detailed guidance to that end . ### whilst recognizing the demand driven nature of efsi , the eib shall that at least 40 % of efsi financing in the combined objectives under the infrastructure and innovation window contributes to climate action in line with the cop21 commitments . efsi financing for smes and mid - cap companies shall not be included in the computation .


### to better address market failures or sub - optimal investment situations , eib special activities supported by the efsi shall typically have features such as subordination , participation in risk - sharing instruments , cross - border characteristics , exposure to specific risks or other identifiable aspects as further described in annex ii . ### to better address economic and financial inefficiencies , including market failures , sub - optimal investment situations , discrepancies in the investment capacity of the member states as reflected in diverse risk premiums , leveraging frictions or weak investment multipliers , and including also complicated multinational and cross border projects , and lack of risk - taking , especially in research , innovation , new technologies as well as in new and traditional infrastructures , eib ' s special activities supported by the efsi shall typically have features such as subordination , participation in risk - sharing instruments , as well as first - loss guarantees , cross - border characteristics , exposure to specific risks or other identifiable aspects as further described in annex ii .