### ‘ decisions approving the use of the eu guarantee shall be public and accessible , and include the rationale for the decision , with particular focus on compliance with the additionality criterion . the publication shall not contain commercially sensitive information . in reaching its decision , the investment committee shall be supported by the documentation provided by the eib . ’ ; ### ‘ decisions approving the use of the eu guarantee shall be published and accessible through detailed minutes , and include the rationale for the decision , with particular focus on compliance with the additionality criterion . the scoreboard referred to in paragraph 14 shall function as a means for prioritising investment in order to maximise the aggregate score over the efsi portfolio and shall be publicly available after the evaluation of projects applying for the use of the eu guarantee . the publication shall not contain commercially sensitive information . in reaching its decision , the investment committee shall be supported by the documentation provided by the eib . the eib shall submit twice a year to the european parliament , the council and the commission a list of all decisions of the investment committee rejecting the use of the eu guarantee as well as subject to strict confidentiality requirements . ’


### it shall also support the preparation of climate action and circular economy projects or components thereof , in particular in the context of cop21 , the preparation of projects in the digital sector , as well as the preparation of projects referred to in the fifth subparagraph of article 5 . ### it shall also support the preparation of climate action and circular economy projects or components thereof , in particular in the context of cop21 , the preparation of projects in the digital sector , in the development of projects tackling poverty and social exclusion , as well as the preparation of projects referred to in the fifth subparagraph of article 5 . ’


### the eib and eif shall inform or shall oblige financial intermediaries to inform the final beneficiaries , including smes , of the existence of efsi support . ### the projects selected for potential use of the efsi guarantee shall also be notified as such on the eib website before the investment committee ' s decision . the eib and eif shall inform or shall oblige financial intermediaries to inform the final beneficiaries , including smes , of the existence of efsi support . financial intermediaries shall carry out active communication campaigns to potential beneficiaries of the existing eu resources managed by them , the conditions offered and how can they access to them .


### the united nations convention of 10 december 1982 on the law of the sea16 , to which the union is a contracting party , provides for conservation obligations , including the maintaining or restoring populations of harvested species at levels which can produce the maximum sustainable yield . __________________ 16 oj l 179 , 23 . 6 . 1998 , p . 3 ### the united nations convention of 10 december 1982 on the law of the sea16 , to which the union is a contracting party , provides for conservation obligations , including the maintaining or restoring populations of harvested species at levels which can produce the maximum sustainable yield , as qualified by relevant environmental and economic factors . __________________ 16 oj l 179 , 23 . 6 . 1998 , p . 3


### article 16 of regulation no 1380 / 2013 requires that fishing opportunities be fixed in accordance with the targets set out in the multiannual plans . ### article 16 of regulation no 1380 / 2013 requires that fishing opportunities be fixed in accordance with the targets set out in the multiannual plans . the levels to be achieved in terms of mortality by fishery and biomass ought to take account of the most up - to date scientific advice .


### these targets should therefore be established and expressed in terms of fishing mortality rates , based on scientific advice19 . __________________ 19 ices technical services , september 2014 http : / / www . ices . dk / sites / pub / publication%20reports / advice / 2014 / special%20requests / eu_fmsy_range_for_baltic_cod_and_pelagic_stocks . pdf ### these targets should therefore be established and expressed in terms of fishing mortality rates that would restore and maintain stocks above levels capable of producing maximum sustainable yield , based on scientific advice19 . __________________ 19 ices technical services , september 2014 http : / / www . ices . dk / sites / pub / publication%20reports / advice / 2014 / special%20requests / eu_fmsy_range_for_baltic_cod_and_pelagic_stocks . pdf


### it is necessary to establish conservation reference points to allow for additional precaution when a stock size is reduced to certain critical level posing serious risk . such conservation reference points should be determined at levels of minimum spawning biomass of a stock that is consistent with full reproductive capacity . remedial measures should be envisaged in case the stock size falls below minimum spawning biomass . ### it is necessary to establish conservation reference points to allow for additional precaution when a stock size is reduced to certain critical level posing serious risk . such conservation reference points should be determined at levels of minimum spawning biomass of a stock that is consistent with full reproductive capacity . remedial measures should be envisaged in order to prevent the stock size from falling below minimum spawning biomass .


### ‘ trapnet’ means large nets , anchored , fixed on stakes or occasionally floating , open at the surface and provided with various types of fish herding and retaining devices , and which are generally divided into chambers closed at the bottom by netting ; ### ‘ trapnet’ means nets , anchored , fixed on stakes or occasionally floating , provided with various types of fish herding and retaining devices , and which are generally divided into chambers closed at the bottom by netting ;


### ‘ pots and creels’ mean small traps designed to catch crustaceans or fish in the form of cages or baskets made with various materials that are set on the seabed either singly or in rows ; connected by ropes to buoys on the surface showing their position and having one or more openings or entrances ; ### ‘ pots and creels’ mean traps designed to catch crustaceans or fish in the form of cages or baskets made with various materials that are set on the seabed either singly or in rows ; connected by ropes to buoys on the surface showing their position and having one or more openings or entrances ;


### minimum spawning biomass ### safeguards and minimum spawning biomass


### measures in case of threat to plaice , flounder , turbot and brill ### measures in case of threat to plaice , flounder , turbot and brill and other incidental catches


### by way of derogation from article 15 of regulation no 1380 / 2013 the landing obligation shall not apply to the stocks concerned and plaice when fishing with the following gears : trapnets , pots and creels . ### by way of derogation from article 15 of regulation no 1380 / 2013 the landing obligation shall not apply to cod when fishing with the following gears : trapnets , pots and creels .


### the measures referred to in paragraph 1 shall aim at achieving the objectives set out in article 3 and in particular the protection of juveniles or spawning fish . ### the measures referred to in paragraph 1 shall aim at achieving the objectives set out in article 3 and in particular the protection of juveniles and spawning fish and minimizing the incidental capture of seabirds and marine mammals .


### member states concerned may submit joint recommendations in accordance with article 18 of regulation no 1380 / 2013 within the following deadlines : ### member states concerned shall every three years submit joint recommendations in accordance with article 18 of regulation no 1380 / 2013 within the following deadlines :


### the commission shall ensure an evaluation of the impact of this plan on the stocks covered by this regulation and on the fisheries exploiting those stocks , in particular to take account of changes in scientific advice , six years after the entry into force of the plan and , thereafter , every six years . the commission shall submit the results of these evaluations to the european parliament and council . ### the commission shall carry out an evaluation of the impact of this plan on the stocks covered by this regulation and on the fisheries exploiting those stocks , in particular to take account of the most recent scientific advice , three years after the entry into force of the plan and , thereafter , every three years . the commission shall submit the results of these evaluations to the european parliament and council and take the appropriate initiatives in accordance also with the regionalization principle .


### the guarantee fund is endowed by one annual payment from the general budget of the union , by interest on guarantee fund resources invested and by amounts recovered from defaulting debtors . ### the guarantee fund is endowed by one annual payment from the general budget of the union which cannot go to the detriment of existing activities under heading iv , by interest on guarantee fund resources invested and by amounts recovered from defaulting debtors .


### the monitoring of the progress towards the goals set by the europe 2020 strategy at member state and union level requires harmonised statistics for the union economy regarding research and development , innovation , the information society covering both market and non - market activities and on the business landscape as a whole , in particular on business demography and employment related to market activities . such information allows decision makers to take informed policy decisions in order to develop an economy based on knowledge and innovation , to improve access to the single market for small and medium sized enterprises , develop entrepreneurship and improve competitiveness . ### the monitoring of the progress towards the goals set by the europe 2020 strategy at member state and union level requires harmonized statistics for the union economy regarding climate change and resource efficiency , research and development , innovation , the information society covering both market and non - market activities and on the business landscape as a whole , in particular on business demography and employment related to market activities . such information allows decision makers to take informed policy decisions in order to develop an economy based on knowledge and innovation , to improve access to the single market for small and medium sized enterprises , develop entrepreneurship and improve sustainability and competitiveness .


### statistics on innovation , research and development activities are needed for the development and monitoring of policies that aim to strengthen the competitiveness of member states and increase their medium and long term potential for smart growth and employment . an expanding digital economy and the increased use of information and communication technologies are also among the important drivers of competitiveness and growth in the union , and statistical data are needed to support the related strategies and policies . ### statistics on the circular economy , the sustainable development goals , innovation , research and development activities are needed for the development and monitoring of policies that aim to strengthen the competitiveness and sustainability performance of member states and increase their medium and long term potential for smart growth and employment . an expanding digital economy and the increased use of information and communication technologies are also among the important drivers of competitiveness and growth in the union , and statistical data are needed to support the related strategies and policies .


### administrative records , including information from tax and customs authorities ; ### administrative records , including information from tax and customs authorities such as annual financial statements ;


### the commission shall be empowered to adopt delegated acts in accordance with article 21 for the purpose of amending the detailed topics specified in annex i and for the purpose of specifying subjects and characteristics covered by the detailed topics of innovation and ict usage and e - commerce and global value chains . ### the commission shall be empowered to adopt delegated acts in accordance with article 21 for the purpose of amending the detailed topics specified in annex i and for the purpose of specifying subjects and characteristics covered by the detailed topics of innovation and ict usage and e - commerce , the circular economy , global value chains .


### without prejudice to chapter v , public sector bodies and public undertakings shall make their documents available in any pre - existing format or language , and , where possible and appropriate , in open and machine - readable format together with their metadata . both the format and the metadata shall , where possible , comply with formal open standards . ### without prejudice to chapter v , public sector bodies and public undertakings shall make their documents available , interoperable , readily findable , re - usable by electronic means , in any pre - existing format or language , and , where possible and appropriate , in open and machine - readable format together with their metadata . both the format and the metadata shall , where possible , comply with formal open standards .


### 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 , 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 and coordination failures and sub - optimal investment situations to reduce the investment gap in targeted sectors to achieve the union ' s policy objectives . in that regard , the primary aim of the investeu programme should be to support otherwise difficult to fund projects that provide european citizens with long - term environmental and societal benefits , such as high quality long - term jobs and public infrastructure . it is therefore of high priority to identify and support projects that provide this genuine additionality and quality .


### 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 and employment , and thereby contributing to improved well - being and fairer income distribution in the union . investeu funded projects must meet social and environmental standards , such as the respect for labour rights and climate - friendly energy usage and waste management . intervention through the investeu fund should complement union support delivered through grants .


### the union endorsed the objectives set out in the united nations agenda 2030 and its sustainable development goals and the paris agreement in 2015 as well as the sendai framework for disaster risk reduction 2015 - 2030 . to achieve the agreed objectives , including those embedded in the environmental policies of the union , action pursuing sustainable development is to be stepped up significantly . therefore , the principles of sustainable development should feature prominently in the design of the investeu fund . ### the union endorsed the objectives set out in the united nations agenda 2030 and its sustainable development goals and the paris agreement in 2015 as well as the sendai framework for disaster risk reduction 2015 - 2030 . to achieve the agreed objectives , including those embedded in the environmental policies of the union , action pursuing sustainable development is to be stepped up significantly . therefore , the principles of sustainable development , resilience to climate change , safety and climate - proofing should be the basis of the design of the investeu fund . to this aim , fossil fuel infrastructure and nuclear installations in the power sector will not be entitled to funding .


### reflecting the importance of tackling climate change in line with the union ' s commitments to implement the paris agreement and the united nations sustainable development goals , the investeu programme will contribute to mainstream climate actions and to the achievement of an overall target of 25 % of the union budget expenditures supporting climate objectives . actions under the investeu programme are expected to contribute 30 % of the overall financial envelope of the investeu programme to climate objectives . relevant actions will be identified during the investeu programme ' s preparation and implementation and reassessed in the context of the relevant evaluations and review processes . ### reflecting the importance of tackling climate change in line with the union ' s climate related long - term objectives and remaining carbon budget , the union ' s commitments to implement the paris agreement and the united nations sustainable development goals , the investeu programme will contribute to mainstream climate actions and to achieve an overall target of 50 % of the union budget expenditures supporting climate objectives . actions under the investeu programme are expected to contribute at least 60% of the overall financial envelope of the investeu programme to climate objectives . relevant actions will be identified during the investeu programme ' s preparation and implementation and reassessed in the context of the relevant evaluations and review processes . climate mainstreaming and climate proofing mechanisms should be unified by reforming , expanding and centralising the rio market system , in order to differentiate between mitigation and adaptation , and between sectors ; and by ' energy efficiency first ' assessments during infrastructure investment planning , as set out in the regulation on the governance of the energy union , as well as clear exclusion criteria .


### according to the 2018 global risks report issued by the world economic forum , half of the ten most critical risks threatening the global economy relate to the environment . such risks include air , soil and water pollution , extreme weather events , biodiversity losses and failures of climate - change mitigation and adaptation . environmental principles are strongly embedded in the treaties and many of the union ' s policies . therefore , the mainstreaming of environmental objectives should be promoted in the investeu fund related operations . environmental protection and related risk prevention and management should be integrated in the preparation and implementation of investments . the eu should also track its biodiversity - related and air pollution control - related expenditure in order to fulfil the reporting obligations under the convention on biological diversity and directive 2016 / 2284 of the european parliament and of the council15 investment allocated to environmentally sustainability objectives should therefore be tracked using common methodologies coherent with that developed under other union programmes applying to climate , biodiversity and air pollution management in order to allow assessing the individual and combined impact of investments on the key components of the natural capital , including air , water , land and biodiversity . ### according to the 2018 global risks report issued by the world economic forum , half of the ten most critical risks threatening the global economy relate to the environment . such risks include air , soil and water pollution , extreme weather events , biodiversity losses and failures of climate - change mitigation and adaptation . environmental principles are strongly embedded in the treaties and many of the union ' s policies . therefore , the mainstreaming of environmental objectives should be promoted in the investeu fund related operations . environmental protection and related risk prevention and management should be integrated in the preparation and implementation of investments . the eu should also track its biodiversity - related and air pollution control - related expenditure in order to fulfil the reporting obligations under the convention on biological diversity and directive 2016 / 2284 of the european parliament and of the council15 all investment should therefore be tracked using common methodologies coherent with that developed under other union programmes applying to climate , biodiversity and air pollution management in order to allow assessing the individual and combined impact of investments on the key components of the natural capital , including air , water , land , soil and biodiversity .


### according to the 2018 global risks report issued by the world economic forum , half of the ten most critical risks threatening the global economy relate to the environment . such risks include air , soil and water pollution , extreme weather events , biodiversity losses and failures of climate - change mitigation and adaptation . environmental principles are strongly embedded in the treaties and many of the union ' s policies . therefore , the mainstreaming of environmental objectives should be promoted in the investeu fund related operations . environmental protection and related risk prevention and management should be integrated in the preparation and implementation of investments . the eu should also track its biodiversity - related and air pollution control - related expenditure in order to fulfil the reporting obligations under the convention on biological diversity and directive 2016 / 2284 of the european parliament and of the council15 investment allocated to environmentally sustainability objectives should therefore be tracked using common methodologies coherent with that developed under other union programmes applying to climate , biodiversity and air pollution management in order to allow assessing the individual and combined impact of investments on the key components of the natural capital , including air , water , land and biodiversity . _________________ 15 directive 2016 / 2284 of the european parliament and of the council of 14 december 2016 on the reduction of national emissions of certain atmospheric pollutants , amending directive 2003 / 35 / ec and repealing directive 2001 / 81 / ec . ### according to the 2018 global risks report issued by the world economic forum , half of the ten most critical risks threatening the global economy relate to the environment . such risks include air , soil and water pollution , extreme weather events , biodiversity losses and failures of climate - change mitigation and adaptation . environmental principles are strongly embedded in the treaties and many of the union ' s policies . therefore , the mainstreaming of environmental objectives should be promoted in the investeu fund related operations . environmental protection , education and training to assess one ' s own environmental impacts and related risk prevention and management should be integrated in the preparation and implementation of investments . the eu should also track its biodiversity - related and air pollution control - related expenditure in order to fulfil the reporting obligations under the convention on biological diversity and directive 2016 / 2284 of the european parliament and of the council15 investment allocated to environmentally sustainability objectives should therefore be tracked using common methodologies coherent with that developed under other union programmes applying to climate , biodiversity and air pollution management in order to allow assessing the individual and combined impact of investments on the key components of the natural capital , including air , water , land and biodiversity . _________________ 15 directive 2016 / 2284 of the european parliament and of the council of 14 december 2016 on the reduction of national emissions of certain atmospheric pollutants , amending directive 2003 / 35 / ec and repealing directive 2001 / 81 / ec .


### low infrastructure investment rates in the union during the financial crisis undermined the union ' s ability to boost sustainable growth , competitiveness and convergence . sizeable investments in the european infrastructure are fundamental to meet the union ' s sustainability targets , including the 2030 energy and climate targets . accordingly , support from the investeu fund should target investments into transport , energy , including energy efficiency and renewable energy , environmental , climate action , maritime and digital infrastructure . to maximise the impact and the value added of union financing support , it is appropriate to promote a streamlined investment process enabling visibility of the project pipeline and consistency across relevant union programmes . bearing in mind security threats , investment projects receiving union support should take into account principles for the protection of citizens in public spaces . this should be complementary to the efforts made by other union funds such as the european regional development fund providing support for security components of investments in public spaces , transport , energy and other critical infrastructure . ### low infrastructure investment rates in the union during the financial crisis undermined the union ' s ability to boost sustainable and inclusive growth , competitiveness and convergence . sizeable investments in the european infrastructure , notably interconnection and energy efficiency , are fundamental to meet the union ' s sustainability targets , including the union ' s commitments towards the sdgs , the 2030 energy and climate targets . accordingly , support from the investeu fund should target investments into sustainable development - compatible projects in the field of transport , energy , including energy efficiency and renewable energy , environmental , climate action , maritime and digital infrastructure . investeu should prioritise the most significantly under - invested areas that require the most additional investment to meet the union ' s sustainability targets , such as energy efficiency . to maximise the impact and the value added of union financing support , it is appropriate to promote a streamlined , climate proof investment process enabling visibility of the project pipeline and consistency across relevant union programmes .


### 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 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 ethical artificial intelligence . the latter should be subject to an ex - ante ethical impact assessment . this review should extend beyond the narrow confines of privacy and data protection and take into account the broader societal impacts of the underlying ai agenda . projects that raise substantial ethical and / or societal impact concerns should be subject to enhanced scrutiny and control and to ethical review .


### small and medium - sized enterprises play a crucial role in the union . however , they face challenges when accessing finance because of their perceived high risk and lack of sufficient collateral . additional challenges arise from smes ' need to stay competitive by engaging in digitisation , internationalisation and innovation activities and skilling up their workforce . moreover , compared to larger enterprises , they have access to a more limited set of financing sources : they typically do not issue bonds , have only limited access to stock exchanges or large institutional investors . the challenge in accessing finance is even greater for those smes whose activities focus on intangible assets . smes in the union rely heavily on banks and debt financing in the form of bank overdrafts , bank loans or leasing . supporting smes that face the above challenges and providing more diversified sources of funding is necessary for increasing the ability of smes to finance their creation , growth and development , withstand economic downturns , and for making the economy and the financial system more resilient during economic downturn or shocks . this is also complementary to the initiatives already undertaken in the context of the capital markets union . the investeu fund should provide an opportunity to focus on specific , more targeted financial products . ### small and medium - sized enterprises play a crucial role in the union . however , they face challenges when accessing finance because of their perceived high risk and lack of sufficient collateral . additional challenges arise from smes ' need to stay competitive by engaging in digitisation , internationalisation and innovation activities and skilling up their workforce . moreover , compared to larger enterprises , they have access to a more limited set of financing sources : they typically do not issue bonds , have only limited access to stock exchanges or large institutional investors . the challenge in accessing finance is even greater for those smes whose activities focus on intangible assets . smes in the union rely heavily on banks and debt financing in the form of bank overdrafts , bank loans or leasing . supporting smes that face the above challenges and providing more diversified sources of funding is necessary for increasing the ability of smes to finance their creation , growth and development , withstand economic downturns , and for making the economy and the financial system more resilient during economic downturn or shocks . this is also complementary to the initiatives already undertaken in the context of the capital markets union . the investeu fund should provide an opportunity to focus on specific , more targeted financial products . gender disparities also need to be addressed , as female creativity and entrepreneurial potential are an under - exploited source of growth and jobs that should be further developed . whereas women constitute 52% of the total european population , they represent only 34 . 4% of the eu self - employed and 30% of start - up entrepreneurs .


### small and medium - sized enterprises play a crucial role in the union . however , they face challenges when accessing finance because of their perceived high risk and lack of sufficient collateral . additional challenges arise from smes ' need to stay competitive by engaging in digitisation , internationalisation and innovation activities and skilling up their workforce . moreover , compared to larger enterprises , they have access to a more limited set of financing sources : they typically do not issue bonds , have only limited access to stock exchanges or large institutional investors . the challenge in accessing finance is even greater for those smes whose activities focus on intangible assets . smes in the union rely heavily on banks and debt financing in the form of bank overdrafts , bank loans or leasing . supporting smes that face the above challenges and providing more diversified sources of funding is necessary for increasing the ability of smes to finance their creation , growth and development , withstand economic downturns , and for making the economy and the financial system more resilient during economic downturn or shocks . this is also complementary to the initiatives already undertaken in the context of the capital markets union . the investeu fund should provide an opportunity to focus on specific , more targeted financial products . ### small and medium - sized enterprises represent over 99% of businesses in the union and their economic value is significant and crucial . however , they face challenges when accessing finance because of their perceived high risk and lack of sufficient collateral . gender disparities also need to be addressed , as female creativity and entrepreneurial potential are an under - exploited source of growth and jobs that should be further developed . additional challenges arise from smes ' need to stay competitive by engaging in digitisation , internationalisation and innovation activities and skilling up their workforce . moreover , compared to larger enterprises , they have access to a more limited set of financing sources : they typically do not issue bonds , have only limited access to stock exchanges or large institutional investors . the lack of access to capital for smes is exacerbated by the comparatively small european private equity industry , and the challenge in accessing finance is even greater for those smes whose activities focus on intangible assets . smes in the union rely heavily on banks and debt financing in the form of bank overdrafts , bank loans or leasing . supporting smes that face the above challenges by simplifying their access to finance and providing more diversified sources of funding is necessary for increasing the ability of smes to finance their creation , growth , innovation and sustainable development , ensure their competitiveness , withstand economic downturns , and for making the economy and the financial system more resilient during economic downturn or shocks . this is also complementary to the initiatives already undertaken in the context of the capital markets union . programmes such as cosme have been important for smes in the they have facilitated access to finance in all phases of their lifecycle , and this was added to by efsi for which there was a quick sme uptake . the investeu fund should therefore build on these successes and provide an opportunity to focus on specific , more targeted financial products .


### 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 , 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 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 . ### as set out in the reflection paper on the social dimension of europe16 , the european pillar of social rights17 , and the eu framework on the eu convention on the rights of persons with disabilities , 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 . given the significant need for investment into social infrastructure and projects in the fields of social services , healthcare services , education , care and social housing , 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 gender equality , equal opportunities , 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 and forms of employment that support work - life balance and better distribution of care responsibilities . 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 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 .


### 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 , 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 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 . 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 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 , as well as in maintenance and modernisation of educational facilities , including seismic retrofit and the elimination of architectural barriers , 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 , gender equality , 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 culture and creativity in europe , whereby cultural and creative industries are key - drivers for growth and do play a role traditionally at local and regional level , ensuring the socio - economic inclusion and allowing for an integrated sustainable urban regeneration . 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 , ensuring that it meets 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 investeu fund should be open to contributions from third countries that are members of the european free trade association , acceding countries , candidates and potential candidates , countries covered by the neighbourhood policy and other countries , in accordance with the conditions laid down between the union and those countries . this should allow continuing cooperating with the relevant countries , where appropriate , in particular in the fields of research and innovation as well as smes . ### the investeu fund should be open to contributions from third countries that are members of the european free trade association , acceding countries , candidates and potential candidates , countries covered by the neighbourhood policy and other countries , in accordance with the conditions laid down between the union and those countries . this should allow continuing cooperating with the relevant countries , where appropriate , in particular in the fields of research and innovation as well as smes . moreover , cooperation and support should be provided to decrease dependence on fossil fuels and increase access to affordable renewable energy , as well as to support access to science , technology and innovation in line with the sdgs .


### in selecting implementing partners for the deployment of the investeu fund , the commission should consider the counterpart ' s capacity to fulfil the objectives of the investeu fund and contribute its own resources , in order to ensure adequate geographical coverage and diversification , to crowd - in private investors and to provide sufficient risk diversification as well as new solutions to address market failures and sub - optimal investment situations . given its role under the treaties , its capacity to operate in all member states and the existing experience under the current financial instruments and the efsi , the european investment bank group should remain a privileged implementing partner under the investeu fund ' s eu compartment . in addition to the eib group , national promotional banks or institutions should be able to offer a complementary financial product range given that their experience and capabilities at regional level could be beneficial for the maximisation of the impact of public funds on the territory of the union . moreover , it should be possible to have other international financial institutions as implementing partners , in particular when they present a comparative advantage in terms of specific expertise and experience in certain member states . it should also be possible for other entities fulfilling the criteria laid down in the financial regulation to act as implementing partners . ### in selecting implementing partners for the deployment of the investeu fund , the commission should consider the counterpart ' s capacity to fulfil the objectives of the investeu fund and contribute its own resources , in order to ensure adequate geographical coverage and diversification , to crowd - in private investors and to provide sufficient risk diversification as well as new solutions to address market and coordination failures and sub - optimal investment situations . given its role under the treaties , its capacity to operate in all member states and the existing experience under the current financial instruments and the efsi , the european investment bank group should remain a privileged implementing partner under the investeu fund ' s eu compartment . in addition to the eib group , national promotional banks or institutions should be able to offer a complementary financial product range given that their experience and capabilities at regional level could be beneficial for the maximisation of the impact of public funds on the territory of the union and to ensure a fair geographical balance of projects , contributing to reducing regional disparities . moreover , it should be possible to have other international financial institutions as implementing partners , in particular when they present a comparative advantage in terms of specific expertise and experience in certain member states . it should also be possible for other entities fulfilling the criteria laid down in the financial regulation to act as implementing partners .


### in order to ensure that interventions under the eu compartment of the investeu fund focus on market failures and sub - optimal investment situations at union level , but , at the same time , satisfy the objectives of best possible geographic outreach , the eu guarantee should be allocated to implementing partners , which alone or together with other implementing partners , can cover at least three member states . however , it is expected that around 75 % of the eu guarantee under the eu compartment would be allocated to implementing partner or partners that can offer financial products under the investeu fund in all member states . ### in order to ensure that interventions under the eu compartment of the investeu fund focus on market and coordination failures and sub - optimal investment situations at union level , but , at the same time , satisfy the objectives of best possible geographic outreach , the eu guarantee should be allocated to implementing partners , which alone or together with other implementing partners , can cover at least three member states . however , it is expected that around 75 % of the eu guarantee under the eu compartment would be allocated to implementing partner or partners that can offer financial products under the investeu fund in all member states .


### the investeu advisory hub should support the development of a robust pipeline of investment projects in each policy window . in addition , a cross - sectoral component under the investeu programme should be foreseen to ensure a single - entry point and cross - policy project development assistance for centrally managed union programmes . ### the investeu advisory hub should support the development of a robust pipeline of investment projects in each policy window providing for effective implementation of geographic diversification with a view to contributing to the union objective of economic , social , and territorial cohesion and reducing regional disparities . in addition , a cross - sectoral component under the investeu programme should be foreseen to ensure a single - entry point and cross - policy project development assistance for centrally managed union programmes .


### the investeu advisory hub should support the development of a robust pipeline of investment projects in each policy window . in addition , a cross - sectoral component under the investeu programme should be foreseen to ensure a single - entry point and cross - policy project development assistance for centrally managed union programmes . ### the investeu advisory hub should support the development of a robust pipeline of investment projects in each policy window , providing for effective implementation of geographic diversification with a view to contributing to the union objective of economic , social , and territorial cohesion and reducing regional disparities . the advisory hub should pay particular attention to the necessity of aggregating small projects and bundle them into larger portfolios . in addition , a cross - sectoral component under the investeu programme should be foreseen to ensure a single - entry point and cross - policy project development assistance for centrally managed union programmes .


### the investeu advisory hub should support the development of a robust pipeline of investment projects in each policy window . in addition , a cross - sectoral component under the investeu programme should be foreseen to ensure a single - entry point and cross - policy project development assistance for centrally managed union programmes . ### the investeu advisory hub should support the development of a robust pipeline of investment projects in each policy window providing for effective implementation of geographic diversification contributing to the union objective of economic , social , and territorial cohesion and reducing regional disparities . the advisory hub should pay particular attention to smaller , cross - border and eu value - added projects . in addition , a cross - sectoral component under the investeu programme should be foreseen to ensure a single - entry point and cross - policy project development assistance for centrally managed union programmes .


### the investeu advisory hub should support the development of a robust pipeline of investment projects in each policy window . in addition , a cross - sectoral component under the investeu programme should be foreseen to ensure a single - entry point and cross - policy project development assistance for centrally managed union programmes . ### the investeu advisory hub should support the development of a robust pipeline of investment projects in each policy window providing for effective implementation of geographic diversification with a view to contributing to the union objective of economic , social , and territorial cohesion and reducing regional disparities . the advisory hub should pay particular attention to the necessity of aggregating small projects and bundle them into larger portfolios . in addition , a cross - sectoral component under the investeu programme should be foreseen to ensure a single - entry point and cross - policy project development assistance for centrally managed union programmes .


### ' blending operations ' means operations supported by the union budget combining non - repayable forms of support or repayable support or both from the union budget with repayable forms of support from development or other public finance institutions , as well as from commercial finance institutions and investors ; for the purposes of this definition , union programmes financed from sources other than the union budget , such as the eu emissions trading system innovation fund , can be assimilated to union programmes financed by the union budget ; ### ' additionality ' means additionality as defined in article 8a .


### the financial envelope for the implementation of the measures provided in chapters v and vi shall be eur 525 000 000 . ### the financial envelope for the implementation of the measures provided in chapter v shall be eur 725 000 000 .


### the investeu fund shall operate through the following four policy windows that shall address market failures or sub - optimal investment situations within their specific scope : ### the investeu fund shall operate through the following five policy windows that shall address market and coordination failures or sub - optimal investment situations within their specific scope :


### research , innovation and digitisation policy window : comprises research and innovation activities , transfer of research results to the market , demonstration and deployment of innovative solutions and support to scaling up of innovative companies other than smes as well as digitisation of union industry ; ### research , innovation and digitisation policy window : comprises research , product development and innovation activities , transfer of research and technologies results to the market and public institutions , supporting market enablers and cooperation between enterprises , including regulatory systems , demonstration and deployment of innovative solutions and support to scaling up of innovative companies other than smes with regard to the net - zero carbon economy , resilience and adaptation to climate change , on the circular economy , as well as digitisation of union industry ;


### research , innovation and digitisation policy window : comprises research and innovation activities , transfer of research results to the market , demonstration and deployment of innovative solutions and support to scaling up of innovative companies other than smes as well as digitisation of union industry ; ### research , innovation and digitisation policy window : comprises research , product development and innovation activities , transfer of technologies and research results to the market , supporting market enablers and cooperation between enterprises , demonstration and deployment of innovative solutions and support to scaling up of innovative companies including start - ups and smes as well as digitisation of union industry , based on the experiences gained , in particular with the innovfin ;


### financing and investment operations under the sustainable infrastructure policy window referred to in point of paragraph shall be subject to climate , environmental and social sustainability proofing with a view to minimise detrimental impacts and maximise benefits on climate , environment and social dimension . for that purpose , promoters requesting financing shall provide adequate information based on guidance to be developed by the commission . projects below a certain size defined in the guidance shall be excluded from the proofing . ### financing and investment operations under all policy windows referred to in paragraph shall be subject to climate , environmental and social sustainability proofing and tracking , through minimum sustainability thresholds in the project scoreboards , with a view to minimise detrimental impacts and maximise benefits on climate , environment and social dimension . for that purpose , promoters requesting financing shall provide adequate information based on guidance to be developed by the commission . the commission shall be empowered to adopt this guidance in the form of a delegated act in accordance with article 26 , taking fully into account the criteria established by the [ regulation on the establishment of a framework to facilitate sustainable investment ] for determining whether an economic activity is environmentally sustainable , and in line with eu climate objectives .


### as regards adaptation , ensure the resilience to the potential adverse impacts of climate change through a climate vulnerability and risk assessment , including relevant adaptation measures , and , as regards mitigation , integrate the cost of greenhouse gas emissions and the positive effects of climate mitigation measures in the cost - benefit analysis ; ### as regards adaptation , ensure the resilience to the potential adverse impacts of climate change through a climate vulnerability and risk assessment , including relevant adaptation measures , and , as regards mitigation , integrate the cost of greenhouse gas emissions and the positive effects of climate mitigation measures in the cost - benefit analysis , and ensure compliance with the eu environmental objectives and standards ;


### as regards adaptation , ensure the resilience to the potential adverse impacts of climate change through a climate vulnerability and risk assessment , including relevant adaptation measures , and , as regards mitigation , integrate the cost of greenhouse gas emissions and the positive effects of climate mitigation measures in the cost - benefit analysis ; ### as regards adaptation , ensure the resilience to the potential adverse impacts of climate change through a climate vulnerability and risk assessment , including relevant adaptation measures , and , as regards mitigation , integrate the cost of greenhouse gas emissions and the positive effects of climate mitigation measures in the cost - benefit analysis and ensure compliance with the eu environmental objectives and standards ;


### implementing partners shall provide the information necessary to allow the tracking of investment that contributes to meeting the union objectives on climate and environment , based on guidance to be provided by the commission . ### implementing partners shall provide the information necessary to allow the tracking of investment that contributes to meeting the union objectives on climate and environment , based on the guidance to be provided by the commission in accordance with paragraph , fully complying with the criteria established by [ regulation on the establishment of a framework to facilitate sustainable investment ] for determining whether an economic activity is environmentally sustainable and being complementary to the role of the platform on sustainable finance which shall monitor and report regularly to the commission on capital flows towards sustainable investments . .


### implementing partners shall target that at least 50 % of the investment under the sustainable infrastructure policy window contribute to meeting the union objectives on climate and environment . ### implementing partners shall ensure that at least 60 % of the overall investment contributes to meeting the union objectives on climate and environment in line with the eu commitments made under the paris agreement .


### the overall amount of the part of the eu guarantee under the member state compartment pertaining to the member state , its provisioning rate , the amount of the contribution from funds under shared management , the constitution phase of the provisioning in accordance with an annual financial plan and the amount of the resulting contingent liability to be covered by a back - to - back guarantee provided by the member state concerned ; ### the overall amount of the part of the eu guarantee under the member state compartment pertaining to the member state , its provisioning rate , the amount of the contribution from national funds , the constitution phase of the provisioning in accordance with an annual financial plan and the amount of the resulting contingent liability to be covered by a back - to - back guarantee provided by the member state concerned ;


### comply with the conditions set out in [ points to of article 209 ] of [ the financial regulation ] , in particular with the additionality requirement set out in [ point of article 209 ] of [ the financial regulation ] and , where appropriate , maximising private investment in accordance with [ point of article 209 ] of the [ financial regulation ] ; ### comply with the conditions set out in article 10a and [ points to of article 209 ] of [ the financial regulation ] , in particular with the additionality requirement set out in [ point of article 209 ] of [ the financial regulation ] and , where appropriate , maximising private investment in accordance with [ point of article 209 ] of the [ financial regulation ] ;


### provide advice to the commission about market failures and sub - optimal investment situations and market conditions ; ### provide advice to the commission about market and coordination failures and sub - optimal investment situations and market conditions ;


### verify their compliance with this regulation and the relevant investment guidelines , giving particular attention to the additionality requirement referred to in [ article 209 ] of the [ financial regulation ] and to the requirement to crowd in private investment referred to in [ article 209 ] of the [ financial regulation ] ; and ### verify their compliance with this regulation and the relevant investment guidelines , giving particular attention to the additionality requirement referred to in [ article 209 ] of the [ financial regulation ] and to the requirement , where appropriate , to crowd in private investment referred to in [ article 209 ] of the [ financial regulation ] ; and


### four members shall be permanent members of all four configurations of the investment committee . in addition , the four configurations shall each have two experts with experience in investment in sectors covered by that policy window . at least one of the permanent members shall have expertise in sustainable investment . the commission shall assign the investment committee members to its appropriate configuration or configurations . the investment committee shall elect a chairperson from among its permanent members . ### four members shall be permanent members of all five configurations of the investment committee . in addition , the five configurations shall each have two experts with experience in investment in sectors covered by that policy window . at least one of the permanent members shall have expertise in sustainable investment . the commission shall assign the investment committee members to its appropriate configuration or configurations . the investment committee shall elect a chairperson from among its permanent members .


### audits on the use of the union funding carried out by persons or entities , including by others than those mandated by the union institutions or bodies , shall form the basis of the overall assurance pursuant to [ article 127 ] of the [ financial regulation ] . ### audits on the use of the union funding carried out by persons or entities , including by others than those mandated by the union institutions or bodies , shall form the basis of the overall assurance pursuant to [ article 127 ] of the [ financial regulation ] . the guarantee , payments and recoveries under it , and operations under the investeu programme shall be audited by the court of auditors . a special report by the court of auditors should be issued 18 months after the entry into force of this regulation .


### expansion of the generation , supply or use of clean and sustainable renewable energy ; ### expansion and acceleration of the generation , deployment , supply or use of renewable energy ;


### projects supporting development of the ten - t infrastructure , including its urban nodes , maritime and inland ports , multimodal terminals and their connection to the main networks ; ### sustainable projects supporting development of the ten - t infrastructure and small - scale projects , including its urban nodes , when targeted to multimodality and zero - emission technologies , sustainable maritime and inland ports , multimodal terminals and their connection to the main networks , as well as cross sectorial projects at those ports and terminals such as waste and water recycling and integrated electricity charging stations for ships when at berth ;


### projects supporting development of the ten - t infrastructure , including its urban nodes , maritime and inland ports , multimodal terminals and their connection to the main networks ; ### projects supporting the sustainable development of the ten - t infrastructure , including its urban nodes , maritime and inland ports , airports , multimodal terminals and their connection to the main networks ;


### projects and enterprises that implement circular economy by integrating resource efficiency aspects in the production and product life - cycle , including the sustainable supply of primary and secondary raw materials ; ### projects and enterprises that implement circular economy by integrating resource and energy efficiency aspects in the production and product life - cycle , including the recycling of primary and secondary raw materials ;


### new effective healthcare products , including pharmaceuticals , medical devices and advanced therapy medicinal products . ### new and improved effective , accessible and affordable healthcare products , including pharmaceuticals , vaccines , medical devices , diagnostics and advanced therapy medicinal products and new antimicrobials and innovative development processes that avoid using animal testing .


### new effective healthcare products , including pharmaceuticals , medical devices and advanced therapy medicinal products . ### new effective and accessible healthcare products , including pharmaceuticals , medical devices , diagnostics and advanced therapy medicinal products , new antimicrobials and innovative development processes that avoid using animal testing .


### artificial intelligence ; ### ethical artificial intelligence subject to prior assessment ;


### innovative health solutions , including health services and new care models ; ### innovative health solutions , including e - health , health services and new care models ;


### the european fund for sustainable development should be composed of regional investment platforms , which will combine financing from existing blending facilities and the efsd guarantee . the existing blending facilities for africa are created by commission decision c5210 and by commission implementing decision c3436 for the neighbourhood . each regional investment platform should have an operational board that supports the commission in defining regional and sectorial investment goals , regional , sectorial and thematic investment windows , formulates opinions on the blending operations and discusses the use of the efsd guarantee in line with the investment windows to be defined . ### the european fund for sustainable development should be composed of regional investment platforms , which will combine financing from existing blending facilities and the efsd guarantee . the existing blending facilities for africa are created by commission decision c5210 and by commission implementing decision c3436 for the neighbourhood . each regional investment platform should have an operational board that supports the commission in defining and monitoring regional and sectorial investment goals , regional , sectorial and thematic investment windows , formulates opinions on the blending operations and discusses the use of the efsd guarantee in line with the investment windows to be defined .


### in order to increase the impact of the efsd guarantee in view of the needs in the regions concerned , member states should have the possibility of providing contributions in the form of a guarantee or cash . those contributions could be earmarked by region , sector or investment window . ### in order to increase the impact of the efsd guarantee in view of the needs in the regions concerned , member states should provide contributions in the form of a guarantee or cash .


### in order to increase the impact of the efsd guarantee in view of the needs in the regions concerned , member states should have the possibility of providing contributions in the form of a guarantee or cash . those contributions could be earmarked by region , sector or investment window . ### in order to increase the impact of the efsd guarantee in view of the needs to increase investments and funding for projects that contribute to sustainable development and create decent employment opportunities in the regions concerned , member states should have the possibility of providing contributions in the form of a guarantee or cash . those contributions could be earmarked by region , sector or investment window .


### ' additionality ' means the principle ensuring that the efsd guarantee support may not be aimed at replacing the support of a member state , private funding or another union financial intervention , as well as that it is aimed at addressing market failures and avoiding crowding out other public or private investments . ### ' additionality ' means the principle ensuring that the efsd support , including via blending facilities , contributes to sustainable development by achieving positive results above and beyond what could have been achieved without the support . financial interventions may not be aimed at replacing the support of a member state or third country , private funding or another union financial intervention or by an international financial institution .


### the efsd shall contribute to the achievement of the sustainable development goals of the 2030 agenda with a particular focus on sustainable growth , job creation , socio - economic sectors and on the support to micro , small and medium sized enterprises , thus addressing root causes of migration and contributing to sustainable reintegration of returned migrants in their countries of origin while maximising additionality , delivering innovative products and crowding in private sector funds . ### the efsd shall contribute to the achievement of the sustainable development goals of the 2030 agenda with a major focus on the eradication of poverty , on sustainable growth respecting economic , environmental and social rights , on the creation of more and decent jobs , on the creation of a circular economy , on socio - economic sectors , improving access to public services , on climate change mitigation and adaptation , on the involvement of local communities and on the support to micro , small and medium sized enterprises , thus addressing root causes of migration and contributing to sustainable reintegration of returned migrants in their countries of origin while maximising additionality , delivering innovative products and crowding in private sector funds .


### the efsd shall be composed of regional investment platforms , which will combine financing from existing blending facilities and the efsd guarantee . ### the efsd shall be composed of regional investment platforms , which will combine financing from existing blending facilities and the efsd guarantee , complemented by advisory hubs .


### it shall provide strategic guidance and support the commission in setting overall investment goals as regards the use of the efsd guarantee . the strategic board shall also support overall coordination and coherence between the regional investment platforms and with the external lending mandate operations managed by the eib , including the eib resilience initiative . ### it shall provide strategic guidance and support the commission in setting overall investment goals as regards the use of the efsd guarantee , the criteria of eligibility of investment to the regional platforms and operating policies and procedures . the strategic board shall also support overall coordination , cooperation and coherence between the regional investment platforms and with the external lending mandate operations managed by the eib , including the eib resilience initiative . the strategic board activity shall be overseen by a steering committee on a permanent basis within the european parliament .


### the union shall provide an irrevocable and unconditional guarantee on first demand to the eligible counterpart for the financing and investment operations covered by this regulation starting in the african and neighbourhood partner countries . ### after careful consideration of the viability of the project , the union shall provide an irrevocable and unconditional guarantee on first demand to the eligible counterpart for the financing and investment operations covered by this regulation starting in the african and neighbourhood partner countries .


### contribute to economic and social development , with particular focus on sustainability and job creation , thus addressing root causes of migration and contributing to sustainable reintegration of returned migrants in their countries of origin ; ### contribute to the eradication of poverty , economic and social development , with particular focus on sustainability and sustainable creation of decent jobs , in particular for youth , women and people at risk of exclusion ;


### target socio - economic sectors , in particular infrastructure including sustainable energy , water , transport , information and communications technologies , environment , sustainable use of natural resources and blue growth , social infrastructure , human capital , in order to improve the socio - economic environment ; ### target socio - economic sectors , in particular infrastructure including renewable energy , water , low - carbon transport , information and communications technologies , environment , sustainable use of natural resources , agro - ecological farming and blue growth , social infrastructure , human capital , in order to improve the socio - economic environment ;


### the efsd guarantee shall support financing and investment operations which in particular : ### while preventing profiteering and / or monopolisation of services , the efsd guarantee shall support financing and investment operations which in particular :


### bodies governed by the private law of a member state that provide adequate financial guarantees , by derogation from article 58 of regulation no 966 / 2012 ### bodies governed by the private law of a member state that provide adequate financial guarantees , by derogation from article 58 of regulation no 966 / 2012 , and that disclose what extra - financial factors such as climate change , resource scarcity , misaligned executive compensation or corruption they consider as part of their fiduciary duty .


### bodies governed by the private law of a partner country that provide adequate financial guarantees , by derogation from article 58 of regulation no 966 / 2012 . ### bodies governed by the private law of a partner country that provide adequate financial guarantees , by derogation from article 58 of regulation no 966 / 2012 , and that disclose what extra - financial factors such as climate change , resource scarcity , misaligned executive compensation or corruption they consider as part of their fiduciary duty .


### possible contributions from member states and other contributors ; ### contributions from member states amounting to at least one third of the contributions from the general budget of the union ;


### from 1 january 2021 , if , as a result of calls on the efsd guarantee , the level of resources in the guarantee fund falls below 50% of the provisioning rate referred to in paragraph 5 , the commission shall submit a report on exceptional measures that may be required to replenish the efsd guarantee fund . ### from 1 january 2021 , if , as a result of calls on the efsd guarantee , the level of resources in the guarantee fund falls below 50% of the provisioning rate referred to in paragraph 5 , the commission shall submit a report on : the cause of the shortfall , with detailed explanations ; and should it be deemed necessary , any exceptional measures that may be required to replenish the efsd guarantee fund .


### the commission shall submit an annual report to the european parliament and to the council on the financing and investment operation covered by the efsd guarantee . this report shall be made public . it shall include the following elements : ### the commission shall submit an annual report to the european parliament and to the council on the financing and investment operation covered by the efsd guarantee . this report shall be made public and be presented to and discussed with a broad range of stakeholders in the competent committees of the european parliament . it shall include the following elements which shall be presented in a country - specific format :


### the financial amount transferred to beneficiaries and an assessment of financing and investment operations by each counterpart on an aggregated basis ; ### the financial amount transferred to beneficiaries and an assessment of financing and investment operations by each counterpart on an aggregated basis including a gender analysis of the operations covered based on evidence and on sex - disaggregated data ;


### the commission shall submit an annual report to the european parliament and to the council on the financing and investment operation covered by the efsd guarantee . this report shall be made public . it shall include the following elements : ### the commission shall submit an annual report to the european parliament and to the council on the financing and investment operation covered by the efsd guarantee . that report shall be made public . it shall include the following elements , which shall be presented in a country - specific format :


### an assessment of the added value , the mobilisation of private sector resources , the estimated and actual outputs and the outcomes and impact of the financing and investment operations covered by the efsd guarantee on an aggregated basis , including the impact on employment creation ; ### an assessment of the added value , the mobilisation of private sector resources , the estimated and achieved outputs and the outcomes and impact of the financing and investment operations covered by the efsd guarantee on an aggregated and long - term basis , including the impact on employment creation ;


### detailed information on calls on the efsd guarantee , losses , returns , amounts recovered and any other payments received ; ### detailed information on calls on the efsd guarantee , losses , returns , amounts recovered and any other payments received as well as an indication of the risks of future calls on the efsd guarantee ;


### by 31 december 2020 and every three years thereafter , the commission shall evaluate the use of the efsd guarantee fund . the commission shall submit its evaluation report to the european parliament and the council . that evaluation report shall be accompanied by an opinion of the court of auditors . ### by 31 december 2020 and every three years thereafter , the commission shall evaluate the use and the functioning of the efsd guarantee fund . the commission shall submit its evaluation report to the european parliament and the council . that evaluation report shall be accompanied by an opinion of the court of auditors on the management of the efsd guarantee fund and the effectiveness and additionality of efsd operations . where adjustments to the efsd guarantee fund are deemed necessary or in the event that the efsd guarantee fund is extended beyond 2020 , that evaluation report shall be accompanied by a legislative proposal to amend this regulation accordingly .


### in accordance with its transparency policies and general union principles on access to documents and information , the eligible counterparts shall make publicly available on their websites information relating to all financing and investment operations covered by the efsd guarantee under this regulation , relating in particular to the manner in which those operations contribute to the requirements of this regulation . ### extensive minutes of the meetings of the strategic and operational boards shall be published without delay . the scoreboard of indicators shall be made public once an operation under the guarantee is approved . in accordance with its transparency policies and general union principles on access to documents and information , the eligible counterparts shall make publicly available on their websites all information and documents relating to all financing and investment operations covered by the efsd guarantee under this regulation , with a strictly limited regime of exceptions .


### for the purpose of paragraph 1 of this article , the court of auditors shall , at its request and in accordance with article 287 tfeu , be granted access to any document or information necessary to carry out its task . ### for the purpose of paragraph 1 of this article , the court of auditors shall , at its request and in accordance with article 287 tfeu , be granted access to any document or information necessary to carry out its auditing tasks .


### the commission or the eligible counterparts shall notify the european anti - fraud office promptly and provide it with the necessary information when , at any stage of the preparation , implementation or closure of financing and investment operations covered by this regulation , they have grounds for suspecting fraud , corruption , money laundering or any other illegal activity that may affect the financial interests of the union . ### the commission or the eligible counterparts shall notify the european anti - fraud office promptly and provide it with the necessary information when , at any stage of the preparation , implementation or closure of financing and investment operations covered by this regulation , they have grounds for suspecting fraud , corruption , embezzlement , money laundering or any other illegal activity that may affect the financial interests of the union .


### the commission or the eligible counterparts shall notify the european anti - fraud office promptly and provide it with the necessary information when , at any stage of the preparation , implementation or closure of financing and investment operations covered by this regulation , they have grounds for suspecting fraud , corruption , money laundering or any other illegal activity that may affect the financial interests of the union . ### if at any stage of the preparation , implementation or closure of financing and investment operations covered by this regulation the commission has grounds for suspecting fraud , corruption , money laundering or any other illegal activity that may affect the financial interests of the union , they or their eligible counterparts shall immediately notify the european anti - fraud office and provide it with all necessary information to enable a full and thorough investigation to be carried out .


### olaf may carry out investigations , including on - the - spot checks and inspections , in accordance with the provisions and procedures laid down in regulation no 883 / 2013 of the european parliament and of the council , council regulation no 2185 / 96 and council regulation no 2988 / 95 in order to protect the financial interests of the union , with a view to establishing whether there has been fraud , corruption , money laundering or any other illegal activity affecting the financial interests of the union in connection with any financing and investment operations covered by this regulation . olaf may transmit any information obtained in the course of its investigations to the competent authorities of the member states concerned . ### olaf may carry out investigations , including on - the - spot checks and inspections , in accordance with the provisions and procedures laid down in regulation no 883 / 2013 of the european parliament and of the council , council regulation no 2185 / 96 and council regulation no 2988 / 95 in order to protect the financial interests of the union , with a view to establishing whether there has been fraud , corruption , embezzlement , money laundering financing of terrorism , tax fraud and tax evasion , or any other illegal activity affecting the financial interests of the union in connection with any financing and investment operations covered by this regulation . olaf may transmit any information obtained in the course of its investigations to the competent authorities of the member states concerned .


### olaf may carry out investigations , including on - the - spot checks and inspections , in accordance with the provisions and procedures laid down in regulation no 883 / 2013 of the european parliament and of the council , council regulation no 2185 / 96 and council regulation no 2988 / 95 in order to protect the financial interests of the union , with a view to establishing whether there has been fraud , corruption , money laundering or any other illegal activity affecting the financial interests of the union in connection with any financing and investment operations covered by this regulation . olaf may transmit any information obtained in the course of its investigations to the competent authorities of the member states concerned . ### olaf shall carry out investigations , including on - the - spot checks and inspections , in accordance with the provisions and procedures laid down in regulation no 883 / 2013 of the european parliament and of the council , council regulation no 2185 / 96 and council regulation no 2988 / 95 in order to protect the financial interests of the union , with a view to establishing whether there has been fraud , corruption , money laundering , financing of terrorism , tax fraud , organised crime or any other illegal activity affecting the financial interests of the union in connection with any financing and investment operations covered by this regulation . olaf may transmit any information obtained in the course of its investigations to the competent authorities of the member states concerned .


### where such illegal activities are proven , the eligible counterparts shall undertake recovery efforts with respect to its financing and investment operations covered by this regulation that are concerned by such activities . ### where such illegal activities are proven , the eligible counterparts shall undertake recovery efforts with respect to its financing and investment operations covered by this regulation that are concerned by such activities , and shall also provide to the relevant authorities all information needed for investigation and possible prosecution .


### in its financing and investment operations , the eligible counterpart shall apply the principles and standards set out in union law on the prevention of the use of the financial system for the purpose of money laundering and terrorist financing and in particular regulation 2015 / 847 of the european parliament and of the council35 and directive 2015 / 849 of the european parliament and of the council36 . the eligible counterparts shall make both direct funding and funding via intermediaries under this regulation contingent upon the disclosure of beneficial ownership information in accordance with directive 2015 / 849 . __________________ 35 regulation 2015 / 847 of the european parliament and of the council of 20 may 2015 on information accompanying transfers of funds and repealing regulation no 1781 / 2006 . 36 directive 2015 / 849 of the european parliament and of the council of 20 may 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing , amending regulation no 648 / 2012 of the european parliament and of the council , and repealing directive 2005 / 60 / ec of the european parliament and of the council and commission directive 2006 / 70 / ec . ### in its financing and investment operations , the eligible counterpart shall apply the principles and standards set out in union law on the prevention of the use of the financial system for the purpose of money laundering and terrorist financing and in particular regulation 2015 / 847 of the european parliament and of the council35 and directive 2015 / 849 of the european parliament and of the council36 . the eligible counterparts shall make both direct funding and funding via intermediaries under this regulation contingent upon the disclosure of beneficial ownership information in accordance with directive 2015 / 849 and publish country - by - country reporting data in line with the requirements of article 89 , 1 of directive 2013 / 36 / eu . __________________ 35 regulation 2015 / 847 of the european parliament and of the council of 20 may 2015 on information accompanying transfers of funds and repealing regulation no 1781 / 2006 . 36 directive 2015 / 849 of the european parliament and of the council of 20 may 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing , amending regulation no 648 / 2012 of the european parliament and of the council , and repealing directive 2005 / 60 / ec of the european parliament and of the council and commission directive 2006 / 70 / ec .


### the lulucf sector can contribute to climate change mitigation in several ways , in particular by reducing emissions , and maintaining and enhancing sinks and carbon stocks . in order for measures aiming in particular at increasing carbon sequestration to be effective , the long - term stability and adaptability of carbon pools is essential . ### the lulucf sector can contribute to climate change mitigation in several ways , in particular by reducing emissions , and maintaining and enhancing sinks and carbon stocks . in order for measures aiming in particular at increasing carbon sequestration to be effective , the long - term stability and adaptability of carbon pools is essential . however it is important to note that biomass used for fuel is not in reality carbon neutral and burning trees for energy also has a carbon cost not only in terms of emissions but also in destroyed sink function . in addition it is important to guard against the risk involved in destroying sink function of peat bogs and other carbon sinking wetlands which may be erroneously afforested by mono - cultural tree plantations .


### emissions and removals from forest land depend on a number of natural circumstances , age - class structure , as well as past and present management practices . the use of a base year would not make it possible to reflect those factors and resulting cyclical impacts on emissions and removals or their interannual variation . the relevant accounting rules should instead provide for the use of reference levels to exclude the effects of natural and country - specific characteristics . in the absence of the international review under the unfccc and the kyoto protocol , a review procedure should be established to ensure transparency and improve the quality of accounting in this category . ### emissions and removals from forest land depend on a number of natural circumstances , age - class structure , as well as past and present management practices . the use of a base year would not make it possible to reflect those factors and resulting cyclical impacts on emissions and removals or their interannual variation . the relevant accounting rules should instead provide for the use of reference levels to exclude the effects of natural and biogeographical region - specific characteristics . in the absence of the international review under the unfccc and the kyoto protocol , in order to enhance integrity , efficacy and coherence , a review procedure should be established to ensure transparency and improve the quality of accounting in this category , so that the accounting matches the climate reality .


### the internationally agreed ipcc guidelines state that emissions from the combustion of biomass can be accounted as zero in the energy sector with the condition that these emissions are accounted for in the lulucf sector . in the eu , emissions from biomass combustion are accounted as zero pursuant to article 38 of regulation no . 601 / 2012 and the provisions set out in regulation no . 525 / 2013 , hence consistency with the ipcc guidelines would only be ensured if these emissions should be covered accurately under this regulation . ### the internationally agreed ipcc guidelines for national greenhouse gas inventories state that emissions from the combustion of biomass can be accounted as zero in the energy sector with the condition that these emissions are accounted for in the lulucf sector . in the eu , emissions from biomass combustion are accounted as zero pursuant to article 38 of regulation no . 601 / 2012 and the provisions set out in regulation no . 525 / 2013 , hence consistency with the ipcc guidelines would only be ensured if these emissions should be covered accurately under this regulation and accounted for in all countries systematically according to the ipcc guidelines .


### natural disturbances , such as wildfires , insect and disease infestations , extreme weather events and geological disturbances that are beyond the control of , and not materially influenced by , a member state , may result in greenhouse gas emissions of a temporary nature in the lulucf sector , or may cause the reversal of previous removals . as reversal can also be the result of management decisions , such as decisions to harvest or plant trees , this regulation should ensure that human - induced reversals of removals are always accurately reflected in lulucf accounts . moreover , this regulation should provide member states with a limited possibility to exclude emissions resulting from disturbances that are beyond their control from their lulucf accounts . however , the manner in which member states apply those provisions should not lead to undue under - accounting . ### avoiding negative impacts on the forest carbon sink from natural disturbances , such as wildfires , insect and disease infestations , extreme weather events and geological disturbances should be part of sustainable forest management practices by member states . such reasons should not be used as an excuse for clear cutting or measures with undue negative impacts on biodiversity .


### for the period from 2021 to 2025 and from 2026 to 2030 , taking into account the flexibilities provided for in article 11 , each member state shall ensure that emissions do not exceed removals , calculated as the sum of total emissions and removals on their territory in the land accounting categories referred to in article 2 combined , as accounted in accordance with this regulation . ### for the period from 2021 to 2025 and from 2026 to 2030 each member state shall endeavour to increase their removals and ensure that emissions at least do not exceed removals , calculated as the sum of total emissions and removals on their territory in the land accounting categories referred to in article 2 combined , as accounted in accordance with this regulation , in line with union long term climate objectives and the commitments under the paris agreement .


### the national forestry accounting plan shall contain all the elements listed in annex iv , section b and include a proposed new forest reference level based on the continuation of current forest management practice and intensity , as documented between 1990 - 2009 per forest type and per age class in national forests , expressed in tonnes of co2 equivalent per year . ### the national forestry accounting plan shall contain all the elements listed in annex iv , section b and include the annual average emissions and removals in the forest reference period between 1990 - 2009 , expressed in tonnes of co2 equivalent per year . member states shall maintain or increase the ratio of biomass used for long lived wood products against that used for energy purposes .