### the projects achieve measurable impact in addressing serious social , economic or environmental challenges deriving from the transition process towards a climate-neutral economy and benefit territories identified in a territorial just transition plan , even if they are not located in those territories; ### the projects achieve measurable impact in addressing serious social , economic or environmental challenges deriving from the transition process towards the union's 2030 targets for climate and energy , as established in regulation (eu)…/… of the european parliament and the council [establishing the framework for achieving climate neutrality and amending regulation (eu) 2018/1999 (european climate law)] , and a climate- and carbon neutral economy in the union by 2050 , are in line with the regulation (eu)…/… of the european parliament and the council [regulation on establishment of a framework to facilitate sustainable investment] and benefit territories identified in a territorial just transition plan , even if they are not located in those territories;


### the projects do not receive support under any other union programmes; ### deleted


### 2. the amount of the grant shall not exceed 15% of the amount of the loan provided by the finance partner under this facility. for projects located in territories in nuts level 2 regions with a gdp per capita not exceeding 75% of the average gdp of the eu-27 as referred to in article [102(2)] of regulation [new cpr] , the amount of the grant shall not exceed 20% of the amount of the loan provided by the finance partner. ### 2. the amount of the grant shall not exceed 15% of the amount of the loan provided by the finance partner under this facility. for projects located in territories in nuts level 2 regions with a gdp per capita not exceeding 75% of the average gdp of the eu-27 as referred to in article [102(2)] of regulation [new cpr] , the amount of the grant shall not exceed 20% of the amount of the loan provided by the finance partner. for projects located in the outermost regions , as defined in article 349 tfeu , the amount of the grant shall not exceed 25% of the amount of the loan provided by the finance partner.


### 2. the amount of the grant shall not exceed 15% of the amount of the loan provided by the finance partner under this facility. for projects located in territories in nuts level 2 regions with a gdp per capita not exceeding 75% of the average gdp of the eu-27 as referred to in article [102(2)] of regulation [new cpr] , the amount of the grant shall not exceed 20% of the amount of the loan provided by the finance partner. ### 2. the amount of the grant shall not exceed 15% of the amount of the loan provided by the finance partner under this facility. for projects located in territories in nuts level 2 regions with a gdp per capita not exceeding 75% of the average gdp of the eu-27 as referred to in article [102(2)] of regulation [new cpr] , the amount of the grant shall not exceed 25% of the amount of the loan provided by the finance partner.


### 2. the amount of the grant shall not exceed 15% of the amount of the loan provided by the finance partner under this facility. for projects located in territories in nuts level 2 regions with a gdp per capita not exceeding 75% of the average gdp of the eu-27 as referred to in article [102(2)] of regulation [new cpr] , the amount of the grant shall not exceed 20% of the amount of the loan provided by the finance partner. ### 2. the amount of the grant shall not exceed 25% of the amount of the loan provided by the finance partner under this facility. for projects located in territories in nuts level 2 regions with a gdp per capita not exceeding 75% of the average gdp of the eu-27 as referred to in article [102(2)] of regulation [new cpr] , the amount of the grant shall not exceed 30% of the amount of the loan provided by the finance partner.


### the facility shall be implemented by work programmes established in accordance with article 110 of the financial regulation. the work programmes shall set out the national shares of resources , including any additional resources , for each member state in accordance with articles 4(1) and 6(2) of this regulation. ### the facility shall be implemented by work programmes established in accordance with article 110 of the financial regulation. the commission shall be empowered to adopt delegated acts in accordance with article 17 adopting such work programmes. the work programmes shall specify the eligibility conditions and award criteria , taking into account the relevant criteria established by regulation (eu) … /... of the european parliament and the council [regulation on establishment of a framework to facilitate sustainable investment] , the ability of the project to meet the objectives and development needs described in the territorial just transition plans , the contribution to the achievement of the union’s 2030 climate and energy targets , and climate neutrality by 2050 , the overall objective of promoting regional and territorial convergence and the significance of the grant component for the viability of the project. the commission shall ensure that gender equality and the integration of gender perspective are taken into account and promoted in the work programme. the work programmes shall set out the national shares of resources , including any additional resources , for each member state in accordance with articles 4(1) and 6(2) of this regulation.


### the facility shall be implemented by work programmes established in accordance with article 110 of the financial regulation. the work programmes shall set out the national shares of resources , including any additional resources , for each member state in accordance with articles 4(1) and 6(2) of this regulation. ### the commission shall adopt delegated acts in accordance with article 17 in order to establish work programmes in accordance with article 110 of the financial regulation. the work programmes shall set out the national shares of resources , including any additional resources , for each member state in accordance with articles 4(1) and 6(2) of this regulation. the work programmes shall specify the criteria and conditions for the selection and , in case demand exceeds funding resources under national allocations , for the prioritisation of projects , taking into account the relevant criteria laid down by regulation (eu) .../... [regulation on establishment of a framework to facilitate sustainable investment] , the project’s ability to meet the objectives and needs identified in the territorial just transition plans , the contribution to climate transition , the cost efficiency of the project , the overall objective of promoting regional and territorial convergence and the grant’s contribution to the viability of projects.


### 2. the performance reporting system shall ensure that data regarding the indicators referred to in paragraph 1 are collected efficiently , effectively and in a timely fashion. beneficiaries in cooperation with finance partners shall provide to the commission the data regarding those indicators. ### 2. the performance reporting system shall ensure that data regarding the indicators referred to in paragraph 1 are collected efficiently , effectively and in a timely fashion. beneficiaries shall provide to the commission the data regarding those indicators.


### 2. the performance reporting system shall ensure that data regarding the indicators referred to in paragraph 1 are collected efficiently , effectively and in a timely fashion. beneficiaries in cooperation with finance partners shall provide to the commission the data regarding those indicators. ### 2. the performance reporting system shall ensure that data regarding the sustainability and other key performance indicators referred to in paragraph 1 are collected efficiently , effectively and in a timely , reliable and independent fashion. beneficiaries in cooperation with finance partners shall provide to the commission the data regarding those indicators.


### 2. the commission shall implement information and communication actions relating to the facility , the funded projects and their results. financial resources allocated to the facility shall also contribute to the corporate communication of the political priorities of the union , as far as they are related to the objectives referred to in article 3. ### 2. the commission shall implement information and communication actions relating to the facility , the funded projects and their results. financial resources allocated to the facility shall also contribute to the corporate communication of the political priorities of the union , as far as they are related to the objectives referred to in article 3. the commission shall regularly update and publish the list of projects that have been selected or refused under this facility with the description of specific criteria for acceptance or refusal.


### (17) in order to ensure an effective implementation of the facility , it may be necessary to provide advisory support for the preparation , development , and implementation of projects. this support should be provided through the investeu advisory hub. ### (17) in order to ensure an effective implementation of the facility , it may be necessary to provide advisory support for the preparation , development , and implementation of projects , particularly regarding compliance with relevant sustainability criteria. this support should be provided through the investeu advisory hub.


### (22) the objective of this regulation , namely to leverage public investment in territories , most impacted by the transition towards climate neutrality by addressing the corresponding development needs , cannot be sufficiently achieved by the member states alone. the main reasons in this regard are the difficulties for public entities to support investments , which do not generate sufficient streams of own revenues and benefit the territories most negatively impacted by climate transition , without eu grant support and the need for a coherent implementation framework under direct management. since those objectives can be better achieved at union level , the union may adopt measures , in accordance with the principle of subsidiarity as set out in article 5 teu. in accordance with the principle of proportionality as set out in that article , this regulation does not go beyond what is necessary in order to achieve that objective , ### (22) the objective of this regulation , namely to leverage public investment in territories , most impacted by the transition towards climate neutrality and circular economy by addressing the corresponding development needs , cannot be sufficiently achieved by the member states alone. the main reasons in this regard are the difficulties for public entities to support investments , which do not generate sufficient streams of own revenues and benefit the territories most negatively impacted by climate transition , without eu grant support and the need for a coherent implementation framework under direct management. since those objectives can be better achieved at union level , the union may adopt measures , in accordance with the principle of subsidiarity as set out in article 5 teu. in accordance with the principle of proportionality as set out in that article , this regulation does not go beyond what is necessary in order to achieve that objective ,


### 1. key performance indicators to monitor implementation and progress of the facility towards the achievement of the objectives set out in article 3 are established in annex ii. ### 1. key performance and sustainability indicators to monitor implementation and progress of the facility towards the achievement of climate neutrality and other environmental objectives of the union , the adherence to the "do not significant harm" principle referred to in regulation (eu) 2020/852 , and the objectives set out in article 3 are established in annex ii.


### 3. 'finance partners' means the eib , other international financial institutions , national promotional banks and financial institutions , with which the commission signs an administrative agreement to cooperate within the facility; ### 3. 'finance partners' means the eib , other international financial institutions , including private financial institutions , national promotional banks and financial institutions , with which the commission signs an administrative agreement to cooperate within the facility;


### 4. 'project' means any action identified by the commission as eligible , financially and technically independent , which has a pre-defined objective and a set period during which it must be implemented and finalised; ### 4. 'project' means any action identified by the commission as eligible , financially and technically independent , which has a pre-defined objective and a set period during which it must be implemented and finalised; projects that have already started , but could not be completed as a result of lacking financial resources , can also be eligible under this facility;


### 2. activities necessary to support the preparation , development and implementation of projects shall be eligible for advisory support. ### 2. activities necessary to support the preparation , development and implementation of projects shall be eligible for advisory support. projects financed under this facility may benefit where necessary from advisory and technical assistance support from other union programmes.


### (3) such assistance shall cover a part of the additional public expenditure caused directly by the withdrawal without an agreement and incurred exclusively between the date of the withdrawal without an agreement and 31 december 2020 ("financial burden"). ### (3) such assistance shall cover a part of the additional public expenditure caused directly by the withdrawal without an agreement and incurred exclusively between 19 july 2018 and 31 december 2020 ("financial burden").


### (4) a member state shall be eligible to apply for assistance under this article , if the financial burden it has suffered is estimated to be either over eur 1 500 000 000 in 2011 prices , or more than 0.3 % of its gni. ### (4) a member state shall be eligible to apply for assistance under this article , if the financial burden it has suffered is estimated to be either over eur 150 000 000 in 2011 prices , or more than 0.3 % of its gni.


### (4) assistance from the fund shall be awarded to the member states meeting the eligibility criteria , taking into account the thresholds specified in article 3a(4) , at a rate of up to 5 % of the inflicted financial burden , and within the limits of the budget available. in the event that the budget available should prove insufficient , the aid rate shall be proportionately reduced. ### (4) assistance from the fund shall be awarded to the member states meeting the eligibility criteria , taking into account the thresholds specified in article 3a(4) , at a rate of up to 20 % of the inflicted financial burden , and within the limits of the budget available. in the event that the budget available should prove insufficient , the aid rate shall be proportionately reduced.


### b. whereas border regions , especially those with a low population density , tend to experience more unfavourable development conditions and are generally less economically successful than other regions within member states , and whereas their economic potential is not being fully tapped; ### b. whereas border regions , especially those with a low population density , tend to experience less favourable development conditions and are generally less economically successful than other regions within member states , and whereas their economic potential is not being fully tapped;


### e. whereas the covid-19 pandemic has shown how fragile and interdependent europe’s cross-border regions are and paralysed many services , especially in healthcare settings , and whereas the pandemic has also disrupted the free movement of goods and essential medical equipment following the closure of national borders; ### e. whereas the covid-19 pandemic has unveiled cross-border regions’ exposure to detrimental disruptions of the single market and to the paralysis of public services , especially in healthcare settings , and whereas the pandemic has also disrupted the free movement of goods and essential medical equipment following the closure of national borders;


### i. whereas the eu also has maritime cross-border regions in the shape of islands in the mediterranean and outermost regions in the atlantic and indian oceans; ### i. whereas the eu also has maritime cross-border regions in the shape of islands in the mediterranean and outermost regions in the atlantic and indian oceans; whereas the geographic remoteness of some european islands , coupled with their condition as border regions , exposes them to a combination of constraints in the labour market , in the field of transportation and healthcare which severely hampers their growth potential;


### 4. welcomes the progress the commission has made thus far in implementing its 2017 action plan , in particular via the ‘b-solutions’ initiative – which has made it possible to provide legal and administrative support to authorities in border authorities and to resolve 90 cases involving barriers to interaction – and via the support provided to improve access to employment , promote multilingualism in border areas and pool healthcare facilities; ### 4. welcomes the progress the commission has made thus far in implementing its 2017 action plan , in particular via the ‘b-solutions’ initiative – which has made it possible to provide legal and administrative support to authorities in border regions and to resolve 90 cases involving barriers to interaction – and via the support provided to improve access to employment , promote multilingualism in border areas and pool healthcare facilities;


### 5. recognises the important role that macro-regions and euroregions play in promoting collective interests and in cross-border cooperation; ### 5. recognises the important role that macro-regions and euroregions play in promoting collective interests and in cross-border cooperation; calls on the commission to initiate an in-depth assessment of macro-regional strategies , with the purpose of evaluating their coherence with the renewed environmental and digital priorities of the european union;


### 7. emphasises that the regulation on a european cross-border mechanism (ecbm) proposed by the commission would have removed more than 50 % of the barriers concerned , including those resulting from the lack of cross-border public transport and limited access to education , cultural and leisure services; with that in mind , deeply regrets the fact that the legislative procedure relating to the ecbm has been blocked by the council; ### 7. emphasises that the ecbm , as proposed by the commission , would have contributed to remove more than 50 % of the barriers concerned , including those resulting from the lack of cross-border public transport , and limited access to employment , education , cultural and leisure services; with that in mind , deeply regrets the fact that the legislative procedure relating to the ecbm has been blocked by the council;


### 8. calls on the commission to amend the current proposal , taking into account the conclusions of the council’s legal service and looking to strike a balance between the co-legislators’ respective positions; ### 8. calls on the commission to amend the current proposal , taking into account the conclusions of the council’s and parliament's legal services , with a view to strike a balance between the co-legislators’ respective positions;


### 9. emphasises that alongside the damage caused by covid-19 , border regions are also having to deal with the consequences of brexit , which are creating new barriers to free trade and causing serious disruption to cross-border trade between the eu and the uk , making life more difficult for businesses in border regions; welcomes , in that regard , the agreement reached on the brexit adjustment reserve to provide financial and legal support to member states and regions affected by brexit; ### 9. emphasises that alongside the damage caused by covid-19 , border regions are also confronted with the consequences of brexit , which are creating new barriers to free trade and causing serious disruption to cross-border trade between the eu and the uk , making life more difficult for businesses and citizens in border regions; welcomes , in that regard , the agreement reached on the brexit adjustment reserve to provide financial and legal support to member states and regions affected by brexit;


### 10. notes with interest that the public consultation on overcoming border obstacles conducted by the commission in 2020 showed that the main problem experienced by people living in border areas was the lack of reliable cross-border public transport services; ### 10. notes with interest that the public consultation on overcoming border obstacles conducted by the commission in 2020 showed that the main problem experienced by people living in border areas were , among others , the lack of reliable cross-border public transport services , the lack of digital services and their limited cross-border interoperability , obstacles directly due to language differences , obstacles related to the legislative processes , and to economic disparities;


### (27) in order to enhance the protection of the union budget against fraud , corruption , conflicts of interest , double funding and other irregularities , standardised measures to collect , compare and aggregate information on the recipients of union funding should be introduced. in particular , in order to effectively prevent , detect , investigate and correct frauds or remedy irregularities , it is necessary to be able to identify the natural persons that ultimately benefit , directly or indirectly , from union funding and who ultimately profit from the misuse of eu funding. the electronic recording and storage of data on the recipients of union funding , including their beneficial owners as defined in article 3 , point (6) , of directive (eu) 2015/849 of the european parliament and of the council32 and the regular making of those data available in a single integrated it system for data-mining and risk-scoring provided by the commission , should facilitate risk assessment for the purposes of selection , award , financial management , monitoring , investigation , control and audit and contribute to effective prevention , detection , correction and follow-up of fraud , corruption , conflicts of interest , double funding and other irregularities. the commission should be responsible for the development , management and supervision of the single integrated it system for data-mining and risk-scoring. the commission , the member states , the persons or entities implementing the budget , the european anti-fraud office (‘olaf’) and other union investigative and control bodies should have the necessary access to those data within the exercise of their respective competences. the rules related to the recording , storage , transfer and processing of data should comply with applicable data protection rules. ### (27) in order to enhance the protection of the union budget against fraud , corruption , conflicts of interest , double funding and other irregularities , standardised financial and reimbursement requests and measures to collect , compare and aggregate information on the recipients of union funding should be introduced. in particular , in order to effectively prevent , detect , investigate and correct frauds or remedy irregularities , it is necessary to be able to identify the natural persons that ultimately benefit , directly or indirectly , from union funding and who ultimately profit from the misuse of eu funding. the electronic recording and storage of data on the recipients of union funding , including their beneficial owners as defined in article 3 , point (6) , of directive (eu) 2015/849 of the european parliament and of the council32 and their main contractors and the regular making of those data available in a single integrated it system for data-mining and risk-scoring provided by the commission , should facilitate risk assessment for the purposes of selection , award , financial management , monitoring , investigation , control and audit and contribute to effective prevention , detection , correction and follow-up of fraud , corruption , conflicts of interest , double funding and other irregularities. the commission should be responsible for the development , management and supervision of the single integrated it system for data-mining and risk-scoring. the commission , the member states , the persons or entities implementing the budget , the european anti-fraud office (‘olaf’) and other union investigative and control bodies should have the necessary access to those data within the exercise of their respective competences. the rules related to the recording , storage , transfer and processing of data should comply with applicable data protection rules.


### (29) without prejudice to the rules on the protection of personal data , the utmost transparency regarding information on recipients should be sought. the information on recipients of union funds should be published on a dedicated website of union institutions , such as the financial transparency system. publication requirements should cover all methods of budget implementation , including by other union institutions and bodies. to that end , member states , persons and entities implementing the budget and other union institutions and bodies should transmit to the commission , at least on a yearly basis , information on their recipients of union funding. that information should include at least the name , a unique identifier and the locality of the recipient , the amount committed and the purpose of the measure. that information should take into account relevant criteria such as the periodicity , the type and the importance of the measure. ### (29) without prejudice to the rules on the protection of personal data , the utmost transparency regarding information on recipients should be sought. the information on recipients of union funds should be published on a dedicated website of union institutions , such as the financial transparency system. publication requirements should cover all methods of budget implementation , including by other union institutions and bodies. to that end , member states , persons and entities implementing the budget and other union institutions and bodies should transmit to the commission , at least on a yearly basis , information on their recipients of union funding. that information should include at least the name , a unique identifier and the locality of the recipient , the amount committed , the purpose of the measure , the main contractor , the date of the signing of the contract and , where applicable the date of the last reimbursement request. that information should take into account relevant criteria such as the periodicity , the type and the importance of the measure.


### (103) in order to enhance the protection of the union financial interests the early-detection and exclusion system should be reinforced. it is important to avoid that a person or entity in an exclusion situation is able to apply to , or to be selected for implementing funds , or to receive such funds under a programme in shared management. where there is a final judgment or a final administrative decision , the authorising officer responsible should be able to exclude a person or entity , provided that the latter is in an exclusion situation and deemed as not reliable by having engaged in certain serious misconducts referred to in article 139(1). in the absence of a final judgment or a final administrative decision , the authorising officer responsible should be able to exclude , on the basis of a preliminary classification in law made by the panel referred to in article 146 , having regard to facts and findings established in the context of audits or investigations carried out by european anti-fraud office (olaf) , european public prosecutor office (eppo) , the european court of auditors (eca) or any other check , audit or control performed under the responsibility of the authorising officer. such exclusion should be registered in the early-detection and exclusion system database established under article 138(1). member states’ authorities should take it into account by rejecting such persons or entities from being selected to implement union funds or from receiving such funds. payment applications from member states under shared management , including expenditure related to a person or entity that has been excluded , should not be reimbursed. where funds are disbursed to member states under performance-based frameworks , specific rules shall apply , as set out in sector-specific legislation. ### (103) in order to enhance the protection of the union financial interests the early-detection and exclusion system should be reinforced. it is important to avoid that a person or entity in an exclusion situation is able to apply to , or to be selected for implementing funds , or to receive such funds under a programme in shared management , or to be contractor under a programme in shared management. where there is a final judgment or a final administrative decision , the authorising officer responsible should be able to exclude a person or entity , provided that the latter is in an exclusion situation and deemed as not reliable by having engaged in certain serious misconducts referred to in article 139(1). in the absence of a final judgment or a final administrative decision , the authorising officer responsible should be able to exclude , on the basis of a preliminary classification in law made by the panel referred to in article 146 , having regard to facts and findings established in the context of audits or investigations carried out by european anti-fraud office (olaf) , european public prosecutor office (eppo) , the european court of auditors (eca) or any other check , audit or control performed under the responsibility of the authorising officer. such exclusion should be registered in the early-detection and exclusion system database established under article 138(1). member states’ authorities should take it into account by rejecting such persons or entities from being selected to implement union funds or from receiving such funds. payment applications from member states under shared management , including expenditure related to a person or entity that has been excluded , should not be reimbursed. where funds are disbursed to member states under performance-based frameworks , specific rules shall apply , as set out in sector-specific legislation.


### (115) in order to further enhance the protection of the union’s financial interests , it should be possible for the authorising officer to exclude or impose a financial penalty on beneficial owners and affiliated entities of the excluded entity that were involved in the misconduct of the excluded entity. the possibility to exclude beneficial owners and affiliated entities is intended to prevent that a person or entity that has been excluded from being selected to implement union’s funds could continue to participate in procurement and award procedures , through a new company or existing affiliated entities. ### (115) in order to further enhance the protection of the union’s financial interests , it should be possible for the authorising officer to exclude or impose a financial penalty on beneficial owners and affiliated entities , including the main contractors , of the excluded entity that were involved in the misconduct of the excluded entity. the possibility to exclude beneficial owners and affiliated entities is intended to prevent that a person or entity that has been excluded from being selected to implement union’s funds could continue to participate in procurement and award procedures , through a new company or existing affiliated entities.


### (134) in order to improve governance and quality of interoperable digital public services , the union institutions , the executive agencies and the union bodies , such as those referred to in articles 70 and 71 should follow and apply to the greatest possible extent the european interoperability framework. ### (134) in order to improve governance and quality of interoperable digital public services , the member states , the union institutions , the executive agencies and the union bodies , such as those referred to in articles 70 and 71 should follow and apply to the greatest possible extent the european interoperability framework.


### (140) in order to ensure efficient implementation of the union budget , it is appropriate to further clarify the application of the principle of proportionality to indirect management. while the principle of proportionality cannot affect the nature of the obligations imposed by the relevant applicable legal framework , it should be systematically used in the cooperation with union implementing partners , in order to strike the right balance between protection of the union’s financial interests and preserving the union’s ability to implement its policies. certain adjustments and restructuring of the relevant provisions should be made. this should not be interpreted as limiting in practice the necessary rights and access required for the authorising officer responsible , for eppo in respect of those member states participating in enhanced cooperation pursuant to regulation (eu) 2017/1939 , for olaf , for the court of auditors , and , where appropriate , for the relevant national authorities , to comprehensively exert their respective competences. ### (140) in order to ensure efficient implementation of the union budget , it is appropriate to further clarify the application of the principle of proportionality to indirect management. while the principle of proportionality cannot affect the nature of the obligations imposed by the relevant applicable legal framework , it should be systematically used in the cooperation with union implementing partners , in order to strike the right balance between protection of the union’s financial interests and preserving the union’s ability to implement its policies. certain adjustments and restructuring of the relevant provisions , including a harmonisation of the control procedures between the court of auditors on the one hand and the national and regional levels on the other hand should be made. this should not be interpreted as limiting in practice the necessary rights and access required for the authorising officer responsible , for eppo in respect of those member states participating in enhanced cooperation pursuant to regulation (eu) 2017/1939 , for olaf , for the court of auditors , and , where appropriate , for the relevant national authorities , to comprehensively exert their respective competences.


### (161) in order to ensure the absence of professional conflicting interests that may affect or risk affecting the capacity to perform the contract in an independent , impartial and objective manner , it is necessary to clarify the obligations of the contracting authority and of the candidates or tenderers. on the one hand , the candidates , tenderers , and , where appropriate , entities on whose capacity they rely as well as envisaged subcontractors should declare the absence of such conflicting interests , and to provide related information where requested. on the other hand , the contracting authority should assess the existence of such professional conflicting interests when declared or on the basis of additional information. where such professional conflicting interests are established , this should lead to rejection from the award. ### (161) in order to ensure the absence of professional conflicting interests that may affect or risk affecting the capacity to perform the contract in an independent , impartial and objective manner , it is necessary to clarify the obligations of the contracting authority and of the candidates or tenderers. on the one hand , the candidates , tenderers , and , where appropriate , entities on whose capacity they rely as well as envisaged subcontractors should declare the absence of such conflicting interests , and to provide related information where requested. on the other hand , the contracting authority should assess the existence of such professional conflicting interests when declared or on the basis of additional information without interfering or delaying the evaluation of the project. where such professional conflicting interests are established , this should lead to rejection from the award.


### (165) it is necessary to simplify the rules governing dynamic purchasing systems to enable contracting authorities to take full advantage of the possibilities afforded by that purchasing method. in particular , the systems should be operated in the form of a restricted procedure , thus allowing for any economic operator that submits a request to participate and meets the exclusion and selection criteria to take part in procurement procedures carried out through the dynamic purchasing system over its period of validity , which should not be limited to four years. tenders may also be presented in the form of an electronic catalogue particularly for off-the-shelf products or services generally available on the market. moreover , in order to reduce the administrative burden given the dynamic nature of the systems , the requirement to appoint an opening and evaluation committee should be waived for specific procurements under a dynamic purchasing system. considering the progress in digitalisation of procurement procedures , it should be clarified that public openings for open procedures may be organised remotely via video conferences. ### (165) it is necessary to simplify the rules governing dynamic purchasing systems reducing the time consuming procedures , including the resolving of the appeals , to enable contracting authorities to take full advantage of the possibilities afforded by that purchasing method. in particular , the systems should be operated in the form of a restricted procedure , thus allowing for any economic operator that submits a request to participate and meets the exclusion and selection criteria to take part in procurement procedures carried out through the dynamic purchasing system over its period of validity , which should not be limited to four years. tenders may also be presented in the form of an electronic catalogue particularly for off-the-shelf products or services generally available on the market. moreover , in order to reduce the administrative burden given the dynamic nature of the systems , the requirement to appoint an opening and evaluation committee should be waived for specific procurements under a dynamic purchasing system. considering the progress in digitalisation of procurement procedures , it should be clarified that public openings for open procedures may be organised remotely via video conferences.


### (178) experience gained has shown that it is necessary to clarify in which cases a modification is considered altering the subject matter of the contract. ### (178) experience gained has shown that it is necessary to clarify in which cases a modification is considered altering the subject matter of the contract and the selection criteria.


### (1) ‘applicant’ means a natural person or an entity with or without legal personality who has submitted an application in a grant award procedure , in a non-financial donation award procedure or in a contest for prizes; ### (1) ‘applicant’ means a natural person or an entity with or without legal personality who has submitted an application in a grant award procedure , in an award procedure for a loan guaranteed by the union , in a non-financial donation award procedure or in a contest for prizes;


### (5) ‘beneficiary’ means a natural person or an entity with or without legal personality with whom a grant agreement has been signed; ### (5) ‘beneficiary’ means a natural person or an entity with or without legal personality with whom a grant agreement , a loan agreement , non-financial donation agreement has been signed , or a prize has been awarded;


### (20) ‘control’ means any measure taken to provide reasonable assurance regarding the effectiveness , efficiency and economy of operations , the reliability of reporting , the safeguarding of assets and information , the prevention and detection and correction of fraud and irregularities and their follow-up , and the adequate management of the risks relating to the legality and regularity of the underlying transactions , taking into account the multiannual character of programmes as well as the nature of the payments concerned. controls may involve various checks , as well as the implementation of any policies and procedures to achieve the objectives referred to in the first sentence; ### (20) ‘control’ means any measure taken to provide reasonable assurance regarding the effectiveness , efficiency and economy of operations , the reliability of reporting , the safeguarding of assets and information , the prevention and detection and correction of fraud and irregularities and their follow-up , and the adequate management of the risks relating to the legality and regularity of the underlying transactions , taking into account the multiannual character of programmes as well as the nature of the payments concerned. controls may involve various checks , including the coherence and the maintaining of the eligibility criteria throughout the implementation period , as well as the implementation of any policies and procedures to achieve the objectives referred to in the first sentence;


### a situation caused by natural disasters , man-made crisis such as wars and other conflicts or extraordinary circumstances having comparable effects related , inter alia , to climate change , public and animal health , food safety emergencies and global health threats such as pandemics , environmental degradation , privation of access to energy and natural resources or extreme poverty; ### a situation caused by natural disasters , man-made crisis such as wars and other conflicts or extraordinary circumstances having comparable effects related , inter alia , to climate change , public , animal and plant health , food safety emergencies and global health threats such as pandemics , environmental degradation , privation of access to energy and natural resources or extreme poverty;


### 1. the budget shall be established and implemented in accordance with the principles of unity , budgetary accuracy , annuality , equilibrium , unit of account , universality , specification , sound financial management and transparency as set out in this regulation. ### 1. the budget shall be established and implemented in accordance with the principles of unity , budgetary accuracy , annuality , equilibrium , unit of account , universality , specification , sound financial management , respect for rule of law and fundamental rights and transparency as set out in this regulation.


### programmes and activities should be implemented to achieve their set objectives without doing significant harm to the environmental objectives of climate change mitigation , climate change adaptation , the sustainable use and protection of water and marine resources , the transition to a circular economy , pollution prevention and control and the protection and restoration of biodiversity and ecosystems , as set out in article 9 of regulation (eu) 2020/852 of the european parliament and of the council51 . ### programmes and activities should be implemented to achieve their set objectives without doing significant harm to the environmental objectives of climate change mitigation , climate change adaptation , the sustainable use and protection of water and marine resources , the transition to a circular economy , pollution prevention and control and the protection and restoration of biodiversity and ecosystems , as set out in article 9 of regulation (eu) 2020/852 of the european parliament and of the council51 except for crisis situations as defined in art. 2 point (22) of this regulation when priority will be assigned to solving the crisis situation considering the impact on human life.


### programmes and activities should be implemented to achieve their set objectives without doing significant harm to the environmental objectives of climate change mitigation , climate change adaptation , the sustainable use and protection of water and marine resources , the transition to a circular economy , pollution prevention and control and the protection and restoration of biodiversity and ecosystems , as set out in article 9 of regulation (eu) 2020/852 of the european parliament and of the council51 . ### programmes and activities shall , where feasible , appropriate and proportionate , in accordance with the relevant sector-specific rule , be implemented to achieve their set objectives without doing significant harm to the environmental objectives of climate change mitigation , climate change adaptation , the sustainable use and protection of water and marine resources , the transition to a circular economy , pollution prevention and control and the protection and restoration of biodiversity and ecosystems , as set out in article 9 of regulation (eu) 2020/852 of the european parliament and of the council51 .


### prevention , detection , correction and follow-up of fraud , corruption , conflicts of interest , double funding and other irregularities , including through the electronic recording and storage of data on the recipients of union funds including their beneficial owners , as defined in article 3 , point (6) , of directive (eu) 2015/849 , and through the use of a single integrated it system for data-mining and risk-scoring provided by the commission to access and analyse those data ; ### prevention , detection , correction and follow-up of fraud , corruption , conflicts of interest , double funding and other irregularities , including through the electronic recording and storage of data on the recipients of union funds including their beneficial owners and main contractors , as defined in article 3 , point (6) , of directive (eu) 2015/849 , and through the use of a single integrated it system for data-mining and risk-scoring provided by the commission to access and analyse those data ;


### adequate audit trails and data integrity in data systems including electronic ones ; ### adequate and harmonized sectorial audit trails audit trails and data integrity in data systems including electronic ones ;


### the recipient’s full legal name in the case of legal persons , the first and last name in the case of natural persons , their vat identification number or tax identification number where available or another unique identifier at country level and the amount of funding. if a natural person , also the date of birth; ### the recipient’s and the main contractor`s full legal name in the case of legal persons , the first and last name in the case of natural persons , their vat identification number or tax identification number where available or another unique identifier at country level and the amount of funding. if a natural person , also the date of birth;


### the recipient’s full legal name in the case of legal persons , the first and last name in the case of natural persons , their vat identification number or tax identification number where available or another unique identifier at country level and the amount of funding. if a natural person , also the date of birth; ### the recipient’s full legal name in the case of legal persons , the first and last name in the case of natural persons and their vat identification number or tax identification number where available or another unique identifier at country level. if a natural person , also the date of birth;


### the use of and access to the data processed by the single integrated it system for data-mining and risk-scoring shall comply with applicable data protection rules and shall be limited to the commission or an executive agency as referred to in article 69 , the member states implementing the budget pursuant to article 62(1) , first subparagraph , point (b) , the member states that receive and implement union funds pursuant to budget implementation under article 62(1) , first subparagraph , point (a) , the persons or entities implementing the budget pursuant to article 62(1) , first subparagraph , point (c) , olaf , the court of auditors , eppo and other union investigative and control bodies , within the exercise of their respective competences. ### the use of and access to the data processed by the single integrated it system for data-mining and risk-scoring referred to in paragraph 2 of this article shall comply with applicable data protection rules.


### (28) in accordance with the principle of transparency enshrined in article 15 of the treaty on the functioning of the european union (tfeu) , union institutions are to conduct their work as openly as possible. with regard to budget implementation , the application of that principle implies that citizens should know where , and for what purpose , funds are spent by the union. such information fosters democratic debate , contributes to the participation of citizens in the union’s decision-making process , reinforces institutional control and scrutiny over union expenditure , and contributes to boosting its credibility. communication should be more targeted and should aim to increase the visibility of the union contribution for citizens. such objectives should be achieved by the publication , preferably using modern communication tools , of relevant information concerning all recipients of funds financed from the budget which takes into account those recipients’ legitimate interests of confidentiality and security and , as far as natural persons are concerned , their right to privacy and the protection of their personal data. union institutions should therefore adopt a selective approach in the publication of information , in accordance with the principle of proportionality. decisions to publish should be based on relevant criteria in order to provide meaningful information. ### (28) in accordance with the principle of transparency enshrined in article 15 of the treaty on the functioning of the european union (tfeu) , union institutions and member states when implementing the eu budget are to conduct their work as openly as possible. with regard to budget implementation , the application of that principle implies that citizens as beneficiaries of and contributors to the budget should know where , and for what purpose , funds are spent by the union. such information fosters democratic debate , encourages the citizens' identification with and sense of community within the union , contributes to the participation of citizens in the union’s decision-making process , reinforces institutional control and scrutiny over union expenditure , and contributes to boosting its credibility. furthermore it boosts the visibility for eu policies , investments and the european added values. communication should be more targeted and should aim to increase the visibility of the union contribution for citizens. such objectives should be achieved by the publication , preferably using modern communication tools , of relevant information concerning all funding opportunities , such as call for tenders etc. in all forms of management on a dedicated website and of relevant information concerning all recipients of funds financed from the budget which takes into account those recipients’ legitimate interests of confidentiality and security and , as far as natural persons are concerned , their right to privacy and the protection of their personal data. union institutions should therefore adopt a selective approach in the publication of information , in accordance with the principle of proportionality. decisions to publish should be based on relevant criteria in order to provide meaningful information.


### (43) in view of the increased volume of borrowing and lending operations carried out by the commission on behalf of the union to finance the recovery from the covid-19 pandemic , transparency regarding those operations should be further enhanced. to address the increased complexity of those operations and in order to ensure better visibility of their content , a comprehensive overview of borrowing and lending operations carried out by the commission should be added to the document annexed to the section of the budget relating to the commission. ### (43) in view of the increased volume of borrowing and lending operations carried out by the commission on behalf of the union to finance the recovery from the covid-19 pandemic , transparency regarding those operations should be further enhanced. to address the increased complexity of those operations and in order to ensure better visibility of their content , a comprehensive overview of borrowing and lending operations carried out by the commission , including as a minimum detailed information on maturities , schedule of payments , interest due and the role of own resources in the repayment of the debt , should be added to the document annexed to the section of the budget relating to the commission. that document should lay down the underlying data and the methodology used by the commission to estimate the interest due , including through comprehensive graphs and figures.


### (48) ‘non-governmental organisation’ means a voluntary , independent from government , non-profit organisation , which is not a political party or a trade union; ### (48) non-governmental organisation’ means a voluntary , independent from government , non-profit organisation , which is not a political party or a trade union which is organized either on a local , national , european or international level to address issues in support of the public good;


### (55) ‘professional conflicting interests’ means a situation in which the previous or ongoing professional activities of an economic operator affect or risk affecting its capacity to perform a contract in an independent , impartial and objective manner; ### (55) ‘professional conflicting interests’ means a situation in which the previous or ongoing professional activities of an economic operator or an employee of an economic operator , affect or risk affecting its capacity to perform a contract in an independent , impartial and objective manner;


### 1. where budgetary commitments are decommitted in any financial year after the year in which they were made as a result of the total or partial non-implementation of the actions for which they were earmarked , the appropriations corresponding to such decommitments shall be cancelled , unless otherwise provided in regulation (eu) no 1303/2013 , regulation (eu) no 514/2014 , regulation (eu) no 223/2014 , regulation (eu) 2021/1060 and regulation (eu) 2021/2116 and notwithstanding article 15 of this regulation. ### 1. where budgetary commitments are decommitted in any financial year after the year in which they were made as a result of the total or partial non-implementation of the actions for which they were earmarked , the appropriations corresponding to such decommitments shall be made available again to the benefit of any budget line in the same heading or be transferred to the flexibility instrument.


### article 15 ### deleted


### 5. a basic act may assign the revenue for which it provides to specific items of expenditure. unless otherwise specified in the basic act , such revenue shall constitute internal assigned revenue. ### 5. the european parliament and the council , acting in accordance with the ordinary legislative procedure , may assign the revenue provided for a basic act to specific items of expenditure. unless otherwise specified in the basic act , such revenue shall constitute internal assigned revenue.


### an attached annex , forming an integral part of the budget , setting out all the budget lines for which external assigned revenue is foreseen and providing information on the estimated amount of such revenue to be received. ### in the statement of expenditure , an annex , forming an integral part of the budget , setting out all the budget lines for which internal or external assigned revenue is foreseen and providing information on the estimated amount of such revenue to be received; for each budget line , that information shall be broken down into the specific categories of assigned revenue referred to in article 21(2) , (3) and (5) , including a justification for the choice of the foreseen category.


### 9. for the purposes of the application of the requirements of paragraphs 2 , 3 and 6 of this article by member states implementing the budget under article 62(1) , first subparagraph , point (b) , references to recipients shall be understood as references to beneficiaries as defined in sector-specific rules. ### 9. for the purposes of the application of the requirements of paragraphs 2 , 3 and 6 of this article by member states implementing the budget under article 62(1) , first subparagraph , point (b) , references to recipients shall be understood as in article 2 , paragraph 1 , point 58 of this regulation and shall also include sub-beneficiaries , subcontractors and sub-entities or subsidiaries receiving prizes.


### where the budget is implemented in accordance with article 62(1) , first subparagraph , points (b) and (c) , and with member states in accordance to article 62(1) , first subparagraph , point (a) , the commission shall make available on its website information on recipients no later than 30 june of the year following the financial year in which the contract or agreement setting out the conditions of support was established. where the budget is implemented in accordance with article 62(1) , first subparagraph , point (b) , references in this article to recipients shall be understood as references to beneficiaries as defined in sector-specific rules. ### where the budget is implemented in accordance with article 62(1) , first subparagraph , points (b) and (c) , and with member states in accordance to article 62(1) , first subparagraph , point (a) , the commission shall make available on its website information on recipients no later than 30 june of the year following the financial year in which the contract or agreement setting out the conditions of support was established. where the budget is implemented in accordance with article 62(1) , first subparagraph , point (b) , references in this article to recipients shall be understood as in article 2 , paragraph 1 , point 58 of this regulation and shall also include sub-beneficiaries , subcontractors and sub-entities or subsidiaries receiving prizes.


### 2. save in the cases referred to in paragraph 3 , the following information shall be published in an open , interoperable and machine-readable format , which allows data to be sorted , searched , extracted , compared and reused , having due regard for the requirements of confidentiality and security , in particular the protection of personal data: ### 2. save in the cases referred to in paragraph 3 , the following information shall be published in an open , interoperable and machine-readable format , which allows data to be sorted , searched , extracted , compared , and reused and downloaded in individual datasets or complete database as a bulk download , having due regard for the requirements of confidentiality and security , in particular the protection of personal data:


### where disclosure risks threatening the rights and freedoms of the persons or entities concerned as protected by the charter of fundamental rights of the european union or harming the commercial interests of the recipients; ### where disclosure risks threatening the rights and freedoms of the persons or entities concerned as protected by the charter of fundamental rights of the european union or seriously harming the commercial interests of the recipients;


### where it is not required for publication in sector-specific rules where the budget is implemented in accordance with article 62(1) , first subparagraph , point (b) . ### where it is not allowed for publication in sector-specific rules where the budget is implemented in accordance with article 62(1) , first subparagraph , point (b) .


### for the purposes of the first and second subparagraphs of paragraph 1 of this article and without prejudice to paragraph 4 and to sector-specific rules , union institutions implementing the budget pursuant to article 59(1) , member states implementing the budget pursuant to article 62(1) , first subparagraph , point (b) , member states that receive and implement union funds pursuant to budget implementation under article 62(1) , first subparagraph , point (a) , persons or entities implementing the budget pursuant to article 62(1) , first subparagraph , point (c) and union bodies referred to in articles 70 and 71 shall transmit electronically to the commission , in an open , interoperable and machine-readable format , at least once a year and at the latest by 31 march of the year following the financial year in which the funds were legally committed or in which the contract or agreement setting out the conditions of support was established , whichever is applicable , the data on their recipients referred to in paragraph 2 of this article with the exception of the data referred to in the first subparagraph of paragraph 3 of this article. ### the commission shall use the data stored in the system referred to in paragraph 2 of article 36 to feed the website referred to in paragraph 1 of this article.


### — a comprehensive overview of borrowing and lending operations; ### — a comprehensive overview of borrowing and lending operations; that overview shall provide inter alia detailed information on maturities , schedule of payments , interest due , the underlying data and the methodology used to estimate the interest due (including through comprehensive graphs and figures) , investor base , where applicable dimension and costs of the common liquidity pool underpinning the diversified funding strategy and on the role of own resources in the repayment of the debt , and information on expected annual amount to borrow in the following years and estimated amount available under the own resources ceiling to cover this borrowing;


### 1. where the commission implements the budget under shared management , tasks relating to budget implementation shall be delegated to member states. the commission and member states shall respect the principles of sound financial management , transparency and non-discrimination and shall ensure the visibility of the union action when they manage union funds. to that end , the commission and member states shall fulfil their respective control and audit obligations and assume the resulting responsibilities laid down in this regulation. complementary provisions shall be laid down in sector-specific rules. ### 1. where the commission implements the budget under shared management , tasks relating to budget implementation shall be delegated to member states. the commission and member states shall respect the principles of sound financial management , transparency , the provisions of regulation (eu , euratom) 2020/2092 on a general regime of conditionality for the protection of the union budget , the fundamental rights set out in the charter of fundamental rights including equality between women and men and non-discrimination and shall ensure the visibility of the union action and its added value when they manage union funds. to that end , the commission and member states shall fulfil their respective control and audit obligations and assume the resulting responsibilities laid down in this regulation. complementary provisions shall be laid down in sector-specific rules.


### union contributions under direct , shared and indirect management shall help achieve a union policy objective and the results specified and may take any of the following forms: ### union contributions under direct , shared and indirect management shall help achieve a union policy objective and the results specified , shall not substitute recurring national budgetary expenditure , shall respect the principle of additionality of union funding and may take any of the following forms:


### 2. the authorising officer responsible shall exclude a person or entity referred to in article 138(2)(i) , (j) , (k) and (l) where that person or entity is in one or more of the exclusion situations referred to in point (iv) of article 139(1)(c) or points (d) of article 139(1). in the absence of a final judgment or a final administrative decision , the decision shall be taken on the basis of a preliminary classification in law of a conduct as referred to in those points , having regard to the established facts and findings under article 139 , paragraph 3 , fourth subparagraph , points (a) and (d) , contained in the recommendation of the panel referred to in article 146. ### deleted


### 8. at the request of the authorising officer , and where the nature or the circumstances of the case requires it , a referral for a recommendation of the panel referred in article 146 may be treated by means of expedited procedure , without prejudice to the right to be heard of the person or entity concerned. ### 8. at the request of the authorising officer , a referral for a recommendation of the panel referred in article 146 may be treated by means of expedited procedure , without prejudice to the right to be heard of the person or entity concerned , and only where the nature or the circumstances of the case requires it , such as where:


### in order to , where necessary , reinforce the deterrent effect of the exclusion and/or financial penalty , the commission shall , subject to a decision of the authorising officer responsible , publish on its website the following information related to the exclusion and , where applicable , the financial penalty in the cases referred to in points (c) to (h) of article 139(1): ### in order to , where necessary , reinforce the deterrent effect of the exclusion and/or financial penalty , the commission shall , subject to a decision of the authorising officer responsible , publish on its website the following information related to the exclusion and , where applicable , the financial penalty in the cases referred to in points (c) to (i) of article 139(1):


### except where the budget is entrusted to persons or entities in article 62 , paragraph 1 , point (c) , according to the modalities referred to in article 158(4) , all persons and entities involved in budget implementation shall enforce such decisions with regards to the person or entity applying for , selected or receiving union funds. ### all persons and entities involved in budget implementation shall enforce such decisions with regards to the person or entity applying for , selected or receiving union funds.


### 2. persons and entities entrusted with the implementation of union funds or budgetary guarantees pursuant to point (c) of the first subparagraph of article 62(1) shall respect the principles of sound financial management , transparency , non-discrimination and visibility of union action. where the commission establishes financial framework partnership agreements in accordance with article 130 those principles shall be further described in such agreements. ### 2. persons and entities entrusted with the implementation of union funds or budgetary guarantees pursuant to point (c) of the first subparagraph of article 62(1) shall respect the principles of sound financial management , transparency , the provisions of regulation (eu , euratom) 2020/2092 on a general regime of conditionality for the protection of the union budget , fundamental rights set out in the charter of fundamental rights including equality between women and men , non-discrimination and shall ensure visibility of union action and its added value. where the commission establishes financial framework partnership agreements in accordance with article 130 those principles shall be further described in such agreements.


### (2) due to the direct links between a sustainable recovery , building the union’s resilience and the union’s energy security , and its role for a just and inclusive transition , the recovery and resilience facility is a well-suited instrument to contribute to the union’s response to these newly emerging challenges. ### (2) due to the direct links between a sustainable recovery , building the union’s resilience and the union’s energy security , and its role for a just and inclusive transition , the recovery and resilience facility and the european structural and investment funds are well-suited instruments to contribute to the union’s response to these newly emerging challenges.


### (2) due to the direct links between a sustainable recovery , building the union’s resilience and the union’s energy security , and its role for a just and inclusive transition , the recovery and resilience facility is a well-suited instrument to contribute to the union’s response to these newly emerging challenges. ### (2) due to the direct links between a sustainable recovery , building the union’s resilience and the union’s energy security , and its role for a just and inclusive transition , the recovery and resilience facility is a well-suited instrument to contribute to the union’s response to these newly emerging challenges , while ensuring compliance with union´s legislation1a and with existing international commitments , including those stemming from the aarhus and bern conventions.


### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to diversifying energy supplies , in particular fossil fuels , thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency of the member states’ economies. ### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to diversifying energy supplies , in particular fossil fuels , thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency of the member states’ economies , further investments in renewable energies , interconnections between member states and supporting the most vulnerable households and smes suffering the consequences of the increase of energy prices.


### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to diversifying energy supplies , in particular fossil fuels , thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency of the member states’ economies. ### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to a swift union´s renewable energy transition , including geothermal , to prioritising wind and solar energy generation and infrastructure specifically on urban and industrial areas , to boosting innovative and sustainable agri-photovoltaic systems , to diversifying energy supplies , and thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency of the member states’ economies.


### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to diversifying energy supplies , in particular fossil fuels , thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency of the member states’ economies. ### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to diversifying energy supplies , in particular fossil fuels , thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency and energy savings of the member states’ economies through fast revision and better coherence with the renewable energy directive , the energy efficiency directive , the energy performance buildings directive and the ecodesign for sustainable products regulation.


### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to diversifying energy supplies , in particular fossil fuels , thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency of the member states’ economies. ### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to diversifying energy supplies , in particular fossil fuels , nuclear and lng , thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency of the member states’ economies and increasing the use of renewable energy , including hydrogen. furthermore , in its versailles declaration of 10-11 march 2022 , the european council called for reducing eu strategic dependencies and invited , inter alia , the commission to present options to address rising food prices and the issue of global food security as soon as possible.


### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to diversifying energy supplies , in particular fossil fuels , thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency of the member states’ economies. ### (3) the versailles declaration of 10-11 march 2022 of the heads of states and governments invited the commission to propose by the end of may a repowereu plan to phase out the dependency on russian fossil fuel imports , which was subsequently reiterated in the european council conclusions of 24-25 march 2022. this should be done well before 2030 in a way that is consistent with the eu’s green deal and the climate objectives for 2030 and 2050 enshrined in the european climate law. regulation (eu) 2021/241 should therefore be amended to enhance its ability to support reforms and investments dedicated to diversifying energy supplies , and swift union´s renewable energy transition , including geothermal , and prioritising wind and solar energy generation and infrastructure specifically on urban and industrial areas , boosting innovative and sustainable agri-photovoltaic systems , thereby strengthening the strategic autonomy of the union alongside an open economy. support should also be given to reforms and investments increasing the energy efficiency of the member states’ economies.


### (4) to maximise complementarity , consistency and coherence of policies and actions taken by the union and member states to foster independence and security of the union’s energy supply , these energy-related reforms and investments should be established through a dedicated ‘repowereu chapter’ of the recovery and resilience plans. ### (4) to maximise complementarity , consistency and coherence of policies and actions taken by the union and member states to foster independence and security of the union’s energy supply , these energy-related reforms and investments should be established through a dedicated ‘repowereu chapter’ of the recovery and resilience plans and specific investments of the european structural and investment funds within 2014-2020 and 2021-2027 programming period.


### (6) the repowereu chapter should include new reforms and investments contributing to the repowereu aims. furthermore , that chapter should contain an outline of other measures , financed from sources other than the recovery and resilience facility , contributing to the energy-related objectives outlined in recital (3). the outline should cover measures whose implementation should take place between 1 february 2022 to 31 december 2026 , the period during which the objectives set by this regulation are to be achieved. as regards natural gas infrastructure , the investments and reforms of the repowereu chapters to diversify supply away from russia should build on the needs currently identified through the assessment conducted and agreed by the european network of transmission system operators for gas (entsog) , established in the spirit of solidarity as regards security of supply and take into account the reinforced preparedness measures taken to adapt to new geopolitical threats. finally , the repowereu chapters should provide an explanation and a quantification of the effects of the combination of the reforms and investments financed by the recovery and resilience facility and the other measures financed by other sources than the recovery and resilience facility. ### (6) the repowereu chapter should include new reforms and investments contributing to the repowereu aims. furthermore , that chapter should contain an outline of other measures , financed from sources other than the recovery and resilience facility , contributing to the energy-related objectives outlined in recital (3). the outline should cover measures whose implementation should take place between 1 february 2022 to 31 december 2026 , the period during which the objectives set by this regulation are to be achieved. as regards natural gas infrastructure , the investments and reforms of the repowereu chapters to diversify supply away from russia should build on the needs currently identified through the assessment conducted and agreed by the european network of transmission system operators for gas (entsog) , established in the spirit of solidarity as regards security of supply and take into account the reinforced preparedness measures taken to adapt to new geopolitical threats. considering the new repowereu objectives , investments in interconnexion infrastructure for hydrogen , should be accelerated so that such infrastructure could temporarily supply gas between different member states , in order to further strengthen the diversification of supply away from russia. to this end , changes should accordingly be made to the regulation (eu) 2021/1153 establishing the connecting europe facility (cef) which would allow for the inclusion of such projects as projects of common interest (pcis). finally , the repowereu chapters should provide an explanation and a quantification of the effects of the combination of the reforms and investments financed by the recovery and resilience facility and the other measures financed by other sources than the recovery and resilience facility.


### (6) the repowereu chapter should include new reforms and investments contributing to the repowereu aims. furthermore , that chapter should contain an outline of other measures , financed from sources other than the recovery and resilience facility , contributing to the energy-related objectives outlined in recital (3). the outline should cover measures whose implementation should take place between 1 february 2022 to 31 december 2026 , the period during which the objectives set by this regulation are to be achieved. as regards natural gas infrastructure , the investments and reforms of the repowereu chapters to diversify supply away from russia should build on the needs currently identified through the assessment conducted and agreed by the european network of transmission system operators for gas (entsog) , established in the spirit of solidarity as regards security of supply and take into account the reinforced preparedness measures taken to adapt to new geopolitical threats. finally , the repowereu chapters should provide an explanation and a quantification of the effects of the combination of the reforms and investments financed by the recovery and resilience facility and the other measures financed by other sources than the recovery and resilience facility. ### (6) the repowereu chapter should include new reforms and investments contributing to the repowereu aims. furthermore , that chapter should contain an outline of other measures , financed from sources other than the recovery and resilience facility , contributing to the energy-related objectives outlined in recital (3). the outline should cover measures whose implementation should take place between 1 february 2022 to 31 december 2026 , the period during which the objectives set by this regulation are to be achieved. as regards natural gas infrastructure , the investments and reforms of the repowereu chapters to diversify supply away from russia should build on the needs currently identified through the assessment conducted and agreed by the european network of transmission system operators for gas (entsog) , established in the spirit of solidarity as regards security of supply and take into account the reinforced preparedness measures taken to adapt to new geopolitical threats. to this end , additional support could be ensured by complimentary recommendations for possible cross-border and trans national projects granting added european value. finally , the repowereu chapters should provide an explanation and a quantification of the effects of the combination of the reforms and investments financed by the recovery and resilience facility and the other measures financed by other sources than the recovery and resilience facility.


### (6) the repowereu chapter should include new reforms and investments contributing to the repowereu aims. furthermore , that chapter should contain an outline of other measures , financed from sources other than the recovery and resilience facility , contributing to the energy-related objectives outlined in recital (3). the outline should cover measures whose implementation should take place between 1 february 2022 to 31 december 2026 , the period during which the objectives set by this regulation are to be achieved. as regards natural gas infrastructure , the investments and reforms of the repowereu chapters to diversify supply away from russia should build on the needs currently identified through the assessment conducted and agreed by the european network of transmission system operators for gas (entsog) , established in the spirit of solidarity as regards security of supply and take into account the reinforced preparedness measures taken to adapt to new geopolitical threats. finally , the repowereu chapters should provide an explanation and a quantification of the effects of the combination of the reforms and investments financed by the recovery and resilience facility and the other measures financed by other sources than the recovery and resilience facility. ### (6) the repowereu chapter should include new reforms and investments contributing to the repowereu aims and tackle , in a comprehensive manner , the crisis effects determined by the russian military aggression against ukraine. furthermore , that chapter should contain an outline of other measures , financed from sources other than the recovery and resilience facility , contributing to the energy-related objectives outlined in recital (3). the outline should cover measures whose implementation should take place between 1 february 2022 to 31 december 2026 , the period during which the objectives set by this regulation are to be achieved. as regards natural gas infrastructure , the investments and reforms of the repowereu chapters to diversify supply away from russia should build on the needs currently identified through the assessment conducted and agreed by the european network of transmission system operators for gas (entsog) , established in the spirit of solidarity as regards security of supply and take into account the reinforced preparedness measures taken to adapt to new geopolitical threats. finally , the repowereu chapters should provide an explanation and a quantification of the effects of the combination of the reforms and investments financed by the recovery and resilience facility and the other measures financed by other sources than the recovery and resilience facility.


### (8) investments in infrastructure and technologies alone are not sufficient to ensure a reduction of dependency from fossil fuels. resources should be dedicated to the reskilling and upskilling of people , to further equip the workforce with green skills. this is in line with the objective of the european social fund plus , which aims at supporting member states in achieving a skilled and resilient workforce ready for the future world of work. in light of this , resources transferred from the european social fund plus should help support measures for the reskilling and upskilling of the workforce. the commission will assess whether the measures included in the repowereu chapters significantly contribute to supporting a requalification of the workforce towards green skills. ### (8) investments in infrastructure and technologies alone are not sufficient to ensure a reduction of dependency from fossil fuels. resources should be dedicated to the reskilling and upskilling of people , to further equip the workforce with green skills. this is in line with the objective of the european social fund plus , which aims at supporting member states in achieving a skilled and resilient workforce ready for the future world of work. in light of this , resources allocated from the european social fund plus should help support measures for the reskilling and upskilling of the workforce. the commission will assess whether the measures included in the repowereu chapters significantly contribute to supporting a requalification of the workforce towards green skills.


### (12) pursuant to article 18(4) point (q) of regulation (eu) 2021/241 , the member states should also provide a summary of the consultation process of local and regional authorities and other relevant stakeholders , including , as relevant , from the agricultural sector , for reforms and investments included in the repowereu chapter. such summaries should explain the outcome of those consultations and outline how the input received was reflected in repowereu chapters. ### (12) pursuant to article 18(4) point (q) of regulation (eu) 2021/241 , the member states should also provide a summary of the consultation process of local and regional authorities and other relevant stakeholders , including , as relevant , from the non-governmental and agricultural sectors , for reforms and investments included in the repowereu chapter. such summaries should explain the outcome of those consultations and outline how the input received was reflected in repowereu chapters.


### (13) the application of the ‘do no significant harm’ principle is essential to ensure that the investments and reforms undertaken as part of the recovery from the pandemic are implemented in a sustainable manner. it should continue to apply to the reforms and investments supported by the facility , with one targeted exemption to safeguard the eu’ immediate energy security concerns. considering the objective of diversifying energy supplies away from russian suppliers , the reforms and investments set out in those repowereu chapters which aim to improve energy infrastructure and facilities to meet immediate security of supply needs for oil and gas should not be required to comply with the principle of ‘do no significant harm’ and should therefore be exempted from such assessment. ### (13) the application of the ‘do no significant harm’ principle is essential to ensure that the investments and reforms undertaken as part of the recovery from the pandemic are implemented in a sustainable manner. it should continue to apply to the reforms and investments supported by the facility and esif , with one targeted exemption to safeguard the eu’ immediate energy security concerns. considering the objective of diversifying energy supplies away from russian suppliers , the reforms and investments set out in those repowereu chapters and expenditure established within programmes of shared management resources which aim to improve energy infrastructure and facilities to meet immediate security of supply needs for oil and gas should not be required to comply with the principle of ‘do no significant harm’ and should therefore be exempted from such assessment.


### (13) the application of the ‘do no significant harm’ principle is essential to ensure that the investments and reforms undertaken as part of the recovery from the pandemic are implemented in a sustainable manner. it should continue to apply to the reforms and investments supported by the facility , with one targeted exemption to safeguard the eu’ immediate energy security concerns. considering the objective of diversifying energy supplies away from russian suppliers , the reforms and investments set out in those repowereu chapters which aim to improve energy infrastructure and facilities to meet immediate security of supply needs for oil and gas should not be required to comply with the principle of ‘do no significant harm’ and should therefore be exempted from such assessment. ### (13) the application of the ‘do no significant harm’ principle is essential to ensure that the investments and reforms undertaken as part of the recovery from the pandemic are implemented in a sustainable manner. it should continue to apply to the reforms and investments supported by the facility.


### (15) in addition , to incentivise a high level of ambition for reforms and investments to be included in the repowereu chapter , new dedicated funding sources should be provided. ### (15) in addition , to incentivise a high level of ambition for reforms and investments to be included in the repowereu chapter , new dedicated funding sources should be provided to secure better and more effective use of the loans of the members states , as well as more efficient and flexible mobilising of the existing funds.


### (16) while extending the current intake rate of allowances to the market stability reserve is needed to prevent in long term a significant increase of the surplus of allowances in the greenhouse gas emission allowance trading within the union , the current economical and geopolitical situation requires the union to mobilise available resources to rapidly diversify union’s energy supply and reduce dependence on fossil fuels before 2030. in this context , decision (eu) 2015/1814 of the european parliament and of the council4 and directive 2003/87/ec of the european parliament and of the council5 should be amended to extend the doubling of the 24% intake rate of the market stability reserve until 2030 , while allowing for an exceptional release and monetisation of a portion of allowances from the market stability reserve and directing revenues towards reforms and investments contributing to repowereu objectives , in the recovery and resilience facility framework. ### deleted


### (16) while extending the current intake rate of allowances to the market stability reserve is needed to prevent in long term a significant increase of the surplus of allowances in the greenhouse gas emission allowance trading within the union , the current economical and geopolitical situation requires the union to mobilise available resources to rapidly diversify union’s energy supply and reduce dependence on fossil fuels before 2030. in this context , decision (eu) 2015/1814 of the european parliament and of the council4 and directive 2003/87/ec of the european parliament and of the council5 should be amended to extend the doubling of the 24% intake rate of the market stability reserve until 2030 , while allowing for an exceptional release and monetisation of a portion of allowances from the market stability reserve and directing revenues towards reforms and investments contributing to repowereu objectives , in the recovery and resilience facility framework. ### (16) while extending the current intake rate of allowances to the market stability reserve is needed to prevent in long term a significant increase of the surplus of allowances in the greenhouse gas emission allowance trading within the union , the current economical and geopolitical situation requires the union to mobilise available resources to rapidly diversify union’s energy supply and reduce dependence on fossil fuels before 2030. in this context , decision (eu) 2015/1814 of the european parliament and of the council4 and directive 2003/87/ec of the european parliament and of the council5 should be amended to extend the doubling of the 24% intake rate of the market stability reserve until 2030 , while allowing for an exceptional release and monetisation of a portion of allowances from the market stability reserve and directing revenues towards reforms and investments contributing to repowereu objectives , in the recovery and resilience facility framework. in keeping with the objectives of directive 2003/87/ec , such revenues should not finance investments in fossil fuel infrastructure or facilities.