### the efsi agreement shall provide that the efsi shall have an investment committee , which shall be responsible for examining potential operations in line with the efsi investment policies and approving the support of the eu guarantee for operations in line with article 5 , irrespective of their geographic location . ### the efsi agreement shall provide that the efsi shall have an investment committee , which shall be responsible for examining any potential operations in line with the efsi investment policies including the criteria of additionality , as determined by the steering board pursuant to article 5 , as well as approving the support of the eu guarantee for operations under this regulation .


### decisions of the investment committee shall be taken by simple majority . ### decisions of the investment committee shall be taken by a two - thirds majority .


### the union shall provide a guarantee to the eib for financing or investment operations carried out within the union covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 . ### the union shall provide an irrevocable and unconditional guarantee for financing or investment operations carried out within the union , or operations between a member state and a country falling within the scope of the european neighbourhood policy including strategic partnership , the enlargement policy , and the european economic area or the european free trade association , or between a member state and an overseas country or territory , as set out in annex ii of the treaty on the functioning of the european union , covered by this regulation and the efsi agreement . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 .


### the union shall provide a guarantee to the eib for financing or investment operations carried out within the union covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 . ### the union shall provide a guarantee to the eib and to national promotional banks via the eib for financing or investment operations carried out within the union covered by this regulation and by the efsi agreement . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 .


### the union shall provide a guarantee to the eib for financing or investment operations carried out within the union covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 . ### the union shall provide a guarantee to the eib for financing or investment operations carried out within the union covered by this regulation . without prejudice to this regulation , the eu guarantee shall be irrevocable and unconditional and granted as a guarantee on demand in respect of instruments referred to in article 6 . it shall aim at regulatory capital relief in case granted to a promotional bank or an investment platform .


### the union shall provide a guarantee to the eib for financing or investment operations carried out within the union covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 . ### the union shall provide an irrevocable and unconditional guarantee for financing or investment operations carried out within the union , or operations between a member state and a country falling within the scope of the european neighbourhood policy including the strategic partnership , the enlargement policy , and the european economic area or the european free trade association , or investments implementing the eu macro - regional strategies and operations between a member state and an overseas country or territory , as set out in annex ii of the treaty on the functioning of the european union , covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 .


### the union shall provide a guarantee to the eib for financing or investment operations carried out within the union covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 . ### the union shall provide an irrevocable and unconditional guarantee for financing or investment operations carried out within the union , or operations between a member state and a country falling within the scope of the european neighbourhood policy including the strategic partnership , the enlargement policy , and the european economic area or the european free trade association , or between a member state and an overseas country or territory , as set out in annex ii of the treaty on the functioning of the european union , covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 .


### the union shall provide a guarantee to the eib for financing or investment operations carried out within the union covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 . ### the union shall provide an irrevocable and unconditional guarantee to the eib via the efsi for financing or investment operations carried out within the union covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 . the guarantee shall be available for projects in third countries provided that these projects involve cross - border cooperation with a member state and that there is a written agreement between the countries concerned by the project .


### the union shall provide a guarantee to the eib for financing or investment operations carried out within the union covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 . ### the union shall provide an irrevocable , and unconditional guarantee for financing or investment operations carried out within the union , covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 .


### the union shall provide a guarantee to the eib for financing or investment operations carried out within the union covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 . ### the union shall provide an irrevocable and unconditional guarantee for financing or investment operations carried out within the union , including cross - border cooperation between member states and a third country , covered by this regulation . the eu guarantee shall be granted as a guarantee on demand in respect of instruments referred to in article 6 .


### the eu guarantee shall be granted for eib financing and investment operations approved by the investment committee referred to in article 3 or funding to the eif in order to conduct eib financing and investment operations in accordance with article 7 . the operations concerned shall be consistent with union policies and support any of the following general objectives : ### the eu guarantee shall be granted for eib financing and investment operations approved by the investment committee referred to in article 3 or funding to the eif in order to conduct financing and investment operations by the eib and by national and local investment banks in accordance with article 7 . the operations concerned shall be consistent with union policies and support any of the following general objectives :


### eib loans , guarantees , counter - guarantees , capital market instruments , any other form of funding or credit enhancement instrument , equity or quasi - equity participations . these instruments shall be granted , acquired or issued for the benefit of operations carried out in the union , including cross - border operations between a member state and a third country , in compliance with this regulation and where eib financing has been granted in accordance with a signed agreement which has neither expired nor been cancelled ; ### eib loans , guarantees , counter - guarantees , capital market instruments , microfinance , any other form of funding or credit enhancement instrument , equity or quasi - equity participations . these instruments shall be granted , acquired or issued for the benefit of operations carried out in the union , including cross - border operations between a member state and a third country , in compliance with this regulation and where eib financing has been granted in accordance with a signed agreement which has neither expired nor been cancelled ;


### eib loans , guarantees , counter - guarantees , capital market instruments , any other form of funding or credit enhancement instrument , equity or quasi - equity participations . these instruments shall be granted , acquired or issued for the benefit of operations carried out in the union , including cross - border operations between a member state and a third country , in compliance with this regulation and where eib financing has been granted in accordance with a signed agreement which has neither expired nor been cancelled ; ### eib loans , guarantees , including guarantees covering political risks , counter - guarantees , capital market instruments , microfinance and any other form of funding or credit enhancement instrument , equity or quasi - equity participations . these instruments shall be granted , acquired or issued for the benefit of operations carried out in compliance with this regulation and where eib financing has been granted in accordance with a signed agreement which has neither expired nor been cancelled ;


### where the union makes any payment under the eu guarantee , the eib shall pursue the recovery of claims for the amounts paid and reimburse the union from the sums recovered . ### where the union makes any payment under the eu guarantee , the eib or the national and regional investment banks shall pursue the recovery of claims for the amounts paid and reimburse the union from the sums recovered .


### the eu guarantee to the eib shall be of an amount equal to eur 16 000 000 000 , of which a maximum amount of eur 2&#160 ; 500 000 000 may be allocated for eib funding to the eif in accordance with paragraph 2 . without prejudice to article 8 , aggregate payments from the union under the guarantee to the eib shall not exceed the amount of the guarantee . 2 . the coverage of the guarantee over a particular type of instrument portfolio , referred to in article 6 , shall be determined by the risk of that portfolio . the eu guarantee shall be eligible to provide either first loss guarantees on a portfolio basis or a full guarantee . the eu guarantee may be granted on a pari passu basis with other contributors . where the eib provides funding to the eif in order to conduct eib financing and investment operations , the eu guarantee shall provide for a full guarantee on funding by the eib provided that an equal amount of funding is provided by the eib without eu guarantee . the amount covered by the eu guarantee shall not exceed eur 2 500 000 000 . 3 . where the eib calls the eu guarantee in accordance with the efsi agreement , the union shall pay on demand in accordance with the terms of that agreement . 4 . where the union makes any payment under the eu guarantee , the eib shall pursue the recovery of claims for the amounts paid and reimburse the union from the sums recovered . ### the eu guarantee to the eib shall be of an amount equal to eur 16 000 000 000 , of which at least eur 5 000 000 000 shall be allocated for eib funding to the eif in accordance with paragraph 2 , for the purposes set out in article 1 . without prejudice to article 8 , aggregate payments from the union under the guarantee to the eib shall not exceed the amount of the guarantee . an amount of at least eur 5 000 000 000 shall be allocated for eib funding to the dedicated energy efficiency fund in accordance with article 5 . . 1a . the eu guarantee shall be granted for support of alternative investment fund managers , which manage alternative investment funds authorised in accordance with directive 2011 / 61 / eu , managers of collective investment undertakings authorised in accordance with regulation 2013 / 345 / eu , and managers of collective investment undertakings in accordance with regulation 2013 / 346 / ec , based on an agreement with the eib or the eif in accordance with paragraph 2 and provided that these activities comply with the objectives and eligibility criteria set out in article 5 . 2 . 2 . the coverage of the guarantee over a particular type of instrument portfolio , referred to in article 6 , shall be determined by the risk of that portfolio . the eu guarantee shall be eligible to provide either first loss guarantees on a portfolio basis or a full guarantee . the eu guarantee may be granted on a pari passu basis with other contributors . where the eib provides funding to the eif in order to conduct eib financing and investment operations , the eu guarantee shall provide for a full guarantee on funding by the eib provided that an equal amount of funding is provided by the eib without eu guarantee . the amount covered by the eu guarantee shall be at least eur 5 000 000 000 . this funding shall be used to support smes , start - ups , spin - offs and small mid - caps . 3 . where the eib calls the eu guarantee in accordance with the efsi agreement , the union shall pay on demand in accordance with the terms of that agreement . 4 . where the union makes any payment under the eu guarantee , the eib shall pursue the recovery of claims for the amounts paid and reimburse the union from the sums recovered .


### where the eib provides funding to the eif in order to conduct eib financing and investment operations , the eu guarantee shall provide for a full guarantee on funding by the eib provided that an equal amount of funding is provided by the eib without eu guarantee . the amount covered by the eu guarantee shall not exceed eur 2 500 000 000 . ### where the eib provides funding to the eif through the efsi in order to conduct eib financing and investment operations , the eu guarantee shall provide for a full guarantee on funding by the eib provided that an equal amount of funding is provided by the eib without eu guarantee . the amount covered by the eu guarantee shall not exceed eur 2 500 000 000 .


### where the union makes any payment under the eu guarantee , the eib shall pursue the recovery of claims for the amounts paid and reimburse the union from the sums recovered . ### when the eu guarantee is called upon , the rights of the union shall be subrogated to any relevant rights of the eib in respect of any obligation in connection to its financing operations , in accordance with the guarantee agreement . where the union makes any payment under the eu guarantee , the eib shall , in the name and on behalf of the commission , pursue the recovery of claims for the amounts paid and reimburse the union from the sums recovered in accordance with the provisions and procedures referred to in article 2 .


### an eu guarantee fund shall be established from which the eib may be paid in the event of a call on the eu guarantee . 2 . the guarantee fund shall be endowed by : payments from the general budget of the union , returns on guarantee fund resources invested , amounts recovered from defaulting debtors in accordance with the recovery procedure laid down in the efsi agreement as provided for in article 2 , any other payments received by the union in accordance with the efsi agreement . 3 . endowments to the guarantee fund provided for in points and of paragraph 2 shall constitute internal assigned revenues in accordance with article 21 of regulation no 966 / 2012 . 4 . the resources of the guarantee fund provided to it under paragraph 2 shall be directly managed by the commission and invested in accordance with the principle of sound financial management and follow appropriate prudential rules . 5 . endowments to the guarantee fund referred to in paragraph 2 shall be used to reach an appropriate level to reflect the total eu guarantee obligations . the target amount shall be set at 50% of the union ' s total guarantee obligations . the target amount shall initially be met by the gradual payment of resources referred to in paragraph 2 . if there have been calls on the guarantee during the initial constitution of the guarantee fund , endowments to the guarantee fund provided for in points , and of paragraph 2 shall also contribute to meet the target amount up to an amount equal to the calls on the guarantee . 6 . by 31 december 2018 , and every year thereafter , the commission shall review the adequacy of the level of the guarantee fund taking into account any reduction of resources resulting from the activation of the guarantee and the eib ' s assessment submitted in accordance with article 10 . the commission shall be empowered to adopt delegated acts in accordance with article 17 adjusting the target amount provided for in paragraph 5 by a maximum of 10% to better reflect the potential risk of the eu guarantee being called . 7 . following an adjustment in year n of the target amount or an assessment on the adequacy of the level of the guarantee fund in accordance with the review provided for in paragraph 6 : any surplus shall be paid in one transaction to a special heading in the statement of revenue in the general budget of the european union of the year n + 1 , any replenishment of the guarantee fund shall be paid in annual tranches during a maximum period of three years starting on year n + 1 . 8 . from 1 january 2019 , if as a result of calls on the guarantee , the level of the guarantee fund falls below 50% of the target amount , the commission shall submit a report on exceptional measures that may be required to replenish it . 9 . subsequent to a call on the eu guarantee , endowments to the guarantee fund provided for in points , and of paragraph 2 over and above the target amount shall be used to restore the eu guarantee up to its initial amount . ### an eu guarantee fund shall be established which shall constitute a liquidity cushion from which the eib shall be paid in the event of a call on the eu guarantee . 2 . the guarantee fund shall be endowed by : contributions from the general budget of the union ; returns on guarantee fund resources invested ; amounts recovered from defaulting debtors in accordance with the recovery procedure laid down in the efsi agreement as provided for in point of article 2 ; revenues and any other payments received by the union in accordance with the efsi agreement . 3 . endowments to the guarantee fund provided for in points , and of paragraph 2 shall constitute internal assigned revenues in accordance with article 21 of regulation no 966 / 2012 . 4 . the resources of the guarantee fund provided to it under paragraph 2 shall be directly managed by the commission and invested in accordance with the principle of sound financial management and follow appropriate prudential rules . 5 . endowments to the guarantee fund referred to in paragraph 2 shall be used to reach an appropriate level to reflect the total eu guarantee obligations . the target amount shall be set at 50% of the union ' s total guarantee obligations . the target amount shall initially be met by 2022 at the latest through the gradual payment of resources referred to in point of paragraph 2 as well as endowments to the guarantee fund provided for in points , and of paragraph 2 . 5a . the necessary appropriations to meet the initial target amount shall be gradually authorised by the european parliament and the council in the framework of the annual budgetary procedure , taking due account of all means available under the council regulation no 1311 / 2013 of 2 december 2013 laying down the multiannual financial framework 2014 - 2020 , with particular recourse to the global margin for commitments and the flexibility instrument . the financing of the guarantee fund , both in respect of commitment and payment appropriations , shall be reviewed by the european parliament and the council in the context of the post - electoral review / revision of the multiannual financial framework 2014 - 2020 , to be launched by the end of 2016 at the latest , as foreseen in article 2 of council regulation no 1311 / 2013 . in the event that redeployments from eu programmes were agreed in the framework of the annual budgetary procedure as source of financing for the eu guarantee in the years preceding the mff review / revision , the european parliament and the council shall restore their initial budgets . 6 . by 31 december 2018 , and every year thereafter , the commission shall review the adequacy of the level of the guarantee fund taking into account any reduction of resources resulting from the activation of the guarantee and the eib ' s assessment submitted in accordance with article 10 . the commission shall be empowered to adopt delegated acts in accordance with article 17 adjusting downwards the target level provided for in paragraph 5 by a maximum of 10% to better reflect the potential risk of the eu guarantee being called . 7 . following an adjustment in year n of the target level or an assessment on the adequacy of the resources available in the guarantee fund in accordance with the review provided for in paragraph 6 : any surplus in the guarantee fund shall constitute internal assigned revenue in accordance with article 21 of regulation no 966 / 2012 for any lines which may have been used as a source of redeployment to the efsi guarantee fund , any replenishment of the guarantee fund shall be paid in annual tranches during a maximum period of three years starting on year n + 1 . 8 . if as a result of calls on the guarantee , the resources of the guarantee fund fall below 50% of the liabilities that have been incurred at the given moment the commission shall submit a report on exceptional measures that may be required to replenish it . 9 . subsequent to a call on the eu guarantee , endowments to the guarantee fund provided for in points , and of paragraph 2 shall be used to restore the eu guarantee up to its target amount . any remaining remuneration shall constitute internal assigned revenue in accordance with article 21 of regulation no 966 / 2012 for any lines which may have been used as a source of redeployment to the efsi guarantee fund . 9a . in the event that additional surplus remains , after requirements under paragraphs 7 and 9 have been fully met , the commission shall present a proposal on an increase of the overall level of the eu guarantee , leading to a reinforcement of the investment plan .


### the commission and the eib , with support from the member states , shall promote the creation of a transparent pipeline of current and potential future investment projects in the union . the pipeline is without prejudice to the final projects selected for support according to article 3 . ### the commission and the eib , with support from the member states , shall promote the creation of a transparent pipeline of current and potential future investment projects in the union . to identify bankable and eu - added value projects for the pipeline , the commission and the eib should involve all relevant stakeholders . the pipeline is without prejudice to the final projects selected for support according to article 3 . the commission and the eib , with support from the member states , shall also put in place promotional activities directed at potential investors to promote the efsi and ensure the highest possible level of contributions to the fund .


### the eib , in cooperation with the eif as appropriate , shall report annually to the european parliament and to the council on eib financing and investment operations . the report shall be made public and include : an assessment of eib financing and investment operations at operation , sector , country and regional levels and their compliance with this regulation , together with an assessment of the allocation of eib financing and investment operations between the objectives in article 5 ; an assessment of the added value , the mobilisation of private sector resources , the estimated and actual outputs , outcomes and impact of eib financing and investment operations at an aggregated basis ; an assessment of the financial benefit transferred to beneficiaries of eib financing and investment operations on an aggregated basis ; an assessment of the quality of eib financing and investment operations ; detailed information on calls on the eu guarantee ; the financial statements of the efsi . ### the eib , in cooperation with the eif as appropriate , shall report annually to the european parliament , the council , the european economic and social committee and the committee of the regions on eib financing and investment operations . the report shall be made public and include : an assessment of eib financing and investment operations at operation , sector , country , regional and macroregional levels and their compliance with this regulation , together with an assessment of the allocation of eib financing and investment operations between the objectives in article 5 ; a description of the projects where the support of the european structural and investment funds is combined with the support of the efsi , and the total amount of the contributions from each source ; an assessment of the european added - value and the contribution of efsi to achieving union policy targets , in particular the targets of smart , sustainable and inclusive growth ; an assessment of the added value , the mobilisation of private sector resources , the estimated and actual outputs , outcomes and impact of eib financing and investment operations at an aggregated basis ; an assessment of the financial benefit transferred to beneficiaries of eib financing and investment operations on an aggregated basis ; an assessment of the quality of eib financing and investment operations including of the results achieved ; detailed information on calls on the eu guarantee ; the financial statements of the efsi .


### the eib , in cooperation with the eif as appropriate , shall report semi - annually to the commission on eib financing and investment operations under this regulation . the report shall include an assessment of compliance with the requirements on the use of the eu guarantee and the key performance indicators established pursuant to article 2 . the report shall also include statistical , financial and accounting data on each eib financing and investment operation and on an aggregated basis . ### the eib and the efsi investment committee , in cooperation with the eif as appropriate , shall report semi - annually to the commission , the council and the european parliament&#160 ; on eib and efsi&#160 ; financing and investment operations under this regulation . the report shall include an assessment of compliance with the requirements on the use of the eu guarantee and the key performance indicators established pursuant to article 2 . the report shall also include statistical , financial and accounting data on each eib financing and investment operation and on an aggregated basis . the report should also include a detailed qualitative&#160 ; assessment of the operations concerned as defined in article 5 .


### the eib , in cooperation with the eif as appropriate , shall report semi - annually to the commission on eib financing and investment operations under this regulation . the report shall include an assessment of compliance with the requirements on the use of the eu guarantee and the key performance indicators established pursuant to article 2 . the report shall also include statistical , financial and accounting data on each eib financing and investment operation and on an aggregated basis . 2 . the eib , in cooperation with the eif as appropriate , shall report annually to the european parliament and to the council on eib financing and investment operations . the report shall be made public and include : an assessment of eib financing and investment operations at operation , sector , country and regional levels and their compliance with this regulation , together with an assessment of the allocation of eib financing and investment operations between the objectives in article 5 ; an assessment of the added value , the mobilisation of private sector resources , the estimated and actual outputs , outcomes and impact of eib financing and investment operations at an aggregated basis ; an assessment of the financial benefit transferred to beneficiaries of eib financing and investment operations on an aggregated basis ; an assessment of the quality of eib financing and investment operations ; detailed information on calls on the eu guarantee ; the financial statements of the efsi . 3 . for the purposes of the commission ' s accounting and reporting of the risks covered by the eu guarantee and management of the guarantee fund , the eib , in cooperation with the eif as appropriate , shall provide the commission every year : the eib ' s and eif ' s risk assessment and grading information concerning eib financing and investment operations ; the outstanding financial obligation for the eu concerning the guarantees provided towards eib financing and investment operations broken down by the individual operations ; the total profits or losses deriving from the eib financing and investment operations within the portfolios provided by the efsi agreement pursuant to article 2 . 4 . the eib shall provide to the commission upon request any additional information necessary to fulfil the commission ' s obligations in relation to this regulation . 5 . the eib , and eif as appropriate , shall provide the information referred to in paragraphs 1 to 4 at their own expense . 6 . the commission shall , by 30 june of each year , send to the european parliament , the council and the court of auditors an annual report on the situation of the guarantee fund and the management thereof in the previous calendar year . ### the eib , in cooperation with the eif as appropriate , shall report semi - annually to the commission on eib financing and investment operations under this regulation . the report shall include an assessment of compliance with the requirements on the use of the eu guarantee and the key performance indicators established pursuant to article 2 . the report shall also include statistical , financial and accounting data on each eib financing and investment operation and on an aggregated basis . the report shall be set up in a transparent , independent way and shall be made public . 2 . the eib , in cooperation with the eif as appropriate , shall report annually to the european parliament and to the council on eib financing and investment operations under this regulation . the report shall be made public and include : an assessment of eib financing and investment operations at operation , sector , country and regional levels , their level of additionality and their compliance with this regulation , together with an assessment of the allocation of eib financing and investment operations between the objectives in article 5 with a specific mentioning of guarantees granted to energy efficiency projects ; an assessment of the economic and societal added value , the territorial cohesion , the mobilisation of private sector resources , the estimated and actual outputs , outcomes and impact of eib financing and investment operations at an aggregated basis , and by project level , where disclosure of data is allowed ; this assessment should specify how and to what extent the objectives and criteria set out in article 5 have been achieved , such as the impact on the creation of future - oriented , sustainable and local jobs , with special attention to smes , the sustainable transition of the eu ' s economy , the further development of digital technologies , the preservation and increase of the viability of ecosystem services , the diminishing of eu ' s dependency on imported energy and on natural resources , the increase of the competiveness and the innovation potential of the union ' s economy and the eu ' s leadership in new technologies and markets ; an assessment of the financial benefit transferred to beneficiaries of eib financing and investment operations on an aggregated basis ; an assessment of the quality of eib financing and investment operations ; detailed information on calls on the eu guarantee ; the financial statements of the efsi . 3 . for the purposes of the commission ' s accounting and reporting of the risks covered by the eu guarantee and management of the guarantee fund , the eib , in cooperation with the eif as appropriate , shall provide the commission , the european parliament and the council semi - annually with : the eib ' s and eif ' s risk assessment and grading information concerning eib financing and investment operations under this regulation ; the outstanding financial obligation for the eu concerning the guarantees provided towards eib financing and investment operations under this regulation broken down by the individual operations ; the total profits or losses deriving from the eib financing and investment operations within the portfolios provided by the efsi agreement pursuant to article 2 . 4 . the eib shall provide to the commission upon request any additional information necessary to fulfil the commission ' s obligations in relation to this regulation . 5 . the eib , and eif as appropriate , shall provide the information referred to in paragraphs 1 to 4 at their own expense . 6 . the commission shall , by 30 june of each year , send to the european parliament , the council and the court of auditors an annual report on the situation of the guarantee fund and the management thereof in the previous calendar year .


### the eib , in cooperation with the eif as appropriate , shall report semi - annually to the commission on eib financing and investment operations under this regulation . the report shall include an assessment of compliance with the requirements on the use of the eu guarantee and the key performance indicators established pursuant to article 2 . the report shall also include statistical , financial and accounting data on each eib financing and investment operation and on an aggregated basis . ### the eib , in cooperation with the eif as appropriate , shall report annually to the european parliament and to the council on eib financing and investment operations . the report shall be made public and include an assessment of compliance with the requirements on the use of the eu guarantee and the key performance indicators established pursuant to article 2 . the report shall also include statistical , financial and accounting data on each eib financing and investment operation and on an aggregated basis


### the eib , in cooperation with the eif as appropriate , shall report semi - annually to the commission on eib financing and investment operations under this regulation . the report shall include an assessment of compliance with the requirements on the use of the eu guarantee and the key performance indicators established pursuant to article 2 . the report shall also include statistical , financial and accounting data on each eib financing and investment operation and on an aggregated basis . ### the eib , in cooperation with the eif as appropriate , shall report semi - annually to the commission on eib financing and investment operations under this regulation . the report shall include an assessment of compliance with the requirements on the use of the eu guarantee and the key performance indicators established pursuant to article 2 . the report shall also include statistical , financial and accounting data on each eib financing and investment operation , elements for evaluation indicating the degree of compliance with the union ' s values and policy objectives and social and environmental rules , and data on an aggregated basis .


### an assessment of the added value , the mobilisation of private sector resources , the estimated and actual outputs , outcomes and impact of eib financing and investment operations at an aggregated basis ; ### an assessment , on an aggregated basis , of the added value , the mobilisation of private sector resources , the estimated and actual outputs , particularly in terms of job creation , outcomes and impact of eib financing and investment operations ;


### the eib , in cooperation with the eif as appropriate , shall contribute to and provide the necessary information for the commission evaluation and report under paragraph 1 and 2 respectively . ### the eib and the investment committee , in cooperation with the eif as appropriate , shall contribute to and provide the necessary information for the commission evaluation and report under paragraph 1 and 2 respectively .


### the eib and eif shall on a regular basis provide the european parliament , the council and the commission with all their independent evaluation reports which assess the practical results achieved by the specific activities of the eib and eif under this regulation . ### the eib , in agreement with the investment committee , and the eif shall on a regular basis provide the european parliament , the council and the commission with all their independent evaluation reports which assess the practical results achieved by the specific activities of the eib and eif under this regulation .


### in accordance with its own transparency policies on access to documents and information , the eib shall make publicly available on its website information relating to all eib financing and investment operations and how they contribute to the general objectives referred to in article 5 . ### in accordance with its own transparency policies on access to documents and information , the eib shall make publicly available on its website information relating to all eib financing and investment operations and how they contribute to the general objectives referred to in articles 5 and 5 .


### in its financing and investment operations , the eib shall not support any activities carried out for illegal purposes , including money laundering , financing of terrorism , tax fraud and tax evasion , corruption , or fraud affecting the financial interests of the union . in particular the eib shall not participate in any financing or investment operation through a vehicle located in a non - cooperative jurisdiction , in line with its policy towards weakly regulated or non - cooperative jurisdictions based on policies of the union , the organisation for economic cooperation and development or the financial action task force . ### in its financing and investment operations , the eib shall not support any financial interest group , or any activities carried out for illegal purposes , including money laundering , financing of terrorism , tax fraud and tax evasion , corruption , or fraud affecting the financial interests of the union . in particular the eib shall not participate in any financing or investment operation through a vehicle located in a non - cooperative jurisdiction , in line with its policy towards weakly regulated or non - cooperative jurisdictions based on policies of the union , the organisation for economic cooperation and development or the financial action task force .


### in the area of ict standardisation , regulation no 1025 / 2012 of the european parliament and of the council refers to interoperability as an essential outcome of standardisation . ### in the area of ict standardisation , regulation no 1025 / 2012 of the european parliament and of the council refers to interoperability as an essential outcome of standardisation . when developing standards within the framework of the isa2 programme , particular attention should be paid to the provisions relating to the involvement of social and societal stakeholders laid down in that regulation .


### in public procurement , directives 2014 / 25 / eu51 , 2014 / 24 / eu52 and 2014 / 23 / eu53 of the european parliament and of the council of 28 march 2014 require member states to implement electronic procurement . they state that the tools and devices to be used for communicating by electronic means , as well as their technical characteristics , have to be interoperable with the information and communication technology products in general use . moreover , directive 2014 / 55 / eu54 on electronic invoicing in public procurement adopted by the parliament on 11 march 2014 concerns the development of a european standard for electronic invoicing in public procurement to ensure interoperability between electronic invoicing systems across the eu . __________________ 51directive 2014 / 25 / eu of the european parliament and of the council of 26 february 2014 on procurement by entities operating in the water , energy , transport and postal services sectors and repealing directive 2004 / 17 / ec . oj l 94 , 28 . 3 . 2014 , p243 . 52directive 2014 / 24 / eu of the european parliament and of the council of 26 february 2014 on public procurement and repealing directive 2004 / 18 / ec . oj l 94 , 28 . 3 / . 014 , p65 - 242 . 53directive 2014 / 23 / eu of the european parliament and of the council of 26 february 2014 on the award of concession contracts . oj l 94 , 28 . 3 . 2014 , p1 - 64 . 54directive 2014 / 55 / eu of the european parliament and of the council of 16 april 2014 on electronic invoicing in public procurement . oj l 133 , 6 . 5 . 2014 , p . 1 . ### in public procurement , directives 2014 / 25 / eu51 , 2014 / 24 / eu52 and 2014 / 23 / eu53 of the european parliament and of the council of 28 march 2014 require member states to implement electronic procurement to improve the efficiency and transparency of public procurement procedures . they state that the tools and devices to be used for communicating by electronic means , as well as their technical characteristics , have to be interoperable with the information and communication technology products in general use . moreover , directive 2014 / 55 / eu54 on electronic invoicing in public procurement adopted by the parliament on 11 march 2014 concerns the development of a european standard for electronic invoicing in public procurement to ensure interoperability between electronic invoicing systems across the eu . __________________ 51directive 2014 / 25 / eu of the european parliament and of the council of 26 february 2014 on procurement by entities operating in the water , energy , transport and postal services sectors and repealing directive 2004 / 17 / ec . oj l 94 , 28 . 3 . 2014 , p243 . 52directive 2014 / 24 / eu of the european parliament and of the council of 26 february 2014 on public procurement and repealing directive 2004 / 18 / ec . oj l 94 , 28 . 3 / . 014 , p65 - 242 . 53directive 2014 / 23 / eu of the european parliament and of the council of 26 february 2014 on the award of concession contracts . oj l 94 , 28 . 3 . 2014 , p1 - 64 . 54directive 2014 / 55 / eu of the european parliament and of the council of 16 april 2014 on electronic invoicing in public procurement . oj l 133 , 6 . 5 . 2014 , p . 1 .


### a single sector interoperability perspective is associated with the risk that the adoption of different or incompatible solutions at national or sectoral levels will throw up new e - barriers that impede the proper functioning of the internal market and the associated freedoms of movement , and undermine the openness and competitiveness of markets and the delivery of services of general interest to citizens and enterprises . in order to mitigate this risk , member states and the union should step up joint efforts to avoid market fragmentation and ensure cross - border or cross - sector interoperability in the implementation of legislation , while reducing administrative burdens and costs , and promote commonly agreed ict solutions , while ensuring appropriate governance . ### a single sector interoperability perspective is associated with the risk that the adoption of different or incompatible solutions at national or sectoral levels will throw up new e - barriers that impede the proper functioning of the internal market and the associated freedoms of movement , and undermine the openness and competitiveness of markets , particularly public procurement markets , and the delivery of services of general interest to citizens and enterprises . in order to mitigate this risk , member states and the union should step up joint efforts to avoid market fragmentation and ensure cross - border or cross - sector interoperability in the implementation of legislation , while reducing administrative burdens and costs , and promote commonly agreed ict solutions , while ensuring appropriate governance .


### regulation no 1303 / 2013 includes a thematic objective of ‘ enhancing institutional capacity of public authorities and stakeholders and an efficient public administration’ . in this context , the isa2 programme should tie in with programmes and initiatives contributing to the modernisation of public administrations like e . g . the dae , and related networks like e . g . the european public administration network and seek synergies with them . ### regulation no 1303 / 2013 includes a thematic objective of ‘ enhancing institutional capacity of public authorities and stakeholders and an efficient public administration’ . in this context , the isa2programme should tie in with programmes and initiatives contributing to the modernisation of public administrations like e . g . the dae , and related networks like e . g . the european public administration network and seek synergies with them . these programmes and initiatives should also ensure that the personnel of public administrations in the member states receive the necessary training to implement interoperability solutions and that member states have the necessary financial and human resources .


### the isa2 programme should contribute to the implementation of any follow - on initiatives in the context of europe 2020 and the dae . in order to avoid any duplication of effort , it should take account of other union programmes in the field of ict solutions , services and infrastructures , in particular the cef laid down in regulation 1316 / 2013 / eu and horizon 2020 laid down in regulation no 1291 / 2013 . ### the isa2 programme should contribute to the implementation of any follow - on initiatives in the context of europe 2020 and the dae . in order to avoid any duplication of effort , it should take account of other union programmes in the field of ict solutions , services and infrastructures , in particular the cef laid down in regulation no 1316 / 2013 and horizon 2020 laid down in regulation no 1291 / 2013 . the commission should coordinate those actions when implementing the isa2 programme , as well when planning future initiatives which would touch upon interoperability .


### this decision establishes , for 2016 - 20 , a programme on interoperability solutions for european public administrations , businesses and citizens . the isa2 programme shall facilitate efficient and effective electronic cross - border or cross - sector interaction between european public administrations and between them and citizens and businesses , in order to enable the delivery of electronic public services supporting the implementation of union policies and activities . ### this decision establishes , for 2016 - 20 , a programme on interoperability solutions for european public administrations , businesses and citizens . 1a . the isa2 programme shall facilitate efficient and effective electronic cross - border or cross - sector interaction between european public administrations and between them and citizens and businesses , in order to enable the delivery of electronic public services supporting the implementation of union policies and activities . the isa2 programme shall take into account social aspects of interoperability , allowing everyone to take full advantage of the opportunities offered by new technologies to overcome social and economic disadvantages and exclusion . as well as the specific situation of micro , small and medium - sized enterprises , in order to improve interaction between european public administrations on the one hand , and businesses and citizens on the other . the isa2 programme shall respect the right of citizens and businesses to use solutions other than online solutions .


### - strategic and awareness - raising measures ; ### - strategic measures ;


### the assessment of the ict implications of proposed or adopted union legislation ; ### the assessment of the ict implications of planned , proposed or adopted union legislation ;


### the assessment , update and promotion of existing common specifications and standards and the development , establishment and promotion of new common specifications and standards through the union’s standardisation platforms and in cooperation with european or international standardisation organisations as appropriate ; and ### the assessment , update and promotion of existing common specifications and standards and the development , establishment and promotion of new common specifications and standards through the union’s standardisation platforms and in cooperation with european or international standardisation organisations as appropriate , including on data transmission , processing and storage security ; and


### the development of mechanisms that will measure and quantify the benefits of interoperability solutions . ### the development of mechanisms that will measure and , where applicable , quantify the benefits of interoperability solutions .


### be based on utility and driven by identified needs ; ### be based on utility and driven by identified needs and their added value for european public administrations , businesses and citizens ;


### - user - centricity ; ### - user - centricity , with a particular focus on the needs of citizens and smes ;


### - inclusion and accessibility ; ### - inclusiveness and accessibility ;


### - administrative simplification ; ### - administrative simplification and modernisation ;


### - technological neutrality and adaptability ; and ### - technological neutrality , future - proof solutions , and adaptability , as well as net neutrality ;


### in order to maximise synergies and ensure complementary and combined efforts , actions shall , where appropriate , be coordinated with other relevant union initiatives . ### in order to maximise synergies , ensure complementary and combined efforts and avoid duplication , actions shall , where appropriate , be coordinated with other relevant union initiatives .


### the inclusion of actions in the rolling work programme shall be subject to compliance with a set of rules and admission criteria before being included in the rolling work programme . those rules and criteria and any amendments thereof shall be an integral part of the rolling work programme . ### the inclusion of actions in the rolling work programme shall be subject to compliance with a set of administrative procedures before being included in the rolling work programme . those procedures and any amendments thereto shall be an integral part of the rolling work programme .


### the commission shall report annually to the isa2 committee on the implementation of the programme . ### the commission shall report annually to the isa2 committee and the competent committee or committees of the european parliament on the implementation of the isa2programme . the competent committee or committees of the european parliament may invite the commission to report on the implementation of the isa2 programme and answer questions raised by their members .


### the programme shall be subject to an interim evaluation and a final evaluation , the results of which shall be communicated to the european parliament and the council by 31 december 2018 and 31 december 2021 respectively . in this context , the responsible committee of the parliament may invite the commission to present the evaluation results and answer questions raised by its members . ### the isa2 programme shall be subject to an interim evaluation and a final evaluation , the results of which shall be communicated to the european parliament and the council by 31 december 2018 and 31 december 2021 respectively . in this context , the competent committee or committees of the european parliament may invite the commission to present the evaluation results and answer questions raised by their members .


### the evaluations shall examine issues such as the relevance , effectiveness , efficiency , utility , sustainability and coherence of programme actions . the final evaluation shall , in addition , examine the extent to which the programme has achieved its objective . ### the evaluations shall examine issues such as the relevance , added value , effectiveness , efficiency , utility , the satisfaction of citizens and businesses , sustainability and coherence of isa2 programme actions , as well as their coordination with other relevant union initiatives . the final evaluation shall , in addition , examine the extent to which the isa2 programme has achieved its objective .


### the performance of the programme shall be assessed against the objective laid out in article 1 and the actions of the rolling work programme . the objective shall be measured in particular through the number of key interoperability enablers and through the number of supporting instruments for public administrations delivered to and used by european public administrations . indicators for measuring the result and impact of the programme shall be defined in the rolling work programme . ### the performance of the isa2 programme shall be assessed against the objective laid out in article 1 and the principles set out in article 4 . the achievement of the objective shall be measured in particular in terms of the number of key interoperability enablers and supporting instruments for public administrations delivered to and used by european public administrations .


### the evaluations shall also examine the benefits of the actions to the union for the advancement of common policies , identify areas for potential improvement and verify synergies with other union initiatives in the area of cross - border or cross - sector interoperability and the modernisation of european public administrations . ### the evaluations shall examine the benefits of the actions to the union for the advancement of common policies , identify areas for potential improvement and verify synergies with other union initiatives in the area of cross - border or cross - sector interoperability .


### quantifiable benefits that the interoperability solutions deliver by linking ict with users ' needs ; ### quantifiable and qualifiable benefits that the interoperability solutions deliver by linking ict with the needs of users and end - users , in particular citizens and smes ;


### the quantifiable positive impact of the interoperable ict - based solutions . ### the quantifiable and qualifiable impact of interoperable ict - based solutions , in particular on public administrations , citizens and smes .


### the negative impact of transport on air pollution , greenhouse gas emissions , accidents , noise and congestion continue to pose problems to the economy , health and well - being of european citizens . despite the fact that road transport is the main contributor of those negative effects , road freight transport is estimated to grow by 60 per cent by 2050 . ### transport currently accounts for around 23 . 2% of total greenhouse gas emissions in the eu and , in 2014 , road transport was responsible for 72 . 8% of the greenhouse gas emissions in the eu transport sector . the negative impact of transport on air pollution , greenhouse gas emissions , accidents , noise and congestion continue to pose problems to the economy , health and well - being of european citizens . despite the fact that road transport is the main contributor of those negative effects , road freight transport is estimated to grow by 60% by 2050 .


### the main infrastructure bottleneck hampering the shift from road freight to other modes of transport is at the transhipment terminal level . the current distribution and coverage of transhipment terminals in the union , at least along the existing ten - t core and comprehensive network , is insufficient yet the capacity of existing transhipment terminals is reaching its limit and will need to develop in order to cope with overall freight traffic growth . investing in transhipment terminal capacity may reduce overall transhipment costs , and hence produce a derived modal shift , as demonstrated in some member states . member states should therefore ensure , in coordination with the neighbouring member states and with the commission , that more combined transport transhipment terminals and transhipment capacity are constructed or made available to transport operators . this would incentivise the use of freight transport alternatives and increase modal shift , thus making combined transport operations more competitive than road transport alone . the increased coverage and capacity of transhipment terminals should , at the very minimum , be established along the existing ten - t core and comprehensive networks . there should be on average at least one suitable transhipment terminal for combined transport located no further than 150 km from any shipment location in the union . ### the main infrastructure bottleneck hampering the shift from road freight to other modes of transport is at the transhipment terminal level . the current distribution and coverage of transhipment terminals in the union , at least along the existing ten - t core and comprehensive network , is insufficient yet the capacity of existing transhipment terminals is reaching its limit and will need to develop in order to cope with overall freight traffic growth . investing in transhipment terminal capacity may reduce overall transhipment costs , and hence produce a derived modal shift , as demonstrated in some member states . member states should therefore ensure , in coordination with the neighbouring member states and with the commission , that more combined transport transhipment terminals and transhipment capacity are constructed or made available to transport operators in areas where they are needed . this would incentivise the use of freight transport alternatives and increase modal shift , thus making combined transport operations more competitive than road transport alone . the increased coverage and capacity of transhipment terminals should , at the very minimum , be established along the existing ten - t core and comprehensive networks . there should be on average at least one suitable transhipment terminal for combined transport located no further than 150 km as the crow flies from any shipment location in the union , also taking into account economic criteria .


### member states should implement additional economic support measures in addition to the existing ones , targeting the various legs of a combined transport operation , in order to reduce the road freight and to encourage the use of other modes of transport such as rail , inland waterways and maritime transport , thereby reducing air pollution , greenhouse gas emissions , road traffic accidents , noise and congestion . such measures may include the reduction of certain taxes or transport fees , grants for intermodal load units effectively transported in combined transport operations , or the partial reimbursement of transhipments cost . ### member states should implement additional economic support measures in addition to the existing ones , targeting the various legs of a combined transport operation , in order to reduce the road freight and to encourage the use of other modes of transport such as rail , inland waterways and maritime transport , thereby reducing air pollution , greenhouse gas emissions , road traffic accidents , noise and congestion . such measures may include the reduction of certain taxes or transport fees , grants for intermodal load units effectively transported in combined transport operations , or the partial reimbursement of transhipments cost , which will contribute to reducing the socio - economic costs of transport , the health risks of pollution and noise , while serving the interests of citizens , businesses and the environment .


### the road leg distance limit may be exceeded for combined road / rail transport operations , when authorised by the member state or member states on whose territory the road leg takes place , in order to reach the geographically nearest transport terminal which has the necessary operational transhipment capability for loading or unloading in terms of transhipment equipment , terminal capacity and appropriate rail freight services . ### the road leg distance limit may be exceeded for combined road / rail transport operations , when authorised by the member state or member states on whose territory the road leg takes place , where this is necessary in order to reach the geographically nearest transport terminal which has the necessary operational transhipment capability for loading or unloading in terms of transhipment equipment , terminal capacity and appropriate rail freight services .


### member states shall coordinate with neighbouring member states and with the commission and ensure that , when such measures are implemented , priority is given to ensuring a balanced and sufficient geographical distribution of suitable facilities in the union , and notably on the ten - t core and comprehensive networks , allowing that any location in the union is not situated at a distance farther than 150 km from such terminal . ### member states shall coordinate with neighbouring member states and with the commission and ensure that , when such measures are implemented , priority is given to ensuring a balanced and sufficient geographical distribution of transhipment terminals union - wide , and notably on the ten - t core and comprehensive networks , allowing that any location in the union is not situated at a distance farther than 150 km as the crow flies from such terminal .


### member states should adopt and implement a national air pollution control programme with a view to meeting their emission reduction requirements and intermediate emission levels , and to contributing effectively to the achievement of the union air quality objectives . to this effect , member states should take account of the need to reduce emissions in zones and agglomerations affected by excessive air pollutant concentrations and / or in those that contribute significantly to air pollution in other zones and agglomerations , including in neighbouring countries . national air pollution control programmes should , to that end , contribute to the successful implementation of air quality plans enacted under article 23 of directive 2008 / 50 / ec of the european parliament and of the council . 23 __________________ 23 directive 2008 / 50 / ec of the european parliament and of the council of 21 may 2008 on ambient air quality and cleaner air in europe . ### member states should adopt and implement a national air pollution control programme with a view to meeting their emission reduction requirements and to contributing effectively to the achievement of the union air quality objectives . to this effect , member states should , in consultation with the relevant local or regional authority , take account of the need to reduce emissions in zones and agglomerations affected by excessive air pollutant concentrations and / or in those that contribute significantly to air pollution in other zones and agglomerations , including in neighbouring countries . national air pollution control programmes should , to that end , contribute to the successful implementation of air quality plans enacted under article 23 of directive 2008 / 50 / ec of the european parliament and of the council . 23 __________________ 23 directive 2008 / 50 / ec of the european parliament and of the council of 21 may 2008 on ambient air quality and cleaner air in europe .


### member states shall establish the emission inventories , including adjusted emission inventories , emission projections and the informative inventory report in accordance with annex iv . ### member states shall establish the emission inventories , including if appropriate adjusted emission inventories , emission projections and the informative inventory report in accordance with annex iv .


### the union and the member states , as appropriate , shall pursue bilateral and multilateral cooperation with third countries and coordination within relevant international organisations such as the united nations environment programme , united nations economic commission for europe , the international maritime organization and the international civil aviation organization , including through the exchange of information , concerning technical and scientific research and development , with the aim of improving the basis for emission reductions . ### the union and the member states , as appropriate , shall pursue bilateral and multilateral cooperation with third countries and coordination within relevant international organisations such as the united nations environment programme , united nations economic commission for europe , the international maritime organization and the international civil aviation organization , including through the exchange of information , concerning technical and scientific research and development , with the aim of improving the basis for emission reductions . member states shall conduct cross - border consultations on mutual threats posed by emissions from adjacent industrial regions in those countries and the member states concerned shall develop joint plans to eliminate or reduce those emissions .


### the delegation of power referred to in articles 6 , 7 and 8 shall be conferred on the commission for an indeterminate period of time from the date of entry into force of this directive . ### the delegation of power referred to in articles 5 , 6 , 7 and 8 shall be conferred on the commission for an indeterminate period of time from the date of entry into force of this directive .


### in order to promote best practices in the implementation of the structural funds , the cohesion fund , the european agricultural fund for rural development , the eagf and the european fisheries fund , the commission may , for information purposes , make available a methodological guide setting out its own control strategy and approach , including checklists , and best practice examples to bodies responsible for management and control activities . that guide shall be updated whenever necessary . ### in order to promote best practices in the implementation of the structural funds , the cohesion fund , the european agricultural fund for rural development , the eagf and the european fisheries fund , the commission may , for information purposes , make available a methodological guide setting out its own control strategy and approach , including checklists , and best practice examples to bodies responsible for management and control activities . that guide shall be updated whenever necessary . the delivery of the national and sub - national programmes requires a comprehensive national and sub - national management and control system of all financial commitments , based on a close collaboration between the national and any sub - national management authority and the commission . the commission shall report annually and publish interim evaluations .


### in order to ensure coherence and give certainty to businesses and member states ' authorities , the notion of ' incitement to hatred ' should , to the appropriate extent , be aligned to the definition in the council framework decision 2008 / 913 / jha of 28 november 2008 on combating certain forms and expressions of racism and xenophobia by means of criminal law which defines hate speech as ' publicly inciting to violence or hatred ' . this should include aligning the grounds on which incitement to violence or hatred is based . ### in order to ensure coherence and give certainty to businesses and member states ' authorities , the notion of ' incitement to hatred ' should , to the appropriate extent and where applicable to member states , be aligned to the definition in the council framework decision 2008 / 913 / jha of 28 november 2008 on combating certain forms and expressions of racism and xenophobia by means of criminal law which defines hate speech as ' publicly inciting to violence or hatred ' . this should include aligning the grounds on which incitement to violence or hatred is based .


### in order to empower viewers , including parents and minors , in making informed decisions about the content to be watched , it is necessary that audiovisual media service providers provide sufficient information about content that may impair minors ' physical , mental or moral development . this could be done , for instance , through a system of content descriptors indicating the nature of the content . content descriptors could be delivered through written , graphical or acoustic means . ### in order to empower viewers , including parents and minors , in making informed decisions about the content to be watched , it is necessary that audiovisual media service providers provide sufficient information about content that may impair minors ' physical , mental or moral development . this could be done , for instance , through a system of content descriptors indicating the nature of the content . content descriptors could be delivered through written , graphical or acoustic means . the different means of content descriptors should be clear enough to stipulate if the specific content may be of harm to minors .


### certain widely recognised nutritional guidelines exist at national and international level , such as the who regional office for europe ' s nutrient profile model , in order to differentiate foods on the basis of their nutritional composition in the context of foods television advertising to children . member states should be encouraged to ensure that self - and co - regulatory codes of conduct are used to effectively reduce the exposure of children and minors to audiovisual commercial communications regarding foods and beverages that are high in salt , sugars or fat or that otherwise do not fit these national or international nutritional guidelines . ### certain widely recognised nutritional guidelines exist at national and international level , such as the who regional office for europe ' s nutrient profile model , in order to differentiate foods on the basis of their nutritional composition in the context of foods television advertising to children . member states should be encouraged to effectively ensure that the exposure of children and minors to audiovisual commercial communications regarding foods and beverages that are high in salt , sugars or fat or that otherwise do not fit these national or international nutritional guidelines is reduced . self - and co - regulation should contribute to this objective .


### similarly , member states should be encouraged to ensure that self - and co - regulatory codes of conduct are used to effectively limit the exposure of children and minors to audiovisual commercial communications for alcoholic beverages . certain co - regulatory or self - regulatory systems exist at union and national level in order to market responsibly alcoholic beverages , including in audiovisual commercial communications . those systems should be further encouraged , in particular those aiming at ensuring that responsible drinking messages accompany audiovisual commercial communications for alcoholic beverages . ### similarly , member states should be encouraged to ensure that where co - regulatory codes of conduct are used to effectively limit the exposure of children and minors to audiovisual commercial communications for alcoholic beverages . certain co - regulatory systems exist at union and national level in order to market responsibly alcoholic beverages , including in audiovisual commercial communications . those systems should be further encouraged , in particular those aiming at ensuring that responsible drinking messages accompany audiovisual commercial communications for alcoholic beverages .


### similarly , member states should be encouraged to ensure that self - and co - regulatory codes of conduct are used to effectively limit the exposure of children and minors to audiovisual commercial communications for alcoholic beverages . certain co - regulatory or self - regulatory systems exist at union and national level in order to market responsibly alcoholic beverages , including in audiovisual commercial communications . those systems should be further encouraged , in particular those aiming at ensuring that responsible drinking messages accompany audiovisual commercial communications for alcoholic beverages . ### similarly , member states should be encouraged to ensure that self - and co - regulation are used to effectively end the exposure of children and minors to audiovisual commercial communications for alcoholic products . certain co - regulatory or self - regulatory systems exist at union and national level in order to market responsibly alcoholic beverages , including in audiovisual commercial communications . those systems should be further encouraged and member states allowed to take further steps in drafting national guidelines , in particular those aiming at ensuring that responsible drinking messages accompany audiovisual commercial communications for alcoholic products .


### sponsorship represents an important means of financing audiovisual media services or programmes while promoting a legal or physical person ' s name , trade mark , image , activities or products . as such , for sponsorship to constitute a valuable form of advertising technique for advertisers and audiovisual media service providers , sponsorship announcements can contain promotional references to the goods or services of the sponsor , while not directly encouraging the purchase of the goods and services . sponsorship announcements should continue to clearly inform the viewers of the existence of a sponsorship agreement . the content of sponsored programmes should not be influenced in such a way as to affect the audiovisual media service provider ' s editorial independence . ### sponsorship represents an important means of financing audiovisual media services or programmes while promoting a legal or physical person ' s name , trade mark , image , activities or products . as such , for sponsorship to constitute a valuable form of advertising technique for advertisers and audiovisual media service providers , sponsorship announcements can contain promotional references to the goods or services of the sponsor , while not being allowed to directly encourage the purchase of the goods and services . sponsorship announcements should continue to clearly inform the viewers of the existence of a sponsorship agreement . the content of sponsored programmes should not be influenced in such a way as to affect the audiovisual media service provider ' s editorial independence .


### the rule that a product should not be given undue prominence has proved difficult to apply in practice . it also restricts the take - up of product placement which , by definition , involves some level of prominent exposure to be able to generate value . the requirements for programmes containing product placement should thus focus on clearly informing the viewers of the existence of product placement and on ensuring that the audiovisual media service provider ' s editorial independence is not affected . ### the requirements for programmes containing product placement should thus focus on clearly informing the viewers of the existence of product placement and on ensuring that the audiovisual media service provider ' s editorial independence is not affected .


### regulatory authorities of the member states can achieve the requisite degree of structural independence only if established as separate legal entities . member states should therefore guarantee the independence of the national regulatory authorities from both the government , public bodies and the industry with a view to ensuring the impartiality of their decisions . this requirement of independence should be without prejudice to the possibility for member states to establish regulators having oversight over different sectors , such as audiovisual and telecom . national regulatory authorities should be in possession of the enforcement powers and resources necessary for the fulfilment of their tasks , in terms of staffing , expertise and financial means . the activities of national regulatory authorities established under this directive should ensure respect for the objectives of media pluralism , cultural diversity , consumer protection , the internal market and the promotion of fair competition . ### regulatory authorities of the member states can achieve the requisite degree of structural independence only if established as separate legal entities . member states should therefore guarantee the independence of the national regulatory authorities from both the government , public bodies and the industry with a view to ensuring the impartiality of their decisions . unfortunately , in the past the independence of the regulatory authorities has been violated in numerous member states . this requirement of independence should be without prejudice to the possibility for member states to establish regulators having oversight over different sectors , such as audiovisual and telecom . national regulatory authorities should be in possession of the enforcement powers and resources necessary for the fulfilment of their tasks , in terms of staffing , expertise and financial means . the activities of national regulatory authorities established under this directive should ensure respect for the objectives of media pluralism , cultural diversity , consumer protection , the internal market and the promotion of fair competition . there is therefore a need to widen the powers of the european regulators group for audiovisual media services so that the independence of media authorities can be guaranteed in the member states .


### this directive is without prejudice to the ability of member states to impose obligations to ensure discoverability and accessibility of content of general interest under defined general interest objectives such as media pluralism , freedom of speech and cultural diversity . such obligations should only be imposed where they are necessary to meet general interest objectives clearly defined by member states in conformity with union law . in this respect , member states should in particular examine the need for regulatory intervention against the results of the outcome of market forces . where member states decide to impose discoverability rules , they should only impose proportionate obligations on undertakings , in the interest of legitimate public policy considerations . ### this directive is without prejudice to the ability of member states to impose obligations to ensure discoverability and accessibility of content of general interest under defined general interest objectives such as media pluralism , freedom of speech , democracy and cultural diversity . such obligations should be proportionate and imposed only where they are necessary to meet general interest objectives clearly defined by member states in conformity with union law .


### if a media service provider has its head office in one member state but editorial decisions on the audiovisual media service are taken in another member state , it shall be deemed to be established in the member state where the majority of the workforce involved in the pursuit of the audiovisual media service activity operates ; ; ### if a media service provider has its head office in one member state but editorial decisions on the audiovisual media service are taken in another member state , it shall be deemed to be established in the member state where a significant part of the workforce involved in the pursuit of the audiovisual media service activity operates . if a significant part of the workforce involved in the pursuit of the audiovisual media service activity operates in each of those member states , the media service provider shall be deemed to be established in the member state where it has its head office . if a significant part of the workforce involved in the pursuit of the audiovisual media service activity operates in neither of those member states , the media service provider shall be deemed to be established in the member state where it first began its activity in accordance with the law of that member state , provided that it maintains a stable and effective link with the economy of that member state ; ;


### where the member state concerned does not provide the information requested within the period fixed by the commission or where it provides incomplete information , the commission shall take a decision that the measures taken by the member state in accordance with paragraph 2 are incompatible with union law . if the commission decides that the measures are incompatible with union law , the member state shall put an end to the measures in question as a matter of urgency . ### where the member state concerned does not provide the information requested within the period fixed by the commission or where it provides incomplete information , the commission shall take a decision that the measures taken by the member state in accordance with paragraph 2 are incompatible with union law . if the commission decides that the measures are incompatible with union law , the member state shall put an end to the measures in question as a matter of urgency and no longer than within two weeks .


### member states may , in urgent cases , derogate from the conditions laid down in points and of paragraph 3 . where this is the case , the measures shall be notified in the shortest possible time to the commission and to the member state which has jurisdiction over the media service provider , setting out the reasons for which the member state considers that there is such urgency that derogating from those conditions is necessary . ### member states may , if the service provided by a media service provider gravely infringes upon the conditions laid down by point , and in paragraph 2 in urgent cases , derogate from the conditions laid down in points and of paragraph 3 . where this is the case , the measures shall be notified in the shortest possible time to the commission and to the member state which has jurisdiction over the media service provider , setting out the reasons for which the member state considers that there is such urgency that derogating from those conditions is necessary .


### without prejudice to the member state’s possibility of proceeding with the measures referred to in paragraph 6 , the commission shall examine the compatibility of the notified measures with union law in the shortest possible time . where it comes to the conclusion that the measures are incompatible with union law , the commission shall require the member state concerned to refrain from taking any intended measures or urgently to put an end to those measures . ### without prejudice to the member state’s possibility of proceeding with the measures referred to in paragraph 6 , the commission shall examine the compatibility of the notified measures with union law in the shortest possible time . where it comes to the conclusion that the measures are incompatible with union law , the commission shall require the member state concerned to refrain from taking any intended measures or urgently to put an end to those measures within shortest possible time .


### the commission has decided , after having consulted erga , that the measures are compatible with union law , in particular that assessments made by the member state taking those measures under paragraphs 2 and 3 are correctly founded . ### the commission has decided within 2 months , after having consulted erga , that the measures are compatible with union law , in particular that assessments made by the member state taking those measures under paragraphs 2 and 3 are correctly founded .


### member states shall ensure by appropriate means that audiovisual media services provided by media service providers under their jurisdiction do not contain any incitement to violence or hatred directed against a group of persons or a member of such a group defined by reference to sex , racial or ethnic origin , religion or belief , disability , age or sexual orientation . ; ### member states shall ensure by appropriate and applicable means that audiovisual media services provided by media service providers under their jurisdiction do not contain any incitement to violence or hatred directed against a group of persons or a member of such a group defined by reference to sex , racial or ethnic origin , religion or belief , disability , age or sexual orientation . ;


### protect minors from content which may impair their physical , mental or moral development ; ### protect minors from content which may impair their physical , mental or moral development . such content shall only be made available in such a way as to ensure that minors will not normally hear or see it . these measures may include selecting the time of their availability , age verification tools or other technical measures ;


### what constitutes an appropriate measure for the purposes of paragraph 1 shall be determined in light of the nature of the content in question , the harm it may cause , the characteristics of the category of persons to be protected as well as the rights and legitimate interests at stake , including those of the video - sharing platform providers and the users having created and / or uploaded the content as well as the public interest . ### what constitutes an appropriate measure for the purposes of paragraph 1 shall be determined in light of the nature of the content in question , the harm it may cause , the characteristics of the category of persons to be protected as well as the rights and legitimate interests at stake , including those of the video - sharing platform providers and the users having created and / or uploaded the content as well as the public interest . the most harmful content , such as gratuitous violence and pornography , shall be subject to the strictest measures , such as encryption and effective parental controls . video - sharing platform providers shall give viewers sufficient information about such content , preferably using a system of descriptors indicating the nature of the content .


### establishing and operating mechanisms for users of video - sharing platforms to report or flag to the video - sharing platform provider concerned the content referred to in paragraph 1 stored on its platform ; ### establishing and operating easy to use mechanisms for users of video - sharing platforms to report or flag to the video - sharing platform provider concerned the content referred to in paragraph 1 stored on its platform ;


### member states shall ensure that complaint and redress mechanisms are available for the settlement of disputes between users and video - sharing platform providers relating to the application of the appropriate measures referred to in paragraphs 1 and 2 . ### member states shall ensure that complaint and redress mechanisms are publicly disclosed and available for the settlement of disputes between users and video - sharing platform providers relating to the application of the appropriate measures referred to in paragraphs 1 and 2 .


### member states and the commission shall encourage the development of self - and co - regulatory codes of conduct regarding inappropriate audiovisual commercial communications for alcoholic beverages . those codes should be used to effectively limit the exposure of minors to audiovisual commercial communications for alcoholic beverages . ### member states and the commission shall encourage the development of co - regulatory codes of conduct regarding inappropriate audiovisual commercial communications for alcoholic beverages . those codes should be used to effectively limit the exposure of minors to audiovisual commercial communications for alcoholic products .


### they shall not directly encourage the purchase or rental of goods or services ; ; ### they shall not encourage the purchase or rental of goods or services ; ;


### they shall not directly encourage the purchase or rental of goods or services ; ### they shall not encourage the purchase or rental of goods or services ;


### the most harmful content , such as gratuitous violence and pornography , shall be subject to the strictest measures , such as encryption and effective parental controls . ; ### the most harmful content , such as gratuitous violence and pornography , shall be subject to the strictest measures , such as encryption and effective parental controls , together with the measures mentioned above . ;


### member states may require providers of on - demand audiovisual media services under their jurisdiction to contribute financially to the production of european works , including via direct investment in content and contributions to national funds . member states may require providers of on - demand audiovisual media services , targeting audiences in their territories , but established in other member states to make such financial contributions . in this case , the financial contribution shall be based only on the revenues earned in the targeted member states . if the member state where the provider is established imposes a financial contribution , it shall take into account any financial contributions imposed by targeted member states . any financial contribution shall comply with union law , in particular with state aid rules . ### member states may require providers of on - demand audiovisual media services established under their jurisdiction to contribute financially to the production of european works , including via direct investment in content and contributions to national funds . member states may require providers of on - demand audiovisual media services , targeting audiences in their territories , but established in other member states to make such financial contributions . in this case , the financial contribution shall be based only on the revenues earned in the targeted member states . if the member state where the provider is established imposes a financial contribution , it shall take into account any financial contributions imposed by targeted member states . any financial contribution shall comply with union law , in particular with state aid rules .


### where , as a result of the coordination mechanism under regulation 2017 / 2394 , a single national competent authority within the meaning of that regulation imposes a fine on the trader responsible for the widespread infringement or the widespread infringement with a union dimension , it should be able to impose a fine of at least 4 % of the trader’s annual turnover in all member states concerned by the coordinated enforcement action . ### where , as a result of the coordination mechanism under regulation 2017 / 2394 , a single national competent authority within the meaning of that regulation imposes a fine on the trader responsible for the widespread infringement or the widespread infringement with a union dimension , it should be able to impose a maximum fine of at least 4 % and a minimum of no less than 2% of the trader’s annual turnover in all member states concerned by the coordinated enforcement action .


### member states should ensure that remedies are available for consumers harmed by unfair commercial practices in order to eliminate all the effects of those unfair practices . in order to meet that objective , member states should make both contractual and non - contractual remedies available . as a minimum , the contractual remedies provided by the member states should include the right to contract termination . non - contractual remedies provided under national law should , as a minimum , include the right to compensation for damages . member states would not be prevented from maintaining or introducing rights to additional remedies for consumers harmed by unfair commercial practices in order to ensure full removal of the effects of such practices . ### member states should ensure that remedies are available for consumers harmed by unfair commercial practices in order to eliminate all the effects of those unfair practices . in order to meet that objective , member states should make both contractual and non - contractual remedies available . as a minimum , the contractual remedies provided by the member states should include the right to contract termination . non - contractual remedies provided under national law should , as a minimum , include the right to compensation for damages . member states should not be prevented from maintaining or introducing rights to additional remedies for consumers harmed by unfair commercial practices in order to ensure full removal of the effects of such practices .


### specific transparency requirements for online marketplaces should therefore be provided in directive 2011 / 83 / eu to inform consumers using online marketplaces about the main parameters determining ranking of offers , whether they enter into a contract with a trader or a non - trader , whether consumer protection law applies and which trader is responsible for the performance of the contract and for ensuring consumer rights when these rights apply . this information should be provided in a clear and comprehensible manner and not only through a reference in the standard terms and conditions or similar contractual document . the information requirements for online marketplaces should be proportionate and need to strike a balance between a high level of consumer protection and the competitiveness of online marketplaces . online marketplaces should not be required to list specific consumer rights when informing consumers about their applicability or non - applicability . the information to be provided about the responsibility for ensuring consumer rights depends on the contractual arrangements between the online marketplace and the relevant third party traders . online marketplace may refer to the third party trader as being solely responsible for ensuring consumer rights or describe its specific responsibilities where it assumes the responsibility for certain aspects of the contract , for example , delivery or the exercise of the right of withdrawal . the obligation to provide information about the main parameters determining ranking of search results is without prejudice to any trade secrets regarding the underlying algorithms . this information should explain the main default parameters used by the marketplace but does not have to be presented in a customized manner for each individual search query . ### specific transparency requirements for online marketplaces should therefore be provided in directive 2011 / 83 / eu to inform consumers using online marketplaces about the main parameters determining ranking of offers , whether they enter into a contract with a trader or a non - trader , whether consumer protection law applies and which trader is responsible for the performance of the contract and for ensuring consumer rights when these rights apply . this information should be provided in a clear and comprehensible manner and not only through a reference in the standard terms and conditions or similar contractual document . the information requirements for online marketplaces should be proportionate and need to strike a balance between a high level of consumer protection and the competitiveness of online marketplaces . online marketplaces should be required to list specific consumer rights when informing consumers about their applicability or non - applicability . the information to be provided about the responsibility for ensuring consumer rights depends on the contractual arrangements between the online marketplace and the relevant third party traders . online marketplace may refer to the third party trader as being solely responsible for ensuring consumer rights or describe its specific responsibilities where it assumes the responsibility for certain aspects of the contract , for example , delivery or the exercise of the right of withdrawal . the obligation to provide information about the main parameters determining ranking of search results is without prejudice to any trade secrets regarding the underlying algorithms . this information should explain the main default parameters used by the marketplace but does not have to be presented in a customized manner for each individual search query .