### the investment firm is exposed to risks or elements of risks that are not covered or not sufficiently covered by the capital requirement set out in part three of [ regulation - - - / - - - - [ ifr ] ; ### the investment firm is exposed to risks or elements of risks that are not covered or not sufficiently covered by the capital requirement set out in part three of [ regulation - - - / - - - - [ ifr ] , especially taking into account risks in relation to environmental , social and governance factors ;


### the efsi is part of a comprehensive approach to address uncertainty surrounding public and private investments . the strategy has three pillars : mobilising finance for investment , making investment reach the real economy and improving the investment environment in the union . ### the efsi is part of a comprehensive approach to address uncertainty surrounding public and private investments . the strategy has three pillars : mobilising finance for investment , making investment reach the real economy and improving the investment environment in the union , and upholding the social and environmental standards , as well as the protection of the european taxpayer .


### the efsi is part of a comprehensive approach to address uncertainty surrounding public and private investments . the strategy has three pillars : mobilising finance for investment , making investment reach the real economy and improving the investment environment in the union . ### the efsi is part of a comprehensive approach to address uncertainty surrounding public and private investments until a system of own resources for the eu budget can be agreed . the strategy has three pillars : mobilising finance for investment , making investment reach the real economy and improving the investment environment in order to achieve economic , social and territorial cohesion across the union .


### the efsi should support strategic investments with high economic value added contributing to achieving union policy objectives . ### the efsi should support strategic investments with high economic value added contributing to achieving union policy objectives and values .


### the efsi should target investments that are expected to be economically and technically viable , which may entail a degree of appropriate risk , whilst still meeting the particular requirements for efsi financing . ### the efsi should target investments that are expected to be economically and technically viable , which may entail a degree of appropriate risk , whilst still meeting european principles and values with regard to social , environmental and territorial cohesion standards , and the particular requirements for efsi financing .


### in order to allow for further increase in its resources , participation in the efsi should be open to third parties , including member states , national promotional banks or public agencies owned or controlled by member states , private sector entities and entities outside the union subject to the consent of existing contributors . third parties may contribute directly to the efsi and take part in the efsi governance structure . ### in order to allow for further increase in its resources , participation in the efsi should be open to third parties , including member states , national promotional banks or public agencies owned or controlled by member states , private sector entities and entities outside the union subject to the consent of existing contributors . third parties may contribute directly to the efsi and take part in the efsi governance structure . the participation of a member state in the efsi through several public bodies or economic organisations shall not entitle member states and such third parties to additional weight in the efsi governance structures .


### the eib should regularly evaluate activities supported by the efsi with a view to assessing their relevance , performance and impact and to identifying aspects that could improve future activities . such evaluations should contribute to accountability and analysis of sustainability . ### the eib and the investment committee should regularly evaluate and report to the european parliament and the council on activities supported by the efsi with a view to assessing their relevance , performance and impact and to identifying aspects that could improve future activities . such evaluations and reporting should be made public and contribute to accountability and analysis of sustainability .


### to ensure accountability to european citizens , the eib should regularly report to the european parliament and the council on the progress and impact of the efsi . ### to ensure accountability to european citizens , the eib should regularly submit public reports to the european parliament and the council on the progress and impact of the efsi and have them approved by these institutions . the decision of the european parliament and the council on the efsi reports should be fully complied with .


### the commission shall conclude an agreement with the european investment bank on the establishment of a european fund for strategic investments . ### the commission shall conclude an agreement with the european investment bank on the establishment of a european fund for strategic investments in line with the requirements set out in this regulation .


### the efsi agreement shall provide that the efsi shall be governed by a steering board , which shall determine the strategic orientation , the strategic asset allocation and operating policies and procedures , including the investment policy of projects that efsi can support and the risk profile of the efsi , in conformity with the objectives under article 5 . the steering board shall elect one of its members to be chairperson . ### the efsi agreement shall provide that the efsi shall be governed by a steering board , which shall determine the strategic orientation , the strategic asset allocation and operating policies and procedures , including the investment policy of projects that efsi can support and the risk profile of the efsi , in conformity with the objectives under article 5 . the steering board shall elect a chairperson from among its members for a renewable fixed term of three years .


### 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 pipeline of current and potential future investment projects in the union , which shall be communicated to the european parliament and the commission . the pipeline is without prejudice to the final projects selected for support according to article 3 .


### 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 , as well as on an aggregate basis , and assessment items indicating the extent of compliance with the union ' s values and policy objectives and with the social and environmental standards .


### at the request of the european parliament , the managing director shall participate in a hearing of the european parliament on the performance of the efsi . ### at the request of the european parliament , the chairperson of the steering board and the&#160 ; managing director shall participate in a hearing of the european parliament on the performance of the efsi .


### the managing director shall reply orally or in writing to questions addressed to the efsi by the european parliament , in any event within five weeks of receipt of a question . ### the chairperson of the steering board and the managing director shall reply orally or in writing to questions addressed to the efsi by the european parliament , in any event within five weeks of receipt of a question .


### the delegation of power referred to in article 8 may be revoked at any time by the european parliament or by the council . a decision to revoke shall put an end to the delegation of the power specified in that decision . it shall take effect the day following the publication of the decision in the official journal of the european union or at a later date specified therein . it shall not affect the validity of any delegated acts already in force . ### the delegation of power referred to in articles 1 , 1 and 8 may be revoked at any time by the european parliament or by the council . a decision to revoke shall put an end to the delegation of the power specified in that decision . it shall take effect the day following the publication of the decision in the official journal of the european union or at a later date specified therein . it shall not affect the validity of any delegated acts already in force .


### a delegated act adopted pursuant to article 8 shall enter into force only if no objection has been expressed either by the european parliament or by the council within a period of two months of notification of that act to the european parliament and the council or if , before the expiry of that period , the european parliament and the council have both informed the commission that they will not object . that period shall be extended by two months at the initiative of the european parliament or of the council . ### a delegated act adopted pursuant to article 1 or article 8 shall enter into force only if no objection has been expressed either by the european parliament or by the council within a period of two months of notification of that act to the european parliament and the council or if , before the expiry of that period , the european parliament and the council have both informed the commission that they will not object . that period shall be extended by two months at the initiative of the european parliament or of the council .


### it is appropriate to replace regulation no 1222 / 2009 by a new regulation which incorporates amendments made in 2011 and modifies and enhances some of its provisions to clarify and update their content , taking into account the technological progress for tyres over recent years . ### it is appropriate to replace regulation no 1222 / 2009 by a new regulation which incorporates amendments made in 2011 and modifies and enhances some of its provisions to clarify and update their content , taking into account the technological progress for tyres over recent years . however , as supply and demand have changed little in terms of fuel efficiency , there is no need at this stage to reschedule the annex on this point . furthermore , the reasons for this lack of development and the purchase factors should be examined . on the other hand , with regard to wet grip performance , manufacturers have upgraded their products , which justifies this rescheduling , even if the purchasing habits of european consumers have not fundamentally changed .


### the transport sector accounts for a third of union energy consumption . road transport was responsible for about 22 % of the union’s total greenhouse gas emissions in 2015 . tyres , mainly because of their rolling resistance , account for 5% to 10 % of vehicles’ fuel consumption . a reduction of the rolling resistance of tyres would therefore contribute significantly to the fuel efficiency of road transport and thus to the reduction of emissions . ### the transport sector accounts for a third of union energy consumption . road transport was responsible for about 22 % of the union’s total greenhouse gas emissions in 2015 . tyres , mainly because of their rolling resistance , account for 5% to 10 % of vehicles’ fuel consumption . a reduction of the rolling resistance of tyres would therefore contribute significantly to the fuel efficiency of road transport and thus to the reduction of emissions and thereby to modernising the decarbonisation of the transport sector ;


### tyres are characterised by a number of interrelated parameters that are interrelated . improving one parameter such as rolling resistance may have an adverse impact on others such as wet grip , while improving wet grip may have an adverse impact on external rolling noise . tyre manufacturers should be encouraged to optimise all parameters beyond the standards already achieved . ### tyres are characterised by a number of interrelated parameters that are interrelated . improving one parameter such as rolling resistance may have an adverse impact on others such as wet grip , while improving wet grip may have an adverse impact on external rolling noise . tyre manufacturers should be encouraged to optimise all parameters beyond the standards already achieved by providing incentives for them to innovate in new technological processes and by supporting the resulting investment .


### the energy label pursuant to regulation 2017 / 1369 of the european parliament and of the council17 , which ranks the energy consumption of products on a scale from ' a ' to ' g ' , is recognised by over 85 % of union consumers and has proven to be effective in promoting more efficient products . the tyre label should continue to use the same design to the extent possible , while recognising the specificities of the tyre parameters . __________________ 17 regulation 2017 / 1369 of the european parliament and of the council of 4 july 2017 setting a framework for energy labelling and repealing directive 2010 / 30 / eu . ### the energy label pursuant to regulation 2017 / 1369 of the european parliament and of the council17 , which ranks the energy consumption of products on a scale from ' a ' to ' g ' , is recognised by over 85 % of union consumers as a clear and transparent information tool and has proven to be effective in promoting more efficient products . the tyre label should continue to use the same design to the extent possible , while recognising the specificities of the tyre parameters . __________________ 17 regulation 2017 / 1369 of the european parliament and of the council of 4 july 2017 setting a framework for energy labelling and repealing directive 2010 / 30 / eu .


### the provision of comparable information on tyre parameters in the form of a standard label is likely to influence purchasing decisions by end - users in favour of safer , quieter and more fuel - efficient tyres . this , in turn , is likely to encourage tyre manufacturers to optimise those parameters , which would pave the way for more sustainable consumption and production . ### the provision of comparable information on tyre parameters in the form of a standard label is likely to influence purchasing decisions by end - users in favour of safer , more durable , quieter and more fuel - efficient tyres . this , in turn , is likely to encourage tyre manufacturers to optimise those parameters , which would pave the way for more sustainable consumption and production .


### compliance with the provisions on tyre labelling by suppliers and distributors is essential in order to ensure a level playing field in the union . member states should therefore monitor such compliance through market surveillance and regular ex - post controls , in line with regulation no 765 / 2008 of the european parliament and of the council20 . __________________ 20 regulation no 765 / 2008 of the european parliament and of the council of 9 july 2008 setting out the requirements for accreditation and market surveillance relating to the marketing of products and repealing regulation no 339 / 93 . ### compliance with the provisions on tyre labelling by suppliers and distributors is essential in order to ensure a level playing field in the union . member states should therefore monitor such compliance through market surveillance and regular ex - post controls , in line with regulation no 765 / 2008 of the european parliament and of the council20 , and also provide for sanctions in the case of false labelling . __________________ 20 regulation no 765 / 2008 of the european parliament and of the council of 9 july 2008 setting out the requirements for accreditation and market surveillance relating to the marketing of products and repealing regulation no 339 / 93 .


### in order to reinforce confidence in the label and to ensure its accuracy , the declaration that suppliers make on the label regarding the values for rolling resistance , wet grip and noise should be subject to the type approval process under regulation no 661 / 2009 . ### in order to reinforce confidence in the label and to ensure its accuracy , the declaration that suppliers make on the label regarding the values for rolling resistance , wet grip , snow grip , ice grip and noise should be subject to the type approval process under regulation no 661 / 2009 .


### the aim of this regulation is to increase the safety , health protection , and the economic and environmental efficiency of road transport by promoting fuel - efficient and safe tyres with low noise levels . ### the aim of this regulation is to increase the safety , health protection , and the economic and environmental efficiency of road transport by promoting fuel - efficient and safe , durable tyres with low noise levels .


### in relation to tyres sold directly on the internet , distributors shall ensure that the label is displayed in proximity to the price and that the product information sheet can be accessed . ### in relation to tyres sold directly on the internet , whether new or second - hand for use by a purchaser other than the initial purchaser , distributors shall ensure that the label is displayed in proximity to the price and that the product information sheet can be accessed .


### member states ' general market surveillance programmes established pursuant to [ article 13 of regulation no 765 / 2008 / regulation on compliance and enforcement proposed under com795 ] shall include actions to ensure the effective enforcement of this regulation . ### member states ' general market surveillance programmes established pursuant to [ article 13 of regulation no 765 / 2008 / regulation on compliance and enforcement proposed under com795 ] shall include actions to ensure the effective enforcement of this regulation and shall be strengthened .


### that report shall assess how effectively this regulation and the delegated acts adopted pursuant thereto have allowed end - users to choose higher performing tyres , taking into account its impacts on business , fuel consumption , safety , greenhouse gas emissions and market surveillance activities . it shall also assess the costs and benefits of independent and mandatory third party verification of the information provided in the label , taking also into account the experience with the broader framework provided by regulation no 661 / 2009 . ### that report shall assess how effectively this regulation and the delegated acts adopted pursuant thereto have allowed end - users to choose higher performing tyres , taking into account its impacts on business and workers by securing a just transition fund , fuel consumption , safety , greenhouse gas emissions and market surveillance activities . it shall also assess the costs and benefits of independent and mandatory third party verification of the information provided in the label , taking also into account the experience with the broader framework provided by regulation no 661 / 2009 .


### at union level , the european semester of economic policy coordination is the framework to identify national reform priorities and monitor their implementation . member states develop their own national multiannual investment strategies in support of those reform priorities . those strategies should be presented alongside the yearly national reform programmes as a way to outline and coordinate priority investment projects to be supported by national and / or union funding . they should also serve to use union funding in a coherent manner and to maximise the added value of the financial support to be received notably from the programmes supported by the union under the european regional development fund , the cohesion fund , the european social fund plus , the european maritime and fisheries fund and the european agricultural fund for rural development , the european investment stabilisation function and investeu , where relevant . ### at union level , the european semester of economic policy coordination is the framework to identify national reform priorities and monitor their implementation . member states develop their own national multiannual investment strategies in support of those reform priorities . those strategies should be presented alongside the yearly national reform programmes as a way to outline and coordinate priority investment projects to be supported by national and / or union funding . they should also serve to use union funding in a coherent manner and to maximise the added social value of the financial support to be received notably from the programmes supported by the union under the european regional development fund , the cohesion fund , the european social fund plus , the european maritime and fisheries fund and the european agricultural fund for rural development , the european investment stabilisation function and investeu , where relevant .


### the council of [ … ] adopted revised guidelines for the employment policies of the member states to align the text with the principles of the european pillar of social rights , with a view to improving europe ' s competitiveness and making it a better place to invest , create jobs and foster social cohesion . in order to ensure the full alignment of the esf + with the objectives of these guidelines , particularly as regards employment , education , training and the fight against social exclusion , poverty and discrimination , the esf + should support member states , taking account of the relevant integrated guidelines and relevant country - specific recommendations adopted in accordance with article 121 tfeu and article 148 tfeu and , where appropriate , at national level , the national reform programmes underpinned by national strategies . the esf + should also contribute to relevant aspects of the implementation of key union initiatives and activities , in particular the ' skills agenda for europe ' and the european education area , relevant council recommendations and other initiatives such as the youth guarantee , upskilling pathways and on integration of the long - term unemployed . ### the council of [ … ] adopted revised guidelines for the employment policies of the member states to align the text with the principles of the european pillar of social rights , with a view to improving europe ' s competitiveness and making it a better place to invest , create jobs and foster social cohesion . in order to ensure the full alignment of the esf + with the objectives of these guidelines , particularly as regards employment , education , training and the fight against social exclusion , poverty and discrimination , the esf + should support member states , taking account of the relevant integrated guidelines and relevant country - specific recommendations adopted in accordance with article 121 tfeu and article 148 tfeu and , where appropriate , at national level , the national reform programmes underpinned by national strategies . the esf + should also contribute to relevant aspects of the implementation of key union initiatives and activities , in particular the ' skills agenda for europe ' and the european education area , the youth guarantee and other relevant council recommendations and other initiatives such as the youth guarantee , upskilling pathways and on integration of the long - term unemployed .


### the esf + should aim to promote employment through active interventions enabling integration into the labour market , notably for youth , the long - term unemployed and the inactive , as well as through promoting self–employment and the social economy . the esf + should aim to improve the functioning of labour markets by supporting the modernisation of labour market institutions such as the public employment services in order to improve their capacity to provide intensified targeted counselling and guidance during the job search and the transition to employment and to enhance workers’ mobility . the esf + should promote women ' s participation in the labour market through measures aiming to ensure , amongst others , improved work / life balance and access to childcare . the esf + should also aim to provide a healthy and well - adapted working environment in order to respond to health risks related to changing forms of work and the needs of the ageing workforce . ### the esf + should aim to promote employment through active interventions enabling integration into the labour market , notably for youth , the long - term unemployed and the inactive , as well as through promoting self–employment and the social economy . the esf + should aim to improve employment policies and the functioning of labour markets by supporting the modernisation of labour market institutions such as the public employment services in order to improve their capacity to provide intensified targeted counselling and guidance during the job search and the transition to employment and to enhance workers’ mobility . the esf + should promote women ' s participation in the labour market through measures aiming to ensure , amongst others , improved work / life balance , equal pay for equal work and access to childcare . the esf + should also aim to provide a healthy and well - adapted working environment in order to respond to health risks related to changing forms of work and the needs of the ageing workforce .


### the esf + should provide support to improving the quality , effectiveness and labour market relevance of education and training systems in order to facilitate the acquisition of key competences notably as regards digital skills which all individuals need for personal fulfilment and development , employment , social inclusion and active citizenship . the esf + should help progression within education and training and transition to work , support lifelong learning and employability , and contribute to competitiveness and societal and economic innovation by supporting scalable and sustainable initiatives in these fields . this could be achieved for example through work - based learning and apprenticeships , lifelong guidance , skills anticipation in cooperation with industry , up - to - date training materials , forecasting and graduate tracking , training of educators , validation of learning outcomes and recognition of qualifications . ### the esf + should provide support to improving the quality , effectiveness and labour market relevance of education and training systems in order to facilitate the acquisition of key competences notably as regards digital skills which all individuals need for personal fulfilment and development , employment , social inclusion and active citizenship . the esf + should help progression within education and training and transition to work , support lifelong learning and employability , and contribute to competitiveness and societal and economic innovation by supporting scalable and sustainable initiatives in these fields . this could be achieved for example through work - based learning and apprenticeships , lifelong guidance , skills anticipation in cooperation with the social partners , up - to - date training materials , forecasting and graduate tracking , training of educators , validation of learning outcomes and recognition of qualifications .


### support through the esf + should be used to promote equal access for all , in particular for disadvantaged groups , to quality , non - segregated and inclusive education and training , from early childhood education and care through general and vocational education and training and to tertiary level , as well as adult education and learning , thereby fostering permeability between education and training sectors , preventing early school leaving , improving health literacy , reinforcing links with non - formal and informal learning and facilitating learning mobility for all . synergies with the erasmus programme , notably to facilitate the participation of disadvantaged learners in learning mobility , should be supported within this context . ### support through the esf + should be used to promote equal access for all , in particular for disadvantaged groups , to quality , non - segregated and inclusive education and training , from early childhood education and care , paying special attention to children coming from a disadvantaged social background , through general and vocational education and training and to tertiary level , as well as adult education and learning , thereby fostering permeability between education and training sectors , preventing early school leaving , improving health literacy , reinforcing links with non - formal and informal learning and facilitating learning mobility for all , keeping in mind the ultimate goal , namely to fight youth unemployment . synergies with the erasmus programme , notably to facilitate the participation of disadvantaged learners in learning mobility , should be supported within this context .


### the esf + should support member states’ efforts to tackle poverty with a view to breaking the cycle of disadvantage across generations and promote social inclusion by ensuring equal opportunities for all , tackling discrimination and addressing health inequalities . this implies mobilising a range of policies targeting the most disadvantaged people regardless of their age , including children , marginalised communities such as the roma , and the working poor . the esf + should promote the active inclusion of people far from the labour market with a view to ensuring their socio - economic integration . the esf + should be also used to enhance timely and equal access to affordable , sustainable and high quality services such as healthcare and long - term care , in particular family and community - based care services . the esf + should contribute to the modernisation of social protection systems with a view in particular to promoting their accessibility . ### the esf + should support member states’ efforts to tackle poverty with a view to breaking the cycle of disadvantage across generations and promote social inclusion by ensuring equal opportunities for all , tackling discrimination and addressing health inequalities . this implies mobilising a range of policies targeting the most disadvantaged people regardless of their age , including children , youth , marginalised communities such as the roma , persons with disabilities , people experiencing homelessness , third - country nationals and the working poor . the esf + should promote the active inclusion of people far from the labour market with a view to ensuring their socio - economic integration . the esf + should be also used to enhance timely and equal access to affordable , sustainable and high quality services such as healthcare and long - term care , in particular family and community - based care services and services guiding access to adequate social or affordable housing . . the esf + should contribute to the modernisation of social protection systems with a view in particular to promoting their accessibility .


### the esf + should contribute to the reduction of poverty by supporting national schemes aiming to alleviate food and material deprivation and promote social integration of people at risk of poverty or social exclusion and the most deprived . with a view that at union level at least 4% of the resources of the esf + strand under shared management supports the most deprived , member states should allocate at least 2% of their national resources of the esf + strand under shared management to address the forms of extreme poverty with the greatest social exclusion impact , such as homelessness , child poverty and food deprivation . due to the nature of the operations and the type of end recipients , it is necessary that simpler rules apply to support which addresses material deprivation of the most deprived . ### the esf + should contribute to the reduction of poverty by supporting national schemes aiming to alleviate food and material deprivation and promote social integration of people at risk of poverty or social exclusion and the most deprived . with a view that at union level at least 4% of the resources of the esf + strand under shared management supports the most deprived , member states should allocate at least 4% of their national resources of the esf + strand under shared management to address the forms of extreme poverty with the greatest social exclusion impact , such as homelessness , child poverty and food deprivation . due to the nature of the operations and the type of end recipients , it is necessary that simpler rules apply to support which addresses material deprivation of the most deprived .


### in the light of persistently high levels of youth unemployment and inactivity in a number of member states and regions , in particular affecting young people who are neither in employment , nor in education or training , it is necessary that those member states continue to invest sufficient resources of the esf + strand under shared management towards actions to promote youth employment including through the implementation of youth guarantee schemes . building on the actions supported by the youth employment initiative in the 2014 - 2020 programming period targeting individual persons , member states should further promote employment and education reintegration pathways and outreach measures for young people by prioritising , where relevant , long - term unemployed , inactive and disadvantaged young people including through youth work . member states should also invest in measures aimed at facilitating school - to - work transition as well as reforming and adapting employment services with a view to providing tailor - made support to young people . member states concerned should therefore allocate at least 10% of their national resources of the esf + strand under shared management to support youth employability . ### in the light of persistently high levels of youth unemployment and inactivity in a number of member states and regions , in particular affecting young people who are neither in employment , nor in education or training , or who come from marginalised communities , it is necessary that those member states continue to invest sufficient resources of the esf + strand under shared management towards actions to promote youth employment including through the implementation of youth guarantee schemes . building on the actions supported by the youth employment initiative in the 2014 - 2020 programming period targeting individual persons , member states should further promote employment and education and / or training reintegration pathways and outreach measures for young people by prioritising , where relevant , long - term unemployed , inactive , disadvantaged and marginalised young people including through youth work . member states should also invest in measures aimed at facilitating school - to - work transition as well as reforming and adapting employment services with a view to providing tailor - made support to young people . member states concerned should therefore allocate at least 15% of their national resources of the esf + strand under shared management to support youth employability .


### in the light of persistently high levels of youth unemployment and inactivity in a number of member states and regions , in particular affecting young people who are neither in employment , nor in education or training , it is necessary that those member states continue to invest sufficient resources of the esf + strand under shared management towards actions to promote youth employment including through the implementation of youth guarantee schemes . building on the actions supported by the youth employment initiative in the 2014 - 2020 programming period targeting individual persons , member states should further promote employment and education reintegration pathways and outreach measures for young people by prioritising , where relevant , long - term unemployed , inactive and disadvantaged young people including through youth work . member states should also invest in measures aimed at facilitating school - to - work transition as well as reforming and adapting employment services with a view to providing tailor - made support to young people . member states concerned should therefore allocate at least 10% of their national resources of the esf + strand under shared management to support youth employability . ### in the light of persistently high levels of youth unemployment and inactivity in a number of member states and regions , in particular affecting young people who are neither in employment , nor in education or training , it is necessary that those member states continue to invest sufficient resources of the esf + strand under shared management towards actions to promote youth employment in particular through the implementation of youth guarantee schemes . building on the actions supported by the youth employment initiative in the 2014 - 2020 programming period targeting individual persons , member states should further promote employment and education reintegration pathways and outreach measures for young people by prioritising , where relevant , long - term unemployed , inactive and disadvantaged young people including through youth work . member states should also invest in measures aimed at facilitating school - to - work transition as well as reforming and adapting employment services with a view to providing tailor - made support to young people . member states concerned should therefore allocate at least 15% of their national resources of the esf + strand under shared management to support youth employability .


### esf + lays down provisions intended to achieve freedom of movement for workers on a non - discriminatory basis by ensuring the close cooperation of the central employment services of member states with one another and with the commission . the european network of employment services should promote a better functioning of the labour markets by facilitating the cross - border mobility of workers and a greater transparency of information on the labour markets . the esf + scope also includes developing and supporting targeted mobility schemes with a view to filling vacancies where labour market shortcomings have been identified . ### the esf + lays down provisions intended to achieve freedom of movement for workers on a non - discriminatory basis by ensuring the close cooperation of the central employment services of member states , the social partners and the commission . the european network of employment services should promote a better functioning of the labour markets by facilitating the cross - border mobility of workers and a greater transparency of information on the labour markets . the esf + scope also includes developing and supporting targeted mobility schemes with a view to filling vacancies where labour market shortcomings have been identified .


### lack of access to finance for microenterprises , social economy and social enterprises is one of the main obstacles to business creation , especially among people furthest from the labour market . the esf + regulation lays down provisions in order to create a market eco - system to increase the supply of and access to finance for social enterprises as well as to meet demand from those who need it most , and in particular the unemployed , women and vulnerable people who wish to start up or develop a microenterprise . this objective will also be addressed through financial instruments and budgetary guarantee under the social investment and skills policy window of the investeu fund . ### lack of access to finance for microenterprises , social economy and social enterprises is one of the main obstacles to business creation , especially among people furthest from the labour market . the esf + regulation lays down provisions in order to create a market eco - system to increase the supply of and access to finance for social enterprises as well as to meet demand from those who need it most , and in particular the unemployed , women , vulnerable people and people from disadvantaged communities who wish to start up or develop a microenterprise . this objective will also be addressed through financial instruments and budgetary guarantee under the social investment and skills policy window of the investeu fund .


### since the objective of this regulation , namely enhancing the effectiveness of labour markets and promoting access to quality employment , improving the access to and the quality of education and training , promoting social inclusion and health and reducing poverty as well as the actions under the employment and social innovation and health strands , cannot be sufficiently achieved by the member states but can rather , be better achieved at union level , the union may adopt measures , in accordance with the principle of subsidiarity as set out in article 5 of the treaty on european union . in accordance with the principle of proportionality , as set out in that article , this regulation does not go beyond what is necessary in order to achieve that objective . ### since the objective of this regulation , namely enhancing the effectiveness and fairness of labour markets and promoting access to quality employment , improving the access to and the quality of education and training , promoting social inclusion and health and reducing poverty as well as the actions under the employment and social innovation and health strands , cannot be sufficiently achieved by the member states but can rather , be better achieved at union level , the union may adopt measures , in accordance with the principle of subsidiarity as set out in article 5 of the treaty on european union . in accordance with the principle of proportionality , as set out in that article , this regulation does not go beyond what is necessary in order to achieve that objective .


### the esf + aims to support member states to achieve high employment levels , fair social protection and a skilled and resilient workforce ready for the future world of work , in line with the principles set out in the european pillar of social rights proclaimed by the european parliament , the council and the commission on 17 november 2017 . ### the esf + shall support member states to achieve high employment levels , social progress and social cohesion , fair social protection , eradication of poverty and a skilled and resilient workforce ready for the future world of work , in line with the principles set out in the european pillar of social rights proclaimed by the european parliament , the council and the commission on 17 november 2017 .


### the esf + shall support , complement and add value to the policies of the member states to ensure equal opportunities , access to the labour market , fair working conditions , social protection and inclusion , and a high level of human health protection . ### the esf + shall support , complement and add social value to the policies of the member states to ensure equal opportunities , access to the labour market , fair working conditions , social protection and inclusion , and a high level of human health protection .


### improving access to employment of all jobseekers , in particular youth and long - term unemployed , and of inactive people , promoting self - employment and the social economy ; ### improving access to employment of all jobseekers , in particular youth and long - term unemployed , and of inactive people , promoting self - employment and the social economy , thereby ensuring fair working conditions ;


### modernising labour market institutions and services to assess and anticipate skills needs and ensure timely and tailor - made assistance and support to labour market matching , transitions and mobility ; ### modernising labour market institutions and services to assess and anticipate skills needs and ensure timely and tailor - made assistance and support to fair labour market matching , transitions and mobility ;


### promoting women’s labour market participation , a better work / life balance including access to childcare , a healthy and well–adapted working environment addressing health risks , adaptation of workers , enterprises and entrepreneurs to change , and active and healthy ageing ; ### promoting women’s labour market participation , equality between men and women in all areas , including in access to employment , career progression , reconciliation of work and private life , equal pay for equal work , better work / life balance including access to childcare , a healthy and well–adapted working environment addressing health risks , adaptation of workers , enterprises and entrepreneurs to change , and active and healthy ageing ;


### the total financial envelope for the esf + for the period 2021 - 2027 shall be eur 101 174 000 000 in current prices . ### the total financial envelope for the esf + for the period 2021 - 2027 shall be eur 118 861 000000 in constant prices .


### all programmes implemented under the esf + strand under shared management , as well as the operations supported by the employment and social innovation and health strands shall ensure equality between men and women throughout their preparation , implementation , monitoring and evaluation . they shall also promote equal opportunities for all , without discrimination based on sex , racial or ethnic origin , religion or belief , disability , age or sexual orientation throughout their preparation , implementation , monitoring and evaluation . ### all programmes implemented under the esf + strand under shared management , as well as the operations supported by the employment and social innovation and health strands shall ensure equality between men and women throughout their preparation , implementation , monitoring and evaluation . they shall also promote equal opportunities for all , without discrimination based on sex , racial , &#160 ; ethnic or social origin , religion or belief , disability , age or sexual orientation throughout their preparation , implementation , monitoring and evaluation .


### member states shall allocate at least 25% of their esf + resources under shared management to the specific objectives for the social inclusion policy area set out in points to of article 4 , including the promotion of the socio - economic integration of third country nationals . ### member states shall allocate at least 30% of their esf + resources under shared management to the specific objectives for the social inclusion policy area set out in points to of article 4 , including the promotion of the socio - economic integration of third country nationals .


### member states shall allocate at least 2% of their esf + resources under shared management to the specific objective of addressing material deprivation set out in point of article 4 . ### member states shall allocate at least 4% of their esf + resources under shared management to the specific objective of addressing social inclusion of the most deprived and material deprivation set out in point of article 4 .


### member states having a rate of young people aged 15 to 29 not in employment , education or training above the union average in 2019 on the basis of eurostat data , shall allocate at least 10% of their esf + resources under shared management for the years 2021 to 2025 to targeted actions and structural reforms to support youth employment and school - to - work transition , pathways to reintegrate into education or training and second chance education , in particular in the context of implementing youth guarantee schemes . ### member states shall allocate at least 5% of their esf + resources under shared management for the years 2021 to 2025 to targeted actions and structural reforms to support youth employment and school - to - work transition , pathways to reintegrate into education or training and second chance education , in particular in the context of implementing youth guarantee schemes . member states having a rate of young people aged 15 to 29 not in employment , education or training above the union average in 2019 on the basis of eurostat data , or whenever their neet rate is above 15% , or whenever their youth unemployment rate is above 15% , shall allocate at least 15% of their esf + resources under shared management in the programming period to the above mentioned actions and structural reform measures .


### when programming the esf + resources under shared management for 2026 and 2027 at mid - term in accordance with article [ 14 ] of [ the future cpr ] , member states having a rate of young people aged 15 to 29 not in employment , education or training above the union average in 2024 on the basis of eurostat data , shall allocate at least 10% of their esf + resources under shared management for the years 2026 to 2027 to these actions . ### when programming the esf + resources under shared management for 2026 and 2027 at mid - term in accordance with article [ 14 ] of [ the future cpr ] , member states having a rate of young people aged 15 to 29 not in employment , education or training above the union average in 2024 on the basis of eurostat data , or whenever their neet rate is above 15 % , shall allocate at least 15%of their esf + resources under shared management for the years 2026 to 2027 to these actions .


### outermost regions meeting the conditions set out in the first and second subparagraphs shall allocate at least 15% of the esf + resources under shared management in their programmes to the targeted actions set out in the first subparagraph . this allocation shall be taken into account for verifying compliance with the minimum percentage at national level set out in the first and second subparagraphs . ### outermost regions meeting the conditions set out in the first and second subparagraphs shall allocate at least 20% of the esf + resources under shared management in their programmes to the targeted actions set out in the first subparagraph . this allocation shall be taken into account for verifying compliance with the minimum percentage at national level set out in the first and second subparagraphs .


### each member state shall ensure adequate participation of social partners and civil society organisations in the delivery of employment , education and social inclusion policies supported by the esf + strand under shared management . ### each member state shall ensure adequate participation of social partners and civil society organisations in the delivery of employment , education and social inclusion policies supported by the esf + strand under shared management . this should include a dedicated approach to social partners ' capacity building in line with the 2016 quadri - partite statement on a new start for social dialogue .


### member states shall allocate an appropriate amount of esf + resources under shared management in each programme for the capacity building of social partners and civil society organisations . ### member states shall allocate at least 2% of the esf + resources under shared management in each programme for the capacity building of social partners and civil society organisations .


### member states shall support actions of social innovation and social experimentations , or strengthen bottom - up approaches based on partnerships involving public authorities , the private sector , and civil society such as the local action groups designing and implementing community - led local development strategies . ### member states shall support actions of social innovation and social experimentations , or strengthen bottom - up approaches based on partnerships involving public authorities , the social partners , the private sector and civil society , such as the local action groups designing and implementing community - led local development strategies .


### directive 2000 / 13 / ec of the european parliament and of the council12 does not apply to business to business relations . since the products covered by this directive are not meant to be sold to the final consumer but only from business to business for the preparation of food products , it is appropriate to maintain , adapt to the current legal framework and simplify the specific rules already included in directive 83 / 417 / eec . those rules provide for the information to be provided for those products in order to allow the food business operators , on the one hand , to avail of the information they need for the labelling of the final products , for example when it comes to allergens , and on the other hand to avoid that those products can be confused with similar products not meant for human consumption . __________________ 12 directive 2000 / 13 / ec of the european parliament and of the council of 20 march 2000 on the approximation of the laws of the member states relating to the labelling , presentation and advertising of foodstuffs . ### directive 2000 / 13 / ec of the european parliament and of the council12 does not apply to business to business relations . since the products covered by this directive are not meant to be sold to the final consumer but only from business to business for the preparation of food products , it is appropriate to maintain , adapt to the current legal framework and simplify the specific rules already included in directive 83 / 417 / eec . those rules provide for the information to be provided for those products in order to allow the food business operators , on the one hand , to avail of the information they need for the labelling of the final products , for example when it comes to allergens , and on the other hand to avoid that those products can be confused with similar products not meant or that are unfit for human consumption . __________________ 12 directive 2000 / 13 / ec of the european parliament and of the council of 20 march 2000 on the approximation of the laws of the member states relating to the labelling , presentation and advertising of foodstuffs .


### to deliver scientific , economic and societal impact in pursuit of this general objective , the union should invest in research and innovation through horizon europe - a framework programme for research and innovation 2021 - 2027 to support the creation and diffusion of high - quality knowledge and technologies , to strengthen the impact of research and innovation in developing , supporting and implementing union policies , to support the uptake of innovative solutions in industry and society to address global challenges and promote industrial competitiveness ; to foster all forms of innovation , including breakthrough innovation , and strengthen market deployment of innovative solutions ; and optimise the delivery of such investment for increased impact within a strengthened european research area . ### to deliver scientific , economic and societal impact in pursuit of this general objective , the union should invest in research and innovation through horizon europe - a framework programme for research and innovation 2021 - 2027 to support the creation and diffusion of high - quality knowledge and technologies , to strengthen the impact of research and innovation in developing , supporting and implementing union policies , to support the uptake of innovative solutions in industry and society to address global challenges and promote industrial competitiveness ; to foster all forms of innovation , including breakthrough innovation , and strengthen market deployment of innovative solutions ; and optimise the delivery of such investment for increased impact within a strengthened european research area , generating smart , sustainable and inclusive growth .


### it is important to support industry to stay or become world leader in innovation , digitisation and decarbonisation , notably through investments in key enabling technologies that will underpin tomorrow ' s business . the programme ' s actions should be used to address market failures or sub - optimal investment situations , in a proportionate manner , without duplicating or crowding out private financing and have a clear european added value . this will ensure consistency between the actions of the programme and eu state aid rules , avoiding undue distortions of competition in the internal market . ### it is important to transform the union into a world leader in innovation , digitisation and decarbonisation , notably through investments in key enabling technologies that will underpin tomorrow ' s business . the fund ' s actions should be used to address market failures or sub - optimal investment situations , in a proportionate manner , without duplicating or crowding out private financing and have a clear european added value . this will ensure consistency between the actions of the programme and eu state aid rules , avoiding undue distortions of competition in the internal market .


### the programme should promote and integrate cooperation with third countries and international organisations and initiatives based on common interest , mutual benefit and global commitments to implement the un sdgs . international cooperation should aim to strengthen the union ' s research and innovation excellence , attractiveness and economic and industrial competitiveness , to tackle global challenges , as embodied in the un sdgs , and to support the union ' s external policies . an approach of general opening for international participation and targeted international cooperation actions should be followed , including through appropriate eligibility for funding of entities established in low to middle income countries . at the same time , association of third countries to the programme should be promoted . ### the programme should promote and integrate cooperation with third countries and international organisations and initiatives based on common interest , mutual benefit and global commitments to implement the un sdgs . international cooperation should aim to strengthen the union ' s research and innovation excellence , attractiveness and economic and industrial competitiveness , to tackle global challenges , as embodied in the un sdgs , and to support the union ' s external policies . an approach of general opening for international participation and targeted international cooperation actions , including low - and middle - income , countries , should be followed , including through appropriate eligibility for funding of entities established in low to middle income countries . at the same time , association of third countries to the programme should be promoted .


### with the aim of deepening the relationship between science and society and maximising benefits of their interactions , the programme should engage and involve citizens and civil society organisations in co - designing and co - creating responsible research and innovation agendas and contents , promoting science education , making scientific knowledge publicly accessible , and facilitating participation by citizens and civil society organisations in its activities . it should do so across the programme and through dedicated activities in the part ' strengthening the european research area ' . the engagement of citizens and civil society in research and innovation should be coupled with public outreach activities to generate and sustain public support for the programme . the programme should also seek to remove barriers and boost synergies between science , technology , culture and the arts to obtain a new quality of sustainable innovation . ### with the aim of deepening the relationship between science and society and maximising benefits of their interactions , the programme should actively and systematically engage and involve citizens and civil society organisations in co - designing and co - creating responsible research and innovation agendas and contents , promoting science education , making scientific knowledge publicly accessible , and facilitating participation by citizens and civil society organisations in its activities . it should do so across the programme and through dedicated activities in the part ' strengthening the european research area ' . the engagement of citizens and civil society in research and innovation should be coupled with public outreach activities to generate and sustain public support for the programme . the programme should also seek to remove barriers and boost synergies between science , technology , culture and the arts to obtain a new quality of sustainable innovation .


### the activities developed under the programme should aim at eliminating gender inequalities and promoting equality between women and men in research and innovation , in compliance with articles 2 and 3 of the treaty on european union and article 8 of the tfeu . the gender dimension should be adequately integrated in research and innovation content and followed through at all stages of the research cycle . ### the activities developed under the programme should aim at eliminating gender inequalities and promoting equality between women and men in research and innovation , in compliance with articles 2 and 3 of the treaty on european union and article 8 of the tfeu . the gender dimension should be adequately integrated in research and innovation content and followed through at all stages of the research cycle . while excellence remains the sole principle of granting funds under horizon europe , the eu and member states shall step up their efforts in order to reduce the gender gap in science and research and thus raise the share of female researchers awarded with funding under the eu programmes . in the framework of this regulation , particular importance should be given to ensure gender balance , subject to the situation in the field of research and innovation concerned , in evaluation panels and in other relevant advisory and expert bodies .


### coherence and synergies between horizon europe and the eu ' s space programme will foster a globally competitive and innovative european space sector ; reinforce europe’s autonomy in accessing and using space in a secure and safe environment ; and strengthen europe’s role as a global actor . breakthrough solutions in horizon europe will be supported by data and services made available by the space programme . ### coherence and synergies between horizon europe and the eu ' s space programme will foster a globally competitive and innovative european space sector ; reinforce europe’s autonomy , space diplomacy and international cooperation in accessing and using space in a secure and safe environment ; and strengthen europe’s role as a global actor . breakthrough solutions in horizon europe will be supported by data and services made available by the space programme , which will have to safeguard space diplomacy and international cooperation , taking into account any private initiatives that already operate on the markets .


### cluster ' food and natural resources ' ; ### cluster ' food , natural resources , seas and oceans ' ;


### eur 10 000 000 000 for cluster ' food and natural resources ' ; ### eur 16 000 000 000 for cluster ‘ food , natural resources , seas and oceans’ ;


### eur 2 200 000 000 for the non - nuclear direct actions of the joint research centre ; ### eur 3 100 000 000 for the non - nuclear direct actions of the joint research centre ;


### commitment to a rules - based open market economy , including fair and equitable dealing with intellectual property rights , backed by democratic institutions ; ### commitment to a rules - based open market economy , including fair and equitable dealing with intellectual property rights and robust regulations on privacy and data protection , backed by democratic institutions ;


### actions which are not ethically acceptable may be rejected or terminated at any time . ### actions which are not ethically acceptable shall be rejected or terminated at any time .


### the contractor generating results in pre - commercial procurement shall own at least the attached intellectual property rights . the contracting authorities shall enjoy at least royalty - free access rights to the results for their own use and the right to grant , or require the participating contractors to grant , non - exclusive licences to third parties to exploit the results for the contracting authority under fair and reasonable conditions without any right to sub - license . if a contractor fails to commercially exploit the results within a given period after the pre - commercial procurement as identified in the contract , the contracting authorities can require it to transfer any ownership of the results to the contracting authorities . ### the contractor generating results in pre - commercial procurement shall own the attached intellectual property rights . the contracting authorities shall enjoy royalty - free access rights to the results for their own use and the right to grant , or require the participating contractors to grant , non - exclusive licences to third parties to exploit the results for the contracting authority under fair and reasonable conditions without any right to sub - license . if a contractor fails to commercially exploit the results within a given period after the pre - commercial procurement as agreed in the contract , the contracting authorities can require it to transfer any ownership of the results to the contracting authorities .


### the joint owners shall agree in writing on the allocation and terms of exercise of their joint ownership . unless otherwise agreed , each joint owner may grant non - exclusive licences to third parties to exploit the jointly - owned results , if the other joint owners are given advance notice and fair and reasonable compensation . the joint owners may agree in writing to apply another regime than joint ownership . ### the joint owners shall agree in writing on the allocation and terms of exercise of their joint ownership . unless otherwise agreed in a joint ownership - or consortium agreement , each joint owner may grant non - exclusive licences to third parties to exploit the jointly - owned results , if the other joint owners are given advance notice and fair and reasonable compensation . the joint owners may agree in writing to apply another regime than joint ownership .


### in order to take full advantage of the competitive environment , professional users should be able to make informed choices and easily compare the individual components of various data storage or other processing services offered in the internal market , including as to the contractual conditions of porting data upon the termination of a contract . in order to align with the innovation potential of the market and to take into account the experience and expertise of the providers and professional users of data storage or other processing services , the detailed information and operational requirements for data porting should be defined by market players through self - regulation , encouraged and facilitated by the commission , in the form of union codes of conduct which may entail model contract terms . nonetheless , if such codes of conduct are not put in place and effectively implemented within a reasonable period of time , the commission should review the situation . ### in order to take full advantage of the competitive environment , professional users should be able to make informed choices and easily compare the individual components of various data storage or other processing services offered in the internal market , including as to the contractual conditions of porting data upon the termination of a contract . in order to align with the innovation potential of the market and to take into account the experience and expertise of the providers and professional users of data storage or other processing services , the detailed information and operational requirements for data porting should be defined by market players through self - regulation , encouraged and facilitated by the commission , in the form of union codes of conduct which may entail model contract terms . nonetheless , if such codes of conduct are not put in place and effectively implemented within a reasonable period of time , the commission should review the situation and asses the need to present legislative proposals to effectively reduce the number of barriers to the porting of data .


### enhancing trust in the security of cross - border data storage or other processing should reduce the propensity of market players and the public sector to use data localisation as a proxy for data security . it should also improve the legal certainty for companies on applicable security requirements when outsourcing their data storage or other processing activities , including to service providers in other member states . ### enhancing trust in the security of cross - border data storage or other processing should reduce the propensity of market players and the public sector to use data localisation as a proxy for data security . it should also improve the legal certainty for companies on applicable security requirements when outsourcing their data storage or other processing activities , including to service providers in other member states , and take into account the rapid ongoing development of new technologies , so as to adjust to them promptly .


### the union is committed to a sustainable , competitive , secure and decarbonised energy system . the energy union and the energy and climate policy framework for 2030 establish ambitious union commitments to reduce greenhouse gas emissions further , to increase the proportion of renewable energy consumed and to make energy savings of at least 27 % , reviewing this level having in mind an union level of 30 %10 , and to improve europe ' s energy security , competitiveness and sustainability . _________________ 10 euco 169 / 14 , co eur 13 , concl 5 , brussels 24 october 2014 . ### the union is committed to a sustainable , competitive , secure and decarbonised energy system . the energy union and the energy and climate policy framework for 2030 establish ambitious union commitments to reduce greenhouse gas emissions further , to increase the proportion of renewable energy consumed and to make energy savings of at least 27 % , reviewing this level having in mind an union level of 30 %10 , and to improve europe ' s energy security , competitiveness and&#160 ; sustainability and to secure access to affordable energy in order to reduce energy poverty . _________________ 10 euco 169 / 14 , co eur 13 , concl 5 , brussels 24 october 2014 .


### the provisions on long - term renovation strategies provided for in directive 2012 / 27 / eu of the european parliament and of the council 13 should be moved to directive 2010 / 31 / eu , where they fit more coherently . ____________________ 13 directive 2012 / 27 / eu of the european parliament and of the council of 25 october 2012 on energy efficiency , amending directives 2009 / 125 / ec and 2010 / 30 / eu and repealing directives 2004 / 8 / ec and 2006 / 32 / ec . ### the provisions on long - term renovation strategies provided for in directive 2012 / 27 / eu of the european parliament and of the council 13 should be moved to directive 2010 / 31 / eu , where they fit more coherently . the long - term renovation strategies and the renovation work that they stimulate will contribute to boosting growth through the creation of jobs , and to providing clean and affordable energy to consumers . ____________________ 13 directive 2012 / 27 / eu of the european parliament and of the council of 25 october 2012 on energy efficiency , amending directives 2009 / 125 / ec and 2010 / 30 / eu and repealing directives 2004 / 8 / ec and 2006 / 32 / ec .


### the provisions of this directive should not prevent member states from setting more ambitious energy performance requirements at building level and for building elements as long as such measures are compatible with union law . it is consistent with the objectives of this directive and of directive 2012 / 27 / ec that these requirements may , in certain circumstances , limit the installation or use of products subject to other applicable union harmonisation legislation , provided that such requirements should not constitute an unjustifiable market barrier . ### the provisions of this directive should not prevent member states from setting more ambitious energy performance requirements and requirements to make environments healthy and comfortable at building level and for building elements as long as such measures are compatible with union law . it is consistent with the objectives of this directive and of directive 2012 / 27 / ec that these requirements may , in certain circumstances , limit the installation or use of products subject to other applicable union harmonisation legislation , provided that such requirements should not constitute an unjustifiable market barrier .


### the primary objective of union’s development cooperation policy , as laid down in article 208 of the treaty on the functioning of the european union is the reduction and , in the long term , the eradication of poverty . the union’s development cooperation policy also contributes to the objectives of the union’s external action , in particular to foster the sustainable economic , social and environmental development of developing countries , with the primary aim of eradicating poverty , as set out in article 21 of the treaty on european union . ### the primary objective of union’s development cooperation policy , as laid down in article 208 of the treaty on the functioning of the european union is the reduction and , in the long term , the eradication of poverty . the union’s development cooperation policy also contributes to the objectives of the union’s external action , in particular to foster the sustainable economic , social and environmental development of developing countries , with the primary aim of eradicating poverty , as set out in article 21 of the treaty on european union , and to preserve peace , prevent conflicts and strengthen international security , as set out in article 21 of the treaty on the european union .


### the global context for action is the pursuit of a rules - based global order , with multilateralism as its key principle and the united nations at its core . the 2030 agenda , together with the paris agreement on climate change57 and the addis ababa action agenda58 is the international community’s response to global challenges and trends in relation to sustainable development . with the sustainable development goals at its core , the 2030 agenda is a transformative framework to eradicate poverty and achieve sustainable development globally . it is universal in scope , providing a comprehensive shared framework for action that applies to the union , to its member states and to its partners . it balances the economic , social and environmental dimensions of sustainable development , recognising the essential interlinkages between its goals and targets . the 2030 agenda aims to leave no one behind . the implementation of the 2030 agenda will be closely coordinated with the union ' s other relevant international commitments . actions undertaken by this regulation should pay particular attention to interlinkages between sustainable development goals and to integrated actions that can create co - benefits and meet multiple objectives in a coherent way . __________________ 57 signed in new york on 22 april 2016 . 58 ' addis ababa action agenda of the third international conference on financing for development ' , adopted on 16 june 2015 and endorsed by the united nations general assembly on 27 july 2015 . ### the global context for action is the pursuit of a rules - based global order , with multilateralism as its key principle and the united nations at its core . the 2030 agenda , together with the paris agreement on climate change57 and the addis ababa action agenda58 is the international community’s response to global challenges and trends in relation to sustainable development . with the sustainable development goals at its core , the 2030 agenda is a transformative framework to eradicate poverty , achieve sustainable development globally and promote peaceful , just and inclusive societies . it is universal in scope , providing a comprehensive shared framework for action that applies to the union , to its member states and to its partners . it balances the economic , social and environmental dimensions of sustainable development , recognising the essential interlinkages between its goals and targets . the 2030 agenda aims to leave no one behind and goal 5 of the agenda specifically aims to end all forms of discrimination against all women and girls . it seeks to adopt and strengthen enforceable legislation which promotes gender equality . the implementation of the 2030 agenda will be closely coordinated with the union ' s other relevant international commitments . actions undertaken by this regulation should pay particular attention to interlinkages between sustainable development goals and to integrated actions that can create co - benefits and meet multiple objectives in a coherent way . __________________ 57 signed in new york on 22 april 2016 . 58 ' addis ababa action agenda of the third international conference on financing for development ' , adopted on 16 june 2015 and endorsed by the united nations general assembly on 27 july 2015 .


### the implementation of this regulation should be guided by the five priorities established in the global strategy for the european union’s foreign and security policy 59 , presented on 19 june 2016 , which represents the union ' s vision and the framework for united and responsible external engagement in partnership with others , to advance its values and interests . the union should enhance partnerships , promote policy dialogue and collective responses to challenges of global concern . its action should support the union’s interests and values in all its aspects , including preserving peace , preventing conflicts , strengthening international security , fighting root causes of irregular migration and assisting populations , countries and regions confronting natural or man - made disasters , supporting trade policy , economic diplomacy and economic cooperation , promoting digital solutions and technologies , and fostering the international dimension of union’s policies . in promoting its interests , the union should comply with , and promote , the principles of respect for high social and environmental standards , for the rule of law , for international law and for human rights . __________________ 59 ' shared vision , common action : a stronger europe . a global strategy for the european union ' s foreign and security policy ' , june 2016 . ### the implementation of this regulation should be guided by the five priorities established in the global strategy for the european union’s foreign and security policy 59 , presented on 19 june 2016 , which represents the union ' s vision and the framework for united and responsible external engagement in partnership with others , to advance its values and interests . the union should enhance partnerships , promote policy dialogue and collective responses to challenges of global concern . its action should support the union’s interests and values in all its aspects , including preserving peace and preventing conflicts , by involving a range of experts and stakeholders in peace building negotiations , including women and civil society , strengthening international security , fighting the root causes of forced displacement and assisting populations , countries and regions confronting natural or man - made disasters , with a particular focus on the most vulnerable who are disproportionately affected by such disasters , including women and girls , lgbti people and those with disabilities , supporting trade policy , economic diplomacy and economic cooperation , promoting digital solutions and technologies , and fostering the international dimension of union’s policies . in promoting its interests , the union should comply with , and promote , the principles of respect for high social and environmental standards , for the rule of law , for international law and for human rights . __________________ 59 ' shared vision , common action : a stronger europe . a global strategy for the european union ' s foreign and security policy ' , june 2016 .


### this regulation should enable the union to respond to challenges , needs and opportunities related to migration , in complementarity with union migration policy . to contribute to that end , and without prejudice to unforeseen circumstances , 10% of its financial envelope is expected to be dedicated to addressing the root causes of irregular migration and forced displacement and to supporting migration management and governance including the protection of refugees and migrants ' rights within the objectives of this regulation . ### this regulation should enable the union to respond to challenges , needs and opportunities relating to migration , complementing the european union ' s migration policy . to contribute to that end , and without prejudice to unforeseen circumstances , 10% of its financial envelope is expected to be dedicated to addressing the root causes of irregular migration and forced displacement and to supporting migration management and governance including the protection of refugees and migrants ' rights within the objectives of this regulation .


### the efsd + should aim at supporting investments as a means of contributing to the achievement of the sustainable development goals by fostering sustainable and inclusive economic and social development and promoting the socio - economic resilience in partner countries with a particular focus on the eradication of poverty , sustainable and inclusive growth , the creation of decent jobs , economic opportunities , skills and entrepreneurship , socioeconomic sectors , micro , small and medium - sized enterprises as well as addressing specific socioeconomic root causes of irregular migration , in accordance with the relevant indicative programming documents . special attention should be given to countries identified as experiencing fragility or conflict , least developed countries and heavily indebted poor countries . ### the efsd + should aim at supporting investments as a means of contributing to the achievement of the sustainable development goals by fostering sustainable and inclusive economic and social development and promoting the socio - economic resilience in partner countries with a particular focus on the eradication of poverty , the promotion of peaceful , just and inclusive societies , sustainable and inclusive growth , the creation of decent jobs and economic opportunities , in particular for the most vulnerable , including women and girls , lgbti people , victims of conflict and people with disabilities , by supporting socioeconomic sectors , micro , small and medium - sized enterprises and cooperatives , in particular those owned by women , as well as addressing climate change , environmental degradation and specific socioeconomic causes of forced displacement , which disproportionately affect women and girls , in accordance with the relevant indicative programming documents . special attention should be given to countries identified as experiencing fragility or conflict , least developed countries and heavily indebted poor countries .


### programmes and actions under this regulation shall mainstream climate change , environmental protection and gender equality and shall address interlinkages between sustainable development goals , to promote integrated actions that can create co - benefits and meet multiple objectives in a coherent way . these programmes and actions shall be based on an analysis of risks and vulnerabilities , integrate a resilience approach and be conflict sensitive . they shall be guided by the principle of leaving no one behind . ### programmes and actions under this regulation shall mainstream climate change , environmental protection , gender equality and conflict prevention and peace - building , and shall address interlinkages between sustainable development goals , to promote integrated actions that can create co - benefits and meet multiple objectives in a coherent way . these programmes and actions shall be based on an analysis of risks and vulnerabilities , integrate a resilience approach and be conflict sensitive . they shall be guided by the principle of leaving no one behind and ‘ do no harm’ .


### budget support shall be differentiated in such a way as to respond better to the political , economic and social context of the partner country , taking into account situations of fragility . ### budget support shall be differentiated in such a way as to respond better to the political , economic and social context of the partner country , taking into account situations of fragility and the unique risks facing women , girls and lgbti people .


### an annual estimate of the overall spending related to climate action and biodiversity shall be made on the basis of the indicative programming documents adopted . the funding allocated under this regulation shall be subject to an annual tracking system based on the methodology of the organisation for economic cooperation and development , without excluding the use of more precise methodologies where these are available , integrated into the existing methodology for performance management of union programmes , to quantify the expenditure related to climate action and biodiversity at the level of the action plans and measures referred to in article 19 and recorded within evaluations and the annual report . ### an annual estimate of the overall spending related to climate action and biodiversity , conflict prevention and peace - building , and gender equality shall be made on the basis of the indicative programming documents adopted . the funding allocated under this regulation shall be subject to an annual tracking system based on the methodology of the organisation for economic cooperation and development , without excluding the use of more precise methodologies where these are available , integrated into the existing methodology for performance management of union programmes , to quantify the expenditure related to climate action and biodiversity , conflict prevention , peace - building , and gender equality at the level of the action plans and measures referred to in article 19 and recorded within evaluations and the annual report .


### supporting regional and international initiatives contributing to security , stability and peace ; ### supporting local , regional and international initiatives contributing to security , stability and peace ;


### the effective enforcement of the rules governing the internal market for services set out in directive 2006 / 123 / ec should be enhanced by improving the existing notification procedure established by that directive in respect of national authorisation schemes and certain requirements concerning both access to self - employed activities and their exercise . the prevention of the adoption of national provisions establishing requirements and authorisation schemes that would be contrary to directive 2006 / 123 / ec should be facilitated . this directive is without prejudice to the commission ' s powers under the treaties and the member states ' obligation to comply with the provisions of union law . ### the effective enforcement of the rules governing the internal market for services set out in directive 2006 / 123 / ec should be enhanced by fully adopting the existing notification procedure established by that directive in respect of national authorisation schemes and certain requirements concerning both access to self - employed activities and their exercise . enhancing dialogue between the commission and the member states should prevent the adoption of national provisions establishing requirements and authorisation schemes that would be contrary to directive 2006 / 123 / ec should be facilitated . this directive is without prejudice to the powers conferred on the commission and the court of justice under the treaties and the member states ' obligation to comply with the provisions of union law .


### the notification obligation established by this directive should apply to regulatory measures of member states , such as laws , regulations , administrative provisions of general nature or any other binding rule of general nature , including rules adopted by professional organisations to regulate in a collective manner access to service activities or the exercise thereof . the notification obligation should on the other hand not apply to individual decisions issued by national authorities . ### the notification obligation established by this directive should apply to draft regulatory measures of member states , such as laws , regulations , administrative provisions of general nature or any other draft binding rule of general nature , including rules adopted by professional organisations and / or associations to regulate in a collective manner access to service activities or the exercise thereof . the notification obligation should on the other hand not apply to decisions directed towards a specific service provider or draft rules laid down in collective contracts negotiated by social partners which are not considered to be requirements within the meaning of this directive . in addition , since this directive applies solely to the requirements that impact access to service activities or the exercise thereof , it shall not apply to the provisions laid down by the highway code , to draft rules relating to the development and location of homes , urban and rural planning and buildings regulations , administrative sanctions imposed for failure to comply with rules unless they specifically govern or affect service activities or draft implementation measures for binding acts of the union in the member state , when those acts contain uniform provisions to be implemented and where there is no divergence from the rules of the member states which may result in barriers for the single market .


### the obligation for member states to notify draft measures laying down authorisation schemes or requirements referred to in article 4 of this directive at least three months before their adoption is designed to ensure that measures to be adopted comply with directive 2006 / 123 / ec . in order for the notification procedure to be effective , a consultation on notified measures should take place sufficiently in advance of their adoption . this is appropriate to foster good cooperation and transparency between the commission and member states and to further develop exchanges between the commission and national authorities on new or amended authorisation schemes and certain requirements covered by directive 2006 / 123 / ec , in accordance with article 4 of the treaty on european union . with a view to ensuring the effectiveness of the procedure , breach of the obligation to notify or to refrain from adopting a notified measure , including during the period following the receipt of an alert , should be considered to be a substantial procedural defect of a serious nature as regards its effects vis - à - vis individuals . ### the obligation for member states to notify draft measures laying down authorisation schemes or requirements referred to in article 4 of this directive at least three months before their adoption is designed to start a dialogue between the commission and the member states on ensuring that measures to be adopted comply with directive 2006 / 123 / ec . in order for the notification procedure to be effective , a consultation on notified measures should take place sufficiently in advance of their adoption . this is appropriate to foster good cooperation and transparency between the commission and member states and to further develop exchanges between the commission and national authorities on new or amended authorisation schemes and certain requirements covered by directive 2006 / 123 / ec , in accordance with article 4 of the treaty on european union . with a view to ensuring the effectiveness of the procedure , breach of the obligation to notify or to refrain from adopting a notified measure , including during the period following the receipt of an alert , should be considered to be a substantial procedural defect of a serious nature as regards its effects vis - à - vis individuals .


### where a member state modifies a notified draft measure with the effect of significantly extending its scope or content , or shortening the timetable originally envisaged for implementation , or adding requirements or authorisation schemes , or making those requirements or authorisation schemes more restrictive for the establishment , or the cross - border provision of services , it shall notify the modified draft measure previously notified under paragraph 1 again , including an explanation of the objective and content of the modifications . in such a case , the previous notification shall be deemed to be withdrawn . ### where a member state substantially modifies a draft measure that has already been notified , extending its scope or content , shortening the timetable for implementation , or adding or tightening requirements or authorisation schemes for the cross - border provision of services , the member state shall notify those modifications to the commission , including an explanation of the objective and content thereof . 2bmember states shall not be obliged to notify the changes made during the parliamentary procedure to a draft measure that has been already notified . however , member states shall notify the draft measure containing those changes to the commission once it has been adopted . .


### as from the date of the commission informing the notifying member state of the completeness of a notification received , a consultation of maximum three months shall take place among the notifying member state , other member states and the commission . ### once the draft measure has been notified , a consultation of maximum three months shall take place among the notifying member state , other member states and the commission .


### as from the date of the commission informing the notifying member state of the completeness of a notification received , a consultation of maximum three months shall take place among the notifying member state , other member states and the commission . ### under the procedure provided for in article 15 of directive 2006 / 123 / ec , as from the date of the commission informing the notifying member state of the completeness of a notification received , a consultation of maximum three months shall take place among the notifying member state , other member states and the commission . such notification shall not prevent the adoption by member states of the provisions in question .


### as from the date of the commission informing the notifying member state of the completeness of a notification received , a consultation of maximum three months shall take place among the notifying member state , other member states and the commission . ### as from the date of the commission informing the notifying member state of the completeness of a notification received , a consultation of maximum six months shall take place among the notifying member state , other member states and the commission .


### the rule of law is one of the essential values upon which the union is founded . as recalled by article 2 of the treaty on european union , these values are common to the member states . ### respect for human dignity , freedom , democracy , equality , the rule of law and respect for human rights , including the rights of persons belonging to minorities , are the essential values upon which the union is founded . these values are common to the member states in a society in which pluralism , non - discrimination , tolerance , justice , solidarity and equality between women and men prevail . these values are enshrined&#160 ; in article 2 of the treaty on european union and in the criteria for union membership as recalled by article 49 of the treaty .


### the identification of a generalised deficiency requires a qualitative assessment by the commission . that assessment could be based on the information from all available sources and recognized institutions , including judgments of the court of justice of the european union , reports of the court of auditors , and conclusions and recommendations of relevant international organisations and networks , such as the bodies of the council of europe and the european networks of supreme courts and councils for the judiciary . ### the identification of a generalised deficiency requires a qualitative assessment by the commission . that assessment could be based on the information from all available sources and recognized institutions , including judgments of the court of justice of the european union , reports of the court of auditors , resolutions of the european parliament and conclusions and recommendations of relevant international organisations and networks , such as the bodies of the council of europe and the european networks of supreme courts and councils for the judiciary .