COMMISSION OF THE EUROPEAN COMMUNITIES 
C0M(90) 156 final - SYN 261 
Brussels, 28 May 1990 
Proposal for a 
COUNCIL DECISION 
adopting a specific research and technological development 
programme in the field of Industrial and Materials Technologies 
(1990-1994) 
(presented by the Commission) 
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CONTENTS 
Page 
Proposal for a Council Decision adopting a 
specific research and technological development 
programme in the field of Industrial and Materials 
Technologies 
(1990-1994) 
ANNEX I 
Scientific and technical objectives and content 11 
ANNEX I I 
Indicative breakdown of expenditures 18 
ANNEX I I I 
Rules for implementing the programme and activities 
for disseminating and exploitation of the results 19 
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Proposal for a 
COUNCIL DECISION 
adopting a specific research and technological development 
programme in the field of Industrial and Materials Technologies 
(1990-1994) 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic 
Community, and In particular Article 130q(2) thereof, 
Having regard to the proposal from the Commission,^1) 
In cooperation with the European Par I iament,(2) 
Having regard to the opinion of the Economic and Social Committee,^3) 
(1) OJ No C 
(2) OJ No C 
(3) OJ No C 
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Whereas by its Decision 90/221/Euratom, EEC(4>, the Council adopted a 
third framework programme for Community activities In the field of 
research and technological development (1990-94), specifying Inter alia 
the activities to be pursued for contributing to the rejuvenation of 
European manufacturing industry by strengthening Its scientific and 
technological basis through research and development work; whereas this 
Decision should be taken In the light of the grounds set out In the 
preamble to that Decision; 
Whereas Article 130k of the Treaty stipulates that the framework 
programme Is to be implemented through specific programmes developed 
within each activity; 
Whereas the Joint Research Centre shall contribute through Its own 
programme to the Implementation of the aforesaid activities; 
Whereas an estimate should be made of the amount of Community financial 
resources needed to carry out this specific programme; whereas the 
definitive amounts will be fixed by the budgetary authority In line 
with the financial perspectives covering the period 1988-1992 Included 
In the Inter Inst I tut lonaI Agreement of 29 June 1988(5) and with any 
future financial perspectives covering the period 1993-1994; 
Whereas, pursuant to Article 4 and Annex I of Decision 
90/221/Euratom, EEC, the amount deemed necessary for the whole 
framework programme Includes an amount of 57 million ecus for the 
centralized dissemination and exploitation of results, to be divided up 
in proportion to the amount envisaged for each activity; whereas in 
view of the Importance of this specific programme within the 
"Industrial and Materials Technologies" action the estimate of the 
financial resources needed by this programme is to be reduced by 
6.7 mi 11 ion ecus, which amount is to be allocated to the centralized 
activities, In order to comply with the second sentence of Article 
130p(2) of the Treaty; 
(4) OJ No L 117, 8.5.1990, p.28. 
(5) 0J No L 185, 15.7.1988, p.33 
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Whereas this programme must be Implemented by the Commission; whereas 
to help accomplish this, the Member States are bound, pursuant to 
Article 5 of the Treaty, to facilitate the achievement of Its tasks 
where necessary, notably within a committee; 
Whereas this programme must be implemented essentially by the selection 
of research and development projects to enable them to benefit from 
Community participation; whereas the Commission should encourage the 
submission of such projects by the usual means of publishing calls for 
proposals In the Official Journal; whereas a special procedure should 
also be devised so as to maintain a degree of flexibility enabling the 
Commission, in the face of the continuous evolution and gradual 
acceleration of technological progress, also to take into consideration 
spontaneous proposals consistent with the objectives of the programme; 
Whereas the projects to be carried out under the programme must be 
selected with special attention to the principle of economic and social 
cohesion In the Community, the transnational nature of the projects and 
the support to be given to small and medium-sized enterprises; 
Whereas It Is only In the light of experience gathered in the course of 
this programme that the Commission will be able to propose and the 
Council to adopt supplementary programmes by having recourse to the 
means provided for In Articles 1301, 130m or 130o of the Treaty, if 
they contribute to the achievement of the programme's objectives, In 
accordance with the option made available by Article 2(2) of Decision 
90/221/Euratom, EEC; 
Whereas, In accordance with Article 130g of the Treaty, the Community's 
activities aimed at strengthening the scientific and technological 
basis of European industry and encouraging It to become more 
competitive Include promoting cooperation on research and technological 
development with third countries and international organizations; 
whereas such cooperation may prove particularly beneficial for the 
development of this programme; 
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Whereas it is necessary, as Annex II to Decision 90/221/Euratom, EEC, 
provides, to promote the basic technical research, the integration of 
the new technologies for the user industries and the acquisition of the 
scientific and technical knowledge necessary for establishing standards 
and codes of good practice facilitating the transfer of these 
technologies; 
Whereas the Scientific and Technical Research Committee (CREST) lias 
been consulted, 
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HAS ADOPTED THIS DECISION: 
Article 1 
A specific research and technological development programme for the 
European Economic Community in the field of Industrial and materials 
technologies, as defined In Annex I, is hereby adopted for a period of 
five years as from 1 January 1990. 
Article 2 
1. The Community funds estimated as necessary for the execution of the 
programme under this Decision amount to 748 million ecus. This 
amount includes 670 million ecu for the execution of the activités 
approved by the present decision, and 78 million ecus for the 
activities which the JRC will contribute to the programme and which 
will be subject of a separate decision of the Council. 
2. From the above sum of 670 million ecus, an amount of 
6.7 million ecus is drawn for the centralized action of 
dissemination and exploitation. The funds thus reduced to 
663.3 million ecus Include staff cost, which may amount to a 
maximum of 3%. 
3. An Indicative allocation of funds is set out In Annex II. 
4. If the Council takes a decision in implantation of Article 1(4) of 
Decision 90/221/Euratom, EEC, this decision shall be adapted to 
take Into account the aforementioned decision. 
5. The budgetary authority shall lay down the available appropriations 
for each financial year. 
Article 3 
Rules for the implementation of the programme are set out in Annex IN. 
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Article 4 
The rate of the Community financial contribution shall be laid down In 
accordance with Annex IV to Decision 90/221/Euratom, EEC. 
Article 5 
1. During 1992 the Commission shall review the programme and address a 
report on the results of the review to the Council and the European 
Parliament, together with proposals for any necessary changes. 
2. At the end of the programme the Commission shall assess the results 
obtained. It shall address a report thereon to the Council and the 
European Par I lament. 
3. The reports shall be drawn up having regard to the objectives set 
out in Annex I to this Decision and In accordance with Article 2(4) 
of Decision 90/221/Euratom, EEC. 
Article 6 
1. The Commission shall be responsible for the execution of the 
programme. It shall be assisted by a Committee, hereinafter 
referred to as "the Committee", composed of representatives of the 
Member States and chaired by a representative of the Commission. 
2. The contracts concluded by the Commission shall govern the rights 
and obligations of each party, including the procedures for 
disseminating, protecting and exploiting the research results, In 
accordance with the arrangements adopted pursuant to the second 
paragraph of Article 130k of the Treaty. 
3. A work programme for each year shall be drawn up and updated where 
necessary. It shall set out the detailed objectives and types of 
projects to be undertaken, and the financial arrangements to be 
made for them. The Commission shall make calls for proposals for 
projects on the basis of the annual work programmes. 
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Article 7 
1. In the cases referred to in Article 8(1), the representative of the 
Commission shall submit to the Committee a draft of the measures to 
be taken. The Committee shall deliver its opinion on this within a 
time limit which the Chairman may set in accordance with the 
urgency of the matter. The opinion shall be delivered by the 
majority provided for In Article 148(2) of the Treaty for the 
adoption of decisions which the Council is called upon to make on a 
proposal from the Commission. When voting takes place in the 
Committee, the votes of the representatives of the Member States 
shall be weighted as specified in the abovementloned Article. The 
Chairman shall not take part in the voting. 
2. The Commission shall adopt the measures envisaged when they conform 
to the opinion of the Committee. 
3. When the measures envisaged do not conform to the opinion of the 
Committee, or when no opinion has been delivered, the Commission 
shall without delay submit to the Council a proposal on the 
measures to be taken. The Council shall act by a qualified 
major Ity. 
4. If the Council has not acted within one month of submission of the 
proposal, the measures proposed shall be adopted by the Commission. 
Article 8 
1. The procedure laid down In Article 7 shall apply to: 
the preparation and updating of the work programmes referred to 
In Article 6(3); 
evaluation of the projects referred to In point 2 of Annex III, 
as well as the estimated amount of the Community's financial 
contribution when these projects are submitted through the 
ordinary procedure referred to In point 4 of Annex III and the 
abovementloned amount is more than 5 million ecus; 
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evaluation of all projects submitted through the exceptional 
procedure referred to in point 4 of Annex III, as well as the 
estimated amount of the Community's financial contribution; 
measures for evaluating the programme. 
2. The Commission may consult the Committee on any matter falling 
within the scope of the programme. 
3. The Commission shall Inform the Committee with regard to; 
the progress of the programme; 
draft calls for proposals, referred to In Article 6(3); 
projects, referred to In point 2 of Annex III, submitted 
through the ordinary procedure, for which the exceptional 
procedure referred to In point 4 of Annex III, as well as the 
estimated amount of the Community's financial contribution; 
accompanying measures, referred to in point 2 of Annex III; 
concerted actions, referred to In point 2 of Annex III. 
Article 9 
In Implementing this programme, supplementary programmes within the 
meaning of Article 1301, participation within the meaning of Article 
130m and joint undertakings or any other structures within the meaning 
of Article 130o of the Treaty may also be decided on as the need 
arises. 
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Article 10 
Where cooperation with third countries and international organisations 
aiming at achieving the objectives of this programme requires legal 
undertakings between the Community and the third parties concerned, the 
Commission shall be authorized to negotiate, In accordance with 
Article 130n of the Treaty, international agreements laying down the 
terms of such cooperation. 
Decisions on the conclusion of such agreements shall be adopted in 
accordance with the procedure referred to In Article 130q(2) of the 
Treaty. 
Article 11 
This Decision is addressed to the Member States. 
Done at , For the Counc 11, 
The President 
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Annex I 
SCIENTIFIC AND TECHNICAL OBJECTIVES AND CONTENT 
This specific programme fully reflects the approach embodied in the Third Framework 
Programme in terms of scientific and technical goals. 
Paragraph 2 of Annex II of the Framework Programme, with the exception of the conditions 
relating to measurement and testing (for which another specific programme exists), form an 
integral part of the present specific programme. 
The environmental aspects of products and processes and the working environment will be 
included as strategic elements in all parts of the programme. This will require links with other 
programmes covering the environment, health, and measurement and testing to take account 
of advances in risk assessment and toxicology. 
Integrated projects will be supported in selected areas where a range of technologies need 
to be brought together. A particular example is the transport area - also taking into account 
the logistical aspects of harmonisation and standardization - where such projects could 
include the "clean car" and aeronautical technology (subject to a positive evaluation of the 
present action in area 5 of the BRITE/EURAM Programme). Other projects might include 
construction, production engineering (eg. clean manufacturing) and clothing. Links with 
EUREKA projects will be encouraged, in line with the BRITE/EURAM experience of integrating 
certain results with EUREKA projects. 
The following presents an analytical description of the content of the programme, based on 
and taking account of the above elements. 
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Area 1. Materials - Raw Materials 
The objective is to contribute to improving the performance of materials at a cost which 
permits competitive industrial exploitation over a broad range of applications not restricted 
to a few high performance items. The accent is on the innovative use of industrial minerals, 
metals and materials, including their exploration, exploitation, recovery, transformation, 
production and recycling. 
Raw Materials 
Here the goal is the improvement of existing processes and mastering of new and 
competitive technologies. 
Research will address the development of methods for process application and testing of 
technologies so improving yield and enabling new mines to open and others to become 
more economic. 
Special attention will be given to integrated techniques and modelling for the exploration of 
mineral deposits and for the exploitation and processing of minerals and rocks, and in 
particular, of those resources of complex nature containing basic and strategic metals. 
Research providing a better understanding of integrated systems will be pursued to underpin 
advanced exploration methods for hidden deposits, hydrothermal, biological or chemical 
processing, mining and quarrying technologies and those needed for the production of high 
purity metals, fired clay and industrial minerals. Work on new and improved drilling 
technologies for cost effective exploration and exploitation will be undertaken. Special 
attention will be directed to prenormative research concerned with occupational safety 
conditions and the environmental impact of the exploitation technologies to be developed. 
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Recycling 
Here the goal is to reinforce the scope and effectiveness of recycling technologies. The 
economic and strategic consequenses of the loss of many valuable metals and materials, 
including those in short supply will be minimised. The environmental damage arising from 
harmful effluents will be reduced. 
A particular goal is the development of new process technologies for facing the challenge of 
exploiting the residues, particularly waste and scrap, containing conventional as well as 
precious and strategic metals, arising from the major branches of the manufacturing industry 
such as electronics, electromechanics, automobile, aeronautical, metallurgy, petrochemical, 
construction etc. Attention will also be directed to the complex challenge of recycling 
composite and advanced materials. 
Research on technologies for physical and/or chemical separation of metals containing 
residues will be encouraged in order to increase the scale and efficiency of recycling and 
increase the applicability of recycled materials. Research will also cover thermal 
technologies, hydrometallurgy and refining applied to processing of complex residues, 
composite materials, new materials, alloys and multi-element scraps. 
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New and Improved Materials 
Here the goals are developments in conventional mass commodity materials with enhanced 
properties and performance at a reasonable cost; advanced structural materials for high 
performance systems (i.e. metals, ceramics, polymers and their associate composites); and 
advanced functional materials (such as conducting polymers, power superconductors, high 
performance magnets and novel electronic materials) including their processing. 
In the field of conventional mass commodity materials, attention will be applied to production 
and quality control technologies and the rules for long-term behaviour prediction required for 
meeting consumer requirements such as consistency and reliability. 
Research will be directed to new developments or radical innovations in advanced materials 
for key engineering applications which may also have important spin-off effects in other 
industrial areas. 
A particular emphasis will be placed on developing materials with specified properties, 
exploiting advances in understanding of the effects of structure. Techniques for tailoring 
materials towards precise requirements will be addressed and should result in an 
improvement of R&D effectiveness in this field. 
With regard to technical ceramics, attention will be directed to the improved control of 
microstructure and processing technologies and to the fundamental problems associated with 
reliability and brittleness. 
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In research into composite engineering the technologies needed to address the problems 
associated with large scale production will be tackled. 
For polymer materials, research will aim at a better understanding of the relationships 
between structure, morphology and properties. The development of new and improved 
processing technologies for producing reliable components will also be addressed in order 
to extend the application of this class of materials. In particular, research will aim at 
developing technical thermoplastics which retain their mechanical properties at higher 
temperature and which can be produced through the lower cost thermal processing routes. 
In the case of superconductors, the challenge is to increase the maximum critical current 
density and capacity together with advances in application technologies including cable 
production, formation and reliability. 
The research in this area will be complementary to work which will be carried out in the 
specific programme on information technology (IT) foreseen in decision 90/.../EEC, Euratom 
on materials for specific IT applications. 
Prenormative work needed to accelerate the applicability of new materials will include 
research relating to their classification together with their characterization to establish 
performance and minimise their impact on health and the environment. 
Area 2. Design and Manufacturing 
The objective is to improve the capability of industry to design and manufacture products 
which are, at the same time, highly competitive and environmentally and socially acceptable. 
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Research will be directed to advanced enabling disciplines such as mechanics, optics, 
acoustics, fluid dynamics and process engineering, and their integration into new 
technological developments such as optomatronics (optics, materials and electronics), 
mechatronics (mechanical engineering, computing and electronics), zero loss cutting 
technologies, microtechnology and molecular engineering. 
Design 
Research on design will address the impact on product performance, manufacturing and life 
cycle costs. This approach will link the information requirements inherent in the engineering 
design process (material product form, fabrication and function) with the organisational 
procedures and the human factors that underlie the process. This work will complement the 
product modeling approach which is a leading IT theme, in the specific programme on 
information technologies foreseen in decision 90/.../EEC, Euratom. 
Research will address failure modes and defect analysis, by modelling techniques based on 
fracture mechanics, tribology, fluid dynamics, corrosion analysis, etc. Implementation of 
these design approaches may require the adaptation of software tools for specific 
applications. 
Design research will be directed towards design for ease of maintenance, recycling or reuse 
with a view to reducing whole life costs. Research on improved modelling and rapid 
prototyping techniques will support the engineering design process addressing product 
validation, optimisation and prediction of service behaviour. Prenormative research will aim 
at the drawing up of codes of good design practice. 
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Manufacturing 
Research on the quality of manufacturing will address the use of efficient and cost effective 
manufacturing processes and integrate other aspects including the design interface, quality 
control and the working environment. 
Attention will be directed to flexible small-batch production technologies and also to mass 
production technology in order to meet an emerging need for identical technical products in 
large quantities. In particular, appropriate materials application and related technologies, 
such as those for precision engineering or incorporation of ceramics into a mass production 
environment, will be addressed as well as technologies for shaping, machining and assembly 
of miniaturised components. 
Research will be directed to the adaptation of established CI M systems to meet the special 
needs of industry and particularly those of small and medium sized undertakings. 
Research on net or near net shaping and forming processes will be supported in order to 
reduce costly and environmentally damaging wastes. 
Research in chemical engineering will develop integrated approaches. Subjects of study 
could include process modelling, separation technology, molecular engineering, catalysis and 
surface science and chemical sensors. Fundamental research into mixing and stirring, and 
particle and powder technology will be supported in order to develop a better understanding 
than is provided by current empirical approaches. Research will also be directed to providing 
the understanding of particular processes as a basis for software tailored to particular needs. 
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Annex II 
INDICATIVE BREAKDOWN OF EXPENDITURES 
in %, for the period 1990-1994. 
Area 1. Materials - Raw Materials 
- Raw Materials and Recycling 12 
- Materials 50 - 60 
Area 2. Design and Manufacturing 30 - 40 
The breakdown between different areas does not exclude the possibility that projects could cover 
several areas. 
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Annex 111 
Rules for Implementing the Programme 
and Activities for Dissemination and Exploitation of the Results 
1. The Commission shall Implement the programme on the basis of the 
scientific and technical content described In Annex I. 
2. The rules for Implementing the programme, referred to in Article 3, 
comprise research and technological development projects, 
accompanying measures and concerted actions. 
The direct research activities carried out by the JRC will be the 
subject of a separate Council Decision. 
The projects shall be the subject of shared-cost research and 
technological development contracts. 
The accompanying measures consist of applying the means to ensure 
proper technical execution, management and evaluation of the 
programme, as well as adequate dissemination and accessibility of 
the results, and coordination, training and consciousness-raising 
of the participants in the programme. 
The concerted actions are those defined In the Financial 
Regulation. 
3. The participants In the projects must be natural or legal persons 
established In the Community6, such as universities, research 
organizations and industrial firms, Including small and medium-
sized enterprises, or associations thereof, in particular European 
Economic Interest Groupings (EElGs). 
6 In the context of the present programme, the European Centre for 
Nuclear Research (CERN), based In Geneva, most of whose Installations 
are located In the Community, may participate In contracts. 
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Natural or legal persons established in countries which have 
concluded agreements with the Community foreseeing scientific and 
technical research, may, based on the criterion of mutual 
advantage, take part in the projects undertaken in the context of 
this programme. The contracting parties under such arrangements 
shall not benefit from Community funding. They shall contribute to 
the general administrative costs. 
4. The choice of projects shall be carried out according to the 
following order of priority, the first method being the rule, the 
second the exception: 
The participants in the projects shall be selected on the basis of 
the ordinary procedure of calls for proposals referred to In 
Article 6 (3) and published in the Official Journal of the European 
Commun 11 i es. 
The Commission may also accept proposals according to an 
exceptional procedure and under the conditions mentioned below, 
when they make a particularly promising and significant 
contribution as regards the originality of the theme proposed, the 
novelty of the scientific and technical approach and the 
methodology of execution, also taking into account the particular 
nature of the proposers. 
A favourable technical evaluation of such proposals shall not by 
Itself be a sufficient justification for accepting a project; this 
exceptional procedure may only apply after verification that the 
nature of the project, as defined above, does not justify the use 
of the normal procedure for calls for proposals. 
The exceptional procedure must be completed before the ordinary 
procedure In such a way that the available amount for the 
Community's financial participation in projects retained by the 
ordinary procedure can be determined precisely. The closing date 
for the exceptional procedure shall be published each year in the 
OffIclal Journal. 
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The amount of the financial participation of the Community for all 
the projects retained by the exceptional procedure will be decided 
each year, in relation to the projects selected according to 
particularly strict criteria of excellence. In any case, this 
amount may not exceed 15%; it may be revised each year In the light 
of experience. 
The Commission shall draw up a vade mecum setting out all the rules 
applicable to this exceptional procedure In order to guarantee full 
transparency. 
5. The projects must provide for participation by at least two 
mutually independent partners established in different Member 
States. 
6. The Commission may encourage the participants to form a European 
Economic Interest Grouping (EEIG) or make other arrangements for 
carrying out projects, such as those on a large scale, permitting 
decentralized management adapted to the specific requirements of 
the project. 
7. The knowledge acquired during the course of the projects shall be 
disseminated on the one hand within the specific programme and on 
the other hand by means of a centralized activity, pursuant to the 
decision referred to in the third paragraph of Article 4 In 
Decision 90/221/Euratom, EEC. 
FINANCIAL STATEMENT (1) 
1. BUDGET HEADING AND TITLE 
Part B of the general budget 
Subsection 6, Item 6121 
Specific programme of Community RTD activities in the field of Industrial and Materials 
Technologies (1990 - 1994V 
2. LEGAL BASE 
Article 130 Q(2) of the Treaty. 
3. OBJECTIVES AND DESCRIPTION 
See Annex I of the proposal. 
4. FINANCIAL IMPLICATIONS 
Amounts deemed necessary in MIO ECU : 
Programme implementation 663.30 
Centralised action for dissemination and exploitation 6.70 
TOTAL 670.001 
The indicative operational breakdown of the ECU 663.3 million for the programme 
implementation is given in Annex II of the proposal. 
1 excluding JRC activities (78 MIO ECU) 
Indicative multiannual schedules 
1990 1991 1992 1993 19942 TOTAL 
Commitments - 139 170.87 198 155.43 66330 
Payments - 13 94.50 154 401.80 663J0 
The definitive yearly amounts will be determined by the budgetary authority in accordance with the 
financial perspectives for the period 1990-1992 (annexed to the Interinstitutional Agreement of 29 
June 1984) and with subsequent financial perspectives which may be adopted for 1993 and 1994. 
5.STAFF AND ADMINISTRATIVE EXPENDITURE 
In addition to the principal means of action which are contracts (annex III), the above amounts 
include programme-related staff and administrative expenditure estimated at no more than 35 
MIO ECU. 
The expenditure on staff will not exceed 3% of the amount deemed necessary for the programme 
implementation. This implies a maximum of 81 statutory posts (A, B and/or C) at any given time 
during the life of the programme. The infrastructure costs related to statutory staff will be borne 
by Part A of the budget. 
6.IMPLICATIONS FOR REVENUE 
The contributions by third country contractors towards the cost of administration of the 
programme will be reused pursuand to articles 27.2 and 96 of the Financial Regulation3. 
7.TYPES OF CONTROL 
Control will be exercised by : 
the Programme Management Committee (scientific control) 
the services of the DG responsible for the execution of the programme, possibly assisted 
by independent experts 
the Commission's Financial Controller 
2 for the payment appropriations : 1994 and beyond 
3 Financial Regulation of 21 December 1977, as last amended by Regulation 610/90 of 
March 1990. 
In accordance with Article 2 of the Financial Regulation(3), the use of appropriations will be 
subject to analyses of cost-effectiveness and the realisation of quantified objectives will be 
monitored. 
External audit may be carried out by the Court of Auditors in accordance with the Treaty. 
STATEMENT OF IMPACT ON COMPETITIVENESS AND EMPLOYMENT 
1- The main reason for introducing the measure 
The proposed programme is aimed at promoting collaborative technological research to enhance 
the competitive position of the Community's manufacturing industries, in particular SMEs. An 
important purpose of this European Community programme is to bring together complementary 
research of industrial firms, research institutes, universities and other organizations from different 
countries in the Community through transnational cooperation. 
2. Features of the businesses in question 
The proposed programme is directed at European manufacturing industries where there is a need 
to improve technology in order to enhance competitive performance. The target companies 
include a large proportion of SMEs such as those which already participate in the 
BRTTE/EURAM and Raw Materials and Recycling programmes. 
3. Obligations imposed directly on business 
The same obligations are imposed on all institutions participating in the programme including : 
conformity of the proposed research with the technical annex of the project, transnational 
cooperation, sharing of costs, free site-access to Commission agents, participation in seminars and 
meetings of contractors organized by the Commission, and annual reports of activities and results. 
4. Indirect obligations likely to be imposed on business by national, regional or local 
authorities 
No such obligations are foreseen following the implementation of this Council decision. 
5. Special provisions in respect of SMEs 
Subject to the success of the pilot scheme, the Commission will support Feasibility Awards to help 
small and medium sized undertakings establish the feasibility of a device, process or concept as 
a means of enhancing their potential to find a partner in a subsequent call for proposals under 
the shared cost action. The Commission will support up to 75 % of the cost of research lasting 
up to six months. High standards of evaluation will ensure that the awards are highly competitive 
and recognized as prestigious. 
The Commission will support Cooperative Research which will help companies, particularly small 
and medium sized undertakings generally not having their own research facilities, to carry out 
R&D to address their common problems. 
When a choice has to be made between projects of similar technical merit and likely industrial 
impact, preference will be given to those projects involving SMEs. 
A particular advantage for SMEs in participating in the programme is that all signatories to a 
contract are treated on an equal footing; even when making a relatively small contribution, a 
contractor has the right of full access to the foreground information arising from the research 
project. 
Likely effects on : 
a. The competitiveness of business 
As the programme is aimed at research not leading directly to new commercial products 
or processes, there will be no immediate effect on the competitiveness of businesses. 
In the longer term, the programme is directed at improving the technological competences 
of European industry in general and of small and medium sized enterprises in particular. 
A number of projects in the programme will deal with technical problems specific to SMEs. 
The majority of the participants in these projects will be SMEs. The results of the 
projects, if successful, will be of real benefit to SMEs in the longer term. 
As the technical work develops, dissemination of information about the research results 
will commence. 
b. Employment 
The effects on employment (inasmuch as these can be measured) of the programme are 
and will continue to be of an indirect and positive nature in the immediate term. 
Consultation of representative organizations 
The Industrial Research and Development Advisory Committee (IRDAC), in which the European 
Trade Union Confederation (ETUC), the European Centre for Public Enterprises (ECPE), the 
Union of Industries of the European community (UNICE) and the Federation of European 
Industrial Cooperative Research Organizations (FEICRO) are represented, has been consulted 
during the preparation of the new programme, and has been consulted on the technical subjects 
of the programme. 
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