This Decision is addressed to the Federal Republic of Germany.

4.The release of instalments in accordance with the Financing Agreement shall be conditional on available funding and a decision by the Commission, taken in accordance with Article 24 of Regulation (EU) 2021/241, that Germany has satisfactorily fulfilled the relevant milestones and targets identified in relation to the implementation of the recovery and resilience plan. Subject to the entry into force of the legal commitments referred to in paragraph 1, to be eligible for payment, milestones and targets shall be completed no later than 31 August 2026.

3.The pre-financing shall be released subject to the entry into force and in accordance with the Financing Agreement provided for in Article 23(1) of Regulation (EU) 2021/241. Pre-financing shall be cleared by being proportionally deducted against the payment of the instalments.

2.The Union financial contribution shall be made available by the Commission to Germany in instalments in accordance with the Annex to this Decision. An amount of EUR 2 250 000 000 shall be made available as a pre-financing payment. The pre-financing and instalments may be disbursed by the Commission in one or several tranches. The size of the tranches shall be subject to the availability of funding.

1.The Union shall make available to Germany a financial contribution in the form of non-repayable support amounting to EUR 25 613 478 442. An amount of EUR 16 291 323 631 shall be available to be legally committed by 31 December 2022. Subject to the update provided for in Article 11(2) of Regulation (EU) 2021/241 calculating an amount for Germany equal to or more than this amount, a further amount of EUR 9 322 154 811 shall be available to be legally committed from 1 January 2023 until 31 December 2023.

The assessment of the recovery and resilience plan of Germany on the basis of the criteria provided for by Article 19(3) of Regulation (EU) 2021/241 is approved. The reforms and investment projects under the recovery and resilience plan, the arrangements and timetable for monitoring and implementation of the recovery and resilience plan, including the relevant milestones and targets, the relevant indicators relating to the fulfilment of the envisaged milestones and targets, and the arrangements for providing full access by the Commission to the underlying relevant data are set out in the Annex to this Decision.

Article 1 Approval of the assessment of the recovery and resilience plan

(52)This Decision should be without prejudice to the outcome of any procedures relating to the award of Union funds under any other Union programme than Regulation (EU) 2021/241 or to procedures relating to distortions of the operation of the internal market that may be undertaken, in particular under Articles 107 and 108 of the Treaty. It does not override the requirement for Member States to notify instances of potential State aid to the Commission under Article 108 of the Treaty.

(51)Germany has requested pre-financing of EUR 2 250 000 000. That amount should be made available to Germany subject to the entry into force and in accordance with the Financing Agreement provided for in Article 23(1) of Regulation (EU) 2021/241.

(50)The support to be provided is to be financed from the borrowing by the Commission on behalf of the Union on the basis of Article 5 of Council Decision (EU, Euratom) 2020/2053. The support should be paid in instalments once Germany has satisfactorily fulfilled the relevant milestones and targets identified in relation to the implementation of the recovery and resilience plan.

(49)In accordance with Article 11(2) of Regulation (EU) 2021/241, the calculation of the maximum financial contribution for Germany is to be updated by 30 June 2022. As such, in accordance with Article 23(1) of that Regulation, an amount for Germany should be made available now for a legal commitment by 31 December 2022. Where necessary following the updated maximum financial contribution, the Council, on a proposal from the Commission, should amend this Decision to include the updated maximum financial contribution without undue delay.

(48)The estimated total cost of Germany’s recovery and resilience plan is EUR 26 518 833 613 which is higher than the maximum financial contribution. As the recovery and resilience plan satisfactorily complies with the criteria for assessment set out in Regulation (EU) 2021/241 and, furthermore, as the amount of the estimated total costs of the recovery and resilience plan is higher than the maximum financial contribution available for Germany, the financial contribution allocated for Germany’s recovery and resilience plan should be equal to the total amount of the financial contribution available for Germany, in accordance with Article 11 of that Regulation.

(47)Following the positive assessment of the Commission concerning the recovery and resilience plan of Germany with the finding that the plan satisfactorily complies with the criteria for assessment set out in Regulation (EU) 2021/241, in accordance with Article 20(2) and Annex V to that Regulation, this Decision should set out the reforms and investment projects necessary for the implementation of the plan, the relevant milestones, targets and indicators, and the amount made available from the Union for the implementation of the plan in the form of non-repayable financial support.

(46)An ongoing process of coordination with the Länder, including the municipalities, is expected to take place also during the implementation phase of the plan. At the request of the Länder, the governance structure provides for regular coordination meetings between the Länder and the Federal line Ministries responsible for reforms and investments that directly affect the responsibilities of the Länder in a federal context. The Länder should also be closely and timely involved in the reporting on implementation progress. To ensure ownership by the relevant actors, it is crucial to involve all local authorities and stakeholders concerned, including social partners, throughout the implementation of the investments and reforms included in the plan.

(45)Based on the summary of the consultation process provided by Germany, relevant stakeholders have been consulted in the preparation phase of the plan and their opinions have been duly considered. Within the scope of their responsibilities, the Länder have been involved at an early stage and in numerous steps in the elaboration of the plan. Their positions, in particular regarding the governance structure during the implementation phase, are reflected in the plan. The Federal Parliament has been regularly informed about the content of the plan. The views of the social partners and of environmental organisations are particularly reflected in the selection of the measures in the plan. Following the consultation, part of the initially planned reforms and investments have been adapted or removed from the plan. Social stakeholders, industry and business representatives, civil society and the National Productivity Board have also been consulted. For the cross-border projects in the plan, Germany worked closely with other Member States participating in those projects.

(44)A central feature of the German recovery and resilience plan is the inclusion of Important Projects of Common European Interest (‘IPCEI’) planned in the areas of hydrogen (EUR 1 500 000 000), microelectronics (EUR 1 500 000 000), and next generation cloud and edge technologies (EUR 750 000 000). These multi-country projects have been initiated jointly with other countries.

(43)A security self-assessment has not been provided as it has not been considered appropriate by Germany, in accordance with Article 18(4) point (g) of Regulation (EU) 2021/241.

(42)Gender equality issues and equal opportunities for all are addressed in the plan across multiple components. Particularly relevant measures include improving availability of quality early childhood education and care that promotes both gender equality and reduction of socio-economic disadvantages. Support for apprenticeships and help for students with COVID-19 related learning disadvantages is expected to over-proportionally benefit young people from vulnerable backgrounds, including with migration backgrounds.

(41)The German recovery and resilience plan has a coherent narrative with a clear strategic focus on the green and digital transition. Within each component, the reforms and investments are targeted to achieve coherent objectives and their expected results reinforce each other. The planned actions are coherent and complementary also across components, with structural reforms accompanying planned investment to reinforce its impact. There is consistency and intrinsic complementarity also across measures from different components. In order to promote wider coherence across instruments, notably with the European cohesion policy funds, a balanced territorial allocation of resources is encouraged.

(40)In accordance with Article 19(3)(k) and section 2.11 of Annex V to Regulation (EU) 2021/241, the plan includes to a high extent (Rating A) measures for the implementation of reforms and public investment projects that represent coherent actions.

(39)The national laws and regulations are considered efficient in preventing, detecting and correcting irregularities like fraud, corruption, or conflict of interest when using the funds under the Recovery and Resilience Facility. This applies equally to the avoidance of double funding from the Recovery and Resilience Facility and other Union programmes. The regulatory framework and implementing public bodies are adequately described and the actors responsible for controls have the legal powers and administrative capacity to exercise their respective roles and tasks. Germany has indicated that an integrated IT-system for the adequate collecting, storing and reporting of data required for the implementation of its recovery and resilience plan will be set up. Germany has started a process to have its IT system audited by the Court of Auditors (Bundesrechnungshof) to identify possible weaknesses and to address without delay any recommendations of the audit report, as well as to ensure the complete recording of all data referred to in paragraph (d) of Article 22(2) of Regulation (EU) 2021/241, including by a transitional system. Germany committed to providing access to such data.

(38)The internal control system described in the recovery and resilience plan of Germany relies strongly on the existing national processes and structures for auditing, resulting in adequate empowerment and administrative capacity. With the coordinating unit in the Ministry of Finance, the internal control units in every Ministry and the national Court of Auditors, clear actors are identified together with their roles and responsibilities for the performance of the internal control tasks. The actors are independent in their functioning and the segregation of relevant functions is respected, making the control systems robust and adequate.

(37)In accordance with Article 19(3) point (j) and section 2.10 of Annex V to Regulation (EU) 2021/241, the arrangements proposed in the recovery and resilience plan are adequate (Rating A) to prevent, detect and correct corruption, fraud and conflicts of interests when using the funds provided under that Regulation, and the arrangements are expected to effectively avoid double funding from that Regulation and other Union programmes. This is without prejudice to the application of other instruments and tools to promote and enforce compliance with EU law, including for preventing, detecting and correcting corruption, fraud and conflicts of interests, and for protecting the Union finances in line with Regulation (EU, Euratom) 2020/2092 of the European Parliament and of the Council.

(36)The cost estimates and supporting document provided show varying degrees of details and depth of calculations. According to the information provided, there are no indications that the reasonability or plausibility of costs would be impaired. However, the level of assurance could have been increased through the provision of more detailed estimations for certain measures. Finally, the estimated total cost of the recovery and resilience plan is in line with the principle of cost-efficiency and is commensurate to the expected national economic and social impact.

(35)In accordance with Article 19(3) point (i) and section 2.9 of Annex V to Regulation (EU) 2021/241, the justification provided in the plan on the amount of the estimated total costs of the recovery and resilience plan is to a medium extent (Rating B) reasonable and plausible, is in line with the principle of cost efficiency and is commensurate to the expected national economic and social impact.

(34)Member States should ensure that financing under the Facility is communicated and acknowledged in line with article 34 of Regulation (EU) 2021/241. Technical support may be requested under the Technical Support Instrument to assist Member States in the implementation of their plan.

(33)The coordinating body in the Federal Ministry of Finance and the line Ministries are responsible for the effective implementation of the plan. The various arrangements set up to devise, negotiate and ensure an efficient and regular implementation of the plan are credible in terms of the legal mandate and administrative capacity. The milestones and targets of the plan constitute an appropriate system for monitoring the plan’s implementation. Milestones and targets are clear and realistic and the indicators for those milestones and targets are relevant, acceptable and robust. Milestones and targets are also relevant for measures already completed which are eligible according to Article 17(2) of the Regulation. The satisfactory fulfilment of these milestones and targets over time is required to justify a disbursement request. The verification mechanisms, data collection and responsibilities described by the German authorities appear sufficiently robust to justify the disbursement requests in an adequate manner upon completion of the milestones and targets.

(32)In accordance with Article 19(3) point (h) and section 2.8 of Annex V to Regulation (EU) 2021/241, the arrangements proposed in the recovery and resilience plan are adequate (Rating A) to ensure effective monitoring and implementation of the recovery and resilience plan, including the envisaged timetable, milestones and targets, and the related indicators.

(31)The plan consists of a set of measures addressing the take-up of carbon-free energy with particular focus on renewable hydrogen, low-emission mobility and housing; digitalisation of government, education, healthcare and businesses; and promoting better access to skills for vulnerable youth. Addressing these challenges should enable a sustainable and inclusive growth. Moreover, the measures are expected to have a lasting beneficial effect on human capital and resource efficiency. Lasting impact of the plan can also be enhanced through synergies between the plan and other programmes, including cohesion policy funds, notably by addressing in a substantive manner territorial challenges and promoting a balanced development

(30)The plan contains reforms of the public administration aiming to advance the digitalisation of government, to reduce administrative burden on citizens and firms and to further speed up the planning and approval of public investment projects. These measures are expected to unwind the public investment backlog and make the business climate more investment friendly in the long run by ensuring the quality of public infrastructure and efficient digital government services and enabling long-lasting productivity enhancing effects.

(29)In accordance with Article 19(3) point (g) and section 2.7 of Annex V to Regulation (EU) 2021/241, the recovery and resilience plan is expected to have a lasting impact on Germany to a large extent (Rating A).

(28)The plan also includes important measures addressing human capital and investments in advanced digital technologies, with a component on the digitalisation of education and another one which includes contributions to two large-scale European initiatives on microelectronics, and on next generation cloud and edge technologies.

(27)The digital transformation of public services, including health services, and of businesses, two aspects on which Germany is currently performing below EU average, are addressed in the plan. The plan includes a full component on the modernisation of public administration through accelerated digitalisation and fostered interoperability. Moreover, within a component dedicated to health, two measures aim at accelerating the digital transformation of public health services and hospitals respectively. As far as businesses are concerned, investments supporting the automotive industry’s digital and green transition are foreseen.

(26)With a significant share of the total allocation and a prominence of digital aspects across the majority of its components, Germany’s recovery and resilience plan puts a strong emphasis on the digital transition and the challenges resulting therefrom across all sectors.

(25)In accordance with Article 19(3) point (f) and section 2.6 of Annex V to Regulation (EU) 2021/241, the recovery and resilience plan contains measures that contribute to a large extent (Rating A) to the digital transition or to addressing the challenges resulting therefrom. The measures supporting digital objectives account for an amount which represents at least 52% of the plan’s total allocation, calculated in accordance with the methodology of Annex VII to Regulation (EU) 2021/241.

(24)These measures contribute directly to the green transition, in particular climate change mitigation. Moreover, they indirectly contribute to the other objectives of the green transition, in particular by promoting circularity, and reducing air pollutant emissions, and are aligned with the German National Energy and Climate Plan (‘NECP’) for 2021-2030 and the German Climate Action Plan 2050. The plan contains no measures having biodiversity as their objective, but by contributing to climate change mitigation, these measures may also be beneficial to the preservation of biodiversity, as climate change is one of the major threats to biodiversity. Germany has carried out a systematic do-no-significant-harm assessment indicating that none of the proposed measures generates harm to biodiversity.

(23)The plan has a strong focus on the green transition pillar. To support climate objectives in areas such as energy transition and adaptation to climate change, the plan envisages a broad range of measures that can be grouped in three main areas of actions. Firstly, a number of actions in the plan focus on developing an efficient hydrogen economy in the industry and in the economy at large, with a focus on renewable hydrogen. Secondly, a sizeable effort is also made to accelerate investments in climate-friendly mobility in order to address Germany’s challenges relating to sustainable transport. Lastly, the plan contains a series of measures to step up climate-friendly construction and renovation, with a prominent focus on energy efficiency renovation.

(22)In accordance with Article 19(3), point (e) and section 2.5 of Annex V to Regulation (EU) 2021/241, the recovery and resilience plan contains measures that contribute to a large extent (Rating A) to the green transition, including biodiversity, or to addressing the challenges resulting therefrom. The measures supporting climate objectives account for an amount which represents at least 42% of the plan’s total allocation, calculated in accordance with the methodology of Annex VI to Regulation (EU) 2021/241. In accordance with Article 17 of Regulation (EU) 2021/241, the recovery and resilience plan is consistent with the information included in the National Energy and Climate Plan 2030.

(21)In accordance with Article 19(3), point (d) and section 2.4 of Annex V to Regulation (EU) 2021/241, the recovery and resilience plan is expected to ensure that no measure for the implementation of reforms and investments projects included in the recovery and resilience plan does significant harm to environmental objectives (Rating A) within the meaning of Article 17 of Regulation (EU) 2020/852 of the European Parliament and of the Council (the principle of ‘do no significant harm’). Germany’s recovery and resilience plan assesses compliance with the ‘do no significant harm’ principle. The assessment follows the methodology set out in the Commission’s Technical guidance on the application of ‘do no significant harm’ under the Recovery and Resilience Facility Regulation (2021/C 58/01). It covers the six environmental objectives within the meaning of Article 17 of Regulation (EU) No 2020/852, namely climate change mitigation, climate change adaptation, sustainable use and protection of water and marine resources, circular economy, pollution prevention and control, and protection and restoration of biodiversity and ecosystems. The environmental impact is assessed at measure-level, that is to say one individual assessment per reform or investment.

(20)The recovery and resilience plan addresses social vulnerabilities and promotes social cohesion through a range of measures, also contributing to the implementation of the principles of the European Pillar of Social Rights. Families with children are expected to benefit from measures included in the plan such as bolstering child care by an additional 90 000 places, which is timely considering the gap in available places. Additional teaching support to pupils who have fallen behind because of the pandemic aims to reach one-fourth of all pupils. To support the apprenticeship system, which was negatively impacted by the pandemic, the plan includes financial incentives for companies to retain and hire apprentices, and hence contributes to fulfilling the Youth Guarantee. With the ‘Social Guarantee 2021’ measure, the plan contributes to preventing a rise in non-wage labour costs, which are at a high level in Germany, by capping social security contributions at 40%. The plan also commits to the development of a digital pension portal that should support citizens in their pension planning, by providing an overview of their individual provisions. The plan also includes measures to improve the operation of the healthcare system that are expected to benefit the whole society.

(19)Simulations by the Commission services show that the plan has the potential to increase the GDP of Germany between 0,4% and 0,7% by 2026. The plan is expected to promote smart, sustainable and inclusive growth, with a major contribution from investments that support a successful climate and digital transition, promote innovation, decarbonise the economy, including transport and industry, and digitalise enterprises, the public administration and public services. The measures are expected to lead to a more widespread use of zero-emission vehicles, increased availability of hydrogen-based technologies, a more climate-friendly and energy-efficient housing stock. They are also expected to make it easier for companies, including SMEs, to invest. As education and skills are improved through the measures enhancing teaching methodologies, learning materials and providing specific support, productivity, resilience and inclusion are all expected to benefit.

(18)In accordance with Article 19(3), point (c) and section 2.3 of Annex V to Regulation (EU) 2021/241, the recovery and resilience plan is expected to have a high impact (Rating A) on strengthening the growth potential, job creation, and economic, social and institutional resilience of Germany, contributing to the implementation of the European Pillar of Social Rights, including through the promotion of policies for children and youth, and on mitigating the economic and social impact of the COVID-19 crisis, thereby enhancing the economic, social and territorial cohesion and convergence within the Union.

(17)The plan provides a solid basis for further reform and investment efforts in the coming years, to address further structural challenges.

(16)By addressing the aforementioned challenges, the recovery and resilience plan is expected to also contribute to correcting the imbalances that Germany is experiencing, notably with respect to its current account surplus that persists at high levels reflecting a subdued level of investment relative to savings, and has cross-border relevance.

(15)The implementation of the plan is also expected to contribute to addressing country-specific recommendations that relate to education, labour market participation, labour taxation and social policy, by enhancing digitalisation of education, supporting students with disadvantages, enhancing provision of childcare, improving transparency of pensions and curbing increases in the tax wedge.

(14)The implementation of the plan is expected to address various country-specific recommendations related to increasing investment and reducing administrative burden, as the plan aims to significantly reduce investment bottlenecks and step up investment. In particular, the establishment of a joint working group at the federal and Länder levels for efficient and citizen- and business-friendly administration, the support for local authorities through PD – Berater der öffentlichen Hand GmbH (‘Partnerschaft Deutschland’) in the effective implementation of investment funding and the legal measures to speed up planning and authorisation procedures are expected to enhance public investment and promote private investment. Moreover, investment is expected to increase, reflecting the plan’s commitments to support decarbonisation and hydrogen-based solutions with a focus on renewable hydrogen, as well as through measures in sustainable mobility, including in zero-emission vehicles and charging stations, in R&D, and in the digitalisation of the economy, including SMEs, of education, healthcare and the public administration.

(13)The recommendations related to the immediate fiscal policy response to the pandemic can be considered as falling outside the scope of Germany’s RRP, notwithstanding the fact that Germany has generally responded adequately and sufficiently to the immediate need to support the economy through fiscal means in 2020 and 2021, in line with the provisions of the General Escape Clause.

(12)The plan includes an extensive set of mutually reinforcing reforms and investments that contribute to addressing all or a significant subset of the economic and social challenges outlined in the country-specific recommendations addressed to Germany by the Council in the European Semester in 2019 and in 2020.

(11)In accordance with Article 19(3), point (b) and section 2.2 of Annex V to Regulation (EU) 2021/241, the recovery and resilience plan is expected to contribute to effectively addressing all or a significant subset of challenges (Rating A) identified in the relevant country-specific recommendations, including fiscal aspects thereof and recommendations made pursuant to Article 6 of Regulation (EU) 1176/2011, addressed to Germany, or challenges identified in other relevant documents officially adopted by the Commission in the context of the European Semester.

Addressing all or a significant subset of challenges identified in Country Specific Recommendations

(10)The recovery and resilience plan is appropriately balanced in addressing all six pillars referred to in Article 3 of Regulation (EU) 2021/241. There is a strong focus on the green transition, with measures related to climate protection reaching at least 42% of the allocation, including key measures on mobility and housing. The plan shows an even stronger digital ambition, reaching at least 52% of the allocation, ranging through industry, education, social policy, healthcare and public administration. Investments and reforms address administrative bottlenecks to facilitate investments and foster smart, sustainable and inclusive growth, while also benefitting SMEs. Social cohesion is promoted through various measures to modernise the public administration and support disadvantaged groups, cap social security contributions, and strengthen education and skills, in particular by supporting the digitalisation of education. The plan has a strong focus on promoting investments and tackling investment bottlenecks, which is expected to help local authorities address infrastructure challenges and thus contribute to territorial cohesion. Public administration reforms and investments to strengthen the healthcare system contribute to increased resilience, as do measures to digitalise and modernise public services and to reduce barriers to investment. Various skills-related measures benefit the next generation.

(9)The recovery and resilience plan provides a comprehensive response to the economic and social situation by following a holistic approach to achieve recovery, while enhancing socio-economic resilience. The 40 measures included in the plan constitute a balanced mix of reforms and investments that cover economic, industrial, digital, environmental, social and healthcare policies.

(8)In accordance with Article 19(3), point (a) and section 2.1 of Annex V to Regulation (EU) 2021/241, the recovery and resilience plan represents to a large extent (Rating A) a comprehensive and adequately balanced response to the economic and social situation, thereby contributing appropriately to all six pillars referred to in Article 3 of Regulation (EU) 2021/241, taking the specific challenges and the financial allocation of the Member State concerned into account.

(7)The implementation of the Member States’ recovery and resilience plans will constitute a coordinated effort of investment and reforms across the Union. Through the coordinated and simultaneous implementation of these reforms and investments and the implementation of cross-border projects, these reforms and investments will mutually reinforce each other and generate positive spill-overs across the whole Union. Therefore, about one third of the impact of the Facility on Member States’ growth and job creation will come from spill-overs from others Member States.

(6)The recovery and resilience plans should pursue the general objectives of the Recovery and Resilience Facility established by Regulation (EU) 2021/241 and of the EU Recovery Instrument set up by Council Regulation (EU) 2020/2094 in order to support the recovery in the aftermath of the COVID-19 crisis. They should promote the Union´s economic, social and territorial cohesion by contributing to the six pillars referred to in Article 3 of Regulation (EU) 2021/241.

(5)On 28 April 2021, Germany submitted its national recovery and resilience plan to the Commission, in accordance with Article 18(1) of Regulation (EU) 2021/241. That submission followed a consultation process, conducted in accordance with the national legal framework, of local and regional authorities, social partners, civil society organisations, youth organisations and other relevant stakeholders. The national ownership of the recovery and resilience plans is underpinning their successful implementation and lasting impact at national level and credibility at European level. Pursuant to Article 19 of that Regulation, the Commission has assessed the relevance, effectiveness, efficiency and coherence of the recovery and resilience plan, in accordance with the assessment guidelines set out in Annex V to that Regulation.

(4)[The Council recommendation on the economic policy of the euro arearecommended to euro area Member States to take action, including through their recovery and resilience plans, to, inter alia, ensure a policy stance which supports the recovery and to further improve convergence, resilience and sustainable and inclusive growth. The Council recommendation also recommended to strengthen national institutional frameworks, to ensure macro-financial stability, and to complete EMU and strengthen the international role of the euro.] [If the Council recommendation is not adopted by the time of the CID adoption, please remove the recital].

(3)On 2 June 2021, the Commission published an in-depth review under Article 5 of Regulation (EU) 1176/2011 of the European Parliament and of the Council for Germany. The Commission’s analysis led it to conclude that Germany is experiencing macroeconomic imbalances with cross-border relevance, in particular that the current account surplus persists at high levels, reflecting a subdued level of investment relative to savings.

(2)On 9 July 2019 and on 20 July 2020, the Council addressed recommendations to Germany in the context of the European Semester. In particular, in 2020 the Council recommended to alleviate the immediate consequences of COVID-19, effectively address the pandemic, and mobilise adequate resources for healthcare. More broadly, Germany was advised to increase public and private investment, focusing on investment in the green and digital transition while paying particular attention to areas including transport, a clean, efficient and integrated energy system, digitalisation, education, housing and R&D. The Council also recommended improving the digitalisation of public services and SMEs, reducing the regulatory and administrative burden, and strengthening competition in business services and regulated professions. In addition, the Council invited Germany to shift taxes away from labour, reduce disincentives to work more hours, including the high taxation of labour earnings, in particular for low-wage and second earners, safeguard the long-term sustainability of its pension system, support higher wage growth and to improve the educational outcomes and skills levels of disadvantaged groups. Having assessed progress in the implementation of these country-specific recommendations at the time of submission of the recovery and resilience plan, the Commission finds that the recommendation on taking all necessary measures to effectively address the pandemic, sustain the economy and support the ensuing recovery has been fully implemented.

(1)The COVID-19 outbreak has had a disruptive impact on the economy of Germany, adding to challenges that existed before the pandemic. In 2019, the gross domestic product per capita (GDP per capita) of Germany was 133% of the EU average. According to the Commission’s Spring 2021 forecast, the real GDP of Germany declined by 4,9% in 2020 and is expected to decline by 1,7% cumulatively in 2020 and 2021. While the economy is recovering relatively quickly, longer-standing aspects with an impact on medium-term economic performance include in particular a savings-investment imbalance, with private and public investment lagging behind investment needs, and a suboptimal use of the labour market potential of inactive or under-represented groups.

Having regard to the proposal from the European Commission,

Having regard to Regulation (EU) 2021/241 of the European Parliament and of the Council of 12 February 2021 establishing the Recovery and Resilience Facility and in particular Article 20 thereof,

Having regard to the Treaty on the Functioning of the European Union,

on the approval of the assessment of the recovery and resilience plan for Germany

on the approval of the assessment of the recovery and resilience plan for Germany

EUROPEAN COMMISSION Brussels, 22.6.2021 COM(2021) 341 final ANNEX

to the Proposal for a Council Implementing Decision on the approval of the assessment of the recovery and resilience plan for Germany {SWD(2021) 163 final}



ANNEX Contents A. COMPONENT 1.1: Decarbonisation using renewable hydrogen in particular B. COMPONENT 1.2: Climate-friendly mobility C. COMPONENT 1.3: Climate-friendly renovation and construction D. COMPONENT 2.1: Data as the raw material of the future E. COMPONENT 2.2: Digitalisation of the Economy F. COMPONENT 3.1: Digitalisation of Education G. COMPONENT 4.1: Strengthening of social inclusion H. COMPONENT 5.1: Strengthening of a Pandemic-resilient Healthcare System I. COMPONENT 6.1: Modern Public Administration J. COMPONENT 6.2: Reduction of barriers to investment



SECTION 1: REFORMS AND INVESTMENTS UNDER THE RECOVERY AND RESILIENCE PLAN 1.Description of Reforms and Investments

A. COMPONENT 1.1: Decarbonisation using renewable hydrogen in particular The component of the German recovery and resilience plan addresses the challenge of climate change mitigation by aiming to reduce greenhouse gas (GHG) emissions in the economy. The objectives of the component are to support the use of hydrogen produced with energy from renewable sources and to contribute as a primary goal to GHG emission reduction as defined in the German NECP, with a focus on industry. The component also seeks to make a contribution in terms of industrial innovation and employment policy. The component supports addressing the Country Specific Recommendation on investment in the green transition and constitutes one building block in the design of a clean, efficient and integrated energy system (Country Specific Recommendation 2 in 2019 and Country Specific Recommendation 1 in 2020). It is expected that no measure in this component does significant harm to environmental objectives within the meaning of Article 17 of Regulation (EU) 2020/852, taking into account the description of the measures and the mitigating steps set out in the recovery and resilience plan in accordance with the DNSH Technical Guidance (2021/C58/01). A.1. Description of the reforms and investments for non-repayable financial support 1.1.1 Investment: Hydrogen projects within the framework of IPCEIs The objective of the planned hydrogen Important Projects of Common European Interest (IPCEIs) is to accelerate the necessary market uptake of hydrogen and its derivatives to decarbonise emission-intensive processes and develop new areas of application in Germany and in Europe. The measure consists of financial support that shall be given to integrated projects along the entire value chain through planned IPCEIs on hydrogen. As regards production, the planned IPCEIs shall focus on building large electrolysis capability to produce renewable hydrogen in locations where sufficient renewable electricity is available. Within this framework, up to 500 MW of electrolysis capability is expected to be built. As regards infrastructure, they are expected to contribute to building German and European hydrogen transport and storage infrastructure. The implementation of the investment shall be completed by 31 August 2026. 1.1.2 Investment: Funding programme for decarbonisation in industry The objective of the measure is to help industry shift from highly emission-intensive production processes to low GHG processes. More precisely, it seeks to help businesses address the challenges of the transition, which lie in particular in the high costs and economic risk of developing climate-neutral technologies. Support shall be given to research and development, testing in experimental or pilot plants and investments in installations for the application and implementation of measures on an industrial scale. The support shall be granted in the form of a partial investment grant. The measure targets companies in energy-intensive industries with GHG emissions emanating from the production process covered by the EU emissions trading scheme (in particular steel, cement, lime, chemicals, non-ferrous metals, glass and ceramics). Only projects resulting in emissions substantially below the EU Emissions Trading System benchmarks shall be eligible for support under the measure. The implementation of the measure shall be completed by 31 August 2026. In addition, Germany is planning to prolong the measure beyond 2026 with funding under its national budget. 1.1.3 Investment: Pilot scheme for climate action contracts based on the principle of Carbon Contracts for Difference The objective of the measure is, as for measure 1.1.2, the introduction of new, cleaner production technologies for energy-intensive industries. The specific objective of the measure is to provide businesses with financial certainty when they make significant investments in climate-neutral technologies and to reduce on a permanent basis process-related GHG emissions which are difficult to avoid under the current state of the art of technologies. Climate action contracts shall be signed between the state and energy-intensive industries to cushion the higher operating costs of innovative technologies. These contracts shall guarantee a fixed CO2 price over a fixed duration for companies investing in CO2 reduction technologies. The programme is expected to be aimed primarily at companies in the steel, chemical and building materials industries where process emissions are particularly difficult to avoid. Only projects resulting in emissions substantially below the ETS benchmarks shall be eligible for support under the measure. The implementation of the investment is expected to start by 31 December 2021 and shall be completed by 31 August 2026. In addition, Germany is planning to prolong the measure beyond 2026 with funding under its national budget. 1.1.4 Investment: Project-related climate protection research Like other measures from this component, the aim of this measure is to contribute to the general goal of decarbonising the economy in line with the 2050 targets but with a stronger focus on SMEs and basic industries. Collaborative projects shall be supported in the three areas: (i) climate protection in the industry, (ii) SME innovation and (iii) climate resilience. The first area shall focus on climate protection in the basic materials industry with the aim of promoting industrial research and development of new processes that prevent GHG emissions. The second area of focus shall consist in SME innovation support measures contributing to climate change mitigation and energy efficiency. Lastly, the third area shall focus on support measures for climate resilience projects by municipalities and local businesses associated with research partners (universities and non-university research institutes).

The implementation of the investment shall be completed by 31 December 2025. 1.1.5 Investment: Flagship projects for research and innovation in the context of the National Hydrogen Strategy This measure contributes to the general objective of decarbonising the economy and shall focus specifically on addressing key issues related to the provision of green hydrogen in the future energy system. On the research side, a first flagship initiative shall address the challenges of serial production of water electrolysers. A second flagship initiative shall focus on the integrated direct offshore production of hydrogen and its derivatives at sea using offshore wind energy. A third flagship initiative shall explore and assess the potential of hydrogen transport technologies. The implementation of the measure shall be completed by 31 August 2026. A.2. Milestones, targets, indicators and timetable for monitoring and implementation for non-repayable financial support Sequential Number Related Measure (Reform or Investment) Milestone / Target Name Qualitative indicators

(for milestones) Quantitative indicators

(for targets) Indicative timeline for completion Description of each milestone and target Unit of measure Baseline Goal Quarter Year 1 1.1.1 Hydrogen projects within the framework of IPCEIs Milestone Completion of expression of interest procedure Companies have submitted project sketches - - - Q2 2021 The expression of interest procedure has been completed. Potential projects and project participants in Germany have been identified. 2 1.1.1 Hydrogen projects within the framework of IPCEIs Milestone Issuance of first grant decisions Grant decisions issued - - - Q1 2022 Grant award decisions have been issued to beneficiaries/applicants by the Ministry for Economic Affairs and Energy (BMWi), Ministry of Transport and Digital Infrastructure (BMVI), Ministry of the Environment (BMU), enabling the start of the implementation of the selected projects. 3 1.1.1 Hydrogen projects within the framework of IPCEIs Target Commitment of at least EUR 500 000 000 - EUR million 0 500 Q2 2024 At least EUR 500 000 000 have been committed to hydrogen projects in line with grant decisions issued. 4 1.1.1 Hydrogen projects within the framework of IPCEIs Milestone Evaluation of the support programme First evaluation report (interim report) published - - - Q4 2025 The evaluators have provided a first evaluation report, which shall contain an initial assessment of the direct and indirect effects of the aid and an assessment of the appropriateness and proportionality of the support measure. The evaluation report shall notably assess the success towards the development of electrolytic capabilities, their systemic integration into the energy system (avoidance of network bottlenecks), the development of demand-driven infrastructure, implementation of hydrogen decarbonisation technologies. The evaluators shall also assess the success of the hydrogen technology market uptake and to what extent it is relevant to the energy system and needs. The evaluation shall be contracted out to external and independent evaluators. 5 1.1.1 Hydrogen projects within the framework of IPCEIs Target Commitment of EUR 1 500 000 000 - EUR million 0 1 500 Q3 2026 At least EUR 1 500 000 000 have been committed to hydrogen projects in line with grant decisions issued. 6 1.1.1 Hydrogen projects within the framework of IPCEIs Target Creation of at least 300 MW of electrolysis capacity Megawatt 0 300 Q3 2026 At least 300 MW of electrolysis capabilities shall be created. 7 1.1.2 Support programme for decarbonisation in industry Milestone Entry into force of funding guideline (Förderrichtlinie) for decarbonisation in industry Entry into force of funding guideline - - - Q1 2021 The guideline has entered into force, enabling companies to submit applications. 8 1.1.2 Support programme for decarbonisation in industry Target Issuance of grant decisions - Number 0 20 Q4 2024 Grant decisions have been issued to beneficiaries/applicants, enabling the start of the implementation of the selected projects. 9 1.1.2 Support programme for decarbonisation in industry Target Disbursement to the supported projects - EUR million 0 426,823 Q3 2026 Of the EUR 449 288 000 allocated to the measure, at least EUR 426 823 000 of funds committed to the selected projects have been disbursed to the beneficiaries. 10 1.1.2 Support programme for decarbonisation in industry Target Reduction of greenhouse gas emissions in industry - Million tonnes of CO2 equivalent (annual avoidance) 0 1 Q3 2026 The measure has led to the avoidance of at least 1 million tonnes of CO2 equivalent in 12 consecutive months in 2025/2026, as evidenced by the interim/final reports sent by beneficiaries to the project promoter. The reports shall indicate how many greenhouse gas emissions (GHG) have been avoided by the implemented projects, compared to the GHG emissions that would have occurred without the intervention. The overall GHG emissions reduction achieved by the measure shall be summarised in a separate report. 11 1.1.3 Pilot scheme for climate action contracts based on the principle of Carbon Contracts for Difference Milestone Completion of expression of interest procedure for climate change contracts Companies submit expressions of interest for climate change contracts to Ministry of the Environment (BMU) - - - Q4 2021 The expression of interest procedure has been completed, with companies having expressed their interest in receiving support for their projects through climate change contracts and projects having been selected. 12 1.1.3 Pilot scheme for climate action contracts based on the principle of Carbon Contracts for Difference Milestone Funding guideline (Förderrichtlinie) for a pilot programme on climate change contracts based on the principle of Carbon Contracts for Difference Entry into force of funding guideline - - - Q3 2022 The guideline for a pilot programme on climate change contracts based on the principle of Carbon Contracts for Difference has entered into force, enabling companies to submit applications. 13 1.1.3 Pilot scheme for climate action contracts based on the principle of Carbon Contracts for Difference Target Disbursement to the supported projects - EUR million 0 522,5 Q3 2026 Of the EUR 550 000 000 allocated to the measure, at least EUR 522 500 000 of funds committed to the selected projects have been disbursed to the beneficiaries. 14 1.1.4 Project-related climate protection research Target Approval of applications for support of climate-related research projects - Number of applications approved 0 45 Q4 2021 The climate-related research projects selected under the call for tender have been approved for funding. 15 1.1.4 Project-related climate protection research Target Disbursement to the supported projects - EUR million 0 57 Q4 2025 Of the EUR 60 000 000 allocated to the measure, at least EUR 57 000 000 of funds committed to the selected projects have been disbursed to the beneficiaries. 16 1.1.4 Project-related climate protection research Target Completion of supported climate-related research projects - Number 0 45 Q4 2025 Projects have been completed, as evidenced by the submission of the final report. 17 1.1.5 Flagship projects for research and innovation in the context of the National Hydrogen Strategy Milestone Publication of the competition “Idea Competition ‘Hydrogen Republic Germany’” (Förderaufruf zum Ideenwettbewerb „Wasserstoffrepublik Deutschland“) Publication of the competition on the Ministry of Education and Research‘s homepage - - - Q2 2020 The competition, including the eligibility conditions, has been published on the homepage of the Ministry of Education and Research and opened for applications. 18 1.1.5 Flagship projects for research and innovation in the context of the National Hydrogen Strategy Target Issuance of grant decisions - Number of grant decisions issued 0 150 Q2 2022 Grant decisions have been issued to beneficiaries/applicants, enabling the start of the implementation of the selected projects. 19 1.1.5 Flagship projects for research and innovation in the context of the National Hydrogen Strategy Target Completion of the supported projects - Number 0 150 Q3 2026 The projects have been completed, as evidenced by the availability of the official final report. These reports shall describe in detail the results achieved and compare them with the objectives set. 20 1.1.5 Flagship projects for research and innovation in the context of the National Hydrogen Strategy Target Disbursement to the supported projects - EUR million 0 560 Q3 2026 Of the EUR 700 000 000 allocated to the flagship projects, at least EUR 560 000 000 have been disbursed to beneficiaries. Calculation based on actual payments made. 21 1.1.5 Flagship projects for research and innovation in the context of the National Hydrogen Strategy Target Commitment for flagship research and innovation projects - EUR million 0 665 Q3 2026 Of the EUR 700 000 000 allocated to the flagship projects, at least EUR 665 000 000 have been committed. B. COMPONENT 1.2: Climate-friendly mobility The component of the German recovery and resilience plan addresses the challenge of climate change mitigation with a focus on the transport sector. The objective of the component is to contribute to substantially reducing CO2 emissions in the transport sector. It specifically aims to establish alternative technologies in the transport sector in a sustainable way, to make them more energy-efficient, climate- and environmentally friendly, thereby further promoting the energy transition in transport. Support for the market development of electro-mobility and the complementary investment in sustainable mobility technologies are also intended to support the transition towards a climate-neutral automotive and supply industry and to help Germany strengthen its economy in the medium and long term. The component supports addressing the Country Specific Recommendation to “focus investment on the green and digital transition, in particular on sustainable transport, (…) research and innovation” (Country Specific Recommendation 1 in 2020). It is expected that no measure in this component does significant harm to environmental objectives within the meaning of Article 17 of Regulation (EU) 2020/852, taking into account the description of the measures and the mitigating steps set out in the recovery and resilience plan in accordance with the DNSH Technical Guidance (2021/C58/01). B.1. Description of the reforms and investments for non-repayable financial support 1.2.1 Investment: Support for the construction of charging infrastructure The general challenge addressed by the measure is the need to develop clean mobility solutions to decarbonise the transport sector. Specifically, this measure tackles the need to develop a ubiquitous network of charging infrastructure for e-vehicles. This is one of the key conditions for the success of electro-mobility as the current lack of charging infrastructure holds back the purchase of e-vehicles. The measure consists of aid for building recharging points, including the necessary grid connection of the recharging site and the installation of the recharging point itself. Support shall take the form of project funding for a grant scheme to be operated by the Ministry of Transport and Digital Infrastructure (BMVI). It shall apply to both publicly accessible and non-publicly accessible charging infrastructure. The implementation of the measure shall be completed by 31 December 2025. 1.2.2 Investment: Funding for the development of electro-mobility

The general challenge addressed by this measure is also the need to develop clean mobility solutions to decarbonise the transport sector. In particular, it targets the further market development of electro-mobility and, in particular, the development of municipal and commercial vehicle fleets. The measure consists of financial support given for the purchase of electric vehicles in municipal and commercial fleets and necessary charging infrastructure for the operation of these vehicles. In addition, application-oriented research and development projects, the development of electric mobility projects (municipal and commercial) and electro-mobility concepts shall be supported. The support shall take the form of funding a grant scheme to be operated by the Ministry of Transport and Digital Infrastructure (BMVI). The implementation of the measure shall be completed by 30 June 2024. 1.2.3 Investment: Support for the replacement of the private vehicle fleet The general challenge addressed by this measure is the same as for measure 1.2.2. The promotion of electro-mobility is an essential part of achieving the Paris climate goals in the transport sector. The measure focuses on the challenge represented by the very low share of pure e-cars in the total vehicle fleet (1,2% in 2020), especially compared to the 7 million to10 million electric vehicles envisaged in the 2030 Climate Change Programme. The measure shall reduce the purchase prices of electric vehicles, which is usually higher compared to those with internal combustion engines, thereby stimulating the market. Support shall be provided exclusively for the promotion of zero-emission vehicles and plug-in hybrids emitting less than 50g CO2/km. The implementation of the measure shall be completed by 31 December 2022. 1.2.4 Reform: Extension of the initial registration period for granting the ten-year tax exemption for purely electric vehicles The general challenge addressed by this measure is the same as for measure 1.2.2. The promotion of electro-mobility is an essential part of achieving the Paris climate goals in the transport sector. The measure consists of a ten-year tax exemption starting from the registration of an electric vehicle. It shall be limited to purely electric vehicles. The exemption shall apply to all natural and legal persons. The implementation of the reform shall be completed by 31 March 2026. 1.2.5 Investment: Support for purchases of buses with alternative propulsion The general challenge addressed by this measure is the same as for measure 1.2.2. The aim of the measure is to support the market circulation of alternatively fuelled buses in passenger transport. Currently, diesel buses are still almost exclusively used in bus transport. The shift to low-emission buses shall contribute to a lower climate impact and less air pollution. The measure consists of grants attributed on the basis of calls for tenders. Funds shall mainly be used for battery-powered electric buses, battery trolley buses, fuel cell buses and 100% biomethane-powered buses. Operationally necessary infrastructure, as well as feasibility studies on alternative drives in public transport, may also be supported. It is expected that the financing of buses to be fuelled with biomethane will remain limited (the share of gas buses in Germany has steadily decreased in recent years and is currently around 2% of all city buses in use). The implementation of the measure is expected to start in the third quarter of 2021 and shall be completed by 30 September 2026. 1.2.6 Investment: Support to promote alternative rail propulsion The challenge addressed by this measure is also the decarbonisation of the transport sector, but it focuses on rail. Around 3 200 diesel locomotives are currently used in rail freight transport; 60% may be classified as very old vehicles with high CO2 emissions. This measure aims to replace these particularly old vehicles to achieve a significant reduction in CO2 emissions and air pollutants (such as nitrogen oxides and black carbon). The measure consists of financial support for the procurement of innovative rail vehicles (in terms of powertrain) or the conversion to alternative engines with significant CO2 savings on non-electrified lines compared to conventional diesel vehicles. Applications shall be prioritised on the basis of environmental benefits. The implementation of the measure shall be completed by 31 December 2024. 1.2.7 Investment: Promotion of the industries involved in hydrogen and fuel cell applications in transport

This measure seeks to contribute to the decarbonisation of the transport sector in link with component 1.1 Decarbonisation using renewable hydrogen in particular. The objective is to support a competitive supply industry for hydrogen and fuel cell technology. This includes enabling the production of fuel cell components and serial testing of hydrogen components and vehicles in Germany. A new Hydrogen Technology and Innovation Centre shall focus on the hydrogen and fuel cell technology value chain for mobility applications. It shall also provide a development, certification and standardisation facility, which is not able to be carried out without public support due to the early stage of the market and the high costs involved. The measure shall also provide additional funding opportunities for the vehicle and supply industry through the existing funding guidelines in the National Innovation Programme for Hydrogen and Fuel Cell Technology. The implementation of the measure shall be completed by 31 August 2026. B.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support Sequential Number Related Measure (Reform or Investment) Milestone/ Target Name Qualitative indicators

(for milestones) Quantitative indicators

(for targets) Indicative timeline for completion Description of each milestone and target Unit of measure Baseline Goal Quarter Year 22 1.2.1 Support for the construction of charging infrastructure Milestone Entry into force of funding guidelines Two funding guidelines published in the Federal Gazette (Bundesanzeiger) - - - Q4 2021 The two funding guidelines are published in the Federal Gazette (Bundesanzeiger), enabling eligible organisations / households to submit applications to: (1) ‘charging infrastructure for residential buildings’ and (2) ‘publicly accessible charging infrastructure for electric vehicles’. 23 1.2.1 Support for the construction of charging infrastructure Target Expansion of the public recharging network for electric vehicles - Number of publicly accessible recharging points 0 50 000 Q4 2025 At least 50 000 publicly accessible recharging points have been funded with support from the grant scheme operated by the Ministry of Transport and Digital Infrastructure (BMVI). 24 1.2.1 Support for the construction of charging infrastructure Target Expansion of recharging points in residential buildings - Number of recharging points in residential buildings 0 400 000 Q4 2023 At least 400 000 recharging points in residential buildings have been funded with support from the grant scheme operated by the Ministry of Transport and Digital Infrastructure (BMVI). 25 1.2.2 Funding for the development of electro-mobility Milestone Entry into force of the funding guidelines Entry into force of funding guidelines published in the Federal Gazette (Bundesanzeiger) - - - Q4 2020 The funding guidelines covering the development of municipal and commercial e-vehicle fleets and charging infrastructure, as well as related applied R&D (e-mobility concepts/designs) and e-mobility concepts have been published in the Federal Gazette (Bundesanzeiger), enabling eligible organisations / households to submit applications. 26 1.2.2 Funding for the development of electro-mobility Target Commitment of funds - EUR million 0 71,25 Q4 2022 Of the EUR 75 000 000 allocated to the measure, at least EUR 71 250 000 have been committed. 27 1.2.2 Funding for the development of electro-mobility Target Expansion of municipal and commercial e-mobility fleets - Number of e-vehicles 0 4 000 Q2 2024 Municipalities, companies and other eligible organisations have received funding commitments for at least 4 000 e-vehicles with support of the grant scheme. 28 1.2.2 Funding for the development of electro-mobility Target Completion of electro-mobility preliminary designs - Number of completed electro-mobility preliminary designs 0 80 Q2 2024 At least 80 electro-mobility preliminary designs have been completed for municipalities, companies or other eligible organisations. 29 1.2.3 Support for the replacement of the private vehicle fleet Target Support for the purchase of 240 000 electric vehicles - Number of e-vehicles purchased 0 240 000 Q1 2021 Beneficiaries have received grant support for the purchase of a total of 240 000 electric vehicles on the basis of the amended funding guidelines that entered into force on 8 July 2020. 30 1.2.3 Support for the replacement of the private vehicle fleet Target Support for the purchase of another 320 000 electric vehicles - Number of e-vehicles purchased 240 000 560 000 Q4 2022 Beneficiaries have received grant support for the purchase of a (cumulative) total of 560 000 electric vehicles on the basis of the amended funding guidelines that entered into force on 8 July 2020. 31 1.2.4 Extension of the initial registration period for granting the ten-year tax exemption for purely electric vehicles Milestone Entry into force of the Seventh Motor Vehicle Tax Amendment Act Provision in the law indicating the entry into force of the Seventh Motor Vehicle Tax Amendment Act - - - Q4 2020 The amendment to the Motor Vehicle Tax Act to extend the initial registration period for e-vehicles to obtain the ten-year tax exemption has entered into force. 32 1.2.4 Extension of the initial registration period for granting the ten-year tax exemption for purely electric vehicles Milestone Evaluation of the measure The measure shall be evaluated five years after its entry into force, within the framework provided for in the Seventh Motor Vehicle Tax Amendment Act. - - - Q1 2026 The evaluation shall examine whether the vehicle tax bases is expected to continue to provide incentives for environmentally and climate-friendly mobility in the future. In particular, the data from the customs administration and the Federal Motor Transport Authority shall be used for this purpose (cf. BT-Drs.19/20978 p. 16). The evaluation shall be published. 33 1.2.5 Support for purchases of buses with alternative propulsion Milestone Publication of funding guidelines Publication in the Federal Gazette (Bundesanzeiger) - - - Q3 2021 The funding guidelines on the support scheme for the purchase of buses and coaches for passenger transport with alternative propulsion have been published in the Federal Gazette (Bundesanzeiger). 34 1.2.5 Support for purchases of buses with alternative propulsion Target Approval of applications - EUR million 0 1 031 Q3 2025 Of the EUR 1 085 000 000 allocated to the measure, at least EUR 1 031 000 000 of bus purchase projects have been approved, enabling the orders of the corresponding buses. 35 1.2.5 Support for purchases of buses with alternative propulsion Target Orders of buses with alternative propulsion - Number of buses ordered 0 2 800 Q3 2026 At least 2 800 buses with alternative propulsion have been ordered with support from the scheme. 36 1.2.6 Support to promote alternative rail propulsion Milestone Entry into force of the funding guidelines Entry into force - - - Q1 2021 The funding guidelines for the grant scheme to promote alternative rail propulsion have entered into force enabling eligible organisations to submit applications. 37 1.2.6 Support to promote alternative rail propulsion Target Approval of applications - EUR million 0 215,65 Q3 2024 Of the EUR 227 000 000 allocated to the measure, at least EUR 215 650 000 of rail purchase projects have been approved, enabling the orders of the corresponding rail vehicles. 38 1.2.6 Support to promote alternative rail propulsion Target Order of rail vehicles with alternative propulsion - Number of rail vehicles ordered 0 280 Q4 2024 At least 280 rail vehicles (locomotives) with alternative (to conventional diesel) propulsion have been ordered, with support from the scheme, as evidenced by binding awards by the beneficiary of contracts for the delivery of the vehicles with manufacturers. 39 1.2.7 Promotion of the industries involved in hydrogen and fuel cell applications in transport Milestone Entry into force of amendment extending existing supporting guidelines (Förderrichtlinien) of the National Hydrogen and Fuel Cell Technology Innovation Programme (NIP) (or if not sufficiently covered by existing supporting guidelines, entry into force of new supporting guidelines). Publication in Federal Gazette (Bundesanzeiger) - - - Q4 2021 The relevant funding guidelines in the National Hydrogen and Fuel Cell Technology Innovation Programme (NIP), currently limited to 30 June 2021, has been extended in time and this extension has entered into force. If planned projects under the measure are not sufficiently covered by existing supporting guidelines, separate supporting guidelines shall be adopted. 40 1.2.7 Promotion of the industries involved in hydrogen and fuel cell applications in transport Target Approval of projects for the vehicle and supplier industry for hydrogen and fuel cell applications in transport - Number of approved projects 0 170 Q4 2025 At least 170 R&D and market activation projects for hydrogen and fuel cell applications in transport have been approved, enabling the start of the implementation of the funded projects. 41 1.2.7 Promotion of the industries involved in hydrogen and fuel cell applications in transport Milestone Establishment of a Technology and Innovation Centre for Hydrogen Technology At least partial start of operations of the centre - - - Q3 2026 The Technology and Innovation Centre shall be at least partially operational, while, for example, construction works may not have been completed. Partial operation of the centre guarantees that the actual support services to businesses and stakeholders may be provided. C. COMPONENT 1.3: Climate-friendly renovation and construction The component of the German recovery and resilience plan addresses the challenge of climate change mitigation and energy transition with a focus on energy-efficient renovation. In the building sector, Germany aims to reduce CO2 emissions by around 40% by 2030 compared to current levels (120 million tonnes of CO2 equivalent in 2020). By 2050, Germany aims to achieve net-zero GHG emissions, including for the building stock in Germany. At the same time, it must be ensured that construction and housing remain affordable. The climate-friendly construction and renovation component aims at contributing to the achievement of these objectives by increasing energy efficiency and the share of renewable energy in final energy consumption for heating and cooling in buildings. Accompanying measures for the timber construction sector towards digitalisation, circularity and climate-friendly practices shall also be undertaken as timber is identified as having the potential to constitute a climate friendly and resource-efficient building material, as well as leading to cost-effective and time-efficient construction and renovation methods. The component supports addressing the Country Specific Recommendations related to the green transition, in particular clean, efficient and integrated energy systems and, indirectly, to making housing more affordable (Country Specific Recommendation 1 in 2019 and Country Specific Recommendation 2 in 2020). It is expected that no measure in this component does significant harm to environmental objectives within the meaning of Article 17 of Regulation (EU) 2020/852, taking into account the description of the measures and the mitigating steps set out in the recovery and resilience plan in accordance with the DNSH Technical Guidance (2021/C58/01). C.1. Description of the reforms and investments for non-repayable financial support 1.3.1 Investment: Support programme for the development of a climate-friendly timber construction The objective of this investment is to accelerate the development, deployment and diffusion of innovative technologies, processes, products and services (digital transformation) to increase the use of timber as a climate-friendly building material. The measure is also intended to help overcome structural disadvantages and obstacles in order to be able to establish construction with timber on an equal footing in large-scale, multi-storey construction. To overcome the challenge of transfer of knowledge, innovation and technology between research and practice, the measure further aims to improve the networking between businesses, academia and research institutions related to climate-friendly construction with timber. To that end, the measure shall focus support on advisory services (analysis, evaluations and recommendations) directed towards increasing the use of timber (coniferous/deciduous) and related to digitalisation, service and business innovation, business optimisation, and recyclability of construction products. The measure shall also focus on the development of innovation clusters related to innovation and development of climate-friendly timber construction. Given the structure of the sector, SMEs are expected to be the main beneficiaries of the support. The implementation of the measure shall be completed by 31 December 2021. This corresponds to the period during which project owners may apply for support. 1.3.2 Investment: Municipal living labs for the energy transition Municipal living labs for the energy transition explore and demonstrate innovative solutions for the efficient and sustainable energy supply of urban neighbourhoods. Technological and non-technical innovations are tested in a real-world environment, thereby contributing to technology development and market penetration, whilst serving as a blueprint for the subsequent large-scale roll-out of integrated solutions. Living laboratories (including this measure) are one of the sector coupling measures of the German National Energy and Climate Plan (NECP). At least four joint living labs projects shall be implemented, covering at least 10 urban neighbourhoods.

The implementation of the measure shall be completed by 31 March 2026. 1.3.3 Investment: Building renovation: federal funding for energy-efficient buildings This investment measure focuses on support to the energy-efficient renovation of residential buildings. The measure shall achieve, on average, at least a medium-depth level renovation as defined in Commission Recommendation (EU) 2019/786 on Building Renovation. More specifically, given the current state of housing stock and the minimum requirement to obtain support under the measure (the renovated building must achieve at minimum Energy class 100) it is expected to achieve on average a minimum of 45% of primary energy demand savings and potentially significantly more (70% savings) through bonuses for renewable energy and better classes of energy efficiency. The implementation of the measure under the German recovery and resilience plan is expected to start by 1 July 2021 and shall be completed by 31 August 2026. In addition, Germany is planning to prolong the measure beyond 2026 with funding under its national budget. C.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support Sequential Number Related Measure (Reform or Investment) Milestone / Target Name Qualitative indicators

(for milestones) Quantitative indicators

(for targets) Indicative timeline for completion Description of each milestone and target Unit of measure Baseline Goal Quarter Year 42 1.3.1 Support programme for the development of a climate-friendly timber construction sector Milestone Funding guidelines on the promotion of climate-friendly timber construction Publication in the Federal Gazette (Bundesanzeiger) and entry into force of the funding guidelines - - - Q1 2021 The guidelines have been published in the Federal Gazette (Bundesanzeiger), enabling companies and eligible organisations to apply for funding. 43 1.3.1 Support programme for the development of a climate-friendly timber construction sector Target Approval of projects related to the development of climate-friendly timber construction - Number of approved projects 0 20 Q2 2022 At least 20 projects have been approved, enabling the beneficiaries to start their implementation. 44 1.3.2 Municipal living labs for the energy transition Target Approval of ‘living labs’ projects - Number of approved projects 0 4 Q4 2023 At least four joint living labs projects have been approved through a grant decision, enabling the start of their implementation. 45 1.3.2 Municipal living labs for the energy transition Target Completion of urban neighbourhood projects - Number 0 10 Q1 2026 Innovative installations for efficient and sustainable energy supply have been tested and are operational in 10 urban neighbourhoods. The 10 implemented neighbourhood projects demonstrably achieve a reduction in primary energy demand compared to conventional energy supply for buildings, thus contributing to decarbonisation in the building sector. 46 1.3.3 Building renovation: federal funding for energy-efficient buildings Milestone Funding guidelines for the support of energy-efficient renovation of buildings Publication of funding guidelines in the Federal Gazette (Bundesanzeiger) - - - Q3 2021 The guidelines have been published, enabling households and eligible organisations to apply for funding. 47 1.3.3 Building renovation: federal funding for energy-efficient buildings Target Completion of energy-efficient renovations of 10 000 housing units. - Number of housing units renovated 0 10 000 Q4 2024 At least 10 000 housing units have been renovated under the support scheme; the corresponding works have been fully carried out and the corresponding grants have been disbursed. 48 1.3.3 Building renovation: federal funding for energy-efficient buildings Target Completion of energy-efficient renovations of a further 30 000 housing units - Number 10 000 40 000 Q2 2026 At least 40 000 housing units have been renovated under the support scheme; the corresponding works have been fully carried out and the corresponding grants have been disbursed. D. COMPONENT 2.1: Data as the raw material of the future The objectives of this component of the German recovery and resilience plan are to support the transition towards a secure and dynamic data economy through the promotion of data-driven innovation in the context of the data strategy adopted by the German federal government on 27 January 2021, as well as through investments in research, development, innovation and first industrial deployments in strategic technological areas linked to the processing of data (microelectronics and next generation cloud infrastructures and services) in the context of large multi-country initiatives. The component supports addressing the Country Specific Recommendations on investment in the digital transition (Country Specific Recommendation 1 in 2019 and Country Specific Recommendation 2 in 2020). It is expected that no measure in this component does significant harm to environmental objectives within the meaning of Article 17 of Regulation (EU) 2020/852, taking into account the description of the measures and the mitigating steps set out in the recovery and resilience plan in accordance with the DNSH Technical Guidance (2021/C58/01). D.1. Description of the reforms and investments for non-repayable financial support 2.1.1 Reform: Innovative data policy for Germany The objectives of the measure are to foster the sharing and innovative use of data. It notably aims at addressing the lack of infrastructures, data literacy, incentives to share data and incentives to invest in the data economy. The investment consists of supporting projects, selected mainly through calls for proposals, covering the following activities: -networks and research and development of software for high-performance computing; -pilot projects/use cases/real laboratories (‘regulatory data sandboxes’) for the testing and scientific monitoring of data diffusion models; -a research network of six living labs investigating depersonalisation of data in certain application domains such as healthcare, automotive, retail and manufacturing; -research projects on technologies to anonymise data; -actions aiming at developing data literacy in different fields of science (including those that are less data-intensive); -data science laboratories linked to the national research data infrastructure;

-support to young researchers in data science; -support to universities in the re-use, sharing and management of research data; -monitoring of data skills of the German population; -data literacy courses for students and other learners; -research and innovation on architectures, institutions and spaces for the data society; -development of a freely available toolbox for increased data literacy; and -a pilot project on data cooperation in the food value chain. A specific set of actions aiming at improving data literacy and data use in the federal administration shall also be supported. These shall include: -the stock-taking and analysis of measures already taken to increase data literacy; -the mapping of data competence across public administration services; -the creation of Chief Data Scientists or similar roles in federal ministries; -the establishment and strengthening of internal data laboratories and data competence centres in federal ministries and agencies, including notably the Foreign Office, the Federal Ministry of Education and Research, the Federal Environment Agency, the Federal Ministry of Defence, the Federal Ministry for Economic Cooperation and Development, the Federal Institute for Occupational Safety and Health, the German Corporation for International Cooperation; and -the creation of a digital academy in the Federal Academy for Public Administration, bringing together all training opportunities to support digitalisation. The implementation of the reform shall be completed by 31 December 2025. 2.1.2 Investment: IPCEI Microelectronics and Communication Technologies The objective of the measure is to contribute to a cross-border initiative aiming at endowing the European Union with capabilities in electronics design and deployment of the next generation of low power trusted processors and other electronic components. The initiative is expected to be implemented through a planned Important Project of Common European Interest (IPCEI). The investment consists of providing support to German participants in projects to be implemented as part of the planned IPCEI. The implementation of the investment shall be completed by 31 August 2026. 2.1.3 Investment: IPCEI Next Generation Cloud Infrastructure and Services (IPCEI CIS)

The objective of the measure is to contribute to a large-scale cross-border initiative aiming at fostering the development and first industrial deployment of smart cloud and edge solutions that are highly innovative, fully interoperable, highly secure, energy efficient and fully compliant with data protection. The initiative is expected to be implemented through a planned IPCEI. The investment consists of providing financial support to German participants in projects to be implemented as part of the planned IPCEI. The selection criteria shall ensure that more than 50% of these projects address energy-efficiency as one of their key priorities and comply with the European Code of Conduct on Data Centre Energy Efficiency. The implementation of the investment shall be completed by 31 August 2026. D.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support . Sequential Number Related Measure (Reform or Investment) Milestone / Target Name Qualitative indicators

(for milestones) Quantitative indicators

(for targets) Indicative timeline for completion Description of each milestone and target Unit of measure Baseline Goal Quarter Year 49 2.1.1 Innovative data policy for Germany Milestone Start of projects Start of all projects - - - Q4 2022 All projects and activities of the measure have started. Wherever relevant, selection procedures have been completed and selected projects have started. 50 2.1.1 Innovative data policy for Germany Target Development of human resources and capabilities in federal ministries - Percentage of federal ministries with data units and internal data laboratories 0 95 Q3 2026 At least 95% of federal ministries have established a Chief Data Scientist unit or equivalent and an internal data laboratory 51 2.1.1 Innovative data policy for Germany Target Budget execution – disbursement of at least EUR 464 400 000 to the supported projects - EUR million 0 464,4 Q3 2026 Of the EUR 516 000 000 allocated to the measure, at least EUR 464 400 000 have been disbursed to envisaged projects and activities. 52 2.1.2 IPCEI Microelectronics and Connectivity Milestone Content design of the planned IPCEI Completion of national call for expression of interest process to identify projects in Germany - - - Q2 2021 The expression of interest procedure has been completed. Potential projects and project participants in Germany have been identified. 53 2.1.2 IPCEI Microelectronics and Connectivity Target Launch of first projects - Number of projects 0 10 Q4 2022 Ten grant decisions have been signed. 54 2.1.2 IPCEI Microelectronics and Connectivity Target Budget execution – disbursement of at least EUR 1 275 000 000 to the supported projects - EUR million 0 1 275 Q3 2026 Of the EUR 1 500 000 000 allocated to the measure, at least EUR 1 425 000 000 have been committed (through signatures of grant decisions) and at least EUR 1 275 000 000 have been disbursed to projects. 55 2.1.3 IPCEI Next Generation Cloud Infrastructure and Services (IPCEI CIS) Milestone Launch of R&D&I projects Signature of grant decisions for R&D&I projects - - - Q4 2022 The grant decisions have been signed for all R&D&I projects covered by the IPCEI State aid decision. The selection criteria have ensured that more than 50% of these projects address energy-efficiency as one of their key priorities and comply with the European Code of Conduct on Data Centre Energy Efficiency. 56 2.1.3 IPCEI Next Generation Cloud Infrastructure and Services (IPCEI CIS) Milestone Completion of R&D&I projects and launch of large-scale piloting of use cases Publication of a report on the state of play of the projects - - - Q4 2024 A report on the state of play of the initiative has been published. 57 2.1.3 IPCEI Next Generation Cloud Infrastructure and Services (IPCEI CIS) Target First industrial deployment of solutions developed under the measure. - Number of use cases addressed in large-scale pilots which are eventually addressed in first industrial deployments 0 1 Q3 2026 At least one of the use cases addressed in the large-scale piloting phase shall have been subject to a first industrial deployment. 58 2.1.3 IPCEI Next Generation Cloud Infrastructure and Services (IPCEI CIS) Target Budget execution – disbursement of at least EUR 637 500 000 to the supported projects - EUR million 0 637,5 Q3 2026 Of the EUR 750 000 000 allocated to the measure, at least EUR 712 500 000 have been committed (through signatures of grant decisions) and at least EUR 637 500 000 have been disbursed to projects. More than 50% of the funded projects addressed energy-efficiency as one of their key priorities and complied with the European Code of Conduct on Data Centre Energy Efficiency. E. COMPONENT 2.2: Digitalisation of the Economy The objectives of the component of the German recovery and resilience plan are to support the digital transition of the German economy and the challenges resulting from it. The component addresses essential aspects such as research and innovation on digital technologies, and skills. It also aims at providing specific support to the automotive and rail sectors. The component supports addressing the Country Specific Recommendations on investment in the digital transition (Country Specific Recommendation 1 in 2019 and Country Specific Recommendation 2 in 2020). It is expected that no measure in this component does significant harm to environmental objectives within the meaning of Article 17 of Regulation (EU) 2020/852, taking into account the description of the measures and the mitigating steps set out in the recovery and resilience plan in accordance with the DNSH Technical Guidance (2021/C58/01). E.1. Description of the reforms and investments for non-repayable financial support 2.2.1 Investment: Vehicle manufacturer/supply industry investment programme The objective of the measure is to provide support to the digital and ecological transition of the automotive industry, in the context of a programme aiming at supporting future-oriented investments by the vehicle manufacturers and supply industry. The investment consists of funding projects to be selected through four calls for proposals corresponding to three modules and addressing: -module (a): oinvestments in the vehicle sector, supporting in particular future-oriented investment projects by small and medium-sized enterprises in the vehicle industry, with the aim of making production processes more energy efficient and digital; and osupport to research and development projects in the field of digitalisation of production processes and industry 4.0 in the vehicle industry.

-module (b): osupport to research and development projects in the field of automated driving, innovative powertrains and light building in vehicle technologies. -module (c): osupport to regional innovation clusters for the transformation of the vehicle industry, addressing in particular the supply industry and focusing on technology transfer between enterprises from regions particularly affected by structural change, transition to climate-neutral propulsion and digitalisation and modernisation of industry production processes. Only future investments that make a significant contribution to the digitalisation and climate objectives of the programme launched by Germany to support future-oriented investments by the vehicle manufacturers and supply industry shall be supported. Therefore, no targeted support for fossil combustion engine technologies in the vehicle sector shall be provided under the measure. The implementation of the investment shall be completed by 31 August 2026. 2.2.2 Reform: Federal programme ‘Building continuing education and training networks (CET networks)’ The objective of the measure is to support so-called ‘CET networks’, which promote the organisation of training activities, for employees of SMEs in particular. More specifically, the aim is to support the establishment or development of professional development networks, in order to enable companies, among other things, to benefit from the experience of other companies and of educational and advisory centres and institutions, and thereby to develop their own strategic staff development and training planning. These ‘skills alliances’ shall also enable participating training providers to adapt their offer. The investment consists of supporting around 40 pilot projects, selected through one of the calls for proposals organised under the federal programmes ‘Building CET networks’. The implementation of the reform shall be completed by 31 December 2024. 2.2.3 Investment: Digitalisation and Technology Research Centre of the Bundeswehr (dtec.bw) The objective of the measure is to support research and innovation activities on strategic technological areas for the future, in order to contribute to strengthen German and European digital and technological sovereignty. The investment consists of supporting research, development and innovation activities led by the Digitalisation and Technology Research Centre of the Bundeswehr (dtec.bw). The corresponding research projects shall focus on digital fields and key technologies for the future, in line with the federal government’s high-tech strategy priorities (‘Sustainability’, ‘Climate Protection and Energy’, ‘Mobility’, ‘Security’ and ‘Economics and Work 4.0’): -Space research, aerospace engineering and space communications; -Sensor technology and integrated sensor systems; -Innovative, connected mobility; -Cybersecurity, including quantum communications; -Research on risk, critical infrastructures, security and conflict; -Technologies, methods and impacts of digitalisation (e.g. additive manufacturing);

-Digitalisation of the energy and production sectors, sustainable infrastructure development; -Artificial Intelligence, robotics and intelligent physical systems; and -Skills for the digital world of work and leadership models of the future. The implementation of the investment shall be completed by 31 August 2026. 2.2.4 Investment: Promoting the digitalisation of rail by replacing conventional interlocking/fast-track programmes to speed up the roll-out of the ‘Digital Rail Germany’ (SLP) The objective of the measure is to support the digitalisation of railway in the context of the ‘Digital Rail Germany’ initiative and the ‘fast track’ programme aiming at accelerating it. This initiative gathers public and private stakeholders (including the Federal Railway Authority (EBA), research and technical organisations and industry, amongst others) in order to develop standardised, interoperable and modular components for the digitalisation of railway operations. The investment consists of funding seven pilot projects of the programme, aiming at developing solutions to replace old signal boxes and level crossing protection systems by security systems of the latest digital generation. Four of these projects shall enable established firms to certify new solutions in an operational context, while the other three shall enable additional providers to validate their solutions in laboratory tests. The new solutions developed by these projects shall be compatible with the technical specifications of the ‘Digital Rail Germany’ programme. They are also expected to be upgradeable and compatible with a subsequent ETCS (European Train Control System) upgrade by means of uniform system interfaces. The implementation of the investment shall be completed by 31 December 2021. E.2. Milestones, targets, indicators, and timetable for monitoring and implementation for non-repayable financial support Sequential Number Related Measure (Reform or Investment) Milestone / Target Name Qualitative indicators

(for milestones) Quantitative indicators

(for targets) Indicative timeline for completion Description of each milestone and target Unit of measure Baseline Goal Quarter Year 59 2.2.1 Vehicle manufacturers/suppliers investment programme Milestone Publication of all funding guidelines Publication of the funding guidelines in the Federal Gazette (Bundesanzeiger) - - - Q1 2021 All the funding guidelines for the four types of support measures under the programme have been published in the Federal Gazette (Bundesanzeiger) and have become legally binding. 60 2.2.1 Vehicle manufacturers/suppliers investment programme Target Approval of projects - Number of projects approved 0 401 Q1 2023 At least 401 funding projects (for the three modules) have been approved and have received a support decision for implementation. 61 2.2.1 Vehicle manufacturers/suppliers investment programme Target Successful completion of projects - Number of projects successfully completed 0 531 Q3 2026 At least 531 funding projects approved between 2021 and 2026 have been successfully completed. 62 2.2.2 Federal programme ‘Building further CET networks’ Milestone Publication of the funding guidelines Publication of the funding guidelines in the Federal Gazette (Bundesanzeiger) - - - Q2 2020 The funding guidelines have been published in the Federal Gazette (Bundesanzeiger) and have become legally binding. 63 2.2.2 Federal programme ‘Building further CET networks’ Target Active participation of additional enterprises in CET networks - Number of additional enterprises participating in CET networks 0 200 Q4 2022 At least 200 additional enterprises participate in CET networks. These companies participate in the collection of training needs, the design of new training measures or modules and the use of proposed training measures or modules together with other companies (use of information and participation in events only shall not be considered as active participation). Only companies that have not already been designated as cooperation partners at the start of the respective skills alliance shall be taken into account for this target. 64 2.2.2 Federal Programme ‘Building further CET networks’ Target Revision or redesign of training measures or sub-modules as a result of the work of the CET networks - Number of revised or redesigned training measures 0 60 Q4 2024 At least 60 training measures or sub-modules have been redesigned or revised, taking into account digital skills, which have been initiated or encouraged by CET networks or which take into account the results of the needs assessments carried out by the coordinating bodies of CET networks. 65 2.2.3 Digitalisation and Technology Research Centre of the Bundeswehr Target Launch of research projects - Number of projects 0 68 Q1 2021 At least 68 funding grants have been signed and the corresponding 68 projects have received funding and may start their research activity. 66 2.2.3 Digitalisation and Technology Research Centre of the Bundeswehr Milestone Report on research and transfer outputs Publication of a report to Federal Ministry of Defence confirming successful progress of projects - - - Q4 2023 A report to the Federal Ministry of Defence has been published, confirming the progress of the funded projects in terms of research outputs, cooperation, knowledge transfer and technology transfer with at least (overall): -200 publications; -70 collaborations initiated with other research institutes; -30 collaborations initiated with industrial companies and startups; -15 collaborations initiated with agencies of the Federal Armed Forces and the public administration; -10 prototypes of mature technologies; and -10 patent applications. Additionally, an external evaluation of the measure by the German Science Council has also been published. 67 2.2.3 Digitalisation and Technology Research Centre of the Bundeswehr Target Continuation of projects - Number of projects assessed as progressing satisfactorily 0 40 Q2 2024 On the basis of an interim evaluation, at least 40 projects are considered as progressing satisfactorily and may continue their activities. 68 2.2.3 Digitalisation and Technology Research Centre of the Bundeswehr Target Budget execution – disbursement of EUR 700 000 000 to the supported - Funds paid to projects 0 700 Q3 2026 At least EUR 700 000 000 has been disbursed to projects supported through the measure. 69 2.2.3 Digitalisation and Technology Research Centre of the Bundeswehr Milestone Report on research and transfer outputs Publication of a report to Federal Ministry of Defence confirming successful progress of projects - - - Q3 2026 A report to the Federal Ministry of Defence has been published, confirming the overall success of the funded projects in terms of research outputs, cooperation, knowledge transfer and technology transfer with at least (overall): -400 publications; -60 doctorates completed; -100 collaborations initiated with other research institutes; -70 collaborations initiated with industrial companies and startups; -30 collaborations initiated with agencies of the Federal Armed Forces and the public administration; -20 prototypes of mature technologies; -20 patent applications; and -10 start-up projects. 70 2.2.4 Promoting the digitalisation of railways by replacing conventional interlocking/fast-track programmes to speed up the roll-out of ‘Digital Rail Germany’ Milestone Signature of the financing agreement for the ‘fast track’ programme between the Federal Government and Deutsche Bahn AG Signed financing agreement between the Federal Government and Deutsche Bahn AG - - - Q4 2020 The financing agreement between the Federal Government and Deutsche Bahn AG has been signed. 71 2.2.4 Promoting the digitalisation of railways by replacing conventional interlocking/fast-track programmes to speed up the roll-out of ‘Digital Rail Germany’ Milestone Interim report on implementation Interim report submitted by DB Netz AG to the Federal Ministry for Transport and Infrastructures (BMVI) and the Federal Railway Authority (EBA) on the implementation of the programme. - - - Q2 2021 DB Netz AG has submitted a report to the Federal Ministry for Transport and Infrastructures (BMVI) and the Federal Railway Authority (EBA) on the implementation of the programme. 72 2.2.4 Promoting the digitalisation of railways by replacing conventional interlocking/fast-track programmes to speed up the roll-out of ‘Digital Rail Germany’ Target Successful completion of pilot projects - Number of pilot projects completed 0 7 Q4 2021 Seven pilot projects of the programme, aiming at developing solutions to replace old signal boxes and level crossing protection systems by security systems of the latest digital generation have been completed successfully, with validation in operational conditions for at least four of them, and validation in laboratory cond