ARCHIVES HISTORIQUES 
DE LA COMMISSION 
 
 
 
COLLECTION RELIEE DES 
DOCUMENTS "COM" 
 
 
 
 
COM (83) 135 
 
 
 
Vol. 1983/0 040 
  
 
Disclaimer  
Conformém ent au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983 
concernant l'ouverture au public des archives historiques de la Communauté économique 
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983, 
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003 
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents 
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit 
règlem ent. 
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983 
concerning the openi ng to the public of the historical archives of the European Econom ic 
Community and the European Atomic Energy Communit y (OJ L 43, 15.2.1983, p. 1), as 
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243, 
27.9.2003, p. 1), this f ile is open to the public. Where necessary, classified documents in this 
file have been declassified in conformity with Article 5 of the aforementioned regulation.  
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom  1. 
Februar 198 3 über die Freigabe der historischen Archive der Europäischen  
Wirtschaftsgemeinschaft und der Europäischen Atomgem einschaft (ABI. L 43 vom  15.2.1983,  
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. Septem ber 2003  
(ABI. L 243 vom 27 .9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit  
erforderlich, wurden die Verschlusssachen in dieser Datei in Übereinstimmung mit Artikel 5  
der genannten Verordnung freigegeben.  
COMMISSION  OF THE  EUROPEAN  COMMUNITIES 
COM(83)  135  final 
Brussels,  21  March  1983 
COMMUNICATION FROM  THE  COMMISSIONI  TO THE  COUNCIL 
ON THE  GRANTING  OF  FINANCIAL SUPPORT  FOR  "PILOT" AND/OR "DEMONSTRATION" 
PROJECTS  IN THE  IRON  AND  STEEL INDUSTRY PURSUANT  TO ARTICLE  55 OF 
THE TREATY ESTABLISHING  THE  EUROPEAN COAL  AND  STEEL COMMUNITY 
COM(83)  135  final 

Annex ««(> 
COMMUNICATION 
ON THE GRANTING  OF FINANCIAL  SUPPORT 
FOR "PILOT"  AND/011  "DEMONSTRATION"  PROJECTS  IN THE IRON  ANS> STEEL  INDUSTRY 
PURSUANT  TO ARTICLE  55 OF THE TREATY  ESTABLISHING  THE 
EUROPEAN  COAL AND STEEL  COMMUNITY 
Article  55 of the Treaty establishing the European  Coal and Steel Community 
states  that the Commission of the European Communities shall promote tech­
nical and economic research relating to the production and increased use of 
steel and to  that  end shall organize all appropriate contacts. 
The research programme financed up to now by the Community has proved an 
excellent way of encouraging and performing research on problems of common 
interest . 
In addition to the research activities in accordance  with the medium-term 
guidelines for aid to steel research  (1981-85) (*),  there is a growing 
parallel need to establish the feasibility of innovative technologies 
through  pilot  and/or demonstration projects up to the operational stage. 
This transfer of laboratory-based research to  pilot  and/or demonstration 
projects is an essential element in the Community's overall strategy for 
industrial development. 
This need is particularly acute in the iron and steel industry because the 
potential to innovate has been seriously weakened by a deteriorating 
financial situation. Numerous valuable new processes and technologies have, 
over the years, been developed in the European steel industry but have re­
mained unexploited. This has been due, in large measure, to the high cost 
of industrial development, heavy capital investment, lack of appropriate 
funding and technical risk. 
It is the Commission's view  that  support should 
be provided for  pilot  and/or demonstration projects, the results of which 
will help to improve the competitiveness of the Community steel industry. 
The Commission may grant, under the conditions set out in this communica­
tion, financial support for  pilot  and demonstration projects in the iron 
and steel industry  that  will permit  the transition to industrial and 
commercial exploitation of production techniques, processes and plant and 
products  that  are innovatory in themselves or in their applications and for 
which major capital expenditure is required to establish technical and/or 
commercial feasibility. The projects must offer prospects of economic 
viability demonstrated by previous studies and research. 
1. The pilot  stage is characterized by the construction, operation and 
development of an installation having an adequate capacity and using 
suitably lerge components  with a view to verifying the practicability 
of theoretical or laboratory concepts and/or increasing the reliability 
of the technical and economic data needed to progress to the demons­
tration  stage, and in certain  cases  to the industrial and/or commercial 
stage. 
(*) OJ C99,  2 May 1981,  p. 3 - 5 

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The demonstration stage is characterized by the construction and/or 
operation of an industrial-scale installation which should make it 
possible  to bring together all the technical and economic data, in 
order to proceed at the least possible risk to the commercial and/or 
industrial exploitation of the technology. 
2. To carry out this programme, the  Commission  plans to allocate a  total 
amount of approximately 50 million  ECU for a probable period of five 
years;  the funds to be made available annually will depend on budget 
constraints. 
3. Any firm, research institute or other body having an activity related 
to iron and  steel,  established in the  territory  of the Member States, 
may submit applications for financial aid to the Commission. 
Applications  are to be sent in on the attached form to the following 
address: 
COMMISSION  OF THE EUROPEAN  COMMUNITIES 
Directorate-General  for Science,  Research  and Development Iron and Steel Pilot/Demonstration Projects 
Rue de la Loi 200 
B-1049  BRUSSELS 
Under  the Treaty establishing the European  Coal and Steel Community, 
projects must be of value to the European Community and in general 
preference  will be given to projects submitted by at least two partners 
in two different member countries. One of the partners must be a steel 
company. 
Applications  for aid must be submitted before 1 February of each year 
for the current financial year. As an exception, projects for the 1983 
financial  year may be submitted up to 1 July 1983. 
4. All projects must relate to the implementation of new techniques or 
technologies  with  the following objective(s): reduction in production 
and operating costs, improvement in plant productivity, higher product 
quality, reduction in the capital cost of plant, development of new 
processes  or production facilities, improvement of product performance 
or increase in the range of product applications. 
They must also satisfy the following conditions: 
. they must relate to pilot industrial installations or demonstration 
insta I lati ons, 
. they must exploit techniques or processes which are innovatory in 
themselves  or in their application, 
. they must hold out reasonable prospects of technical and economic 
reliability, judging from earlier research results, 
. they must be of value to the Community. 
The projects may in particular relate to the following fields: 
. Sintering and pelletizing 
. Use of coke and its products in the steel industry . Blast furnace and direct reduction . Oxygen and electric steelmaking 

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. Casting and solidification 
. Working of steel (furnaces, hot and cold rolling) 
. Treatment of semi-finished and finished products and by-products 
. use and promotion of  steel. 
5. Every project  will  be examined by the Commission on the basis of the 
following information, to be provided by the applicants: 
. A detailed description of the  work  and of previous research, 
. A detailed description of the project, including its subdivision 
into technical phases  (*), the organization of its administration 
and its  time  scale, 
. The application prospects of these technologies or processes and 
the technical and/or economic benefits obtainable, 
. The financial situation and technical capability of the partners in 
the project, 
. The nature and extent of the technical and economic risks inherent in 
the project, 
. The cost of the project, the cost breakdown by technical  phases,  its 
prospects of economic viability and detaiLs of any financial aid which 
the project has received, at an earlier stage of research and develop­
ment, from  the Community, the Member States or any other organization, 
. Details of any other financial support by, or expected from, the 
Member  States, the Community or any other organization, 
. Any other information which may  justify  the Community support re­
quested. 
6. After receipt of the applications, the Commission of the European 
Communities  will consult a committee of highly qualified experts which 
will advise it on the eligibility of the projects submitted. The 
Committee  will be chaired by a Commission representative. 
The project  will  be selected on the basis of the following main 
considerations: 
. They must be in keeping  with the technical aims of the programme of 
pilot and demonstration projects in the steel industry as set out in 
the first  paragraph of section  4 above. 
. They must be of value to the Community. 
. They must be in line  with  the General Objectives published 
periodically by the Commission pursuant to Article  46 of the  ECSC 
Treaty. 
. They must meet the technical, commercial and social requirements and 
interests of the iron and steel industry in the Community. 
. They must be of strategic importance in connection  with the main­
tenance and improvement of Community technical cooperation. 
. They must hold out prospects of industrial and commercial viability 
in the medium term. 
(*) A technical phase is a stage in the project  that  is of technical 
value in itself and provides data enabling the scientific, technical 
and/or economic justification of the following stage to be  assessed 
and a decision taken on whether or not to continue the project. 

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7. The Committee  referred  to in  section  6 will assist  the Commission  with 
project management  and may consult  specialized  committees. 
8. Community  financial  support may not normally exceed  50% of the  total cost 
of the project.  The amount  will be decided  individually  for each  project 
in the light of its  characteristics  (section  5), selection  criteria 
(section  6), value to the  Community,  other aid received or expected and 
the amount  of risk accepted by the proposers of the  project. 
The support  will take the form of  financial  aid, of which a  maximum  of 
50% is repayable in the event of commercial  exploitation  of the  results. 
The repayment  conditions  wiLL be  laid down in the  contract. 
9. The Commission  will negotiate and conclude the contracts necessary for 
the implementation of the  selected  projects.  To that end it  will draw 
up a model contract  setting  forth the rights  and obligations  of each 
party. 
The contracts may  possibly  be concluded on the bases of  technical 
phases, each depending on the resuLts obtained in the preceding phase. 
In that case, the  Commission  will, in the  light of annual  budget 
possibilities,  first set aside the funds  needed  to continue the  work. 

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Place: Date: 
Project n°: 
Commission of the  European Communities 
Directorate-General  for Science, Research 
and Development 
200 rue de la Loi 
B-1049 Brussels 
PROPOSAL FOR  "PILOT" AND/OR "DEMONSTRATION" PROJECT IN THE IRON AND  STEEL SECTOR 
RESERVED FOR THE COMMISSION 
Applicant(s): 
Budget : 
Duration : 
1. INFORMATION REGARDING THE PROPOSER 
1.1. Exact name and  address or registered  office of the physical or legal 
person with  whom a contract, if any,  will be concluded.  In the case of 
an individual,  please attach documentary evidence  of the legal 
personality  of the proposer: 
1.2. Name of the person or persons authorized  to sign the contract and 
evidence of his or their authority: 
1.3. Name, adress, telephone  and telex numbers of the  project director: 

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1.4. Main activities  and prior contribution  in similar or related technical  fields: 
1.5. Balance sheet for the  past financial year  or indications  of the amount of 
capital, the turnover and the  financial out-turn  of the  undertaking  for 
the previous financial year: 
2. TECHNICAL  ECONOMIC  INFORMATION REGARDING THE  PROPOSED  PROJECT 
2.1. Title of the project: 
2.2. Detailed description  of the project, including  the organization  of its 
management and the  timetable  for each phase (attach a PERT diagram or 
timetable). 
2.3. Type and extent of the  technical  and economic  risks associated with  the project 
2.4. Technical  and economical  value of the project for the  steel industry: 
2.5. Names and addresses  of any subcontractors  and the  parts of the projects which 
they would carry out: 
2.6. List of patents protecting  the items demonstrated: 
2.7. Place(s) where the work  will be carried out: 
(*) For the  points 2.2 to 2.6., detailed descriptions  may be attached as 
separate documents. 

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3. FINANCIAL  INFORMATION 
3.1. Economie  and commercial  viability  and proposed  methods of financing: 
3.2. Total cost  of the project in national currency  and a breakdown  of costs 
for each phase, for  subsidiary operations  and by categories  of expenditure 
(see attached  table): 
3.3. List of durable equipment which it  is intended  to obtain and use  (in 
Annex): 
3.4. State the amount of Community  aid applied for and list other financial 
support provided  for or applied for from  the Member  States,  from the 
Community  or from any other organisation: 
3.5. List the financial  aids, if any, which  will have been assigned  to the  project 
by the Member  States, by the Community  or by any  other organisation  at the 
research and development  stage: 
4. ACCESS TO THE RESULTS 
4.1. Type of knowledge which  could be divulged: 
4.2. Information  method envisaged  (publication,  site installation  visits, 
training,  etc.): 
5. OTHER INFORMATION 
All other elements  supporting  the application  for Community  aid: 

TABLE 
DETAILED COSTS OF THE PROJECT 
- national  currency  ... -
Stages 
and 
operations 
no. STAFF EXTERNAL SUPPLIES 
Other 
Expenditures 
(*) Total per 
stage and 
operation Stages 
and 
operations 
no. Engineers Technicians 
and similar Others Studies Services Equipment Other 
Expenditures 
(*) Total per 
stage and 
operation 
• • 
TOTAL 
(*) Specify the type of expenditure