2023/0011 (NLE)

Proposal for a

COUNCIL IMPLEMENTING DECISION

amending Council Implementing Decision (ST 10158/21; ST 10158/21 ADD 1) on the approval of the assessment of the recovery and resilience plan for Germany

THE COUNCIL OF THE EUROPEAN UNION,

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

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 21(2) thereof,

Having regard to the proposal from the European Commission,

Whereas:

(1)Following the submission of the national recovery and resilience plan ('RRP') by Germany on 28 April 2021, the Commission has proposed its positive assessment to the Council. The Council has approved the positive assessment by means of the Council Implementing Decision of 13 July 2021.

(2)Pursuant to Article 11(2) of Regulation (EU) 2021/241, the maximum financial contribution for non-repayable financial support of each Member State should be updated by 30 June 2022 in accordance with the methodology provided therein. On 30 June 2022, the Commission presented the results of that update to the European Parliament and the Council.

(3)On 9 December 2022, Germany made a reasoned request to the Commission to amend the Council Implementing Decision in accordance with Article 21(1) of Regulation (EU) 2021/241 considering the RRP to be partially no longer achievable due to objective circumstances. On this basis, Germany has submitted an amended RRP.

(4)The amended RRP submitted by Germany affects two measures. First, investment 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’ (SLP) under Component 2.2 Digitalisation of the Economy and target with sequential number 72. Second, investment 5.1.3 Special programme to accelerate research and development of urgently needed vaccines against SARS-CoV-2 under Component 5.1 Strengthening of a Pandemic-resilient healthcare system and targets with sequential numbers 105 and 106.

(5)Investment 2.2.4 consists of funding seven pilot projects, aiming at developing solutions to replace old railway signal boxes and level crossing protection systems by security systems of the latest digital generation. The amended RRP submitted by Germany changes the envisaged implementation timeline for one of the seven projects, SLP Ansbach, because of objective circumstances. Germany has explained that exceptional delays which occurred during the construction have made the target with sequential number 72 no longer fully achievable in the envisaged timeline. Such delays relate to the finding of hidden contaminations in the ground, followed by the finding of bombs and ammunition resulting in the need to change construction technology, and finally the extremely high summer temperatures in 2022, which hindered works close to and beneath the tracks. On this basis, Germany has requested to remove the SLP Ansbach project from the target with the sequential number 72 expected to be completed in the fourth quarter of 2021 and put forward a new target 72A, expected to be completed by the first quarter of 2023, for implementing that project.

(6)The objectives of investment 5.1.3 are to support the research and development of vaccines against SARS-CoV-2 in order to reduce the severity and duration of the pandemic. The investment consists of financial support to German vaccine producers to increase their development and production capacity, and to increase patient numbers for clinical trial phases. The amended RRP submitted by Germany modifies the targets related to the implementation of the measure because of objective circumstances. Germany has clarified that one out of three vaccine producers participating under the special support programme had been successful in both research and roll-out of the vaccine, whereas the two other participants did not submit an application for approval of their respective vaccine to the European Medicines Agency. This made target with sequential number 105 no longer achievable totally. Moreover, Germany has explained that while three companies had received funding under the programme, one vaccine producer withdrew from the approval process to the European Medicines Agency and another incurred important delays in the achievement of prior defined milestones linked to the stages of vaccine development (such as the approval of a specific clinical trials phase or the authorisation of the vaccine) and did not file for approval either. Germany also stated that the programme’s disbursement of more than EUR 591 281 160 is not achievable, making target with sequential number 106 no longer fully achievable. On this basis, Germany has requested to delete the target with sequential number 105, which required a second participant under the special research programme to submit an application for approval of a vaccine against SARS-CoV-2 to the European Medicines Agency. Germany has also requested to modify the target with sequential number 106 by revising downwards the total amount allocated to the measure from EUR 750 000 000 to EUR 591 000 000, and also revising down the related disbursement target. This amount of EUR 591 000 000 is taken into account as the overall estimated cost of the measure. The reduced total estimated cost of the RRP should be taken into account to determine the financial contribution, in accordance with Article 20(4) of Regulation (EU) 2021/241.

(7)The Commission considers that the reasons put forward by Germany justify an amendment pursuant to Article 21(2) of Regulation (EU) 2021/241. Pursuant to Article 19 of Regulation (EU) 2021/241, the Commission has assessed the relevance, effectiveness, efficiency and coherence of the amended RRP, in accordance with the assessment guidelines set out in Annex V to that Regulation.

(8)The very limited modification put forward by Germany does not affect the relevance, effectiveness, efficiency and coherence of the RRP.