Source: EURLEX
Language: en
Format: md

###### **COMMISSION OF THE EUROPEAN COMMUNITIES**

**COM(90)** **154** **final** **- SYN 259**

**Brussels, 23 May** **199.0**

**Proposal for a**

**COUNCIL DECISION**

**concerning a specific programme of research and technological development**

**in the field of Communication Technologies**

**(1990-1994)**

**(presented by the Commission)**

**- 2 -**

CONTENTS

```
Proposal for a Council decision adopting a

specific research and development programme in the

field of communication technologies (1990-94)

```

ANNEX I

PfrKe

Scientific and Technical Objectives and Content 10

ANNEX II

Indicative Breakdown of Expenditures 17

ANNEX III

Rules for implementing the programme and activities

for dissemination and exploitation of the results 18

**- 3 -**

Proposal for a

C O U N C I L D E C I S I O N

adopting a specific research and development programme in the field of communication

technologies (1990-94)

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

Having regard to the Treaty establishing the European Economic Community, and in

particular Article 130q (2) thereof,

Having regard to the proposal from the Commission/ [1] )

In cooperation with the European Parliament/ [2] )

Having regard to the opinion of the Economic and Social Committee/ [8] )

Whereas by its Decision 90/221 /Euratom, EEC< [4] ), the Council adopted a third framework

programme for Community activities in the field of research and technological

development (1990-94), specifying inter alia the activities to be pursued in the field of

communication technologies; whereas this Decision should be taken in the light of the

grounds set out in the preamble to that Decision;

**(1)** **OJ** **No c**

**(2)** **OJ** **No c**

**(S)** **OJ No C**
**(4)** **OJ No** **L** **117,** **8.5.1990,** **p.28**

**- 4 -**

Whereas Article 130k of the Treaty stipulates that the framework programme is to be

implemented through specific programmes developed within each activity;

Whereas an estimate should be made of the amount of Community financial resources

needed to carry out this specific programme; whereas the definitive amounts will be

fixed by the budgetary authority in line with the financial perspectives covering the

period 1988 - 1992 included in the Interinstitutional Agreement of 29 June 1988( [5] ) and

with any future financial perspectives covering the period 1993 - 1994;

Whereas, pursuant to Article 4 and Annex I of Decision 90/221/Euratom, EEC, the

amount deemed necessary for the whole framework programme includes an amount of 57

million ecus for the centralized dissemination and exploitation of results, to be divided

up in proportion to the amount envisaged for each activity; whereas in view of the

importance of this specific programme within the information technology and

communications activities the estimate of the financial resources needed by this

programme is to be reduced by 4.89 million ecus, which amount is to be allocated to the

centralized activities, in order to comply with the second sentence of Article 130p (2) of

the Treaty;

Whereas this programme must be implemented by the Commission; whereas to help

accomplish this, the Member States are bound, pursuant to Article 5 of the Treaty, to

facilitate the achievement of its tasks where necessary, notably within a committee;

Whereas this programme must be implemented essentially by the selection of research

and development projects to enable them to benefit from Community participation;

whereas the Commission should encourage the submission of such projects by the usual

means of publishing calls for proposals in the Official Journal; whereas a special

procedure should also be devised so as to maintain a degree of flexibility enabling the

Commission, in the face of the continuous evolution and gradua Commis:

technological progress, also to take into consideration spontaneous proposals consistent

with the objectives of the programme;

**(5)** **OJ No L 185, 15.7.1988, p.SS.**

                    - 5 

Whereas the projects to be carried out under the programme must be selected with

special attention to the principle of economic and social cohesion in the Community, the

transnational nature of the projects and the support to be given to small and medium

sized enterprises;

Whereas it is only in the light of experience gathered in the course of this programme

that the Commission will be able to propose and the Council to adopt supplementary

programmes by having recourse to the means provided for in Articles 1301, 130m or

130o of the Treaty, if they contribute to the achievement of the programme's objectives,

in accordance with the option made available by Article 2(2) of Decision

90/221/Euratom, EEC;

Whereas, in accordance with Article 130g of the Treaty, the Community's activities

aimed at strengthening the scientific and technological basis of European industry and

encouraging it to become more competitive include promoting cooperation on research

and technological development with third countries and international organizations;

whereas such cooperation may prove particularly beneficial for the development of this

programme;

Whereas priorities include integrated broadband communication system functions,

intelligence in networks, mobile and personal communication, image and data

communications, integrated services technologies, advanced communications experiments,

information security technologies and test infrastructures; whereas the work includes

R&D on systems engineering, advanced communications technology and validation of

standards and common functional specifications;

Whereas the Scientific and Technical Research Committee (CREST) has been consulted,

**HAS ADOPTED THIS DECISION:**

**- 6 -**

**Article 1**

**A specific research and technological development programme for the European**

**Economic Community in the field of communication technologies, as defined in Annex**

**I, is hereby adopted for a period of five years as from 1 January 1990.**

**Article 2**

**1.** **The Community funds estimated as necessary for the execution of the programme**

**under this Decision amount to 489 million ecus. Of this amount 4.89 million ecus is**

**drawn for the centralized dissemination and exploitation of results.** **The amount**

**thus reduced to** **484.11** **million ecus includes staff costs which may not exceed 4%.**

**An indicative breakdown of expenditure is set out in Annex II.**

**2.** **Should the Council take a decision in implementation of Article 1(4) of Decision**

**90/221/Euratom,** **EEC, this Decision shall be adapted to take account of the above-**

**mentioned decision.**

**3.** **The budgetary authority shall decide on the appropriations available for each**

**financial year.**

**Article 3**

**Rules for the implementation of the programme are set out in Annex III.**

**Article** **4**

**The rate of the Community financial contribution shall be laid down in accordance with**

**Annex IV to Decision** **90/221/Euratom,** **EEC.**

**Article** **5**

**During 1992 the Commission shall review the programme and address a report on**

**the results of the review to the Council and the European Parliament, together with**

**proposals for any necessary changes.**

**- 7 -**

2. At the end of the programme the Commission shall assess the results obtained. It

shall address a report thereon to the Council and the European Parliament.

3. The reports shall be drawn up having regard to the objectives set out in Annex I to

this Decision and in accordance with Article 2(4) of Decision

90/221/Euratom, EEC.

**Article 0**

1. The Commission shall be responsible for the execution of the programme. It shall

be assisted by a committee, hereinafter referred to as "the Committee", composed of

representatives of the Member States and chaired by a representative of the

Commission.

2. The contracts concluded by the Commission shall govern the rights and obligations

of each party, including the procedures for disseminating, protecting and exploiting

the research results, in accordance with the arrangements adopted pursuant to the

second paragraph of Article 130k of the Treaty.

3. A work programme for each year shall be drawn up and updated where necessary.

It shall set out the detailed objectives and types of projects to be undertaken, and

the financial arrangements to be made for them. The Commission shall make calls

for proposals for projects on the basis of the annual work programmes.

Article 7

1. In the cases envisaged in Article 8(1), the Commission representative shall submit to

the Committee a draft of the measures to be taken. The Committee shall deliver its

opinion on the draft within a time limit which the chairman may set according to

the urgency of the matter. The opinion shall be delivered by qualified majority as

provided for in Article 148(2) of the Treaty in the case of decisions which the

Council is required to adopt on a proposal from the Commission. The votes of the

Member States* representatives within the Committee shall be weighted in the

manner set out in that Article. The chairman shall not vote.

2. The Commission shall adopt the measures envisaged where they are in accordance

with the Committee's opinion.

3. If the measures envisaged are not in accordance with the Committee's opinion, or if

no opinion is delivered, the Commission shall forthwith submit to the Council a

8 

proposal relating to the measures to be taken. The Council shall act by a qualified

majority.

4. If the Council has not acted within one month of submission of the proposal, the

proposed measures shall be adopted by the Commission.

**Article 3**

1. The procedure laid down in Article 7 shall apply to:

   - the preparation and updating of the work programmes referred to in Article 6(3);

   - evaluation of the projects referred to in point 2 of Annex III, as well as the

estimated amount of the Community's financial contribution when these projects

are submitted through the ordinary procedure referred to in point 4 of Annex III

and the abovementioned amount is more than 5 million ecus;

   - evaluation of all projects submitted through the exceptional procedure referred to

in point 4 of Annex III, as well as the estimated amount of the Community's

financial contribution;

   - measures for evaluating the programme.

2. The Commission may consult the Committee on any matter falling within the scope

of the programme.

3. The Commission shall inform the Committee with regard to;

   - the progress of the programme;

   - planned calls for proposals, referred to in Article 6 (3);

   - projects, referred to in point 2 of Annex III, submitted through the ordinary

procedure, for which the Community contribution is less than 5 million ecus, and

the results of their evaluation;

   - accompanying measures, referred to in point 2 of Annex III;;

   - concerted actions, referred to in point 2 of Annex III.

                    - 9 

Article 9

In implementing this programme, supplementary programmes within the meaning of

Article 1301, participation within the meaning of Article 130m and joint undertakings or

any other structures within the meaning of Article 130o of the Treaty may also be

decided on as the need arises.

Article 10

Where cooperation with third countries and international organisations aiming at

achieving the objectives of this programme requires legal undertakings between the

Community and the third parties concerned, the Commission shall be authorized to

negotiate, in accordance with Article 130n of the Treaty, international agreements laying

down the terms of such cooperation.

Decisions on the conclusion of such agreements shall be adopted in accordance with the

procedure referred to in Article 130q (2) of the Treaty.

Article 11

This Decision is addressed to the Member States.

```
Done at Brussels,

```

For the Council,

The President

**- 10 -**

Scientific and Technical Objectives and Content

Annex I

This specific programme forms an integral part of the approach embodied in the third
Framework Programme in terms of the scientific and technical objectives and the
underlying aims which it pursues.

Paragraph I.l.B of Annex II of the Framework Programme forms an integral part of this
specific programme.

The following presents an analytical description of the content of the programme based
on and taking account of the above elements.

The content focuses on eight priority areas including the provision of verification
techniques and facilities. It will concentrate on areas of work which require the
collaboration of two or more telecommunications sector organisations in the common
interest of the Community. The priority areas are:

AREA 1 IBC (Integrated Broadband Communications) R&D

AREA 2 Intelligence in networks/flexible communications resource management

AREA 3 Mobile and personal communications

AREA 4 Image and data communications

AREA 5 Integrated services technologies

AREA 6 Information security technologies

AREA 7 Advanced communications experiments

AREA 8 Test infrastructures and interworking (horizontal R&D area supporting
the other priority areas).

The specific programme will cover these priority areas, distinguishing three main types
of work, namely: development of implementation strategies for IBC systems, services and
applications; advanced communication technologies; and validation of standards and
common functional specifications for IBC. It will involve the use of experimental
equipment and services to address generic applications.

AREA 1: IBC (Integrated Broadband Communications) R&D

Integrated Broadband Communications technology forms the backbone for advanced
services and largely determines their costs. Key technologies, systems, services and
applications are being addressed under this IBC R&D heading using a systems approach.
This area focuses on the following subjects:

                   - 11 

_IBC Systems Design, Architecture and Operation_
This work, based on a set of "open" standards allowing universal access to integrated
services, will enable Integrated Broadband Communications to accommodate emerging
new services. In order for the various organisations concerned to define their
requirements clearly, reference models and common functional specifications will be
systematically developed. Special emphasis will be given to examining the combination
and interaction of different technical options, evaluating the demand for basic and
enhanced services and addressing the impact of regulations.

_IBC Implementation and Transition Strategies_
These will cover the system engineering required for the implementation of IBC services,
including the transition from current services. The results will improve techniques for
the efficient interoperability of public and private networks and new services. This
work is essential for user acceptance and the cost-effective use of communications

resources.

Research under this heading will include further development of common functional
specifications and reference configurations, with close attention to recent developments.
Particular attention will be given to the increased role of optical communications (taking
into account the growing interest in "fibre-to-the-home"), the emergence of
synchronous/asynchronous transport switching techniques, the optimised integration of
radio and mobile communication sub-systems (especially in rural areas) and the
development of intelligence in the networks. Further work will also be carried out on a
layered approach to communications management and on new value-added services
adapted to evolving needs. Specific tasks to be addressed will cover image
communication and its integration in services; and the interworking between private
networks, local and metropolitan area networks, to enhance connectivity and service
adaptability.

_Common Operational Environment_
This work will support standardisation efforts, particularly those of the European
Telecommunications Standards Institute (ETSI). It will include the dissemination of
results and the acquisition of other relevant information. Liaison will be assured with
other bodies responsible for advanced communication projects outside the programme.
Common analytical tools will be developed and used for the techno-economic assessment
of implementation and transition strategies.

_Techniques for Basic IBC System Functions_
This work will cover switching systems, integrated optical systems and networks, IBC
customer systems and IBC software infrastructures.

Switching Systems: The technology base of asynchronous transfer mode (ATM) will be
broadened and interworking techniques between ATM networks and pre-existing
networks will be developed. The work will enable ATM switching technology to support
connectionless services and the interconnection of local area networks (LANs) and
metropolitan area networks (MANs).

Integrated Optical Systems and Networks: The work will provide the basis for low-cost
broadband access networks and contribute to the introduction and evolution of integrated
optical networks and photonic switching.

IBC Customer Systems: The work in this domain will provide the technologies needed
for IBC terminals and Customer Premises Networks (CPNs). It will involve investigation
of multi-service interfacing and research on the impact of ATM on terminals. In the
CPN area, emphasis will be put on the impact of data processing requirements on
business CPNs, communication protocols and on short- to medium-term low-cost
domestic CPNs.

**- 12 -**

IBC Software Infrastructure: The research will support the cost-effective development
of highly reliable telecommunications software and its full life-cycle support. It will
involve research into software quality assurance and the application of advanced
information processing to telecommunication software development. It will also cover
investigations of knowledge based systems for life-cycle support.

_Integration of IBC Demonstrators_
The integration and interoperability of "technology demonstrators" will be presented,
with user involvement, to business and residential subscribers in both urban and rural
areas. The research will validate the application feasibility of new technology, support
standardisation and provide the basis for the evaluation of the economic performance of
systems and services. It will cover the integration of access, transport and switching
functions as well as control, management and signalling functions. Demonstrators of IBC
terminals, as well as terminals developed elsewhere, will be connected in order to
illustrate the large variety of services and applications that can be efficiently supported.

_Verification Tools_
Work in this area will involve the development of the necessary tools to verify functional
specifications and interoperability, and to ensure that verification is possible in the IBC
systems and design concepts. The tools will consist of formalized procedures and
facilities for physical verification. The work will increase confidence in the emerging
IBC demonstrator options and reduce the risks of investment in IBC development and
implementation for industry, operators, service providers and users.

_AREA_ _2:_ Intelligence in Networks/Flexible Communications Resource Management

This research will be related to the development and demonstration of techniques needed
for the introduction of "programmable networks". It will include the development of
techniques for enhancing intelligence and flexibility, both in the provision of network
services and in network management and operations; in the latter case, the work will
cover aspects of Operations Support Systems (OSS) and Telecommunications Management
Networks (TMN).

_AREA_ _3:_ Mobile and Personal Communications

Research in this area will contribute to the development of third generation integrated
mobile communication systems, aiming at universal mobile communications, mobile
broadband services and universal personal communications covering audio, data and
image. For cost-efficient implementation third generation systems will require a
common air-interface exploiting the microwave frequency ranges of 2 GHz; mobile
broadband services will require exploitation of the 60 GHz range. The work will focus
on the development of advanced functionality for the enhanced and integrated use of
IBC and radio networks (e.g. interconnection standards and mobility management) and
the miniaturisation of terminal technology, with particular emphasis on low power
consumption. Close attention will be given to the needs of different kinds of users.

_AREA_ _4:_ Image and Data Communications

The research will involve the development of the technologies needed for the successful
introduction and exploitation of advanced, low-cost and flexible image and data
communication services, for both domestic and business needs. It will build on the
foundations established by RACE, addressing in particular the impact of new transfer
modes (such as ATM) on high-resolution visual services and fast packet data
transmission at Megabit rates. It will include coding and presentation techniques for
still, moving and three-dimensional images, notably in HDTV. It will cover the
interworking between an IBC system and other interactive and distributive networks with
which it will co-exist.

**- 13 -**

_AREA_ _5:_ Integrated Services Technologies

The demand for different services will develop according to user preferences and
requirements. The communications system must therefore be able to evolve with demand
and respond dynamically to the specific service features users want. The associated
techniques are addressed under this area, which focuses on the subjects indicated below.

_IBC Service Infrastructure_ _Engineering/Modular_ _Standardisation_
This work will contribute to the harmonisation of architectures and specifications for the
flexible integration of telematic services under user control. Due account will be taken
of the trans-national scale of communication needs and the heterogeneous technical
environment.

Service engineering will focus on modular standardisation in the areas of architectures,
service-user components, service-provider components and service-creator components.
It will also cover service harmonisation and usage modelling. It will address the
functional architecture of an integrated-services environment and the specification of the
components and primitives for end-user applications. Research into usability will focus
on the human-service interface and include the design of generic metaphors for
integrated services access. The work on service-provider components will cover
specifications for service management, while that on service-creator components will
develop specifications of common tools for service creation. The harmonisation efforts
will include a concerted approach to specifications for usability, quality of service,
service evolution, security requirements and for mobile services.

_Integrated Service Technologies_
This research will build on system engineering activities, and the results will contribute
to the specification and harmonisation work. It will address techniques for architecture
realisation, user components technologies, metaphors and user interface technologies, and
service management systems.

_Service Technology Verification_
The research will involve the development of prototype facilities for flexible integration
of services responding to the requirements of operators, service providers and users.

_AREA_ _6:_ Information Security

The accuracy, security and overall "trustworthiness" of electronically-communicated
information are evidently of great importance to private individuals and public
administrations as to commerce and industry. Work in this area will ensure that
considerations of quality-of-service, security and reliability are included in the
development and implementation strategies for advanced communications. It will
provide validated specifications, guidelines and technology for practical and effective
information security at a pan-European level. This area focuses on the following
subjects:

_Service Quality, Security and Reliability Engineering_
The research will cover risk management, coherent security solutions and the creation of
a favourable environment for secure information management.

Risk management: A common strategy will be developed to allow the rational
management of risks. It will provide the scientific basis for legal measures to reduce
risks.

                    - 14 

Coherent security solutions: Coordinated strategies will be developed to guarantee the
interworking of separate security mechanisms/procedures. They will allow shared
scenarios for transition and investment to be developed, especially in public security
infrastructures. The work will provide the basis for collaboration between organisations
on the security of information exchanged between them.

Creation of a favourable environment: Options for the diffusion of information security
techniques and related measures will be identified. The actual diffusion of solutions
amongst end users is outside the scope of this programme.

_Information Security Technologies_
Technologies for security mechanisms and technologies for the integration of secure
systems will be investigated, especially for distributed systems. They will be addressed
under the following major headings:

Systems technologies for information security: addressing usability, auditability,
applications software, hardware and operating systems.

Network technologies for information security: covering telecommunications links and
switches and those features of single-node systems which enable them to participate in
networks.

Tools for the administration of information security: involving the development of
software tools incorporating formal methods for the administration of information
security. The research will address the analysis of risks, the formulation and
implementation of security policies, and the on-going administration and qualityassurance of security systems.

_Information Security Verification_
The security of any system can only be as good as its weakest link. The systems
required are complex and need to be checked. Strategies, specifications and technologies
developed in the specific programme will therefore be verified by building a series of
small-scale demonstrators. The work will fall under the following major headings :

Integration of information security technologies: addressing the use of a mix of several
technologies for achieving optimal information security (ranging from electronics to
suppress unwanted radiation of signals to protocol designs). These cover many functions
and will form only part of the total systems in which they are used.

Verification of common tools for information security: covering three classes of tools;
risk analysis tools, assurance criteria tools and tools for voluntary regulation of security.

Establishment of common infrastructure for information security: covering four areas:
certification services for security products; accreditation services for secure systems;
gateways for secure international traffic; and third-party security services. In all areas,
the work will involve pilot implementations of secure systems with live traffic. These
will be adapted to the needs of different branches of the economy, including public
administrations, and directly supported by those who have developed the technologies
elsewhere, within the corresponding R&D projects, or outside.

                    - 15 

_AREA!:_ Advanced Communication Experiments

This work is designed to prepare the ground for, and minimize the risks of investments
in, advanced communications. It will identify generic service functions which are
reusable and will permit the matching of different user needs while maintaining
universal access and interoperability. The research will make it easier for user
organisations to take up new technologies and exploit the opportunities they present. By
contributing to the creation of demand for advanced communications, work in this area
is also in the interest of operators and equipment manufacturers. The work focuses on
the following subjects:

_IBC Generic Applications Strategies_
The research will focus on the identification of "trigger" applications of advanced
communications and of the generic applications which will be the basis for a spectrum of
future universal services. It will cover the development of a Usage Reference Model,
development of consensus-based operational specifications, development of consensusbased common functional specifications for services, consolidation of network and
technology aspects and the identification of criteria and guidelines for the successful
introduction and use of advanced communications. The work on the Usage Reference
Model will build on the pre-existing concepts, but with a new focus on entry strategies,
generic applications and the relation between applications (the user/demand viewpoint)
and services (the provider/supplier viewpoint). Consensus-based operational
specifications, taking the user's viewpoint, and common functional specifications for
services will be developed where they are "market enabling". The identification of
criteria and guidelines for the successful introduction and use of advanced
communications will build on application experiments, relating to techno-economic and
organisational issues. Some generic applications have been tentatively identified:
Examples are distributed case handling, inter-personal communications and remote
delivery of expertise.

_Techniques for Advanced Communications Experiments_
The technology and techniques necessary for experimentation with advanced applications
will be addressed under this heading. Three themes have been identified: development
and identification of technologies to support the development of the service
infrastructures; development of resource packages; and development of techniques to
support the elicitation of user requirements and response. The work will include the
identification of server modules required for applications such as
translation/interpretation, integrity, multimedia conferences, multimedia databases and
distribution. The development of resource packages will cover service and product
elements, network capabilities (transport, switching and management) and terminal
facilities, implemented in hardware or software. Large-scale field experiments will be
complemented by simulation techniques. Presentation techniques, including animation
and graphics, will be used to complement detailed technical reporting.

_Application Experiments_
The technical and operational feasibility of applications of advanced communications will
be established in a process of structured and coordinated experiments. They will
identify, describe, model and define generic applications of advanced communications
that cross business sectors and functions. Telecommunications operators and users will
be able to draw on the results of these experiments to put together marketing and
exploitation plans. Pre-competitive prototype resource packages (including service and
product elements) will be developed for generic applications, allowing sector-specific
application experiments to be undertaken.

                    - 16 

There will be particular emphasis on defining generic applications, adapted where
necessary to specific user circumstances. The work will confirm the identity of these
generic applications and clarify their characteristics in field experimentation. The
resulting experience will form a basis for the relevant telecommunications sector
organisations in planning the standardisation, implementation and operation of Integrated
Broadband Communications.

T4REA 8: Test Infrastructure _&_ Interworking
The successful introduction of IBC services in Europe needs to be preceded by
experimentation and trials. A test infrastructure is therefore necessary, connecting those
involved. It is needed to validate standards and functional specifications. The provision
and operation of the test infrastructure is expected to be based on the Memorandum of
Understanding with operators on EBIT (European Broadband Interconnection Trial) and
its future evolution. The work included in this programme addresses the experimental
use of EBIT, not its development or operation.

                    - 17 

**Indicative Breakdown of Expenditures**

**in %, for the period 1990-1994.**

**AREA** **1** **IBC (Integrated Broadband Communication) R&D**

**AREA** **2** **Intelligence in Networks/Flexible Communications**
**Resource Management**

**Annex II**

20 - 24

6 - 8

**AREA** **3** **Mobile and Personal Communications** 8 - 1 0

**AREA** **4** **Image and Data Communications**

**AREA** **5** **Integrated Services Technologies**

**AREA** **6** **Information Security Technologies**

11 - 16

6 - 8

6 - 8

**AREA** **7** **Advanced Communications Experiments** **20 - 25**

**AREA** **8** **Test Infrastructures and Interworking**
**(horizontal R&D area supporting the other priority areas)** **1 - 3**

**The breakdown between different areas does not exclude the possibility that projects**

**could cover several areas.**

**- 18 -**

**Annex HI**

Rules for Implementing the Programme

**and** Activities for Dissemination **and** ExpMUMpn fff the Results

1. The Commission shall implement the programme on the basis of the scientific and

technical content described in Annex I.

2. The rules for implementing the programme, referred to in Article 3, comprise

research and technological development projects, accompanying measures and

concerted actions.

The projects shall be the subject of shared-cost research and technological

development contracts.

The accompanying measures consist of applying the means to ensure proper

technical execution, management and evaluation of the programme, as well as

adequate dissemination and accessibility of the results, and coordination, training

and consciousness-raising of the participants in the programme.

The concerted actions are those defined in the Financial Regulation.

3. The participants in the projects must be natural or legal persons established in the
Community* [6] ), such as universities, research organizations and industrial firms,

including small and medium-sized enterprises, or associations thereof, in particular

European Economic Interest Groupings (EEIGs).

Natural or legal persons established in countries which have concluded agreements

with the Community foreseeing scientific and technical research, may, based on the

criterion of mutual advantage, take part in the projects undertaken in the context of

this programme. The contracting parties under such arrangements shall not benefit

from Community funding. They shall contribute to the general administrative costs.

4. The choice of projects shall be carried out according to the following order of

priority, the first method being the rule, the second the exception:

**(6)** **For the purposes of this programme, the European Centre for Nuclear** **Research** **(CERN), whose headquarters**
**are in Geneva and most of whose installations are on Community territory, may be a party to the contracts.**

                    - 19 

The participants in the projects shall be selected on the basis of the ordinary

procedure of calls for proposals referred to in Article 6 (3) and published in the

Official Journal of the European Communities.

The Commission may also accept proposals according to an exceptional procedure

and under the conditions mentioned below, when they make a particularly

promising and significant contribution as regards the originality of the theme

proposed, the novelty of the scientific and technical approach and the methodology

of execution, also taking into account the particular nature of the proposers.

A favourable technical evaluation of such proposals shall not by itself be a

sufficient justification for accepting a project; this exceptional procedure may only

apply after verification that the nature of the project, as defined above, does not

justify the use of the normal procedure for calls for proposals.

The exceptional procedure must be completed before the ordinary procedure in such

a way that the available amount for the Community's financial participation in

projects retained by the ordinary procedure can be determined precisely. The

closing date for the exceptional procedure shall be published each year in the

Official Journal.

The amount of the financial participation of the Community for all the projects

retained by the exceptional procedure will be decided each year, in relation to the

projects selected according to particularly strict criteria of excellence. In any case,

this amount may not exceed 15%; it may be revised each year in the light of

experience.

The Commission shall draw up a vade mecum setting out all the rules applicable to

this exceptional procedure in order to guarantee full transparency.

5. The projects must involve at least two mutually independent partners established in

different Member States.

6. The Commission may encourage the participants to form a European Economic

Interest Grouping (EEIG) or make other arrangements for carrying out projects,

such as those on a large scale, permitting decentralized management adapted to the

specific requirements of the project.

7. The knowledge acquired during the course of the projects shall be disseminated on

the one hand within the specific programme and on the other hand by means of a

**- 20 -**

centralized activity, pursuant to the decision referred to in the third paragraph of

Article 4 in Decision 90/221/Euratom, EEC.

FINANCIAL STATEMENT

**1.** **BUDGET HEADING AND TITLE**

Subsection 6, item B 6112

Specific programme of Community RTD activities in the field of Communications
Technologies (1990-1994)

**2.** **LEGAL BASE**

Article 130 Q(2) of the Treaty

3. **OBJECTIVES AND DESCRIPTION**

See Annex I of the proposal

**4.** **FINANCIAL IMPLICATIONS**

Amounts in Mio ECU:

Programme implementation 484.11

Centralised action for dissemination and valorisation 4.89

TOTAL 489.00

The indicative internal breakdown of the **484.11** Mio ECU for the programme
implementation is given in Annex II of the proposal.

Indicative multiannual schedules

in Mio ECU 19 [9o] 1 9 9 1 I 9 9 2 i 9 9 3 1994* TOTAL

Commitments - 109.00 87.00 180.00 108.11 484.11
Payments - 32.00 80.00 125.00 247.11 484.11

- for the payment appropriations: 1994 and beyond

The definitive yearly amounts will be determined by the budgetary authority in
accordance with the financial perspectives for the period 1990-1992 (annexed to the
Interinstitutional Agreement of 29 June 1988) and with subsequent financial
perspectives which may be adopted for 1993 **and 1994.**

5. **STAFF AND ADMINISTRATIVE EXPENDITURE**

**In** addition to the principal means of action, which are contracts (annex HI), the
above amounts include programme-related staff and administrative expenditure
estimated at no more than 41 Mio ECU.

The expenditure on staff will not exceed 4% of the amount deemed necessary for
the programme implementation. This implies a maximum of 99 statutory posts (A, B
and/or C) at any given time during the life of the programme. The infrastructure
costs related to statutory staff will be borne by Part A of the budget.

6. IMPLICATIONS FOR REVENUE

The contributions by third country contractors towards the cost of administration of
the programme will be reused pursuant to articles 27.2 and 96 of the Financial
Regulations^).

7. **TYPES OF CONTROL**

Control will be exercised by:

the Programme Management Committee (scientific control)

the services of the DG responsible for the execution of the programme, possibly
assisted by independent experts

the Commission's Financial Controller

In accordance with Article 2 of the Financial Regulation^ [1] ), the use of
appropriations will be subject to analyses of cost-effectiveness and the realization of
quantified objectives will be monitored.

External audits may be carried out by the Court of Auditors in accordance with the
Treaty.

**(1)** **Financial Regulation of 21 December 1977, as last amended by Regulation 610/90 of 13 March 1990.**

**Competitiveness and** **Employment Impact** **Statement**

**Subject : Proposal for a Council decision** **concerning** **the Specific Programme of** **Community**
**activities in the field of communication technologies (1990-1994).**

**I. ftçason for** **Introducing** **measures**

**The proposal is being submitted in order to implement actions on** **communication**
**technologies within the** **thiid** **Framework** **.Programme** **of** **Community** **research and**
**development (1990-1994)**

**II.** **futures** **of the businesses** **In Question**

**The** **proposal** **concerns the** **télécommunications** **sector and the actions will involve**
**telecommunication network operators, equipment manufacturers and** **telematic service**
**providers. This sector includes a large proportion of SMEs, which already participate in the**
**RACE Programme.**

**The businesses in question are spread throughout the Member States, including in regions**
**which are eligible for regional aid under the** **ERDF.**

**HT.** **Obligations** **directly** **Imposed** **on businesses**

**The proposal conforms to the principles of existing administrative procedures for**
**participation in R&D programme and will encourage industrial actors towards further**
**transnational co-operation.**

**No obligations are directly imposed on businesses ; those that wish to participate will be**
**expected to bear the costs, quite minimal, relating to the preparation of proposals.**

**IV.** **Indirect obligations** **likelv** **to be Imposed** **oq** **businesses bv local authorities**

**None are envisaged.**

**V.** **SPfcIM,** **measures** **jo** **respect** **of** **,SM£s**

**All signatories to contracts are treated on an equal footing, so that even those with t**
**relatively small contribution to make have the right to full access to and exploitation of**
**results. SMEs participate in all areas of** **tbe** **RACE Programme, in both large pre-planned**
**projects and smaller more speculative projects.**

**In tbe new Specific Programme, increased emphasis will be** **given** **to service** **engineering** **and**
**applications of advanced communications : areas which are particularly** **Important** **to SMEs**
**because of their large presence and dynamism in these areas. Aside from the R&D activity**
**per se, accompanying measures, some aimed specifically at SMEs, constitute an integral part**
**of the current proposal.**

**VI.** **Likely** **effects on** **competitiveness** **of businesses and on** **employment**

**The actions will not only contribute to sustaining tbe international competitiveness of the**
**European Telecommunications** **industry,** **but will also stimulate the development of**
**competitive telematic service providers and will have a positive effect on all major business**
**sectors which depend on advanced telecommunications.**

**Over 60% of new employment in tbe EC now depends on access to** **effective**
**.communications.** **The effects on competitiveness and employment of programmes of**
**precompeiitive** **R&D such as this Specific Programme will continue to be very positive. The**
**development and use of advanced communications systems gives improved access to**
**markets, a better understanding of international market needs, improved stock control,**
**management, corporate image and acceptability to international customers.**

**VII.** **CoflSuMatipg** **of** **Jn^ustTV**

**The proposal is the result of a broad consultation of representatives from all industrial**
**sectors concerned in tbe Community. The proposal will be submitted to the Economic and**
**Social Committee for opinion.**

**ISSN 0254-1475**

#### COM (90) 154 final

# **DOCUMENTS**

##### **16**
## **EN**

### Catalogue number : CB-CO-90-237-EN-C ISBN 92-77-60691-6

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