Source: EURLEX
Language: en
Format: md

**Council of the**
**European Union**
**Brussels, 9 October 2024**
**(OR. en)**

**14262/24**

**Interinstitutional File:**

**2020/0103(COD)**

**ECOFIN 1109**

**UEM 336**

**CADREFIN 146**

**CODEC 1916**

**COVER NOTE**

From: Secretary-General of the European Commission, signed by Ms Martine
DEPREZ, Director

date of receipt: 8 October 2024

To: Ms Thérèse BLANCHET, Secretary-General of the Council of the
European Union

No. Cion doc.: COM(2024) 445 final

Subject: REPORT FROM THE COMMISSION TO THE EUROPEAN
PARLIAMENT AND THE COUNCIL **Technical Support Instrument -**
**Annual Report 2023**

Delegations will find attached document COM(2024) 445 final.

Encl.: COM(2024) 445 final

14262/24 KG/sl

## ECOFIN 1A EN

EUROPEAN

COMMISSION

Brussels, 8.10.2024
COM(2024) 445 final

**REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND**

**THE COUNCIL**

**Technical Support Instrument - Annual Report 2023**

# **EN EN**

### **Foreword**

I am glad to present this report covering the 2023 cycle of the Technical Support
Instrument (TSI). At its third recurrence, the TSI confirms to be a successful policy
instrument that is of tangible benefit to Member States. Yet again, the number of
requests for support from the national authorities was considerably larger than the
number of requests that DG REFORM was able to serve.

The evidence we present in this report shows that the TSI helps Member States to
improve their administrative capacity to design, develop and implement reforms, and
contributes to achieving sustainable growth and ease the green and digital transitions.
With no preallocation of funds based on geographic or thematic factors, the TSI
remains a flexible and demand-driven instrument that allows adapting to emerging
needs and fast-changing environments.

Remarkably, Member States’ interest in taking part in multi-country projects continued
to rise, with 34 such projects under TSI 2023. Member States also demonstrated their
interest in strengthening cooperation at regional level through 10 multi-regional
projects. Similarly, there was a strong uptake by Member States of the 12 flagship
projects for technical support that were selected on the basis of Member States’ needs
and linked to EU top priorities.

In 2023, the majority of reforms supported by the TSI was linked to the implementation
of national recovery and resilience plans. Furthermore, in the context of the
Commission’s political priority to accelerate the integration and accession process, the
TSI opened beyond the EU boundaries and launched a pilot with enlargement
countries as observers of selected technical support projects.

Another important milestone in 2023 was the adoption of the [Communication on](https://reform-support.ec.europa.eu/public-administration-and-governance-coordination/enhancing-european-administrative-space-compact_en)
[Enhancing the European Administrative Space (ComPAct), which proposed concrete](https://reform-support.ec.europa.eu/public-administration-and-governance-coordination/enhancing-european-administrative-space-compact_en)
actions to help public administrations meet the needs of people and businesses across
Europe. Linked to the ComPAct, the Public Administration Cooperation Exchange
(PACE) was also launched in 2023 as a TSI flagship project. This initiative aims to
promote peer-learning and the exchange of best practices among civil servants of
different Member States to strengthen administrative capacity, policymaking and
implementation skills. PACE saw a significant take-up with more than 300 civil
servants taking part in 70 exchanges across Member States.

With this report we also highlight the significant contribution of the TSI to
competitiveness, a key EU priority. This overview of TSI support to Member States on
competitiveness during 2023 is structured along the nine competitiveness drivers
[identified in the ‘Single Market at 30’ Communication and the](https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52023DC0162) [2024 annual single](https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52024DC0077)
[market and competitiveness report. The report presents concrete cases in which the](https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52024DC0077)

1

TSI supported European businesses in driving Member States’ economies creating
jobs, cohesion, innovation, and prosperity.

I am confident that the TSI will keep supporting the design and implementation of
reforms in line with key EU policies and priorities, addressing national and
transnational challenges, and thus having a clearly positive EU-wide impact in the
years to come.

Judit RÓZSA

Acting Director-General DG REFORM

2

## **TABLE OF CONTENTS**

Foreword ................................................................................................................. 1

The Technical Support Instrument ............................................................................. 4

The TSI in 2023 .......................................................................................................... 5

I. Highlights .......................................................................................................... 5

Public administration and governance ................................................................. 6

II. The TSI 2023 cycle - facts and figures ............................................................. 6

Launch of the TSI 2023 cycle .............................................................................. 6

TSI 2023 requests for support ............................................................................. 7

TSI 2023 projects ................................................................................................. 9

Flagship projects ................................................................................................ 12

RRP support ...................................................................................................... 12

Pilot for enlargement countries as observers ..................................................... 13

III. Project execution ............................................................................................ 13

IV. Cooperation and support plans ...................................................................... 14

V. Communication on the TSI ............................................................................. 14

VI. Evaluation of the TSI ...................................................................................... 16

The TSI as a key instrument to support EU competitiveness ................................... 16

I. Functioning single market ............................................................................... 19

II. Access to private capital ................................................................................. 20

III. Public investment and infrastructure .............................................................. 21

IV. Research and innovation ................................................................................ 22

V. Energy ............................................................................................................ 23

VI. Circularity ....................................................................................................... 24

VII. Digitalisation ................................................................................................... 25

VIII.Education and skills ........................................................................................ 26

IX. Trade and open strategic autonomy ............................................................... 27

Conclusion ............................................................................................................... 28

Annex 1 – The TSI annual cycle ........................................................................... 29

Annex 2 – 2023 TSI general call: requests by Member State ............................... 30

3

## **THE TECHNICAL SUPPORT INSTRUMENT**

Since 2021, the **Technical Support Instrument** [1] **(TSI) is the EU programme**
**providing tailor-made technical expertise to Member States to improve their**
**capacity to design and implement their reform agenda, including via their**
**national resilience and recovery plans** . Its general objective is to promote the EU’s
economic, social and territorial cohesion by supporting Member States’ efforts to
implement the necessary reforms to achieve economic and social recovery, resilience
and upward economic and social convergence.

Managed by the European Commission’s DG REFORM, the TSI is available to any
Member State facing challenges in the process of designing and implementing
reforms. This includes reforms that aim to address challenges identified in the
**European Semester** process of economic policy coordination, the **EU’s policy**
**priorities** or reforms undertaken at a **Member State’s own initiative** . The TSI **does**
**not pre-allocate funds** by Member State or policy area.

The TSI does not require co-financing from Member States. Its overall budget for the
2021-2027 multiannual financial framework stands at **EUR** **864.4** **million** . In addition,
Member States may request additional technical support via a direct contribution or as
part of their recovery and resilience plans.

2021 2022 2023 2024 2025 2026 2027 Total

116.4 118.7 121.1 123.5 126.0 128.5 130.4 864.4

_**Figure 1 - TSI budget programming 2021-2027 (million euro)**_

The TSI offers beneficiary authorities in Member States a unique project-based access
to technical expertise and peer-learning opportunities to help them tackle reform
challenges. It is an **instrument** driven by the demands of the Member States and it is
organised in **annual cycles**, as described in Annex 1. TSI support covers the provision
of expertise and experts related to policy advice, policy change, formulation of
strategies and reform roadmaps and support to legislative, institutional, structural and
administrative reforms. It also covers institutional, administrative or sectoral capacity
building, seminars, conferences and workshops, exchanges of best practices and
training actions, development of common methodologies, IT capacity building and
carrying out studies.

The TSI therefore strengthens the institutional and administrative capacity of EU
Member States. The support is tailored to reform needs and the capacity endowment
of each beneficiary authority. Each project receives a unique combination of expertise
provided by the European Commission’s (hereinafter referred to as ‘the Commission’)
in-house experts, and experts from EU Member State national administrations (e.g.
via the Technical Assistance and Information Exchange instrument of the

1 Regulation (EU) 2021/240 of the European Parliament and of the Council of 10 February 2021
establishing a Technical Support Instrument, OJ L 57, 18.2.2021, p. 1-16 (the ‘TSI Regulation’).

4

Commission, TAIEX [2] ), international organisations or the private sector. When needed,
the Commission contracts in external expertise via direct management (mainly private
sector) or indirect management [3] (mainly international organisations). DG REFORM
staff are fully involved throughout the process of implementing each project.

## **THE TSI IN 2023**

### **I. Highlights**

As in previous years, in 2023 the TSI provided technical support to all Member States
in a **wide range of policy areas** following the requests submitted by the national
authorities. These included public administration and governance, the green and
digital transition, competitiveness, health and long-term care, revenue administration
and customs, public financial management, justice, rule of law, anti-corruption,
integrity and public procurement, the labour market and social protection skills,
education and training and migration.

_**Figure 2 - TSI 2023: Contribution to key policy priorities**_

The TSI 2023 projects also strongly supported the implementation of national
**recovery and resilience plans** [4] (RRPs). The TSI continued to support Member
States in designing and implementing reforms for the **green and digital transitions** .
To strengthen solidarity with Ukraine, the TSI also supported Member States in

2 https://neighbourhood-enlargement.ec.europa.eu/funding-and-technical-assistance/taiex_en.
3 The list of entities implementing EU funds under indirect management for the Technical Support
[Instrument is provided on the Technical Support Instrument website.](https://commission.europa.eu/funding-tenders/find-funding/eu-funding-programmes/technical-support-instrument/technical-support-instrument-tsi_en)
4 Regulation (EU) 2021/241 of the European Parliament and of the Council of 12 February 2021
establishing the Recovery and Resilience Facility, OJ L 57, 18.2.2021, p. 17-75 (the ‘RRF [Regulation’](https://eur-lex.europa.eu/eli/reg/2021/241/oj),
Article 7.2).

5

implementing restrictive measures against Russia. And in line with the 2023 European
Year of Skills, the TSI supported several Member States in building their national skills
strategy to overcome skill shortages and mismatch.

At interinstitutional level, on 7 November 2023 the Commissioner for Cohesion and
Reforms, Elisa Ferreira, met with the Budgets Committee and the Committee for
Economic and Monetary Affairs at the European Parliament for an exchange of views
on TSI implementation.

### Public administration and governance

On 25 October 2023, the Commission adopted a new **[Communication on Enhancing](https://reform-support.ec.europa.eu/public-administration-and-governance-coordination/enhancing-european-administrative-space-compact_en)**
**[the European Administrative Space (ComPAct)](https://reform-support.ec.europa.eu/public-administration-and-governance-coordination/enhancing-european-administrative-space-compact_en)**, which proposed concrete actions
to help public administrations meet the needs of people and businesses across
Europe. On 7 December 2023, Commissioner Ferreira presented the **ComPAct at the**
**[Competitiveness Council](https://www.consilium.europa.eu/en/meetings/compet/2023/12/07/)** (Internal market and industry).

The ComPAct was a response to calls by the Member States, the European
Parliament and the Committee of the Regions to the Commission to foster cooperation
and policy dialogue as well as to help improve the capacity and the quality of public
administrations at central, regional and local levels in the EU. The ComPAct also
addresses Europeans’ expectations as expressed in the **[Eurobarometer survey on](https://europa.eu/eurobarometer/surveys/detail/3054)**
**[reforms and public administrations](https://europa.eu/eurobarometer/surveys/detail/3054)** launched in spring 2023 by DG REFORM.
Through this survey, citizens called for public administrations to become less
bureaucratic, faster in delivering services, more transparent and closer to the people.
ComPAct is the Commission’s first ever comprehensive set of actions to support the
modernisation of national administrations and to strengthen their cross-country
collaboration so that they can address common challenges together.

The ComPAct’s objective is to **foster cooperation and policy dialogue** as well as to
help **improve the capacity and the quality of public administrations at central,**
**regional and local levels in the EU** . It proposes a strategic set of actions to enhance
the European Administrative Space by promoting a common set of overarching
principles underpinning the quality of public administration and reinforcing its support
for the administrative modernisation of the Member States.

Linked to the ComPAct, a specific new TSI flagship initiative - the Public Administration

–
Cooperation Exchange (PACE) was launched in 2023. This initiative aims to promote
peer-learning and the exchange of best practices among civil servants of different
Member States in order to strengthen administrative capacity, as well as policymaking
and implementation skills. The close alignment between the ComPAct and the TSI
helps maintain a strong policy focus on improving the operational capacity and
efficiency of Member States’ public administrations.

6

### **II. The TSI 2023 cycle - facts and figures** Launch of the TSI 2023 cycle

The TSI cycle 2023 was launched during the **[TSI annual conference](https://reform-support.ec.europa.eu/tsi-2022-annual-conference_en)** **‘Building**
**Resilience of the Member States’**, which took place online on 5 May 2022. The
conference showcased how the TSI can support Member States with the successful
design and implementation of resilience-enhancing reforms, in particular in the context
of the recent crises (COVID-19 pandemic, Russia’s invasion of Ukraine). It also
presented the main priorities for the TSI in 2023, notably:

providing continuous support to the implementation of recovery and resilience

plans (RRPs);

- focusing support on selected EU priorities, through DG REFORM’s innovative

concept of flagship projects, which are project concepts proactively proposed by
the Commission to Member States; and

encouraging the design and implementation of multi-country and multi-regional

projects.

The conference also provided the opportunity to present the **12 ‘flagship’ technical**
**support project ideas**, put forward because they address reform needs across
several Member States and are linked to top EU priorities which the Member States
are in the process of implementing. As such, they aim to support Member States in
achieving resilience and growth-enhancing reforms.

[Furthermore, the TSI 2022 flagship initiative ‘EU Supervisory Digital Finance Academy](https://commission.europa.eu/document/download/cbc14b0f-a302-41b9-960d-0065959b77c1_en?filename=b5_-_digital_finance_academy.pdf)
[to enhance the skills of the financial supervisory authorities’ was proposed again for](https://commission.europa.eu/document/download/cbc14b0f-a302-41b9-960d-0065959b77c1_en?filename=b5_-_digital_finance_academy.pdf)
the TSI 2023 cycle.

7

### TSI 2023 requests for support

By 31 October 2022, **27** **Member States had submitted 530 requests** for technical
support in response to the TSI 2023 general call, for a total amount of EUR 256 million,
more than double the amount of funding available. While all submitted requests were
deemed eligible [5], seven were withdrawn by the requesting Member States during the
assessment phase. As a result, 523 requests were assessed for selection.

DG REFORM has ensured through a well-defined decision-making process (see
Annex 1) that projects are selected based on the assessment criteria defined in the
TSI Regulation article 9(5). Requests are analysed based on the urgency, breadth and
depth of the challenges identified, the support needs in respect of the policy areas
concerned, as well as the analysis of socioeconomic indicators and institutional and
general administrative capacity of the Member States concerned. Through an eligibility
screening, DG REFORM also ensures that actions are eligible in accordance with
article 8 of the TSI regulation.

The Commission can support Member States with **special measures** in the event of
urgent needs. Indeed, according to Article 12(7) of the TSI Regulation, DG REFORM
can also adopt special measures in accordance with the objectives and actions set out
in the TSI Regulation to provide technical support to national authorities in addressing
**urgent needs** . Such special measures are _interim_ in nature and linked to the specific
circumstances laid down in Article 9(3), ( _inter alia_, preparation or implementation of
Recovery and resilience plans under the Recovery and Resilience Facility, reforms in
the context of economic governance process such as CSRs, implementation of
Economic adjustment programmes). In 2023, DG REFORM did not support any
special measure.

DG REFORM consulted the other Commission departments/Directorates-General to
ensure that the technical support provided under the TSI 2023 was aligned with EU
policies, did not duplicate other EU actions and funding, and complemented and built
on other EU programmes.

More broadly, the submitted requests addressed support needs for reforms identified
in different circumstances, including Member States’ own reform priorities as well as
reforms to tackle challenges identified through the EU’s economic governance
process, as well as those linked to the implementation of EU priorities.

5 The eligibility of requests is verified based on the criteria set out in the TSI Regulation, namely in
Articles 8 and 9. The eligibility of potential beneficiaries is also verified based on the criteria set out in
the TSI Regulation, namely in Article 2.

8

_**Figure 3 - TSI 2023: Circumstances of Member States’ requests**_

Following the assessment and selection process outlined in Annex 1, **231 requests**
covering key EU priorities **were selected for EUR** **119.7 million under the TSI 2023**
general call, including [6] :

  90 requests related to the implementation of national RRPs;

  69 requests related to the digital transition;

  83 requests related to the European Green Deal;

  34 requests related to equality: support for women, people with disabilities, the

Roma community, migrants, older people and the LGBTIQ+ community.

The TSI 2023 support covered measures in all Member States.

### TSI 2023 projects

Following the [adoption of the Financing Decision and annual work programme on](https://ec.europa.eu/commission/presscorner/detail/en/ip_23_1625)
21 March 2023 setting out the measures needed to implement the TSI 2023 [7], the **231**
**selected** **requests were streamlined into 151 projects,** as multiple requests were
sometimes merged into a single project to take advantage of economies of scale,
promote synergies and facilitate peer-learning opportunities. In turn, those 151
projects supported the **27 Member States** in preparing, designing and implementing
**326 cutting-edge reforms** [8] .

6 A single request for technical support may contribute to several EU priorities.
7 Commission Implementing Decision C(2023)1 786 of 20.3.2023 on the financing of the Technical
Support Instrument and the adoption of the work programme for 2023.
8 The total number of reforms supported for TSI 2023 is higher than the total number of supported
projects and the total number of selected requests as multi-country projects and multi-country requests
corresponded to multiple reforms in different Member States under TSI 2023.

9

_**Figure 4 - TSI 2023: Number of reforms supported in each Member State**_

Interest by Member States in taking part in multi-country projects continued to rise in
2023, leading to a steep increase from two multi-country projects under TSI 2021 to
21 under TSI 2022 and **34 multi-country projects under TSI 2023** . Member States
also demonstrated their interest in strengthening cooperation at regional level through
**10 multi-regional projects.**

The **public administration cooperation exchange** (PACE) multi-country flagship
project - aimed at promoting cooperation and cross-border exchanges among Member
States to build administrative capacity and prepare the next generation of
policymakers in the European Union - saw significant take-up with the objective to
implement **70 exchanges across 17 Member States for more than 300**
**participants** .

10

_**Figure 5 - TSI 2021-2023: Change in the number of multi-country projects**_

TSI 2023 projects included two multi-country projects supporting Member States’
industrial ecosystems (EL, ES, FI, PT and SE) and helping them accelerate permitting
for renewable energy (LT and NL), with both projects contributing to **fostering the**
**competitiveness** of the EU economy. They also included the multi-country project
_Measuring Citizen’s Satisfaction with Key Government_ _Services for Better_
_Performance and Enhanced Trust_ (AT, BE, EE, EL, ES, FI, HR, IE, LT, LV and SI),
and the project _ESG risk management framework for the financial sector_ (BG, CY, EL,
FI, FR, HR, IE, IT, LV, RO and SI) to enhance financial supervisors’ capacity to react
to challenges associated with environmental, social and governance (ESG) risks, and
a project on _Enhancing the quality and use of tax information exchanged between_
_Member States in the context of the Directive on Administrative Cooperation (DAC)_ in
Croatia and Ireland.

_**Figure 6 - TSI 2021-2023: Evolution of the number of projects with a regional/local dimension**_

Over the years, an increasing share of TSI projects supported Member States in
carrying out reforms at the regional and local level in line with EU priorities. For
[example, in 2023, the TSI supported 10 regions in 5 Member States in enhancing EU](https://reform-support.ec.europa.eu/what-we-do/green-transition/enhancing-eu-mining-regional-ecosystems-support-green-transition-and-secure-mineral-raw-materials_en)
[mining regional ecosystems to support the green transition and secure mineral raw](https://reform-support.ec.europa.eu/what-we-do/green-transition/enhancing-eu-mining-regional-ecosystems-support-green-transition-and-secure-mineral-raw-materials_en)
[materials supply.](https://reform-support.ec.europa.eu/what-we-do/green-transition/enhancing-eu-mining-regional-ecosystems-support-green-transition-and-secure-mineral-raw-materials_en)

11

### Flagship projects

TSI 2023 also showed a **strong uptake of flagship projects** compared to TSI 2022
when the concept was first introduced. Of the 151 TSI 2023 projects, 50 were linked
to flagship projects, including in the fields of green, digital, energy, public
administration, public finance, integration of migrants and healthcare.

The TSI 2023 call also gave eight new beneficiary authorities from Member States the
[opportunity to join the EU Supervisory Digital Finance Academy, originally designed](https://commission.europa.eu/document/download/cbc14b0f-a302-41b9-960d-0065959b77c1_en?filename=b5_-_digital_finance_academy.pdf)
under TSI 2022, bringing the total to 32 authorities from 25 Member States.

### RRP support

**The TSI has been supporting the implementation of reforms and investments**
**included in the RRPs, across the policy areas** of governance and public
administration, digital, sustainable growth and business environment, labour market,
health, education, social services, revenue administration and public financial
management, as well as in the financial sector.

In 2023, **66% of the TSI 2023 projects were directly or indirectly linked to national**
**recovery and resilience plans**, helping Member States further increase their capacity
to implement the RRPs, including RRP monitoring and project management methods,
reporting mechanisms, audit and control frameworks, communication strategy,
governance structures, IT systems and applying the ‘do no significant harm’ principle.

12

The midterm evaluation of the Recovery and Resilience Facility (RRF) [9] highlights that:
“ _Coherence between the RRF and the TSI is due to built-in synergies between the two_
_instruments and the alignment of their assessment criteria. The RRF Regulation_
_actively promotes synergies between the RRF and TSI by enabling Member States to_
_allocate up to 4% of their total allocation to technical support in RRP implementation,_
_an option used by four Member States. The alignment of the assessment criteria of_
_the RRF and of TSIs emphasises that both instruments have the same policy_
_objectives and that their priorities are aligned. For example, the relevance of CSRs is_
_one of the assessment criteria used both for selecting TSI projects and for approving_
_RRPs. The coherence of the two instruments is evident in the fact that over 400_

_projects approved under the TSI are linked to the preparation or implementation of_
_Member States’ RRPs, highlighting the crucial role of TSIs in the Facility_ .” _._

### Pilot for enlargement countries as observers

In the context of the Commission’s political priority to accelerate the integration and
accession process for enlargement countries [10], DG REFORM and DG NEAR
developed a TSI pilot to allow enlargement countries to be ‘observers’ of selected TSI
projects in 2023. This was done with the agreement of the respective beneficiary
authorities in the Member States and without the TSI funding their involvement.

The pilot started on the 13 September 2023 with the participation of eight enlargement
countries, namely Bosnia and Herzegovina, Moldova, North Macedonia, Albania,
Serbia, Türkiye, Georgia and Kosovo [11] . The projects selected by the enlargement
countries were primarily multi-country TSI projects. The public administrations
involved both in enlargement countries and Member States welcomed the cooperation
opportunities offered through the pilot.

### **III. Project execution**

The TSI requires the constant involvement of DG REFORM, from the project design
phase through to project implementation, monitoring and evaluation.

DG REFORM is active from the early stages of project identification, with extensive
outreach activities addressed to national authorities, constant interaction between DG
REFORM’s country coordinators and the corresponding coordinating authorities and
meetings between DG REFORM senior managers and national authorities in each
Member State.

Once the TSI 2023 requests were selected and their methods of implementation
decided, policy officers in DG REFORM regularly liaised with national authorities to
determine the project outputs and shape the related activities and work plans. They
were involved as members in all related project teams, together with the selected
providers, and cooperated in the daily management of the project. They also ensured

9 Staff working document - Mid-term evaluation of the Recovery and Resilience Facility (page 62).
10 Bosnia and Herzegovina, Montenegro, Moldova, North Macedonia, Albania, Serbia, Türkiye, Ukraine,
Georgia and Kosovo.
11 Montenegro and Ukraine did not participate in the pilot due to limited administrative capacity but have
expressed strong interest to participate in the future.

13

smooth communication between providers and national authorities, promoting mutual
understanding to safeguard the success of the projects.

DG REFORM also coordinated work with other Commission departments via a
permanent network of representatives of other Directorates-General. This was to
ensure that the technical support provided with the TSI was aligned with EU policies,
did not duplicate other projects, and complemented and built on other EU programmes
(including by facilitating access to technical expertise available within the Commission
or easily mobilised by other EU programmes).

Finally, a DG REFORM staff member was included in each project steering committee,
together with senior officials from the national authorities, to ensure that projects
continued to align with national priorities and adapted to the changing landscape, if
necessary. The aim was to contribute to national reform agendas while striving for EU
added value.

### **IV. Cooperation and support plans**

**Cooperation and support plans** **[12]** **were concluded** with all 27 Member States in
2023 to set out the guiding principles and working methods for the support provided
by the TSI. These were shared with the Council and the European Parliament in
September 2023. Each plan describes the policy areas covered and the scope of
support measures to be implemented for the Member State, as well as indicative
timelines and estimated budgets. It therefore gives each Member State a strategic
overview of the implementation of TSI support measures at national and regional
levels.

In 2023, these plans also included a proposal for the mandate of the TSI national
coordinating authorities, describing their role at each step of the TSI cycle, including
potential involvement in communication and evaluation activities, and their
participation in a coordinating authorities network which is chaired by DG REFORM.
In 2023, this network met five times (four times online and once in person on
12 September 2023 in Madrid). The physical meeting in particular was an opportunity
to underline the importance of the role of Member State’s coordinating authorities for
a smooth-functioning TSI and to discuss how best to gather and coordinate ideas and
stakeholders to build multi-country requests for the TSI.

### **V. Communication on the TSI**

The Technical Support Instrument is unique in its design and its flexibility. It works with
national administrations to support the design and implementation of their reforms, for
the benefit of individuals and businesses. To ensure the **visibility of the EU funding**,
DG REFORM promotes the work of the TSI and the related TSI projects and their
results in collaboration with the beneficiary authorities, the support providers and the
representation offices of both the European Parliament and the Commission in each
Member State. Communication activities via dedicated channels (the Reform support

12 As referred to in Article 9(5) of the TSI Regulation.

14

website, social media, publications, events, and so on) provide **targeted information**
**to multiple audiences**, including the media and the public.

In 2023, communication activities relating to the TSI and to policymaking on public
administration and governance became more results-oriented. In concrete terms, DG
[REFORM held the yearly TSI 2023 press conference on 21](https://reform-support.ec.europa.eu/events-0/technical-support-instrument-2023-press-conference_en) March 2023 to mark the
adoption of the TSI 2023 work programme. DG REFORM also organised the **[TSI](https://reform-support.ec.europa.eu/events-0/2023-technical-support-instrument-annual-conference_en)**
**[annual conference](https://reform-support.ec.europa.eu/events-0/2023-technical-support-instrument-annual-conference_en)** on a **[‘Public Administration fit for the future and adaptable to](https://reform-support.ec.europa.eu/events-0/2023-technical-support-instrument-annual-conference_en)**
**[change’](https://reform-support.ec.europa.eu/events-0/2023-technical-support-instrument-annual-conference_en)** held on 25 May 2023. This conference marked the launch of the TSI 2024
cycle. Its TV-show format kept the 1 600 online participants engaged during the entire

event.

DG REFORM co-organised and/or participated in **[public events](https://reform-support.ec.europa.eu/events-0_en)**, both locally and
online, in order to showcase success stories and disseminate information on TSI

results. These included:

  DG REFORM at the Delphi Economic Forum VIII, 26-29 April 2023

  Supporting skills development through reforms, 25 May 2023

  Tourism data sharing, governance and integration, 27-28 September 2023

  - Science for policy in Europe, 10-11 October 2023

  - Sustainable finance - COP 28 side event, 4 December 2023.

Departing from the project-oriented approach of the early TSI years and focusing more
on reforms and their impact on people’s lives, DG REFORM also increased its **press**
**activities** through interviews and **press events.**

The **[Reform Support website](https://reform-support.ec.europa.eu/index_en)**, browsed by more than **160** **000 unique visitors in**
**2023**, was also given a more user-friendly format to provide detailed information on
reforms and reform projects by **[policy area](https://reform-support.ec.europa.eu/what-we-do_en)** and by **[country](https://reform-support.ec.europa.eu/our-projects/country-factsheets_en)** . By the end of December
2023, more than 350 projects descriptions were online.

In line with the transparency requirement set out in Article 17 of the TSI Regulation,
the Reform support website hosts a **[single online public repository](https://reform-support.ec.europa.eu/publications-0_en?f%5B0%5D=funding_programme_funding_programme%3A1027)** of final studies
or reports produced as part of the TSI support projects. The repository is searchable
by year, topic and Member State, to help disseminate the different publications to a
wide audience. At the end of December 2023, 45% of the closed TSI projects already
had a final study available online.

DG REFORM remained active on social media, with **3** **500 followers on its**
**[@EU_reforms](https://twitter.com/EU_reforms)** X (formerly Twitter) account while, at the same time, overhauling its
**YouTube** **[DG REFORM channel](https://www.youtube.com/@dgreform)** with new content and original audiovisual products.
DG REFORM also increased its internal video production capacity in 2023 and
produced several videos to support the **[Project in the spotlight series](https://reform-support.ec.europa.eu/our-projects/projects-spotlight_en)** .

EU-wide communication campaigns and reports also often refer to the TSI as an
important source of support for Member States to achieve their reform agenda, in line
with EU priorities. The TSI was mentioned in this context seven times in the **[EU](https://op.europa.eu/webpub/com/general-report-2023/en/)**
**[General Report 2023](https://op.europa.eu/webpub/com/general-report-2023/en/)**, with specific references to the work done to support the RRPs,
the Capital Market Union, RePowerEU, education and health. This report also included
two references to the ComPAct communication.

15

### **VI. Evaluation of the TSI**

DG REFORM assesses the support it provides to Member States both at programme
level and at project level. The evaluation of the TSI programme and projects provides
evidence of the achievements for Member States and for people on the ground. It is
important to share those results with our stakeholders and the wider public to
demonstrate that EU action brings positive change.

The _ex_ _post_ [evaluation of the Structural Reform Support Programme (SRSP](https://commission.europa.eu/publications/ex-post-evaluation-structural-reform-support-programme_en) _ex_ _post_ ),
the predecessor to the TSI, was published in October 2023. This evaluation provided
key insights into the design, implementation and effects of technical support projects
implemented by DG REFORM (and the Structural Reform Support Service). According
to the report, the SRSP’s general objective of supporting institutional, administrative
and growth-sustaining structural reforms in the Member States was successfully
achieved. The SRSP was found to be a highly relevant instrument well-tailored to
enhancing the administrative capacities of Member States to design and implement
reforms and address challenges. Key factors included the strong involvement of the
national administrations and their ownership of projects.

In 2023, DG REFORM started preparations for launching the midterm evaluation of
the TSI, in line with Article [16 of the TSI Regulation. This evaluation will be delivered](https://eur-lex.europa.eu/eli/reg/2021/240/oj)
by February 2025 and is expected to play an important role in shaping the future of
the programme for the next multiannual financial framework. Besides assessing the
early implementation of the TSI along the five mandatory better regulation evaluation
criteria (effectiveness, efficiency, relevance, coherence and EU added value), the
midterm evaluation will also analyse the long-term effects and sustainability of the
predecessor programme, the SRSP.

In addition to the programme-level evaluation, DG REFORM has put in place a twostage procedure to collect evaluation data on all TSI technical support projects. The
first stage, beginning shortly after project closure, will assess the level of satisfaction
of the main stakeholders involved in the project design and delivery. The second
stage, at least 1 year after project closure, will assess the extent to which the project
has delivered on its expected outcomes.

During 2023, DG REFORM received satisfaction questionnaires completed by
beneficiary authorities for 94 TSI projects, i.e. a 72% response rate. Feedback from
beneficiary authorities indicates an average satisfaction rating of 9 out of 10 for the
support provided by DG REFORM and 8.7 out of 10 for the success of the projects.
While project duration can vary, it takes an average of 24 months to complete a TSI
project. As such, it is still too early to provide an assessment of projects’ achievements
on the ground.

## **THE TSI AS A KEY INSTRUMENT TO SUPPORT EU** **COMPETITIVENESS**

European businesses drive Member States’ economies, creating jobs, cohesion,
innovation and prosperity. Yet supply chain disruptions and high inflation at the back
of the recent successive crises have accentuated **longer-standing concerns about**

16

**weak productivity and competitiveness in the EU** . The Commission responded to
these challenges, among others, with the [European industrial strategy, the](https://commission.europa.eu/strategy-and-policy/priorities-2019-2024/europe-fit-digital-age/european-industrial-strategy_en) [Green Deal](https://commission.europa.eu/strategy-and-policy/priorities-2019-2024/european-green-deal/green-deal-industrial-plan_en)
[industrial plan, a](https://commission.europa.eu/strategy-and-policy/priorities-2019-2024/european-green-deal/green-deal-industrial-plan_en) [Communication on long-term competitiveness and initiatives to](https://www.europarl.europa.eu/RegData/docs_autres_institutions/commission_europeenne/com/2023/0168/COM_COM(2023)0168_EN.pdf)
[strengthen the EU’s economic security. As the President emphasised in her State of](https://commission.europa.eu/news/new-tools-reinforce-eus-economic-security-2024-01-24_en)
[the Union address, ‘Europe will do “whatever it takes” to keep its competitive edge.’](https://state-of-the-union.ec.europa.eu/state-union-2023_en)

This section provides an **overview of DG REFORM’s support to Member States on**
**competitiveness during 2023**, structured along the nine competitiveness drivers
identified in the [‘Single Market at 30’ Communication and the](https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52023DC0162) [2024 annual single](https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52024DC0077)
[market and competitiveness report (see Figure 3). To provide effective support to](https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52024DC0077)
Member States aligned with EU priorities, DG REFORM collaborated closely on the
support projects with the relevant Directorates-General of the Commission, including
CLIMA, CNECT, COMP, DIGIT, EAC, ENER, ENV, ECFIN, EMPL, ESTAT, FISMA,
GROW, HOME, JRC, MOVE, REGIO, RTD, SG RECOVER, SG, TAXUD and TRADE.

17

Figure 7 - Examples of TSI Support in 2023 on the nine competitiveness drivers

18

### **I. Functioning single market**

DG REFORM’s support to Member States helps them to increase their capacity to
deliver reforms for a **functioning single market and competitiveness.** The support
covers a wide range of policy areas, ranging from industry and innovation to transport
and the digital transition.

In 2023, DG REFORM provided support to **26 Member States** (AT, BE, BG, CY, CZ,
DE, DK, EE, EL, ES, FI, FR, HR, HU, IE, IT, LT, LV, MT, NL, PL, PT, RO, SE, SI and
SK), including under TSI flagship projects, to: (i) develop their **industrial** strategies and
improve their national market surveillance and intellectual property systems; (ii) promote
sustainable, resilient and digital **tourism** ecosystem; and (iii) accelerate the **digital**
**transition.**

19

### **II. Access to private capital**

DG REFORM’s support helps to improve Member States’ capabilities to execute reforms
that **facilitate access to much-needed private capital for driving digital and**
**sustainable transformations.** The support covered a wide range of policy areas,
including the Capital Markets Union, the Banking Union and the implementation of the
digital finance strategy and the EU sustainable finance framework.

In 2023, DG REFORM helped all **27 Member States** to expand their investment
opportunities and to build a more stable, resilient and competitive financial system,
necessary for increasing private investment. DG REFORM provided recommendations
and helped Member States to put in place a strategic approach on developing local
capital markets. This consisted of developing policies to make the transition to a
sustainable economy, modernising insolvency frameworks, boosting the supervisory
capacities of national authorities through digitalisation, supervisory convergence,
supporting the development of both the private and public investors bases and
improving the financial literacy of people and businesses.

20

### **III. Public investment and infrastructure**

DG REFORM’s support to Member States helps them boost their capacity to deliver
reforms on **public investment management and infrastructure governance.** The
support covers a wide range of policy areas, taking both a cross-cutting and a sectorspecific angle, from optimising public investment management practices to enhancing
infrastructure planning to deliver on the green and digital transition.

In 2023, DG REFORM provided support to **20 Member States** (AT, BE, BG, CZ, DE,
EL, ES, FI, HU, IE, IT, LT, LV, MT, NL, PL, PT, RO, SK and SI), including under TSI
flagship initiatives, to: (i) optimise the allocation of public funds; (ii) ensure their efficient
utilisation and alignment with overarching EU and national policy objectives, such as the
Green Deal; (iii) strengthen the institutional capabilities of Member States in project
planning, execution and evaluation; and (iv) develop and improve public infrastructure
in areas such as energy, transport and digital connectivity. Through this support, DG
REFORM aimed to elevate the quality and impact of public investments for sustainable
growth and resilience in the EU.

21

### **IV. Research and innovation**

DG REFORM’s support to Member States boosts their capacity to deliver reforms **for**
**enhanced research and innovation** . It has also helped them achieve the objectives of
the **Commission Communication on a new Research Area for Research and**
**Innovation** **[13]** and of the **European Strategy for Universities** **[14]** **.** The support covers a
wide range of policy areas, ranging from decarbonisation and digitalisation to
demographics. It includes the promotion of strategies, policies and tools to promote new
knowledge and breakthrough innovation that will drive the green and digital
transformations. It also includes the re-engineering of national research and innovation
institutions.

In 2023, DG REFORM provided support to **16 Member States** (BG, CY, CZ, DE, EE,
ES, FR, HR, HU, IT, LV, NL, PL, PT, SI and SK) on research and innovation, which
created opportunities to **modernise** **higher education** to better address labour market
needs and boost **knowledge exchange between universities, research and**
**businesses** . **Evidence-based policymaking** was also strengthened through
facilitating peer learning, partnerships and policy experimentation. This helped to

13 COM(2020) 628 final.
14 COM(2022) 16 final.

22

potentially create long-term benefits in the area of **competitiveness, social progress**
**and sustainable economic development** .

### **V. Energy**

DG REFORM’s support to Member States **boosts their capacity to deliver energy**
**reforms.** The support covers a wide range of policy areas, ranging from sourcing
renewable energy to the Just Transition and energy efficiency.

23

In 2023, DG REFORM provided support to **23 Member States** (AT, BE, BG, CZ, DK,
EE, FI, FR, EL, HR, HU, IE, LV, LT, MT, NL, PL, PT, RO, SK, SI, ES and SE), including
under TSI flagship initiatives, to accelerate **permits for renewable** energy projects; to
support the implementation of the **Just Transition** ; and to support the **Renovation**
**Wave** .

### **VI. Circularity**

DG REFORM’s support to Member States **boosts their capacity to deliver reforms**
**to move towards a more circular and competitive economy.** The support covers,
among others, waste management and critical raw materials.

In 2023, DG REFORM provided support to **11 Member States** (AT, CZ, DK, EL, ES, FI,
HU, IT, PT, RO and SE), including under a TSI flagship initiative, to: (i) develop national
circular economy **strategies**, action plans and monitoring mechanisms; (ii) build a
knowledge base for the transition of **SMEs** ; (iii) introduce regulations for **waste**
management; (iv) create a data set and planning tool for **raw material** flows and stocks;
and (v) enhance the circularity of **mining** .

24

### **VII. Digitalisation**

DG REFORM’s support to Member States contributes to their digital transformation,
aligning with the Commission priority of a **Europe fit for the digital age** and achieving
the targets of the **Digital Decade** . The digitalisation of public administration is essential
for individuals and businesses to prepare the ground for a competitive EU economy. The
support covers a **wide range of policy areas**, ranging from interoperability, artificial
intelligence (AI) and business process re-engineering and data-informed decision
making to digital skills.

In 2023, DG REFORM provided support to all Member States, including under TSI
flagship initiatives, to progress with their digitalisation and improve digital service
delivery, data-management, employing AI and ensuring system interoperability.

25

### **VIII. Education and skills**

DG REFORM’s support to Member States contributed to boosting their **education,**
**skills and talent attraction policies** aimed at ensuring a skilled workforce. The support
enhanced their capacity to design and implement reforms to lay the foundations for
inclusive skills development from an early age and to provide systematic upskilling and
reskilling opportunities, including for disadvantaged groups. Additional reforms were
also aimed at attracting talent from outside the EU.

In 2023, DG REFORM provided support to all **27 Member States** through individual,
multi-country and TSI flagship projects to improve the quality and labour market
relevance of school education, vocational education and training, higher education, adult
education, as well as systems for reskilling and upskilling, to ensure high quality in the
teaching workforce, to retain and attract skilled workers from outside the EU, to
accelerate the recognition of foreign skills and qualifications and to facilitate access to
high-quality early childhood education and care so parents can work outside the home.

26

### **IX. Trade and open strategic autonomy**

DG REFORM’s support to Member States boosts their capacity to deliver reforms **for**
**trade and open strategic autonomy.** Support in this area includes the development of
strategies, policies and tools to facilitate foreign investments, reduce dependencies,
promote competition and enhance economic security and resilience.

In 2023, DG REFORM provided support to **eight Member State** (EL, ES, FI, LV, PL,
PT, RO and SE) to develop and enhance the resilience of their industrial ecosystems,
mitigate the reliance to essential resources and promote more resilient supply chains.

Overall, in 2023, DG REFORM effectively supported Member States in key reforms and
capacity building on competitiveness. However, in future, Member States will continue
to face significant challenges in building a more competitive and resilient economic base
that is fit for the green and digital transitions.

27

## **CONCLUSION**

In 2023, DG REFORM stepped up its communication activities to make national
authorities aware of the opportunities available under the TSI and further increase
accountability of support provided through this instrument. This led to the receipt of 530
high-quality requests for support in the TSI 2023 cycle, a total which again exceeded
the programme’s capacity and was testament to the national authorities’ interest in the
opportunities offered by this instrument.

Following the assessment and selection process, **231 requests were selected for**
**EUR** **119.7 million under the TSI 2023** general call, leading to the design of **151**
**projects** to support **326 cutting-edge reforms** in all Member States. 30% of the 231
selected requests were related to the digital transition, and 35% were related to the
European Green Deal. Furthermore 66% of the 151 TSI 2023 projects are directly or
indirectly linked to national recovery and resilience plans.

The steep **increase in multi-country projects** over the last 3 years is an indicator of
the capacity of the TSI to bring further ‘EU added value’ and to facilitate the exchange
of good practices and mutual learning opportunities among national administrations. The
TSI 2023 also showed a **strong uptake of TSI flagship projects** compared to TSI 2022
when the concept was first introduced.

DG REFORM supported Member States with the implementation of the TSI projects,
including those from previous cycles, ensuring these were successful and that their
outputs remained in line with Member States’ objectives. The projects covered a wide
range of policy areas, in line with requests by national authorities. One area, highlighted
in this report, was **competitiveness,** for which all 27 Member States received support,
ranging from support for a functioning single market to public investment and
infrastructure, digitalisation and education and skills.

[The adoption in October 2023 of the Communication on Enhancing the European](https://reform-support.ec.europa.eu/public-administration-and-governance-coordination/enhancing-european-administrative-space-compact_en)
[Administrative Space (](https://reform-support.ec.europa.eu/public-administration-and-governance-coordination/enhancing-european-administrative-space-compact_en) **ComPAct** ), which proposes concrete actions to help public
administrations meet the needs of people and businesses across Europe, strengthens
the role the TSI can play in helping national administrations build capacity to design and
implement reforms and to exchange best practices, in particular through the **PACE** TSI
flagship project.

Based on feedback received from beneficiary authorities at project level and from
coordinating authorities at country level, **Member States appreciated the support**
provided through the TSI, in particular the active role they can play in designing and
implementing projects and the **effective communication by DG REFORM** .

28

### **–** **Annex 1  The TSI annual cycle**

29

### **–** **Annex 2  2023 TSI general call: requests by Member State**

30