Source: EURLEX
Language: en
Format: md

**Council of the**
**European Union**

**Interinstitutional File:**

**2021/0293(COD)**

**PROPOSAL**

**Brussels, 16 September 2021**
**(OR. en)**

**11900/21**

**TELECOM 339**
**DIGIT 125**
**CYBER 236**
**COMPET 636**
**RECH 404**
**PI 83**
**MI 676**
**EDUC 298**
**JAI 988**
**ENFOPOL 323**
**COSI 171**
**CODEC 1221**

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

date of receipt: 15 September 2021

To: Mr Jeppe TRANHOLM-MIKKELSEN, Secretary-General of the Council
of the European Union

No. Cion doc.: COM(2021) 574 final

Subject: Proposal for a DECISION OF THE EUROPEAN PARLIAMENT AND OF
THE COUNCIL establishing the 2030 Policy Programme “Path to the
Digital Decade”

Delegations will find attached document COM(2021) 574 final.

Encl.: COM(2021) 574 final

11900/21 EM/ek

## TREE.2.B EN

EUROPEAN

COMMISSION

Brussels, 15.9.2021
COM(2021) 574 final

2021/0293 (COD)

Proposal for a

**DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL**

**establishing the 2030 Policy Programme “Path to the Digital Decade”**

(Text with EEA relevance)

{SWD(2021) 247 final}

# **EN EN**

**EXPLANATORY MEMORANDUM**

**1.** **CONTEXT** **OF** **THE** **PROPOSAL**

**Reasons for and objectives of the proposal**

On 9 March 2021, the Commission adopted the Communication “The 2030 Digital Compass:
the European way for the Digital Decade” (‘Digital Compass Communication’) [1] . The
Communication presented a vision, targets and avenues for a successful digital transformation
of the European Union by 2030. This transformation is also critical to achieve the transition
towards a climate neutral, circular and resilient economy. The EU's ambition is to be digitally
sovereign in an open and interconnected world, and to pursue digital policies that empower
people and businesses to seize a human centred, sustainable and more prosperous digital
future. This includes addressing vulnerabilities and dependencies as well as accelerating
[investment. The Communication responded to the European Council's call for a ‘Digital](https://www.consilium.europa.eu/en/press/press-releases/2020/10/02/european-council-conclusions-1-2-october-2020/)
[Compass', and built on the Commission's digital strategy of February 2020](https://ec.europa.eu/info/strategy/priorities-2019-2024/europe-fit-digital-age/shaping-europe-digital-future_en) [2] . The
Communication proposed to agree on a set of digital principles, to launch rapidly important
multi-country projects, and to prepare a legislative proposal setting out a robust governance

–
through a monitoring and cooperation mechanism with Member States, to ensure progress
the Policy Programme “Path to the Digital Decade (‘Policy Programme’)”.

In its conclusions of 25 March 2021, the European Council stressed the importance of the
digital transformation for the Union recovery, prosperity, security and competitiveness and for
the well-being of our societies. It underlined the need to enhance EU’s digital sovereignty in a
self-determined and open manner, by building on its strengths and reducing its weaknesses
and through smart and selective action, preserving open markets and global cooperation. It
identified the ‘Digital Compass Communication: the European way for the Digital Decade’ as
a step towards charting the EU’s digital development for the next decade. It invited a swift
review with a view to the preparation of the envisaged Policy Programme “Path to the Digital
Decade”. In addition, it invited the Commission to widen the European Union’s policy
toolbox for digital transformation, both at the European Union and national level, and to use
all available instruments from industrial, trade and competition policy, skills and education,
research and innovation policy and long-term funding instruments to facilitate the digital
transformation.

The Digital Compass Communication also announced that the Commission would present a
set of digital principles and rights in an interinstitutional solemn declaration between the
European Commission, the European Parliament and the Council, based on a proposal from
the European Commission. The proposal will build on the experience of the European Pillar
of Social Rights, and on Member States’ recent initiatives in the area, in particular the
“Lisbon Declaration – Digital Democracy with a Purpose” initiated by the Portuguese
Presidency of the Council.

1
Communication from the Commission to the European Parliament, the Council, the European Economic
and Social Committee and the Committee of the Regions 2030 Digital Compass: the European way for the
Digital Decade, COM/2021/118 final/2, 9. 3. 2021.
2
Communication from the Commission to the European Parliament, the Council, the European Economic
and Social Committee and the Committee of the Regions: Shaping Europe’s Digital Future, COM(2020)67
final, 19. 2. 2020.

# EN 1 EN

The “Path to the Digital Decade” aims to ensure that the European Union achieves its
objectives and targets towards a digital transformation of our society and economy in line
with the EU´s values, reinforcing our digital leadership and promoting human centred,
inclusive and sustainable digital policies empowering citizens and businesses. The objective is
to deliver the EU’s digital transformation in line with this vision by establishing a clear,
structured and collaborative process to achieve such result.

To this end, the “Path to the Digital Decade” sets out the concrete digital targets which the
Union as a whole is expected to achieve by the end of the decade, as first delineated in the
Digital Compass Communication. It then sets out a novel form of governance with Member
States, through a mechanism of annual cooperation between the Unions institutions and the
Member States to ensure that the Union jointly achieves its ambition. The digital targets for
2030 are based on four cardinal points: digital skills, digital infrastructures, digitalisation of
businesses and of public services.

In the world of tomorrow, digital skills, basic and advanced, will be essential to reinforce our
collective resilience as a society: only digitally empowered and capable citizens and a highly
skilled digital workforce can be the masters of their own destiny, confident and assertive in
their means, value and choices. While of course aiming at endowing the whole population of
the European Union with basic digital skills, following the European Pillar of Social Rights
Action Plan, and Digital Education Action Plan [3], the “Path to the Digital Decade” projects the
target for those aged 16-74 with at least basic digital skills to 80% in 2030. Moreover, digital
training and education should support a workforce in which people can acquire specialised
digital skills to get quality jobs and rewarding careers. In addition, addressing the major
shortage of cybersecurity skills in the EU workforce will be essential, as an important
component of protecting the EU against cyber threats. Therefore, in addition to the target on
basic digital skills established in the European Pillar of Social Rights Action Plan, the EU
shall have a target of 20 million employed Information and Communication Technologies
specialists in the EU, with convergence between women and men.

If skills are a necessary prerequisite, essential enablers for taking advantage of the benefits of
digitisation, for further technological developments and for Europe’s digital leadership is a
sustainable digital infrastructure for connectivity, microelectronics and the ability to process
vast data. Excellent and secure connectivity for everybody and everywhere in Europe
including in rural and remote areas [4] will allow all European citizens and businesses to fully
enjoy the opportunities of the Digital Decade. Societal needs for download and upload
bandwidth are constantly growing. By 2030, networks with gigabit speeds should be
available at accessible conditions for all those who need or wish such capacity, and with all
populated areas covered by 5G. The same way, microprocessors are at the start of most of the
key, strategic value chains such as connected cars, phones, Internet of Things, high
performance computers, edge computers and Artificial Intelligence. Therefore, the production
of cutting-edge and sustainable semiconductors in Europe including processors should be by
2030 at least 20% of the world production in value (meaning manufacturing capacities below
5nm nodes, aiming at 2nm, and 10 times more energy efficient than today). In addition,

3
Digital Education Action Plan 2021-2027 Resetting education and training for the digital age
COM/2020/624 final.

4
Long-term Vision for the EU’s Rural Areas. COM(2021) 345 final

# EN 2 EN

10,000 climate neutral highly secure edge nodes [5], should be deployed in the EU by 2030, in a
way that guarantees access to data services with low latency wherever businesses are located.

Beyond enablers, all the mentioned technology will be at the core of new products, new
manufacturing processes and new business models based on fair sharing of data [6] in the data
economy. In this context no businesses can be left behind. The transformation of businesses
will depend on their ability to adopt new digital technologies rapidly and across the board,
including in industrial and services ecosystems that are currently lagging behind. This is
particularly important for the small business which constitute the backbone of the European
economy. This is why by 2030 at least 75% of European enterprises should have taken up
cloud computing services, big data and Artificial Intelligence; and more than 90% of
European SMEs should have reached at least a basic level of digital intensity. Specific
attention should be given to cutting-edge and disruptive innovation aiming at doubling the
number of unicorns in Europe by 2030, through growing the pipeline of EU’s innovative scale
ups and improving their access to finance.

Last, but not least, democratic life and public services online by 2030 must be fully accessible

–
for everyone, and everyone must benefit from a best in-class digital environment providing
for easy-to-use, efficient and personalised services and tools with high security and privacy
standards. Government as a Platform is the new way of building digital public services [7] . The
ambition is that by 2030 all online provision of key public services are available for European
citizens and businesses, that all European citizens have access to their medical records (erecords) and that 80% of citizens will use a digital ID solution [8] .

Achieving these targets requires a joint effort by all Member States and at the Union level,
with, where necessary, joined up investments. It will only happen in a harmonious, inclusive
and sustainable way, through a purposely coordinated convergence at Union level. This is the
objective of the novel governance system established in the “Path to the Digital Decade”.

It entails the monitoring and reporting on digital progress which will be presented in an
annual report on the “State of the Digital Decade”, to be submitted to the Parliament and
Council. On that occasion, the Commission would share its strategic assessment of the EU’s
digital transformation with Council and Parliament, and would provide recommended actions
and measures to Member States or discuss joint commitments undertaken between the
Commission and the Member States.

To deliver the European vision for the Digital Decade, digital capacities are needed in the four
areas of the Digital Compass, which can only be delivered if Member States and the EU pool
resources. Investment in Multi-Country projects that have the necessary scale, and critical
mass is essential to enable the industry to be at the cutting edge of innovation and compete
globally, and for the Union to enhance its digital sovereignty. The challenge is however to
facilitate coordination and provide efficient and speedy processes, including “through

5 ‘Edge nodes’ are computers connected to the network and located close to (or in) the physical endpoint
where the data is generated. Edge nodes offer distributed data processing and storage capabilities with low
latency, without having to transmit data to remote centralized data centre or cloud infrastructure.
6
The FAIR data principles stipulate that such data should, in principle, be findable, accessible, interoperable
and re-usable. https://www.force11.org/group/fairgroup/fairprinciples.
7 See also 2020 Berlin Declaration on Digital Society and Value-Based Digital Government.
8
The forthcoming proposal on the European Health Data Space will help to achieve this objective.

# EN 3 EN

appropriate vehicles to support multi-country projects” as called for by the European Council,
to create incentives for Member States to pool their strengths together. While a number of
instruments exist, there is a gap in the EU’s toolbox to combine funding from Member States,
the EU budget and private investment for the purposes of deploying and operating
infrastructures and services of common interest, outside the research area.

To this end, the “Path to the Digital Decade” aims to support and coordinate deploying and
operating Multi-Country Projects. It provides for a legal structure enabling the swift and
flexible set-up and implementation of projects co-funded by several Member States, the
Commission, EIB Group, public and private investors, and other private parties, in particular
for the deployment across countries of large-scale digital infrastructures and/or services, while
ensuring that they remain open to all interested Member States and parties.

**Consistency with existing policy provisions in the policy area**

The present Policy Programme “Path to the Digital Decade” complements, fulfils and
implements the vision, targets and actions envisaged in the Digital Compass Communication
and aims to consolidate and ensure that the actions defined in the 2019 Strategy for Shaping
Europe’s digital future [9] are effectively implemented. This proposal is also consistent with the
Commission’s Communication updating the 2020 new industrial strategy [10], which identifies
areas of strategic dependencies that could lead to vulnerabilities such as supply shortages or
cybersecurity risks. This proposal is also consistent with the objectives of the Observatory for
Critical Technologies, which aims to help identify the Union’s current and possible future
digital strategic dependencies and contribute to strengthening its digital sovereignty.

**Consistency with other Union policies**

This Decision also builds on existing policy proposals (e.g. the Data Governance Act [11], the
Digital Services Act [12], the Digital Markets Act [13] and those under the Cybersecurity
Strategy [14] ), and Union budget instruments (e.g. Cohesion programmes, the Technical Support
Instrument, the Digital Europe Programme [15], Horizon Europe [16] and InvestEU [17] ) and on the

9
Communication from the Commission to the European Parliament, the Council, the European Economic
and Social Committee and the Committee of the Regions: Shaping Europe’s Digital Future, COM(2020)67
final, 19. 2. 2020.
10
Communication from the Commission to the European Parliament, the European Council, the Council, the
European Economic and Social Committee and the Committee of the Regions, “Updating the 2020 New
Industrial Strategy: Building a stronger Single Market for Europe’s recovery” COM(2021) 350 final.
11
Proposal for a Regulation of the European Parliament and of the Council on European data governance
(Data Governance Act), COM(2020) 767 final.
12
Proposal for a Regulation of the European Parliament and of the Council on a Single Market For Digital
Services (Digital Services Act) and amending Directive 2000/31/EC, COM(2020) 825 final.
13
Proposal for a Regulation of the European Parliament and of the Council on contestable and fair markets in
the digital sector (Digital Markets Act), COM(2020) 842 final.
14
Joint Communication to the European Parliament and the Council: The EU's Cybersecurity Strategy for the
Digital Decade, JOIN/2020/18 final.
15
Regulation (EU) 2021/694 of the European Parliament and of the Council of 29 April 2021 establishing the
Digital Europe Programme and repealing Decision (EU) 2015/2240, OJ L 166, 11.5.2021, p. 1.
16
Regulation (EU) 2021/695 of the European Parliament and of the Council of 28 April 2021 establishing

–
Horizon Europe the Framework Programme for Research and Innovation, laying down its rules for
participation and dissemination, and repealing Regulations (EU) No 1290/2013 and (EU) No 1291/2013,
OJ L 170, 12.5.2021, p. 1.

# EN 4 EN

minimum 20% earmarking for digital transition of the Recovery and Resilience Facility [18] .
This proposal is also consistent with the Security Union Strategy [19], the Skills Agenda of the
EU, the Digital Education Action Plan [20], and builds on the 2021 Strategic Foresight Report [21],
which underpins EU’s global leadership on the path towards 2050.

This proposal is also consistent with the initiatives presented by the Commission under the
Green deal package [22] .

While the Policy Programme “Path to the Digital Decade” concerns only EU Member States,
cooperation with third countries will continue in parallel, also as set out in the Digital
Compass Communication. In particular, cooperation with the EU neighbourhood and
enlargement partners will also address relevant aspects of the Policy Programme “Path to the
Digital Decade” and be informed by it, paving the way for full integration, where relevant.

**2.** **LEGAL** **BASIS,** **SUBSIDIARITY** **AND** **PROPORTIONALITY**

**Legal basis**

The legal basis for this decision is Article 173(3) of the Treaty on the Functioning of the
European Union (TFEU).

Article 173(3) TFEU provides that the Parliament and the Council, acting in accordance with
the ordinary legislative procedure and after consulting the European Economic and Social
Committee, may decide on specific measures in support of action taken in the Member States
to ensure that the conditions necessary for the competitiveness of the Union’s industry are in
place. This legal basis is appropriate given that this decision aims to accelerate the digital
transformation of EU industry, reinforce digital sovereignty, boost industrial capacities,
facilitate the development of innovative start-ups and small and medium-sized enterprises
(SMEs), and encourage new investments in innovation, research and technological
development.

In this context, it is particularly relevant that the Recovery and Resilience Facility Regulation
provides for reforms and investments in digital technologies, infrastructure, skills and
processes to improve the Union’s global competitiveness and help make it more resilient,
more innovative and less dependent by diversifying key supply chains. In particular, reforms
and investments should promote the digitalisation of services and the development of digital
and data infrastructure, clusters and digital innovation hubs, and open digital solutions. The
digital transition should also incentivise the digitalisation of SMEs. Investments in digital
technologies should respect the principle of interoperability, energy efficiency and comply
with personal data protection, allow for the participation of SMEs and start-ups, and promote
the use of open-source solutions.

17
Regulation (EU) 2021/523 of the European Parliament and of the Council of 24 March 2021 establishing
the InvestEU Programme and amending Regulation (EU) 2015/1017, OJ L 107, 26.3.2021, p. 30.
18
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.
19
Communication on the EU Security Union Strategy. COM(2020) 605 final.
20
Communication on Digital Education Action Plan 2021-2027. COM/2020/624 final.
21 COM(2021) 750 final of 8.9.2021 – “2021 Strategic Foresight Report - The EU’s capacity and freedom to
act”.

22
https://ec.europa.eu/info/strategy/priorities-2019-2024/european-green-deal_en.

# EN 5 EN

**Subsidiarity (for non-exclusive competence)**

The initiative is in an area of shared competence in which relevant cross-border and
transnational problems should be addressed.

The digital transformation concerns all policy areas and requires joint action from a variety of
stakeholders, and the involvement of Member States, including across borders. The
challenges in achieving the objectives and targets will require a rapid and coordinated EUlevel response. Subscribing to common principles and targets, pooling resources, building
capacity and deploying broadly across the Union can strengthen the entire EU economy, and
allow the Union to compete globally and shape a global digital transformation anchored in
European fundamental values and rights. Failure to invest and deploy technologies and to
develop digital skills of citizens to empower them to benefit fully from digital technologies
could limit the EU’s ability to address the pressing climate and other sustainability challenges.

Action at EU level is clearly the best means of driving European actors to achieve common
visions, objectives and targets, and adopt common technological roadmaps that provide a
basis for global standards and norms. This is key to generate economies of scale and of scope,
and the critical mass necessary for cutting-edge capacities, thus limiting (if not avoiding) a
fragmentation of efforts in the EU and suboptimal national solutions.

It is expected that this novel form of governance, through the reporting framework and a
functional monitoring and cooperation mechanism between the Member States and the
Commission, will bring broader economic, social and environmental benefits for the Member
States and for stakeholders. The robust monitoring and cooperation mechanism will help
ensure that the EU and its Member States collectively achieve the Digital Decade objectives
and find coordinated and effective solutions to common challenges in an affordable manner.
Broad reporting activity will ensure transparency for all stakeholders. This is imperative in
view of the considerable investment needs of digital transformation over the next decade.

**Proportionality**

This proposal builds on existing policy initiatives and legal frameworks and is proportionate
to achieve its objectives and targets. First, this Policy Programme complements the Digital
Compass Communication, which announced its preparation and is fully endorsed by the
European Council.

In addition, it does not go beyond what is necessary to reach its objectives and targets since it
establishes a novel mechanism for structured and transparent cooperation among the Member
States and the Commission, which should lead to agreed policies, measures and actions to be
put in place at national and at Union level. Furthermore, this proposal provides that the
Commission may recommend to the Member States policies, measures and actions to be taken
at Union and at national level, in particular to those Member States where progress towards
the set objectives and targets is insufficient or gaps have been identified based on the report
on the state of the Digital Decade and the subsequent cooperation process. Where a Member
State fails to adopt adjustments to its national Digital Decade strategic roadmap taking into
account the Commission recommended policies, measures and actions or where the reasons
provided for failing to do so are considered to be insufficient, the Commission may adopt a
recommendation, including a specific analysis of how this failure could impact the
achievement of the objectives and the digital targets at Union level. Member States should
take utmost account of such recommendations and, where they decide not to address a
recommendation or a substantial part thereof, they should provide their reasons and make
them public.

# EN 6 EN

**Choice of the instrument**

The Digital Compass Communication includes a reference to a Digital Compass in the form
of a digital policy programme to be adopted by the European Parliament and the Council via
the “ordinary legislative procedure”.

Given that the Policy Programme “Path to the Digital Decade” is mainly addressed to
Member States and establishes a cooperation mechanism between the Commission and the
Member States, the most appropriate legal instrument is a Decision. A Decision will render
binding a monitoring and cooperation mechanism involving the Commission and the Member
States with a view to support and achieve the indicative EU targets set out in the Decision. A
Decision produces immediate direct effects towards those to whom it is addressed.

Therefore, it is proposed to adopt the Policy Programme “Path to the Digital Decade” in a
form of a Decision based on Art. 288(4) TFEU. Such decision shall be binding in its entirety
and specify those to whom it is addressed and it shall be binding only on them.

**3.** **RESULTS** **OF** **EX-POST** **EVALUATIONS,** **STAKEHOLDER**
**CONSULTATIONS** **AND** **IMPACT** **ASSESSMENTS**

**Stakeholder consultations**

The Commission encouraged stakeholders and citizens to provide input on the purpose and
scope of the Policy Programme; the concrete measures under the Programme and took into
account the feedback received. The Commission published a roadmap [23] for a four week
feedback period (between 24 June and 22 July 2021). Moreover, the Commission launched a
six week targeted public consultation [24] (from 22 June to 3 August 2021) to allow all interested
stakeholders to provide input and to measure and generate multi-stakeholder support for the
development of the policy programme. A space on the Futurium platform [25] was also created
to interact with stakeholders on specific issues. In order to ensure the widest engagement
possible of all relevant stakeholders, including representatives of industry, society, of the
European Parliament and Member States, the Commission also organised a high level event
(Digital Assembly on 1 June), engaged in inter-institutional discussion with the co-legislators
(European Parliament and Council), and carried out a consultation with European Economic
and Social Committee and European Committee of the Regions.

Consulted stakeholders were overall supportive of the Commission’s initiative and its
intention to operationalise the EU’s digital ambition into a concrete monitoring and reporting
mechanism. They support the Commission taking this next step of setting out a dedicated
monitoring and cooperation mechanism to organize the cooperation among the Union
institutions and the Member States. Existing structures, monitoring, reporting, should be
aligned and reinforced at the EU level, therefore a structured cooperation and progress
monitoring and reporting on the Union level would add significant value to a common vision
for a Europe fit for the digital age.

23
https://ec.europa.eu/info/law/better-regulation/have-your-say/initiatives/13089-Policy-programme-DigitalDecade-Compass_en.
24
https://digital-strategy.ec.europa.eu/en/consultations/consultation-and-discussion-forum-eus-2030-digitaldecade-vision.

25
https://futurium.ec.europa.eu/en/digital-compass.

# EN 7 EN

Many respondents pointed out that the success of the digital transformation is closely linked
to the technologies identified in the digital compass. The chosen cardinal points are relevant
and well balanced and concrete enough. They consider that the upcoming Policy Programme
will introduce a new monitoring and cooperation mechanism for close cooperation and
effective coordination between the Commission and Member States. This strategic approach
is essential to create appropriate links between Member States at political and expert level for
the successful implementation of multinational projects. Besides targets, respondents consider
that Member States and the Commission should do more on the inducement and coordination
of investments at EU level around a few priorities stemming from the EU’s wider digital
agenda. To ensure a full and successful digital transformation across the EU and to the benefit
of European citizens, businesses and public administration, a comprehensive and adapted
regulatory framework is needed. It will bring the required visibility and security for private
and public actors to implement the levers to achieve the common EU digital targets for 2030.
Many respondents consider the support and promotion of the exchange of cooperation and
sharing of best practices across Member States as a priority action to accelerate the progress
towards the Digital Decade targets.

Some respondents also underlined that the contribution to higher order societal objectives
should be prioritised making sure that the impact of the digital transformation to societal
objectives should be regularity assessed as the quality and direction of the digital growth is
also important, and needs to be ensured through strategic priorities and principles that will be
used alongside quantitative indicators. Many underlined that it is important to take into
account and have a better assessment of the environmental impacts of digitalisation in the
digital transformation, in order to reduce them while at the same time making digital
technologies supportive of the green transition.

**Collection and use of expertise**

The Commission relied on a solid and wide set of evidence in support of the approach
proposed in the Digital Compass Communication and concretised by way of this Policy
Programme “Path to the Digital Decade”.

[On targets and indicators, the Policy Programme relies notably on an enhanced Digital](https://ec.europa.eu/digital-single-market/en/countries-performance-digitisation)
[Economy and Society Index (DESI), which is a composite index that monitors Europe’s](https://ec.europa.eu/digital-single-market/en/countries-performance-digitisation)
digital performance and tracks the evolution of EU Member States in digital competitiveness,
including the analysis of national digital policies. Key studies collecting data for DESI on
broadband coverage and prices, e-government benchmarking and business survey also
contribute to the process of gathering the relevant data. A holistic perspective of the EU’s
digital vulnerabilities and capacities, also linked to other dimensions of resilience (green,
social and economic, and geopolitical), is provided by the digital Resilience Dashboards [26] .

Along many other studies referenced to in the Communication, a study released by McKinsey
in September 2020 [27] presents an up-to-date and in-depth analysis of the challenges ahead for
the EU on its digital transformation and of the actions needed to make the best of it.

26 Resilience Dashboards | European Commission (europa.eu).
27
[McKinsey report, Shaping the digital transformation in Europe, September 2020](https://ec.europa.eu/digital-single-market/en/news/shaping-digital-transformation-europe) .

# EN 8 EN

**Impact assessment**

Following the guidelines in the Better Regulation Toolbox, the Commission did not consider
an Impact Assessment as necessary and instead provided a SWD to accompany the proposal
of the Decision. The 2030 Digital Compass: the European way for the Digital Compass
Communication, which had been endorsed by the European Council, had already outlined a
detailed monitoring and cooperation mechanism that has been closely followed in the
proposal of the Decision. As a number of elements had been firmly set in the Communication
(e.g. targets, monitoring and cooperation mechanism, framework for the implementation of
Multi Country Projects), a very limited room remained for manoeuvre in terms of policy
options, the analysis of which is at the core of an Impact Assessment.

In line with the Communication, the proposed Decision lists common digital targets along
four cardinal points to translate the EU’s ambition for a successfully digitalised Union by
2030 into common concrete objectives. The proposed Decision specifies only how the targets
will be measured. Furthermore, the novel form of governance, through the monitoring and
cooperation mechanism, relies notably on the already existing DESI, a composite index
monitoring the EU’s digital performance that will be enhanced to reflect the new targets.
While the proposed Decision provides for a monitoring and cooperation mechanism that aims
to enable the monitoring of the progress towards the achievement of the targets, possible
concrete actions that may be suggested as a result of the monitoring will only be an outcome
of an iterative and cooperative process between the Commission and the Member States to
take place subsequently, in the form of recommended actions. Since the concrete actions will
necessarily only be identifiable following the establishment of the monitoring and cooperation
mechanism, and in particular as outcome of the monitoring process, the precise impact of the
Programme in this particular aspect cannot be identified ex ante.

Since spectrum is an essential enabler for progress towards the Digital Decade targets, in
particular for the achievement of a secure, performant and sustainable digital infrastructure,
Member States should also report on their adopted and future policies and measures regarding
the availability and possibility to use radio spectrum for existing users and prospective
investors and operators The Commission could provide guidance on how best to organise
such policies and measures in order to meet the general objectives and digital targets of this
decision. This is without prejudice to the possibility for the Commission to propose new
strategic spectrum policy orientations or mechanisms under Article 4 (4) of Directive (EU)
2018/1972 of 11 December 2018.

The Policy Programme “Path to the Digital Decade” also foresees a mechanism for a legal
structure enabling the swift and flexible set-up and implementation of Multi-Country projects,
in particular for the deployment across countries of large-scale digital infrastructures and/or
services. The combination of the funds from centrally managed Union programme with
resources committed by Member States should be possible, including, under certain
conditions, contributions from the Recovery and Resilience Facility, as explained in Part 3 of
the Commission guidance to Member States on Recovery and Resilience Plans [28] . The legal
structure will provide for standard arrangements governing common issues such as
governance of the project, liability, ownership, and management of data as well as the pooling
of multiple funding sources, which may include i.a. directly and indirectly managed Union
programmes, Member States’ contributions and private funding. This will constitute an option

28 Brussels, 22.1.2021 SWD (2021) 12 final.

# EN 9 EN

for implementing Multi-Country Projects, and the mechanism will remain voluntary for
Member States. The precise details regarding funding, implementation and participation in
particular projects, as well as the specific areas, will not be set out in this Policy Programme.
These will only be available in the years to come and depend on the support from Member
States.

As evident from the above, the proposal does not provide for concrete substantive policy
choices, but rather for a methodological and governance framework, which is agnostic to
future concrete measures based on it. Details regarding the impacts of the suggested
framework are dependent on its further implementation (and therefore operationalisation) at
the EU and national level. Based on above, the Commission consolidated the existing
evidence in a SWD that accompanies the proposal. With regard to Multi Country Projects in
particular, the SWD shows that, firstly, a procedural framework for the acceleration of the
implementation of MCPs is necessary and, secondly, that it is necessary to provide Member
States with an option of implementing MCPs through a new instrument which can be used
where no existing instruments are suitable for a given Multi-Country Project. This new
instrument, the European Digital Infrastructure Consortium (EDIC), does not involve the
actual setting up of a new Union body and is not targeted at one specific Multi-Country
Project, but addresses a gap in the EU’s toolbox to combine funding from Member States, the
EU budget and private investment for the purposes of deploying and operating infrastructures
and services of common interest, outside the research area.

**4.** **BUDGETARY** **IMPLICATIONS**

The proposal has no implications for the EU budget. In particular, new tasks of the
Commission related to its role as Multi-Country Project Accelerator will be performed using
resources that would have been expended otherwise to provide ad hoc support to Member
States’ projects in the areas covered by Multi-Country Projects. By pooling these scattered
resources, efficiency gains will be achieved without extra costs to the Union’s budget.

**5.** **OTHER** **ELEMENTS**

**Implementation plans and monitoring, evaluation and reporting arrangements**

Monitoring of the implementation, evaluation and reporting is set out in more detail in the
description of the specific provision below. In essence, the Commission will annually report
on the progress of the “Path to the Digital Decade” to the European Parliament and the
Council via the “ **Report of the state of the Digital Decade** ”. That report in turn triggers a
monitoring and cooperation mechanism between the Commission and the Member States that
is described in more detail in the description of the specific provisions below.

**Detailed explanation of the specific provisions of the proposal**

The subject matter and scope of the Decision is laid out in **Article 1**, which establishes the
Policy Programme “Path to the Digital Decade” including a related monitoring and
cooperation mechanism and monitoring. **Article 2** describes the general objectives of the
Decision which consist in the promotion of a human-centred, secure and open digital
environment; in the reinforcing of Member States’ collective resilience; in ensuring a secure
and accessible digital infrastructure; in the promotion of the deployment and use of digital
capabilities; in ensuring the accessibility of democratic life and online public services; in
ensuring that digital infrastructures and technologies become more sustainable and energyand resource efficient as well as in ensuring that all existing policies which are relevant to the

# EN 10 EN

achievement of the digital targets are taken into account to fully contribute to the digital
transition.

**Article 3** contains definitions of certain terms used in the Decision.

**Article 4** sets out the targets in regard to which the Union institutions and Member States
should cooperate, set out along four “cardinal points”, i.e. a digitally skilled population and
highly skilled digital professionals; secure and performant sustainable digital infrastructures;
digital transformation of businesses; digitalisation of public services. The four cardinal points
are made of a variety of dimensions and sub-dimensions. The targets are to be reviewed by
the Commission by June 2026 to take account of technological, economic and societal
developments.

Progress towards the targets at Union level will be monitored ( **Article 5** ) via the Digital
Economy and Society Index (DESI). To that end, a part of DESI’s dimensions and indicators
will be aligned with the targets set out in the Decision. Monitoring for the attainment of the
2030 targets is based on key performance indicators, defined by the Commission in the DESI
on a yearly basis, in consultation with Member States, as well as on projected EU level
trajectories, identified by the Commission in close cooperation with Member States. The
Commission is empowered to establish the list of the KPIs necessary to monitor each of the
digital targets via an implementing act, when necessary for effective monitoring or to take
account of technological developments. The monitoring could also include a ‘score of traffic
lights’: a reporting system by which the colors of traffic lights (i.e. green, yellow and red)
indicate whether the actual trends monitored at Union level are on track to achieve the target
of a given key performance indicator compared to the projected trend.

As described in **Article 6** the Commission will annually report to the European Parliament
and the Council on the progress on digital transformation of the Union via a Report on the
“State of the Digital Decade”. DESI will be included in this report. The report will cover the
digital transition, in particular the progress towards the 2030 vision and corresponding digital
targets, as well as the more general state of compliance with the general objectives and the
digital principles enshrined in the [insert title of solemn Declaration]. The report will also
include recommended policies, measures and actions addressed to Member States, as well as
joint commitments proposed and undertaken by the Commission and the Member States. In
the report, the Commission may identify recommended actions in terms of policies, measures
and actions to be undertaken by Member States regarding areas where progress towards the
digital targets is deemed insufficient, which should also be included in Member States’
national Digital Decade strategic roadmaps. Any such recommended action will take account
of the outcome of the cooperative dialogue, including the comments made by Member States,
following the previous report. In particular, the Commission may suggest to implement
specific regulatory measures or public interventions to foster additional investments in digital
technologies and capacities, including through the development of Multi-Country Projects.

**Article 7** foresees that at the latest five months before the issuing of the report on the state of
the Digital Decade, Member States should submit to the Commission national Digital Decade
strategic roadmaps (‘national Digital Decade strategic roadmaps'). The Member States will
outline in their roadmaps the main existing and planned policies, measures and actions to
achieve the Digital Decade objectives and targets; projected national trajectories based on
guidance provided by the Commission in close cooperation with the Member States; a
timeline for the implementation of the planned policies, measures and actions, including an
assessment of when those policies and measures are expected to produce effects with respect

# EN 11 EN

to the achievement of the targets; a general overview of the investment needed to achieve the
objectives, targets and contributions set out in the national roadmaps, as well as a general
assessment on the sources of that investment. The national Digital Decade strategic roadmaps
may also include a proposal for Multi-Country Project(s). If needed, in order to take into
account the findings of the annual report on the state of the Digital Decade, Member States
should submit an adjustment to their national Digital Decade strategic roadmaps consisting of
policies, measures and actions which they intend to undertake to foster progress in the areas
concerned by the digital targets. The Commission will provide guidance to help Member
States prepare their national Digital Decade strategic roadmaps, including the articulation
between Union and national projected trajectories and how Union projected trajectories
should be translated by Member States into national trajectories that take into account
different national starting points, resources, comparative advantages and other relevant
factors.

**Article 8** provides for annual cooperation between the Commission and the Member States to
ensure that the Digital Decade objectives and targets are achieved through a combination of
Union initiatives and relevant national policies, taking into account the cross-border
dimensions of digital policies and Union-wide targets, in particular the development of the
internal market. Member States and the Commission will cooperate closely to identify ways
to address deficiencies in areas where progress has been insufficient to achieve one or more
digital targets or where the most recent progress report and available data point to significant
gaps and shortcomings. In that context, Member States will be obliged to present the policies
and measures they have planned, adopted or implemented.

As part of the cooperative dialogue, the Commission and the Member States will also
examine how they have collectively and individually implemented recommended policies,
measures and actions included in the previous year’s report. The assessment will cover the
impacts of Member States’ actions and measures and/or estimate when such effects are likely
to be produced. It will also cover the need to adopt measures or actions, adjusting or
complementing those already in place.

At any point during the annual cooperation, the Commission and one or more Member States
will be able to undertake joint commitments, including establishing MCPs, and agree on
measures and actions at Union and national levels, taking account _inter alia_ of the
implementation of other digital policies and initiatives. These joint commitments and other
measures will be undertaken with a view to progressing towards achieving the Digital Decade
targets, in alignment with the projected trajectories referred to in the Report of the State of the
Digital Decade. The Commission and individual Member States will be able to request a
meeting between the Commission and Member States. Such a meeting will be held in
particular in the case where a Member State proposes to undertake a new Multi-Country
Project or a joint action requiring the participation of other Member States. The Member
States concerned or the Commission will also be able to request a peer review process to be
launched.

**Article 9** enables the Commission to adopt distinct recommendations in the case a Member
State does not amend its national Digital Decade strategic roadmaps in accordance with
recommended policies, measures and actions, nor provide sufficient explanations as to why it
intends not to address the recommended actions. The Member State concerned will be
required to take such a recommendation into utmost account, and explain how it intends to
implement it. The recommendations issued by the Commission will be transmitted to the
European Parliament and the Council. The Commission recommended policies, measures and

# EN 12 EN

actions contained in the report and the Commission distinct recommendations should be
complementary to the latest country-specific recommendations issued in the context of the
European Semester.

Cooperation between the Commission and the Member States will be open, effective and
transparent through an appropriate structure set up by the Commission **(Article 10)** . Such
structure will also serve as a forum for peer review between Member States. Moreover, to
ensure transparency and public participation, the Commission and Member States will also
engage with all interested stakeholders (including at national, regional and local level, notably
Member States’ public sector digital transformation bodies, and with social partners, citizens
and civil society) **(Article 11)** .

Opening a block of provisions on Multi-Country Projects, **Article 12** sets out the aims that
characterise a Multi-Country Project. At the highest level, these aims include the contribution
of the project to the targets for digital transformation of the Union by 2030. This is then
translated into more operational requirements. Article 12 empowers the Commission to issue
a recommendation to set up a Multi-Country Project or invite a Member State to participate in
a Multi-Country Project, as well as the possibility of setting up or joining a Multi-Country
Project as a joint commitment. The indicative list of possible areas of activity in which MultiCountry Projects could be established is provided in **Annex** .

Rules on the selection and implementation of Multi-Country Projects are provided in **Article**
**13** . Firstly, this article provides that the Commission will include an annex to the report of the
state of the Digital Decade in which it will provide the strategic principles and priorities in the
implementation of Multi-Country Projects and up-to-date list of these projects selected for
implementation. Secondly, an open list of potential implementation instruments is provided. If
existing implementation instruments are chosen, the rules applicable to such instruments are
not modified by this Decision and must be respected in their entirety.

The procedural framework to accelerate the implementation of Multi-Country Projects is
provided in **Article 14** . A two-step coordination mechanism is envisaged, to be implemented
in close cooperation between the Commission and Member States. As a first step, all Member
States are invited to express their interest in the implementation of specific Multi-Country
projects. As a second step, provided that there is sufficient interest from Member States, the
Commission will provide guidance on the implementation mechanism that it considers as the
most suitable for the implementation of a given project as well as other strategic aspects of its
implementation. Technical assistance and other support may also be provided throughout the
implementation of the project.

**Article 15** provides an implementation mechanism in the form of European Digital
Infrastructure Consortium (EDIC). It is expected that EDIC will be used mainly in case of
Multi-Country projects that cannot be implemented under existing implementation
mechanisms. As further provided in this Article, EDIC will have legal personality. This
means that when applying for a Union grant, the EDIC itself is the applicant and eventually
needs to apply itself by submitting its proposals to a call or invitation by the granting body.
With the exception of a multi beneficiary grant agreement, the application cannot be
submitted by a third party, e.g. by a Member State on behalf of the EDIC.

**Article 16** provides EDIC may be established upon Member States’ request by a Commission
decision adopted under comitology procedure.

# EN 13 EN

Subsequent articles provide for the rules necessary for smooth and agile operation of an
EDIC. **Article 17** deals with membership rules, whereby Member States that provide financial
or non-financial contribution are voting members and other Member States may be observers.
**Article 18** provides for a governance mechanism subject to the Commission veto rights in
narrowly described circumstances. **Article 19** provides minimum requirements that must be
met by Statutes.

Finally, the liability rules applicable to an EDIC are provided in **Article 20**, applicable law
and jurisdiction in **Article 21**, the rules on winding up in **Article 22** and on reporting and
control in **Article 23** .

# EN 14 EN

2021/0293 (COD)

Proposal for a

**DECISION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL**

**establishing the 2030 Policy Programme “Path to the Digital Decade”**

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular
Article 173(3) thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Having regard to the opinion of the European Economic and Social Committee [1],

Having regard to the opinion of the Committee of the Regions [2],

Acting in accordance with the ordinary legislative procedure,

Whereas:

(1) In its Communication “2030 Digital Compass: the European way for the Digital
Decade” of 9 March 2021 [3] (“Digital Compass Communication”) the Commission laid
out its vision for 2030 to empower citizens and businesses through the digital
transition. The Union way for the digital transformation of economy and society
should encompass digital sovereignty, inclusion, equality, sustainability, resilience,
security, improving quality of life, respect of citizens’ rights and aspirations and
should contribute to a dynamic, resource efficient, and fair economy and society in the
Union.

(2) In its statement of 25 March 2021, the European Council considered the Digital
Compass Communication as a step towards charting Europe’s digital development for
the next decade and confirmed the vision there set, including the idea of a Policy
Programme with a robust governance structure and a framework to facilitate the
implementation of multi-country projects that are necessary for Europe’s digital
transition in critical areas. It also invited the Commission to widen the European
Union’s policy toolbox for digital transformation, both at the European Union and
national level, and to use all available instruments from industrial, trade and
competition policy, skills and education, research and innovation policy and long-term
funding instruments to facilitate the digital transformation.

1 OJ C,, p. .
2 OJ C,, p. .
3 Communication from the Commission to the European Parliament, the Council, the European Economic
and Social Committee and the Committee of the Regions “2030 Digital Compass: the European way for the
Digital Decade” COM/2021/118 final/2.

# EN 15 EN

(3) As outlined in the Commission’s Communication updating the 2020 new industrial
strategy [4], it is necessary for the European Union to identify systems of critical
technologies and strategic sectors, to address strategic weaknesses and high-risk
dependencies which could lead to supply shortages or cybersecurity risks, and to foster
digital transition. This underlines the importance for Member States to join forces and
to support industry’s efforts to address these dependencies and to develop strategic
capacity needs. This also responds to the analysis in the 2021 Strategic Foresight
Report [5] . In the framework of the Recovery and Resilience Facility and the preparation
of national recovery and resilience plans, the Commission encouraged Member States
to coordinate their efforts in favour of Multi-Country Projects in the digital area. This
experience highlighted the need for the Commission to support coordination efforts by
Member States, and for the Union to dispose of implementation mechanisms that
facilitate joint investments, in order for Multi-Country Projects to materialise. In
conjunction with other Commission’s initiatives such as the Observatory for Critical
Technologies [6], a governance structure implementing the Digital Compass
Communication should be established and should help to identify the Union’s current
and possible future digital strategic dependencies and contribute to strengthening its
digital sovereignty.

(4) The Commission’s Communication on the European Green Deal [7] emphasised that
Europe should leverage the potential of the digital transformation, which is a key
enabler for reaching the Green Deal objectives. The Union should promote and invest
in the necessary digital transformation as digital technologies are a critical enabler for
attaining the sustainability goals of the Green Deal in many different sectors. Digital
technologies such as artificial intelligence, 5G, cloud and edge computing and the
internet of things can accelerate and maximise the impact of policies to deal with
climate change and protect the environment. Digitalisation also presents new
opportunities for distance monitoring of air and water pollution, or for monitoring and
optimising how energy and natural resources are used. Europe needs a digital sector
that puts sustainability at its heart, ensuring that digital infrastructures and
technologies become verifiably more sustainable and energy- and resource efficient,
and contribute to a sustainable circular and climate-neutral economy and society in
line with the European Green Deal.

(5) The measures envisaged in the Digital Compass Communication should be
implemented, to intensify actions defined in the strategy for Shaping Europe’s digital
future, and building on existing Union instruments (such as Cohesion programmes, the
Technical Support Instrument, Regulation (EU) 2021/694 of the European Parliament
and of the Council [8], Regulation (EU) 2021/695 of the European Parliament and of the

4 Communication from the Commission to the European Parliament, the Council, the European Economic
and Social Committee and the Committee of the Regions updating the 2020 new industrial strategy:
Building a stronger Single Market for Europe’s recovery”, 5.5.2021 COM(2021) 350 final.
5 COM(2021) 750 final of 8.9.2021 – “2021 Strategic Foresight Report - The EU’s capacity and freedom to
act”.
6 Action Plan on synergies between civil, defence and space industries, 22.02.2021, COM(2021) 70 final,
Action 4.
7 Communication from the Commission to the European Parliament, the European Council, the Council, the
European Economic and Social Committee and the Committee of the Regions “The European Green deal”,
11.12.2019, COM/2019/640 final.
8 Regulation (EU) 2021/694 of the European Parliament and of the Council of 29 April 2021 establishing the
Digital Europe Programme and repealing Decision (EU) 2015/2240 (OJ L 166, 11.5.2021, p. 1).

# EN 16 EN

Council [9] and Regulation (EU) 2021/523 of the European Parliament and of the
Council [10] ) and on the funds allocated for digital transition of Regulation (EU)
2021/241 of the European Parliament and of the Council [11] . By this Decision, a Policy
Programme “Path to the Digital Decade” should therefore be established in order to
achieve, accelerate and shape a successful digital transformation of the Union’s
economy and society.

(6) In order to follow the trajectory of the Union regarding the pace of digital
transformation, digital targets should be established. These targets should be linked to
concrete areas, where progress should collectively be made within the Union. The
targets follow the four cardinal points identified in the Digital Compass
Communication, identified as the essential areas for the digital transformation of the
Union: digital skills, digital infrastructures, digitalisation of businesses and of public
services.

(7) Digital skills, basic and advanced, are essential to reinforce the collective resilience of
the Union’s society. Digitally empowered and capable citizens will be able to take
advantage of the opportunities of the Digital Decade. Moreover, digital training and
education should support a workforce in which people can acquire specialised digital
skills to get quality jobs and rewarding careers in much greater numbers than today,
with convergence between women and men. In addition, an essential enabler for
taking advantage of the benefits of digitisation, for further technological developments
and for Europe’s digital leadership is a sustainable digital infrastructure for
connectivity, microelectronics and the ability to process vast data. Excellent and
secure connectivity for everybody and everywhere in Europe including in rural and
remote areas [12] is needed. Societal needs for upload and download bandwidth are
constantly growing. By 2030, networks with gigabit speeds should become available
at accessible conditions for all those who need or wish such capacity. Moreover,
microprocessors which are already today at the start of most of the key, strategic value
chains are expected to be in even higher demand in the future, in particular the most
innovative ones. Climate neutral highly secure edge node guaranteeing access to data
services with low latency wherever businesses are located and quantum capacity are
also expected to be critical enablers.

(8) Beyond enablers, all the above mentioned technologies will be at the core of new
products, new manufacturing processes and new business models based on fair sharing
of data in the data economy. The transformation of businesses will depend on their
ability to adopt new digital technologies rapidly and across the board, including in
industrial and services ecosystems that are currently lagging behind.

(9) Democratic life and public services will also crucially depend on digital technologies

–
and therefore they should be fully accessible for everyone, as a best in-class digital

9 Regulation (EU) 2021/695 of the European Parliament and of the Council of 28 April 2021 establishing

–
Horizon Europe the Framework Programme for Research and Innovation, laying down its rules for
participation and dissemination, and repealing Regulations (EU) No 1290/2013 and (EU) No 1291/2013
(OJ L 170, 12.5.2021, p. 1).
10 Regulation (EU) 2021/523 of the European Parliament and of the Council of 24 March 2021 establishing
the InvestEU Programme and amending Regulation (EU) 2015/1017 ( OJ L 107, 26.3.2021, p. 30).
11 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).
12 Long-term Vision for the EU’s Rural Areas. COM(2021) 345 final.

# EN 17 EN

environment providing for easy-to-use, efficient and personalised services and tools
with high security and privacy standards.

(10) The Commission should review these digital targets by June 2026 to assess whether
they still meet the high level of ambition of the digital transformation and update them
or introduce additional digital targets, if necessary.

(11) A harmonious, inclusive and steady progress towards the digital transformation and
towards the achievement of the digital targets in the Union, requires a comprehensive,
robust, reliable, flexible and transparent form of governance, based on close
cooperation and coordination between the Union institutions, bodies and agencies, and
the Member States. An appropriate mechanism should ensure coordination of
convergence and the consistency and effectiveness of policies and measures at Union
and national level. Therefore, it is necessary to lay down provisions on a monitoring
and cooperation mechanism implementing the Digital Compass Communication.

(12) This mechanism should include an enhanced monitoring system to identify gaps in the
strategic digital capacities of the Union. It should also include a reporting mechanism,
among others, on the progress towards the 2030 vision and corresponding digital
targets as well as on the more general state of compliance with the objectives set in
this Decision. It should establish a cooperative framework between the Commission
and Member States to identify solutions addressing weaknesses and to propose
targeted actions for effective remedies.

(13) The Digital Economy and Society Index (‘DESI’) [13] should become a part of the report
on the state of the Digital Decade and should be used to monitor the progress towards
the digital targets. This monitoring should include an analysis of the indicators
measuring progress at Member States’ level, national policies and initiatives aimed at
reaching the objectives of this Decision and the targets as well as horizontal and
thematic analyses tracking the digital transformation of European economies and a
ranking of Member States progress therein. In particular, DESI’s dimensions and
indicators should be aligned with digital targets set out in this Decision. For each
digital target, key performance indicators (‘KPIs) should be set out in implementing
acts to be adopted by the Commission. The KPIs should be updated when necessary
for continued effective monitoring and to take account of technological developments.
The data collection mechanism within Member States should be reinforced to present
a thorough state of play on the progress towards the digital targets, as well as
information on the relevant policies, programmes, and initiatives at national level.
Based on the reviews and where needed, the Commission should prepare, in
consultation with the Member States, a roadmap to set out future data collection needs.
. In defining the DESI, the Commission should rely largely on official statistics
collected in different Union surveys on the information society [14] . The Commission
should use specific studies to collect data for those relevant indicators that are not
measured in the Union surveys.

13 DESI is an annual set of analyses and measurement indicators, which since 2014 have been used to monitor
Europe’s overall progress and to benchmark individual Member States’ progress in digital, feeding into the
European Semester process and the country specific recommendations.
14 Regulation (EC) No 1006/2009 of the European Parliament and of the Council of 16 September 2009
amending Regulation (EC) No 808/2004 concerning Community statistics on the information society (OJ

–
L 286, 31.10.2009, p. 31 35).

# EN 18 EN

(14) In order to keep the co-legislators informed about the progress of digital
transformation in the Union, the Commission should submit to the European
Parliament and the Council an annual report on the “State of the Digital Decade”,
containing an overview and analysis of the digital transformation of the Union and an
evaluation of the progress made with regard to the objectives of the Digital Decade
and the digital targets for the period towards 2030. The report on the “State of the
Digital Decade”, and in particular the DESI, should feed into the European Semester,
including aspects relating to the Recovery and Resilience Facility.

(15) In particular, the Commission should report on the progress towards the digital targets,
detailing the degree of Union progress in relation to the projected trajectories for each
target, the assessment of the efforts necessary to reach each target, including
investment gaps in digital capacities and raising awareness about the actions needed to
increase digital sovereignty. The report should also include an assessment of the
implementation of relevant regulatory proposals as well as of the actions undertaken at
Union and Member States level.

(16) On the basis of this analysis the report would include specific recommended policies,
measures and actions. When recommending policies, measures or actions in the report,
the Commission should take into account the most recent data available, the joint
commitments undertaken, the policies and measures defined by Member States as well
as progress regarding recommended actions identified in earlier reports and addressed
in the course of the annual cooperation. In addition, the Commission should take into
account the differences in individual Member States’ potential to contribute to the
digital targets, as well as the policies, measures and actions already in place and
considered appropriate to achieve the targets, even if their effects have not yet
materialised.

(17) The annual report on the “State of the Digital Decade” should present the
implementation of the digital principles as endorsed in the [insert title of solemn
Declaration].

(18) With a view to ensuring that the Digital Decade objectives and digital targets, as laid
down in this Decision, are achieved, and that all Member States effectively contribute
to that end, the design and implementation of the monitoring and cooperation
mechanism should ensure exchanges of information and best practices through a
constructive and inclusive dialogue between Member States and the Commission.

(19) The Commission should, together with Member States, develop projected trajectories
for the Union to reach the digital targets as laid down in this Decision. These projected
trajectories should then be translated by Member States into national trajectories,
where possible. The different potential of Member States to contribute to the digital
targets should be taken into account and reflected in national trajectories. These
trajectories should help assess progress over time at Union and national level
respectively.

(20) In order to ensure that cooperation between the Commission and the Member States is
efficient and effective, Member States should submit to the Commission national
Digital Decade strategic roadmaps covering the period up to 2030 (‘national Digital
Decade strategic roadmaps’) proposing, where possible and measurable at national
level, national trajectories, describing all the instruments adopted, planned or
implemented with a view to contributing to the achievement at Union level of the
objectives of this Decision and the digital targets. These national Digital Decade
strategic roadmaps should be a crucial tool for the coordination of the policies of the

# EN 19 EN

Member States and for ensuring predictability for the market. Member States should
take into account relevant sectoral initiatives, both at Union and national level, and
ensure consistency with them. During the annual cycle of cooperation, Member States
could propose adjustments to their national Digital Decade strategic roadmaps to take
into account the evolution of the digital transition at Union and national level and to
respond, in particular, to the Commission recommended policies, measures and
actions.

(21) The timely availability of and access to radio spectrum are key for reaching the
connectivity targets of the “Path to the Digital Decade”. In this context, the Member
States and spectrum users require predictability and certainty and at the same time
flexibility (based on the evolving needs) for the planning of milestones for spectrum
availability. Particularly under the fast evolving digital and green transformation
process, early information about a future spectrum availability and input on setting any
milestones from key stakeholders (such as public authorities, industry and users)
would increase legal certainty and investment predictability.

(22) Since spectrum is essential to achieve the digital targets, and in particular a secure,
performant and sustainable digital infrastructure, Member States should also report on
their adopted and future policies and measures regarding the availability and
possibility to use radio spectrum for existing users and prospective investors and
operators. Without prejudice to the possibility for the Commission to propose new
strategic spectrum policy orientations or mechanisms under Article 4 (4) of Directive
(EU) 2018/1972 of the European Parliament and of the Council [15] appropriate guidance
could be provided by the Commission in that regard in order to meet the general
objectives and digital targets laid down in this Decision.

(23) The cooperative dialogue between the Commission and the Member States should
commence with the assessment of their national Digital Decade strategic roadmaps
and should be based on the data provided and assessment made in the report of the
state of the Digital Decade, as well as on the feedback received by relevant
stakeholders.

(24) The cooperation should subsequently be structured within an annual cycle. The timing
of the annual cooperation should take into account the need to reflect the results of the
cooperation thus far, as well as measures, action and adjustments to the national
Digital Decade strategic roadmaps proposed in the report of the following year.

(25) In order to progress towards achieving the targets in alignment with the projected
trajectories, Member States which are considered in the report as having made
insufficient progress in a given area, should propose adjustment measures and actions
they intend to undertake to foster progress in that critical area. Furthermore, the
Commission and Member States should examine how recommended policies,
measures and actions made in the previous year’s report have been addressed by
Member States collectively and individually. A Member State may request a peer
review process to be launched in order to give other Member States an opportunity to
comment on proposals it intends to present in its national Digital Decade strategic
roadmap, in particular as regards their suitability to achieve a specific target. The
Commission may also propose the launch of a peer review process in respect of a
Member State’s Digital Decade strategic roadmap.

15 Directive (EU) 2018/1972 of the European Parliament and of the Council of 11 December 2018
establishing the European Electronic Communications Code (OJ L 321, 17.12.2018, p. 36).

# EN 20 EN

(26) The Commission and one or more Member States may undertake joint commitments
regarding coordinated actions they would like to undertake in order to achieve the
targets, establish Multi-Country Projects, and agree on any other measures and actions
at Union and national level with the objective to progress towards achieving the
targets in alignment with the projected trajectories.

(27) The effective implementation of the recommended policies, measures and actions and
of the national Digital Decade strategic roadmaps and their adjustments, is crucial for
the achievement of objectives and digital targets. If a Member State fails to effectively
implement these measures, and the reasons provided for failing to do so are considered
to be insufficient, the Commission may adopt a distinct recommendation, without
prejudice of Commission’s powers under the Treaty. Such recommendations should
take into account and be complementary to the latest country-specific
recommendations issued in the context of the European Semester.

(28) The Member State concerned should take the recommendation into utmost account
and where appropriate adjust its national Digital Decade strategic roadmap. In case a
Member State does not intend to implement the recommendation, it should provide
reasons as to why it decides not to do so and make those reasons public.

(29) In order to ensure transparency and public participation, the Commission should
engage with all interested stakeholders. To that end, the Commission should closely
cooperate with stakeholders including private and public actors, such as bodies
governed by public laws of the educational or health sector, and consult them on
measures to accelerate the digital transformation at Union level. The involvement of
stakeholders would be important at the level of Member States as well, in particular
when adopting their national Digital Decade strategic roadmaps and their adjustments.

(30) Multi-Country Projects involving several Member States should allow for large-scale
intervention in key areas necessary for the achievement of the digital targets, notably
by pooling resources from the Union, Member States, and where appropriate private
sources. They should be implemented in a coordinated manner, in close cooperation
between the Commission and Member States. For that reason, the Commission should
play a central role in accelerating the deployment of Multi-Country Projects through
the identification of Multi-Country projects ready for implementation among the
projects categories indicatively included in Annex, in advising Member States on the
choice of implementation mechanism, on the choice of the sources of funding and
their combination, on other strategic matters related to the implementation of those
projects, and on the selection of a European Digital Infrastructure Consortium (EDIC)
as an implementation mechanism, where appropriate.

(31) Public support to the Multi-Country Projects should be used notably to address market
failures or sub-optimal investment situations, in a proportionate manner, without
duplicating or crowding out private financing and having a clear European added
value, in compliance with applicable Union law and national law consistent with
Union law.

(32) Multi-Country Projects should be able to attract and combine, in an efficient manner,
various sources of Union and Member States’ funding. Notably, the combination of
the funds from centrally managed Union programme with resources committed by
Member States should be possible, including, under certain conditions, contributions
from the Recovery and Resilience Facility, as explained in Part 3 of the Commission

# EN 21 EN

guidance to Member States on Recovery and Resilience Plans [16], as well as
contributions from European Regional Development and Cohesion funds. Whenever
justified by the nature of a given Multi-Country Project, it should also be open to
contributions from entities other than the Union and Member States, including private
contributions.

(33) The Commission, in cooperation with the Member States and acting as the coordinator
of Multi-Country Projects, should assist Member States in the identification of their
interests in Multi-Country Projects, give guidance regarding the selection of optimal
implementation mechanisms and provide assistance in the implementation,
contributing to the widest possible participation.

(34) The Commission should be able to establish, upon Member States’ application, and
where it considers it appropriate, in particular in the situations where there is no
alternative suitable implementation mechanism, a European Digital Infrastructure
Consortium (‘EDIC’) to implement that Multi-Country Project.

(35) In order to ensure uniform conditions for the implementation of this Decision
implementing powers should be conferred on the Commission as regards the key
performance indicators and for setting up the EDIC. Those powers should be exercised
in accordance with Regulation (EU) No 182/2011 of the European Parliament and of
the Council [17],

HAVE ADOPTED THIS DECISION:

**C** **HAPTER** **1**

**S** **UBJECT MATTER** **,** **OBJECTIVES AND DEFINITIONS**

_Article 1_

**Subject matter**

(1) This Decision establishes a Policy Programme “Path to the Digital Decade” and sets
out a monitoring and cooperation mechanism for that programme consisting of

measures to:

(a) set a clear direction for the digital transformation of the Union and for delivery of the
digital targets;

(b) structure and stimulate cooperation between the Union institutions and Member
States;

(c) ensure the consistency, comparability and completeness of the monitoring and
reporting by the Union.

(2) This Decision also establishes a framework for Multi-Country Projects.

16 Brussels, 22.1.2021 SWD(2021) 12 final.
17 Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying
down the rules and general principles concerning mechanisms for control by Member States of the
Commission’s exercise of implementing powers (OJ L 55, 28.2.2011, p. 13).

# EN 22 EN

_Article 2_

**General objectives**

The Union institutions and the Member States shall cooperate to support and achieve the
following general objectives:

(a) promote a human-centered, inclusive, secure and open digital environment where
digital technologies and services respect and enhance Union principles and values;

(b) reinforce Member States’ collective resilience and bridge the digital divide notably
by promoting basic and specialised digital skills for all and fostering the
development of high-performing digital education and training systems;

(c) ensure digital sovereignty notably by a secure and accessible digital infrastructure
capable to process vast volumes of data that enables other technological
developments, supporting the competitiveness of the Union's industry;

(d) promote the deployment and the use of digital capabilities giving access to digital
technologies and data on easy and fair terms in order to achieve a high level of
digital intensity and innovation in Union’s enterprises, in particular small and
medium ones;

(e) ensure that democratic life, public services and health and care services are
accessible online for everyone, in particular disadvantaged groups including persons
with disabilities, offering inclusive, efficient and personalised services and tools with
high security and privacy standards;

(f) ensure that digital infrastructures and technologies become more sustainable and
energy- and resource efficient, and contribute to a sustainable circular and climateneutral economy and society in line with the European Green Deal;

(g) facilitate convergent conditions for investments in digital transformation throughout
the Union, including by strengthening the synergies between the use of Union and
national funds, and developing predictable regulatory approaches;

(h) ensure that all policies and programmes which are relevant to the achievement of the
digital targets, are taken into account in a coordinated and coherent way to fully
contribute to the digital transition.

_Article 3_

**Definitions**

For the purposes of this Decision, the following definitions apply:

(1) ‘Digital Economy and Society Index (‘DESI’)’ means an annual set of analysis and
measurement indicators on the basis of which the Commission monitors the Union’s
and Member States’ overall digital performance across several policy dimensions,
including their progress towards the digital targets set out in Article 4 ;

(2) ‘Multi-Country Projects’ means large scale projects facilitating the achievement of
the digital targets set out in Article 4, including the Union’s and Member States’
financing, and meeting the requirements set out in Article 12;

# EN 23 EN

(3) ‘statistics’ means statistics as defined in Article 3(1) of Regulation (EC) No
223/2009 of the European Parliament and of the Council [18] ;

(4) ‘peer review’ means a review mechanism whereby Member States may comment on
specific aspects of the policies, measures and actions proposed by a given Member
States, and in particular on their suitability to contribute to achieving a specific target
of the digital targets set out in Article 4, in the context of the annual cooperation
established in Article 8 and which can serve to exchange best practices;

(5) ‘projected trajectory’ means the assumed path per digital target until 2030, to achieve
the digital targets set out in Article 4 and based on historical data where available.

**C** **HAPTER** **2**

**D** **IGITAL TARGETS**

_Article 4_

**Digital targets**

(1) The Union institutions and Member States shall cooperate to achieve the following
digital targets in the Union by 2030:

(1) a digitally skilled population and highly skilled digital professionals:

(a) at least 80% of those aged 16-74 have at least basic digital skills;

(b) at least 20 million employed information and communications
technology (ICT) specialists are employed, with convergence between
women and men;

(2) secure, performant and sustainable digital infrastructures:

(a) all European households are covered by a Gigabit network, with all
populated areas covered by 5G;

(b) the production of cutting-edge and sustainable semiconductors in the
Union is at least 20% of world production in value;

(c) at least 10 000 climate neutral highly secure “edge nodes” are deployed
in the Union, distributed in a way that guarantees access to data services
with low latency (few milliseconds) wherever businesses are located;

(d) by 2025, the Union has its first computer with quantum acceleration,
paving the way for the Union to be at the cutting edge of quantum
capabilities by 2030.

(3) digital transformation of businesses:

(a) at least 75% of Union enterprises have taken up:

18 Regulation (EC) No 223/2009 of the European Parliament and of the Council of 11 March 2009 on
European statistics and repealing Regulation (EC, Euratom) No 1101/2008 of the European Parliament and
of the Council on the transmission of data subject to statistical confidentiality to the Statistical Office of the
European Communities, Council Regulation (EC) No 322/97 on Community Statistics, and Council
Decision 89/382/EEC, Euratom establishing a Committee on the Statistical Programmes of the European
Communities (OJ L 87, 31.3.2009, p. 164).

# EN 24 EN

(1) cloud computing services;

(2) big data;

(3) artificial intelligence;

(b) more than 90% of Union Small and Medium Enterprises (‘SME’) reach
at least a basic level of digital intensity;

(c) the Union grows the pipeline of its innovative scale ups and improves
their access to finance, leading to at least doubling the number of
unicorns;

(4) digitalisation of public services:

(a) 100% online accessible provision of key public services for Union
citizens and businesses;

(b) 100% of Union citizens have access to their medical records (electronic
health records (EHR));

(c) at least 80% of Union citizens use a digital identification (ID) solution.

(2) The Commission shall review the digital targets set out in paragraph 1 by 2026. The
Commission shall submit a report to the European Parliament and to the Council
regarding the outcome of the review and shall submit a legislative proposal to revise
the digital targets in paragraph 1 where it considers this to be necessary to address
technical, economic and societal developments for a successful digital transformation
of the Union.

**C** **HAPTER** **3**

**G** **OVERNANCE** **:** **M** **ONITORING AND** **C** **OOPERATION** **M** **ECHANISM**

_Article 5_

**Monitoring of progress**

(1) The Commission shall monitor the progress of the Union against the objectives and
digital targets set out in Articles 2 and 4. To this end, the Commission shall rely upon
Digital Economy and Society Index (DESI), and for the purpose of this decision, in
accordance with Article 25 (2), shall set out in an implementing act the key
performance indicators (‘KPIs’) for each digital target. .

(2) Member States shall provide to the Commission in a timely manner the necessary
statistics and data required for the effective monitoring of the digital transition and of
the degree of achievement of the digital targets set out in Article 4. This shall include
relevant information on the availability and accessibility of spectrum. Where the
relevant statistics from Member States are not yet available, the Commission may
use an alternative data collection methodology, such as studies or direct collection of
data from the Member States, in consultation with the Member States. The use of
that alternative data collection methodology shall not affect the tasks of Eurostat as
laid down in Commission Decision 2012/504/EU [19] .

(3) The Commission, in close cooperation with Member States, shall define Union-level
projected trajectories for the attainment of each of the digital targets, which would

19 Commission Decision 2012/504/EU of 17 September 2012 on Eurostat (OJ L 251, 18.9.2012, p. 49).

# EN 25 EN

serve as basis for the monitoring and the national Digital Decade strategic roadmaps.
Where necessary, in light of technical, economic or societal developments, the
Commission shall update one or more of these projected trajectories.

(4) Member States shall provide to the Commission in a timely manner the necessary
information required for the effective monitoring of the progress in the
implementation of the principles enshrined in the [insert title of solemn Declaration].

_Article 6_

**Report on the “State of the Digital Decade”**

(1) The Commission shall submit annually to the European Parliament and the Council a
report on the “State of the Digital Decade”. This report shall be the comprehensive
report of the Commission on the progress on digital transformation of the Union and
it shall include the Digital Economy and Society Index (DESI).

(2) In the report on the “State of the Digital Decade”, the Commission shall provide an
assessment of the progress of the Union’s digital transition against the digital targets
set out in Article 4 as well as the state of compliance with the general objectives
referred to in Article 2 and the principles enshrined in the [insert title of solemn
Declaration]. The assessment of the progress made shall be based, in particular, on
the analysis and key performance indicators in the DESI as compared to Union-level
and, where applicable, national projected trajectories, and, where applicable, on the
establishment of and progress regarding Multi-Country Projects.

(3) In the report on the “State of the Digital Decade”, the Commission may recommend
policies, measures or actions to be taken by Member States in areas where progress
was insufficient to achieve the digital targets set out in Article 4 or where significant
gaps and shortages have been identified based on the results of the report on the
“State of the Digital Decade”. Those recommended policies, measures or actions
may, in particular, address:

(a) the level of ambition of contributions and initiatives proposed by Member
States, with a view to collectively achieving objectives and targets set out in
Articles 2 and 4;

(b) policies, measures and actions at Member State-level and other policies and
measures of potential cross-border relevance;

(c) any additional policies, measures or action that might be required in the
adjustments of national Digital Decade strategic roadmaps;

(d) interactions between and consistency of existing and planned policies,
measures and actions.

(4) The report shall take into account joint commitments as referred to in Article 8(4) as
well as their implementation.

(5) The report shall also include information on progress regarding recommended
policies, measures or actions referred to in paragraph 3 of this Article and
recommendations adopted pursuant to Article 9 and their implementation.

(6) The report may also assess the need for any additional policies, measures or actions
that might be required at the Union level.

# EN 26 EN

_Article 7_

**National Digital Decade strategic roadmaps**

(1) By [ _six months after the entry into force of this Decision- specific date to be inserted_
_by OP]_, Member States shall submit to the Commission their national Digital Decade
strategic roadmaps which shall be consistent with, and contribute to achieving at
Union level, the objectives and digital targets set out in this Decision. Member States
and the Commission shall take into account relevant sectoral initiatives and ensure
consistency with them.

(2) Member States shall set out in their national Digital Decade strategic roadmaps:

(a) the main implemented, adopted and planned policies, measures and actions
contributing to the objectives and digital targets set out in Article 2 and 4;

(b) national projected trajectories contributing to relevant digital targets
measurable at national level;

(c) the impact expected to be made on each digital target as a result of the
implemented, adopted and planned policies, measures and actions;

(d) the timing for implementation of the adopted and planned policies, measures
and actions as well as an estimate of the timing when those policies, measures
and actions are expected to produce an impact on the achievement of the digital
targets.

(3) The policies, measures and actions referred to in point (a) shall relate to the
achievement of the objectives and the digital targets of this Decision for which at the
date of submission of the national Digital Decade strategic roadmaps or of the
adjustment of those roadmaps one or more of the following applies:

(a) directly applicable Union or national laws are in force;

(b) one or more commitments to adopt policies, measures or actions have been
undertaken;

(c) financial resources have been allocated;

(d) human resources have been mobilised;

(e) radio spectrum resources have been or are committed to be allocated or
assigned by the relevant national authorities;

(f) they constitute other important enablers related to objectives and digital targets.

(4) Member States shall provide a general overview of the investment needed to
contribute to the objectives and digital targets as set out in their national Digital
Decade strategic roadmaps, as well as a general description on the sources of that
investment, including, where applicable, planned use of Union programmes and
instruments. The national Digital Decade strategic roadmaps may include proposals
for Multi-Country Projects.

(5) Member States shall ensure that their national Digital Decade strategic roadmaps
take into consideration the latest country-specific recommendations issued in the
context of the European Semester. Adjustments to national Digital Decade strategic
roadmaps shall take into account the recommended policies, measures and actions
under Article 6(3) and the recommendations adopted under Article 9.

# EN 27 EN

(6) The Commission shall provide guidance and support to Member States in the
preparation of their national Digital Decade strategic roadmaps, including on how to
establish at national level, where possible, appropriate projected trajectories which
can effectively contribute to the achievement of Union-level projected trajectories.

_Article 8_

**Annual cooperation between the Commission and the Member States**

(1) Member States and the Commission shall closely cooperate to identify ways to
address deficiencies in areas where progress was insufficient to achieve one or more
of the digital targets set out in Article 4 or where significant gaps and shortages have
been identified based on the results of the report on the ”State of the Digital Decade”.
This analysis shall take into account, in particular, the different capacities of Member
States to contribute to some of the digital targets and the risk that delays on certain of
these targets may have a detrimental effect on the achievement of other digital
targets.

(2) Within two months from the publication of the report on the “State of the Digital
Decade”, the Commission and the Member States shall endeavor to discuss the
Member State’s preliminary observations, notably as regards policies, measures and
actions recommended by the Commission in the report on the “State of the Digital
Decade”.

(3) Within five months from the publication of the report on the “State of the Digital
Decade”, the Member States concerned shall submit to the Commission adjustments
to their national Digital Decade strategic roadmaps consisting of policies, measures
and actions they intend to undertake, including, where relevant, proposals for MultiCountry Projects, to foster progress in the areas concerned by the digital targets set
out in Article 4 and to fulfill objectives set out in Article 2. If a Member State
considers that no action is required and that its national Digital Decade strategic
roadmap does not require updating, it shall provide its reasons in writing.

(4) At any point of the annual cooperation, the Commission and one or more Member
States may undertake joint commitments, consult with other Member States on
policy, measures or actions or establish Multi-Country Projects as provided for in
Article 12. The Commission or a Member State which has proposed a policy, a
measure or an action may also request a peer review process to be launched
regarding specific aspects of that policy, measure or action, and in particular on its
suitability to contribute to achieving a specific digital target. The outcome of the peer
review process may be included in the following Report on the “State of the Digital
Decade”.

(5) The Commission shall endeavor to inform Member States about the recommended
policies, measures and actions it intends to include in the report on the “State of the
Digital Decade” before the publication of the report.

_Article 9_

**Recommendations**

(1) If a Member State fails to implement the appropriate adjustments to its national
Digital Decade strategic roadmap following policies, measures or actions
recommended by the Commission under Article 6 (3) without providing sufficient

# EN 28 EN

reasons, the Commission may adopt a recommendation, including a specific analysis
of how this failure could impact the achievement of the objectives and digital targets
of this Decision.

(2) The Member State concerned shall take the Commission’s recommendation into
utmost account and, where appropriate, adjust accordingly its national Digital
Decade strategic roadmap within three months. If the Member State concerned
considers that it should not adjust the national Digital Decade strategic roadmap in
accordance with the recommendation or a substantial part thereof, it shall provide its
reasons to the Commission in writing and make it public within three months.

(3) The recommendations shall be complementary to the latest country-specific
recommendations issued in the context of the European Semester.

(4) In addition, where the Commission concludes that national measures are insufficient
and put at risk the timely achievement of the objectives and digital targets set out in
this Decision, it may propose measures as appropriate and exercise its powers under
the Treaties in order to ensure the collective achievement of those objectives and
targets.

(5) In case a Member State continuously deviates from the national projected trajectory
for several years, or alternatively does not intend to adopt corrective action based on
a previous Commission recommendation, the Commission may initiate a targeted
dialogue with the Member State in question and inform the European Parliament and
Council thereof.

(6) The Commission shall inform the European Parliament and the Council of any
recommendation adopted pursuant to this Article.

_Article 10_

**Cooperation**

(1) The Commission and the Member States shall closely cooperate for the purposes of
the implementation of the obligations and tasks established in this Decision. To that
end Member States may initiate a dialogue either with the Commission or with the
Commission and the Member States on any subject relevant to achieving the digital
targets and objectives. The Commission shall provide all appropriate technical
assistance services, expertise and shall organize a structured exchange of information
and best practices and coordination.

_Article 11_

**Stakeholder consultations**

(1) The Commission shall closely cooperate with private and public stakeholders,
including social partners, to collect information and develop recommended policies,
measures and actions for the purposes of the implementation of this Decision.

(2) The Member States shall cooperate with private and public stakeholders, including
social partners, in line with the national legislation, when adopting their national
Digital Decade strategic roadmaps and their adjustments.

**C** **HAPTER** **4**

**FRAMEWORK FOR** **M** **ULTI** **-C** **OUNTRY PROJECTS**

# EN 29 EN

_Article 12_

**Multi-Country Projects**

(1) The general objective of the Multi-Country Projects shall be to facilitate the
achievement of the digital targets.

(2) Multi-Country Projects shall aim at one or more of the following specific objectives:

(a) improving the cooperation of the Union and of Member States in the
achievement of the objectives of the Digital Decade;

(b) reinforcing the Union’s technology excellence and industrial competitiveness
in critical technologies, digital products, services and infrastructures that are
essential for economic recovery and prosperity, for citizens’ security and
safety;

(c) addressing strategic vulnerabilities and dependencies of the Union along the
digital supply chains;

(d) widening the diffusion and best use of digital solutions in areas of public
interest and the private sector;

(e) contributing to a sustainable digital transformation of society and the economy
that benefits all businesses and citizens across the Union;

The Annex sets out an indicative list of possible areas of activity in which MultiCountry Projects addressing these specific objectives could be established.

(3) A Multi-Country Project shall involve the participation of at least three Member
States.

(4) Applicable Union law and national law consistent with Union law shall continue to
apply to Multi-Country projects.

(5) The Commission may adopt a recommendation to set up a Multi-Country Project or
to invite a Member State to participate in a Multi-Country Project meeting the
requirements of paragraphs (1) to (3), taking into account the progress implementing
the national Digital Decade strategic roadmaps and the adherence to the
Commission’s recommended actions. The Commission and Member States may also
undertake to set up, or join, a Multi-Country Project as a joint commitment.

_Article 13_

**Selection and implementation of Multi-Country Projects**

(1) Taking into account proposals for Multi-Country Projects in the national Digital
Decade strategic roadmaps and joint commitments, the Commission shall, in close
cooperation with Member States, prepare and publish, as an annex to the report on
the “State of the Digital Decade”, the strategic principles and priorities in the
implementation of Multi-Country Projects and a progress report on the MultiCountry Projects selected for implementation at the time of the publication of the
report.

# EN 30 EN

(2) All Union programmes and investment schemes, if allowed by rules specified in the
programme’s legal basis, may contribute to a Multi-Country Project, depending on
the types of actions needed to achieve the required goal.

(3) Other entities, whether public or private, may contribute to Multi-Country Projects
where appropriate.

(4) Multi-Country Projects may be implemented by the following implementation
mechanisms:

(a) Joint Undertakings;

(b) European Research Infrastructure Consortia;

(c) the Union’s agencies;

(d) independently by Member States concerned;

(e) to promote the execution of Important Projects of Common European Interest
under Article 107(3), point (b) of the Treaty;

(f) European Digital Infrastructure Consortia in accordance with Chapter 5 of this
Decision;

(g) any other appropriate implementation mechanism.

_Article 14_

**Multi-Country Projects Accelerator**

(1) Following a Commission’s recommendation referred to in Article 12(5), joint
commitments or at the request of the participating Member States, the Commission
shall coordinate the implementation of a Multi-Country Project, acting as a MultiCountry Project Accelerator.

(2) In a first step of coordination, the Commission publishes a call for expression of
interest addressed to all Member States. The call for expression of interest shall aim
to establish whether a Member State intends to participate in the Multi-Country
Project and what financial or non-financial contribution it proposes to provide.

(3) In a second step of coordination, if at least three Member States express interest in a
Multi-Country Project and at the same time propose financial or non-financial
commitments to that project, the Commission, having consulted all Member States,
shall give guidance on the choice of the appropriate implementation mechanism, on
the sources of funding and on their combination within the project, as well as other
strategic aspects related to the implementation of that project. The Commission may
also propose on its own initiative to coordinate a Multi-Country Project in
accordance with the steps described in paragraphs 2 and 3 to the participating
Member States.

(4) The Commission may give guidance regarding the setting-up of a new European
Digital Infrastructure Consortium, in accordance with Article 15.

(5) The Commission shall support the implementation of Multi-Country Projects by
providing, as appropriate, services and resources referred to in Article 10.

**C** **HAPTER** **5**

**E** **UROPEAN** **D** **IGITAL** **I** **NFRASTRUCTURE** **C** **ONSORTIUM**

# EN 31 EN

_Article 15_

**Objective and status of the European Digital Infrastructure Consortium (EDIC)**

(1) Member States may implement a Multi-Country Project by means of an European
Digital Infrastructure Consortium (‘EDIC’).

(2) An EDIC shall have legal personality from the date of entry into force of the
Commission decision referred to in Article 16 (3), point (a).

(3) An EDIC shall have in each Member State the most extensive legal capacity
accorded to legal entities under the law of that Member State. It may, in particular,
acquire, own and dispose of movable, immovable and intellectual property, conclude
contracts and be a party to legal proceedings.

(4) An EDIC shall have a statutory seat, which shall be located on the territory of a
Member State.

_Article 16_

**Setting up the EDIC**

(1) Member States applying for the setting-up of an EDIC (“applicants”) shall submit an
application to the Commission. The application shall be submitted in writing and
shall contain the following:

(a) a request to the Commission to set up the EDIC;

(b) the proposed Statutes of the EDIC;

(c) a technical description of the Multi-Country project to be implemented by the
EDIC;

(d) a declaration by the host Member State recognising the EDIC as an
international body within the meaning of Articles 143, point (g) and 151(1),
point (b) of Council Directive 2006/112/EC [20] and as international organisation
within the meaning of Article 12(1), point (b), of Council Directive
2008/118/EC [21], as of its setting up. The limits and conditions of the exemptions
provided for in those provisions shall be laid down in an agreement between
the members of the EDIC.

(2) The Commission shall assess the application, taking into account the objectives of
this Decision and practical considerations related to the implementation of the MultiCountry project to be implemented by EDIC.

(3) The Commission shall, taking into account the results of the assessment referred to in
paragraph 2, and in accordance with the examination procedure referred to in Article
25(2) adopt one of the following decisions by means of implementing acts:

(a) setting up the EDIC after it has concluded that the requirements laid down in
this Chapter are met;

20
Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax (OJ L
347, 11.12.2006, p. 1).

21
Council Directive 2008/118/EC of 16 December 2008 concerning the general arrangements for excise duty
and repealing Directive 92/12/EEC (OJ L 9, 14.1.2009, p. 12).

# EN 32 EN

(b) rejecting the application if it concludes that the requirements laid down in this
Chapter are not met, including in the absence of the declaration referred to in
Article 16(1), point (d). In this case, Member States may still form a
consortium by way of an agreement but it shall not carry the name EDIC, nor
benefit from the implementation structure laid down in this Chapter.

(4) The decision referred to in paragraph 2 shall be notified to the applicants. Where the
application is rejected, the decision shall be explained in clear and precise terms to
the applicants.

(5) The decision setting up the EDIC shall be published in the _Official Journal of the_
_European Union_ .

(6) The essential elements of the Statutes of the EDIC, as set out in Article 19(1), points
(a) and (c), and, if applicable, contained in the application shall be annexed to the
decision setting up the EDIC.

_Article 17_

**Membership**

(1) The membership of EDIC shall include at least three Member States. Only Member
States that provide a financial or non-financial contribution shall be members of
EDIC with voting rights.

(2) Following the adoption of a decision setting up an EDIC, other Member States may
join as members at any time on fair and reasonable terms specified in the Statutes.

(3) Member States that do not provide a financial or non-financial contribution may join
EDIC as observers without voting rights.

(4) An EDIC may be open to the participation of entities other than Member States,
which may include inter alia international organizations and private entities, as
specified in the Statutes. If this is the case, Member States shall hold jointly the
majority of the voting rights in the assembly of members regardless of the amount of
contributions from entities other than Member States.

_Article 18_

**Governance**

(1) An EDIC shall have at least the following two bodies:

(a) an assembly of members made up of the Member States, other entities referred
to in Article 17(4) and of the Commission as the body having full decisionmaking powers, including the adoption of the budget;

(b) a director, appointed by the assembly of members, as the executive body and
legal representative of the EDIC.

(2) The Commission shall participate in the deliberations of the assembly of members
without voting rights. However, where a centrally-managed Union programme
financially contributes to a Multi-Country Project, the Commission shall have a veto
right on the decisions of the assembly.

(3) The Statutes of an EDIC shall establish specific provisions concerning the
governance, within the requirements of paragraphs 1 and 2.

# EN 33 EN

_Article 19_

**Statutes of the EDIC**

(1) The Statutes of an EDIC shall contain at least the following:

(a) a list of members, observers and the procedure for changes in membership and
representation, which shall respect the right of non-participating Member
States to join an EDIC;

(b) the detailed description of the Multi-Country Project, the tasks of Members, if
applicable, and indicative timeline;

(c) the statutory seat and name;

(d) the rights and obligations of the members, including the obligation to make
contributions to the budget;

(e) voting rights;

(f) rules on the ownership of infrastructure, intellectual property and other assets,
as applicable.

(2) The amendments of the Statutes shall be subject to the procedure referred to in
Article 16.

_Article 20_

**Liability**

(1) An EDIC shall be liable for its debts.

(2) The financial liability of the members for the debts of the EDIC shall be limited to
their respective contributions provided to the EDIC. The members may specify in the
Statutes that they will assume a fixed liability above their respective contributions or
unlimited liability.

(3) The Union shall not be liable for an EDIC’s debts.

_Article 21_

**Applicable law and jurisdiction**

(1) The setting-up and internal functioning of an EDIC shall be governed:

(a) by Union law, in particular this Decision;

(b) by the law of the State where the EDIC has its statutory seat in the case of
matters not, or only partly, regulated by acts referred to in point (a);

(c) by the Statutes and their implementing rules.

(2) Without prejudice to the cases in which the Court of Justice of the European Union
has jurisdiction under the Treaties, the law of the State where the EDIC has its
statutory seat shall determine the competent jurisdiction for the resolution of disputes
among the Members in relation to the EDIC, between the members and the EDIC,
and between an EDIC and third parties.

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_Article 22_

**Winding up**

(1) The Statutes shall determine the procedure to be followed for the winding-up of an
EDIC following a decision of the assembly of members. Winding-up may include the
transfer of activities to another legal entity.

(2) The insolvency rules of the State where the EDIC has its statutory seat shall apply in
the event that the EDIC is unable to pay its debts.

_Article 23_

**Reporting and control**

(1) An EDIC shall produce an annual activity report, containing a technical description
of its activities and a financial report. It shall be approved by the assembly of
members and transmitted to the Commission. This report shall be made publicly
available.

(2) The Commission may provide recommendations regarding the matters covered in the
annual activity report.

**C** **HAPTER** **6**

**F** **INAL** **P** **ROVISIONS**

_Article 24_

**Provision of information**

(1) Upon request from the Commission, Member States shall provide the Commission
with the information necessary to carry out its tasks under this Decision, in particular
regarding information necessary for the implementation of Articles 7, 8 and 9. The
information requested by the Commission shall be proportionate to the performance
of those tasks. Where the information provided refers to information previously
provided by undertakings at the request of a Member State, such undertakings shall
be informed thereof.

_Article 25_

**Committee**

(1) The Commission shall be assisted by a committee (‘the Communications
Committee’). That committee shall be a committee within the meaning of Regulation
(EU) No 182/2011.

(2) Where reference is made to this paragraph, Article 5 of Regulation (EU) No
182/2011 shall apply, having regard to Article 8 thereof.

_Article 26_

**Entry into force**

# EN 35 EN

(1) This Decision shall enter into force on the twentieth day following that of its
publication in the _Official Journal of the European Union_ .

Done at Brussels,

_For the European Parliament_ _For the Council_
_The President_ _The President_

# EN 36 EN