Source: EURLEX
Language: en
Format: md

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| 19.11.2009 | EN | Official Journal of the European Union | CE 279/121 |

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Fuel Cells and Hydrogen Joint Undertaking \*

P6\_TA(2008)0203

European Parliament legislative resolution of 20 May 2008 on the proposal for a Council regulation setting up the Fuel Cells and Hydrogen Joint Undertaking (COM(2007)0571 — C6-0446/2007 — 2007/0211(CNS))

(2009/C 279 E/29)

(Consultation procedure)

The European Parliament,

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| — | having regard to the Commission proposal to the Council (COM(2007)0571), |

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| — | having regard to Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the Financial Regulation applicable to the general budget of the European Communities[(1)](#ntr1-CE2009279EN.01012101-E0001) (Financial Regulation), and in particular Article 185 thereof, |

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| — | having regard to the Interinstitutional Agreement of 17 May 2006 between the European Parliament, the Council and the Commission on budgetary discipline and sound financial management[(2)](#ntr2-CE2009279EN.01012101-E0002) (IIA), and in particular Point 47 thereof, |

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| — | having regard to Articles 171 and 172 of the EC Treaty, pursuant to which the Council consulted Parliament (C6-0446/2007), |

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| — | having regard to Rule 51 of its Rules of Procedure, |

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| — | having regard to the report of the Committee on Industry, Research and Energy and the opinion of the Committee on Budgets (A6-0145/2008), |

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| 1. | Approves the Commission proposal as amended; |

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| 2. | Considers that the reference amount indicated in the legislative proposal must be compatible with the ceiling of heading 1a of the current multiannual financial framework 2007-2013 and with the provisions of Point 47 of the Interinstitutional Agreement (IIA) of 17 May 2006; notes that any financing beyond 2013 shall be evaluated in the context of the negotiations for the next financial framework; |

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| 3. | Points out that the opinion delivered by the Committee on Budgets does not pre-empt the outcome of the procedure laid down in Point 47 of the IIA of 17 May 2006 which applies to the setting up of the Fuel Cells and Hydrogen Joint Undertaking; |

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| 4. | Calls on the Commission to alter its proposal accordingly, pursuant to Article 250(2) of the EC Treaty; |

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| 5. | Calls on the Council to notify Parliament if it intends to depart from the text approved by Parliament; |

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| 6. | Asks the Council to consult Parliament again if it intends to amend the Commission proposal substantially; |

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| 7. | Instructs its President to forward its position to the Council and the Commission. |

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| (7a) | In March 2007, the implementation panel of the European Hydrogen and Fuel Cell Technology Platform adopted an implementation plan in which it was estimated that a budget of EUR 7,4 billion would be needed over the period 2007-2015 to meet the technological challenges, of which a third should be spent on research and development. In order for the EU to be able to develop technologies that are sustainable in the long term, a significant part of this budget for research and development should be allocated to breakthrough-oriented research. |

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| (9) | The objective of the JTI on ‘Fuel Cells and Hydrogen’ is to implement a programme of research, technological development and demonstration activities in Europe in the fields of fuel cells and hydrogen. These should be carried out with the cooperation and involvement of stakeholders from industry including SMEs, research centres, universities, and regions. |

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| (9) | The objective of the JTI on ‘Fuel Cells and Hydrogen’ is to implement a programme of research, technological development and demonstration activities in Europe in the fields of fuel cells and hydrogen. These  activities, which should build on the work carried out by the European Hydrogen and Fuel Cell Technology Platform,  should be carried out with the cooperation and involvement of stakeholders from industry including SMEs, research centres, universities, and regions. |

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| (10) | Taking into account the public private partnership involving major stakeholders and its long term activity, the generated socio-economic benefits for European citizens, the pooling of financial resources and co-financing in the field of fuel cells and hydrogen RTD&D activity provided by the Commission and industry, the high scientific and technical expertise required, and the input of industrial property rights, it is vital to set up a Fuel Cells and Hydrogen Joint Undertaking (hereinafter the ‘FCH Joint Undertaking’) under Article 171 of the Treaty. This legal entity should ensure the coordinated use and efficient management of the funds assigned to the JTI on ‘Fuel Cells and Hydrogen’. To ensure the appropriate management of activities initiated but not concluded during the Seventh Framework Programme (2007-2013) the FCH Joint Undertaking should be set up for  an initial  period  of 10 years  ending on 31 December 2017.  This period may be extended. |

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| (10) | Taking into account the public private partnership involving major stakeholders and its long term activity, the generated socio-economic benefits for European citizens, the pooling of financial resources and co-financing in the field of fuel cells and hydrogen RTD&D activity provided by the Commission and industry, the high scientific and technical expertise required, and the input of industrial property rights, it is vital to set up a Fuel Cells and Hydrogen Joint Undertaking (hereinafter the ‘FCH Joint Undertaking’) under Article 171 of the Treaty. This legal entity should ensure the coordinated use and efficient management of the funds assigned to the JTI on ‘Fuel Cells and Hydrogen’. To ensure the appropriate management of activities initiated but not concluded during the Seventh Framework Programme (2007-2013) the FCH Joint Undertaking should be set up for  a  period ending on 31 December 2017.  It should be ensured that, after the last call for proposals in 2013, projects still in progress are implemented, monitored and funded until 2017. |

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| (10a) | Significant breakthroughs in a number of fields are needed in order for fuel cell and hydrogen technologies to be effectively deployed. The Commission should therefore play a key role in ensuring that proper emphasis is put on long-term research and that adequate support is given to it, taking into account advice provided by the advisory bodies of the FCH Joint Undertaking, namely the Scientific Committee and the High Level Member States Group. |

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| (11a) | The participation of SMEs, research centres and universities in the RTD activities should be promoted. In line with the Rules for Participation in the Seventh Framework Programme, the maximum level of public funding of eligible costs should, in the case of SMEs, research centres and universities, be fifty percent higher than for other entities. |

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| (12) | The Founding Members of the FCH Joint Undertaking should be the European Community and the European Fuel Cell and Hydrogen Joint Technology Initiative Industry Grouping (hereinafter the ‘Industry Grouping’), which represents the interests of industry and is open to private companies. A Research Grouping may become a member of the FCH Joint Undertaking. |

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| (12) | The Founding Members of the FCH Joint Undertaking should be the European Community , represented by the Commission,  and the European Fuel Cell and Hydrogen Joint Technology Initiative Industry Grouping (hereinafter the ‘Industry Grouping’), which represents the interests of industry and is open to private companies  and fuel cell and hydrogen industry associations . A Research Grouping may become a member of the FCH Joint Undertaking. |

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| (13) | The running costs of the FCH Joint Undertaking should be covered equally in cash by the European Community and the Industry Grouping from the outset. If the Research Grouping is established it should contribute to  1/12 of  the running costs. |

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| (13) | The running costs of the FCH Joint Undertaking should be covered equally in cash by the European Community and the Industry Grouping from the outset. If the Research Grouping is established it should  also  contribute to the running costs. |

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| (13a) | The running costs, and in particular the administrative costs, should be kept to an absolute minimum and full use should be made of the resources and organisational systems of existing bodies. |

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| (14) | The operational costs  for RTD&D  should be funded by the Community  and the private sector . |

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| (14) | The operational costs should be funded by the Community , industry and other public and private legal entities participating in the activities. Further financing may be available, inter alia, from the European Investment Bank (EIB), in particular under the Risk-Sharing Finance Facility developed jointly by the EIB and the Commission pursuant to Annex III to Decision No 2006/971/EC. |

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| (14a) | The need to ensure stable employment conditions and equal treatment of staff and to attract specialised scientific and technical staff of the highest calibre requires that the Commission be authorised to second as many officials as it regards necessary to the FCH Joint Undertaking. The remaining staff should be recruited by the FCH Joint Undertaking in accordance with the host country employment regulations. |

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| (15) | The FCH Joint Undertaking should be a body set up by the Community and discharge for the implementation of its budget should be given by the European Parliament  on the  recommendation of the Council.  However, account should be taken of the specificities resulting from the nature of the JTI as a public-private partnership and in particular from the private-sector contribution to the budget . |

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| (15) | The FCH Joint Undertaking should be a body set up by the Community and discharge for the implementation of its budget should be given by the European Parliament,  taking into account a  recommendation of the Council. |

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| (16) | The FCH Joint Undertaking  should adopt, subject to prior consultation with the Commission, specific financial provisions based on the principles of the Council Regulation (EC, Euratom) No 1605/2002 of 25 June 2002 on the Financial Regulation applicable to the general budget of the European Communities. Those provisions should take into account  its specific operating needs  arising,  in particular,  from  the need to combine Community and private funding. |

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| (16) | The financial rules applicable to  the FCH Joint Undertaking  should not depart from Commission Regulation (EC, Euratom) No 2343/2002 of 19 November 2002 on the framework Financial Regulation for the bodies referred to in Article 185 of Council Regulation (EC, Euratom) No 1605/2002 on the Financial Regulation applicable to the general budget of the European Communities[(3)](#ntr3-CE2009279EN.01012101-E0003), unless  its specific operating needs  so require,  in particular, the need to combine Community and private funding.  The prior consent of the Commission should be required for the adoption of any rules which derogate from Regulation (EC, Euratom) No 2343/2002. The budgetary authority should be informed of such derogation. |

1.   For the implementation of the Joint Technology Initiative (hereinafter ‘JTI’) on ‘Fuel Cells and Hydrogen’, a Joint Undertaking (hereinafter the ‘FCH Joint Undertaking’) within the meaning of Article 171 of the Treaty is hereby set up for a period ending on 31 December 2017. 
This period may be extended by a revision of this Regulation
.

1.   For the implementation of the Joint Technology Initiative (hereinafter ‘JTI’) on ‘Fuel Cells and Hydrogen’, a Joint Undertaking (hereinafter the ‘FCH Joint Undertaking’) within the meaning of Article 171 of the Treaty is hereby set up for a period ending on 31 December 2017. 
It shall be ensured that, after the last call for proposals in 2013, projects still in progress are implemented, monitored and funded until 2017
.

2.   The FCH Joint Undertaking shall 
have legal personality
. In the Member States
,
 it shall enjoy the most extensive legal capacity accorded to legal persons under the laws of those States. It may, in particular, acquire or dispose of movable and immovable property and be a party to legal proceedings.

2.   The FCH Joint Undertaking shall 
be a body as referred to in Article 185 of the Financial Regulation and Point 47 of the Interinstitutional Agreement between the European Parliament, the Council and the Commission on budgetary discipline and sound financial management of 17 May 2006[(4)](#ntr4-CE2009279EN.01012101-E0004).
 In 
all
 the Member States it shall enjoy the most extensive legal capacity accorded to legal persons under the laws of those states. It may, in particular, acquire and dispose of movable and immovable property and be a party to legal proceedings.

3.
   
The FCH Joint Undertaking shall be considered as an international body within the meaning of Article 22(c) of Directive 2004/17/EC and of Article 15(c) of Directive 2004/18/EC.

4.   The FCH Joint Undertaking shall be located in Brussels, Belgium.

4.   The FCH Joint Undertaking shall be located in Brussels, Belgium.

5.   The Statutes of the FCH Joint Undertaking are set out in Annex.

5.   The Statutes of the FCH Joint Undertaking are set out in Annex.

2.   It shall, in particular:

2.   It shall, in particular:

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| (– a) | aim at placing the European Union at the forefront of fuel cell and hydrogen technologies and at enabling the market breakthrough of fuel cell and hydrogen technologies, so that the substantial benefits expected of such technology can be achieved by the market; |

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| (a) | support research, technological development and demonstration  (RTD&D)  in the Member States and Associated countries in a coordinated manner to overcome the market failure and focus on developing market applications and thereby facilitate additional industrial efforts towards a rapid deployment of fuel cells and hydrogen technologies; |

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| (a) | support research, technological development and demonstration  (RTD)  in the Member States and  countries associated with the Seventh Framework Programme (hereafter referred to as ‘Associated  Countries’)  in a coordinated manner to overcome the market failure and focus on developing market applications and thereby facilitate additional industrial efforts towards a rapid deployment of fuel cells and hydrogen technologies; |

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| (b) | support the implementation of the research priorities of the JTI on Fuel Cells and Hydrogen, notably by awarding grants following competitive calls for proposals; |

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| (b) | support the implementation of the research priorities of the JTI on Fuel Cells and Hydrogen,  including breakthrough-oriented research,  notably by awarding grants following competitive calls for proposals; |

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| (c) | aim to encourage increased public and private research investment in fuel cells and hydrogen technologies in the Members States and Associated countries; |

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| (c) | aim to encourage increased public and private research investment in fuel cells and hydrogen technologies in the Members States and Associated countries; |

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| (d) | conclude service and supply contracts necessary for the functioning of the FCH Joint Undertaking; |

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| (e) | ensure the efficiency and effectiveness of the JTI on Fuel Cells and Hydrogen. |

Article 3

Members

1.
   
The founding members of the FCH Joint Undertaking (hereinafter ‘founding members’) shall be:

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| (a) | the European Community, represented by the Commission, and |

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| (b) | the European Fuel Cell and Hydrogen Joint Technology Initiative Industry Grouping Aisbl established under Belgian law (hereinafter the ‘Industry Grouping’). |

2.
   
A Research Grouping, representing non-profit research organisations, universities and research centres, may become a member (hereinafter the ‘member’) provided that an entity to represent the research community has been established. If the Research Grouping is set up it shall have one seat in the Governing Board.

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Article 4

Bodies

1.
   
Executive bodies of the FCH Joint Undertaking shall be:

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| (a) | the Governing Board, and |

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| (b) | the Programme Office. |

2.
   
Advisory bodies of the FCH Joint Undertaking shall be:

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| (a) | the High Level Member States Group, and |

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| (b) | the Scientific Committee. |

3.
   
The Stakeholders General Assembly shall be a forum for consultation on the progress, state of the art, future alignment and direction of the research activities.

The Stakeholders General Assembly shall be open to all public and private stakeholders, international interests groups from Member States as well as from third countries. It shall be convened once a year.

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Sources of financing

Community contribution

1.
   
The activities of the FCH Joint Undertaking shall be jointly funded through contributions from its founding members and member. In addition, contributions to the projects may also be accepted from Member States, Associated States, regions or other stakeholders sharing the objectives of the JTI.

2.
   
The running costs of the FCH Joint Undertaking shall be covered equally in cash by the European Community and the Industry Grouping from the outset. If the Research Grouping is established it shall contribute to 1/12 of the running costs. In such a case, the Commission contribution will decrease correspondingly.

3.
   
The operational costs for RTD&D shall be jointly funded through the financial contribution of the Community and through in-kind contributions from the private legal entities participating in the activities, corresponding to an amount at least equal to the Community's contributions.

4.   The 
maximum
 Community contribution to the FCH Joint Undertaking running costs and operational costs shall be 470 million 
EUR. The running costs are estimated not to exceed 20 million EUR. The contributions shall come from the ‘Cooperation’
 Specific Programme implementing the Seventh Framework Programme for research, technological development and demonstration (2007-2013) implementing the Community budget according to the provisions of Article 54(2)(b) of Regulation (EC, Euratom) No 1605/2002. 
The arrangements for the Community financial contribution shall be established by means of a general agreement and annual financial agreements to be concluded between the Commission, on behalf of the Community, and
 the FCH Joint Undertaking.

4.   The 
initial
 Community contribution to the FCH Joint Undertaking running costs 
(including administrative costs)
 and operational costs shall be 
EUR
 470 million. 
The contribution shall be paid from the appropriations in the general budget of the European Union allocated to the ‘Energy’, ‘Nanosciences, Nanotechnologies, Materials and New Production Technologies’, ‘Environment (including Climate Change)’, and ‘Transport (including Aeronautics)’ themes of the
 Specific Programme 
Cooperation
 implementing the Seventh Framework Programme for research, technological development and demonstration (2007-2013) implementing the Community budget according to the provisions of Article 54(2)(b) of Regulation (EC, Euratom) No 1605/2002. 
This contribution may be revised during a mid-term review in light of progress made and the achievements and impact of
 the FCH Joint Undertaking.

5.   
Unless funding is provided after 2013 (when FP7 ends) only projects for which a grant agreement has been signed at the latest by 31 December 2013 shall continue in the years 2014-2017.

5.   
The arrangements for the Community financial contribution shall be established by means of a general agreement and annual financial agreements to be concluded between the Commission, on behalf of the Community, and the FCH Joint Undertaking.

5a.
   
The part of the Community contribution to the FCH Joint Undertaking for the funding of RTD activities shall be granted following open, competitive calls for proposals and an evaluation, completed with the assistance of independent experts, of the proposed project.

5b.
   
The Commission's contribution to running costs shall not exceed EUR 20 million, payable in annual instalments of up to EUR 2 million; any part of this contribution not spent during the current year shall be made available in the following years for the RTD activities.

Article 6

Participation in projects

1.
   
Participation in projects shall be open to legal entities and international organisations established in a Member State, and Associated Country or any third country once the minimum conditions have been satisfied.

2.
   
The minimum conditions to be fulfilled for projects funded by the FCH Joint Undertaking shall be the following:

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| (a) | at least three legal entities must participate, each of which must be established in a Member State or Associated country, and no two of which may be established in the same Member State or Associated country; |

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| (b) | all three legal entities must be independent of each other as defined in Article 6 of Regulation (EC) No 1906/2006 of the European Parliament and of the Council laying down the rules for the participation of undertakings, research centres and universities in actions under the Seventh Framework Programme and for the dissemination of research results (2007-2013); |

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| (c) | at least one legal entity must be a member of the Industry Grouping or the Research Grouping, if such Research Grouping is established. |

3.
   
The legal entities wishing to participate in a project shall form a consortium and appoint one of their members to act as its coordinator. Normally the coordinator shall be a member of the Industry Grouping, or a member of the Research Grouping, if such Research Grouping is established. Exceptions shall be approved by the Governing Board.

4.
   
The minimum condition for service and supply contracts, support actions, studies and training activities funded by the FCH Joint Undertaking shall be the participation of one legal entity.

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Article 7

Eligibility for funding

1.
   
The Community contribution to the FCH Joint Undertaking for the funding of the RTD&D activities shall be granted following competitive calls for proposals.

2.
   
In exceptional cases the FCH Joint Undertaking may issue calls for tenders, if it is deemed appropriate for the effective pursuance of the research objectives.

3.
   
Private legal entities fulfilling all the following criteria shall be eligible for such funding:

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| (a) | they are established in a Member State or have their registered office, central or principal place of business within a state that is a contracting party to the European Economic Area Agreement or which is an Associated or Candidate country; |

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| (b) | they have relevant activities in RTD&D, industrialization or deployment for fuel cells and/or hydrogen and/or concrete plans to do so in the near future within the European Union or the European Economic Area. |

4.
   
The following shall also be eligible for funding:

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| (a) | non-profit public bodies established in a Member State, Associated country, Candidate Country or within the EEA, including secondary and higher education establishments; |

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| (b) | international organisations, which have legal personality under international public law, as well as any specialised agencies set up by such intergovernmental organisations; |

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| (c) | legal entities from third countries, provided that the Governing Board considers their participation to be of particular benefit to the project. |

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1.   The FCH Joint 
Undertaking's financial provisions shall be based on the principles of Regulation (EC, Euratom) No 1605/2002. It may depart from Regulation (EC, Euratom) No 1605/2002 where the
 specific operating needs 
of the FCH Joint Undertaking
 so require
,
 subject to prior consent of the Commission.

1.   
The financial rules applicable to
 the FCH Joint 
Undertaking shall not depart from Regulation (EC, Euratom) No 2343/2002, unless its
 specific operating needs so require and subject to prior consent of the Commission. 
The budgetary authority shall be informed of such derogation.

1.   
The Staff Regulations of Officials of the European Communities, the Conditions of Employment of Other Servants of the European Communities and the rules adopted jointly by the European Community institutions for the purpose of applying these Staff Regulations and Conditions of Employment shall apply to the staff of the
 FCH Joint Undertaking.

1.   
The
 FCH Joint Undertaking 
shall recruit its staff in accordance with the employment rules in force in the host country. The Commission may second to the FCH Joint Undertaking as many officials as it regards necessary
.

2.
   
In respect of its staff, the FCH Joint Undertaking shall exercise the powers conferred on the appointing authority by the Staff Regulations of Officials of the European Communities and on the authority empowered to conclude contracts by the Conditions of Employment of Other Servants of the European Communities.

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3.   The Governing Board shall, in agreement with the Commission, adopt the necessary implementing measures
, in accordance with Article 110 of the Staff Regulations of Officials of the European Communities and the Conditions of Employment of Other Servants
 of the European Communities.

3.   The Governing Board shall, in agreement with the Commission, adopt the necessary implementing measures 
concerning the secondment of officials
 of the European Communities.

Article 10

Privileges and Immunities

The Protocol on the Privileges and Immunities of the European Communities shall apply to the FCH Joint Undertaking and its staff.

deleted

1.   The Commission shall present to the European Parliament and to the Council an annual report on the progress achieved by the FCH Joint Undertaking.

1.   The Commission shall present to the European Parliament and to the Council an annual report on the progress achieved by the FCH Joint Undertaking. 
The report shall include the number of proposals submitted, the number of proposals selected for funding, the types of participant (including SMEs) and country statistics.

2.   
Two years after the establishment of the FCH Joint Undertaking, but in any case
 no later than 
2010
, the Commission shall 
conduct an
 interim 
evaluation
 of the FCH Joint Undertaking with the assistance of independent experts. This evaluation shall cover the quality and efficiency of the FCH Joint Undertaking and progress towards its objectives. The Commission shall communicate the conclusions thereof, accompanied by its observations to the European Parliament and to the Council.

2.   
By
 no later than 
31 December 2011 and 31 December 2014
, the Commission shall 
present
 interim 
evaluations
 of the FCH Joint Undertaking 
carried out
 with the assistance of independent experts. This evaluation shall cover the quality and efficiency of the FCH Joint Undertaking and progress towards its objectives. The Commission shall communicate the conclusions thereof, accompanied by its observations 
and, where appropriate, proposals for the amendment of this Regulation
 to the European Parliament and to the Council.

3.   
At the end of 2017
, the Commission shall conduct a final evaluation of the FCH Joint Undertaking with the assistance of independent experts. The results of the final evaluation shall be presented to the European Parliament and to the Council.

3.   
No later than six months after the end of the FCH Joint Undertaking
, the Commission shall conduct a final evaluation of the FCH Joint Undertaking with the assistance of independent experts. The results of the final evaluation shall be presented to the European Parliament and to the Council.

4.   Discharge for the implementation of the budget of the FCH Joint Undertaking shall be given by the European Parliament, 
upon
 recommendation of the Council
, in accordance with a procedure laid down by the Financial Regulation of the FCH Joint Undertaking
.

4.   Discharge for the implementation of the budget of the FCH Joint Undertaking shall be given by the European Parliament, 
taking into account a
 recommendation of the Council.

The FCH Joint Undertaking shall adopt rules governing the use and dissemination of 
RTD&D results, including provisions concerning the exercise
, where appropriate, 
of
 intellectual property 
rights generated in RTD&D
 activities under this Regulation. 
These rules shall
 ensure that 
RTD&D
 results are used and disseminated.

The FCH Joint Undertaking shall adopt rules governing the use and dissemination of 
research results based on the principles enshrined in Regulation (EC) 1906/2006 of the European Parliament and of the Council of 18 December 2006 laying down the rules for the participation of undertakings, research centres and universities in actions under the Seventh Framework Programme and for the dissemination of research results (2007-2013)[(5)](#ntr5-CE2009279EN.01012101-E0005) (hereafter referred to as ‘the rules for participation in the Seventh Framework Programme’), that ensure that
, where appropriate, intellectual property 
arising by virtue of RTD
 activities under this Regulation 
is protected, and that research
 results are used and disseminated.

A host agreement shall be concluded between the FCH Joint Undertaking and Belgium concerning office accommodation, privileges and immunities and other support to be provided by Belgium to the FCH Joint Undertaking.

A host agreement shall be concluded between the FCH Joint Undertaking and Belgium concerning 
the host State's assistance with regard to
 office accommodation, privileges and immunities and other support to be provided by Belgium to the FCH Joint Undertaking.

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| 3. | The FCH Joint Undertaking shall be established as from the day of publication of this Regulation in the Official Journal of the European Union for an initial period ending on 31 December 2017. |

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| 3. | The FCH Joint Undertaking shall be established as from the day of publication of this Regulation in the Official Journal of the European Union for an initial period ending on 31 December 2017.  It is a body as referred to in Article 185 of the Financial Regulation and Point 47 of the IIA of 17 May 2006. |

Objectives and main

tasks

Main

tasks

and activities

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| 1. | The  FCH Joint Undertaking shall  work within the scope of FP7 towards enabling the market breakthrough of fuel cell and hydrogen technologies, thereby allowing commercial market forces to drive the substantial potential public benefits. |

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| 1. | The main tasks and activities of the  FCH Joint Undertaking shall  be the following: |

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| 2. | The objectives include: |

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| — | to place Europe at the forefront of fuel cell and hydrogen technologies worldwide; |

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| (a) | to ensure the establishment and efficient management of the Joint Technology Initiative on Fuel Cells and Hydrogen; |

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| — | to reach the critical mass of research effort to give confidence to industry, public and private investors, decision-makers and other stakeholders to embark on a long-term programme; |

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| (b) | to reach the critical mass of research effort to give confidence to industry, public and private investors, decision-makers and other stakeholders to embark on a long-term programme; |

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| — | to leverage further industrial, national and regional RTD&D investment; |

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| (c) | to leverage further industrial, national and regional RTD&D investment; |

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| — | to build the European Research Area through close cooperation with research carried out at national and regional levels — whilst respecting subsidiarity; |

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| — | to integrate research, technological development and demonstration, and focus on achieving long-term sustainability and industrial competitiveness targets for cost, performance and durability and overcome critical technology bottlenecks; |

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| (d) | to integrate research, technological development and demonstration, and focus on achieving long-term sustainability and industrial competitiveness targets for cost, performance and durability and overcome critical technology bottlenecks; |

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| — | to stimulate innovation and the emergence of new value chains including SMEs; |

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| (e) | to stimulate innovation and the emergence of new value chains including SMEs; |

|  |  |
| --- | --- |
| — | to facilitate the interaction between industry, universities and research centres including on basic research; |

|  |  |
| --- | --- |
| (f) | to facilitate the interaction between industry, universities and research centres including on basic research; |

|  |  |
| --- | --- |
| (g) | to promote the involvement of SMEs in its activities, in accordance with the objectives of the Seventh Framework Programme; |

|  |  |
| --- | --- |
| — | to encourage the participation of institutions from all , including the new  Member States and  Candidate  countries; |

|  |  |
| --- | --- |
| (h) | to encourage the participation of institutions from all Member States and  Associated  countries; |

|  |  |
| --- | --- |
| — | to perform broadly-conceived socio-techno-economic research to assess and monitor technological progress and non-technical barriers to market entry; |

|  |  |
| --- | --- |
| (i) | to perform broadly-conceived socio-techno-economic research to assess and monitor technological progress and non-technical barriers to market entry; |

|  |  |
| --- | --- |
| — | to perform research to support the development of new, and review existing regulations and standards to eliminate artificial barriers to market entry and support interchangeability, inter-operability, cross-border hydrogen trading, and export markets whilst ensuring safe operation and not inhibiting innovation; |

|  |  |
| --- | --- |
| (j) | to perform research to support the development of new, and review existing regulations and standards to eliminate artificial barriers to market entry and support interchangeability, inter-operability, cross-border hydrogen trading, and export markets whilst ensuring safe operation and not inhibiting innovation; |

|  |  |
| --- | --- |
| — | to provide reliable information to improve the public awareness and create public acceptance concerning hydrogen safety, and the benefits from the new technologies to the environment, security of supply, energy costs, and employment. |

|  |  |
| --- | --- |
| (k) | to communicate and disseminate valuable information concerning its activities, especially to SMEs and research centres and  to provide reliable information to improve the public awareness and create public acceptance concerning hydrogen safety, and the benefits from the new technologies to the environment, security of supply, energy costs, and employment. |

|  |  |
| --- | --- |
| 3. | The main tasks of the FCH Joint Undertaking shall be to ensure the establishment and the efficient management of the Joint Technology Initiative on Fuel Cells and Hydrogen. |

|  |  |
| --- | --- |
| 4. | This includes: |

|  |  |
| --- | --- |
| — | to establish and implement a multi-annual research activity plan; |

|  |  |
| --- | --- |
| (l) | to establish and implement a multi-annual research activity plan; |

|  |  |
| --- | --- |
| — | to commit the Community funding and mobilise the private-sector and other public-sector resources needed to implement its  RTD&D  activities; |

|  |  |
| --- | --- |
| (m) | to commit the Community funding and mobilise the private-sector and other public-sector resources needed to implement its  RTD  activities; |

|  |  |
| --- | --- |
| — | to ensure the sound operation of the  RTD&D  activities and sound financial management of the resources; |

|  |  |
| --- | --- |
| (n) | to ensure the sound operation of the  RTD  activities and sound financial management of the resources; |

|  |  |
| --- | --- |
| — | to cooperate with and consult with the High Level Member States Group; |

|  |  |
| --- | --- |
| — | to cooperate with and consult with the Scientific Committee; |

|  |  |
| --- | --- |
| — | to organise annual meetings of the Stakeholders' General Assembly; |

|  |  |
| --- | --- |
| — | to communicate and disseminate information on the projects, including the names of the participants, the results from the  RTD&D  activities, and the amount of the financial contribution from the FCH Joint Undertaking; |

|  |  |
| --- | --- |
| (o) | to communicate and disseminate information on the projects, including the names of the participants, the results from the  RTD  activities, and the amount of the financial contribution from the FCH Joint Undertaking; |

|  |  |
| --- | --- |
| — | to notify the legal entities that have concluded a Grant Agreement with the FCH Joint Undertaking of the potential borrowing opportunities from the European Investment Bank, in particular the Risk Sharing Finance Facility set up under the Seventh Framework Programme; |

|  |  |
| --- | --- |
| (p) | to notify the legal entities that have concluded a Grant Agreement with the FCH Joint Undertaking of the potential borrowing opportunities from the European Investment Bank, in particular the Risk Sharing Finance Facility set up under the Seventh Framework Programme; |

|  |  |
| --- | --- |
| — | to ensure a high level of transparency and fair competition under equal access conditions for all applicants to the research and demonstration activities of the FCH Joint Undertaking, whether or not they are members of the Research Grouping or the Industry Grouping, (in particular small and medium-sized enterprises); |

|  |  |
| --- | --- |
| (q) | to ensure a high level of transparency and fair competition under equal access conditions for all applicants to the research and demonstration activities of the FCH Joint Undertaking, whether or not they are members of the Research Grouping or the Industry Grouping, (in particular small and medium-sized enterprises); |

|  |  |
| --- | --- |
| — | to follow the international developments in the area and engage in international cooperation when appropriate. |

|  |  |
| --- | --- |
| (r) | to follow the international developments in the area and engage in international cooperation when appropriate. |

|  |  |
| --- | --- |
| (s) | to develop close cooperation and ensure coordination with the Seventh Framework Programme and other EU, national and trans-national activities, bodies and stakeholders; |

|  |  |
| --- | --- |
| (t) | to monitor progress toward achievement of the objectives of the FCH Joint Undertaking; |

|  |  |
| --- | --- |
| (u) | to carry out any other activity needed to achieve its objectives. |

Members

and interest groups

Members

|  |  |
| --- | --- |
| 1. | The founding members (hereinafter referred to as the ‘Founding Members’) of the FCH Joint Undertaking shall be: |

|  |  |
| --- | --- |
| 1. | The founding members (hereinafter referred to as the ‘Founding Members’) of the FCH Joint Undertaking shall be: |

|  |  |
| --- | --- |
| — | the European Community, represented by the European Commission, and |

|  |  |
| --- | --- |
| (a) | the European Community, represented by the European Commission, and |

|  |  |
| --- | --- |
| — | the European Fuel Cell and Hydrogen Joint Technology Initiative Industry Grouping Aisbl established under Belgian law (hereinafter referred to as the ‘Industry Grouping’). |

|  |  |
| --- | --- |
| (b) | upon acceptance of the Statutes,  the European Fuel Cell and Hydrogen Joint Technology Initiative Industry Grouping Aisbl , a non-profit organisation  established under Belgian law  whose purpose is to contribute to achieving the objectives of the FCH Joint Undertaking  (hereinafter referred to as the ‘Industry Grouping’). |

|  |  |
| --- | --- |
| 2. | The Industry Grouping: |

|  |  |
| --- | --- |
| 2. | The Industry Grouping  shall : |

|  |  |
| --- | --- |
| — | is a non-profit organisation whose purpose is to contribute to achieving the objectives of the FCH Joint Undertaking; |

|  |  |
| --- | --- |
| — | is legally established under Belgian law, and operating under its registered by-laws duly adopted to pertain to the Joint Technology Initiative; |

|  |  |
| --- | --- |
| — | shall  ensure that its contribution to the resources of the FCH Joint Undertaking, according to  Article 5 of  this Regulation is provided in advance as a cash contribution to cover 50 % of the running costs of the FCH Joint Undertaking and transferred to the budget of the FCH Joint Undertaking before the start of each financial year; |

|  |  |
| --- | --- |
| — | ensure that its contribution to the resources of the FCH Joint Undertaking, according to  the provisions of  this Regulation is provided in advance as a cash contribution to cover 50 % of the running costs of the FCH Joint Undertaking and transferred to the budget of the FCH Joint Undertaking before the start of each financial year; |

|  |  |
| --- | --- |
| — | shall  ensure that industry's contribution to the achievement of the  RTD&D  activities funded by the FCH Joint Undertaking  is provided in kind and covers a minimum of 50 % of the total project costs, calculated on a yearly basis ; |

|  |  |
| --- | --- |
| — | ensure that industry's contribution to the achievement of the  RTD  activities funded by the FCH Joint Undertaking  at least matches the Community contribution ; |

|  |  |
| --- | --- |
| — | is  open to membership by any private legal entity (including small and medium-sized enterprises), formed in accordance with the law of a Member State ,  Associated country  or EEA state  and having its registered office, central administration or principal place of business within the above area, provided it is active in the field of fuel cells and hydrogen in Europe, and is committed to contribute to the objectives and resources of the FCH Joint Undertaking. |

|  |  |
| --- | --- |
| — | be  open to membership , on fair and reasonable terms,  by any private legal entity (including small and medium-sized enterprises  and relevant fuel cell and hydrogen industry associations ), formed in accordance with the law of a Member State  or  Associated country and having its registered office, central administration or principal place of business within the above area, provided it is active in the field of fuel cells and hydrogen in Europe, and is committed to contribute to the objectives and resources of the FCH Joint Undertaking. |

|  |  |
| --- | --- |
| 3. | A Research Grouping , representing non-profit research organisations, universities and research centres,  may become a member, after the establishment of the FCH Joint Undertaking, provided  an entity to represent the research community has been established. The application from the Research Grouping shall be addressed to and decided upon by the Governing Board. |

|  |  |
| --- | --- |
| 3. | A Research Grouping may become a member, after the establishment of the FCH Joint Undertaking, provided  that it has accepted these Statutes . |

|  |  |
| --- | --- |
| 4. | The Research Grouping shall: |

|  |  |
| --- | --- |
| 4. | The Research Grouping shall: |

|  |  |
| --- | --- |
| — | be a non-profit organisation whose purpose is to contribute to achieving the objectives of the FCH Joint Undertaking; |

|  |  |
| --- | --- |
| — | be a non-profit organisation whose purpose is to contribute to achieving the objectives of the FCH Joint Undertaking; |

|  |  |
| --- | --- |
| — | be legally established under Belgian law and operate under its registered by-laws duly adopted to pertain to the Joint Technology Initiative; |

|  |  |
| --- | --- |
| — | be legally established under Belgian law and operate under its registered by-laws duly adopted to pertain to the Joint Technology Initiative; |

|  |  |
| --- | --- |
| — | ensure that its contribution to the resources of the FCH Joint Undertaking is provided in advance as a cash contribution to cover  1/12  of the running costs of the FCH Joint Undertaking and transferred to the budget of the FCH Joint Undertaking before the start of each financial year; |

|  |  |
| --- | --- |
| — | ensure that its contribution to the resources of the FCH Joint Undertaking is provided in advance as a cash contribution to cover  1/20  of the running costs of the FCH Joint Undertaking and transferred to the budget of the FCH Joint Undertaking before the start of each financial year; |

|  |  |
| --- | --- |
| — | be open to membership by any non-profit research organisation, university or research centre established in a Member State, an Associated country or Candidate country. |

|  |  |
| --- | --- |
| 5. | A Founding Member may terminate its membership of the FCH Joint Undertaking. The FCH Joint Undertaking shall then be wound up as provided for in Article I.22. |

|  |  |
| --- | --- |
| 5. | A Founding Member may terminate its membership of the FCH Joint Undertaking. The FCH Joint Undertaking shall then be wound up as provided for in Article I.22. |

|  |  |
| --- | --- |
| 6. | The Research Grouping may terminate its membership of the FCH Joint Undertaking. The termination shall become effective and irrevocable six months after notification to the Founding members following which the leaving Member shall be discharged from any obligations other than those approved by the FCH Joint Undertaking prior to the membership termination. |

|  |  |
| --- | --- |
| 6. | The Research Grouping may terminate its membership of the FCH Joint Undertaking. The termination shall become effective and irrevocable six months after notification to the Founding members following which the leaving Member shall be discharged from any obligations other than those approved by the FCH Joint Undertaking prior to the membership termination. |

The 
executive
 bodies of the FCH Joint Undertaking shall be the Governing Board 
and the Programme Office. The advisory bodies of the FCH Joint Undertaking shall be the High Level Member States Group, the Stakeholder's General Assembly and
 the Scientific Committee.

|  |  |
| --- | --- |
| 1. | The bodies of the FCH Joint Undertaking shall be: |

|  |  |
| --- | --- |
| (a) | the Governing Board , |

|  |  |
| --- | --- |
| (b) | the Executive Director, |

|  |  |
| --- | --- |
| (c) | the Scientific Committee. |

|  |  |
| --- | --- |
| 2. | Where any specific task does not fall within the normal competence of any of those bodies, the Governing Board shall be the competent body. |

|  |  |
| --- | --- |
| 3. | The High Level Member States Group and the aStakeholders General Assembly shall be external advisory bodies to the FCH Joint Undertaking. |

|  |  |
| --- | --- |
| 2. | The Commission shall, in case the Research Grouping is established transfer one seat to its  representative . |

|  |  |
| --- | --- |
| 2. | The Commission shall, in case the Research Grouping is established, transfer  at least  one seat to its  representative(s) . |

|  |  |
| --- | --- |
| 4. | The Governing Board shall  elect  its chairperson. The chairperson shall be  elected for 2 years . |

|  |  |
| --- | --- |
| 4. | The Governing Board shall  appoint  its chairperson  from among the representatives of the Industry Grouping . The chairperson shall be  appointed for one year and may be re-appointed once. The representative of the SMEs and the representative of the Research Grouping shall be appointed vice-chairpersons. |

|  |  |
| --- | --- |
| 8. | The Governing Board may invite observers on a case by case basis, without voting rights, to attend their meetings, in particular representatives of the regions and of regulatory bodies. |

|  |  |
| --- | --- |
| 8. | The Governing Board may invite observers on a case by case basis, without voting rights, to attend their meetings, in particular representatives of the regions and of regulatory bodies  and relevant fuel cell and hydrogen sectoral industry associations . |

|  |  |
| --- | --- |
| — | approve calls for proposals; |

|  |  |
| --- | --- |
| — | justify and  approve  any deviation to the Financial Regulation  of the FCH Joint Undertaking in accordance with Article 8 ; |

|  |  |
| --- | --- |
| — | approve  the financial rules  of the FCH Joint Undertaking in accordance with Article 8  after consulting the Commission; |

|  |  |
| --- | --- |
| — | justify any wish to derogate from Regulation (EC, Euratom) No 2343/2002, approve any derogation after prior consent of the Commission and inform the budgetary authority of any derogation approved; |

|  |  |
| --- | --- |
| 6. | The Executive Director shall be the legal representative of the FCH Joint Undertaking. He/she shall perform his/her tasks with independence, and shall be accountable to the Governing Board. |

|  |  |
| --- | --- |
| 6. | The Executive Director shall be the legal representative of the FCH Joint Undertaking. He/she shall perform his/her tasks with independence,  especially insofar as concerns the selection of project proposals and management of projects,  and shall be accountable to the Governing Board. |

|  |  |
| --- | --- |
| 8. | The Executive Director shall be appointed by the Governing Board , from a list of candidates proposed by the Commission,  for a  maximum initial  period of three years. After an evaluation of the Executive Director's performance, the Governing Board may extend the term of office once for a further period of not more than four years. |

|  |  |
| --- | --- |
| 8. | The Executive Director shall be appointed by the Governing Board for a period of three years , following a call for expressions of interest published in the Official Journal of the European Union and in other publicly accessible periodicals or on Internet sites . After an evaluation of the Executive Director's performance, the Governing Board may extend the term of office once for a further period of not more than four years , following which a call for expressions of interest shall be published in the same way . |

The Scientific Committee shall 
perform
 the following tasks:

|  |  |
| --- | --- |
| — | give its opinion on the relevance and progress of the annual RTD&D activities and recommend any amendments ; |

|  |  |
| --- | --- |
| — | give its opinion on the scientific  priorities for the multi-annual RTD&D activities plan ; |

|  |  |
| --- | --- |
| — | advise  the Governing Board on the scientific achievements described in the annual activity report . |

The Scientific Committee shall 
have
 the following tasks:

|  |  |
| --- | --- |
| (a) | establish the scientific priorities for the proposals for the annual and multi-annual research activities plans ; |

|  |  |
| --- | --- |
| (b) | give its opinion on the scientific  achievements described in the annual activity report ; |

|  |  |
| --- | --- |
| (c) | advise  on the composition of the peer review committees . |

|  |  |
| --- | --- |
| 1. | The total contribution from the Community to the FCH Joint Undertaking covering running costs and operational costs for RTD&D activities shall not exceed 470 million EUR from the Seventh Framework Programme. The running costs are expected not to exceed 20 million EUR. |

|  |  |
| --- | --- |
| 1. | The FCH Joint Undertaking shall be jointly funded by its Members by way of financial contributions paid in instalments and by in-kind contributions from legal entities participating in the activities. The running costs of the FCH Joint Undertaking shall be covered equally in cash by the Community and the Industry Grouping from the outset. As soon as the Research Grouping becomes a member of the FCH Joint Undertaking, it shall contribute to 1/20 of the running costs and the Commission's contribution to running costs will decrease correspondingly. The total contribution from the Community to the FCH Joint Undertaking's running costs shall not exceed EUR 20 million. If any part of the Community contribution remains unused, it shall be made available for the activities of the FCH Joint Undertaking. |

|  |  |
| --- | --- |
| 7. | The private sector, in particular the members of the Industry Grouping, shall contribute in kind to the operational costs of the projects. The in-kind contributions shall as a minimum match the public funding. The total level of the in-kind contributions, calculated on a yearly basis, shall be assessed once a year. The first assessment shall be initiated at the end of the second financial year after the start of the FCH Joint Undertaking. The assessment shall thereafter be performed each financial year by an independent entity. The results of the assessment shall be presented to the Commission within 4 months of the end of each financial year. |

|  |  |
| --- | --- |
| 7. | The private sector, in particular the members of the Industry Grouping, shall contribute in kind to the operational costs of the projects. The in-kind contributions shall as a minimum match the public funding.  In the event that the Joint Research Centre of the Commission participates in projects, its in-kind contribution shall not be considered part of the Community contribution.  The total level of the in-kind contributions, calculated on a yearly basis, shall be assessed once a year. The first assessment shall be initiated at the end of the second financial year after the start of the FCH Joint Undertaking. The assessment shall thereafter be performed each financial year by an independent entity. The results of the assessment shall be presented to the Commission within 4 months of the end of each financial year. |

|  |  |
| --- | --- |
| 3. | The legal entities wishing to participate in a project shall form a consortium and appoint one of their members to act as its coordinator.  Normally the coordinator shall be a member of the Industry Grouping or, a member of the Research Grouping, if such Research Grouping is established. Exceptions shall be approved by the Governing Board. |

|  |  |
| --- | --- |
| 3. | The legal entities wishing to participate in a project shall form a consortium and appoint one of their members to act as its coordinator. |

Article I.9 a

Implementation of RTD activities

|  |  |
| --- | --- |
| 1. | The FCH Joint Undertaking shall support RTD activities following open and competitive calls for proposals, independent evaluation and the conclusion for each project of a Grant Agreement and a Consortium Agreement. |

|  |  |
| --- | --- |
| 2. | In exceptional cases the FCH Joint Undertaking may issue calls for tender, if it is deemed necessary for the effective pursuance of the research objectives. |

|  |  |
| --- | --- |
| 3. | The FCH Joint Undertaking shall define the procedures and mechanisms for the implementation, supervision and control of Grant Agreements. |

|  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- |
| 4. | The Grant Agreement shall:  |  |  | | --- | --- | | — | provide for the appropriate arrangements for carrying out the RTD activities; |  |  |  | | --- | --- | | — | provide for the appropriate financial arrangements and ules relating to intellectual property rights as referred to in Article 17 of this Regulation; |  |  |  | | --- | --- | | — | govern the relationship between the project consortium and the FCH Joint Undertaking. | |

|  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- |
| 5. | The Consortium agreement shall be concluded by the project participants prior to the conclusion of the Grant Agreement. It shall:  |  |  | | --- | --- | | — | provide for the appropriate arrangements for the implementation of the Grant Agreement; |  |  |  | | --- | --- | | — | govern the relationship between the participants in a project, in particular the intellectual property rights provisions. | |

Eligibility for funding

Funding of activities

|  |  |
| --- | --- |
| 1. | The Community contribution to the FCH Joint Undertaking shall be used for funding the RTD&D activities following competitive calls for proposals. |

|  |  |
| --- | --- |
| 1. | The following entities shall be eligible for funding: |

|  |  |
| --- | --- |
| (a) | Legal entities established in a Member State or an Associated country; |

|  |  |
| --- | --- |
| (b) | International organisations, which have legal personality under international public law, as well as any specialised agencies set up by such organisations; |

|  |  |
| --- | --- |
| (c) | Legal entities from third countries, provided that the Governing Board considers their participation to be of particular benefit to the project. |

|  |  |
| --- | --- |
| 2. | In exceptional cases the FCH Joint Undertaking may issue calls for tenders, if it is deemed necessary for the effective pursuance of the research objectives. |

|  |  |
| --- | --- |
| 2. | In order to be considered eligible for Community funding, costs incurred in the implementation of RTD activities shall be exclusive of value added tax. |

|  |  |
| --- | --- |
| 3. | Private legal entities fulfilling all the following criteria shall be eligible for such funding: |

|  |  |
| --- | --- |
| 3. | The upper funding limits of the Community financial contribution towards projects shall be aligned to comply with those laid down by the rules for participation in the Seventh Framework Programme. Where lower levels of funding are necessary to comply with the matching principles referred to in Article I.8, the decrease shall be fair proportional to the abovementioned upper funding limits of the rules for participation in the Seventh Framework Programme for all categories of participant in each individual project. |

|  |  |
| --- | --- |
| (a) | they are established in a Member State or have their registered office, central or principal place of business within a state that is a contracting party to the European Economic Area Agreement or which is an Associated or Candidate country; |

|  |  |
| --- | --- |
| (b) | they have relevant activities in RTD&D, industrialization or deployment for fuel cells and/or hydrogen and/or concrete plans to do so in the near future within the European Union or the European Economic Area. |

|  |  |
| --- | --- |
| 4. | The following shall also be eligible for funding: |

|  |  |
| --- | --- |
| (a) | non-profit public bodies established in a Member State, Associated country, Candidate Country or within the EEA, including secondary and higher education establishments; |

|  |  |
| --- | --- |
| (b) | international organisations, which have legal personality under international public law, as well as any specialised agencies set up by such intergovernmental organisations; |

|  |  |
| --- | --- |
| (c) | legal entities from third countries, provided that the Governing Board considers their participation to be of particular benefit to the project. |

|  |  |
| --- | --- |
| 1. | The FCH Joint  Undertaking's financial provisions shall be based on the principles of Regulation (EC, Euratom) No 1605/2002. It may depart from Regulation (EC, Euratom) No 1605/2002 where the  specific operating needs  of the FCH Joint Undertaking  so require , subject to prior consent of the Commission. |

|  |  |
| --- | --- |
| 1. | The financial rules applicable to  the FCH Joint  Undertaking shall not depart from Regulation (EC, Euratom) No 2343/2002, unless its  specific operating needs so require . The prior consent of the Commission shall be required for the adoption of any rules which derogate from Regulation (EC, Euratom) No 2343/2002. The budgetary authority shall be informed of such derogation. |

|  |  |
| --- | --- |
| 5. | Within two months after the end of each financial year the provisional accounts of the Joint Undertaking shall be submitted to the Commission and the Court of Auditors of the European Communities (‘the Court of Auditors’). The Court of Auditors shall, by 15 June after the end of each financial year, make its observations on the provisional accounts of the Joint Undertaking. The annual accounts for the financial year shall be sent in the following year to the Commission's Accounting Officer according to the deadlines fixed by the Framework |

|  |  |
| --- | --- |
| 5. | Within two months after the end of each financial year the provisional accounts of the Joint Undertaking shall be submitted to the Commission and the Court of Auditors of the European Communities (‘the Court of Auditors’). The Court of Auditors shall, by 15 June after the end of each financial year, make its observations on the provisional accounts of the Joint Undertaking. The annual accounts for the financial year shall be sent in the following year to the Commission's Accounting Officer according to the deadlines fixed by the Framework |

Financial Regulation so that the Commission's Accounting Officer can consolidate these into the EC annual accounts. The Joint Undertaking's annual accounts have to be prepared and audited following the EC Accounting Rules as adopted by the Commission's Accounting Officer.

Financial Regulation so that the Commission's Accounting Officer can consolidate these into the EC annual accounts. 
The annual accounts and the balance sheet for the previous year shall be submitted to the budgetary authority.
 The Joint Undertaking's annual accounts have to be prepared and audited following the EC Accounting Rules as adopted by the Commission's Accounting Officer.

|  |  |
| --- | --- |
| 6. | Discharge for the implementation of the budget shall be given by the European Parliament,  upon  recommendation  of  the Council, in accordance with a procedure provided for by the  Financial Regulation  of the FCH Joint Undertaking. |

|  |  |
| --- | --- |
| 6. | Discharge for the implementation of the budget  of the FCH Joint Undertaking  shall be given by the European Parliament,  taking into account a  recommendation  from  the Council, in accordance with a procedure  that shall be  provided for by the  financial rules  of the FCH Joint Undertaking. |

|  |  |
| --- | --- |
| 1. | The staff resources shall be determined in the establishment plan to be set out in the annual budget. |

|  |  |
| --- | --- |
| 1. | The staff resources shall be determined in the establishment plan to be set out in the annual budget  and to be forwarded by the Commission to the European Parliament and the Council together with the preliminary draft budget of the European Union. |

|  |  |
| --- | --- |
| 2. | The members of the staff of the FCH Joint Undertaking shall be temporary agents and contract agents and shall have fixed-term contracts, extendable once up to a maximum total period of seven years. |

deleted

Grant Agreement and Consortium Agreement

deleted

|  |  |
| --- | --- |
| 1. | The FCH Joint Undertaking shall support RTD&D activities following competitive calls for proposals, independent evaluation, and the conclusion for each project of a Grant Agreement and a Consortium Agreement. |

|  |  |
| --- | --- |
| 2. | The FCH Joint Undertaking shall define the procedures and mechanisms for the implementation, supervision and control of Grant Agreements. |

|  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- |
| 3. | The Grant Agreement shall:  |  |  | | --- | --- | | — | provide for the appropriate arrangements for the implementation of the RTD&D activities; |  |  |  | | --- | --- | | — | provide for the appropriate financial arrangements and the rules relating to intellectual property rights on the basis of the principles as set out in Article I.24; |  |  |  | | --- | --- | | — | govern the relationship between the project consortium and the FCH Joint Undertaking. | |

|  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- |
| 4. | The Consortium agreement shall:  |  |  | | --- | --- | | — | be concluded by the project participants prior to the conclusion of the Grant Agreement; |  |  |  | | --- | --- | | — | provide for the appropriate arrangements for the implementation of the Grant Agreement; |  |  |  | | --- | --- | | — | govern the relationship between the participants in a project, in particular the Intellectual Property Rights provisions. | |

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