CELEX: 52011PC0665
Language: en
Date: 2011-10-19
Title: Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL establishing the Connecting Europe Facility

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		52011PC0665
		
			Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL establishing the Connecting Europe Facility /* COM/2011/0665 final - 2011/0302 (COD) */
			
				
		
		
			
			   	EXPLANATORY MEMORANDUM
1.           CONTEXT OF THE PROPOSAL
On 29 June
2011, the Commission adopted a proposal for the next Multi-Annual financial
framework for the period 2014-2020[1]: ''A Budget for Europe
2020''. In its proposal, the Commission decided to propose the creation of a
new integrated instrument for investing in EU infrastructure priorities in
Transport, Energy and Telecommunications: the "Connecting Europe
Facility" (hereafter CEF).
Smart,
sustainable and fully interconnected transport, energy and digital networks are
a necessary condition for the completion of the European single market.
Moreover, investments in key infrastructures with strong EU added value can
boost Europe’s competitiveness in a difficult economic context, marked by slow
growth and tight public budgets. Finally, such investments in infrastructure
are also instrumental in allowing the EU to meet its sustainable growth
objectives outlined in the Europe 2020 Strategy and the EU's
"20-20-20" objectives in the area of energy and climate policy[2].
This
Regulation sets out the provisions governing the CEF. It draws on the work
undertaken to prepare the revision of the policy framework in all three sectors
(Transport, Energy, and Telecommunications) for the next Multi-Annual financial
framework (2014-2020). In line with Article 170 of TFEU, new guidelines are
proposed in each sector in line with the CEF. Therefore, the revised Guidelines
for Transport, Energy and Telecommunications on the one hand and the CEF on the
other hand constitute one coherent regulatory package.
In the past decade, infrastructure spending
in Europe has been, on average, on a declining path. The economic and financial
crisis has, however, brought renewed interest in the need for infrastructure
investment. During the economic crisis, targeted investments in infrastructure
renewal or construction have been an important part of stimulus and recovery
plans at EU and Member State levels, as a way of supporting aggregate demand
while ensuring a long term return from money spent. Most importantly, the
crisis has shown that infrastructures are crucial for Europe's economic future.

A truly integrated Single Market, as the
Monti Report indicated[3], would not be possible
without a seamless connection between all its component parts. Transport
connections, electricity grids and broadband networks are vital for a
functioning, integrated economic area and for its social and territorial
cohesion. Yet, while regulatory integration advances within the EU and markets
become more integrated, most recently in the energy sector with the adoption
and entry into force of the third liberalisation package, cross-border physical
interconnection is lagging. Missing links exist, notably in the new Member
States, creating dividing lines between the centre and peripheries of the
European Union and hampering the further development of intra-Union exchanges
or the growth of new economic sectors, such as e-commerce. 
Considerable
investment needs have been identified. In the energy sector, the proposed
regulation concerning guidelines for the implementation of European energy
infrastructurepriorities (hereafter Guidelines for trans-European energy
infrastructure) identifies twelve infrastructure priority corridors and areas,
four for each sector, electricity, and gas transportation, as well as smart
grids deployment, electricity highways and cross-border carbon dioxide
networks. Whilst Europe's energy system would require investments of ca. one
trillion by 2020, out of which it is estimated that about €200 billion of investment is
needed for electricity and gas networks of European importance alone. €100
billion of this total investment should be delivered by the market unaided, whereas the other €100 billion will require public action to
leverage the necessary investments.
In the transport sector, a
Europe-wide ‘core network’ has been identified using a pan-European planning
methodology. This core network with corridors, carrying freight and passenger
traffic with high efficiency and low emissions, makes extensive use of existing
infrastructure. By completing missing links and alleviating bottlenecks and
with the use of more efficient services in multimodal combinations, it will
handle the bulk of transport flows in the single market. The cost
of EU infrastructure development to match the demand for transport has been
estimated at over €1.5 trillion for 2010-2030 for the entire transport networks
of the EU Member States. The completion of the trans-European transport
networks requires about €500 billion by 2020, of which €250 billion would be
needed to complete missing links and remove bottlenecks on the core network.
For the telecommunication
networks, the removal of (digital) bottlenecks which hinder the completion of
the Digital Single Market is a key objective. This implies a need for an
overall improvement of the whole broadband network and the establishment of
digital service infrastructure platforms that permit a coherent digital
deployment of European public services. Indeed, these networks, both physical
and service-based, are key enablers for smart growth. As part of the Digital
Agenda, every European should have access to basic
broadband by 2013 and fast and ultra fast broadband by 2020. In September 2010,
the Commission outlined the steps needed to trigger up
to €270 billion of investment required to bring ultra-fast broadband to all
European households and businesses by 2020. In the current circumstances a part
of these investment needs will be covered by the private sector. The investment needs for achieving these
objectives are estimated at up to €270 billion. However, in the absence of
Union intervention, private sector investment is expected to be not more than
EUR 50 billion for the period until 2020. This results in an investment gap of
up to €220 billion. As the social benefits from
investment in digital infrastructures by far exceeds the private incentive for
investment, focused public intervention is necessary to stimulate the market. 
The analysis
carried out by the Commission services in preparation of this Regulation have
shown that while the market and national budgets are expected to play a major
role in delivering the required infrastructures through appropriate investment
and pricing mechanisms, some investments in infrastructure will not take place
or will be delayed far beyond 2020, if the EU does not take action. Therefore,
there is a need for a significant contribution from the EU budget in the next
Multi-Annual financial framework to ensure that EU infrastructure priorities
are actually delivered.
In order to increase the impact of EU
budgetary resources, the Commission proposes to tap more systematically into
the use of innovative financial instruments to offer an alternative to the
traditional grant funding and plug financing gaps for strategic
investments. An important feature of innovative financial instruments is that
they create a stronger multiplier effect for the EU budget than traditional
instruments, by facilitating and attracting other public and private financing
to projects of EU interest. They leverage the investment and consequently
magnify the impact of the EU budget.
Building on the experience of financial
instruments under the current financial framework put
in place in cooperation with the European Investment Bank (EIB), such as the
Loan Guarantee Instrument for trans-European transport networks projects
(hereafter LGTT), the Commission proposes to implement
a significant part of its interventions within the CEF through financial
instruments. In particular, the Europe 2020 Project Bond Initiative[4]
will be used as a means of securing investment resources for infrastructure
projects of key strategic European interest. 
2.           RESULTS OF CONSULTATIONS WITH THE
INTERESTED PARTIES AND IMPACT ASSESSMENTS
2.1       Consultation
and expert advice
This
Regulation draws on extensive consultation with stakeholders, EU institutions
and bodies, Member States, regional or local authorities, social and economic
partners, academic experts and international institutions. The results of
mid-term evaluations carried out on the 2007-13 programmes as well as a broad
range of studies and expert advice were used as input.
For the three sectors, the stakeholder
contributions raised inter alia the following issues:
There is a broad
consensus emerging from the consultations on the fact that accelerating the
development of infrastructure with European added value requires increased EU
support.
Stakeholders called for a higher leverage of
EU funding towards trans-European networks policy objectives through for
instance a greater coordination between different financial instruments, namely
the Cohesion Fund and European Regional Development Fund (ERDF), the
trans-European networks programmes and the EIB's interventions.
Widening the portfolio of available financial
instruments is seen by stakeholders as a means to better adjust support to the
particular needs of a project, to enable effective project structuring and to
attract new investors. The planned Project Bonds Initiative is particularly
suitable for larger investments under the CEF.
2.2       Impact
Assessment 
The proposed
Regulation has been the subject of an impact assessment concerning possible
implementation options of the CEF as a policy initiative, i.e. options
concerning the definition of the CEF operational rules. The impact assessment
started from the overarching objective of the CEF as proposed in the Multiannal
Financial Framework Communication "A Budget for Europe 2020"[5]
– to accelerate the infrastructure development that the EU needs to reach the
Europe 2020 Strategy's objectives as well as the ''20-20-20'' energy and
climate change targets – and drew on the input of stakeholder consultations,
and of evaluation studies of current EU programmes providing financial support
to TEN development. 
The main focus
of the assessment of impacts of the possible policy options has been the
achievement, in a most effective, efficient and coherent manner of two main
specific objectives:
1) Increase
the leverage of EU funds – by defining forms, methods and rules of financing
that can ensure maximal leverage in attracting public and private investment
for projects with a European and Single Market dimension, in particular
priority networks that must be implemented by 2020 and where European added
value is most warranted including, where appropriate, those that may take place
in third countries;
2) Facilitate
the timely delivery of EU co-funded projects – by defining monitoring and
evaluation mechanisms that reward performance and penalise non-effective use of
EU funds.
At the same
time, the assessment of the policy options had to take into account two
associated overarching policy goals of the Union: on the one hand, the
achievement of the sector specific policy objectives in the field of
infrastructures as defined in Articles 170 and 171 of the TFEU, and on the
other hand, the simplification of the EU funding rules by exploiting synergies
within and between sectors, to which the Commission has firmly committed itself[6].
As these two policy goals are not however fully compatible, finding the
appropriate balance between coherence with sector policy objectives and
maximisation of synergies was a key principle pursued in assessing the options
defining the CEF operating rules.
Nine main policy options alternatives were
initially considered, starting from the central rationale underlying the
Commission's decision to propose the establishment of the Connecting Europe
Facility, namely simplifying the existing EU funding framework by drawing on
sectoral synergies. The policy alternatives were built on combinations of
scenarios corresponding to three basic options for financial rules
simplification – minimal, maximal and variable (or "à la carte")
harmonisation of sectoral rules – in the two areas of policy intervention
corresponding to the two main specific objectives identified earlier –
investment leverage and programme implementation. 
The range of
options was thus situated between two extremes. At one extreme, minimum
harmonisation of both investment leverage and programme implementation referred
to a situation where completely distinct, specific rules and set-ups for
providing EU funding support under the CEF in each sector would be established.
At the other extreme was the policy option characterised by maximum
harmonisation of both investment leverage and programme implementation rules,
referring to a situation where the three sectors would have thoroughly common
financial rules and programme management set-ups for the use of funds under the
CEF. In between these extremes, the remaining options envisaged situations
whereby sectors shared certain rules and set-ups whereas other remained
distinct and sector specific, i.e. combinations of maximal or variable
harmonisation of rules in one area of policy intervention with variable or
minimal harmonisation of the sectoral rules in the other area.
The assessment of the impacts of these
policy options, with respect to the achievement of the objectives highlighted
earlier, has lead to the conclusion that two of the considered options could
best ensure that the CEF, by means of its operational rules, would support an
accelerated development of infrastructure of EU interest:
- The policy
option where the harmonisation of rules would be variable – i.e. with a number
of rules common and a number remaining sector specific – in both the area of
investment leverage and that of programme implementation – would be the best
option from the perspective of coherence with all the relevant EU policy goals;

- Whereas the
policy option where a variable harmonisation at the level of rules for
investment leverage was chosen with a maximal harmonisation of rules at the
level of programme implementation might prove more efficient from a
cost-related perspective.
Nevertheless, the
second option might have a longer term negative impact with regard to the
capacity to respond to sector-specific situations, particularly as regards the
programming of funds and which might, in the long run, offset initial
cost-savings. It was therefore eventually concluded that a certain degree of
sectoral flexibility also in defining the CEF rules in the area of programme
implementation would be the best option for ensuring the CEF objectives. 
The provisions concerning the use of funds
under the CEF put forward in the present Regulations have been drafted based on
the considerations and conclusions highlighted in the above mentioned impact
assessment.
2.3       EU
Added Value of the CEF
The process of consultation with interested
parties as well as the analysis carried out in the impact assessment has
highlighted that the added value of the CEF as a common funding framework would
be four fold: 
(1)         
A common framework would lead to the
simplification of the EU legal framework concerning TEN infrastructures
funding. It would also ensure a coherent approach to EU project financing
across the three sectors. 
(2)         
At the same time, a single EU infrastructure
fund and financial framework would provide a coherent and transparent approach
to EU funding that would offer certainty and would thus have a huge potential
to attract more private sector financing. Financial instruments would be
available in a centralised and coordinated manner, attracting and improving the
effectiveness of the relationship with the private investors and the partner
financial institutions. 
(3)         
In addition, the progressively increasing
interdependency between economic infrastructure projects, networks and sectors
would enable the realisation of economies of scale. An integrated EU
infrastructure funding framework could allow exploiting cross-sector synergies
at project development and implementation level, enabling cost savings and/or
more efficient exploitation and higher returns. 
(4)         
Last but not least, a common framework draws on
lessons learned and best practice sharing across sectors, enabling thus an
enhanced effectiveness and efficiency of EU financing in all sectors.
3.           LEGAL ELEMENTS OF THE PROPOSAL
Trans-European
networks are covered under Article 170 TFEU, which specifies: “The Union shall
contribute to the establishment and development of trans-European networks in
the areas of transport, telecommunications and energy infrastructures”. The
right for the EU to act in the field of infrastructure financing is set out in
Article 171 which provides that the Union "may support projects of common
interest supported by Member States, (…) particularly through feasibility
studies, loan guarantees or interest-rate subsidies". Article 172 TFEU
specficies that ''the guidelines and other measures referred to in Article 171
(1) shall be adopted by the European Parliament and the Council, acting in
accordance with the ordinary legislative procedure and after consulting the
Economic and Social Committee and the Committee of the Regions.'' 
In the Budget
Review Communication, the Commission underscored the importance of employing
the EU budget in order to "plug gaps left by the dynamics of national
policy-making, most obviously addressing cross-border challenges in areas like
infrastructure, mobility, territorial cohesion… - gaps which would otherwise damage
the interest of the EU as a whole."[7] Member States
tend to prioritise projects of primary national relevance when planning and
funding infrastructure, and these may not always be the same as cross-border
projects that carry higher added value for the citizens on an overall EU level.[8]
The aggregate expenditure of the EU and the Member States should be efficient,
ensure an adequate scale of the investment and promote synergies.
The
legislative instrument, and the type of measure (i.e. funding) are both defined
in the TFEU, which provides the legal basis for the CEF, and states that the
tasks, priority objectives and the organisation of the trans-European networks
may be defined in regulations.
4.           BUDGETARY IMPLICATION
The
Commission’s proposal for the next Multi-Annual financial framework includes a
proposal for €50 billion[9] for the period
2014-2020, of which €10 billion earmarked in the Cohesion Fund for transport
infrastructure. 
 CEF || €40 billion 
 ·                Energy || €9.1 billion 
 ·                Transport || €21.7 billion 
 ·                Telecommunications/Digital || €9.2 billion 
 Amounts ring fenced in the Cohesion Fund for transport infrastructures || €10 billion 
 Total || €50 billion 
Experience with the current financial
framework shows that many Member States, which are eligible to the Cohesion
Fund, have difficulties designing and implementing complex cross-border
transport infrastructure projects. Therefore, for the next Multi-Annual
Financial Framework, the Commission proposes that while the Cohesion Fund continues to support Member States whose Gross
National Income (GNI) per inhabitant is less than 90% of the EU27 average in
making investments in trans-European Transport networks and the environment,
part of the Cohesion Fund allocation (€10 billion) will be used to finance
transport projects on the transport core network in the Cohesion Fund eligible
Member States under the Connecting Europe Facility.
5.           SUMMARY OF CONTENTS OF REGULATION
5.1       A
single framework for investing into EU infrastructure priorities
Past experience in infrastructure financing
through TEN frameworks, the EERP and the Cohesion and Structural funds shows
that the EU can bring a value added to infrastructures. A consensus exists
among stakeholders that in a "business as usual" scenario, Europe
might not be able to mobilise in time the investments needed to modernise its
infrastructure networks and plug missing links.
In the wake of the financial crisis, Member
States' public budgets are struggling with the necessary fiscal consolidation.
Capital expenditure has often suffered substantial cuts, with spending for
infrastructure investment projects suspended or delayed. At the same time, the
prospects for stepping up investments from private sources are uncertain. In
addition to financing constraints, regulatory obstacles also delay or impede
the implementation of needed infrastructure projects. Against this background,
the current EU framework for infrastructure funding does not seem adequate to
provide an effective response. Funding is fragmented among too many programmes
and prevents the full exploitation of synergies between programmes and sectors.

In re-designing its funding strategy for
infrastructure, the Commission has pursued the following objectives:
·              
Ensure cost-effective and timely implementation
of key priority network infrastructure in the energy, transport and ICT
sectors, as identified in the Energy Infrastructure Package, the White Paper
for Competitive and Sustainable Transport[10] and the
Digital Agenda for Europe.
·              
Maximise synergies between the energy, transport
and ICT programmes, so that funding responds to a coherent policy strategy and
projects are selected according to clear harmonised criteria.
·              
Enhance the EU funds' ability to leverage other
public or private funds so that the aggregate volume of resources mobilised is
adequate to meet the projected investment needs to 2020;
·              
Ensure optimal project selection, follow up and
monitoring so that EU funding is well targeted, delivers the highest impact and
is spent in the most effective way.
The rationale for a common legislative
basis for providing financial support in three distinct sectors with different
policy framework lies in the opportunity to exploit synergies across sectors,
stemming from common issues with regard to the financing of the implementation
of otherwise importantly varying policy objectives. The added value of a common
framework would be three fold.
A common framework would result in a
simplification of the EU legal framework concerning TEN infrastructures
funding. It would also ensure a coherent approach to EU project financing
across the three sectors. As highlighted earlier, the EU infrastructure
financial framework is currently fairly complex, due mainly to the number and
heterogeneity of the existing EU legal texts. Simplification of rules is one of
the keywords of the new approach proposed by the Commission with regard to EU
budgetary spending. 
At the same time, a single EU
infrastructure financial framework and fund would provide a coherent and
transparent approach to EU funding that would offer certainty and would thus
have a huge potential to attract more private sector financing. Financial
instruments would be available in a centralised and coordinated manner,
attracting and improving the effectiveness of the relationship with the private
investors and the partner financial institutions. 
In addition, the progressively increasing
interdependency between economic infrastructure projects, networks and sectors
would enable the realisation of economies of scale. An integrated EU
infrastructure funding framework would allow exploiting cross-sector synergies
at project development and implementation level, enabling cost savings and/or
more efficient exploitation and higher returns. 
Last but not least, a common framework
would allow lessons learned and best practice sharing across sectors, enabling
an enhanced effectiveness and efficiency of EU financing in all sectors.
5.2       Simplification
measures and coherence with existing rules
Simplification of rules is one of the
keywords of the new approach proposed by the Commission with regard to EU
budgetary spending. The common CEF framework results in a
simplification of the EU legal framework concerning TEN infrastructures
funding. A unique legal text covers EU project funding across Transport, Energy
and Digital networks. 
Though the sectors are
technologically/financially/regulatory different – there is   a sufficient
number of commonalities to propose a real improvement with regard to the
existing different instruments. At the same time, the proposal spells out
specific rules which are necessary to maintain for the overall aim of the CEF:
accelerate and better target the flow of public EU money to important
infrastructure projects of EU interest.
The
current text introduces simplification, in particular addressing the following issues:
·                        
Alignment of indicators on the Europe 2020
Strategy's objectives 
·                        
Flexibility on budget allocations 
·                        
Centralised management for the three sectors,
possibly through implementation via an executive agency. 
·                        
Common funding instruments 
·                        
Common award criteria 
·                        
Common conditions for financial assistance 
·                        
One stop visibility through common annual work
programmes - important for sector - and common committee - important for Member
States 
Furthermore,
full coherence with current and future Financial Regulation has been ensured.
The exceptions foreseen, are either duly allowed for in related legal texts or
precedents exist. 
5.3       Stronger
emphasis on financial instruments
The CEF will
complement EU direct support with financial instruments in order to optimise
the impact of funding. Through the high multiplier effects of financial
instruments (e.g. which could be as high as up to 1:15 to 1:20), access to
capital for the substantial investment needs will be facilitated. Together with
the successful absorption of direct EU support (as experienced in the European
Energy Recovery Plan (EERP) and in the TEN-T programme), the increased reliance
on financial instruments will contribute significantly to mitigating risks to
project promoters and therefire ensure implementation of projects of common
interest.
Furthermore,
the task is to build an environment conducive to private investment and develop
instruments that will be attractive vehicles for specialised infrastructure
investors. To be most effective, such vehicles need to aim at reducing risk by
diversifying the portfolio of potential projects. The maximum diversification
can be achieved by targeting multiple sectors across a wide range of countries.
This can be achieved most successfully at the European level and on the basis
of well-defined corridors and targeted areas of investment. Therefore, most financial instruments should be common for
all sectors. However, it is not excluded that some financial instruments may be
developed to cover the specific needs of an individual sector. 
On the basis of analysis conducted in the preparatory phase
of this Regulation, the Commission services estimate that while the financial
support for broadband would primarily rely on financial instruments, for
transport and energy the volume of EU budgetary resources required for
financial instruments should not exceed more than €2 billion and €1 billion
respectively. These estimates are not to be understood as binding ceilings,
since the volume of EU funding allocated to financial instruments will be
adjusted every year on the basis of an assessment of the project pipeline
conducted by financial intermediaries (e.g. the EIB in the case of project
bonds).
5.4       The
Connecting Europe Facility in the context of the next Multi-Annual Financial Framework

The Connecting Europe Facility will be an
essential element of an EU growth agenda focussed on increasing the EU's
long-term growth potential. The Facility will be coordinated with the other
interventions coming from the EU budget such as ''Horizon 2020'' and the
Cohesion and Structural Funds. 
As regards the coordination with Horizon
2020, it is necessary to ensure complementarities while avoiding potential
overlaps. It is also important that the coordination between the CEF and
Horizon 2020 ensures that the research and innovation chain leading to
deployment in infrastructure is not interrupted. It is particularly critical at
a time when significant technological advances in transport, energy and ICT
will be needed to help the EU meet its ambitious Europe 2020 Strategy's
objectives. Any support to research and innovation activities through financial
instruments will be implemented through Horizon 2020-related financial
instruments.
As regards the relation with the Cohesion
and Structural Funds, the cohesion policy's Common Strategic Framework as well
as Partnership Contracts with Member States will be closely coordinated with
the policy frameworks in the transport, energy and telecommunication sectors.
The respective guidelines will rely on the Cohesion and Structural Funds to
deliver the local and regional infrastructures and their linkages to the
priority EU infrastructures, connecting all citizens throughout the EU. 
Moreover, the
Connecting Europe Facility will be a centrally managed facility, benefiting
from ring fenced amounts for transport in the Cohesion Fund (€10 billion in
2011 prices). In the allocation of the €10 billion, the
greatest possible priority will be given to projects respecting the national allocations under the Cohesion Fund. Moreover, these
€10 billion will be reserved for Member states eligible for the Cohesion Fund,
and co-financing rates from the Union budget will be set at the same level as
the Cohesion Fund.
2011/0302 (COD)
Proposal for a
REGULATION OF THE EUROPEAN PARLIAMENT
AND OF THE COUNCIL
establishing the Connecting Europe
Facility
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 172 thereof,
Having regard to the proposal from the European Commission[11],
After transmission of the proposal to the national
Parliaments,
Having regard to the opinion of the European Economic and
Social Committee[12],
Having regard to the opinion of the Committee of the Regions[13],
Acting in accordance with the ordinary legislative
procedure,
Whereas: 
(1)              
The creation of the
Connecting Europe Facility should maximise the potential for growth through the
realisation of synergies between transport, energy and telecommunications
policies and their implementation, thus enhancing the efficiency of the Union's
intervention.
(2)              
A fully functioning single
market depends on modern, highly performing infrastructure connecting Europe
particularly in the areas of transport, energy and telecommunications. These
growth enhancing connections would provide better access to the internal market
and consequently contribute to a more competitive market economy in line with
Europe 2020 Strategy's objectives and targets[14].
(3)              
The creation of a Connecting
Europe Facility aims at accelerating the investments in the field of
trans-European networks and leverage funding from both the public and private
sectors.
(4)              
The creation of efficient transport and energy
infrastructure networks is one of the 12 key actions identified by the Commission in its Communication on a Single Market Act[15].
(5)              
The Commission has committed
to mainstream climate change into Union spending programmes and to direct at
least 20% of the Union budget to climate-related objectives. It is important to
ensure that climate change mitigation and adaptation as well as risk prevention
and management are promoted in the preparation, design and implementation of
projects of common interest. Infrastructure investments covered by this
Regulation should contribute to promoting the transition to a low-carbon and
climate- and disaster-resilient economy and society. 
(6)              
The European Parliament in
its 8 June 2011 Resolution on "Investing in the future: a new Multiannual
Financial Framework (''MFF'') for a competitive, sustainable and inclusive
Europe" stressed the importance of ensuring the rapid execution of the
Union's Digital Agenda and of continuing efforts towards reaching by 2020 the
targets of making the access to high-speed internet available to all Union
citizens, also in less developed regions.[16] The Parliament also underlined that investing
in effective transport infrastructure had a key role for Europe to defend its
competitiveness and pave the way for post crisis, long term economic growth and
that the Trans-European Transport Network (''TEN-T'') was vital in order to
guarantee the proper functioning of the internal market and provide important
Union added value. The Parliament expressed that it strongly believed that
TEN-T should, accordingly, be a key priority in the next MFF and that an
increase in TEN-T funds is necessary in the next MFF. In addition, the
Parliament emphasised the need to maximise the impact of Union funding and the
opportunity offered by the Cohesion and Structural Funds and financial
instruments to fund key national and cross-border European priority energy
infrastructure projects and stressed the need for a substantial allocation from
the Union budget for financial instruments in this field.
(7)              
On 28 March 2011, the
Commission adopted the White Paper ''A Roadmap to a Single Transport Area
― Towards a competitive and resource-efficient transport system''[17].
The White Paper aims at reducting by at least 60% the
greeenhouse gas emissions (''GHG'') of the transport sector by 2050 with
respect to 1990. As far as infrastructure is
concerned, the White Paper aims at establishing a fully functional and
Union-wide multimodal TEN-T ‘core network’ by 2030. The White Paper also aims
at optimising the performance of multimodal logistic chains, including by
making greater use of more energy-efficient modes. Therefore, it sets the
following relevant targets for TEN-T policy: 30% of road freight over 300 km
should shift to other modes by 2030, and more than 50% by 2050; the length of
the existing high-speed rail network should triple by 2030 and by 2050 the
majority of medium-distance passenger transport should go by rail; by 2050, all
core network airports should be connected to the rail network; all seaports to
the rail freight and, where possible, to the inland waterway system.
(8)              
The European Parliament in
its Resolution of 6 July 2010 on a sustainable future for transport[18]
emphasised that an efficient transport policy required a financial framework
that was appropriate to the challenges arising and that, to that end, the current
resources for transport and mobility should be increased; it further considered
necessary the creation of a facility to coordinate the use of different sources
of transport funding, funds available under cohesion policy, public-private
partnerships (''PPPs'') or other financial instruments such as guarantees.
(9)              
The Transport,
Telecommunication and Energy (TTE) Council, in its conclusions of 11 June 2009
on the TEN-T policy review[19] reaffirmed
the need to continue investing in transport infrastructure to ensure proper
development of the TEN-T in all transport modes, as a basis for the internal
market and competitiveness, economic, social and territorial cohesion of the
Union and its connection to neighbouring countries, focusing on the European
added value. The Council underlined the need for the Community to make
available the financial resources necessary to stimulate investment in TEN-T
projects and, in particular, the need to reconcile adequate financing support
from the TEN-T budget to the priority projects which involve relevant
cross-border sections and the implementation of which would extend beyond 2013
within the institutional constraints of the financial programming framework. In
the view of the Council, public-private partnership approaches should be
further developed and supported in this context where appropriate.
(10)          
On the basis of the
objectives set by the White Paper, the TEN-T guidelines as laid down in
Regulation (EU) No XXX/2012 of the European Parliament and of the Council of …[20]
identify the infrastructure of the trans-European transport network, specify
the requirements to be fulfilled by it and provide for measures for their
implementation. The Guidelines envisage in particular the completion of the
core network by 2030.
(11)          
Based on an analysis of the
transport infrastructure plans of Member States, the Commission estimates that
investment needs in transport amount to EUR 500 billion in the entirety of the
TEN-T network for the period 2014-2020, of which an estimated EUR 250 billion
will need to be invested in the core network of the TEN-T. Given the resources
available at Union level, concentration on the projects with the highest
European added value is necessary to achieve the desired impact. Support should
therefore be focussed on the core network (in particular, the core network
corridors) and on the projects of common interest in
the field of traffic management systems (notably the
air traffic management systems resulting from SESAR which require Union
budgetary resources of about EUR 3 billion). 
(12)          
Within the framework of the
TEN-T policy review launched in February 2009, a dedicated expert group was
created to support the Commission and look into the issue of the funding
strategy and financing perspectives for the TEN-T. Expert Group No 5 drew from
the experience of external experts from various fields: infrastructure
managers, infrastructure planners, national, regional and local
representatives, environmental experts, academia, and private sector
representatives. The final report of Expert Group No 5[21]
adopted in July 2010 contains 40 recommendations, some of which have been taken
into account in this proposal. 
(13)          
Experience with the current financial framework
shows that many Member States, which are eligible to the Cohesion Fund, are
facing significant obstacles in delivering on time complex cross-border
transport infrastructure projects with a high Union added value. Therefore, in
order to improve the delivery of transport projects, in particular cross-border
ones, with a high Union added value, part of the
Cohesion Fund allocation (EUR 10 billion[22]) should be
transferred to finance transport projects on the transport core network in the
Member States eligible to the Cohesion Fund under the Connecting Europe
Facility. The Commission should support Member States eligible to the Cohesion
Fund to develop an adequate pipeline of projects in order to give greatest
possible priority to the national allocations under the Cohesion Fund.
(14)          
In the Communication on
"Energy infrastructure priorities for 2020 and beyond – a Blueprint for an
integrated energy network" adopted in November 2010[23],
the Commission identified the priority corridors, which are necessary to allow
the Union to meet its ambitious energy and climate targets by 2020 for
completing the internal energy market, ensuring security of supply, enabling
the integration of renewable sources of energy and to prepare the networks for
further decarbonisation of the energy system beyond 2020.
(15)          
Major investments are needed
to modernise and expand Europe's energy infrastructure and to interconnect
networks across borders to meet the Union's energy and climate policy
objectives of competitiveness, sustainability and security of supply in a
cost-effective way. The estimated investment needs in energy infrastructure up
to 2020 amount to EUR 1 trillion, of which ca. EUR 200 billion in electricity
and gas transmission and storage infrastructures considered of European
relevance. Among projects of European relevance, approximately EUR 100 billion
of investments is at risk of not being delivered due to obstacles related to
permit granting, regulation and financing.
(16)          
The urgency to build the
energy infrastructure of the future and the significant increase in investment
volumes compared to past trends requires a step change in the way energy
infrastructure is supported at EU level. In its conclusions[24]
the Transport, Telecommunication and Energy (TTE) Council of 28 February 2011
endorsed the energy corridors as priorities for Europe.
(17)          
The 4 February 2011 European
Council[25] called upon
the Commission to streamline and improve authorisation procedures and to
promote a regulatory framework attractive to investment. The European Council
underlined that the bulk of the investment would have to be delivered by the
market with costs recovered through tariffs. The European Council recognised
that public finance was needed for projects required from a security of supply
or solidarity perspective, which were unable to attract market based financing.

(18)          
Regulation (EU) No XXX/2012
of the European Parliament and of the Council of … [Guidelines for trans-European energy infrastructure][26]
defines trans-European energy infrastructure priorities, which should be
implemented by 2020 to meet the Union's energy and climate policy objectives;
sets rules to identify projects of common interest necessary to implement these
priorities, introduces measures in the field of permit granting, public
involvement and regulation to speed up and/or facilitate the implementation of
these projects, including criteria for general eligibility of such projects for
Union financial aid.
(19)          
Telecommunications are
increasingly becoming internet-based infrastructures, with broadband networks
and digital services closely interrelated. The internet is becoming the
dominant platform for communication, offering services, and doing business.
Therefore the trans-European availability of fast Internet access and digital
services is essential for economic growth and the Single Market.
(20)          
Modern, fibre-based internet
networks are a crucial infrastructure for the future in terms of connectivity
for European companies, in particular SMEs that want to use cloud computing in
order to improve cost-efficiency.
(21)          
The Europe 2020 Strategy[27]
calls for the implementation of the Digital Agenda for Europe[28]
that establishes a stable legal framework to stimulate investments in an open
and competitive high speed internet infrastructure and in related services. The
June 2010 European Council endorsed the Digital Agenda for Europe and called
upon all institutions to engage in its full implementation.[29]
(22)          
On 31 May 2010, the Council
concluded that Europe should put the necessary resources into the development
of a digital single market based on fast and ultra fast internet and
interoperable applications and acknowledged that efficient and competitive
investment in next generation broadband networks would be important for
innovation, consumer choice and for the competitiveness of the Union and could
provide better quality of life through better health care, safer transport, new
media opportunities and easier access to goods and services in particular
across borders.[30]
(23)          
The private incentives to
invest in very fast broadband networks appear to be lower than benefits for the
society as a whole. The investment needs for achieving the Digital Agenda
objective of providing fast Internet access for all European citizens and
businesses are estimated to reach up to EUR 270 billion. However, in the
absence of Union intervention, private sector investment is expected to be not
more than EUR 50 billion for the period until 2020. The resulting investment
gap represents a major bottleneck to infrastructure provision, while at the
same time the Digital Single Market relies on all citizens to be connected via
the infrastructure of the future.
(24)          
It is necessary to develop
strong and coherent EU-wide networks for the digital delivery of public-good
actions, involving both public and civil society actors at national and
regional level, and to this end it is essential to ensure the structured EU
financing of the costs of the system and software design, as well as
maintenance of a resilient hub for such networks, leaving only in-country costs
for national operator budgets.
(25)          
Several methods of
implementation are necessary and require different funding rates to increase
the efficiency and impact of the Union financial aid, to encourage private
investment, and to respond to the specific requirements of individual projects.

(26)          
In the area of
telecommunications certain core service platforms which ensure trans-European
interoperability will need a higher funding rate from the Union, in particular
in the start-up phase, while respecting the co-financing principle.
(27)          
Ensuring cross-border
interoperability in the deployment of large scale infrastructure projects, in
particular at the level of core services, may require simultaneous procurement
and installation of equipment by the Commission, Member State and/or their
beneficiaries. In such cases, Union financial aid may need to be allocated to
procurements executed by infrastructure providers in Member States, either on
their own behalf or in cooperation with the Commission. Provisions also enable
multiple sourcing, which may be needed, inter alia, to provide for
multi-language arrangements, to ensure security of supply and/or to implement
network reduncuncy that is required to eliminate infrastructure network
downtime that could be caused by a single point of failure.
(28)          
Generic services in areas of
public interest (as core services) are often affected by a strong degree of
market failures. Indeed, the areas to be funded relate to public service
delivery (eHealth, eIdentity, eProcurement large scale deployment and
interoperability) hence not commercial by definition at a starting level. In
addition, if only core services are funded, the challenge would be to create
the right incentives at Member State and regional level to actually deploy
services of public interest: this is due particularly to lack of incentive at
national level to link national systems to the core systems (hence develop
conditions for interoperability and cross-border services) as well as to the
fact that private investors would not alone ensure service deployment within
interoperable frameworks. 
(29)          
The digital guidelines as
laid down in Regulation (EU) No XXX/2012 of the European Parliament and of the
Council of …[31] [INFSO
guidelines] identify the process and criteria for financing and also the
various categories for investments. 
(30)          
Horizon 2020 – the future
Framework Programme for Research and Innovation will focus among others on
tackling societal challenges (e.g. smart, green and integrated transport, and
secure, clean and efficient energy, and information and
communication technology-enabled
health, government and sustainable development) in order to respond directly to
the challenges identified in the Europe 2020 Strategy by supporting activities
covering the entire spectrum from research to market. Horizon 2020 will support
all stages in the innovation chain, especially activities closer to the market
including innovative financial instruments. With the aim to achieve a greater
impact of the Union funding and in order to ensure coherence, the Connecting
Europe Facility will develop close synergies with Horizon 2020. 
(31)          
The European Union and most
Member States are party to the United Nations Convention on the Rigths of
Persons with Disabilities while the remaining Member States are in the process
of ratifying it. It is important in the implementation of the relevant projects
that accessibility for persons with disabilities as mentioned in article 9 of
the Convention.is considered in the specification of the projects.
(32)          
The financial instruments to
be implemented under this Regulation should reflect the rules provided in Title
VIII of Regulation (EU) No XXX/2012 [New financial
regulation] and the Delegated Act and in line with best practice rules
applicable to financial instruments.[32]
(33)          
Fiscal measures in many
Member States will drive or have already driven public authorities to reassess
their infrastructure investment programmes. In this context, PPPs have been
viewed as an effective means of delivering infrastructure projects ensuring the
achievement of policy objectives such as combating climate change; promoting
alternative energy sources as well as energy and resource efficiency,
supporting sustainable transport and the deployment of broadband networks. The
Commission committed in its PPP Communication of 19 November 2009[33]
to improving access to finance for PPPs by broadening the scope of existing
financial instruments.
(34)          
Even though the bulk of the
investment under Europe 2020 Strategy can be delivered by markets and
regulatory measures, the financing challenge require public interventions and
Union support by grants and innovative financial instruments. Financial
instruments should be used to address specific market needs, in line with the
objectives of the CEF, and should not crowd out private financing. Before
deciding to use financial instruments, the Commission
should carry out ex-ante assessments of these instruments.
(35)          
The EU Budget Review[34]
emphasised that the norm for projects with long-term commercial potential
should be the use of Union funds in partnership with the financial and banking
sectors, particularly the European Investment Bank (''EIB'') and Member States’
public financial institutions, but also with other international financial
institutions and the private financial sector.
(36)          
In the Europe 2020 Strategy,
the Commission pledged to mobilise Union financial instruments as part of a
consistent funding strategy, that pulls together Union and national public and
private funding for infrastructures. This is based on the rationale that in
many cases sub-optimal investment situations and market imperfections may be
more efficiently tackled by financial instruments than by grants. 
(37)          
The Connecting Europe
Facility should propose financial instruments to promote substantial
participation by the private sector investors and financial institutions in
infrastructure investment. To be sufficiently attractive to the private sector,
financial instruments should be designed and implemented with due regard to
simplification and reduction of administrative burden, while with a level of
flexibility in mind to be able to respond to identified financing needs in a
flexible manner. The design of these instruments should draw from the
experience gained in the implementation of financial instruments in the
2007-2013 Multi-Annual Financial Framework, such as the Loan Guarantee
instrument for TEN-T projects (LGTT), the Risk Sharing Finance Facility (RSFF)
and the 2020 European Fund for Energy, Climate Change, and Infrastructure (the
''Marguerite Fund''). 
(38)          
While most financial
instruments should be common for all sectors, some may be specific for
individual sectors. Commission services estimate that while the financial
support for broadband would primarily rely on financial instruments, for
transport and energy the volume of Union budgetary resources required for
financial instruments should not exceed EUR 2 billion and EUR 1 billion
respectively. 
(39)          
In order to ensure sectorial diversification of beneficiaries of financial instruments
as well as encourage gradual geographical diversification across the Member
States, the Commission in partnership with the EIB, through joint initiatives
such as the European PPP Expertise Centre (EPEC) and Jaspers, should provide
support to the Member States in developing an appropriate pipeline of projects
that could be considered for project financing.
(40)          
With respect to the
conditions for the financial instruments, it might be necessary to add
additional requirements in the Work Programmes, for example to ensure
competitive markets in view of the development of the Union's policies,
technological developments and other factors that may become relevant.
(41)          
Multi-annual programming for
support from the Facility should be directed towards supporting the Union's
priorities by ensuring the availability of the necessary financial resources
and the consistency and continuity of joint action by the Union and the Member
States. For proposals submitted following the implementation of the first
multiannual work programme in the sector of transport, eligibility of cost
should start on 1 January 2014 to ensure the continuity of projects already
covered by Regulation (EC) No 680/2007 of the European Parliament and of the
Council of 20 June 2007 laying down general rules for the granting of Community
financial aid in the field of the trans-European transport and energy networks[35].
(42)          
Due to the high budget
needed for the implementation of some infrastructure projects, there should be
a possibility to divide budgetary commitments relative to the financial
assistance for some actions into annual instalments.
(43)          
Mid-term and ex-post
evaluations should be carried out by the Commission in order to assess the
effectiveness and efficiency of the funding and its impact on the overall goals
of the Facility and the Europe 2020 Strategy's priorities.
(44)          
On the basis of the sector
specific guidelines laid down in separate Regulations,
a list of priority areas for which this Regulation should apply has been drawn
up and should be included in the Annex. In order to
take into account possible changes in political priorities and technological
capabilities, as well as traffic flows, the power to adopt acts in accordance
with Article 290 of the Treaty on the Functioning of the European Union should
be delegated to the Commission in respect of adopting amendments to the Annex.
It is of particular importance that the Commission carry out appropriate
consultations during its preparatory work, including at expert level. The
Commission, when preparing and drawing-up delegated acts, should ensure a
simultaneous, timely and appropriate transmission of relevant documents to the
European Parliament and to the Council.
(45)          
In order to ensure uniform
conditions for the implementation of this Regulation, implementing powers
should be conferred on the Commission as regards multi-annual and annual work
programmes. Those powers should be exercised in accordance with 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 the Member States of the Commission's exercise of implementing powers[36].
(46)          
Council Regulation (EC) 2236/95 of 18 September 1995[37] laying down general rules for the granting of Community
financial aid in the field of trans-European networks and Regulation (EC) No
680/2007 of the European Parliament and of the Council should accordingly be
repealed.
(47)          
The financial interests of
the Union should be protected through proportionate measures throughout the
expenditure cycle, including the prevention, detection and investigation of
irregularities, the recovery of funds lost, wrongly paid or incorrectly used and,
where appropriate, penalties.
(48)          
Some of the infrastructure
projects of Union interest might need to link with and pass through
neighbourhood, pre-accession and other third countries. The Connecting Europe
Facility should offer simplified means of linking and financing these
infrastructures, in order to ensure coherence between internal and external
instruments of the Union budget.
(49)          
Since the objectives of the action to be taken,
and in particular the coordinated, development and financing of the trans-European
networks, cannot be sufficiently achieved by the Member States and can
therefore, by reason of the need for coordination of these objectives, be
better achieved at Union level, the Union may adopt measures in accordance with
the principle of subsidiarity as set out in Article 5 of the Treaty on European
Union. In accordance with the principle of proportionality, as also set out in
that Article, this Regulation does not go beyond what is necessary in order to
achieve those objectives,
HAVE ADOPTED THIS REGULATION:
TITLE I
COMMON PROVISIONS
CHAPTER I
THE CONNECTING EUROPE FACILITY
Article 1
Subject matter
This Regulation establishes the Connecting
Europe Facility and determines the conditions, methods and procedures for
providing Union financial aid to trans-European networks in order to support
projects in the field of transport, energy and telecommunications
infrastructures. 
Article 2
Definitions
For the purposes of this Regulation, the
following definitions shall apply:
(1)                   
"project of common interest" means a
project identified in Regulation (EU) No XXXX/2012 of the European Parliament
and of the Council of [to be completed when adopted including date of adoption
and full names] [TEN-T Guidelines][38], Regulation (EU) No
XXXX/2012 of the European Parliament and of the Council of [to be completed
when adopted including date of adoption and full names] [Guidelines for
trans-European energy infrastructure][39] or Regulation (EU) No
XXXX/2012 [INFSO Guidelines] of the European Parliament and of the Council of
[to be completed when adopted including date of adoption and full names][40];
(2)                   
"cross-border section" means the
section, which ensures the continuity of a project of common interest between
at least two Member States or between a Member State and a neighbouring country;
(3)                   
"works" means, as the case may be, the
purchase, supply and deployment of components, systems and services including
software, the carrying out of development and construction and installation
activities relating to a project, the acceptance of installations and the
launching of a project;
(4)                   
"studies" means activities needed to
prepare project implementation, such as preparatory, feasibility, evaluation,
testing and validation studies, including in the form of software, and any
other technical support measure, including prior action to define and develop a
project and decide on its financing, such as reconnaissance of the sites
concerned and preparation of the financial package;
(5)                   
"programme support actions" means
accompanying measures necessary for the implementation of the Connecting Europe
Facility and individual sector specific guidelines, such as services (notably
technical assistance), as well as preparatory, feasibility, coordination,
monitoring, control, audit and evaluation activities which are required
directly for the management of this Facility and the achievement of its
objectives, and in particular studies, meetings, information, infrastructure
mapping, twinning, dissemination, awareness raising and communication actions,
expenses linked to IT networks focusing on information exchange, together with
all other technical and administrative assistance expenses that may be required
for the management of this facility or implementation of the individual sector
specific guidelines;
(6)                   
"action" means any activity that is
necessary to implement a project of common interest and is independent
financially, technically or over time;
(7)                   
"eligible costs" have the same meaning
as in Commission Regulation (EU) No XXXX/2012 [New Financial Regulation];
(8)                   
“beneficiary” means a Member State, an
international organisation, a public or private undertaking or body that has
been selected to receive financial aid under this Regulation and according to
the modalities specified in each Work Programme.
(9)                   
"implementing body" means a public or
private undertaking or body designated by a beneficiary, where the latter is a
Member State or an international organisation, to implement the action. Such
designation shall be decided by the beneficiary under its own responsibility
and, if it requires the award of a procurement contract, in compliance with the
applicable public procurement rules;
(10)               
"core network'" means the transport
infrastructure identified according to Chapter III of Regulation (EU) No
XXXX/2012 [TENT-T Guidelines];
(11)               
"core network corridors" means an
instrument to facilitate the coordinated implementation of the core network as
provided for in Chapter IV of Regulation (EU) No XXXX/2012 [TENT-T Guidelines]
and listed in Annex I to this Regulation;
(12)               
"bottleneck" means a physical barrier that
leads to a system break affecting the continuity of long-distance flows. Such a
barrier can be absorbed by new infrastructure such as bridges or tunnels that
address problems as for example gradients, curve radii, gauge. The need to
upgrade existing infrastructure shall not be considered as a bottleneck;
(13)               
“priority” means any of the energy
infrastructure priorities 1 to 8 and 10 to 12 as designated in Annex I to
Regulation (EU) No XXXX/2012 [Guidelines for trans-European energy
infrastructure];
(14)               
“energy infrastructure” means the infrastructure
as defined in Article 2 of Regulation (EU) No (EU) No XXX/2012 [Guidelines for trans-European
energy infrastructure];
(15)               
"broadband networks" means wired and
wireless (including satellite) access networks, ancillary infrastructure and
core networks capable of delivering very high speed connectivity as defined in
Article 3 of Regulation (EU) No XXX/2012 [INFSO Guidelines].
(16)               
"digital service infrastructures"
means networked services delivered electronically, typically over the internet,
providing trans-European interoperable services in the public interest and
having an enabling character for citizens, businesses, and/or governments as
defined in Article 3 of Regulation (EU) No XXX/2012 [INFSO Guidelines];
(17)               
"core service platforms" means
services identified in the Annex to Regulation (EU) No XXXX/2012 [INFSO
Guidelines];
(18)               
"generic services" means services
identified in the Annex to Regulation (EU) No XXXX/2012 [INFSO Guidelines];
(19)               
"operation and maintenance of
services" means ensuring continuous operation of certain digital service
infrastructures, as further defined in the Annex to Regulation (EU) No
XXXX/2012 [INFSO guidelines];
(20)               
"national regulatory authorities"
means bodies defined in Article 3 of the Directive 2002/21/EC of the European
Parliament and of the Council of 7 March 2002 on a common regulatory framework
for electronic communications networks and services (Framework Directive)[41].

Article 3
General Objectives
The Connecting Europe Facility shall enable
the preparation and implementation of projects of common interest within the
framework of the trans-European networks policy in the sectors of energy,
transport and telecommunications. In particular the Connecting Europe Facility shall support the
implementation of projects aiming at the development and construction of new or
upgrading of existing infrastructure in the field of transport, energy and
telecommunications. To this end, the Connecting Europe
Facility shall pursue the following objectives:
(a)                   
contribute to smart, sustainable and inclusive
growth by developing modern and high performing trans-European networks, thus
bringing forward benefits for the entire European Union in terms of
competitiveness and economic, social and territorial cohesion within the Single
Market and creating an environment more conducive to private and public
investment through a combination of financial instruments and Union direct
support and by exploiting synergies across the sectors. The achievement of this
objective will be measured by the volume of public and private investment in
projects of common interest, and in particular the volume of public and private
investments in projects of common interest realised through the financial
instruments under this Regulation.
(b)                   
enable the Union to achieve its targets of a 20%
reduction of greenhouse gas emissions[42], a 20% increase in
energy efficiency and raising the share of renewable energy to 20% up to 2020,
while ensuring greater solidarity among Member States. 
Article 4
Specific Sectoral Objectives
1.           Further to the general
objectives set out under Article 3, the Connecting Europe Facility should
contribute to achieving the following sector specific objectives:
(a)                   
In the field of transport, the Connecting Europe
Facility shall support projects of common interest pursuing the objectives set
out below, as further specified under Article 4 of Regulation (EU) No xxxx/2012
[TEN-T Guidelines]:
(i)      removing bottlenecks and bridging
missing links, to be measured by the number of new and improved cross-border connections
and removed bottlenecks on transport routes which have benefited from CEF;
(ii)      ensuring sustainable and efficient
transport in the long run, to be measured by the length of the conventional
railway network in the EU-27 and the length of high-speed railway network in
the EU-27;
(iii)     optimise the integration and
interconnection of transport modes and enhancing interoperability of transport
services. The achievement of this objective will be measured by the number of
ports and airports connected to the railway network. 
(b)                   
In the field of energy, the Connecting Europe
Facility shall support projects of common interest pursuing the following
objectives, as further specified in Regulation (EU) No xxxx/2012:
(i)      promoting the further integration of
the internal energy market and the interoperability of electricity and gas
networks across borders, including by ensuring that no Member State is isolated
from the European network, to be measured by the number of projects effectively
interconnecting Member states' networks and removing internal bottlenecks;
(ii)      enhancing Union security of supply,
to be measured by the evolution of system resiliance and security of system
operations as well as number of projects allowing diversification of supply
sources, supplying counterparts and routes;
(iii)     contributing to sustainable
development and protection of the environment, notably by fostering the
integration of energy from renewable sources into the transmission network and developing carbon dioxide networks, to be
measured by the transmission of renewable energy from generation to major
consumption centers and storage sites, and the sum of CO2 emissions prevented
by the construction of the projects which benefited from CEF.
(c)                   
In the field of telecommunications networks the
Connecting Europe Facility shall provide for action to support projects of
common interest pursuing the following objectives, as further specified in
Regulation (EU) No xxxx/2012 [INFSO Guidelines]:
(i)      accelerating the deployment of fast
and ultrafast broadband networks networks and their uptake, including by small
and medium sized enterprises (SMEs), to be measured by the level of broadband
and ultrafast broadband coverage and the number of households having subscribed
for broadband connections for above 100 Mbps;
(ii)      promoting the interconnection and
interoperability of national public services on-line as well as access to such
networks, to be measured by the percentage of citizens and businesses using
public services on-line and the availability of such services across borders.
Article 5
Budget
1.                      
The financial envelope for the implementation of
the Connecting Europe Facility for the period 2014 to 2020 shall be EUR 50 000
000 000[43]. That amount shall be
distributed among the sectors referred to in Article 3 as follows:
(a)     transport: EUR 31 694 000 000, out of
which EUR 10 000 000 000 shall be transferred from the Cohesion Fund to be
spent in line with this Regulation in Member States eligible for funding from
the Cohesion Fund;
(b)     energy: EUR 9 121 000 000;
(c)     telecommunications: EUR 9 185 000 000.
2.                      
The financial envelope of the Connecting Europe
Facility may cover expenses pertaining to, preparatory, monitoring, control,
audit and evaluation activities which are required for the management of the Programme
and the achievement of its objectives, in particular studies, meetings of
experts, as far as they are related to the general objectives of this
Regulation, expenses linked to IT networks focusing on information processing
and exchange, together with all other technical and administrative assistance
expenses incurred by the Commission for the management of the Programme.
The financial allocation may also cover the
technical and administrative assistance expenses necessary to ensure the
transition between the Programme and the measures adopted under Regulation
(EC) No 680/2007[44].
If necessary, appropriations could be entered in the budget beyond 2020 to
cover similar expenses, in order to enable the management of actions not yet
completed by 31 December 2020.
3.                      
Following the mid-term evaluation according to
Article 26.1, the Commission may transfer appropriations between the sectors of
the allocation set out in paragraph 1, with the exception of the EUR 10 000 000
000 transferred from the Cohesion Fund to finance transport sector projects in
the Cohesion Fund eligible Member States.
CHAPTER II
FORMS OF FINANCING AND FINANCIAL PROVISIONS
Article 6
Forms of financial aid
1.           The
Connecting Europe Facility shall be implemented by one or several of the forms
of financial aid, provided for by Regulation (EU) No XXX/2012 [New Financial Regulation], in particular, grants, procurements and financial instruments.
2.           The
Commission may entrust part of the implementation of the Connecting Europe
Facility to the bodies set out in Article 55(1)(c) of Regulation (EU) No
XXXX/2012 [New Financial Regulation].
Article 7 
Eligibility and conditions for financial assistance
1.           Only actions contributing
to projects of common interest according to Regulations (EU) No XXX/2012 [TEN-T
Guidelines], (EU) No XXX/2012 [TEN-E Guidelines, (EU) No XXX/2012 [Guidelines
for energy infrastructure] and XXX/2012 [INFSO Guidelines] as well as programme
support actions shall be eligible for support through EU financial aid in the
form of grants, financial instruments and procurement. 
2.           In the field of transport,
only actions contributing to projects of common interest according to
Regulation (EU) No XXX/2012 [TEN-T Guidelines] and programme support actions,
shall be eligible for support through Union financial aid in the form of procurement and financial instruments under
this Regulation. In the form of grants, only the following actions shall be
eligible to receive Union financial aid under this Regulation:
(a)         
actions implementing the core network according
to Chapter III of Regulation (EU) No
XXXX/2012 [TEN-T Guidelines], including the deployment of new technologies and
innovation according to Article 39 of Regulation (EU) No XXXX/2012 [TEN-T
Guidelines]; 
(b)         
studies for projects of common interest as
defined in Article 8(1)(b) and (c) of Regulation (EU) No XXXX/2012 [TEN-T
Guidelines];
(c)         
actions supporting projects of common interest
as defined in Article 8(1)(a) and (d) of Regulation (EU) No XXXX/2012 [TEN-T
Guidelines];
(d)         
actions supporting traffic management systems in
accordance with Article 37 of Regulation (EU) No XXX/2012 [TEN-T Guidelines]; 
(e)         
actions supporting freight transport services in
accordance with Article 38 of Regulation XXX/2012 [TEN-T Guidelines];
(f)           
actions to reduce rail freight noise by retrofitting
of existing rolling stock;
(g)         
programme support actions.
Transport-related actions involving a
cross-border section or a part of such a section shall be eligible to receive
Union financial aid if there is a written agreement between the Member States
concerned or between the Member States and third countries concerned relating
to the completion of the cross-border section. Exceptionally, when a project is
necessary to link to the network of a neighbouring Member State or a third
country but does not actually cross the border, the written agreement referred
to above shall not be required. 
Grant funding for projects with significant
user-based revenue sources shall be primarily available for purposes of project
preparation, in particular PPP assessment.
3.           In the field of energy,
the specific eligibility conditions of actions implementing projects of common
interest for Union financial aid in the form of financial instruments and
grants under this Regulation are set out in Article 15 of Regulation (EU) No
XXXX/2012 [Guidelines for energy infrastructure]. 
4.           In the field of
telecommuniation, all actions implementing the projects of common interest and
programme support actions set out in the Annex of the Regulation (EU) No XXXX/2012 [INFSO Guidelines] shall be eligible to
receive Union financial aid in the form of a grant, procurement
and financial instruments under this Regulation.
CHAPTER III
GRANTS
Article 8
Forms of grants and eligible costs
1.           Grants under this
Regulation may take any of the forms provided for by Article XXX of Regulation
(EU) No XXX/2012 [New Financial Regulation]. 
The Work Programmes shall establish the forms
of grants that may be used to fund the actions concerned.
2.           Expenditure may be
eligible from the date on which an application for aid is submitted.
[Expenditure for actions resulting from projects included in the first
multiannual programme may be eligible as from 1 January 2014]. 
3.           Only expenditure incurred
in Member States may be eligible, except where the
project of common interest involves the territory of third countries and where the
action is indispensable to achieve the objectives of the given project.
4.           The cost of equipment and
infrastructure which is treated as capital expenditure by the beneficiary may
be eligible up to its entirety.
5.           Expenditure related to
environmental studies on the protection of the environment and on compliance
with the Union acquis may be eligible.
6.           Expenditure related to the
purchase of land shall not be an eligible cost.
7.           VAT shall not be an
eligible cost.
8.           Rules on the eligibility
of costs incurred by beneficiaries shall apply mutatis mutandis to costs
incurred by implementing bodies.
Article 9
Conditions for participation
1.           Proposals may be submitted
by one or several Member States, international organisations, joint
undertakings, or public or private undertakings or bodies established in Member
States.
2.           For that purpose,
proposals may be submitted by entities which do not have legal personality
under the applicable national law, provided that their representatives have the
capacity to undertake legal obligations on their behalf and offer guarantee for
the protection of the Union's financial interests equivalent to that offered by
legal persons.
3.           Proposals submitted by
natural persons shall not be eligible. 
4.           Where it is needed to
achieve the objectives of a given project of common interest, third countries
and entities established in third countries may participate in actions
contributing to the projects of common interest. 
They may not receive funding under this
Regulation, except where it is indispensable to achieve the objectives of a
given project of common interest.
When this is necessary to implement more
effectively relevant actions contributing to projects of common interest in
third countries according to Regulations (EU) No XXX/2012 [TEN-T Guidelines],
(EU) No XXX/2012 [TEN-E Guidelines, (EU) No XXX/2012 [Guidelines for energy
infrastructure] and XXX/2012 [INFSO Guidelines], funding under this Regulation
may be pooled together with funding covered by other relevant Union
regulations. In such a case the Commission may decide, through an implementing
act, on a single set of rules that should apply for implementation.
5.           The agreement of Member
States concerned by the action shall accompany all proposals for grants except
in the field of telecommunications and in the field of transport for air
traffic management. 
6.           Multiannual and annual
Work Programmes may provide additional provide specific rules on submissions of
proposals.
Article 10
Funding rates
1.           Except in cases referred
to in Article XXX of Regulation (EU) No XXXX/2012 [New Financial Regulation],
proposals shall be selected through calls for proposals based on the work
programmes referred to in Article 17. 
2.           In the field of transport:
(a)         
with regard to grants for studies, the amount of
Union financial aid shall not exceed 50% of the eligible costs;
(b)         
 with regard to grants for works: 
(i)      rail and inland waterways: the amount
of Union financial aid shall not exceed 20% of the eligible cost; the funding
rate may be increased to 30% for actions addressing bottlenecks; the funding
rate may be increased to 40% for actions concerning cross-border sections; 
(ii)      inland
transport connections to ports and airports, actions to
reduce rail freight noise by retrofitting of existing rolling stock, as well as development of ports and multi-modal platforms: the
amount of Union financial aid shall not exceed 20% of the eligible cost.
(c)         
 with regard to grants for traffic management
systems and services:
(i)      the European
Rail Traffic Management System (ERTMS): the amount of Union financial aid shall
not exceed 50% of the eligible cost;
(ii)      traffic management systems, freight
transport services, secure parkings on the road core network, as well as
actions to support the development of Motorways of the Seas: the amount of
Union financial aid shall not exceed 20% of the eligible cost.
3.           In the field of energy:
(a)         
the amount of Union financial aid shall not
exceed 50% of the eligible cost of studies and/or works;
(b)         
co-financing rates may be increased to a maximum
of 80% for actions which based on the evidence referred to in Article 15(2) (a)
of Regulation (EU) No XXXX/2012 [Guidelines for energy infrastructure], provide
a high degree of regional or Union-wide security of supply, or strengthen solidarity
of the Union or comprise highly innovative solutions.
4.           In the field of
telecommunications:
(a)         
actions in the field of broadband networks: the
amount of Union financial aid shall not exceed 50% of the eligible cost;
(b)         
actions in the field of generic services: the
amount of Union financial aid shall not exceed 75% of the eligible costs;
(c)         
core service platforms shall be typically funded
by procurement. In exceptional cases, they may be funded by a grant covering up
to 100% of eligible costs, without prejudice to the co-financing principle; 
(d)         
programme support actions including
infrastructure mapping, twinning and technical assistance: the amount of Union
financial aid shall not exceed 75% of the eligible costs.
5.           Co-financing rates
mentioned above may be increased by up to 10 percentage points for actions
having cross-sector synergies, reaching climate mitigation objectives,
enhancing climate resilience or reducing the greenhouse gas emissions. This
increase should not apply to co-financing rates referred to in Article 11.
6.           The amount of financial
aid to be granted to the actions selected will be modulated based on a
cost-benefit analysis of each project, availability of budget resources, and
the need to maximise the leverage of EU funding.
Article 11
Specific calls for funds transferred from the Cohesion Fund in the field of
transport 
1.           As regards the EUR 10 000
000 000 transferred from the Cohesion Fund [Regulation XXX Article XX] to be
spent in Member States eligible for funding from the Cohesion Fund, specific
calls shall be launched for projects implementing the core network exclusively
in Member States eligible for funding from the Cohesion Fund.
2.           Applicable rules for the
transport sector under this Regulation shall apply to these specific calls.
When implementing these calls, greatest possible priority shall be given to
projects respecting the national allocations under the Cohesion Fund.
3.           By the way of derogation
from Article 10, and as regards the EUR 10 000 000 000 transferred from the
Cohesion Fund [Regulation XXX Article XX] to be spent in Member States eligible
for funding from the Cohesion Fund, the maximum funding rates shall be those applicable
to the Cohesion Fund referred to in Article 22 and Article
110.3 of Regulation (EU) No XXX2012 [Regulation laying down common provisions
on the European Regional Development Fund, the European Social Fund, the
Cohesion Fund, the European Agricultural Fund for Rural Development and the
European Maritime and Fisheries Fund covered by the Common Strategic Framework
and laying down general provisions on the European Regional Development Fund,
the European Social Fund and the Cohesion Fund and repealing Regulation (EC) No
1083/2006][45] for the following actions: 
(a)         
with regard to grants for studies;
(b)         
with regard to grants for works:
(i)      rail and inland waterways; 
(ii)      actions to support cross-border road
sections;
(iii)     inland transport connections to
ports and airports, development of multi-modal platforms and of ports;
(c)         
with regard to grants for traffic management
systems and services:
(i)      the European Rail Traffic Management
System (ERTMS);
(ii)      traffic management systems.
Article 12
Cancellation, reduction, suspension and termination of the
grant
1.           The Commission shall cancel, except in duly justified cases, financial aid granted for
actions which have not been started within one year following the start date of
the action established in the conditions governing the granting of aid. 
2.           The Commission may suspend, reduce, recover or terminate the financial aid according
to the conditions set out in Regulation (EU) No
XXX/2012 [New Financial Regulation] notably:
(a)          
in the event of an irregularity committed in the
implementation of the action with regard to the provisions of Union law;
(b)         
in the event of failure to comply with the
conditions governing the grant, in particular if a major change affecting the
nature of a project or action has been made without the approval of the
Commission;
(c)          
following an evaluation of the progress of the
project, in particular in the event of major delays in the implementation of
the action.
3.           The Commission may request
the reimbursement of the financial aid granted if, within two years of the
finishing date established in the conditions governing the granting of aid, the
implementation of the action receiving the financial aid has not been
completed.
4.           Before the Commission
takes any of the decisions provided for in paragraphs 1, 2 and 3, it shall
examine the case at hand and inform the beneficiaries concerned so that they
may present their observations within a given timeframe.
CHAPTER IV 
Procurement
Article 13
Procurement 
1.           Public procurement
procedures carried out by the Commission or one of the bodies referred to in
Article 6(2) on its own behalf or jointly with Member States: 
(a)         
may provide for specific conditions such as the
place of performance of the procured activities, where duly justified by the
objectives of the actions and provided such conditions do not infringe public procurement
principles;
(b)         
may authorise multiple award of contracts within
the same procedure ("multiple sourcing").
2.           Where duly justified and
required by the implementation of the actions, paragraph 1 may also apply to
procurement procedures carried out by beneficiaries of grants.
CHAPTER V
FINANCIAL INSTRUMENTS
Article 14
Type of financial instruments
1.           Financial instruments set
up in accordance with Title VIII of Regulation (EC) No XXXX/2012 [New Financial
Regulation 2012], may be used to facilitate access to finance by entities
implementing actions contributing to projects of common interest as defined in
Regulations (EU) No XXXX/2012, (EU) No XXX 2012, and (EU) No XXX/2012, and to
the achievement of their objectives. The financial instruments shall be based
on ex-ante assessments of market imperfections or sub-optimal investment
situations and investment needs.
2.           Financial instruments
established under Regulation (EC) No 680/2007 may be merged, if applicable, to those
created under Connecting Europe Facility.
3.           The following financial
instruments may be used:
(a)     equity instruments, such as investment
funds with a focus on providing risk capital for actions contributing to projects of common interest;
(b)     loans and/or guarantees facilitated by
risk-sharing instruments, including enhancement
mechanism to project bonds,
issued by a financial institution on its own resources with a Union
contribution to the provisioning and/or capital allocation;
(c)     any other financial instruments. 
Article 15
Conditions for granting financial aid through financial instruments
1.           Actions supported by means
of financial instruments s shall be selected on a first come first served basis
and shall seek sectoral diversification in accordance with Articles 3 and 4 as
well as gradual geographical diversification across the Member States.
2.           The Union, any Member
State and other investors may provide financial aid in addition to
contributions received by the use of financial instruments, provided that the
Commission agrees to any changes to eligibility criteria of actions and/or the
investment strategy of the instrument which may be necessary due to the
additional contribution.
3.           The financial instruments
shall aim to preserve the value of assets provided by the Union budget. The may
generate acceptable returns to meet the objectives of other partners or
investors.
4.           Financial instruments may
be combined with grants funded from the Union budget, including under this
Regulation.
5.           The Work Programmes may
establish additional conditions according to the specific needs of the sectors.

6.           In accordance with Article
18(2) of the Regulation (EU) No XXXX/2012 [New Financial Regulation], revenues
and repayments generated by one financial instrument shall be assigned to that
financial instrument. For financial instruments already set up in the
multiannual financial framework for the 2007-2013 period, revenues and
repayments generated by operations started in that period shall be assigned to
the financial instrument in the period 2014-2020.
Article 16
Actions in third countries 
Actions in third countries may be supported
by the financial instruments if it is necessary for the implementation of a
project of common interest. 
CHAPTER VI
PROGRAMMING, IMPLEMENTATION AND CONTROL
Article 17
Multiannual and/or annual work programmes
1.           The Commission shall adopt
multiannual and annual work programmes for each sector. The Commission may also
adopt multiannual and annual work programmes that cover more than one sector.
Those implementing acts shall be adopted in accordance with the examination
procedure referred to in Article 24.2.
2.           The multiannual work
programme shall be reviewed at least at mid-term. If necessary, the Commission
shall revise the multiannual work programme by means of implementing act. Those
implementing acts shall be adopted in accordance with the examination procedure
referred to in Article 24.2.
3.           A multiannual work
programme in the field of transport shall be adopted for projects of common
interest as listed in Part I of the Annex to this Regulation. 
The amount of the financial envelope shall lie
within a range of 80 to 85 % of the budgetary resources referred to in Article
5(1)(a). 
4.           The multiannual work
programmes in the field of energy and telecommunications shall provide strategic
orientation in the field of projects of common interest and may include
specific projects of common interest. 
5.           The sectoral annual work
programmes, in the field of transport, energy and telecommunications, shall be
adopted for projects of common interest not included in the multiannual
programme. 
6.           Acting in accordance with
the procedure referred in paragraph 1, the Commission, when establishing
multiannual and sectoral annual work programmes, shall establish the selection
and award criteria in line with the objectives and priorities laid down:
(a)     for transport in Regulation (EU) No
XXXX/2012 [TEN-T Guidelines];
(b)     for energy in Regulation (EU) No
XXXX/2012 [Guidelines for trans-European energy infrastructure];
(c)     for telecommunications in Regulation
No (EU) XXXX/2012 [INFSO Guidelines].
7.           Work programmes shall be
coordinated in order to exploit the synergies between transport, energy and
telecommunications, notably in such areas as smart energy grids, electric
mobility, intelligent and sustainable transport systems, or joint rights of
way. Multi-sectoral call for proposals can be adopted.
Article 18
Annual instalments
Budgetary commitments may be divided into
annual instalments. If so, each year the Commission shall commit the annual
instalments taking into account the progress of the actions receiving financial
aid, the estimated needs and the budget available.
The indicative timetable covering the
commitment of the individual annual instalments shall be communicated to the
beneficiaries of grants and, if applicable for financial instruments, to the
financial institutions concerned.
Article 19
Carry-over of annual appropriations
Appropriations which have not been used at
the end of the financial year for which they were entered shall be carried-over
automatically by one year.
[Article 20
Delegated acts
The Commission shall be empowered to adopt
delegated acts in accordance with Article 25 concerning the addition or
modification of the lists provided in the Annex.]
Article 21
Responsibility of beneficiaries and Member States 
Within the sphere of their responsibility
and without prejudice to the obligations incumbent on beneficiaries under the
conditions governing the grants, beneficiaries and Member States shall make
every effort to implement the projects of common interest which receive Union
financial aid granted under this Regulation.
Member States shall for projects related to
transports and energy sectors, undertake the technical monitoring and financial
control of actions in close cooperation with the Commission and shall certify
the reality and the conformity of the expenditure incurred in respect of
projects or parts of projects. The Member States may request the participation
of the Commission during on-the-spot checks.
In the field of telecommunications in
particular, the national regulatory authorities shall make every effort to
ensure the required legal certainty and investment conditions facilitating the
implementation of the projects receiving Union financial aid under this Regulation.
Member States shall inform the Commission
continuously, if relevant through the interactive geographical and technical
information systems, which in case of the trans-European Transport networks is
TENtec, about the progress made in implementing projects of common interest and
the investments made for this purpose including the amount of support used for climate change objectives.
Article 22
Compliance with Union policies and Union Law
Only actions in conformity with Union law
and which are in line with relevant Union policies shall be financed under this
Regulation.
Article 23
Protection of the Union's financial interests
1.           The Commission shall take
appropriate measures ensuring that, when actions financed under this Regulation
are implemented, the financial interests of the Union are protected by the
application of preventive measures against fraud, corruption and any other
illegal activities, by effective checks and, if irregularities are detected, by
the recovery of the amounts wrongly paid and, where appropriate, by effective,
proportional and deterrent penalties.
2.           The Commission or its
representatives and the Court of Auditors shall have the power of audit, on the
basis of documents and on-the-spot, over all grant beneficiaries, implementing
bodies, contractors and subcontractors who have received Union funds.
3.           The European Anti-Fraud
Office (OLAF) shall be authorised to carry out on-the-spot checks and
inspections on economic operators concerned directly or indirectly by such
funding in accordance with the procedures laid down in Council Regulation
(Euratom, EC) No 2185/96 of 11 November 1996 concerning on-the-spot checks and
inspections carried out by the Commission in order to protect the European
Communities' financial interests against fraud and other irregularities[46]
with a view to establishing that there has been fraud, corruption or any other
illegal activity affecting the financial interests of the Union in connection
with a grant agreement or decision or a contract concerning Union funding.
4.           Without prejudice to the
previous paragraphs, cooperation agreements with third countries and
international organisations and grant agreements and decisions and contracts
resulting from the implementation of this Regulation shall expressly entitle
the Commission, the Court of Auditors and OLAF to conduct such audits,
on-the-spot checks and inspections.
TITLE II
GENERAL AND FINAL PROVISIONS
Article 24
Committees
1.           The Commission shall be
assisted by a Coordination Committee of the Facility. 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. 
3.           The committee shall ensure
a horizontal overview of the work programmes referred in article 18 to ensure
consistency and that synergies are identified and exploited between sectors. 
Article 25
Exercise of delegation
1.           The power to adopt
delegated acts is conferred on the Commission subject to the conditions laid
down in this Article.
2.           The power to adopt
delegated acts referred to in Article 20 shall be conferred on the Commission
for an indeterminate period from the date of entry into force of this
Regulation.
3.           The delegation of power
referred to in Article 20 may be revoked at any time by the European Parliament
or by the Council. A decision to revoke shall put an end to the delegation of
the power specified in that decision. It shall take effect the day following
the publication of the decision in the Official Journal of the European
Union or at a later date specified therein. It shall not affect the
validity of any delegated acts already in force. 
4.           As soon as it adopts a
delegated act, the Commission shall notify it simultaneously to the European
Parliament and to the Council. 
5.           A delegated act adopted
pursuant to Article 20 shall enter into force only if no objection has been
expressed either by the European Parliament or by the Council within a period
of two months of notification of that act to the European Parliament and the
Council or if, before the expiry of that period, the European Parliament and
the Council have both informed the Commission that they will not object. That
period shall be extended by two months at the initiative of the European
Parliament or of the Council.
Article 26
Evaluation
1.           No
later than mid-2018, an evaluation report shall be established by the
Commission on the achievement of the objectives of all the measures (at the
level of results and impacts), the efficiency of the use of resources and its
European added value, in view of a decision on the renewal, modification or
suspension of the measures. The evaluation shall additionally address the scope
for simplification, its internal and external coherence, the continued
relevance of all objectives, as well as the contribution of the measures to the
Union priorities of smart, sustainable and inclusive growth. It shall take into
account evaluation results on the long-term impact of the predecessor measures.
2.           The Commission shall carry
out ex-post evaluation in close cooperation with the Member States and
beneficiaries. The ex-post evaluation shall examine the effectiveness and
efficiency of the Connecting Europe Facility and its impact on economic, social
and territorial cohesion as well as contribution to the Union priorities of
smart, sustainable and inclusive growth and the scale and results of support
used for climate change objectives. The ex post evaluation shall feed into a decision on a possible renewal, modification or
suspension of a subsequent measure. 
3.           Evaluations shall take
account of progress against performance indicators as referred to in Article 3
and 4. 
4.           The Commission shall
communicate the conclusions of these evaluations to the European Parliament,
the Council, the European Economic and Social Committee and the Committee of
the Regions.
5.           The Commission and the
Member States, assisted by the other possible beneficiaries, may undertake an
evaluation of the methods of carrying out projects as well as the impact of
their implementation, in order to assess whether the objectives, including
those relating to environmental protection, have been attained.
6.           The Commission may request
a beneficiary Member State concerned by a project of common interest to provide
a specific evaluation of the actions and the linked projects financed under
this Regulation or, where appropriate, to supply it with the information and
assistance required to undertake an evaluation of such projects.
Article 27
Information, communication and publicity
1.           Beneficiaries and, where
appropriate, Member States concerned shall ensure that suitable publicity is
given to aid granted under this Regulation in order to inform the public of the
role of the Union in the implementation of the projects.
2.           The Commission shall
implement information and communication actions on the Connecting Europe
Facility projects and results. Moreover, budget allocated to communication
under this Regulation shall also cover corporate communication on the political
priorities of the Union[47].
Article 28
Transitional provisions
This Regulation shall not affect the
continuation or modification, including the total or
partial cancellation, of the projects concerned, until their closure, or of financial aid awarded by the Commission on the basis of
Regulations (EC) 2236/95 and (EC) No 680/2007, or any
other legislation applying to that assistance on 31 December 2013, which shall continue to apply to the actions concerned until their
closure. 
Article 29
Repeal
Without prejudice to the provisions laid down in Article 28
of this Regulation, Regulation (EC) No 680/2007 is
repealed with effect from 1 January 2014.
Article 30
Entry into force
This Regulation shall enter into force on
the 20th day following the publication in the Official Journal of the
European Union.
It shall apply from 1 January 2014.
This Regulation shall be binding in its entirety
and directly applicable in all Member States.
Done at Brussels, […]
For the European Parliament                       For
the Council
The President                                                 The
President
ANNEX 
PART
I: LIST OF PRE-IDENTIFIED PROJECTS ON THE CORE NETWORK IN THE FIELD OF
TRANSPORT
 a) Horizontal Priorities 
 Innovative Management & Services || Single European Sky - SESAR 
 Innovative Management & Services || Traffic Management Systems for Road, Rail and Inland Waterways (ITS, ERTMS and RIS)  
 Innovative Management & Services || Core Network Ports and Airports 
 Core Network Corridors 
1.
Baltic – Adriatic Corridor
Helsinki – Tallinn – Riga
– Kaunas – Warszawa – Katowice
Gdynia – Katowice
Katowice – Ostrava – Brno – Wien
Katowice – Žilina – Bratislava – Wien
Wien – Graz – Klagenfurt – Villach – Udine – Venezia – Bologna – Ravenna

 Pre-identified sections || Mode || Description/dates 
 Helsinki - Tallinn || Ports, MoS || port interconnections, (further) development of multimodal platforms and their interconnections, MoS (including icebreaking capacity) 
 Tallinn - Riga - Kaunas - Warszawa || Rail || (detailed) studies for new UIC gauge fully interoperable line; works for new line to start before 2020; rail – airports/ports interconnections 
 Gdynia - Katowice || Rail || upgrading 
 Gdynia, Gdansk || Ports || port interconnections, (further) development of multimodal platforms 
 Warszawa - Katowice || Rail || upgrading 
 Katowice - Ostrava - Brno - Wien & Katowice - Žilina - Bratislava - Wien || Rail || upgrading, in particular cross-border sections PL-CZ, PL-SK and SK-AT; (further) development of multimodal platforms 
 Wien - Graz - Klagenfurt - Udine - Venezia - Ravenna || Rail || upgrading and works ongoing; (further) development of multimodal platforms 
 Trieste, Venice, Ravenna || Ports || port interconnections, (further) development of multimodal platforms 
2.
Warszawa – Berlin – Amsterdam/Rotterdam – Felixstowe – Midlands 
BY border – Warzsawa –
Poznań – Frankfurt/Oder – Berlin – Hannover – Osnabrück – Enschede –
Utrecht – Amsterdam/Rotterdam – Felixstowe – Birmingham/Manchester – Liverpool 

 Pre-identified sections || Mode || Description/dates 
 BY border - Warszawa - Poznań - DE border || Rail || upgrading existing line, studies for high speed rail 
 PL Border - Berlin - Hannover - Amsterdam/Rotterdam || Rail || upgrading of several sections (Amsterdam – Utrecht – Arnhem; Hannover – Berlin) 
 West-German Canals, Mittellandkanal, Hannover – Magdeburg - Berlin || IWW || upgrading 
 Amsterdam locks || IWW || studies ongoing 
 Felixstowe – Midlands || Rail, port, multimodal platforms || interconnections port and multimodal platforms 
3.
Mediterranean Corridor
Algeciras – Madrid –
Tarragona
Sevilla – Valencia – Tarragona
Tarragona – Barcelona – Perpignan – Lyon – Torino – Milano – Venezia –
Ljubljana – Budapest – UA border

 Pre-identified sections || Mode || Description/dates 
 Algeciras - Madrid || Rail || studies ongoing, works to be launched before 2015, to be completed 2020 
 Sevilla - Antequera - Granada - Almería - Cartagena - Murcia - Alicante - Valencia || Rail || studies and works 
 Valencia - Tarragona - Barcelona || Rail || construction between 2014 - 2020 
 Barcelona || Port || interconnections rail with port and airport 
 Barcelona - Perpignan || Rail || cross-border section, works ongoing, new line completed by 2015, upgrading existing line 
 Perpignan - Montpellier || Rail || bypass Nîmes - Montpellier to be operational in 2017, Montpellier - Perpignan for 2020 
 Lyon - Torino || Rail || cross-border section, works base tunnel to be launched before 2020; studies access routes 
 Milano - Brescia || Rail || partially upgrading, partially new high-speed line 
 Brescia - Venezia - Trieste || Rail || works to start before 2014 on several sections 
 Milano - Mantova - Venezia - Trieste || IWW || studies, upgrading, works 
 Trieste - Divača || Rail || studies and partial upgrading ongoing; cross-border section to be realised until after 2020 
 Koper - Divača - Ljubljana - Maribor || Rail || studies and upgrading/partially new line 
 Ljubljana node || Rail || rail node Ljubljana, including multi-modal platform; rail airport interconnection 
 Maribor - Zalalövö || Rail || cross-border section: studies, works to start before 2020 
 Boba- Szekesferhervar || Rail || upgrading 
 Budapest-Miskolc-UA border || Rail || upgrading 
4.
Hamburg – Rostock – Burgas/TR border – Piraeus – Lefkosia
Hamburg / Rostock – Berlin
– Praha – Brno – Bratislava – Budapest – Arad – Timişoara – Sofia
 Sofia – Burgas/TR border
Sofia – Thessaloniki – Piraeus – Limassol – Lefkosia
 Pre-identified sections || Mode || Description/dates 
 Dresden - Praha ||  Rail || studies for high-speed rail 
 Prague || Rail || Upgrading, freight bypass; rail connection airport 
 Hamburg - Dresden - Praha - Pardubice || IWW || Elbe upgrading 
 Děčín locks || IWW || studies 
 Breclav - Bratislava || Rail || cross-border, upgrading 
 Bratislava - Hegyeshalom || Rail || cross-border, upgrading 
 Budapest - Arad - Timişoara - Calafat || Rail || upgrading in HU nearly completed, ongoing in RO 
 Vidin - Sofia - Burgas/TR border Sofia - Thessaloniki - Athens/Piraeus || Rail || studies and works Vidin – Sofia – Thessaloniki; upgrading Sofia – Burgas/TR border 
 Athens/Piraeus - Limassol || MoS || port capacity and hinterland connections 
 Limassol - Lefkosia || Ports, multimodal platforms || upgrading of modal interconnection 
5.
Helsinki – Valletta
Helsinki – Turku –
Stockholm – Malmö – København – Fehmarn – Hamburg – Hannover
Bremen – Hannover – Nürnberg – München – Brenner – Verona – Bologna – Roma –
Napoli – Bari
Napoli – Palermo – Valletta

 Pre-identified sections || Mode || Description/dates 
 Kotka/Hamina - Helsinki || Port, rail || port hinterland connections, rail upgrading 
 Helsinki || Rail || airport-rail connection 
 RU border - Helsinki || Rail || works ongoing 
 Turku - Stockholm || Ports, MoS || port hinterland connections, icebraking capacity 
 Stockholm - Malmö (Nordic Triangle) || Rail || works ongoing on specific sections 
 Fehmarn || Rail || studies ongoing, construction works Fehmarn Belt fixed link between 2014 and 2020 
 København - Hamburg via Fehmarn: access routes || Rail || access routes DK to be completed by 2020, access routes Germany to be completed in 2 steps (2020 - 2027) 
 Hamburg/Bremen - Hannover || Rail || works to be started before 2020 
 München - Wörgl || Rail || access to Brenner Base Tunnel and cross-border section: studies 
 Brenner Base Tunnel || Rail || studies and works 
 Fortezza - Verona || Rail || studies and works 
 Napoli - Bari || Rail || studies and works 
 Napoli – Reggio Calabria || Rail || Upgrading 
 Messina - Palermo || Rail || upgrading (remaining sections) 
 Palermo - Valletta || Ports, MoS || port hinterland connections 
 Valletta - Marsaxlokk || Port, airport || traffic management systems to be deployed, upgrading of modal interconnection 
6.
Genova – Rotterdam
Genova – Milano/Novara – Simplon/Lötschberg/Gotthard
– Basel – Mannheim – Köln
Köln– Düsseldorf – Rotterdam/Amsterdam
Köln– Liège – Bruxelles/Brussel– Zeebrugge

 Pre-identified sections || Mode || Description/dates 
 Genova - Milano/Novara - CH border || Rail || studies; works starting before 2020 
 Basel - Rotterdam/Amsterdam/Antwerpen || IWW || upgrading 
 Karlsruhe - Basel || Rail || works to be completed by the end of 2020 
 Frankfurt - Mannheim || Rail || studies ongoing 
 Zevenaar - Emmerich - Oberhausen || Rail || works to be completed until 2017 
 Zeebrugge || Port || locks: studies ongoing 
7.
Lisboa - Strasbourg 
Sines / Lisboa – Madrid –
Valladolid
Lisboa – Aveiro – Oporto
Aveiro – Valladolid – Vitoria – Bordeaux – Paris – Mannheim/Strasbourg

 Pre-identified sections || Mode || Description/dates 
 High Speed rail Sines/Lisboa - Madrid || Rail, ports || studies and works ongoing, upgrading of modal interconnection ports of Sines/Lisboa 
 High speed rail Porto - Lisboa || Rail || studies ongoing 
 Rail connection Aveiro - ES || Rail || cross-border: works ongoing 
 Rail Connection Bergara - San Sebastián - Bayonne || Rail || completion expected in ES by 2016, in FR by 2020 
 Bayonne - Bordeaux || Rail || ongoing public consultation 
 Tours - Bordeaux || Rail || works ongoing 
 Paris || Rail || southern high-speed bypass 
 Baudrecourt - Mannheim || Rail || upgrading 
 Baudrecourt - Strasbourg || Rail || works ongoing, to be completed 2016 
8. Dublin – London – Paris –
Brussel/Bruxelles
Belfast – Dublin –
Holyhead – Birmingham
Glasgow/Edinburgh
– Birmingham 
Birmingham –
London – Lille – Brussel/Bruxelles
Dublin/Cork/Southampton – Le Havre – Paris
London – Dover – Calais – Paris
 Pre-identified sections || Mode || Description/dates 
 Dublin - Belfast || Rail || Upgrading; Dublin Interconectors (DART) 
 Glasgow - Edinburgh || Rail || upgrading 
 High Speed 2 || Rail || studies 
 Swansea - Cardiff - Bristol - London || Rail || upgrading 
 Dublin, Cork, Southampton, Le Havre || Ports || hinterland connections 
 Le Havre - Paris || IWW || upgrading 
 Le Havre - Paris || Rail || studies 
 Calais - Paris || Rail || preliminary studies 
9.
Amsterdam – Basel/Lyon – Marseille 
Amsterdam – Rotterdam –
Antwerp – Brussel/Bruxelles – Luxembourg
Luxembourg – Dijon – Lyon
Luxembourg – Strasbourg – Basel

 Pre-identified sections || Mode || Description/dates 
 Maas || IWW || upgrading 
 Albertkanaal || IWW || upgrading 
 Terneuzen || Maritime || locks: studies ongoing 
 Terneuzen - Gent || IWW || studies, upgrading 
 Antwerp || Maritime, port || locks: studies ongoing, port: hinterland connections 
 Canal Seine - Escaut || IWW || design completed, competitive dialogue launched, overall completion by 2018 
 Waterways upgrade in Wallonia || IWW || studies, upgrading 
 Brussel/Bruxelles - Luxembourg - Strasbourg || Rail || works ongoing 
 Strasbourg - Mulhouse - Basel || Rail || upgrading 
 Rail Connections Luxembourg - Dijon - Lyon (TGV Rhin - Rhône) || Rail || studies and works 
 Lyon || Rail || eastern bypass: studies and works 
 Canal Saône - Moselle/Rhin || IWW || preliminary studies ongoing 
 Rhône || IWW || upgrading 
10.
Strasbourg – Danube Corridor
Strasbourg – Stuttgart –
München – Wels/Linz
Strasbourg – Mannheim – Frankfurt – Würzburg – Nürnberg – Regensburg – Passau –
Wels/Linz
Wels/Linz – Wien – Budapest – Arad – Brašov – Bucurešti – Constanta - Sulina

 Pre-identified sections || Mode || Description/dates 
 Rail connection Strasbourg - Kehl Appenweier || Rail || works interconnection Appenweier 
 Karlsruhe - Stuttgart - München || Rail || studies and works ongoing 
 München - Mühldorf - Freilassing - Salzburg || Rail || studies and works ongoing 
 Salzburg - Wels || Rail || studies 
 Nürnberg - Regensburg - Passau - Wels || Rail || studies; works partly ongoing 
 Rail connection Wels - Wien || Rail || completion expected by 2017 
 Wien - Budapest || Rail || studies high speed HU 
 Arad - Brašov - Bucurešti - Constanta || Rail || upgrading of specific sections; studies high-speed 
 Main – Main-Donau-Canal – Danube || IWW || studies and works on several sections and bottlenecks; inland waterway ports: hinterland connections 
 Constanta || Port || hinterland connections 
b)
Other Sections on the Core Network
 Sofia to FYROM border || Cross-Border || Rail || studies ongoing 
 Sofia to Serbian border || Cross-Border || Rail || studies ongoing 
 Timişoara – Serbia border || Cross-Border || Rail || studies ongoing 
 München – Praha || Cross-Border || Rail || studies 
 Nürnberg – Praha || Cross-Border || Rail || studies 
 Wrocław – Dresden || Cross-Border || Rail || upgrading 
 Wroclaw – Praha || Cross-Border || Rail || studies 
 Graz – Maribor – Pragersko || Cross-Border || Rail || studies 
 Bothnian Corridor: Lulea – Oulu || Cross-Border || Rail || studies and works 
 North-West Spain and Portugal || Bottleneck || Rail || works ongoing 
 Frankfurt – Fulda – Erfurt – Berlin || Bottleneck || Rail || studies 
 Halle – Leipzig – Nürnberg || Bottleneck || Rail || works ongoing, to be completed by 2017 
 Rail Egnathia || Bottleneck || Rail || studies ongoing 
 Inland waterways Dunkerque – Lille || Bottleneck || IWW || studies ongoing 
 Parallel HSR line Paris- Lyon || Bottleneck || Rail || preliminary studies ongoing 
 Sundsvall – Umea – Lulea || Bottleneck || Rail || studies and works 
 Malmö - Göteborg || Other Core Network || Rail || works 
 Bothnian – Kiruna – NO border || Other Core Network || Rail || studies and works 
 Rail connection Shannon – Cork – Dublin || Other Core Network || Rail || studies ongoing 
 Rail connection to Wilhelmshaven and Bremerhaven || Other Core Network || Rail || studies ongoing 
 Zilina – UA border || Other Core Network || Rail || upgrading 
 Ventspils – Riga – RU border || Other Core Network || Rail || upgrading 
 Klaipeda – Kaunas – Vilnius – BY border || Other Core Network || Rail || Upgrading, airport interconnection 
 Katowice – Wroclaw – DE border || Other Core Network || Rail || upgrading 
 Marseille – Toulon – Nice – IT border || Other Core Network || Rail || studies high-speed 
 Bordeaux – Toulouse || Other Core Network || Rail || studies high-speed 
 Tampere – Oulu || Other Core Network || Rail || upgrading of sections 
 Pamplona – Zaragoza - Sagunto || Other Core Network || Rail || studies and works 
PART
II: LIST OF INFRASTRUCTURE PRIORITY CORRIDORS AND AREAS
IN THE FIELD OF ENERGY 
 a) Priority Corridors 
   || Objective || Member States concerned 
 1. Northern Seas offshore grid (“NSOG”) || Developing an integrated offshore electricity grid in the North Sea, the Irish Sea, the English Channel, the Baltic Sea and neighbouring waters to transport electricity from renewable offshore energy sources to centres of consumption and storage and to increase cross-border electricity exchange || Belgium, Denmark, France, Germany, Ireland, Luxemburg, the Netherlands, Sweden, the United Kingdom 
 2. North-South electricity interconnections in South-Western Europe (“NSI West Electricity”) || Developing interconnections between Member States of the region and with Mediterranean third countries, notably to integrate electricity from renewable energy sources || Belgium, France, Germany, Ireland, Italy, Luxembourg, Netherlands, Malta, Portugal, Spain, the United Kingdom 
 3. North-South gas interconnections in Western Europe ("NSI West Gas"): || Increasing interconnection capacities for North-South gas flows in Western Europe to further diversify routes of supply and increase short-term gas deliverability || Belgium, Ireland, Luxembourg, France, Germany, Italy, Malta, the Netherlands, Portugal, Spain, the United Kingdom 
 4. North-South electricity interconnections in Central Eastern and South Eastern Europe ("NSI East Electricity"): || Strengthening interconnections and internal lines in North-South and East-West directions to complete the internal market and integrate generation from renewable energy sources || Austria, Bulgaria, Czech Republic, Cyprus, Germany, Greece, Hungary, Italy, Poland, Romania, Slovakia, Slovenia 
 5. North-South gas interconnections in Central Eastern and South Eastern Europe ("NSI East Gas"): || Strengthening regional gas connections between the Baltic Sea region, the Adriatic and Aegean Seas and the Black Sea, notably to enhance diversification and security of gas supply || Austria, Bulgaria, Czech Republic, Cyprus, Germany, Greece, Hungary, Italy, Poland, Romania, Slovakia, Slovenia 
 6. Baltic Energy Market Interconnection Plan in electricity ("BEMIP Electricity"): || Developing interconnections between Member States in the Baltic region and reinforcing internal grid infrastructures accordingly, to end isolation of the Baltic States and to foster market integration in the region || Denmark, Estonia, Finland, Germany, Latvia, Lithuania, Poland, Sweden 
 7. Baltic Energy Market Interconnection Plan in gas ("BEMIP Gas"): || Ending the isolation of the three Baltic States and Finland by ending single supplier dependency and increasing diversification of supplies in the Baltic Sea region || Denmark, Estonia, Finland, Germany, Latvia, Lithuania, Poland, Sweden 
 8. Southern Gas Corridor ("SGC"): || Transmission of gas from the Caspian Basin, Central Asia, the Middle East and the East Mediterranean Basin to the Union to enhance diversification of gas supply || Austria, Bulgaria, Czech Republic, Cyprus, France, Germany, Greece, Hungary, Italy, Poland, Romania, Slovakia, Slovenia 
 b) Priority Areas 
   || Objective || Member States concerned 
 Smart grids deployment: || Accelerating the adoption of smart grid technologies across the Union to efficiently integrate the behaviour and actions of all users connected to the electricity network || all 
 Electricity highways || Developing the first electricity highways up to 2020, in view of building an electricity highways system across the Union || all 
 Cross-border carbon dioxide network || Preparing the construction of carbon dioxide transport infrastructure between Member States in view of the deployment of carbon dioxide capture and storage || all 
PART III: LIST OF
PRE-IDENTIFIED PRIORITITES AND AREAS OF INTERVENTION 
IN THE
FIELD OF TELECOMMUNICATIONS
a)
Horizontal priorities
 Innovative Management, Mapping & Services || Technical assistance and project replication measures, where necessary for deployment and governance, including project and investment planning and feasibility studies. Mapping of pan-European broadband infrastructure to develop an on-going detailed physical surveying and documentation of relevant sites, analysis of rights of way, assessments of potential for upgrading existing facilities, etc. Analysis of the environmental impact, taking into account climate change adaptation and mitigation needs, and disaster resilience   
 Support actions and other technical support measures || Actions needed to prepare implementation of projects of common interest or actions contributing to that purpose, including preparatory, feasibility, evaluation and validation studies, and any other technical support measure, including prior action to define and develop an action fully. 
b)
Broadband networks
Intervention in the field of broadband shall
contribute to smart and inclusive growth through building a balanced and
geographically diversified portfolio of broadband projects, including both
30Mbps and 100Mbps plus projects; with urbansuburban and rural projects, in order
to reach a satisfactory level of connectivity in all the Member States.
 Characteristics of the intervention || Description 
 The intervention in the field of broadband networks shall include: || Investments in broadband networks capable of achieving the Digital Agenda 2020 target of universal coverage at 30Mbps; or 
 Investments in broadband networks capable of achieving the Digital Agenda 2020 target and having at least 50% of households subscribing to speeds above 100Mbps; 
 The intervention in the field of broadband networks shall consist in particular of one or more of the following elements:   || The deployment of passive physical infrastructure or the deployment of combined passive and active physical infrastructure and ancillary infrastructure elements, complete with services necessary to operate such infrastructure; 
 Associated facilities and associated services, such as building wiring, antennae, towers and other supporting constructions, ducts, conduits, masts, manholes, and cabinets; 
 Exploitation of potential synergies between the roll-out of broadband networks and other utilities networks (energy, transport, water, sewage, etc), in particular those related to smart electricity distribution. 
c)
Digital service infrastructures
The following areas of intervention in the
field of Digital service infrastructures shall be supported.
 Digital Service || Description 
 Trans-European high-speed backbone connections for public administrations   || Public trans-European backbone service infrastructure that shall provide high speed connectivity between public institutions in areas such as public administration, culture, education and health. 
 Cross-border delivery of eGovernment services   || Standardised, cross-border, and user-friendly interaction platforms, which shall generate efficiency gains both throughout the economy and in the public sector, and shall contribute to the Single Market. Such platforms enable electronic procurement, online health services, standardised business reporting, electronic exchange of judicial information, trans-European online company registration, e-Government services for businesses, including trans-European online company registration. 
 Enabling access to public sector information and multilingual services   || Digitalization of large collections of European cultural resources and fostering their re-use by third parties. Achieving full access for re-use to all disclosable information held by the public sector in the EU by 2020. Enabling any business in the EU to offer online services in its own language that shall be seamlessly accessible and usable in any EU language 
 Safety and security   || Shared computing facilities, databases and software tools for the Safer Internet Centres (SICs) in the Member States, as well as back-office operations to handle the reporting on sex abuse content Critical service infrastructures, including communication channels and platforms developed and deployed in order to enhance the EU-wide capability for preparedness, information sharing, coordination and response.   
 Deployment of information and communication technology solutions for intelligent energy networks and for the provision of Smart Energy Services   || Modern information and communication technologies in the field of smart energy services to meet the needs of citizens (who can be producers as well as consumers of energy), energy providers and public authorities. 
LEGISLATIVE FINANCIAL STATEMENT

1.                      
FRAMEWORK OF THE PROPOSAL/INITIATIVE 
1.1.                
Title of the proposal/initiative 

Regulation of the European Parliament and of the Council establishing
the Connecting Europe Facility

1.2.                
Policy area(s) concerned in the ABM/ABB
structure[48] 

06      Mobility and Transport
32      Energy
09      Information Society and Media
13      Regional Policy

1.3.                
Nature of the proposal/initiative 

X The proposal/initiative relates to a new action 
¨ The
proposal/initiative relates to a new action following a pilot
project/preparatory action[49] 
¨ The
proposal/initiative relates to the extension of an existing action 
¨ The
proposal/initiative relates to an action redirected towards a new action 

1.4.                
Objectives
1.4.1.          
The Commission's multiannual strategic
objective(s) targeted by the proposal/initiative 

Heading 1      Smart and Inclusive Growth
The CEF will address the following general objectives in the sectors
of energy, transport and telecommunication: 
a)contribute to smart, sustainable and inclusive growth by
developing modern and high performing trans-European networks, thus bringing
forward benefits for the entire European Union in terms of competitiveness and
economic, social and territorial cohesion within the Single Market and creating
an environment more conducive to private and public investment through a
combination of financial instruments and Union direct support and by exploiting
synergies across the sectors. 
b) enable the European Union to achieve its targets of a 20%
reduction of greenhouse gas emissions, a 20% increase in energy efficiency and
raising the share of renewable energy to 20% up to 2020 while ensuring
solidarity among Member States.

1.4.2.          
Specific objective(s) and ABM/ABB activities
concerned 

The CEF pursues the following specific objectives in the
sectors of transport, energy and telecommunications:
1.       In the field of transport,:
a)       removing bottlenecks and bridging missing links;
b)       ensuring sustainable and efficient transport in
the long run;
c)       optimising the integration and interconnection
of transport modes and enhancing interoperability, safety and security of
transport services. 
2.       In the field of energy:
a)       promoting the further integration of the
internal energy market and the interoperability of the electricity and gas
networks across borders, including by ensuring that no Member States is
isolated from the European network; 
b)       enhancing Union security of supply; 
c)       contributing to sustainable development and
protection of the environment, notably by fostering the integration of energy
from renewable sources into the transmission network and developing carbon dioxide networks. 
3.       In the field of telecommunications networks:
a)       accelerating the deployment of fast and
ultra-fast broadband networks and their uptake, including by small and medium
sized enterprises (SMEs);
b)       promoting the interconnection and
interoperability of national public services on-line as well as access to such
networks.
ABM/ABB activity(ies) concerned
06 03
32 03
09 03
13 14

1.4.3.          
Expected result(s) and impact

Specify the effects
which the proposal/initiative should have on the beneficiaries/groups targeted.
Overall socio-economic and environmental impacts:
A successful implementation of CEF will accelerate the development
of high performing infrastructure in the EU in the areas of transport, energy
and information and communication technologies, and thus contribute to reaching
the EU 2020 Strategy associated energy and climate change targets and to
achieving sustainable competitiveness of the EU. Operating rules under CEF will
promote implementation of actions and encourage maximal leverage of EU budget
contributions in attracting public and private investments for projects.
Furthermore, with the assistance of the financial instruments set up with the
EU’s contribution, the infrastructures of European relevance will become an
attractive investment asset for institutional investors from and outside
Europe.
Sector specific impacts:
Transport:
The accelerated implementation of the trans-European transport Core
Network corridors will favour more adequate transport infrastructure coverage
of the Union, modal-shift and co-modality. Innovative information and
management systems, that will form part of the network, will provide support
for logistic functions, inter-modal integration and sustainable operation in
order to establish competitive transport chains, according to the needs of the
users. The efficiency of the transport system will be improved, with an
important reduction of congestion and travel times.
Energy:
Development and construction of energy infrastructure priority
corridors and areas fostering i.a.:
-        large-scale deployment of renewable energies, 
-        optimisation of transmission at EU level
-        security of supply
Telecommunications:
-        more citizens having access to broadband internet
-        availability of interoperable digital service
infrastructures, in particular availability of smart electricity distribution
services
-        mobilisation of private and further public investment in
digital infrastructures
For ICT an OECD study suggests that a ten per cent higher broadband
penetration rate in any year is correlated with a 1.5 per cent increase in
labour productivity over the following five years[50].
A meta-study for the European Commission estimates that connecting
all of Europe to modern high-speed broadband would create about 3.99 million
jobs in EU27 Member States. This analysis also shows that the average level of
GDP growth arising from broadband investment is 7.03 per cent. This would
equate to an increase in EU27 GDP of EUR 862.47 billion. In addition, an OECD
study[51] suggest that governments
can achieve a ten year return on fully funding a national, point to point, open
access FTTH network.

1.4.4.          
          Overview
on milestones and targets:

Transport:
 General objective 1   || Contribute to smart, sustainable and inclusive growth 
 Indicator   || Current situation   || Milestone 2017 || Long term target 2020 
 Volume of public and private investment in projects of common interest   ||   || EUR 280 billion of investments realised on the entire TEN-T network, of which EUR 140 billion on the core network || EUR 500 billion of investments realised on the entire TEN-T network, of which EUR 250 billion on the core network 
 Volume of public and private investment in projects of common interest realised through the Financial Instruments under this Regulation ||   || EUR 15 billion of private investments realised on the entire TEN-T network || EUR 40 billion of private investments realised on the entire TEN-T network. 
 General objective 2   || Enable EU to reach 20-20-20 targets 
 Indicator   || Current situation   || Milestone 2017 || Long term target 
 Reduction of green house gas emissions   || (*) || (*) || (*) 
 Increase in energy efficiency   || (*) || (*) || (*) 
 Share of renewable energy   || (*) || (*) || (*) 
(*) Data not yet available as methodology still has to be developed.
 Specific objective 1 -transport   || Removing bottlenecks and bridging missing links 
 Indicator   || Latest known result || Milestone 2017 || Target 
 Number of new and improved cross-border connections || Railways: 36 (to be improved)   || 6 || 14 
 Removed bottlenecks on transport routes   || Railways: 30 (to be removed) IWW: 14 || 4   1 || 10   3 
 Specific objective 2 -transport   || Ensuring sustainable and efficient transport in the long run 
 Indicator   || Latest known result || Milestone 2017 || Target 2020 
 Length of the conventional railway TEN-T network in EU-27 (in km) || 81230 (2005) || 74071 || 71490 
 length of high-speed railway TEN-T network in the EU-27 (in km) || 10733 (2010) || 20022 || 23198 
 Reduction of green house gas emmissions || (*) || (*) || (*) 
 Increase in energy efficiency || (*) || (*) || (*) 
(*) Data not yet available as methodology still has to be developed.
 Specific objective 3 -transport   || Optimising integration and interconnection of transport modes and enhancing interoperability of transport services 
 Indicator   || Latest known result (already existing connections) || Milestone 2017 || Target 
 Number of ports connected to the railway network (out of a total of 82 ports) || 27 || 41 || 54 
 Number of airports connected to the railway network (out of a total of 37 airports) || 12 || 18 || 24 
Energy:
 General objective 1   || Contribute to smart, sustainable and inclusive growth 
 Indicator   || Current situation   || Milestone 2017 || Long term target 
 Volume of public and private investment in projects of common interest   || 0 || 200 bn || 200 bn 
 Volume of public and private investment in projects of common interest funded by CEF || 0 || 30-60 bn || 30-60 bn 
 General objective 2   || Enable EU to reach 20-20-20 targets 
 Indicator   || Current situation   || Milestone 2017 || Long term target 
 Reduction of green house gas emissions   || (*) || (*) || (*) 
 Increase in energy efficiency   || Saving of energy of around 6% compared to BAU || Saving of energy by 14% compared to BAU || Saving of energy by 20% 
 Share of renewable energy   || Share of RES in final energy consumption at 10% || Share of RES in final energy consumption at 15% || Share of RES in final energy consumption at 20% 
(*) Data will be available following
implementation of methodology set out in the guidelines on energy
infrastructure.
 Specific objective 1 - energy   || promoting the further integration of the internal energy market and the interoperability of the electricity and gas networks across borders 
 Indicator   || Latest known result || Milestone || Target 
  number of projects effectively interconnecting Member states' networks and removing internal bottlenecks || (*) || (*) || (*) 
(*) Data will be available following
implementation of methodology set out in the guidelines on energy
infrastructure.
 Specific objective 2 -energy   || enhancing Union security of supply 
 Indicator || Latest known result || Milestone 2017 || Target 
 evolution of system resilience   || Gas: N-1 (9 MS do not meet N-1) || Gas: N-1 is met by all EU-27 || Gas: N-1 is met by all EU-27 at 100% 
 security of system operations   || (*) || (*) || (*) 
 number of projects allowing diversification of supply sources, supplying counterparts and route || 3 major supply sources of gas for the EU in addition to liquefied natural gas (LNG) ||   || Min 5 important sources of gas for the EU in addition to liquefied natural gas (LNG) 
(*) Data will be available following
implementation of the methodology set out in the guidelines on energy
infrastructure.
 Specific objective 3 –energy   || contributing to sustainable development and protection of the environment 
 Indicator   || Latest known result || Milestone 2017 || Target 
 transmission of renewable energy from generation to major consumption centres and storage sites || (*)   || (*)   || (*)   
 the sum of CO2 emissions prevented by the construction of the projects which benefited from CEF. || (*)   || (*) || (*) 
(*) Data will be available following
implementation of methodology set out in the guidelines on energy
infrastructure.
Telecommunications:
 General objective 1   || Contribute to smart, sustainable and inclusive growth 
 Indicator   || Current situation   || Milestone 2017 || Long term target 
 Volume of private investment in fast and ultra-fast broadband internet[52]   ||   ||   || Projection of private investment between 2011 and 2020: up to EUR 50bn (Investment need until 2020: EUR 270bn)   
 Volume of public and private investment in projects of common interest for fast and ultra-fast broadband internet funded by CEF[53] || 0 || EUR 16.4bn || 2020: EUR 45.5bn[54] 
 Specific objective 1 -ICT   || Accelerating the deployment of fast and ultra-fast broadband networks and their uptake   
 Indicator   || Latest known result || Milestone 2017 || Target 
 Level of fast broadband coverage (≥30 Mbs) || December 2010: 28.7% of households || 2017: 60% || 2020: 100% 
 Level of subscription to broadband connections above 100 Mbs || December 2010: <1% || 2017: 20% || 2020: 50% 
 Specific objective 2 - ICT   || Interconnection and interoperability of national public services online as well as access to such networks   
 Indicator   || Latest known result || Milestone 2017 || Target 
 Citizens and businesses using public services on-line[55]   || 2010: 41.2% of citizens and 75.7% of businesses || 2017: 50% of citizens and 85% of businesses || 2020: 60% of citizens and 100% of businesses 
 Availability of cross-border public services[56]   || n/a || 80% || 2020: 100% 

1.4.5.          
Indicators of results and impact 

Specify the
indicators for monitoring implementation of the proposal/initiative.
The performance of the CEF shall be assessed against the following general
performance indicators:
(a)      The achievement of the general objective (a) will be
measured by the volume of public and private investment in projects of common
interest, and in particular the volume of public and private investments in
projects of common interest realised thanks to the financial instruments under
the CEF Regulation.
(b)     The achievement of the general objective (b) will be
measured by the reduction of greenhouse gas emissions, the increase in energy
efficiency and the share of renewable energy by 2020. The performance of the
CEF shall also be assessed against the following sector specific performance
indicators:
1.       In the field of transport:
a)       The achievement of specific objective (a) will be measured
by the number of new and improved cross-border connections and removed
bottlenecks on TEN-T railways and inland waterways which have benefited from
CEF.
b)       The achievement of specific objective (b) will be measured
by the length of the railway network in the EU-27 and the length of high-speed
railway network in the EU-27;
c)       The achievement of specific objective (c) will be measured
by the number of ports and airports connected to the railway.
2.       In the field of energy:
a)       The achievement of specific objective (a) will be measured
by the number of projects
effectively interconnecting Member states' networks and removing internal
bottlenecks.
b)       The achievement of specific objective (b) will be measured
by the evolution of system resilience and security of system operations as well
as diversification of supply sources, supplying counterparts and routes;
c)       The achievement of specific objective (c) will be measured
by the transmission of renewable energy from generation to major consumption
centres and storage sites, and the sum of CO2 emissions prevented by the
construction of the projects which benefited from CEF.
3.       In the field of telecommunications:
a)       The achievement of specific objective (a) will be measured
by the level of broadband and ultra-fast broadband coverage and the number of
households having subscribed for broadband connections for above 100 Mbs; 
(ii)      The achievement of specific objective (b) will be measured
by the percentage of citizens and businesses using public services on-line and
the availability of such services across borders.

1.5.                
Grounds for the proposal/initiative 
1.5.1.          
Requirement(s) to be met in the short or long
term 

see Explanatory Memorandum on needs
Target population: whole of EU

1.5.2.          
Added value of EU involvement (see also point
2.3 of Explanatory Memorandum)

On 29th June 2011, the Commission adopted a Communication on 'A
Budget for Europe 2020' ('the MFF Communication') which is its principal
position to the Union's finances for the years 2014-2020. It focuses on
priority funding at the EU level that provides true added value for EU
citizens. Programmes and instruments included in the MFF have been redesigned
to ensure that their outputs and impacts push forward key policy priorities of
the EU. In particular, the MFF has been modernised by reallocating resources to
priority areas, one of them being pan-European infrastructure.
The MFF Communication has highlighted that a fully functioning
Single Market needs a modern, high performing infrastructure connecting Europe,
particularly in the areas of transport, energy and ICT. This requires
considerable investments, from both the public and the private sectors. It is
estimated that about EUR 200 billion is needed to complete the trans-European
energy networks at transmission level only, EUR 500 billion needs to be
invested in the trans-European transport network, and over EUR 250 billion in
ICT for the period 2014-2020.
While recognising that the market can and should deliver the bulk of
the necessary investments, the MFF Communication stressed the added value of
the Union of securing funding for the pan-European cross-border projects that
connect the centre and the periphery to the benefit of all. Experience has
shown that national focus of planning does not give sufficiently high priority
to multi-country, cross-border investments to equip the Single Market with the
infrastructure it needs. In addition in the aftermath of the economic and
financial crisis, the constraints on private and public sources of funding have
cast an important degree of uncertainty on the extent to which required
investments would be met. Most affected are likely to be, in particular, the
projects with trans-European relevance, which require particularly high and
long term investments, due to their inherent higher technical complexity as
well as cross-border coordination needs. To fill the gap, complementary
solutions have to be found to unlock private capital and restore stable funding
streams through the capital and banking market. EU funds should accompany
market dynamics, providing incentives rather than replacing market
participation in infrastructure funding. In particular, as the Budget Review
Communication has also highlighted, the EU budget would be best placed to plug
in gaps left by Member States.
To this end, the Connecting Europe Facility will provide EU funds
for projects with a true EU added value, namely cross-border projects, projects
addressing bottlenecks or projects that bring EU wide benefits.
In view of the size of the investments needed, EU funding instruments,
in particular innovative financial instruments, will contribute to mustering
the necessary involvement of the private sector to accelerate the development
of pan-European infrastructure.

1.5.3.          
Lessons learned from similar experiences in the
past

Under the 2007-2013 multi-annual financial framework a number of
programmes provided for financing infrastructure in the field of transport,
energy and telecommunications, inter alia the TEN-T programme, the TEN-E
programme, CIP ICT PSP, Cohesion Fund, ERDF, European Energy Programme for
Recovery, and Marco Polo. 
Ex post evaluations of these programmes have shown that, in all
three sectors, EU financial support provided has played an important support
role by stimulating the development of infrastructure. However, they also
highlighted that past policies for TEN financing have not been sufficient in
correcting the market/regulatory failures that determine the present situation
and in triggering a greater value for money.
Infrastructure development has suffered from a fragmentation of
programmes and funding instruments as well as a considerable heterogeneity of
the current funding conditions, both across and within each of the three
infrastructure sectors, which leads to overlaps, gaps in funding and
insufficient exploitation of synergies. Different eligibility and management
rules, and overlapping objectives but loosely, if at all coordinated priorities
complicate implementation and reduce efficiency of the financial assistance.
The availability of different sources of funding within the same sectors also
leads to "fund shopping", where the same project proposal is sought
to be resubmitted if not accepted within one of the programmes. 
Moreover, support for EU wide infrastructure in the sectors
concerned could be improved by:
- concentrating on projects with a real EU added value, namely
cross-border projects, projects addressing bottlenecks or projects that bring
EU wide benefits using synergies of two or three sectors.
- enhancing the leverage of EU funding: Effective co-funding rates
are often too low to trigger project development.
- encouraging further involvement of the private sector through the
use of financial instruments in addition to grants which for example has proven
highly efficient and effective for RSFF. 
- simplifying funding rules and procedures.
The CEF bundles financing instruments for the three sectors which
allows to better address the above mentioned shortcomings of fragmentation,
clearly defines funding priorities, proposes better targeted funding rates and
broadens the set of funding instruments by introducing new financial
instruments to encourage an increase funding from the private sector.

1.5.4.          
Coherence and possible synergy with other
relevant instruments

Internal coherence of the CEF:
The CEF Regulation has to strike a balance between the need to
simplify and align funding rules and conditions on the one hand, and respecting
sector specific policy objectives. 
The CEF Regulation defines the conditions, methods and procedures
for providing Union financial aid to trans-European networks for which three
individual sectoral guidelines will be adopted in a form of Regulation of the
European Parliament and of the Council. 
Full coherence with the current and future FR has been respected.
Any exceptions are duly allowed for in legal texts.
Synergy with other relevant instruments:
The proposed initiative is fully consistent with the 2011 MFF
Communication and its accompanying document. The EU 2020 strategy, the EU
Budget Review, the Single Market Act and the MFF Communication provide the
context for the proposed initiative the objectives of which reflect the
objectives of the above-mentioned horizontal policies. The Cohesion Fund and
the ERDF will continue to be available for funding core and comprehensive transport
infrastructure, ICT and energy distribution networks under decentralised
management.

1.6.                
Duration and financial impact 

X Proposal/initiative of limited
duration 
·      X    Proposal/initiative in effect from 01/01/2014 to 31/12/2020 
·      X    Financial impact from 2014 to 2030 
¨ Proposal/initiative of unlimited
duration
·      Implementation with a start-up period from YYYY to YYYY,
·      followed by full-scale operation.

1.7.                
Management mode(s) envisaged[57] 

X Centralised direct management
by the Commission 
X Centralised indirect management
with the delegation of implementation tasks to:
·      X    executive agencies 
·      X    bodies set up by the Communities[58]

·      X    national public-sector bodies/bodies with public-service
mission 
·      ¨    persons
entrusted with the implementation of specific actions pursuant to Title V of
the Treaty on European Union and identified in the relevant basic act within
the meaning of Article 49 of the Financial Regulation 
¨ Shared management with the Member States 
¨ Decentralised management with third countries 
X Joint management with
international organisations (as specified below)
If more than one
management mode is indicated, please provide details in the
"Comments" section.
Comments 
Grants (for
all or some sectors, subject to further decisions) will be implemented by existing
or future executive agency(ies).
Further
tasks may be entrusted to the EIB, the EIF, or other financial institutions,
international organisations (e.g. Eurocontrol), bodies with public-service
mission, or bodies referred to in Article 185 FR (e.g. ACER) (Articles 200 and
201 revised FR). 

2.                      
MANAGEMENT MEASURES 
2.1.                
Monitoring and reporting rules 

Specify frequency
and conditions.
The on-going programme will be monitored via an interim evaluation
of CEF Regulation including a performance review. In addition, mid-term reviews
of multi-annual work programmes will be carried out.
An ex post evaluation carried out in
close cooperation with the Member States and beneficiaries will examine the
effectiveness and efficiency of the CEF and the impact on economic, social and
territorial cohesion and its contribution to the Union priorities of smart,
sustainable and inclusive growth. 
The CEF proposal also provides for the possibility to undertake an
evaluation of the methods of carrying out projects as well as the impact of
their implementation, in order to assess whether the objectives, including
those relating to environmental protection, have been attained.
On the level of the actions, beneficiaries will provide on a regular
basis and on the terms of the agreements/decisions reports on the actions to be
implemented. The CEF regulation provides furthermore for the possibility to
request Member States specific evaluations of actions and linked projects

2.2.                
Management and control system 
2.2.1.          
Risk(s) identified 

- project implementation delays 
- possible mismanagement of EU financial assistance by beneficiaries
- insufficient market-uptake of financial instruments …
- changing market conditions over time

2.2.2.          
Control method(s) envisaged 

The CEF will mainly be implemented through centralized direct and
indirect management by the Commission. Cases of joint management might be
envisaged. As regards grants the main elements of the internal control system
are the procedures for selection and evaluation of grant proposals (ex-ante
controls), technical and financial transaction controls during the management
of the projects based on reporting and ex-pot audits of beneficiaries
As regards the control methods for grants no major changes are
envisaged. Our estimation is that the CEF will share similar risk
characteristics and a similar control strategy will be applied. We therefore
estimate the expected level of non-compliance to be similar to the
experience of TEN-TEA on the management of TEN-T projects as follows:
The sampling methodology for audits is based on a partly random,
partly risk based approach. The detected error rates (financial adjustments
recommended as % of the payments made) were below 1% in 2009 and 2010 This can
to some extent be attributed to the sharing of expertise with the ex-ante
financial circuit (via the session on lessons learned from 2008 and 2009 audits
and fraud prevention techniques). Due to the limited size and the combined
random/risk-based audit sample, the error rates can however not be extrapolated
to all projects managed by TEN-TEA.
The agreements and decisions for implementing the actions under CEF
will provide for supervision and financial control by the Commission, or any
representative authorised by the Commission, as well as audits by the Court of
Auditors and on-the-spot checks carried out by the European Anti-Fraud Office
(OLAF), in accordance with the procedures laid down in Council Regulation
(Euratom, EC) No 2185/96 of 11 November 1996 concerning on-the-spot checks and
inspections carried out by the Commission in order to protect the European
Communities' financial interests against fraud and other irregularities and
Regulation (EC) No 1073/1999 of the European Parliament and of the Council of
25 May 1999 concerning investigations conducted by OLAF. 
As far as the implementation of financial instruments is concerned
any agreement with an entity to which tasks have been entrusted or with other
financial institutions involved will provide expressly for the Commission and
the Court of Auditors to exercise their powers of control, on documents and on
the premises and on information, even stored on electronic media, over all
third parties who have received Union funds.

2.2.3.          
2.2.3  Nature and intensity of controls
 
 Summary of controls || Amount in MEUR || Number of beneficiaries: transactions (% of total) || Depth of control * (assessment 1-4) || Coverage (% of value) 
 Management of actions from evaluation to ex-post audits || 371** || 1) global monitoring of all projects: 100% || 1 || 100% 
 2) audit of selected projects: 5% || 4 || 10% 
(**) approximation based on the following
9,9 MEUR x 7 x 6 where:
·                        
9, 9 MEUR corresponds to annual administrative
costs of TEN-TEA for 8 000 MEUR of operational appropriations
·                        
7 corresponds to number of years of MFF
·                        
6 corresponds to the multiplier to reach CEF
envelope of 50 000 MEUR

2.3.                
Measures to prevent fraud and irregularities 

Specify existing or
envisaged prevention and protection measures.
The Commission will ensure that, when actions financed under this
Regulation are implemented, the financial interests of the Union are protected
by the application of preventive measures against fraud, corruption and any
other illegal activities, by effective checks and by the recovery of amounts
unduly paid and, if irregularities are detected, by effective, proportional and
dissuasive penalties, in accordance with Council Regulation (EC, Euratom) No
2988/95 , Council Regulation (Euratom, EC) No 2185/96 and with Regulation (EC)
No 1073/1999 of the European Parliament and of the Council.
The Commission or its representatives and the Court of Auditors will
have the power of audit, on the basis of documents and on-the-spot, over all
grant beneficiaries, contractors and subcontractors who have received Union
funds
The European Anti-fraud Office (OLAF) shall be authorised to carry
out on-the-spot checks and inspections on economic operators concerned directly
or indirectly by such funding in accordance with the procedures laid down in
Regulation (Euratom, EC) No 2185/96 with a view to establishing that there has
been fraud, corruption or any other illegal activity affecting the financial
interests of the European Union in connection with a grant agreement or
decision or a contract concerning Union funding.
DG INFSO, MOVE and ENER have adopted or will adopt by 2013 anti-fraud
strategies and related action plans at DG level that cover the entire
expenditure cycle, taking into account the proportionality and the cost-benefit
of the measures to be implemented, allowing for a risk assessment of the
programme.
The three DGs will ensure that their fraud risk management
approach is geared to identifying fraud risk areas, taking into account a
sector specific cost-benefit analysis by DG and with the help of the fraud
prevention and risk analysis work of OLAF.
Contracts for grants and procurement will be based on standard
models, which will set out the generally applicable anti-fraud measures.
Trainings on the management of grants will be organised for staff
handling projects. 
As regards financial instruments financial institutions involved in
the execution of financial operations under a financial instrument will have to
comply with relevant standards on the prevention of money laundering and fight
against terrorism. They shall not be established in territories whose
jurisdictions do not co-operate with the Union in relation to the application
of internationally agreed tax standards.

3.                      
ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE

(in current prices)

3.1.                
Heading(s) of the multiannual financial
framework and expenditure budget line(s) affected 

·      Existing expenditure budget lines 
In order of
multiannual financial framework headings and budget lines.
 Heading of multiannual financial framework || Budget line || Type of expenditure || Contribution 
 Number Description: Trans-European Transport Networks || Diff./non-diff ([59]) || from EFTA[60] countries || from candidate countries[61] || from third countries || within the meaning of Article 18(1)(aa) of the Financial Regulation 
 1 || 06 03 03   || Diff./. || NO || NO || NO || NO 
 1 || 06 01 04 31 || non-diff. || NO || NO || NO || NO 
 Heading of multiannual financial framework || Budget line || Type of expenditure || Contribution 
 Number Description Trans-European Energy Networks || Diff./non-diff ([62]) || from EFTA[63] countries || from candidate countries[64] || from third countries || within the meaning of Article 18(1)(aa) of the Financial Regulation 
 1 || 32 03 02 (TEN-E)   || Diff./. || NO || NO || NO || NO 
 1 || 32 01 04 XX || non-diff. || NO || NO || NO || NO 
 Heading of multiannual financial framework || Budget line || Type of expenditure || Contribution 
 Number Description Competitiveness and Innovation Framework Programme – ICT-PSP || Diff./non-diff ([65]) || from EFTA[66] countries || from candidate countries[67] || from third countries || within the meaning of Article 18(1)(aa) of the Financial Regulation 
 1 || 09 03 XX || Diff./. || NO || NO || NO || NO 
 1 || 09 01 04 XX || Non-diff. || NO || NO || NO || NO 
 Heading of multiannual financial framework || Budget line || Type of expenditure || Contribution 
 Number Description: Cohesion Fund || Diff./non-diff ([68]) || from EFTA[69] countries || from candidate countries[70] || from third countries || within the meaning of Article 18(1)(aa) of the Financial Regulation 
 1 || 13 04 02   || Diff./. || NO || NO || NO || NO 
 1 || 13 01 04 XX || Non-diff. || NO || NO || NO || NO 
·      New budget lines requested 
In order of multiannual financial framework
headings and budget lines.
 Heading of multiannual financial framework || Budget line || Type of expenditure || Contribution 
 Number [Heading……………………………………..] || Diff./non-diff. || from EFTA countries || from candidate countries || from third countries || within the meaning of Article 18(1)(aa) of the Financial Regulation 
   || [XX.YY.YY.YY]   ||   || YES/NO || YES/NO || YES/NO || YES/NO 
A single budget line for the
Connecting Europe Facility is aimed at, however to be decided at a later stage.

3.2.                
Estimated impact on expenditure 
3.2.1.          
Summary of estimated impact on expenditure 

EUR million (to 3 decimal places)
 Heading of multiannual financial framework: || Number 1 || Heading: Smart and Inclusive Growth   
 DG: MOVE ||   ||   || Year N[71] 2014 || Year N+1 2015 || Year N+2 2016 || Year N+3 2017 || Year N+4 2018 || Year N+5 2019 || Year N+6 2020 || > 2020 || TOTAL 
  Operational appropriations ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Number of budget line 06 03 03 || Commitments || (1) || 2427,3 || 2687,5 || 3183,2 || 3471,8 || 4000,5 || 4315,2 || 4401,9 ||   || 24487,4 
 Payments || (2) || 0 || 2099,7 || 2299,7 || 2449,7 || 2599,7 || 2799,7 || 2999,7 || 9239,2 || 24487,4 
 Appropriations of an administrative nature financed from the envelope for specific programmes[72] ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Number of budget line 06.01.04.31(*) ||   || (3) || 12,7 || 17,5 || 17,8 || 18,2 || 18,5 || 18,8 || 19,1 ||   || 122,6 
 TOTAL appropriations for DG MOVE || Commitments || =1+1a +3 || 2440,0 || 2705,0 || 3201,0 || 3490,0 || 4019,0 || 4334,0 || 4421,0 || 0,0 || 24610,0 
 Payments || =2+2a +3 || 12,7 || 2117,2 || 2317,5 || 2467,9 || 2618,2 || 2818,5 || 3018,8 || 9239,2 || 24610,0 
(*) These figures refer to the subvention
to the TEN-T executive agency and cover the management of the transport part of
the CEF and the completion of financial support for projects of common interest
in the trans-European transport network from previous programmes. They ensue
from the assumption of a portfolio of 500 projects.
 DG: REGIO ||   ||   || Year N[73] 2014 || Year N+1 2015 || Year N+2 2016 || Year N+3 2017 || Year N+4 2018 || Year N+5 2019 || Year N+6 2020 || > 2020 || TOTAL 
  Operational appropriations ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Number of budget line 13 04 02 || Commitments || (1) || 1477,9 || 1511,9 || 1544,3 || 1587,4 || 1648,9 || 1693,9 || 1774 ||   || 11238,3 
 Payments || (2) || 0,0 || 972,9 || 1102,6 || 1236,5 || 1291,7 || 1373,2 || 1551,3 || 3710,1 || 11238,3 
 Appropriations of an administrative nature financed from the envelope for specific programmes[74] ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Number of budget line 13 01 04 XX (**) ||   || (3) || 5,1 || 5,4 || 5,6 || 5,9 || 6,2 || 6,6 || 6,6 ||   || 41,4 
 TOTAL appropriations for DG REGIO || Commitments || =1+1a +3 || 1483,0 || 1517,4 || 1549,9 || 1593,3 || 1655,1 || 1700,4 || 1780,6 ||   || 11279,7 
 Payments || =2+2a +3 || 5,1 || 978,3 || 1108,3 || 1242,4 || 1297,9 || 1379,7 || 1557,9 || 3710,1 || 11279,7 
 (**)       Additional amount to
support the subvention to the TEN-T executive agency (new budget line to be
created) with the assumption that these amounts will be delegated to the TEN-T
executive agency. Applicable rules under this Regulation for tran-European
transport networks should apply. Specific calls shall be launched for projects
implementing the core network exclusively in Member States eligible for funding
from the Cohesion Fund. They ensue from the assumption of a portfolio of around
160 projects.
 DG: ENER ||   ||   || Year N[75] 2014 || Year N+1 2015 || Year N+2 2016 || Year N+3 2017 || Year N+4 2018 || Year N+5 2019 || Year N+6 2020 || > 2020 || TOTAL 
  Operational appropriations ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Number of budget line 32 03 02 || Commitments || (1) || 1029,522 || 1333,022 || 1139,022 || 1319,022 || 1495,022 || 1759,022 || 2271,022 || 0 || 10345,654 
 Payments || (2) || 452,542 || 915,785 || 1174,822 || 1264,782 || 1353,262 || 1568,942 || 1921,382 || 1694,137 || 10345,654 
 Appropriations of an administrative nature financed from the envelope for specific programmes[76] ||   
 Number of budget line 3201XX (***) ||   || (3) || 3,478 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 0 || 15,346 
   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 TOTAL appropriations for DG ENER || Commitments || =1+1a +3 || 1033 || 1335 || 1141 || 1321 || 1497 || 1761 || 2273 || 0 || 10361 
 Payments || =2+2a +3 || 456,02 || 917,763 || 1176,8 || 1266,76 || 1355,24 || 1570,92 || 1923,36 || 1694,137 || 10361 
(***)    These
appropriations include expenditures for EU coordinators. Furthermore, ACER
might be referred to in order to execute tasks defined in the provisions of the
Regulation on guidelines for trans-European energy infrastructure subject to
further decision.
 DG: INFSO ||   ||   || Year N[77] 2014 || Year N+1 2015 || Year N+2 2016 || Year N+3 2017 || Year N+4 2018 || Year N+5 2019 || Year N+6 2020 || > 2020 || TOTAL 
  Operational appropriations ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Number of budget line 0903XX || Commitments || (1) || 679,000 || 843,800 || 1302,600 || 1621,400 || 1734,200 || 2003,000 || 2284,000 || 0 || 10468,000 
 Payments || (2) || 454,000 || 683,800 || 1262,600 || 1581,400 || 1719,200 || 2003,000 || 2258,000 || 506,000 || 10468,000 
 Appropriations of an administrative nature financed from the envelope for specific programmes[78] ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Number of budget line 090104XX ||   || (3) || 2,000 || 2,200 || 2,400 || 2,600 || 2,800 || 3,000 || 3,000 || 0 || 18,000 
 TOTAL appropriations for DG INFSO || Commitments || =1+1a +3 || 681,000 || 846,000 || 1305,000 || 1624,000 || 1737,000 || 2006,000 || 2287,000 || 0 || 10486,000 
 Payments || =2+2a +3 || 456,000 || 686,000 || 1265,000 || 1584,000 || 1722,000 || 2006,000 || 2261,000 || 506,000 || 10486,000 
  TOTAL operational appropriations(*) || Commitments || (4) || 4135,822 || 4864,322 || 5624,822 || 6412,222 || 7229,722 || 8077,222 || 8956,922 || 0,000 || 45301,054 
 Payments || (5) || 906,542 || 3699,285 || 4737,122 || 5295,882 || 5672,162 || 6371,642 || 7179,082 || 11439,34 || 45301,054 
  TOTAL appropriations of an administrative nature financed from the envelope for specific programmes(*) || (6) || 18,178 || 21,678 || 22,178 || 22,778 || 23,278 || 23,778 || 24,078 || 0 || 155,946 
 TOTAL appropriations under HEADING 1(*) of the multiannual financial framework || Commitments || =4+ 6 || 4154,000 || 4886,000 || 5647,000 || 6435,000 || 7253,000 || 8101,000 || 8981,000 || 0,000 || 45457,000 
 Payments || =5+ 6 || 924,720 || 3720,963 || 4759,300 || 5318,660 || 5695,440 || 6395,420 || 7203,160 || 11439,337 || 45457,000 
(*)        excluding amounts from DG REGIO (cohesion
fund)
  TOTAL operational appropriations(**) || Commitments || (4) || 5613,722 || 6376,222 || 7169,122 || 7999,622 || 8878,622 || 9771,122 || 10730,922 || 0,000 || 56539,354 
 Payments || (5) || 906,542 || 4672,185 || 5839,722 || 6532,382 || 6963,862 || 7744,842 || 8730,382 || 15149,44 || 56539,354 
  TOTAL appropriations of an administrative nature financed from the envelope for specific programmes (**) || (6) || 23,278 || 27,078 || 27,778 || 28,678 || 29,478 || 30,378 || 30,678 || 0 || 197,346 
 TOTAL appropriations under HEADING 1 (**) of the multiannual financial framework   || Commitments || =4+ 6 || 5637,000 || 6403,300 || 7196,900 || 8028,300 || 8908,100 || 9801,500 || 10761,600 || 0,000 || 56736,700 
 Payments || =5+ 6 || 929,820 || 4699,263 || 5867,500 || 6561,060 || 6993,340 || 7775,220 || 8761,060 || 15149,437 || 56736,700 
(**)      including amounts from DG REGIO (cohesion
fund)
If more than one heading is affected by the proposal /
initiative: (not applicable)
  TOTAL operational appropriations || Commitments || (4) ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Payments || (5) ||   ||   ||   ||   ||   ||   ||   ||   ||   
  TOTAL appropriations of an administrative nature financed from the envelope for specific programmes || (6) ||   ||   ||   ||   ||   ||   ||   ||   ||   
 TOTAL appropriations under HEADINGS 1 to 4 of the multiannual financial framework (Reference amount) || Commitments || =4+ 6 ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Payments || =5+ 6 ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Heading of multiannual financial framework: || 5 || " Administrative expenditure " 
EUR million (to 3 decimal places)
   ||   ||   || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || TOTAL 
 DG: MOVE || 
  Human resources || 4,198 || 4,516 || 4,771 || 5,089 || 5,280 || 5,280 || 5,280 || 34,414 
  Other administrative expenditure || 1,100 || 1,110 || 1,120 || 1,230 || 1,240 || 1,250 || 1,260 || 8,310 
 TOTAL DG MOVE || Appropriations || 5,298 || 5,626 || 5,891 || 6,319 || 6,520 || 6,530 || 42,724 || 42,724   
 DG: ENER (*) || 
  Human resources || 5,406 || 6,233 || 7,123 || 7,315 || 7,315 || 7,506 || 7,506 || 48,404 
  Other administrative expenditure || 0,171 || 0,171 || 0,171 || 0,471 || 0,171 || 0,171 || 0,471 || 1,797   
 TOTAL DG ENER ||   || 5,577 || 6,404 || 7,294 || 7,786 || 7,486 || 7,677 || 7,977 || 50,201   
 DG: INFSO (*) || 
  Human resources || 11,117 || 12,451 || 14,484 || 15,310 ||  16,263 ||  17,025 ||  17,279 ||  103,929 
  Other administrative expenditure || 0,200 || 0,210 || 0,220 || 0,230 || 0,240 || 0,250 || 0,260 || 1,610 
 TOTAL DG INFSO || Appropriations || 11,317 || 12,661 || 14,704 || 15,540 ||  16,503 ||  17,275 ||  17,539 ||  105,539 
(*) DG ENER and DG INFSO also envisage
(partially) externalising the implementation of CEF to agencies. Amounts and
imputations will be adjusted if necessary according to the results of the
externalisation process.
 TOTAL appropriations under HEADING 5 of the multiannual financial framework || (Total commitments = Total payments) || 22,192 || 24,691 || 27,889 || 29,645 || 30,509 || 31,482 || 32,056 || 198,464   
EUR million (to 3 decimal places)
   ||   ||   || Year 2014[79] || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || > 2020 || TOTAL 
 TOTAL appropriations under HEADINGS 1 to 5(*) of the multiannual financial framework || Commitments || 4176,192 || 4910,691 || 5674,889 || 6464,645 || 7283,509 || 8132,482 || 9013,056 || 0,000 || 45655,464 
 Payments || 946,912 || 3745,654 || 4787,189 || 5348,305 || 5725,949 || 6426,902 || 7235,216 || 11439,337 || 45655,464 
(*) excluding amounts from DG REGIO
(Cohesion Fund) 
   ||   ||   || Year 2014[80] || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || > 2020 || TOTAL 
 TOTAL appropriations under HEADINGS 1 to 5(**) of the multiannual financial framework || Commitments || 5659,192 || 6427,991 || 2327,889 || 8057,945 || 8057,945 || 9832,982 || 10793,656 || 0,000 || 56935,164 
 Payments || 952,012 || 4723,954 || 5895,389 || 6590,705 || 7023,849 || 7806,702 || 8793,116 || 15149,437 || 56935,164 
(**) including amounts from DG REGIO
(Cohesion Fund)

3.2.2.          
Estimated impact on operational appropriations 

·      ¨    The
proposal/initiative does not require the use of operational appropriations 
·      X    The proposal/initiative requires the use of operational
appropriations, as explained below:
Commitment appropriations in EUR million (to 3 decimal
places)
 Indicate objectives and outputs   ò ||   ||   || Year 2014 || Year 2015 || Year 2016 || Year 2017 || … enter as many years as necessary to show the duration of the impact (see point 1.6) || TOTAL || 
 OUTPUTS || 
 Type of output[81] || Average cost of the output || Number of outputs || Cost || Number of outputs || Cost || Number of outputs || Cost || Number of outputs || Cost || Number of outputs || Cost || Number of outputs || Cost || Number of outputs || Cost || Total number of outputs || Total cost 
 || SPECIFIC OBJECTIVES [82] transport networks… || 
 - Output       ||   It is expected to contribute to the financing of a total of EUR 150 bn of investments out of the estimated investments of EUR 237.618,21 million set out in the list of pre-identified transport infrastructure projects in Part 1 of the Annex to the CEF Regulation.     || 
   || - EUR 2 256,9 million of EU funding in financial instruments will leverage EUR 40 bn of investments, - EUR 11 238,3 million of EU funding from the Cohesion Fund will leverage €11.5 bn of investments - the remaining EUR 22 230,5 million of EU funding will leverage €98.5 bn of investments (based on an average co-funding rate of 20%).   || 
 in € million || Investment estimates for the listed pre-identified projects in Part 1 of the Annex to the CEF Regulation 
 Horizontal Priorities || 47.500,00 
 of which SESAR || 30.000,00 
 1. Baltic – Adriatic Corridor || 13.353,20 
 2. Warszawa – Berlin – Amsterdam/Rotterdam – Felixstowe – Midlands || 5.673,00 
 3. Mediterranean Corridor || 37.690,00 
 4. Hamburg – Rostock – Burgas/TR border – Piraeus – Lefkosia || 8.037,60 
 5. Helsinki – Valletta || 31.936,00 
 6. Genova – Rotterdam || 15.622,50 
 7. Lisboa - Strasbourg || 17.170,00 
 8. Dublin – London – Paris – Brussel/Bruxelles || 4.582,00 
 9. Amsterdam – Basel/Lyon – Marseille || 12.551,30 
 10. Strasbourg – Danube Corridor || 15.939,40 
 Other Sections on the Core Network || 27.563,21 
 Total || 237.618,21 
Detailed figures per
corridor will be available during the planning and the implementation of the
programme.
 || SPECIFIC OBJECTIVES energy networks 
 - Output || implementation of the 11 priority corridors and areas at EUR 940,514 million per corridor on average           ||   
 || SPECIFIC OBJECTIVES Telecommunications networks[83]: 
 - Output || Digital service infrastructures developed and deployed across Europe || The following digital service infrastructures are expected to be supported under CEF:   ·                         Interoperable electronic identification and authentication across Europe; ·                         European Central Platform for the interconnection of European business registers ·                         Electronic procedures for setting up and running a business in another European country ·                         Interoperable cross-border electronic procurement services ·                         Interoperable cross-border e-Justice services ·                         Interoperable cross border eHealth services ·                         Safer internet service infrastructure ·                         Critical Information Infrastructures ·                         Access to digital resources of European heritage ·                         Access to re-usable public sector information ·                         Multilingual access to online services ·                         Trans-European high-speed backbone connections for public administrations ·                         Deployment of information and communication technology solutions for intelligent energy networks and for the provision of Smart Energy Services || 2446,000 
 - Output || Thousand households connected to Broadband internet || 0.18 || 1827 || 321,000 || 3573 || 627,800 || 5547 || 974,600 || 6269 || 1101,400 || 8031 || 1411,200 || 9276 || 1630,000 || 11126 || 1955,000 || 45649 || 8021,000 
 || Sub-total for specific objective Telecommunications ||   || 679,000 ||   ||  843,800 ||   ||  1 302,600 ||   ||  1 621,400 ||   ||  1 734,200 ||   ||  2 003,000 ||   ||  2 284,000 ||   ||  10 468,000 
 || TOTAL COST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   || 56 539,354 
 ||   
   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   

3.2.3.          
Estimated impact on appropriations of an
administrative nature
3.2.3.1.    
Summary 

·      ¨    The
proposal/initiative does not require the use of administrative appropriations 
·      X    The proposal/initiative requires the use of administrative
appropriations, as explained below:
EUR million (to 3
decimal places)
 DG MOVE || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || TOTAL 
 HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
 Human resources || 4,198 || 4,516 || 4,771 || 5,089 || 5,280 || 5,280 || 5,280 || 34,414 
 Other administrative expenditure || 1,100 || 1,110 || 1,120 || 1,230 || 1,240 || 1,250 || 1,260 || 8,310 
 Subtotal HEADING 5 of the multiannual financial framework || 5,298 || 5,626 || 5,891 || 6,319 || 6,520 || 6,530 || 6.54 || 42,724 
 Outside HEADING 5[84] of the multiannual financial framework (*) ||   ||   ||   ||   ||   ||   ||   ||   
 Human resources ||   ||   ||   ||   ||   ||   ||   ||   
 Other expenditure of an administrative nature 06 01 04 31 || 12,7 || 17,5 || 17,8 || 18,2 || 18,5 || 18,8 || 19,1 || 122,6   
 Other expenditure of an administrative nature 13 01 04 XX || 5,1 || 5,4 || 5,6 || 5,9 || 6,2 || 6,6 || 6,6 || 41,4 
 Subtotal outside HEADING 5 (**) of the multiannual financial framework || 12,7 || 17,5 || 17,8 || 18,2 || 18,5 || 18,8 || 19,1 || 122,6   
 Subtotal outside HEADING 5 of the multiannual financial framework || 17,8 || 22,9 || 23,4 || 24,1 || 24,7 || 25,4 || 25,7 || 164,0 
 TOTAL MOVE(**) || 17,998 || 23,126 || 23,691 || 24,519 || 25,02 || 25,33 || 25,64 || 165,324   
 TOTAL MOVE || 23,098 || 28,526 || 29,291 || 30,419 || 31,22 || 31,93 || 32,24 || 206,724 
(*) With the assumption that the transport
and the cohesion fund parts of the CEF will be delegated to the TEN-T executive
agency.
(**) excluding 13
01 04 XX cohesion fund
EUR million (to 3
decimal places)
 DG ENER || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || TOTAL 
 HEADING 5 (*) of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
 Human resources || 5,406 || 6,233 || 7,123 || 7,315 || 7,315 || 7,506 || 7,506 || 48,404 
 Other administrative expenditure || 0,171 || 0,171 || 0,171 || 0,471 || 0,171 || 0,171 || 0,471 || 1,797   
 Subtotal HEADING 5 of the multiannual financial framework || 5,577 || 6,404 || 7,294 || 7,786 || 7,486 || 7,677 || 7,977 || 50,201 
 Outside HEADING 5[85] of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
 Human resources ||   ||   ||   ||   ||   ||   ||   ||   
 Other expenditure of an administrative nature (**) || 3,478 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 15,346   
 Subtotal outside HEADING 5 of the multiannual financial framework || 3,478 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 15,346   
 TOTAL ENER || 9,055 || 8,382 || 9,272 || 9,764 || 9,464 || 9,655 || 9,955 || 65,547 
(*)           DG ENER
envisages (partially) externalising the implementation of CEF to agencies.
Amounts and imputations will be adjusted if necessary according to the results
of the externalisation process.
(**)      These appropriations include expenditures for EU coordinators.
Furthermore, ACER might be referred to in order to execute tasks defined in
the provisions of the Regulation on guidelines for trans-European energy
infrastructure subject to further decision.
EUR million (to 3
decimal places)
 DG INFSO || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || TOTAL 
 HEADING 5 (*) of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
 Human resources || 11,117 || 12,451 || 14,484 || 15,310 ||  16,263 ||  17,025 ||  17,279 ||  103,929 
 Other administrative expenditure || 0,2 || 0,21 || 0,22 || 0,23 || 0,24 || 0,25 || 0,26 || 1,61 
 Subtotal HEADING 5 of the multiannual financial framework || 11,317 || 12,661 || 14,704 || 15,540 ||  16,503 ||  17,275 ||  17,539 ||  105,539 
 Outside HEADING 5[86] of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
 Human resources ||   ||   ||   ||   ||   ||   ||   ||   
 Other expenditure of an administrative nature || 2 || 2,2 || 2,4 || 2,6 || 2,8 || 3 || 3 || 18 
 Subtotal outside HEADING 5 of the multiannual financial framework || 2 || 2,2 || 2,4 || 2,6 || 2,8 || 3 || 3 || 18 
 TOTAL INFSO || 13,317 || 14,861 || 17,104 || 18,140 ||  19,303 ||  20,275 ||  20,539 ||  123,539 
(*)           DG INFSO envisages (partially) externalising the implementation of
CEF to agencies. Amounts and imputations will be adjusted if necessary
according to the results of the externalisation process.
 TOTAL appropriations of admin. nature of Heading 5 of MFF || 22,192 || 24,691 || 27,889 || 29,645 || 30,509 || 31,482 || 32,056 || 198,464 
 TOTAL appropriations of admin. nature outside Heading 5 of MFF(*) || 18,178 || 21,678 || 22,178 || 22,778 || 23,278 || 23,778 || 24,078 || 155,946 
 TOTAL appropriations of admin. nature outside Heading 5 of MFF || 23,278 || 27,078 || 27,778 || 28,678 || 29,478 || 30,378 || 30,678 || 197,346   
 TOTAL appropriations of administrative nature(*) || 40,37 || 46,369 || 50,067 || 52,423 || 53,787 || 55,26 || 56,134 || 354,410 
 TOTAL appropriations of administrative nature( || 45,47 || 51,769 || 55,667 || 58,323   || 59,987 || 61,86 || 62,734 || 395,810 
(*) excluding 13 01 04 XX Cohesion Fund 

3.2.3.2.    
Estimated requirements of human resources 

·      ¨    The
proposal/initiative does not require the use of human resources 
·      X    The proposal/initiative requires the use of human resources, as
explained below:
Estimate to be expressed in full time
equivalent units
 || DG MOVE || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 
  Establishment plan posts (officials and temporary agents) || 
 || 06 01 01 01 (Headquarters and Commission’s Representation Offices) || 26 || 28 || 29 || 31 || 32 || 32 || 32 
 || XX 01 01 02 (Delegations) ||   ||   ||   ||   ||   ||   ||   
 || 06 01 05 01 (Indirect research) ||   ||   ||   ||   ||   ||   ||   
 || 10 01 05 01 (Direct research) ||   ||   ||   ||   ||   ||   ||   
 ||  External personnel (in Full Time Equivalent unit: FTE)[87] || 
 || 06 01 02 01 (CA, INT, SNE from the "global envelope") || 14 || 15 || 17 || 18 || 19 || 19 || 19 
 || XX 01 02 02 (CA, INT, JED, LA and SNE in the delegations) ||   ||   ||   ||   ||   ||   ||   
 || XX 01 04 yy [88] ||   ||   ||   ||   ||   ||   ||   ||   
 ||   ||   ||   ||   ||   ||   ||   ||   
 || 06 01 05 02 (CA, INT, SNE - Indirect research) ||   ||   ||   ||   ||   ||   ||   
 || 10 01 05 02 (CA, INT, SNE - Direct research) ||   ||   ||   ||   ||   ||   ||   
 || Other budget lines (specify) ||   ||   ||   ||   ||   ||   ||   
 || TOTAL MOVE || 40 || 43 || 46 || 49 || 51 || 51 || 51 
XX is the
policy area or budget title concerned.
The human resources required
will be met by staff from the DG who are already assigned to management of the action
and/or have been redeployed within the DG, together if necessary with any
additional allocation which may be granted to the managing DG under the annual
allocation procedure and in the light of budgetary constraints. Amounts and
imputations will be adjusted depending on the results of the envisaged
externalisation process.
Description of
tasks to be carried out:
 Officials and temporary agents || Policy and strategy making, programme management and control, project selection, coordination and liaison with all stakeholders on programme level (ministries, other DGs, European Institutions, international banks (eg EIB), supervision and control of associated agencies (external personnel). 
 External personnel || Managing the TENtec information system: collection of technical, financial and geographical data for the analysis, management and political decision making of the programme. 
Estimate to be expressed in full time
equivalent units
 || DG ENER || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 
  Establishment plan posts (officials and temporary agents) || 
 || 32 01 01 01 (Headquarters and Commission’s Representation Offices) || 34 || 39 || 45 || 45 || 45 || 46 || 46 
 || XX 01 01 02 (Delegations) ||   ||   ||   ||   ||   ||   ||   
 || XX 01 05 01 (Indirect research) ||   ||   ||   ||   ||   ||   ||   
 || 10 01 05 01 (Direct research) ||   ||   ||   ||   ||   ||   ||   
 ||  External personnel (in Full Time Equivalent unit: FTE)[89] || 
 || 32 01 02 01 (CA, INT, SNE from the "global envelope") || 17 || 20 || 22 || 25 || 25 || 26 || 26 
 || XX 01 02 02 (CA, INT, JED, LA and SNE in the delegations) ||   ||   ||   ||   ||   ||   ||   
 || XX 01 04 yy [90] || - at Headquarters[91] ||   ||   ||   ||   ||   ||   ||   
 || - in delegations ||   ||   ||   ||   ||   ||   ||   
 || XX 01 05 02 (CA, INT, SNE - Indirect research) ||   ||   ||   ||   ||   ||   ||   
 || 10 01 05 02 (CA, INT, SNE - Direct research) ||   ||   ||   ||   ||   ||   ||   
 || Other budget lines (specify) ||   ||   ||   ||   ||   ||   ||   
 || TOTAL ENER || 51 || 59 || 67 || 70 || 70 || 72 || 72 
XX is the
policy area or budget title concerned.
The human resources required
will be met by staff from the DG who are already assigned to management of the action
and/or have been redeployed within the DG, together if necessary with any
additional allocation which may be granted to the managing DG under the annual
allocation procedure and in the light of budgetary constraints. Amounts and
imputations will be adjusted depending on the results of the envisaged
externalisation process.
Description of
tasks to be carried out:
 Officials and temporary agents || - Support to regional and thematic fora in the identification of projects of common interest - selection process - management of annual calls for proposals and selection of projects for EU financial support - financial and project management - evaluations 
 External personnel || Support to regional and thematic fora in the identification of projects of common - selection process - management of annual calls for proposals and selection of projects for financing - financial and project management - evaluations 
Estimate to be expressed in fulltime
equivalent units
 || DG INFSO || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 
  Establishment plan posts (officials and temporary agents) || 
 || 09 01 01 01 (Headquarters and Commission’s Representation Offices) || 83 || 93 || 108 || 114 || 121 || 127 || 129 
 || XX 01 01 02 (Delegations) ||   ||   ||   ||   ||   ||   ||   
 || XX 01 05 01 (Indirect research) ||   ||   ||   ||   ||   ||   ||   
 || 10 01 05 01 (Direct research) ||   ||   ||   ||   ||   ||   ||   
 ||  External personnel (in Full Time Equivalent unit: FTE)[92] || 
 || 09 01 02 01 (CA, INT, SNE from the "global envelope") || 9 || 10 || 12 || 13 || 14 || 14 || 14 
 || XX 01 02 02 (CA, INT, JED, LA and SNE in the delegations) ||   ||   ||   ||   ||   ||   ||   
 XX 01 04 yy [93] || - at Headquarters[94] ||   ||   ||   ||   ||   ||   ||   
 - in delegations ||   ||   ||   ||   ||   ||   ||   
 || XX 01 05 02 (CA, INT, SNE - Indirect research) ||   ||   ||   ||   ||   ||   ||   
 || 10 01 05 02 (CA, INT, SNE - Direct research) ||   ||   ||   ||   ||   ||   ||   
 || Other budget lines (specify) ||   ||   ||   ||   ||   ||   ||   
 || TOTAL || 92 || 103 || 120 || 127 || 135 || 141 || 143 
XX is the
policy area or budget title concerned.
The human resources required
will be met by staff from the DG who are already assigned to management of the action
and/or have been redeployed within the DG, together if necessary with any
additional allocation which may be granted to the managing DG under the annual
allocation procedure and in the light of budgetary constraints. Amounts and
imputations will be adjusted depending on the results of the envisaged
externalisation process.
Description of
tasks to be carried out:
 Officials and temporary agents || Policy and strategy coordination, programme management, project and grant management 
 External personnel || Project and grant management 
 Total of estimated requirements of Human Resources || 183 || 205 || 233 || 246 || 256 || 264 || 266 

3.2.4.          
Compatibility with the multiannual financial
framework 2014-2020

·      X    Proposal/initiative is compatible the 2014-2020 multiannual
financial framework.
·      ¨    Proposal/initiative
will entail reprogramming of the relevant heading in the multiannual financial
framework.
Explain what reprogramming is required,
specifying the budget lines concerned and the corresponding amounts.
n.a.
·      ¨    Proposal/initiative
requires application of the flexibility instrument or revision of the
multiannual financial framework[95].
Explain what is required, specifying the
headings and budget lines concerned and the corresponding amounts.
n.a.

3.2.5.          
Third-party contributions 

·      X    The proposal/initiative does not provide for co-financing by
third parties 
·      The proposal/initiative provides for the co-financing estimated
below:
Appropriations in EUR million (to 3 decimal places)
   || Year N || Year N+1 || Year N+2 || Year N+3 || … enter as many years as necessary to show the duration of the impact (see point 1.6) || Total 
 Specify the co-financing body ||   ||   ||   ||   ||   ||   ||   ||   
 TOTAL appropriations cofinanced ||   ||   ||   ||   ||   ||   ||   ||   

3.3.                
Estimated impact on revenue 

·      ¨    Proposal/initiative
has no financial impact on revenue.
·      X    Proposal/initiative has the following financial impact:
–                   
¨         on own resources 
–                   
X          on miscellaneous revenue 
EUR million (to 3 decimal places)
 Budget revenue line: || Appropriations available for the ongoing budget year || Impact of the proposal/initiative[96] 
 Year N || Year N+1 || Year N+2 || Year N+3 || … insert as many columns as necessary in order to reflect the duration of the impact (see point 1.6) 
 Article …………. ||   ||   ||   ||   ||   ||   ||   ||   
For miscellaneous
assigned revenue, specify the budget expenditure line(s) affected.
to be determined (The revenue generated by the financial instruments
shall be re-used during the lifetime of the programme, and ultimately cashed as
revenue together with the principal amount at the end of the programme.)
Specify the method for
calculating the impact on revenue.
ANNEX 1 to
the LEGISLATIVE FINANCIAL STATEMENT
Name of the proposal/initiative:
Regulation of the European Parliament
and of the Council establishing the Connecting Europe Facility…-MOVE……………………………………………………………………………………………………………………………………………………………………………………………………………………
1.                      
NUMBER and COST of HUMAN RESOURCES CONSIDERED
NECESSARY
2.                      
COST of OTHER EXPENDITURE of an ADMINISTRATIVE
NATURE
3.                      
METHODS used for the CALCULATION of COSTS
3.1.                
Relating to human resources
3.2.                
Relating to other administrative expenditure
This annex will accompany the legislative
financial statement during the inter-services consultation.
The tables included in the present serve to
fill in the tables in the legislative financial statement.
The present annex
is an internal document to be kept within Commission services.
1.                      
Number and cost of human resources considered
necessary
¨      The proposal/initiative does not require
the use of human resources
X       The proposal/initiative requires the use of human resources, described as follows:
EUR million (to 3 decimal places)
 HEADING 5 of the multiannual financial framework || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || TOTAL 
 FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations 
  Establishment Plan Posts (officials and temporary agents) 
 06 01 01 01 (at headquarters and in Commission representation offices in Member States) || AD || 26 || 3302 || 28 || 3556 || 29 || 3683 || 31 || 3937 || 32 || 4064 ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 01 02 (in delegations) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
  External personnel [97] 
 06 01 02 01 (the global envelop) || CA || 14 || 896 || 15 || 960 || 17 || 1088 || 18 || 1152 || 19 || 1216 ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 02 (in delegations) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 JED ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 LA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total – HEADING 5 of the multiannual financial framework ||   || 40 || 4198 || 43 || 4516 || 46 || 4771 || 49 || 5089 || 51 || 5280 ||   || 34,414 
XX is the policy area or budget title
concerned
Year 2019: FTE: 51Appropriations:
5,280
Year 2020: FTE: 51Appropriations:
5,280
EUR million (to 3 decimal places)
 Outside HEADING 5 of the multiannual financial framework || Year N || Year N+1 || Year N+2 || Year N+3 || insert as many columns as necessary to reflect the duration of the impact || TOTAL 
 FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations 
  Establishment Plan Posts (officials and temporary agents) 
 XX 01 05 01 (indirect Research) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 10 01 05 01 (direct Research) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
  External personnel [98] 
 XX 01 04 yy Apprpriations for external personnel authorised on former "BA" lines || At headquaters || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 In delegations || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 JED ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 LA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 05 02 (Indrect research) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 10 01 05 02 (Direct research) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total – Outside HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 TOTAL HEADING 5 and Outside HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
The
human resources required will be met by staff from the DG who are already
assigned to management of the action and/or have been redeployed within the DG,
together if necessary with any additional allocation which may be granted to
the managing DG under the annual allocation procedure and in the light of budgetary
constraints. Amounts and imputations will be adjusted depending on the results
of the envisaged externalisation process.
2.                      
Cost of other expenditure of an administrative
nature
¨      The proposal/initiative does not require the use of any
appropriation of an administrative nature
X       The proposal/initiative requires
the use of appropriations of an administrative nature, described as follows:
EUR million (to 3 decimal places)
   || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || TOTAL 
 HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
                 At headquarters: ||   ||   ||   ||   ||   ||   ||   ||   
 06 01 02 11 01 - Missions and representation costs || 0,2 || 0,21 || 0,22 || 0,23 || 0,24 || 0,25 || 0,26 || 1,61 
 06 01 02 11 02 - Conferences and meetings || 0,5 || 0,5 || 0,5 || 0,5 || 0,5 || 0,5 || 0,5 || 3,5 
 XX 01 02 11 03 - Meetings of Committees[99] ||   ||   ||   ||   ||   ||   ||   ||   
 06 01 02 11 04 - Studies and consultations || 0,4 || 0,4 || 0,4 || 0,5 || 0,5 || 0,5 || 0,5 || 3,2 
 XX 01 02 11 05 - Management & information IT systems ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 11 06 - Further training ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 01 03 - Equipment and furniture ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 01 04 - Services & other operating expenditure ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify ||   ||   ||   ||   ||   ||   ||   ||   
                 In delegations: ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 12 01 - Missions, conferences and representation costs ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 12 02 - Further training of staff ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 02 01 - Acquisition, renting and related expenditure ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 02 02 - Equipment, furniture, supplies and services ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total HEADING 5 (*) of the multiannual financial framework || 1,1 || 1,11 || 1,12 || 1,23 || 1,24 || 1,25 || 1,26 || 8,31   
XX is the policy area or budget title
concerned
EUR million (to 3 decimal places)
   || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || TOTAL 
 Outside HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
 06 01 04 31 - Administrative and technical assistance (excluded external personnel), financed by operational appropriations (former "BA" lines) || 12,7 || 17,5 || 17,8 || 18,2 || 18,5 || 18,8 || 19,1 || 122,6 
 - at Headquarters ||   ||   ||   ||   ||   ||   ||   ||   
 - in delegations ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 05 03 – other management expenditure for indirect research ||   ||   ||   ||   ||   ||   ||   ||   
 10 01 05 03 - other management expenditure for direct research ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line 13 01 04 XX || 5,1 || 5,4 || 5,6 || 5,9 || 6,2 || 6,6 || 6,6 || 41,4 
 Sub-total Outside HEADING 5 (*) of the multiannual financial framework || 12,7 || 17,5 || 17,8 || 18,2 || 18,5 || 18,8 || 19,1 || 122,6 
 Sub-total Outside HEADING 5 of the multiannual financial framework || 17,8 || 22,9 || 23,4 || 24,1 || 24,7 || 25,4 || 25,7 || 164,0   
XX is the policy area or budget title concerned
 TOTAL HEADING 5 and Outside HEADING 5 (*) of the multiannual financial framework || 13,8 || 18,61 || 18,92 || 19,43 || 19,74 || 20,05 || 20,36 || 130,91 
 TOTAL HEADING 5 and Outside HEADING 5 of the multiannual financial framework || 18,9 || 24,01 || 24,52 || 25,33 || 25,94 || 26,65 || 26,96 || 172,31   
(*) excluding Cohesion Fund 
The administrative appropriations required
will be met by the appropriations which are already assigned to management of
the action and/or which have been redeployed, together if necessary with any
additional allocation which may be granted to the managing DG under the annual
allocation procedure and in the light of existing budgetary constraints.
3.                     
Methods of calculation used to estimate costs
3.1.                
Relating to human resources
Give details of the method of calculation
used for each category of staff (assumptions, average costs, etc.)
 HEADING 5 of the multiannual financial framework 
 Reminder: Average costs for each category of staff are available on the BudgWeb site: http://www.cc.cec/budg/pre/legalbasis/pre-040-020_preparation_en.html#forms 
  relating to establishment plan posts (officials and temporary agents)   The assumptions on personnel costs are based on the current needs and a realistic estimation for the years to come.   
  relating to external personnel   
 Outside HEADING 5 of the multiannual financial framework 
  relating to establishment plan posts (Research officials and temporary agents)   
  relating to external personnel   
3.2.                
Relating to expenditure of an administrative
nature
Give details of the method of calculation
used for each budget line,
underlying assumptions (e.g. number of
meetings per year, average costs, etc.)
 HEADING 5 of the multiannual financial framework 
   The calculations are based on an extrapolation from the current situation when it comes to consumption for missions (Staff and European Coordinators), meetings and conferences (e.g the TEN-T Guidelines cttee, the annual TEN-T conference and the need for various studies.     
 Outside HEADING 5 of the multiannual financial framework 
   The calculations are based on an extrapolation of current costs of TEN-TEA. They include expenditures for IT equipment (TENtec) of an annual amount of EUR 300 000. TENtec is the information system currently used by DG MOVE for the TEN-T programme. It is a system completely adjusted to the needs of the programme and aligned with EC procedures. It stores and manages technical, financial and historical data for the analysis, management and political decision making concerning TEN-T programmes. It manages the necessary workflows issuing Commission decisions, complete selection cycle for new projects including proposal submission and reception and the required web interfaces. It also supports the TEN-T EA in its programme implementation tasks (proposal reception, evaluation and negotiation, and follow-up). Since the system is increasingly focussing on policy making and control, it may not be externalized according to Commission legislation. For instance, the technical and geographic data for the new TEN-T Guidelines have been collected by the system directly from the transport ministries. The integrated GIS subsystem has then also produced the maps ready for inclusion into the guidelines. It is an efficient tool as it has already been developed for internal use and is also open to national ministries for the collection and sharing of data. Also desk officers of DG REGIO and DG ENV as well as Dir A for its European Neighbourhood Policy are using the system. As a fully operational system it can easily cover the needs of DG MOVE following the adoption of the CEF instrument. It allows for economies of scale as no external contractors are needed to cover data requirements, planning and reporting. Additionally, the system may be extended to cover additional needs deriving from the CEF. This is fully in line with the Sec Gen approach to reduce the number of software packages used within the Commission. The budgeted amounts are necessary for the maintenance and development of the tool as well as for the purchase of further IT equipment. DG ENER does not intend using TENtec information system. A separate IT tool will be deployed for the needs of DG ENER   
ANNEX 2 to
the LEGISLATIVE FINANCIAL STATEMENT
Name of the proposal/initiative:
Regulation of the European Parliament
and of the Council establishing the Connecting Europe Facility - ENER………………………………………………………………………………………………………………………………………………………………………………………………………………………
1.                      
NUMBER and COST of HUMAN RESOURCES CONSIDERED
NECESSARY
2.                      
COST of OTHER EXPENDITURE of an ADMINISTRATIVE
NATURE
3.                      
METHODS used for the CALCULATION of COSTS
3.1.                
Relating to human resources
3.2.                
Relating to other administrative expenditure
This annex will accompany the legislative
financial statement during the inter-services consultation.
The tables included in the present serve to
fill in the tables in the legislative financial statement.
The present annex is an internal document
to be kept within Commission services.
1.                      
Number and cost of human resources considered
necessary
¨      The proposal/initiative does not require
the use of human resources
X       The proposal/initiative requires the use of human resources, described as follows:
EUR million (to 3 decimal places)
 HEADING 5 of the multiannual financial framework || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 
 FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations 
  Establishment Plan Posts (officials and temporary agents) 
 32 01 01 01 (at headquarters and in Commission representation offices in Member States) || AD || 34 || 4,318 || 39 || 4,953 || 45 || 5,715 || 45 || 5,715 || 45 || 5,715 || 46 || 5,842 
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 01 02 (in delegations) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
  External personnel [100] 
 32 01 02 01 (the global envelop) || CA || 17 || 1,088 || 20 || 1,280 || 22 || 1,408 || 25 || 1,600 || 25 || 1,600 || 26 || 1,664 
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 02 (in delegations) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 JED ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 LA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total – HEADING 5 of the multiannual financial framework ||   || 51 || 5,406 || 59 || 6,233 || 67 || 7,123 || 70 || 7,315 || 70 || 7,315 || 72 || 7,506 
XX is the policy area or budget title
concerned
 HEADING 5 of the multiannual financial framework || Year 2020 || Total ||   ||   ||   ||   
 FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations 
  Establishment Plan Posts (officials and temporary agents) 
 32 01 01 01 (at headquarters and in Commission representation offices in Member States) || AD || 46 || 5,842 || 300 || 38,10 ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 01 02 (in delegations) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
  External personnel [101] 
 32 01 02 01 (the global envelop) || CA || 26 || 1,664 || 161 || 10,304 ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 02 (in delegations) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 JED ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 LA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total – HEADING 5 of the multiannual financial framework ||   || 72 || 7,506 || 461 || 48,404 ||   ||   ||   ||   ||   ||   ||   ||   
EUR million (to 3 decimal places)
 Outside HEADING 5 of the multiannual financial framework || Year N || Year N+1 || Year N+2 || Year N+3 || insert as many columns as necessary to reflect the duration of the impact || TOTAL 
 FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations 
  Establishment Plan Posts (officials and temporary agents) 
 XX 01 05 01 (indirect Research) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 10 01 05 01 (direct Research) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
  External personnel [102] 
 XX 01 04 yy Apprpriations for external personnel authorised on former "BA" lines || At headquaters || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 In delegations || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 JED ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 LA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 05 02 (Indrect research) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 10 01 05 02 (Direct research) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total – Outside HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   || 0 || 0 
   ||   || Year N 2014 || Year N+1 2015 || Year N+2 2016 || Year N+3 2017 || Year N+4 2018 || Year N+5 2019 
 TOTAL HEADING 5 and Outside HEADING 5 of the multiannual financial framework ||   || 51 || 5,406 || 59 || 6,233 || 67 || 7,123 || 70 || 7,315 || 70 || 7,315 || 72 || 7,506 
   ||   || Year N+6 2020 || Total ||   ||   ||   ||   ||   ||   ||   ||   
 TOTAL HEADING 5 and Outside HEADING 5 of the multiannual financial framework ||   || 72 || 7,506 || 461 || 48,404 ||   ||   ||   ||   ||   ||   ||   ||   
The
human resources required will be met by staff from the DG who are already
assigned to management of the action and/or have been redeployed within the DG,
together if necessary with any additional allocation which may be granted to
the managing DG under the annual allocation procedure and in the light of budgetary
constraints. Amounts and imputations will be adjusted depending on the results
of the envisaged externalisation process.
2.                      
Cost of other expenditure of an administrative
nature
¨      The proposal/initiative does not require the use of any
appropriation of an administrative nature
X       The proposal/initiative requires
the use of appropriations of an administrative nature, described as follows:
EUR million (to 3 decimal places)
   || Year N 2014 || Year N+1 2015 || Year N+2 2016 || Year N+3 2017 || Year N+4 2018 || Year N+5 2019 || Year N+6 2020 || TOTAL 
 HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
                 At headquarters: ||   ||   ||   ||   ||   ||   ||   ||   
 32 01 02 11 01 - Missions and representation costs || 0,144 || 0,144 || 0,144 || 0,144 || 0,144 || 0,144 || 0,144 || 1,008 
 XX 01 02 11 02 - Conferences and meetings ||   ||   ||   ||   ||   ||   ||   ||   
 32 01 02 11 03 - Meetings of Committees[103] || 0,027 || 0,027 || 0,027 || 0,027 || 0,027 || 0,027 || 0,027 || 0,189 
 XX 01 02 11 04 - Studies and consultations ||   ||   ||   || 0,3 ||   ||   || 0,3 ||   
 XX 01 02 11 05 - Management & information IT systems ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 11 06 - Further training ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 01 03 - Equipment and furniture ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 01 04 - Services & other operating expenditure ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify ||   ||   ||   ||   ||   ||   ||   ||   
                 In delegations: ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 12 01 - Missions, conferences and representation costs ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 12 02 - Further training of staff ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 02 01 - Acquisition, renting and related expenditure ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 02 02 - Equipment, furniture, supplies and services ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total HEADING 5 of the multiannual financial framework || 0,171 || 0,171 || 0,171 || 0,471 || 0,171 || 0,171 || 0,471 || 1,797   
XX is the policy area or budget title
concerned
EUR million (to 3 decimal places)
   || Year N || Year N+1 || Year N+2 || Year N+3 || Year N+4 || Year N+5 || Year N+6 || TOTAL 
 Outside HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
 32 01 04 XX - Administrative and technical assistance (excluded external personnel), financed by operational appropriations (former "BA" lines) (*) || 3,478 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 15,346   
   ||   ||   ||   ||   ||   ||   ||   ||   
 - at Headquarters ||   ||   ||   ||   ||   ||   ||   ||   
 - in delegations ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 05 03 – other management expenditure for indirect research ||   ||   ||   ||   ||   ||   ||   ||   
 10 01 05 03 - other management expenditure for direct research ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total Outside HEADING 5 (*) of the multiannual financial framework || 3,478 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 1,978 || 15,346   
XX is the policy area or budget title concerned
 TOTAL HEADING 5 and Outside HEADING 5 (*) of the multiannual financial framework || 3,649 || 2,149 || 2,149 || 2,449 || 2,149 || 2,149 || 2,449 || 17,143 
(*) These
appropriations include expenditures for EU coordinators. Furthermore, ACER
might be referred to in order to execute tasks defined in the provisions of the
Regulation on guidelines for trans-European energy infrastructure subject
to further decision.
The administrative appropriations required will be met by the
appropriations which are already assigned to management of the action and/or
which have been redeployed, together if necessary with any additional
allocation which may be granted to the managing DG under the annual allocation
procedure and in the light of existing budgetary constraints.
3.                      
Methods of calculation used to estimate costs
3.1.                
Relating to human resources
Give details of the method of calculation
used for each category of staff (assumptions, average costs, etc.)
 HEADING 5 of the multiannual financial framework 
 Reminder: Average costs for each category of staff are available on the BudgWeb site: http://www.cc.cec/budg/pre/legalbasis/pre-040-020_preparation_en.html#forms 
  relating to establishment plan posts (officials and temporary agents)   Calculations for personnel were based on the experience and data available from a) the management of the European Economic Recovery Programme; b) the management and monitoring of established regional and thematic groups; c) previous European coordinators' activities.   a) The EEPR programme on electricity and gas with an overall budget of EUR 2.3 bn has been managed by 15 FTE per year, over a period of 3-4 years. A budget of between 1 and 2 bn will under the new framework be committed each year, and an average of 8 project managers has been estimated to be necessary each year, each employed for a period of 3 years (=average project duration), and assuming that over the period synergies between projects and experience of staff can be exploited. In addition, 2 FTE are calculated per year for the financial management and provision of legal advice. As of 2021, staff will be needed to manage the remaining projects until end 2023.   b) Experience has shown that per regional or thematic group established, a minimum of 3 persons is needed for an effective management. Estimating a number of 11 fora to operate, 33 FTE are needed each year. 3 additional FTE are necessary for policy formulation and horizontal support, adding up to 36 FTE.   c) 10 European coordinators are expected to be operating over a period of 3.5 years for each project. Each Coordinator will be supported by 1 FTE of Commission staff, equalling 5 FTE per EU Coordinator per year. (Coordinators (2.500 monthly allowance) and their administrative expenses are included under administrative expenses outside Heading 5 ).   The average costs for each category of staff have been estimated according to the BudgWebsite, and an average of 1/3 contract agents to 2/3 officials is applied.   
  relating to external personnel   see explanations above   
 Outside HEADING 5 of the multiannual financial framework 
  relating to establishment plan posts (Research officials and temporary agents)     
  relating to external personnel       
3.2.                
Relating to expenditure of an administrative
nature
Give details of the method of calculation
used for each budget line,
underlying assumptions (e.g. number of
meetings per year, average costs, etc.)
 HEADING 5 of the multiannual financial framework 
   Missions*: 3x per year for site visits of around 150 projects/decisions x 2 person for seven years + 4 meetings of regional/thematic groups outside Brussels x 4 persons per year= (3*2*150+4*4*7)*EUR 1000= EUR 1.012.000/7 years ≈ 144.000 EUR per year.   Committees: Each Member State's representative for energy with 1 Committee attendance per year: 27xEUR 1000 = EUR 27.000 per year   Studies: One monitoring study for mid-term evaluation and one for final evaluation at EUR 300.000 each: 2*300.000=600.000     *Costs per mission per person estimated at EUR 1000 economy class and EUR 2000 business class   
 Outside HEADING 5 of the multiannual financial framework 
   Management and information IT systems: It is estimated that geographic information system services will be needed, costs of which are estimated at EUR 500.000 a year if outsourced. These tasks may possibly be covered by internal staff. Additionally, it is expected that IT services for project management programmes are needed, estimated at EUR 300.000 a year. DG ENER cannot share the information IT system used by DG MOVE as the management of grants for energy projects has certain requirements different from transport projects. For example unlike in the case of transport, the beneficiaries are private entities and not public entities, hence different risks are involved which require different management tools. To manage the new TEN-E programme, DG ENER will use GIS data from existing sources: Commission, ENTSO-e, ENTSO-g as well as project promoters. However, there will still be a need for some budget to be able to carry out data integration exercises which will be needed for a comprehensive network planning.   Tasks related to decision on cost allocation of projects/cost-benefit analyses: Subject to further decision certain tasks related to the decision on the cost allocation of projects as well as for contributions on cost-benefit analyses may be carried out by the Agency for the cooperation of energy regulators (ACER) or ENTSOs according to the applicable rules;     Missions: - for adoption of regional wide list: 4 meetings in Brussels with ENTSOs and Commission per year x 2 persons = 4*2* EUR 1000 = EUR 8000 per year - for participation in regional fora: 2 meetings per year per regional forum (estimated at 8), 2 persons= 2*2*8x1000 EUR = EUR 32000 per year   Total for missions per year: EUR 8.000 + EUR 32.000 = 40.000 EUR per year     Studies: Development of network model for cost-allocation purposes = EUR 1.5 mio. in 2014   Costs for EU Coordinators     10 European coordinators are expected to be operating over a period of 3.5 years for each project, equalling 5 Coordinators active per year, with a salary of EUR 2500 per month. 5*EUR 2500*12 = 150,000 EUR per year.     Missions Missions for coordinator and assistant: 2 missions per month, business class = 2*2*12*2000=EUR 96.000* 5 coordinators=EUR 480.000 per year   Total: EUR 150.000 + 480.000 = EUR 630.000 per year   
ANNEX 3 to
the LEGISLATIVE FINANCIAL STATEMENT
Name of the proposal/initiative:
Regulation of the European Parliament
and of the Council establishing the Connecting Europe Facility…- INFSO……………………………………………………………………………………………………………………………………………………………………………………………………………………………
1.                      
NUMBER and COST of HUMAN RESOURCES CONSIDERED
NECESSARY
2.                      
COST of OTHER EXPENDITURE of an ADMINISTRATIVE
NATURE
3.                      
METHODS used for the CALCULATION of COSTS
3.1.                
Relating to human resources
3.2.                
Relating to other administrative expenditure
This annex will accompany the legislative
financial statement during the inter-services consultation.
The tables included in the present serve to
fill in the tables in the legislative financial statement.
The present annex is an internal document
to be kept within Commission services.
1.                      
Number and cost of human resources considered
necessary
¨      The proposal/initiative does not require
the use of human resources
X       The proposal/initiative requires the use of human resources, described as follows:
EUR million (to 3 decimal places)
 HEADING 5 of the multiannual financial framework || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 
 FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations 
  Establishment Plan Posts (officials and temporary agents) 
 09 01 01 01 (at headquarters and in Commission representation offices in Member States) || AD || 55 || 6,985 || 62 || 7,874 || 72 || 9,144 || 76 || 9,652 || 81 || 10,287 || 85 || 10,795 
 AST || 28 || 3,556 || 31 || 3,937 || 36 || 4,572 || 38 || 4,826 || 40 || 5,080 || 42 || 5,334 
 XX 01 01 02 (in delegations) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
  External personnel [104] 
 09 01 02 01 (the global envelope) || CA || 9 || 0,576 || 10 || 0,640 || 12 || 0,768 || 13 || 0,832 || 14 || 0,896 || 14 || 0,896 
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 02 (in delegations) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 JED ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 LA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total – HEADING 5 of the multiannual financial framework ||   || 92 || 11,117 || 103 || 12,451 || 120 || 14,484 || 127 || 15,310 || 135 || 16,263 || 141 || 17,025 
 HEADING 5 of the multiannual financial framework || Year 2020 || TOTAL ||   ||   ||   ||   
 FTE || Appropriations || FTE || Appropriations ||   ||   ||   ||   ||   ||   ||   ||   
  Establishment Plan Posts (officials and temporary agents) 
 09 01 01 01 (at headquarters and in Commission representation offices in Member States) || AD || 86 || 10,922 || 517 || 65,617 ||   ||   ||   ||   ||   ||   ||   ||   
 AST || 43 || 5,461 || 258 || 32,808 ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 01 02 (in delegations) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
  External personnel [105] 
 09 01 02 01 (the global envelope) || CA || 14 || 0,896 || 86 || 5,504 ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 02 (in delegations) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 JED ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 LA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total – HEADING 5 of the multiannual financial framework ||   || 143 || 17,279 || 861 || 103,929 ||   ||   ||   ||   ||   ||   ||   ||   
EUR million (to 3 decimal places)
 Outside HEADING 5 of the multiannual financial framework || Year N || Year N+1 || Year N+2 || Year N+3 || insert as many columns as necessary to reflect the duration of the impact || TOTAL 
 FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations || FTE || Appropriations 
  Establishment Plan Posts (officials and temporary agents) 
 XX 01 05 01 (indirect Research) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 10 01 05 01 (direct Research) || AD ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 AST ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
  External personnel [106] 
 XX 01 04 yy Apprpriations for external personnel authorised on former "BA" lines || At headquaters || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 In delegations || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 JED ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 LA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 05 02 (Indrect research) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 10 01 05 02 (Direct research) || CA ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 INT ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 SNE ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total – Outside HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
 TOTAL HEADING 5 and Outside HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   ||   
The human resources required will be met by
staff from the DG who are already assigned to management of the action and/or
have been redeployed within the DG, together if necessary with any additional
allocation which may be granted to the managing DG under the annual allocation
procedure and in the light of budgetary constraints. Naturally, amounts and
imputations will be adjusted depending on the results of the envisaged
externalisation process.
2.                      
Cost of other expenditure of an administrative
nature
¨      The proposal/initiative does not require the use of any
appropriation of an administrative nature
X       The proposal/initiative requires
the use of appropriations of an administrative nature, described as follows:
EUR million (to 3 decimal places)
   || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || TOTAL 
 HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
                 At headquarters: ||   ||   ||   ||   ||   ||   ||   ||   
 09 01 02 11 01 - Missions and representation costs || 0,050 || 0,055 || 0,060 || 0,060 || 0,065 || 0,070 || 0,070 || 0,430 
 09 01 02 11 02 - Conferences and meetings || 0,100 || 0,100 || 0,100 || 0,110 || 0,110 || 0,110 || 0,120 || 0,750 
 09 01 02 11 03 - Meetings of Committees[107] || 0,050 || 0,055 || 0,060 || 0,060 || 0,065 || 0,070 || 0,070 || 0,430 
 09 01 02 11 04 - Studies and consultations ||   ||   ||   ||   ||   ||   ||   ||   
 09 01 02 11 05 - Management & information IT systems ||   ||   ||   ||   ||   ||   ||   ||   
 09 01 02 11 06 - Further training ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 01 03 - Equipment and furniture ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 01 04 - Services & other operating expenditure ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify ||   ||   ||   ||   ||   ||   ||   ||   
                 In delegations: ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 12 01 - Missions, conferences and representation costs ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 02 12 02 - Further training of staff ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 02 01 - Acquisition, renting and related expenditure ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 03 02 02 - Equipment, furniture, supplies and services ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total HEADING 5 of the multiannual financial framework || 0,200 || 0,210 || 0,220 || 0,230 || 0,240 || 0,250 || 0,260 || 1,610 
EUR million (to 3 decimal places)
   || Year 2014 || Year 2015 || Year 2016 || Year 2017 || Year 2018 || Year 2019 || Year 2020 || TOTAL 
 Outside HEADING 5 of the multiannual financial framework ||   ||   ||   ||   ||   ||   ||   ||   
 09 01 04 yy - Administrative and technical assistance (excluded external personnel), financed by operational appropriations (former "BA" lines) ||   ||   ||   ||   ||   ||   ||   ||   
 - at Headquarters || 2,000 || 2,200 || 2,400 || 2,600 || 2,800 || 3,000 || 3,000 || 18,000 
 - in delegations ||   ||   ||   ||   ||   ||   ||   ||   
 XX 01 05 03 – other management expenditure for indirect research ||   ||   ||   ||   ||   ||   ||   ||   
 10 01 05 03 - other management expenditure for direct research ||   ||   ||   ||   ||   ||   ||   ||   
 Other budget line (please specify) ||   ||   ||   ||   ||   ||   ||   ||   
 Sub-total Outside HEADING 5 of the multiannual financial framework || 2,000 || 2,200 || 2,400 || 2,600 || 2,800 || 3,000 || 3,000 || 18,000 
XX is the policy area or budget title concerned
 TOTAL HEADING 5 and Outside HEADING 5 of the multiannual financial framework || 2,200 || 2,410 || 2,620 || 2,830 || 3,040 || 3,250 || 3,260 || 19,610 
The administrative appropriations required
will be met by the appropriations which are already assigned to management of
the action and/or which have been redeployed, together if necessary with any
additional allocation which may be granted to the managing DG under the annual
allocation procedure and in the light of existing budgetary constraints.
3.                      
Methods of calculation used to estimate costs
3.1.                
Relating to human resources
Give details of the method of calculation
used for each category of staff (assumptions, average costs, etc.)
 HEADING 5 of the multiannual financial framework 
 Reminder: Average costs for each category of staff are available on the BudgWeb site: http://www.cc.cec/budg/pre/legalbasis/pre-040-020_preparation_en.html#forms 
  relating to establishment plan posts (officials and temporary agents) The numbers are based on forecasts of staff needs, based on long-term experience with implementing programmes such as the Framework Programmes and CIP. The numbers also correspond to an internal sizing exercise recently completed in DG INFSO: empirically, 1.5 staff manage 40 million of grants, over the course of three years. Added to that is staff for policy/strategy, horizontal support, as well as the management of Financial Instruments in cooperation with financial institutions such as the EIB. 
  relating to external personnel The INFSO staff needs are calculated assuming a ratio of 90% establishment plan posts and 10% external personnel. 
 Outside HEADING 5 of the multiannual financial framework 
  relating to establishment plan posts (Research officials and temporary agents)   
  relating to external personnel 
3.2.                
Relating to expenditure of an administrative
nature
Give details of the method of calculation
used for each budget line,
underlying assumptions (e.g. number of
meetings per year, average costs, etc.)
 HEADING 5 of the multiannual financial framework 
 Missions: Average cost of 650 euros per mission, assuming initially 6.5 missions per month, and a gradual moderate increase throughout the programme   Committees: An estimate of three committee meetings per year with 27 national representatives at an average cost of 600 euros per representative, and a gradual moderate increase throughout the programme   Meetings and conferences: An initial estimate of 100 experts per year at an average cost of 600 euros per expert plus a lump sum for ad hoc conferences in the EU, and a gradual moderate increase throughout the programme 
 Outside HEADING 5 of the multiannual financial framework 
   An estimate of 50 expert evaluators at an average cost of 4.000 euros per expert evaluator at the start of the programme, to be gradually increased throughout the programme in accordance with the increase in the operational budget.   
[1]               Communication from the Commission to the European
Parliament, the Council, the European Economic and Social Committee and the
Committee of the Regions “A Budget for Europe 2020”, 29.6.2011, COM(2011)500
Final.
[2]               20% reduction in greenhouse gas emissions, 20% share
of renewable energy in EU final energy consumption and 20% improvement in
energy efficiency by 2020.
[3]               "A new Strategy for the
Single Market at the service of Europe's economy and society". Report by
Mario Monti to the President of the European Commission, 9 May 2010, page
64-65.
[4]               COM(2011)xxx on the launch of the pilot phase of the
Europe 2020 Project Bond Initiative.
[5]               COM(2011)500
[6]               Commission Communication on the Budget Review
(COM(2010) 700), on Smart Regulation (COM (2010) 543), and on A Budget for
Europe 2020 (COM(2011) 500). 
[7]               COM(2010)700, p. 5.
[8]               See Impact Assessment Reports of revised TEN-T
Guidelines, SEC(2011)xxx, of revised TEN-E Guidelines, SEC(2011)xxx and of
e-TEN Guidelines, SEC(20111)xxx.
[9]               All figures in constant 2011 prices. The
corresponding amounts expressed in current prices can be found in the
Legislative Financial Statement.
[10]             COM(2011)144
[11]             OJ C , , p. .
[12]             OJ C , , p. .
[13]             OJ C , , p. .
[14]             Communication from the Commission to the European
Parliament, the Council, the European Economic and Social Committee and the
Committee of the Regions “A Digital Agenda for Europe”, 26.8.2010, COM(2010)
245 final/2.
[15]             Communication from the Commission to the European
Parliament, the Council, the Economic and Social Committee and the Committee of
the Regions “Single Market Act Twelve levers to boost growth and strengthen
confidence "Working together to create new growth"”, 13.4.2011,
COM(2011) 206 final.
[16]                    European Parliament resolution 2010/2211(INI)
[17]             A Roadmap to a Single
Transport Area (COM(2011) 144).
[18]             European Parliament resolution 2009/2096(INI)
[19]             Council document 10850/09
[20]             OJ L…, p. ….
[21]             http://ec.europa.eu/transport/infrastructure/ten-t-policy/review/doc/expert-groups/expert_group_5_final_report.pdf
[22]             In 2011 prices.
[23]             Communication from the Commission to the European
Parliament, the Council, the European Economic and Social Committee and the
Committee of the Regions "Energy infrastructure priorities for 2020 and
beyond – a Blueprint for an integrated energy network", 17.11.2010,
COM(2010) 677 final.
[24]             Council document 6950/11
[25]             EUCO 2/1/11
[26]             OJ L…, p. ….
[27]                    COM(2010) 2020 final 03.03.2010.
[28]             Communication from the Commission to the European Parliament, the
Council, the European Economic and Social Committee and the Committee of the
Regions “A Digital Agenda for Europe”, 26.8.2010, COM(2010) 245 final/2.
[29]                    European Council conclusions on a new European strategy for growth
and jobs – Finalising and implementing the Europe 2020 strategy, 17 June 2010
[30]                    Council conclusions on Digital Agenda for Europe - 3017th Transport,
Telecommunications and Energy Council meeting Brussels, 31 May 2010
[31]             OJ L…, p. ….
[32]             COM(2011)xxx, A framework for the next generation of
financial instruments
[33]             Communication from the Commission to the European
Parliament, the Council, the European Economic and Social Committee and the
Committee of the Regions “Mobilising private and public investment for recovery
and long term structural change: developing Public Private Partnerships”,
COM(2009) 615 final.
[34]             Communication from the Commission to the European
Parliament, the Council, the European Economic and Social Committee, the
Committee of the Regions and the National Parliaments “The EU Budget Review”,
19.10.2010, COM(2010) 700 final.
[35]             OJ L 162, 22.6.2007, p. 1.
[36]             OJ L 55, 28.2.2011, p. 13.
[37]             OJ L 228, 23.9.1995, p. 1. 
[38]             OJ L … , p. … .
[39]             OJ L … , p. … .
[40]             OJ L … , p. … .
[41]             OJ L 108, 24.4.2002, p. 33.
[42]             If the conditions are right, up to 30´%.
[43]             All figures in constant 2011
prices. The corresponding amounts, expressed in current prices, can be found in
the Legislative Financial Statement.
[44]                    Regulation (EC) No 680/2007 of the European Parliament and of the
Council of 20 June 2007 laying down general rules for the granting of Community
financial aid in the field of the trans-European transport and energy network,
OJ L 162, 22.6.2007, p. 1
[45]             COM(2011) 615 final.
[46]             OJ L 292, 15.11.1996, p. 2.
[47]             Communication from the Commission
to the European Parliament, the Council, the European Economic and Social
Committee and the Committee of the Regions - A Budget for Europe 2020 Part II
(Policy fiches), COM(2011) 500 final, 29.06.2011, p. 7.
[48]             ABM: Activity-Based Management – ABB: Activity-Based
Budgeting.
[49]             As referred to in Article 49(6)(a) or (b) of the
Financial Regulation.
[50]             Roman Friedrich, Karim Sabbagh, Bahjat El-Darwiche, and Milind Singh (2009):
Digital Highways. The Role of Government in 21st Century
Infrastructure. Booz & Company.
[51]             OECD (2010),
OECD Information Technology Outlook 2010, OECD Publishing. Available at
http://dx.doi.org/10.1787/it_outlook-2010-en Accessed 17th May 2011
[52]             This is the forecast of investments made independent of
and without CEF intervention.
[53]             This is the forecast for what can be achieved with CEF.
[54]             This assumes EUR 6.5bn CEF funds leveraging private and
(other) public investment by a factor of 7.
[55]             As measured: citizens and businesses
using eGovernment services
[56]             Cross-border public services: this
can not yet be measured, as the list of services is still under definition by
Member States (Digital Agenda Action No. 91, to be completed by end-2011)
[57]             Details of management modes and references to the
Financial Regulation may be found on the BudgWeb site: http://www.cc.cec/budg/man/budgmanag/budgmanag_en.html
[58]             As referred to in Article 185 of the Financial
Regulation.
[59]             Diff. = Differentiated appropriations / Non-Diff. =
Non-differentiated appropriations
[60]             EFTA: European Free Trade Association. 
[61]             Candidate countries and, where applicable, potential
candidate countries from the Western Balkans.
[62]             Diff. = Differentiated appropriations / Non-Diff. =
Non-differentiated appropriations
[63]             EFTA: European Free Trade Association. 
[64]             Candidate countries and, where applicable, potential
candidate countries from the Western Balkans.
[65]             Diff. = Differentiated appropriations / Non-Diff. =
Non-differentiated appropriations
[66]             EFTA: European Free Trade Association. 
[67]             Candidate countries and, where applicable, potential
candidate countries from the Western Balkans.
[68]             Diff. = Differentiated appropriations / Non-Diff. =
Non-differentiated appropriations
[69]             EFTA: European Free Trade Association. 
[70]             Candidate countries and, where applicable, potential
candidate countries from the Western Balkans.
[71]             Year N is the year in which implementation of the
proposal/initiative starts.
[72]             Technical and/or administrative assistance and
expenditure in support of the implementation of EU programmes and/or actions
(former "BA" lines), indirect research, direct research.
[73]             Year N is the year in which implementation of the
proposal/initiative starts.
[74]             Technical and/or administrative assistance and
expenditure in support of the implementation of EU programmes and/or actions
(former "BA" lines), indirect research, direct research.
[75]             Year N is the year in which implementation of the
proposal/initiative starts.
[76]             Technical and/or administrative assistance and
expenditure in support of the implementation of EU programmes and/or actions
(former "BA" lines), indirect research, direct research.
[77]             Year N is the year in which implementation of the
proposal/initiative starts.
[78]             Technical and/or administrative assistance and
expenditure in support of the implementation of EU programmes and/or actions
(former "BA" lines), indirect research, direct research.
[79]             Year N is the year in which implementation of the
proposal/initiative starts.
[80]             Year N is the year in which implementation of the
proposal/initiative starts.
[81]             Outputs are products and services to be supplied (e.g.:
number of student exchanges financed, number of km of roads built, etc.).
[82]             As described in Section 1.4.2. "Specific
objective(s)…"
[83]             The ultimate split between budget spent through
financial instruments vs. grants will depend on market take-up of the financial
instruments.
[84]             Technical and/or administrative assistance and
expenditure in support of the implementation of EU programmes and/or actions
(former "BA" lines), indirect research, direct research.
[85]             Technical and/or administrative assistance and
expenditure in support of the implementation of EU programmes and/or actions
(former "BA" lines), indirect research, direct research.
[86]             Technical and/or administrative assistance and
expenditure in support of the implementation of EU programmes and/or actions
(former "BA" lines), indirect research, direct research.
[87]             CA= Contract Agent; INT= agency staff ("Intérimaire");
JED= "Jeune Expert en Délégation" (Young Experts in
Delegations); LA= Local Agent; SNE= Seconded National Expert; 
[88]             Under the ceiling for external personnel from
operational appropriations (former "BA" lines).
[89]             CA= Contract Agent; INT= agency staff ("Intérimaire");
JED= "Jeune Expert en Délégation" (Young Experts in
Delegations); LA= Local Agent; SNE= Seconded National Expert; 
[90]             Under the ceiling for external personnel from
operational appropriations (former "BA" lines).
[91]             Essentially for Structural Funds, European Agricultural
Fund for Rural Development (EAFRD) and European Fisheries Fund (EFF).
[92]             CA= Contract Agent; INT= agency staff ("Intérimaire");
JED= "Jeune Expert en Délégation" (Young Experts in
Delegations); LA= Local Agent; SNE= Seconded National Expert; 
[93]             Under the ceiling for external personnel from
operational appropriations (former "BA" lines).
[94]             Essentially for Structural Funds, European Agricultural
Fund for Rural Development (EAFRD) and European Fisheries Fund (EFF).
[95]             See points 19 and 24 of the Interinstitutional
Agreement.
[96]             As regards traditional own resources (customs duties,
sugar levies), the amounts indicated must be net amounts, i.e. gross amounts
after deduction of 25% for collection costs.
[97]             CA=
Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune
Expert en Délégation" (Young Experts in Delegations); LA= Local Agent;
SNE= Seconded National Expert; 
[98]             CA=
Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune
Expert en Délégation" (Young Experts in Delegations); LA= Local Agent;
SNE= Seconded National Expert; 
[99]             Specify
the type of committee and the group concerned.
[100]            CA=
Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune
Expert en Délégation" (Young Experts in Delegations); LA= Local Agent;
SNE= Seconded National Expert; 
[101]            CA=
Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune
Expert en Délégation" (Young Experts in Delegations); LA= Local Agent;
SNE= Seconded National Expert; 
[102]            CA=
Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune
Expert en Délégation" (Young Experts in Delegations); LA= Local Agent;
SNE= Seconded National Expert; 
[103]            Specify
the type of committee and the group concerned.
[104]            CA=
Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune
Expert en Délégation" (Young Experts in Delegations); LA= Local Agent;
SNE= Seconded National Expert; 
[105]            CA=
Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune
Expert en Délégation" (Young Experts in Delegations); LA= Local Agent;
SNE= Seconded National Expert; 
[106]            CA=
Contract Agent; INT= agency staff ("Intérimaire"); JED= "Jeune
Expert en Délégation" (Young Experts in Delegations); LA= Local Agent;
SNE= Seconded National Expert; 
[107]            Specify
the type of committee and the group concerned.