Competitiveness and Innovation Programme: agreement in first reading expected

Brussels, 01 Jun 2006

Enhancing competitiveness and innovation to increase Europe's productivity, innovation capacity and sustainable growth â€" that is the main aim of the CIP, a framework programme suggested by the Commission for 2007 to 2013.

Based on an agreement between Parliament's rapporteur Jorgo CHATZIMARKAKIS (ALDE, DE) and the Council, the Industry, Research and Energy Committee adopted a package of 145 compromise agreements which will allow the program to be adopted in first reading and enter into force, as planned, on 1 January 2007.

Following the agreement, the budget for the Competitiveness and Innovation Framework programme (CIP) running from 2007 to 2013, will be â'¬3 196 million. This is a reduction vis-à-vis the Commission's original proposal (â'¬4 212,6 Million) but far more than the European Council common position of 16 December 2005 which included a reduction of more than 50 %.

The CIP programme brings together several existing EU programmes and new actions which share the overarching objectives of enhancing competitiveness and innovation. (Measures in the fields of entrepreneurship, SMEs, industrial competitiveness, innovation, information and communication technology (ICT), environmental technologies and intelligent energy). While in current arrangements multiple funding schemes and instruments coexist, the CIP shall simplify the support of an innovative entrepreneurship. It will complement the research-oriented activities promoted by the Community Framework Programme on Research and Technological Development and Demonstration. Its aim is to increase Europe's productivity, innovation capacity and sustainable growth. whilst simultaneously addressing complementary environmental concerns.

Three current programmes will be integrated in the CIP, namely the "Entrepreneurship and Innovation Programme" (MAP), the "ICT policy support Programme" and the "Intelligent Energy-Europe Programme". Two more activities complete the CIP: A risk capital instrument to facilitate capital to innovative and high-growth SMEs and a scheme to support cooperation between national and regional programmes for business innovation (BISS).

MEPs underline that particular attention should be paid to the needs of SMEs. To facilitate their participation in the programme, the compromise states that the Commission will publish a user-friendly User Manual establishing a clear, simple and transparent framework of general principles for the participation of beneficiaries in the Framework Programme.

It is important for MEPs that the CIP contributes to closing the gap between research and innovation and promotes all forms of innovation.

The compromise also gives eco-innovation more importance and clarifies certain actions. Also the monitoring and evaluation aspects of implementation of the CIP are improved.

European Parliament
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