What changed, Commission Delegated Regulation (EU) 2019/856 of 26 February 2019 supplementing Directive 2003/87/EC

+ ## CHAPTER I — General provisions
− ### art_1
+ ### Article 1 — Subject matter
− Article 1
+ (a) the operational objectives of the Innovation Fund established by Article 10a(8) of Directive 2003/87/EC;
− | (a) | the operational objectives of the Innovation Fund established by Article 10a(8) of Directive 2003/87/EC; |
− | --- | --- |
+ (b) the forms of support provided under the Innovation Fund;
− | (b) | the forms of support provided under the Innovation Fund; |
− | --- | --- |
+ (c) the application procedure for the Innovation Fund support;
− | (c) | the application procedure for the Innovation Fund support; |
− | --- | --- |
+ (d) the procedure and criteria for project selection under the Innovation Fund;
− | (d) | the procedure and criteria for project selection under the Innovation Fund; |
− | --- | --- |
+ (e) disbursement of the Innovation Fund support;
− | (e) | disbursement of the Innovation Fund support; |
− | --- | --- |
+ (f) the governance of the Innovation Fund;
− | (f) | the governance of the Innovation Fund; |
− | --- | --- |
− 
− | (g) | reporting, monitoring, evaluation, control, and publicity concerning the operation of the Innovation Fund. |
− | --- | --- |
+ (g) reporting, monitoring, evaluation, control, and publicity concerning the operation of the Innovation Fund.
− ### art_2
+ ### Article 2 — Definitions
− Article 2
− 
− | (1) | ‘financial close’ means the moment in the project development cycle where all the project and financing agreements have been signed and all the required conditions contained in them have been met; |
− | --- | --- |
+ (1) ‘financial close’ means the moment in the project development cycle where all the project and financing agreements have been signed and all the required conditions contained in them have been met;
− | (2) | ‘entry into operation’ means the moment in the project development cycle where all elements and systems required for operation of the project have been tested and activities resulting in effective avoidance of greenhouse gas emissions have commenced; |
− | --- | --- |
+ (2) ‘entry into operation’ means the moment in the project development cycle where all elements and systems required for operation of the project have been tested and activities resulting in effective avoidance of greenhouse gas emissions have commenced;
− | (3) | ‘small-scale project’ means a project with a total capital expenditure not exceeding EUR 7 500 000. |
− | --- | --- |
+ (3) ‘small-scale project’ means a project with a total capital expenditure not exceeding EUR 7 500 000 .
− ### art_3
+ ### Article 3 — Operational objectives
− Article 3
+ (a) to support projects demonstrating highly innovative technologies, processes or products, that are sufficiently mature and have a significant potential to reduce greenhouse gas emissions;
− | (a) | to support projects demonstrating highly innovative technologies, processes or products, that are sufficiently mature and have a significant potential to reduce greenhouse gas emissions; |
− | --- | --- |
+ (b) to offer financial support tailored to market needs and risk profiles of eligible projects, while attracting additional public and private resources;
− | (b) | to offer financial support tailored to market needs and risk profiles of eligible projects, while attracting additional public and private resources; |
− | --- | --- |
+ (c) to ensure that the revenues of the Innovation Fund are managed in accordance with the objectives of Directive 2003/87/EC.
− | (c) | to ensure that the revenues of the Innovation Fund are managed in accordance with the objectives of Directive 2003/87/EC. |
− | --- | --- |
+ ### Article 4 — Forms of the Innovation Fund support
− ### art_4
− 
− Article 4
+ (a) grants;
− | (a) | grants; |
− | --- | --- |
+ (b) contributions to blending operations under the Union investment support instrument;
− | (b) | contributions to blending operations under the Union investment support instrument; |
− | --- | --- |
+ (c) where necessary to achieve the objectives of Directive 2003/87/EC, funding in any of the other form laid down in Regulation (EU, Euratom) 2018/1046 (the ‘Financial Regulation’), in particular prizes, and procurement.
− | (c) | where necessary to achieve the objectives of Directive 2003/87/EC, funding in any of the other form laid down in Regulation (EU, Euratom) 2018/1046 (the ‘Financial Regulation’), in particular prizes, and procurement. |
− | --- | --- |
+ ## CHAPTER II — Specific provisions applicable to grants
− ### art_5
+ ### Article 5 — Relevant costs
− Article 5
+ **1.** For the purposes of the fourth sentence of the third subparagraph of Article 10a(8) of Directive 2003/87/EC, the relevant costs shall be the additional costs that are borne by the project proponent as a result of the application of the innovative technology related to the reduction or avoidan…
− 1. For the purposes of the fourth sentence of the third subparagraph of Article 10a(8) of Directive 2003/87/EC, the relevant costs shall be the additional costs that are borne by the project proponent as a result of the application of the innovative technology related to the reduction or avoidance o…
+ **2.** The relevant costs of a small-scale project shall be the total capital expenditure costs of that project.
− 2. The relevant costs of a small-scale project shall be the total capital expenditure costs of that project.
+ ### Article 6 — Disbursement of grants
− ### art_6
+ **1.** The Innovation Fund support, in the form of a grant, shall be disbursed upon reaching the pre-determined milestones.
− Article 6
+ **2.** For all projects, the milestones referred to in paragraph 1 shall be based on the project development cycle and shall be at least the following:(a) financial close;(b) entry into operation.
− 1. The Innovation Fund support, in the form of a grant, shall be disbursed upon reaching the pre-determined milestones.
+ **3.** Taking into account the technology deployed and the specific circumstances of the sector or sectors in which it is being deployed, additional specific milestones may be determined in the contractual documents.
− 2. For all projects, the milestones referred to in paragraph 1 shall be based on the project development cycle and shall be at least the following:
+ **4.** Up to 40 % of the total amount of the Innovation Fund support, including project development assistance, to a specific project shall be disbursed upon financial close or upon reaching a specific milestone preceding financial close where such a milestone has been determined in accordance with …
− | (a) | financial close; |
− | --- | --- |
+ **5.** To the extent that the total amount of the Innovation Fund support to a specific project has not been disbursed pursuant to paragraph 4, that amount shall be disbursed after the financial close. It may be partially disbursed prior to the entry into operation and in annual instalments after th…
− | (b) | entry into operation. |
− | --- | --- |
+ **6.** For the purposes of paragraphs 4 and 5 of this Article, the total amount of the Innovation Fund support provided to a specific project shall include the amount of the Innovation Fund support provided to that project by way of project development assistance in accordance with Article 13.
− 3. Taking into account the technology deployed and the specific circumstances of the sector or sectors in which it is being deployed, additional specific milestones may be determined in the contractual documents.
− 
− 4. Up to 40 % of the total amount of the Innovation Fund support, including project development assistance, to a specific project shall be disbursed upon financial close or upon reaching a specific milestone preceding financial close where such a milestone has been determined in accordance with para…
+ ### Article 7 — General recovery rules
− 5. To the extent that the total amount of the Innovation Fund support to a specific project has not been disbursed pursuant to paragraph 4, that amount shall be disbursed after the financial close. It may be partially disbursed prior to the entry into operation and in annual instalments after the en…
+ **1.** The Commission shall take appropriate measures to ensure that, where activities financed under this Regulation are implemented, the financial interests of the Innovation Fund are protected by the application of preventive measures against fraud, corruption and any other illegal activities, by…
− 6. For the purposes of paragraphs 4 and 5 of this Article, the total amount of the Innovation Fund support provided to a specific project shall include the amount of the Innovation Fund support provided to that project by way of project development assistance in accordance with Article 13.
+ **2.** Recoveries shall be implemented in accordance with the Financial Regulation.
− ### art_7
+ **3.** The grounds for recovery as well as the recovery procedures shall be further specified in the contractual documentation.
− Article 7
+ ### Article 8 — Special recovery rules
− 1. The Commission shall take appropriate measures to ensure that, where activities financed under this Regulation are implemented, the financial interests of the Innovation Fund are protected by the application of preventive measures against fraud, corruption and any other illegal activities, by eff…
+ **1.** The amount of the Innovation Fund support disbursed in accordance with paragraph 5 of Article 6 after the financial close shall be dependent on the avoidance of greenhouse gas emissions verified on the basis of annual reports submitted by the project proponent for a period between 3 to 10 yea…
− 2. Recoveries shall be implemented in accordance with the Financial Regulation.
+ **2.** Where the total amount of greenhouse gas emissions avoided during the entire reporting period is lower than 75 % of the total amount of greenhouse gas emissions planned to be avoided, the amount paid or to be paid to the project proponent in accordance with paragraph 5 of Article 6 shall be p…
− 3. The grounds for recovery as well as the recovery procedures shall be further specified in the contractual documentation.
+ **3.** Where the project fails to enter into operation by the pre-determined time or the project proponent fails to demonstrate any real avoidance of greenhouse gas emissions, the amount paid after the financial close in accordance with paragraph 5 of Article 6 shall be fully recovered.
− ### art_8
+ **4.** Where the situations referred to in paragraphs 2 and 3 occur due to extraordinary circumstances that are beyond the control of the project proponent and the project proponent demonstrates the project's potential to achieve an avoidance of greenhouse gas emissions beyond the reported amount, o…
− Article 8
+ **5.** The ground for recovery and recovery procedures shall be further specified in the contractual documentation.
− 1. The amount of the Innovation Fund support disbursed in accordance with paragraph 5 of Article 6 after the financial close shall be dependent on the avoidance of greenhouse gas emissions verified on the basis of annual reports submitted by the project proponent for a period between 3 to 10 years f…
+ **6.** The rules laid down in paragraphs 3 and 4 of this Article shall be without prejudice to general recovery rules under Article 7.
− 2. Where the total amount of greenhouse gas emissions avoided during the entire reporting period is lower than 75 % of the total amount of greenhouse gas emissions planned to be avoided, the amount paid or to be paid to the project proponent in accordance with paragraph 5 of Article 6 shall be propo…
+ ### Article 9 — Calls for proposals
− 3. Where the project fails to enter into operation by the pre-determined time or the project proponent fails to demonstrate any real avoidance of greenhouse gas emissions, the amount paid after the financial close in accordance with paragraph 5 of Article 6 shall be fully recovered.
+ **1.** The project proponents shall be invited to apply for the Innovation Fund support through open calls for proposals launched by the Commission.
− 4. Where the situations referred to in paragraphs 2 and 3 occur due to extraordinary circumstances that are beyond the control of the project proponent and the project proponent demonstrates the project's potential to achieve an avoidance of greenhouse gas emissions beyond the reported amount, or wh…
− 5. The ground for recovery and recovery procedures shall be further specified in the contractual documentation.
− 
− 6. The rules laid down in paragraphs 3 and 4 of this Article shall be without prejudice to general recovery rules under Article 7.
− 
− ### art_9
− 
− Article 9
− 
− 1. The project proponents shall be invited to apply for the Innovation Fund support through open calls for proposals launched by the Commission.
− 
+ **2.** The Commission decision launching the calls for proposals shall include at least the following:(a) the overall amount of the Innovation Fund support available for the call;(b) the maximum amount of the Innovation Fund support available for project development assistance;(c) the types of solic…
− 2. The Commission decision launching the calls for proposals shall include at least the following:
+ ### Article 10 — Application procedure
− | (a) | the overall amount of the Innovation Fund support available for the call; |
− | --- | --- |
+ **1.** The implementing body shall collect the applications and organise the application procedure as determined pursuant to Article 9(2), point (d).
− | (b) | the maximum amount of the Innovation Fund support available for project development assistance; |
− | --- | --- |
+ **2.** The two-phase application procedure shall consist of the following subsequent phases:(a) the expression of interest phase;(b) the full application phase.
− | (c) | the types of solicited projects or sectors; |
− | --- | --- |
+ At the expression of interest phase, the project proponent shall submit a description of key project characteristics in line with the requirements laid down in the relevant call for proposals, including the description of the project’s effectiveness, degree of innovation, and maturity as specified i…
− | (d) | a description of the application procedure and a detailed list of information and documentation to be submitted at each phase of the application procedure; |
− | --- | --- |
+ At the full application phase, the project proponent shall submit a detailed description of the project and all supporting documentation, including the knowledge-sharing plan.
− | (e) | detailed information on the selection procedure, including the methodology for evaluation and ranking; |
− | --- | --- |
+ **3.** Where the one-phase application procedure applies, the project proponent shall submit a full application as described in paragraph 2, third subparagraph.
− | (f) | where specific application and selection procedures are applied in accordance with Article 10(4) and Article 12(6) for small-scale projects, the rules on those specific procedures; |
− | --- | --- |
+ **4.** A simplified application procedure may be applied for small-scale projects.
− | (g) | where the Commission reserves a part of the total amount of the Innovation Fund support available for the call to small-scale projects, the amount of that part; |
− | --- | --- |
+ ### Article 11 — Selection criteria
− | (h) | where additional selection criteria aimed at achieving a geographically balanced distribution of the Innovation Fund support are applied in accordance with Article 11(2), those criteria. |
− | --- | --- |
+ **1.** The selection of projects for the Innovation Fund support shall be based on the following criteria:(a) effectiveness in terms of greenhouse gas emission avoidance potential, where applicable, compared to the benchmarks referred to in Article 10a(2) of Directive 2003/87/EC;(b) degree of innova…
− ### art_10
+ **2.** Additional criteria aimed at achieving a geographically balanced distribution of the Innovation Fund support may also be applied for the purposes of project selection.
− Article 10
+ ### Article 12 — Selection procedure for the two-phase application procedure
− 1. The implementing body shall collect the applications and organise the application procedure in two subsequent phases:
+ **1.** Based on the applications received at the expression of interest phase, the implementing body shall assess, for each project, the eligibility in accordance with Article 10a(8) of Directive 2003/87/EC. The implementing body shall then proceed with the selection of eligible projects under parag…
− | (a) | the expression of interest; |
− | --- | --- |
+ **2.** Based on the applications received at the expression of interest phase, the implementing body shall draw up a list of the projects that meet the selection criteria laid down in points (a), (b) and (c) of Article 11(1) and shall invite the proponents of those projects to submit a full applicat…
− | (b) | the full application. |
− | --- | --- |
− 
− 2. At the expression of interest phase, the project proponent shall be required to submit a description of key project characteristics in line with the requirements laid down in the relevant call for proposals, including the description of the project's effectiveness, degree of innovation, and matur…
− 
− 3. At the full application phase, the project proponent shall be required to submit a detailed description of the project and all supporting documentation, including the knowledge-sharing plan.
− 
− 4. A simplified application procedure may be applied for small-scale projects.
− 
− ### art_11
− 
− Article 11
− 
− 1. The selection of projects for the Innovation Fund support shall be based on the following criteria:
− | (a) | effectiveness in terms of greenhouse gas emission avoidance potential, where applicable, compared to the benchmarks referred to in Article 10a(2) of Directive 2003/87/EC; |
− | --- | --- |
− 
− | (b) | degree of innovation of the projects compared to the state of the art; |
− | --- | --- |
− 
− | (c) | project maturity in terms of planning, business model, financial and legal structure as well as prospect of reaching the financial close within a pre-defined period of time not exceeding four years after the award decision; |
− | --- | --- |
− 
− | (d) | technical and market potential for widespread application or replication, or for future cost reductions; |
− | --- | --- |
− 
− | (e) | efficiency in terms of the relevant costs of the project minus any contribution to those costs from the project proponent, divided by the total projected amount of greenhouse gas emissions to be avoided or energy to be produced or stored or CO2 to be stored in the first 10 years of operation…
− | --- | --- |
− 
− 2. Additional criteria aimed at achieving a geographically balanced distribution of the Innovation Fund support may also be applied for the purposes of project selection.
− 
− ### art_12
− 
− Article 12
− 
− 1. Based on the applications received at the expression of interest phase, the implementing body shall assess, for each project, the eligibility in accordance with Article 10a(8) of Directive 2003/87/EC. The implementing body shall then proceed with the selection of eligible projects under paragraph…
− 
− 2. Based on the applications received at the expression of interest phase, the implementing body shall draw up a list of the projects that meet the selection criteria laid down in points (a), (b) and (c) of Article 11(1) and shall invite the proponents of those projects to submit a full application.
− 
+ **3.** Based on the full application received in accordance with paragraph 2 of this Article, the implementing body shall proceed with the project evaluation and ranking based on all selection criteria laid down in Article 11. For the purposes of that evaluation, the implementing body shall compare …
− 3. Based on the full application received in accordance with paragraph 2 of this Article, the implementing body shall proceed with the project evaluation and ranking based on all selection criteria laid down in Article 11. For the purposes of that evaluation, the implementing body shall compare the …
+ **4.** The list of pre-selected projects referred to in paragraph 3 and, where applicable, the suggestion referred to in the second subparagraph of paragraph 2 shall be communicated to the Commission and shall include at least the following:(a) a confirmation of the compliance with the eligibility a…
− 4. The list of pre-selected projects referred to in paragraph 3 and, where applicable, the suggestion referred to in the second subparagraph of paragraph 2 shall be communicated to the Commission and shall include at least the following:
+ **5.** On the basis of what was communicated pursuant to paragraph 4 of this Article, the Commission shall, after consulting the Member States in accordance with Article 21(2), adopt the award decision specifying the support to the selected projects and, where appropriate, draw up a reserve list.
− | (a) | a confirmation of the compliance with the eligibility and selection criteria; |
− | --- | --- |
+ ### Article 12a — Selection procedure for the one-phase application procedure
− | (b) | details on project evaluation and ranking; |
− | --- | --- |
+ **1.** Based on the applications received, the implementing body shall assess, for each project, the eligibility in accordance with Article 10a(8) of Directive 2003/87/EC. The implementing body shall then proceed with the selection of eligible projects under paragraphs 2 and 3 of this Article.
− | (c) | total project costs and relevant costs referred to in Article 5, in euro; |
− | --- | --- |
+ **2.** Based on the applications received, the implementing body shall draw up a list of the projects that meet the selection criteria laid down in Article 11 and shall proceed with the project evaluation and ranking based on the selection criteria laid down in that Article. For the purposes of that…
− | (d) | the request for the total Innovation Fund support in euro, |
− | --- | --- |
+ **3.** Where the implementing body concludes that a project meets the selection criteria laid down in Article 11(1), points (a), (b), (d) and (e) and, where applicable, the selection criterion established in accordance with Article 11(2), but does not meet the criterion laid down in Article 11(1), p…
− | (e) | the projected amount of greenhouse gas emissions to be avoided; |
− | --- | --- |
+ **4.** The list of pre-selected projects referred to in paragraph 2 and, where applicable, the suggestion referred to in paragraph 3 shall be communicated to the Commission and shall include at least the following:(a) a confirmation of the compliance with the eligibility and selection criteria;(b) d…
− | (f) | the projected amount of energy to be produced or stored; |
− | --- | --- |
+ **5.** On the basis of what was communicated pursuant to paragraph 4 of this Article, the Commission shall, after consulting the Member States in accordance with Article 21(2), adopt the award decision specifying the support to the selected projects and, where appropriate, draw up a reserve list.
− | (g) | the projected amount of CO2 to be stored; |
− | --- | --- |
+ ### Article 12b — Selection procedure for small-scale projects
− | (h) | information on the legal form of the Innovation Fund support requested by the project proponent. |
− | --- | --- |
+ By derogation from Articles 12 and 12a, a specific selection procedure may be applied to small-scale projects.
− 5. On the basis of what was communicated pursuant to paragraph 4 of this Article, the Commission shall, after consulting the Member States in accordance with Article 21(2), adopt the award decision specifying the support to the selected projects and, where appropriate, draw up a reserve list.
+ ### Article 13 — Project development assistance
− 6. A specific selection procedure may be applied for small-scale projects.
+ **1.** The Commission shall, after consulting the Member States in accordance with Article 21(2)(c), determine the maximum amount of the Innovation Fund support available for project development assistance.
− ### art_13
+ **2.** The project development assistance shall be awarded by the Commission or by the implementing body in accordance with Article 12(2) or 12a(3) in the form of a grant or a technical assistance.
− Article 13
+ **3.** The following activities may be funded by way of project development assistance:(a) improvement and development of a project documentation, or of components of the project design, with a view to ensuring the sufficient maturity of the project;(b) assessment of the feasibility of the project, …
− 1. The Commission shall, after consulting the Member States in accordance with Article 21(2)(c), determine the maximum amount of the Innovation Fund support available for project development assistance.
+ **4.** For the purposes of project development assistance, the relevant costs shall be all project development related costs. The Innovation Fund may finance up to 100 % of the relevant costs.
− 2. The project development assistance shall be awarded by the Commission or by the implementing body in accordance with Article 12(2) in the form of a grant.
+ ## CHAPTER III — Specific provisions applicable to the forms of the Innovation Fund support other than grants
− 3. The following activities may be funded by way of project development assistance:
+ ### Article 14 — Provision of Innovation Fund support through contributions to blending operations under the Union investment support instrument
− | (a) | improvement and development of a project documentation, or of components of the project design, with a view to ensuring the sufficient maturity of the project; |
− | --- | --- |
+ **1.** Where the Commission decides to disburse the Innovation Fund support through contributions to blending operations under the Union investment support instrument, the Innovation Fund support shall be implemented in accordance with the rules applicable to the Union investment support instrument.…
− | (b) | assessment of the feasibility of the project, including technical and economic studies; |
− | --- | --- |
+ **2.** The Commission shall adopt, after consulting the Member States, a decision specifying whether the contribution to blending operations takes a form of non-repayable support or repayable support or both, and indicating the amount of the Innovation Fund support available for the disbursement thr…
− | (c) | advice on the financial and legal structure of the project; |
− | --- | --- |
+ ### Article 15 — Provisions of the Innovation Fund support in any other form laid down in the Financial Regulation
− | (d) | capacity building of the project proponent. |
− | --- | --- |
+ **1.** Where the Commission decides to disburse the Innovation Fund support in any form laid down in the Financial Regulation other than grants, the Commission shall adopt, after consulting the Member States, a decision indicating the amount of the Innovation Fund support available for disbursement …
− 4. For the purposes of project development assistance, the relevant costs shall be all project development related costs. The Innovation Fund may finance up to 100 % of the relevant costs.
+ **2.** Projects receiving the Innovation Fund support under this Article shall comply with the Union state aid rules.
− ### art_14
+ ## CHAPTER IV — Governance
− Article 14
+ ### Article 16 — Implementation of the Innovation Fund
− 1. Where the Commission decides to disburse the Innovation Fund support through contributions to blending operations under the Union investment support instrument, the Innovation Fund support shall be implemented in accordance with the rules applicable to the Union investment support instrument. How…
+ **1.** The Commission shall implement the Innovation Fund in direct management in accordance with relevant provisions of Articles 125 to 153 of the Financial Regulation or in indirect management through bodies referred to in Article 62(1)(c) of the Financial Regulation.
− 2. The Commission shall adopt, after consulting the Member States, a decision specifying whether the contribution to blending operations takes a form of non-repayable support or repayable support or both, and indicating the amount of the Innovation Fund support available for the disbursement through…
− 
− ### art_15
+ **2.** Costs incurred, in relation to the Innovation Fund implementation activities, including the administrative and management costs, shall be financed from the Innovation Fund.
− Article 15
+ ### Article 17 — Designation of implementing bodies
− 1. Where the Commission decides to disburse the Innovation Fund support in any form laid down in the Financial Regulation other than grants, the Commission shall adopt, after consulting the Member States, a decision indicating the amount of the Innovation Fund support available for disbursement in t…
+ **1.** Where the Commission decides to delegate certain tasks related to the Innovation Fund implementation to an implementing body, the Commission shall adopt a decision designating such an implementing body.
− 2. Projects receiving the Innovation Fund support under this Article shall comply with the Union state aid rules.
− 
− ### art_16
− 
− Article 16
− 
− 1. The Commission shall implement the Innovation Fund in direct management in accordance with relevant provisions of Articles 125 to 153 of the Financial Regulation or in indirect management through bodies referred to in Article 62(1)(c) of the Financial Regulation.
− 
− 2. Costs incurred, in relation to the Innovation Fund implementation activities, including the administrative and management costs, shall be financed from the Innovation Fund.
− ### art_17
− 
− Article 17
− 
− 1. Where the Commission decides to delegate certain tasks related to the Innovation Fund implementation to an implementing body, the Commission shall adopt a decision designating such an implementing body.
− 
+ **2.** Where the Commission implements the Innovation Fund in direct management and decides to delegate certain implementation tasks to an implementing body, the Commission shall designate an executive agency as implementing body.
− 2. Where the Commission implements the Innovation Fund in direct management and decides to delegate certain implementation tasks to an implementing body, the Commission shall designate an executive agency as implementing body.
+ **3.** Where the Commission implements the Innovation Fund in indirect management, the Commission shall designate as implementing body a body referred to in Article 62(1)(c) of the Financial Regulation.
− 3. Where the Commission implements the Innovation Fund in indirect management, the Commission shall designate as implementing body a body referred to in Article 62(1)(c) of the Financial Regulation.
+ **4.** To the extent that the tasks relating to the implementation of the Innovation Fund are not delegated to an implementing body, the Commission shall carry out those tasks.
− 4. To the extent that the tasks relating to the implementation of the Innovation Fund are not delegated to an implementing body, the Commission shall carry out those tasks.
+ ### Article 18 — Tasks of the implementing body
− ### art_18
− Article 18
− 
+ (a) organising the call for proposals;
− | (a) | organising the call for proposals; |
− | --- | --- |
+ (b) organising the application procedure, including collecting the applications and analysing all the supporting documents;
− | (b) | organising the application procedure, including collecting the applications and analysing all the supporting documents; |
− | --- | --- |
+ (c) organising the project selection, including the project evaluation or the due diligence assessment and ranking;
− | (c) | organising the project selection, including the project evaluation or the due diligence assessment and ranking; |
− | --- | --- |
+ (d) advising the Commission on the projects to be awarded the Innovation Fund support and on projects to be included in the reserve list;
− | (d) | advising the Commission on the projects to be awarded the Innovation Fund support and on projects to be included in the reserve list; |
− | --- | --- |
+ (e) awarding or providing project development assistance;
− | (e) | awarding or providing project development assistance; |
− | --- | --- |
+ (f) signature of the grant agreements and other contracts depending on the form of Innovation Fund support;
− | (f) | signature of the grant agreements and other contracts depending on the form of Innovation Fund support; |
− | --- | --- |
+ (g) preparing and managing the contractual documentation concerning the awarded projects;
− | (g) | preparing and managing the contractual documentation concerning the awarded projects; |
− | --- | --- |
+ (h) checking if the conditions for the financing are met and disbursing the Innovation Fund revenues to the project proponents;
− | (h) | checking if the conditions for the financing are met and disbursing the Innovation Fund revenues to the project proponents; |
− | --- | --- |
+ (i) monitoring of the project implementation;
− | (i) | monitoring of the project implementation; |
− | --- | --- |
+ (j) communicating with the project proponents;
− | (j) | communicating with the project proponents; |
− | --- | --- |
+ (k) reporting to the Commission, including on general orientation for the further development of the Innovation Fund;
− | (k) | reporting to the Commission, including on general orientation for the further development of the Innovation Fund; |
− | --- | --- |
+ (l) financial reporting;
− | (l) | financial reporting; |
− | --- | --- |
+ (m) information, communication and promotion actions, including the production of the promotion materials, and the development of the Innovation Fund logo;
− | (m) | information, communication and promotion actions, including the production of the promotion materials, and the development of the Innovation Fund logo; |
− | --- | --- |
+ (n) management of knowledge sharing;
− | (n) | management of knowledge sharing; |
− | --- | --- |
+ (o) supporting the Member States in their efforts to promote the Innovation Fund and to communicate with the project proponents;
− | (o) | supporting the Member States in their efforts to promote the Innovation Fund and to communicate with the project proponents; |
− | --- | --- |
+ (p) any other tasks relating to the implementation of the Innovation Fund
− | (p) | any other tasks relating to the implementation of the Innovation Fund |
− | --- | --- |
+ ### Article 19 — Specific provisions applicable to the implementation of the Innovation Fund in direct management
− ### art_19
+ **1.** Where the Commission designates an executive agency as implementing body under Article 17(1) of this Regulation, such a Commission decision shall be subject to the result of the cost-benefit analysis referred to in Article 3 of Council Regulation (EC) No 58/2003 (1) and the agreement referred…
− Article 19
+ **2.** Where amounts disbursed by way of direct management are recovered under Articles 7 and 8 of this Regulation, the recovered amounts shall constitute assigned revenue in accordance with Article 21 of the Financial Regulation and shall be used to finance the Innovation Fund operations.
− 1. Where the Commission designates an executive agency as implementing body under Article 17(1) of this Regulation, such a Commission decision shall be subject to the result of the cost-benefit analysis referred to in Article 3 of Council Regulation (EC) No 58/2003 (6) and the agreement referred to …
+ **3.** For all implementing tasks carried out by the Commission, including through an executive agency, the revenue of the Innovation Fund shall constitute external assigned revenue within the meaning of paragraphs 1 and 5 of Article 21 of the Financial Regulation. That assigned revenue shall also c…
− 2. Where amounts disbursed by way of direct management are recovered under Articles 7 and 8 of this Regulation, the recovered amounts shall constitute assigned revenue in accordance with Article 21 of the Financial Regulation and shall be used to finance the Innovation Fund operations.
+ **4.** A project that has received the Innovation Fund support may also receive a contribution from any other Union programme, including Funds under shared management, provided that the contributions do not cover the same costs. The cumulative financing shall not exceed the total eligible costs of t…
− 3. For all implementing tasks carried out by the Commission, including through an executive agency, the revenue of the Innovation Fund shall constitute external assigned revenue within the meaning of paragraphs 1 and 5 of Article 21 of the Financial Regulation. That assigned revenue shall also cover…
+ ### Article 20 — Management of the Innovation Fund revenues
− 4. A project that has received the Innovation Fund support may also receive a contribution from any other Union programme, including Funds under shared management, provided that the contributions do not cover the same costs. The cumulative financing shall not exceed the total eligible costs of the p…
+ **1.** The Commission shall ensure that the allowances destined for the Innovation Fund are auctioned in accordance with the principles and modalities laid down in Article 10(4) of Directive 2003/87/EC and shall manage the Innovation Fund revenues in accordance with the objectives of Directive 2003/…
− ### art_20
+ **2.** The Commission shall ensure that the revenues referred to in paragraph 1 are passed on to the implementing body, in a timely manner, for financing the costs related to the implementation activities and for the disbursement to the awarded projects.
− Article 20
+ **3.** The Commission may delegate the monetisation of allowances and the management of the Innovation Fund revenues to the European Investment Bank (EIB). In the case of such a delegation, the Commission and the EIB shall enter into an agreement laying down the specific terms and conditions under w…
− 1. The Commission shall ensure that the allowances destined for the Innovation Fund are auctioned in accordance with the principles and modalities laid down in Article 10(4) of Directive 2003/87/EC and shall manage the Innovation Fund revenues in accordance with the objectives of Directive 2003/87/E…
+ **4.** Subject to the provisions of Directive 2003/87/EC, Innovation Fund revenues remaining at the end of the eligibility period for the supported projects shall be used to support new projects that meet the eligibility criteria laid down in Article 10a(8) of Directive 2003/87/EC until all the reve…
− 2. The Commission shall ensure that the revenues referred to in paragraph 1 are passed on to the implementing body, in a timely manner, for financing the costs related to the implementation activities and for the disbursement to the awarded projects.
+ ### Article 21 — Role of the Member States
− 3. The Commission may delegate the monetisation of allowances and the management of the Innovation Fund revenues to the European Investment Bank (EIB). In the case of such a delegation, the Commission and the EIB shall enter into an agreement laying down the specific terms and conditions under which…
+ **1.** When implementing the Innovation Fund, the Commission shall consult with and be assisted by the Member States.
− 4. Subject to the provisions of Directive 2003/87/EC, Innovation Fund revenues remaining at the end of the eligibility period for the supported projects shall be used to support new projects that meet the eligibility criteria laid down in Article 10a(8) of Directive 2003/87/EC until all the revenues…
+ **2.** The Member States shall be consulted on:▼M1(a) the list of the pre-selected projects, including the reserve list, and the list of projects proposed for project development assistance in accordance with Article 12(2), second subparagraph, or Article 12a(3), prior to the award of the support;▼B…
− ### art_21
+ **3.** The Member States shall, if requested by the Commission, advise and assist the Commission in:(a) setting general orientations for the Innovation Fund;(b) addressing existing or emerging project implementation problems;(c) dealing with any other issue relating to the project implementation.
− Article 21
+ **4.** The Commission shall report to the Member States on the progress made in implementing this Regulation, in particular on the implementation of award decisions referred to in Article 12(5) or Article 12a(5).
− 1. When implementing the Innovation Fund, the Commission shall consult with and be assisted by the Member States.
+ ### Article 22 — Role of the stakeholders
− 2. The Member States shall be consulted on:
− 
− | (a) | the list of the pre-selected projects, including the reserve list, and the list of projects proposed for project development assistance in accordance with Article 12(2), prior to the award of the support; |
− | --- | --- |
− 
− | (b) | draft Commission decisions referred to in Article 9(1), Article 14(2) and Article 15(1); |
− | --- | --- |
− 
− | (c) | the maximum amount of the Innovation Fund support to be made available for the project development assistance; |
− | --- | --- |
− 
− 3. The Member States shall, if requested by the Commission, advise and assist the Commission in:
− 
− | (a) | setting general orientations for the Innovation Fund; |
− | --- | --- |
− 
− | (b) | addressing existing or emerging project implementation problems; |
− | --- | --- |
− 
− | (c) | dealing with any other issue relating to the project implementation. |
− | --- | --- |
− 
− 4. The Commission shall report to the Member States on the progress made in implementing this Regulation, in particular on the implementation of award decisions referred to in Article 12(5).
− ### art_22
− 
− Article 22
− 
+ ## CHAPTER V — Monitoring reporting, and evaluation
− ### art_23
+ ### Article 23 — Monitoring and reporting
− Article 23
+ **1.** The implementing body shall monitor the operation of the Innovation Fund, including the amounts of the disbursed Innovation Fund support.
− 1. The implementing body shall monitor the operation of the Innovation Fund, including the amounts of the disbursed Innovation Fund support.
+ **2.** With a view to ensuring that data for monitoring refered to in paragprah 1 and results are collected efficiently, effectively and in a timely manner, proportionate reporting requirements may be imposed on the project proponents. The reports of the project proponents shall include the informat…
− 2. With a view to ensuring that data for monitoring refered to in paragprah 1 and results are collected efficiently, effectively and in a timely manner, proportionate reporting requirements may be imposed on the project proponents. The reports of the project proponents shall include the information …
+ **3.** The implementing body shall regularly report to the Commission on the performance of its tasks.
− 3. The implementing body shall regularly report to the Commission on the performance of its tasks.
+ **4.** The implementing body shall report to the Commission on the full cycle of the disbursement of support, and in particular on the organisation of the calls for proposals, and on the signatures of contracts with the project proponents.
− 4. The implementing body shall report to the Commission on the full cycle of the disbursement of support, and in particular on the organisation of the calls for proposals, and on the signatures of contracts with the project proponents.
+ **5.** After completion of the each call for proposals, the Commission shall report to the Member States on the implementation of that call for proposals.
− 5. After completion of the each call for proposals, the Commission shall report to the Member States on the implementation of that call for proposals.
+ **6.** The Commission shall report annually to the Council and to the European Parliament on the progress of the implementation of the Innovation Fund.
− 6. The Commission shall report annually to the Council and to the European Parliament on the progress of the implementation of the Innovation Fund.
+ **7.** Implementing bodies, other than executive agencies, and entities to which the management of the Innovation Fund revenues has been delegated pursuant Article 20(3) shall provide the Commission with the following:(a) by 15 February, unaudited financial statements covering the preceding financia…
− 7. Implementing bodies, other than executive agencies, and entities to which the management of the Innovation Fund revenues has been delegated pursuant Article 20(3) shall provide the Commission with the following:
− 
− | (a) | by 15 February, unaudited financial statements covering the preceding financial year, which shall run from 1 January to 31 December, in respect of the activities delegated to those implementing bodies and entities; |
− | --- | --- |
− 
− | (b) | by 15 March of the year of the transmission of the unaudited financial statements, the audited financial statements covering the preceding financial year, which shall run from 1 January to 31 December, in respect of the activities delegated to those implementing bodies and entities. |
− | --- | --- |
+ ### Article 24 — Evaluation
− ### art_24
+ **1.** In 2025 and every five years thereafter, the Commission shall carry out an evaluation on the operation of the Innovation Fund. The evaluation shall focus on, but shall not be limited to, the assessment of synergies between the Innovation Fund and other relevant Union programmes, as well as th…
− Article 24
+ **2.** Based on the results of the evaluations referred to in paragraph 1 of this Article, the Commission shall, where appropriate, make proposals to ensure that the Innovation Fund progresses towards the achievement of its objectives provided for in Directive 2003/87/EC and in Article 3 of this Reg…
− 1. In 2025 and every five years thereafter, the Commission shall carry out an evaluation on the operation of the Innovation Fund. The evaluation shall focus on, but shall not be limited to, the assessment of synergies between the Innovation Fund and other relevant Union programmes, as well as the pr…
+ **3.** At the end of the implementation of the Innovation Fund, but no later than in 2035, the Commission shall carry out a final evaluation of the operation of the Innovation Fund.
− 2. Based on the results of the evaluations referred to in paragraph 1 of this Article, the Commission shall, where appropriate, make proposals to ensure that the Innovation Fund progresses towards the achievement of its objectives provided for in Directive 2003/87/EC and in Article 3 of this Regulat…
+ **4.** The Commission shall make the results of the evaluations undertaken pursuant to paragraphs 1, 2, and 3 publicly available.
− 3. At the end of the implementation of the Innovation Fund, but no later than in 2035, the Commission shall carry out a final evaluation of the operation of the Innovation Fund.
+ ## CHAPTER VI — Audits, publicity and knowledge sharing
− 4. The Commission shall make the results of the evaluations undertaken pursuant to paragraphs 1, 2, and 3 publicly available.
+ ### Article 25 — Audits
− ### art_25
+ **1.** Audits on the use of the Innovation Fund support carried out by independent external auditors, including by other than those mandated by the Union Institutions or bodies, shall form the basis of the overall assurance pursuant to Article 26.
− Article 25
+ **2.** Any person or entity receiving Innovation Fund support shall agree in writing to grant the necessary rights and access as provided for to in Article 129 of the Financial Regulation.
− 1. Audits on the use of the Innovation Fund support carried out by independent external auditors, including by other than those mandated by the Union Institutions or bodies, shall form the basis of the overall assurance pursuant to Article 26.
+ ### Article 26 — Cross-reliance on audits
− 2. Any person or entity receiving Innovation Fund support shall agree in writing to grant the necessary rights and access as provided for to in Article 129 of the Financial Regulation.
− 
− ### art_26
− 
− Article 26
+ ### Article 27 — Communication, knowledge sharing and publicity
− ### art_27
+ **1.** The project proponents shall proactively and systematically make publicly available on their websites information relating to projects supported under this Regulation. Such information shall include an explicit reference to the Innovation Fund support received.
− Article 27
+ **2.** The project proponents shall ensure the provision of coherent, effective and targeted information on the Innovation Fund support received to multiple audiences, including the media and the public.
− 1. The project proponents shall proactively and systematically make publicly available on their websites information relating to projects supported under this Regulation. Such information shall include an explicit reference to the Innovation Fund support received.
− 
− 2. The project proponents shall ensure the provision of coherent, effective and targeted information on the Innovation Fund support received to multiple audiences, including the media and the public.
+ **3.** The Innovation Fund logo or other promotional elements required in the contractual documentation shall be used for all communication and knowledge-sharing activities and appear on notice boards at strategic places visible to the public.
− 3. The Innovation Fund logo or other promotional elements required in the contractual documentation shall be used for all communication and knowledge-sharing activities and appear on notice boards at strategic places visible to the public.
+ **4.** The project proponents shall provide detailed information on the planned actions in accordance with paragraphs 1 and 2 of this Article in the knowledge-sharing plan submitted in accordance with Article 10(2), third subparagraph.
− 4. The project proponents shall provide detailed information on the planned actions in accordance with paragraphs 1 and 2 of this Article in the knowledge-sharing plan submitted in accordance with Article 10(3).
+ **5.** The implementing body shall perform information, communication and promotion actions relating to the Innovation Fund support and results. The implementing body shall organise specific seminars, workshops or, where appropriate, other types of activities to facilitate exchanges of experience, k…
− 5. The implementing body shall perform information, communication and promotion actions relating to the Innovation Fund support and results. The implementing body shall organise specific seminars, workshops or, where appropriate, other types of activities to facilitate exchanges of experience, knowl…
+ ## CHAPTER VII — Final provisions
− ### art_28
+ ### Article 28 — Entry into force
− Article 28
+ This Regulation shall enter into force on the twentieth day following that of its publication in the *Official Journal of the European Union*.
− This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.