What changed, Commission Implementing Regulation (EU) 2020/1001 of 9 July 2020 laying down detailed rules for the applicatio…

+ ## CHAPTER I — GENERAL PROVISIONS
− ### art_1
+ ### Article 1 — Subject matter
− Article 1
+ (a) submission of proposals for financing of investments;
− | (a) | submission of proposals for financing of investments; |
− | --- | --- |
+ (b) assessment of priority investments and non-priority investments;
− | (b) | assessment of priority investments and non-priority investments; |
− | --- | --- |
+ (c) management, disbursement and payment of the resources from the Modernisation Fund;
− | (c) | management, disbursement and payment of the resources from the Modernisation Fund; |
− | --- | --- |
+ (d) composition and operation of the Investment Committee for the Modernisation Fund (‘Investment Committee’);
− | (d) | composition and operation of the Investment Committee for the Modernisation Fund (‘Investment Committee’); |
− | --- | --- |
+ (e) monitoring, reporting, evaluation, and auditing;
− | (e) | monitoring, reporting, evaluation, and auditing; |
− | --- | --- |
+ (f) information and transparency.
− | (f) | information and transparency. |
− | --- | --- |
+ ### Article 2 — Definitions
− ### art_2
− Article 2
− 
+ (1) ‘beneficiary Member State’ means a Member State listed in Annex IIb to Directive 2003/87/EC;
− | (1) | ‘beneficiary Member State’ means a Member State listed in Annex IIb to Directive 2003/87/EC; |
− | --- | --- |
+ (2) ‘non-priority investment’ means an investment that does not fall into any area listed in Article 10d(2) of Directive 2003/87/EC;
− | (2) | ‘non-priority investment’ means an investment that does not fall into any area listed in Article 10d(2) of Directive 2003/87/EC; |
− | --- | --- |
+ (3) ‘non-priority small-scale project’ means a non-priority investment receiving State aid the total amount of which meets the criteria of the *de minimis* aid in accordance with Article 3 of Commission Regulation (EU) No 1407/2013 (1);
− | (3) | ‘non-priority small-scale project’ means a non-priority investment receiving State aid the total amount of which meets the criteria of the de minimis aid in accordance with Article 3 of Commission Regulation (EU) No 1407/2013 (4); |
− | --- | --- |
+ (4) ‘priority investment’ means an investment that falls into at least one area listed in Article 10d(2) of Directive 2003/87/EC;
− | (4) | ‘priority investment’ means an investment that falls into at least one area listed in Article 10d(2) of Directive 2003/87/EC; |
− | --- | --- |
+ (5) ‘scheme’ means an investment proposal which complies with the following criteria: (a) it comprises a consistent set of priorities coherent with the objectives of the Modernisation Fund, and because of the characteristics of the projects under the scheme, it can be qualified either as a priority …
− | (5) | ‘scheme’ means an investment proposal which complies with the following criteria:(a)it comprises a consistent set of priorities coherent with the objectives of the Modernisation Fund, and because of the characteristics of the projects under the scheme, it can be qualified either as a priorit…
− | --- | --- |
− | (a) | it comprises a consistent set of priorities coherent with the objectives of the Modernisation Fund, and because of the characteristics of the projects under the scheme, it can be qualified either as a priority or non-priority investment; |
− | (b) | it has a duration of more than one year; |
− | (c) | it has a national or regional scope; and |
− | (d) | it aims to support more than one public or private person or entity responsible for initiating or initiating and implementing projects under the scheme. |
+ (6) ‘large-scale scheme’ means a scheme for which the total Modernisation Fund support requested exceeds EUR 100 000 000 ;
− ### art_3
+ (7) ‘large-scale project’ means an investment other than a scheme, for which the total Modernisation Fund support requested exceeds EUR 70 000 000 ;
− Article 3
+ (8) ‘category of funds’ means any of the following categories of funds available to a beneficiary Member State: (a) funds generated by the auctioning of allowances under Article 10(1), third subparagraph, of Directive 2003/87/EC; (b) funds generated by the auctioning of allowances under Article 10(1…
− 1. By 30 November of each year, each beneficiary Member State shall provide the European Investment Bank (EIB) and the Investment Committee with an overview of investments in respect of which it intends to submit investment proposals in the next two calendar years, as well as updated information on …
+ (9) ‘subcategory of funds’ means any of the following subcategories of funds generated by the auctioning of allowances transferred to the Modernisation Fund in accordance with Article 10(1), third subparagraph, of Directive 2003/87/EC: (a) funds generated before 31 December 2027; (b) funds generated…
− 2. In the overview referred to in paragraph 1, the beneficiary Member State shall provide the following information about each planned investment:
+ ## CHAPTER II — FINANCING OF INVESTMENTS
− | (a) | the name of the project proponent or the scheme managing authority; |
− | --- | --- |
+ ### Article 4 — Submission of investment proposals
− | (b) | the specific location of the investment or the geographical scope of the scheme; |
− | --- | --- |
+ **1.** Beneficiary Member States may submit investment proposals to ►M1 the European Investment Bank (the ‘EIB’)** ◄ ** and the Investment Committee at any time during a calendar year.
− | (c) | an estimate of the total cost of the investment; |
− | --- | --- |
− 
− | (d) | the investment field and a summary description of the investment; |
− | --- | --- |
− 
− | (e) | the status of any State aid assessment concerning the investment, where applicable; |
− | --- | --- |
− 
− | (f) | an estimate of the financing from the Modernisation Fund and an outline of the intended financing proposals. |
− | --- | --- |
− 
− 3. The information included in the overview shall not be binding for the beneficiary Member State when submitting investment proposals in accordance with Article 4.
− 
− ### art_4
− 
− Article 4
− 1. Beneficiary Member States may submit investment proposals to the EIB and the Investment Committee at any time during a calendar year.
− 
+ **2.** Where an investment concerns a scheme, beneficiary Member State shall submit a proposal in accordance with paragraph 1 and specify the amount requested as the first disbursement for the scheme.
− 2. Where an investment concerns a scheme, beneficiary Member State shall submit a proposal in accordance with paragraph 1 and specify the amount requested as the first disbursement for the scheme.
+ **2a.** Where an investment concerns a large-scale project, the beneficiary Member State shall submit a proposal in accordance with paragraph 1.
− 3. Where the beneficiary Member State submits several investment proposals to be assessed in the same biannual disbursement cycle, it shall indicate a priority order for assessment of priority investments and a priority order for assessment of non-priority investments. If the Member State fails to i…
+ When submitting that proposal, the beneficiary Member State shall specify the amount requested as the first disbursement for the large-scale project and submit a project implementation schedule and a corresponding disbursement schedule.
− 4. A proposal concerning a non-priority small-scale project may be submitted only as part of a scheme.
+ After the Commission has decided on the first disbursement to the large-scale project under Article 8(1), any subsequent disbursement shall require a separate proposal from the beneficiary Member State specifying the amount to be disbursed and containing updated information on the large-scale projec…
− 5. The beneficiary Member State shall not request the financing from the resources of the Modernisation Fund of any costs of the investment which are financed by another Union or national instrument.
+ **2b.** Beneficiary Member States shall consult the relevant stakeholders on the draft investment proposals for large-scale projects and large-scale schemes, in compliance with the relevant Union or national provisions on the protection of confidential information. Beneficiary Member States shall se…
− ### art_5
+ **3.** Where the beneficiary Member State submits several investment proposals to be assessed in the same biannual disbursement cycle, it shall indicate a priority order for assessment of priority investments and a priority order for assessment of non-priority investments. If the Member State fails …
+ 
+ **4.** A proposal concerning a non-priority small-scale project may be submitted only as part of a scheme.
− Article 5
+ **5.** The beneficiary Member State shall not request the financing from the resources of the Modernisation Fund of any costs of the investment which are financed by another Union or national instrument.
− 1. Four weeks before the meeting of the Investment Committee referred to in Article 11(1), the EIB shall inform the beneficiary Member State, the Investment Committee and the Commission about the funds available to that Member State to finance investments from the Modernisation Fund (‘statement of t…
+ ### Article 5 — Available funds
− 2. The statement of the available funds shall specify the following:
+ **1.** Four weeks before the meeting of the Investment Committee referred to in Article 11(1), the EIB shall inform the beneficiary Member State, the Investment Committee and the Commission about the funds available to that Member State to finance investments from the Modernisation Fund (‘statement …
− | (a) | the amount held with the EIB, excluding any amounts already disbursed but not yet paid to the Member State in accordance with Article 9, and excluding any costs of the EIB specified in the agreement referred to in Article 12(3); |
− | --- | --- |
+ The statement of the available funds shall specify the categories and subcategories of funds available to the beneficiary Member State, as appropriate.
− | (b) | any amounts disbursed to discontinued investments which increase the resources in the Modernisation Fund available to the beneficiary Member State in accordance with Commission decision referred to in Article 10(2). |
− | --- | --- |
+ **2.** ►M1 For each category and subcategory of funds, the statement of the available funds shall specify the following:** ◄ **(a) the amount held with the EIB, excluding any amounts already disbursed but not yet paid to the Member State in accordance with Article 9, and excluding any costs of the E…
− 3. The closing date of the statement of the available funds shall be the last day of the calendar month preceding the date of transmission of information in accordance with paragraph 1.
+ **3.** The closing date of the statement of the available funds shall be the last day of the calendar month preceding the date of transmission of information in accordance with paragraph 1.
− 4. Without prejudice to paragraphs 1 to 3, the beneficiary Member State may request from the EIB information about the amount earmarked for that Member State held with the EIB at any given point in time.
+ **4.** Without prejudice to paragraphs 1 to 3, the beneficiary Member State may request from the EIB information about the amount earmarked for that Member State held with the EIB at any given point in time.
− ### art_6
+ ### Article 6 — Confirmation of priority investments
− Article 6
+ **1.** Investment proposals submitted by the beneficiary Member States as priority investments shall be assessed by the EIB in the first biannual disbursement cycle of the calendar year, if submitted at least six weeks before the first biannual meeting of the Investment Committee referred to in Arti…
− 1. Investment proposals submitted by the beneficiary Member States as priority investments shall be assessed by the EIB in the first biannual disbursement cycle of the calendar year, if submitted at least six weeks before the first biannual meeting of the Investment Committee referred to in Article …
+ **2.** The EIB may request from the beneficiary Member State any information or documents that it considers necessary to assess the investment, provided that such information or documents are required by Annex I. The EIB shall request the information or documents without undue delay. If the benefici…
− 2. The EIB may request from the beneficiary Member State any information or documents that it considers necessary to assess the investment, provided that such information or documents are required by Annex I. The EIB shall request the information or documents without undue delay. If the beneficiary …
+ **3.** If the EIB is of the opinion that the proposal concerns a non-priority investment, the EIB shall inform thereof the beneficiary Member State not later than within four weeks from submission of the proposal, and state the reasons for its conclusion. In that case, the proposal shall be assessed…
− 3. If the EIB is of the opinion that the proposal concerns a non-priority investment, the EIB shall inform thereof the beneficiary Member State not later than within four weeks from submission of the proposal, and state the reasons for its conclusion. In that case, the proposal shall be assessed in …
+ **4.** If the proposal does not comply with Article 10d(1) of Directive 2003/87/EC or the requirements of this Regulation, the EIB shall return the proposal to the beneficiary Member State not later than within four weeks from submission of the proposal, and state the reasons for its conclusion. The…
− 4. If the proposal does not comply with Article 10d(1) of Directive 2003/87/EC or the requirements of this Regulation, the EIB shall return the proposal to the beneficiary Member State not later than within four weeks from submission of the proposal, and state the reasons for its conclusion. The EIB…
+ **5.** The assessment of the proposal shall include verification of the costs of the proposed investment, unless the proportionality of the amount of aid received has been verified by the Commission under the relevant State aid procedure.
− 5. The assessment of the proposal shall include verification of the costs of the proposed investment, unless the proportionality of the amount of aid received has been verified by the Commission under the relevant State aid procedure.
+ **6.** The EIB shall assess the proposal respecting the applicable Union law.
− 6. The EIB shall assess the proposal respecting the applicable Union law.
+ **7.** The EIB may confirm the proposal as a priority investment provided that the following conditions are met:(a) the beneficiary Member State has demonstrated that the investment complies with the requirements laid down in Article 10d(1) of Directive 2003/87/EC and that it falls into at least one…
− 7. The EIB may confirm the proposal as a priority investment provided that the following conditions are met:
+ **8.** Where a proposal concerns a subsequent disbursement for a scheme or a large-scale project confirmed by the EIB in accordance with paragraph 9 prior to the first disbursement and there have been no changes to the scheme or the large-scale project, the EIB may confirm the proposal as a priority…
− | (a) | the beneficiary Member State has demonstrated that the investment complies with the requirements laid down in Article 10d(1) of Directive 2003/87/EC and that it falls into at least one area listed in Article 10d(2) of that directive; |
− | --- | --- |
+ **9.** The EIB shall decide on confirmation of the proposal as a priority investment at the latest two weeks before the meeting of the Investment Committee referred to in Article 11(1).
− | (b) | the beneficiary Member State has sufficient funds available according to the statement of the available funds referred to in Article 5(1) and after deduction of any amounts to be disbursed for investments already confirmed in accordance with paragraph 9 of this Article; |
− | --- | --- |
− 
− | (c) | the beneficiary Member State has provided evidence that the investment proposal fulfils either of the following requirements:—obtained State aid clearance in accordance with the Commission decision,—is exempted from the State aid notification in accordance with Commission Regulation (EU) No …
− | --- | --- |
− | — | obtained State aid clearance in accordance with the Commission decision, |
− | — | is exempted from the State aid notification in accordance with Commission Regulation (EU) No 651/2014 (5), |
− | — | does not constitute State aid within the meaning of Article 107(1) of the Treaty; |
− | (d) | the beneficiary Member State has confirmed in writing that the investment complies with any other applicable requirements of Union and national law; |
− | --- | --- |
− 
− | (e) | according to the information provided by the beneficiary Member State about contributions from other Union and national instruments, the amounts requested from the Modernisation Fund are not intended to cover the same costs of the investment as those financed by another Union or national ins…
− | --- | --- |
− 
− 8. Where a proposal concerns a subsequent disbursement for a scheme confirmed by the EIB in accordance with paragraph 9 prior to the first disbursement, the assessment of the proposal by the EIB shall be limited to verification of the available funds in accordance with point (b) of paragraph 7, prov…
− 
− 9. The EIB shall decide on confirmation of the proposal as a priority investment at the latest two weeks before the meeting of the Investment Committee referred to in Article 11(1).
− 
+ **10.** At the latest one week before the meeting of the Investment Committee referred to in Article 11(1), the EIB shall inform the Committee about the investment proposals of each beneficiary Member State confirmed as priority investments in accordance with paragraph 9 of this Article and the amou…
− 10. At the latest one week before the meeting of the Investment Committee referred to in Article 11(1), the EIB shall inform the Committee about the investment proposals of each beneficiary Member State confirmed as priority investments in accordance with paragraph 9 of this Article and the amount t…
+ **11.** An investment proposal that substantially duplicates a prior proposal not confirmed by the EIB is inadmissible.
− ### art_7
+ ### Article 7 — Recommendations on non-priority investments
− Article 7
+ **1.** The investment proposals submitted by the beneficiary Member States as non-priority investments shall be assessed by the Investment Committee in the first biannual disbursement cycle of the calendar year, if submitted at least 10 weeks before the first biannual meeting of the Investment Commi…
− 1. The investment proposals submitted by the beneficiary Member States as non-priority investments shall be assessed by the Investment Committee in the first biannual disbursement cycle of the calendar year, if submitted at least 10 weeks before the first biannual meeting of the Investment Committee…
− 
− 2. At the latest two weeks before the meeting of the Investment Committee referred to in Article 11(1), the EIB shall complete a technical and financial due diligence assessment of the proposal, including an assessment of the expected emission reductions.
+ **2.** At the latest two weeks before the meeting of the Investment Committee referred to in Article 11(1), the EIB shall complete a technical and financial due diligence assessment of the proposal, including an assessment of the expected emission reductions.
− 3. The EIB may request from the beneficiary Member State any information or documents that it considers necessary to carry out the technical and financial due diligence assessment, provided that such information or documents are required by Annex I. The EIB shall request the information or documents…
+ **3.** The EIB may request from the beneficiary Member State any information or documents that it considers necessary to carry out the technical and financial due diligence assessment, provided that such information or documents are required by Annex I. The EIB shall request the information or docum…
− 4. The financial due diligence assessment by the EIB shall include verification of the costs of the proposed investment, unless the proportionality of the amount of aid received has been verified by the Commission under the relevant State aid procedure.
+ **4.** The financial due diligence assessment by the EIB shall include verification of the costs of the proposed investment, unless the proportionality of the amount of aid received has been verified by the Commission under the relevant State aid procedure.
− 5. The EIB shall carry out the due diligence assessment respecting the applicable Union law.
+ **5.** The EIB shall carry out the due diligence assessment respecting the applicable Union law.
− 6. The due diligence assessment by the EIB shall be accompanied by a statement of the EIB representative regarding the endorsement of the financing of the investment proposal. The EIB shall forthwith transmit the due diligence assessment to the Investment Committee.
+ **6.** The due diligence assessment by the EIB shall be accompanied by a statement of the EIB representative regarding the endorsement of the financing of the investment proposal. The EIB shall forthwith transmit the due diligence assessment to the Investment Committee.
− 7. The Investment Committee may issue a recommendation on financing the investment proposal provided that the following conditions are met:
+ **7.** The Investment Committee may issue a recommendation on financing the investment proposal provided that the following conditions are met:(a) the beneficiary Member State has demonstrated that the investment complies with the requirements laid down in Article 10d(1) of Directive 2003/87/EC;▼M1(…
− | (a) | the beneficiary Member State has demonstrated that the investment complies with the requirements laid down in Article 10d(1) of Directive 2003/87/EC; |
− | --- | --- |
+ **8.** Where a proposal concerns a subsequent disbursement for a scheme or a large-scale project recommended for the financing by the Investment Committee in accordance with paragraph 9 prior to the first disbursement and there have been no changes to the scheme or the large-scale project, the Inves…
− | (b) | the beneficiary Member State has sufficient funds available according to the statement of the available funds referred to in Article 5(1) and after deduction of any amounts to be disbursed according to information specified in Article 6(10) and on the basis of the recommendations already iss…
− | --- | --- |
+ **9.** The Investment Committee shall issue a recommendation on the investment proposal in the meeting referred to in Article 11(1), specifying the amount of the support from the Modernisation Fund, stating the reasons for its conclusion, and including any suggestions regarding appropriate financing…
− | (c) | the share of the funds allocated to priority investments is at least 70 % of the total amount of funds used by the beneficiary Member State, including the following funds:—funds already disbursed for priority and non-priority investments,—funds still to be disbursed according to information …
− | --- | --- |
− | — | funds already disbursed for priority and non-priority investments, |
− | — | funds still to be disbursed according to information specified in Article 6(10), |
− | — | funds still to be disbursed in accordance with the recommendations already issued under paragraph 9, |
− | — | funds requested for the investment proposal under the assessment; |
+ **10.** If the Investment Committee does not recommend financing the investment, it shall state the reasons for its conclusion. In such case, the investment shall not be supported from the Modernisation Fund. The concerned Member State may revise the investment proposal taking into consideration the…
− | (d) | the financing complies with the fourth sentence of the second subparagraph of Article 10d(6) of Directive 2003/87/EC; |
− | --- | --- |
+ **11.** An investment proposal that substantially duplicates a prior proposal not recommended by the Investment Committee is inadmissible.
− | (e) | the beneficiary Member State has provided evidence that the investment proposal fulfils any of the following requirements:—it has obtained State aid clearance in accordance with the Commission decision,—it is exempted from the State aid notification in accordance with Regulation (EU) No 651/…
− | --- | --- |
− | — | it has obtained State aid clearance in accordance with the Commission decision, |
− | — | it is exempted from the State aid notification in accordance with Regulation (EU) No 651/2014, |
− | — | it does not constitute State aid within the meaning of Article 107(1) of the Treaty; |
+ ### Article 8 — Disbursement decision of the Commission
− | (f) | the beneficiary Member State has confirmed in writing that the investment complies with any other applicable requirements of Union and national law; |
− | --- | --- |
+ **1.** After the meeting referred to in Article 11(1) of this Regulation, the Commission shall without undue delay adopt the decision referred to in Article 10d(3) of Directive 2003/87/EC specifying the amount of the resources from the Modernisation Fund to be disbursed to each investment confirmed …
− | (g) | according to the information provided by the beneficiary Member State about contributions from other Union and national instruments, the amounts requested from the Modernisation Fund are not intended to cover the same costs of the investment as those financed by another Union or national ins…
− | --- | --- |
− 8. Where a proposal concerns a subsequent disbursement for a scheme recommended for the financing by the Investment Committee in accordance with paragraph 9 prior to the first disbursement, the proposal shall not require carrying out of due diligence assessment by the EIB, and the assessment of the …
− 
− 9. The Investment Committee shall issue a recommendation on the investment proposal in the meeting referred to in Article 11(1), specifying the amount of the support from the Modernisation Fund, stating the reasons for its conclusion, and including any suggestions regarding appropriate financing ins…
− 
− 10. If the Investment Committee does not recommend financing the investment, it shall state the reasons for its conclusion. In such case, the investment shall not be supported from the Modernisation Fund. The concerned Member State may revise the investment proposal taking into consideration the fin…
− 
− ### art_8
− 
− Article 8
− 
− 1. After the meeting referred to in Article 11(1) of this Regulation, the Commission shall without undue delay adopt the decision referred to in Article 10d(3) of Directive 2003/87/EC specifying the amount of the resources from the Modernisation Fund to be disbursed to each investment confirmed as a…
− 
+ **2.** The Commission shall notify the disbursement decision to the beneficiary Member State concerned and inform thereof the EIB, the Investment Committee and, where relevant, the non-beneficiary Member State in which the adjacent Union border region involved in the investment is located.
− 2. The Commission shall notify the disbursement decision to the beneficiary Member States concerned, and it shall inform thereof the EIB and the Investment Committee.
+ ### Article 9 — Payments
− ### art_9
− 
− Article 9
+ ### Article 10 — Discontinued investments
− ### art_10
+ **1.** Subject to the annual report submitted by the beneficiary Member State under Article 13, an investment shall be deemed discontinued in either of the following cases:a) the beneficiary Member State or the scheme managing authority has not entered, within two years from the latest transmission …
− Article 10
+ **2.** In the decision adopted under Article 8 the Commission shall modify the amount already disbursed for the discontinued investment by deducting any amount not yet legally committed where the investment is discontinued under paragraph 1, point (a), or not yet awarded where the investment is disc…
− 1. Subject to the documentary evidence provided by the beneficiary Member State in the annual report referred to in Article 13, an investment shall be deemed discontinued in either of the following cases:
+ **3.** Without prejudice to paragraph 1 of this Article, prior to the closing date of the statement of the available funds, set out in Article 5(3), the beneficiary Member State may inform the Commission about a discontinued investment and request a modification of the disbursement decision in accor…
− | (a) | the project proponent or the scheme managing authority has not financed the investment for the period exceeding two consecutive years; |
− | --- | --- |
+ Paragraph 2 shall apply to the modification of the disbursement decision, to the increase of the resources in the Modernisation Fund available to the Member State concerned, and to setting off the amount returned to the Fund against any future payment by the EIB to the Member State.
− | (b) | the project proponent has not spent the total amount of the revenues from the Modernisation Fund disbursed to the investment within five years from the date of the relevant disbursement decision of the Commission. |
− | --- | --- |
+ ### Article 11 — Operation of the Investment Committee
− Point (b) shall not apply to schemes.
+ **1.** The Investment Committee shall meet twice a year, at the latest by 15 July and 15 December. The secretariat of the Investment Committee shall communicate the date of the meeting to the Member States as soon as that date becomes available.
− 2. By the decision adopted in accordance with Article 8, the Commission shall modify the amount already disbursed for the discontinued investment by deducting any amount not yet paid by the beneficiary Member State to the project proponent or the scheme managing authority. Any such unpaid amount sha…
+ **2.** Unless the Committee issues a recommendation in accordance with the first and second sentence of the second subparagraph of Article 10d(7) of Directive 2003/87/EC, it shall be quorate if at least half of the representatives of the beneficiary Member States, all representatives of the non-bene…
− 3. Without prejudice to paragraph 1 of this Article, prior to the closing date of the statement of the available funds referred to in Article 5(3), the beneficiary Member State may inform the Commission about a discontinued investment and request a modification of the disbursement decision in accord…
+ **3.** The non-beneficiary Member States shall elect three representatives in the Investment Committee in a vote comprising all candidates. Each non-beneficiary Member State may propose one candidate. The three candidates who received the largest numbers of votes shall be elected. If two or more can…
− ### art_11
+ **3a.** Where an investment proposal is to be financed exclusively from the revenues generated from the auctioning of the allowances referred to in Article 10(1), third subparagraph of Directive 2003/87/EC or of the allowances transferred to the Modernisation Fund under Article 10d(4), of that Direc…
− Article 11
+ **3b.** Where an investment proposal involves an adjacent Union border region located in a non-beneficiary Member State which is represented in the Investment Committee, and the representative of the EIB does not endorse financing of that investment proposal, the representative of that non-beneficia…
− 1. The Investment Committee shall meet twice a year, at the latest by 15 July and 15 December. The secretariat of the Investment Committee shall communicate the date of the meeting to the Member States as soon as that date becomes available.
+ **4.** The members of the Investment Committee may not have financial or other interests in industries which qualify for the Modernisation Fund support, whether direct or indirect, which could affect their impartiality or may objectively be perceived as such. They shall act in the public interest an…
− 2. Unless the Committee issues a recommendation in accordance with the first and second sentence of the second subparagraph of Article 10d(7) of Directive 2003/87/EC, it shall be quorate if at least half of the representatives of the beneficiary Member States, all representatives of the non-benefici…
+ **5.** The EIB shall provide administrative and logistic support to the Investment Committee (the secretariat), including support with the administration of a website dedicated to the Modernisation Fund.
− 3. The non-beneficiary Member States shall elect three representatives in the Investment Committee in a vote comprising all candidates. Each non-beneficiary Member State may propose one candidate. The three candidates who received the largest numbers of votes shall be elected. If two or more candida…
+ **6.** On a proposal from the competent Commission department, the Investment Committee shall establish its rules of procedure which shall, in particular, lay down procedures for the following:(a) appointment of members and observers to the Investment Committee, and their alternates;(b) organisation…
− 4. The members of the Investment Committee may not have financial or other interests in industries which qualify for the Modernisation Fund support, whether direct or indirect, which could affect their impartiality or may objectively be perceived as such. They shall act in the public interest and in…
+ **7.** Members of the Investment Committee shall not receive any remuneration or reimbursement of costs for their participation in the activities of the Committee.
− 5. The EIB shall provide administrative and logistic support to the Investment Committee (the secretariat), including support with the administration of a website dedicated to the Modernisation Fund.
+ ### Article 12 — Asset management guidelines and agreement with the EIB
− 6. On a proposal from the competent Commission department, the Investment Committee shall establish its rules of procedure which shall, in particular, lay down procedures for the following:
+ **1.** The EIB shall develop asset management guidelines to manage the revenues from the Modernisation Fund, to ensure that those revenues are managed in accordance with the objectives of Directive 2003/87/EC and the internal rules of the EIB.
− | (a) | appointment of members and observers to the Investment Committee, and their alternates; |
− | --- | --- |
+ **2.** After consulting the Member States, the Commission shall enter into an agreement with the EIB laying down the specific terms and conditions under which the EIB shall perform its tasks in relation to implementation of the Modernisation Fund. Those terms and conditions shall cover the following…
− | (b) | organisation of the meetings of the Investment Committee; |
− | --- | --- |
+ **3.** The agreement referred to in paragraph 2 shall specify the mechanism for the recovery of the costs of the EIB for the performance of its tasks. The costs recovery mechanism related to confirmation of priority investments and carrying out of due diligence of non-priority investments shall take…
− | (c) | detailed rules regarding conflict of interest, including the model declaration of interests. |
− | --- | --- |
+ ## CHAPTER III — MONITORING, REPORTING, EVALUATION AND AUDITING
− 7. Members of the Investment Committee shall not receive any remuneration or reimbursement of costs for their participation in the activities of the Committee.
+ ### Article 13 — Monitoring, reporting and forward planning by the beneficiary Member States
− ### art_12
+ **1.** Beneficiary Member States shall monitor implementation of investments financed from the Modernisation Fund. By 30 April, beneficiary Member States shall submit to the Commission an annual report for the preceding year containing information specified in Annex II.
− Article 12
+ **2.** The annual report referred to in paragraph 1 shall be accompanied by an overview of the investments in respect of which the beneficiary Member State intends to submit investment proposals in the next two calendar years, with an outlook until 2030, as well as by updated information on investme…
− 1. The EIB shall develop asset management guidelines to manage the revenues from the Modernisation Fund, taking into account the objectives of Directive 2003/87/EC and the internal rules of the EIB.
+ **3.** The overview and, to the extent possible, the outlook until 2030 referred to in paragraph 2 shall contain the information specified in Annex III.
− 2. After consulting the Member States, the Commission shall enter into an agreement with the EIB laying down the specific terms and conditions under which the EIB shall perform its tasks in relation to implementation of the Modernisation Fund. Those terms and conditions shall cover the following tas…
+ **4.** The information included in the overview referred to in paragraph 2 shall not be binding for the beneficiary Member State when submitting investment proposals under Article 4.
− | (a) | auctioning and monetisation of the allowances destined for the Modernisation Fund, in accordance with Commission Regulation (EU) No 1031/2010 (6); |
− | --- | --- |
+ **5.** Beneficiary Member States shall ensure that the relevant stakeholders are consulted on the draft of the overview referred to in paragraph 2. Beneficiary Member States shall set reasonable timeframes for the relevant stakeholders to be informed and express their views before the overview is su…
− | (b) | management of the revenues from the Modernisation Fund; |
− | --- | --- |
+ ### Article 13a — Monitoring and reporting by non-beneficiary Member States concerning investments involving the adjacent Union border regions
− | (c) | confirmation of the priority investment proposals under Article 6 and carrying out due-diligence of non-priority investment proposals under Article 7; |
− | --- | --- |
+ Where the beneficiary Member State uses the resources allocated to it to finance investments involving the adjacent Union border region, the non-beneficiary Member State in which that region is located shall provide to the beneficiary Member State any information and documentary evidence that is nec…
− | (d) | providing the secretariat to the Investment Committee, including administration of a website dedicated to the Modernisation Fund; |
− | --- | --- |
+ ### Article 14 — Reporting by the Investment Committee
− | (e) | preparation of draft reports of the Investment Committee under Article 14. |
− | --- | --- |
+ **1.** The annual report of the Investment Committee referred to in the first sentence of Article 10d(11) of Directive 2003/87/EC shall include the following information:▼M1(a) the number of investment proposals received and investment proposals confirmed, including the specification of the investme…
− 3. The agreement referred to in paragraph 2 shall specify the mechanism for the recovery of the costs of the EIB for the performance of its tasks. The costs recovery mechanism related to confirmation of priority investments and carrying out of due diligence of non-priority investments shall take int…
+ **2.** On the basis of a draft prepared by the EIB, the Investment Committee shall adopt the final report for the preceding year by ►M1 15 November** ◄ **, and it shall forthwith submit it to the Commission.
− ### art_13
+ ### Article 15 — Review and evaluation of the Fund
− Article 13
+ **1.** In the review referred to in the second sentence of Article 10d(11) of Directive 2003/87/EC, the Commission shall cover the following areas:(a) confirmation of priority investments by the EIB;(b) assessment of non-priority investments by the Investment Committee;(c) financing and monitoring o…
− 1. Beneficiary Member States shall monitor implementation of investments financed from the Modernisation Fund. By 30 April, beneficiary Member States shall submit to the Commission an annual report for the preceding year containing information specified in Annex II.
+ **2.** At the end of the implementation of the Modernisation Fund, the Commission shall carry out a final evaluation of the implementation of the Modernisation Fund. In particular, the Commission shall evaluate the progresses towards the achievement of the Fund objectives as laid down in paragraphs …
− 2. The annual report referred to in paragraph 1 shall be accompanied by the following information:
+ **3.** The Commission shall make the results of the review and evaluation publicly available.
− | (a) | documentary evidence of the financing of investments from the Modernisation Fund in the preceding year; |
− | --- | --- |
+ ### Article 16 — Audits and protection of the financial interests of the Fund
− | (b) | the annual financial statement in respect of each investment, or in the case of a scheme, the financial statement providing for aggregated data on expenditures to the scheme in the preceding year. |
− | --- | --- |
+ **1.** ►M1 The EIB shall prepare annual accounts of the Modernisation Fund for each financial year, which shall run from 1 January to 31 December.** ◄ ** Those accounts shall be subject to an independent external audit.
− ### art_14
+ **2.** The EIB shall submit to the Commission the following statements:(a) by 31 March, the unaudited financial statements of the Modernisation Fund covering the preceding financial year;(b) by 30 April, the audited financial statements of the Modernisation Fund covering the preceding financial year…
− Article 14
+ **3.** The accounts and financial statements referred to in paragraphs 1 and 2 shall be drawn up in compliance with the International Public Sector Accounting Standards (IPSAS).
− 1. The annual report of the Investment Committee referred to in the first sentence of Article 10d(11) of Directive 2003/87/EC shall include the following information:
+ **4.** The beneficiary Member States shall ensure that an audit of the use of the amounts paid from the Modernisation Fund by the beneficiary Member State or the scheme managing authority to the project proponent or the final recipients of the Modernisation Fund support takes place every two years. …
− | (a) | the number of investment proposals received, including the specification of the investment area; |
− | --- | --- |
+ **5.** For the purpose of paragraphs 1 and 2, beneficiary Member States, project proponents and scheme managing authorities, contractors and subcontractors who have received the resources from the Modernisation Fund shall keep available, for a period of five years following the last payment in respe…
− | (b) | the number of recommendations issued and summary conclusions of each recommendation; |
− | --- | --- |
+ **6.** Beneficiary Member States shall take appropriate measures to ensure that, where activities financed under this Regulation are implemented, the financial interests of the Modernisation Fund are protected by the application of preventive measures against fraud, corruption and any other illegal …
− | (c) | an overview of the main conclusions regarding the proposed investments following from the technical and financial due diligence carried out by the EIB; |
− | --- | --- |
− 
− | (d) | the practical experience on procedural aspects of issuing the recommendations. |
− | --- | --- |
− 
− 2. On the basis of a draft prepared by the EIB, the Investment Committee shall adopt the final report for the preceding year by 15 March, and it shall forthwith submit it to the Commission.
− 
− ### art_15
− 
− Article 15
− 
− 1. In the review referred to in the second sentence of Article 10d(11) of Directive 2003/87/EC, the Commission shall cover the following areas:
− 
− | (a) | confirmation of priority investments by the EIB; |
− | --- | --- |
− 
− | (b) | assessment of non-priority investments by the Investment Committee; |
− | --- | --- |
− 
− | (c) | financing and monitoring of investments by the beneficiary Member States; |
− | --- | --- |
− 
− | (d) | any relevant procedural aspects regarding the implementation of the Modernisation Fund. |
− | --- | --- |
− 
− Based on the results of the review, the Commission shall, where appropriate, make the relevant proposals.
− 
− 2. At the end of the implementation of the Modernisation Fund, the Commission shall carry out a final evaluation of the implementation of the Modernisation Fund. In particular, the Commission shall evaluate the progresses towards the achievement of the Fund objectives as laid down in paragraphs 1, 2…
− 
− 3. The Commission shall make the results of the review and evaluation publicly available.
− 
− ### art_16
− 
− Article 16
− 
− 1. The EIB shall prepare annual accounts of the Modernisation Fund for each financial year, which shall run from 1 January to 31 December, taking into account the financial statements provided pursuant to Article 13(2)(b). Those accounts shall be subject to an independent external audit.
− 
− 2. The EIB shall submit to the Commission the following statements:
− 
− | (a) | by 31 March, the unaudited financial statements of the Modernisation Fund covering the preceding financial year; |
− | --- | --- |
− 
− | (b) | by 30 April, the audited financial statements of the Modernisation Fund covering the preceding financial year. |
− | --- | --- |
− 
− 3. The accounts and financial statements referred to in paragraphs 1 and 2 shall be drawn up in compliance with the International Public Sector Accounting Standards (IPSAS).
− 
− 4. The beneficiary Member States shall have the power to audit, on the basis of documents and on-the-spot checks, over all project proponents and scheme managing authorities, contractors and subcontractors to whom they provided support from the Modernisation Fund.
− 
− 5. For the purpose of paragraphs 1 and 2, beneficiary Member States, project proponents and scheme managing authorities, contractors and subcontractors who have received the resources from the Modernisation Fund shall keep available, for a period of five years following the last payment in respect o…
− 
− 6. Beneficiary Member States shall take appropriate measures to ensure that, where activities financed under this Regulation are implemented, the financial interests of the Modernisation Fund are protected by the application of preventive measures against fraud, corruption and any other illegal acti…
+ ## CHAPTER IV — FINAL PROVISIONS
− ### art_17
+ ### Article 17 — Information, communication and publicity
− Article 17
+ **1.** The beneficiary Member States shall make publicly available on the websites of the relevant departments of their administrations information on the investments supported under this Regulation, in order to inform the public of the role and objectives of the Modernisation Fund. Such information…
− 1. The beneficiary Member States shall make publicly available on the websites of the relevant departments of their administrations information on the investments supported under this Regulation, in order to inform the public of the role and objectives of the Modernisation Fund. Such information sha…
+ **2.** The beneficiary Member States shall ensure that the final recipients of the Modernisation Fund support comply with the requirements on the visibility of funding from EU ETS auctioning revenues set out in Article 30m of Directive 2003/87/EC. To this end, the beneficiary Member States or the sc…
− 2. The beneficiary Member States shall ensure that the final recipients of the Modernisation Fund support provide coherent, relevant and targeted information on the Modernisation Fund support received to multiple audiences, including the media and the public.
+ **4.** The beneficiary Member States and the Commission shall perform information, communication and promotion actions relating to the Modernisation Fund support and results. Such actions shall facilitate exchanges of experience, knowledge and best practices as regards the design, preparation and im…
− 3. The Modernisation Fund name shall be used for all communication activities and appear on notice boards at strategic places visible to the public.
+ ### Article 18 — Transparency
− 4. The beneficiary Member States and the Commission shall perform information, communication and promotion actions relating to the Modernisation Fund support and results. Such actions shall facilitate exchanges of experience, knowledge and best practices as regards the design, preparation and implem…
+ **1.** Without prejudice to paragraph 2, the secretariat of the Investment Committee shall arrange for the publication on the Modernisation Fund website of the following information:(a) the names of the members and observers to the Investment Committee, and their affiliation;(b) the curricula vitae …
− ### art_18
+ **2.** Member States, the Commission and the EIB shall not disclose any commercially confidential information included in any document, information or other material submitted by them or by any third party in connection with implementation of the Modernisation Fund.
− Article 18
+ ### Article 19 — Entry into force
− 1. Without prejudice to paragraph 2, the secretariat of the Investment Committee shall arrange for the publication on the Modernisation Fund website of the following information:
+ This Regulation shall enter into force on the twentieth day following that of its publication in the *Official Journal of the European Union*.
− | (a) | the names of the members and observers to the Investment Committee, and their affiliation; |
− | --- | --- |
− 
− | (b) | the curricula vitae and the declarations of interest of the members of the Investment Committee; |
− | --- | --- |
− 
− | (c) | the confirmations of the EIB concerning priority investments; |
− | --- | --- |
− 
− | (d) | the recommendations of the Investment Committee concerning non-priority investments; |
− | --- | --- |
− 
− | (e) | the disbursement decisions of the Commission; |
− | --- | --- |
− 
− | (f) | the annual reports submitted by the beneficiary Member States under Article 13; |
− | --- | --- |
− 
− | (g) | the annual reports submitted by the Investment Committee under Article 14; |
− | --- | --- |
− 
− | (h) | the Commission’s review and evaluation of the Modernisation Fund under Article 15. |
− | --- | --- |
− 
− 2. Member States, the Commission and the EIB shall not disclose any commercially confidential information included in any document, information or other material submitted by them or by any third party in connection with implementation of the Modernisation Fund.
− 
− ### art_19
− 
− Article 19
− 
− This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.