150 Amendments of Arne LIETZ related to 2018/0254(COD)
Amendment 16 #
Proposal for a regulation
–
–
The Committee on Foreign Affairs calls on the Committee on Industry, Research and Energy, as the committee responsible, to propose the rejection of the Commission proposal.
Amendment 20 #
Proposal for a regulation
Recital 1
Recital 1
(1) In the European Defence Action Plan, adopted on 30 November 2016, the Commission committed to complement, leverage and consolidate collaborative efforts by Member States in developing defence technological and industrial capabilities to respond to security challenges, as well as to foster a competitive, innovative and efficient European defence industry. It proposed in particular to launch a European Defence Fund (the 'Fund') to support investments in joint research and the joint development of defence products and technologies, thus fostering synergies and cost-effectiveness, and to promote the Member States’ joint purchase and maintenance of defence equipment. This Fund would complement national funding already used for this purpose and should act as an incentive for Member States to cooperate and invest more in defence. The Fund would support cooperation during the whole cycle of defence products and technologies, as well as conversion from military to civil production.
Amendment 21 #
Proposal for a regulation
Recital 2
Recital 2
(2) The Fund would contribute to the establishment of a strong, competitiveintegrated and innovative defence industrial and technological base, ans well as to efficiency gains enabling the reduction of the overall defence spending in the Union, while at the same time ensuring the necessary defence capabilities to perform the essential core tasks of collective defence, crisis management and cooperative security. The Fund would go hand in hand with the Union's initiatives towards a more integrated European Defence Market and in particular, the two Directives6 on procurement and on EU transfers in the defence sector adopted in 2009. _________________ 6 Directive 2009/43/EC of the European Parliament and of the Council, simplifying terms and conditions of transfers of defence-related products within the Community, OJ L 146, 10.6.2009, p. 1; Directive 2009/81/EC of the European Parliament and of the Council on the coordination of procedures for the award of certain works contracts, supply contracts and service contracts by contracting authorities or entities in the fields of defence and security, OJ L 216, 20.8.2009, p. 76.
Amendment 24 #
Proposal for a regulation
Recital 3
Recital 3
(3) Following an integrated approach and in order to contribute to the enhancement of the competitivenesintegration, efficiency gains and innovation capacity of the Union's defence industry, a European Defence Fund should be established. The Fund should aim at enhancing the competitiveness, innovation, efficiency and autonomy of the Union's defence industry thereby contributing to the Union's strategic autonomy in line with the political goals of the Common Foreign and Security Policy by supporting the cross border cooperation between Member States and between enterprises, research centres, national administrations, international organisations and universities, in the research phase and in the development phase of defence products and technologies. To achieve more innovative solutions and an open internal market, the Fund should support the cross-border participation of defence small and medium sized enterprises (SMEs) and middle capitalisation companies (mid-caps).
Amendment 26 #
Proposal for a regulation
Recital 5
Recital 5
(5) The Fund should not support pure basic research which should instead be supported through other schemes but may include defence oriented basic research likely to form the basis of the solution to recognised or expected problems or possibilities, dual-use research and research on conversion from military to civil production.
Amendment 31 #
Proposal for a regulation
Recital 7
Recital 7
(7) In order to ensure that the Union's and its Member States' international obligations are respected in the implementation of this Regulation, actions relating to products or technologies the use, development or production of which are prohibited by international law should not receive funding under the Fund. In this respect, the eligibility of actions related to new defence products or technologies, such as those that are specifically designed to carry out lethal strikes without any human control over the engagement decisions, should also be subject to developments in international law and should be excluded from Union funding.
Amendment 33 #
Proposal for a regulation
Recital 9
Recital 9
(9) As the objective of the Fund is to support the competitiveness and innovintegration, efficiency and innovation and alleviating any potential negative effects of the integration of the Union defence industry by leveraging and complementing collaborative defence research and technology activities and de-alleviating some of the risking of the development phase of cooperative projects, actions related to the research and development of a defence product or technology, as well as those aiming at conversion from military to civil production should be eligible to benefit from it. This will also apply to the upgrade, including the interoperability thereof, of existing defence products and technologies.
Amendment 35 #
(10) Given that the Fund aims particularly at enhancing cooperation between legal entities and Member States across Europe, an action should be eligible for funding only if it is undertaken by a cooperation of at least threefour legal entities based in at least three different Member States and/or associated countries. At least threefour of these legal eligible entities established in at least two different Member States and/or associated countries should not be effectively controlled, directly or indirectly, by the same entity or should not control each other. In order to boost the cooperation between Member States the Fund may support joint pre- commercial procurement ; This rule shall not apply to actions in support of conversion from military to civil production.
Amendment 40 #
Proposal for a regulation
Recital 12
Recital 12
(12) As the Fund aims at enhancing the competitivenessintegration, interoperability, efficiency and autonomy of the Union's defence industry, only entities established in the Union or associated countries and not subject to control by non-associated third countries or non-associated third country entities should in principle be eligible for support. Additionally, in order to ensure the protection of essential security and defence interests of the Union and its Member States, the infrastructure, facilities, assets and resources used by the recipients and their subcontractors in actions supported by the Fund should not be located on the territory of non- associated third countries.
Amendment 46 #
Proposal for a regulation
Recital 14
Recital 14
(14) If a consortium wishes to participate in an eligible action and the financial assistance of the Union is to take the form of a grant, the consortium should appoint one of its members as a coordinator who will be the principal point of contact and who shall regularly report back to the EU institutions on the status of the action funded under the Programme.
Amendment 48 #
Proposal for a regulation
Recital 15
Recital 15
(15) In case a development action supported by the Fund is managed by a project manager appointed by Member States or associated countries, the Commission should inform the project manager prior to executing the payment to the recipient so that the project manager can ensure that the time-frames are respected by the recipients. Under certain circumstances, tThe project manager cshould provide the Commission with its observations on the progress of the action so that the Commission can validate whether the conditions to proceed to the payment are fulfilled.
Amendment 49 #
Proposal for a regulation
Recital 18
Recital 18
(18) Given the specificities of the defence industry where demand comes almost exclusively from Member States and associated countries, which also control all acquisition of defence-related products and technologies, including exports, the functioning of thith its high fragmentation and resulting inefficiency across Member States, the possibility to apply for financial support from the fund will foster a more defence sector is unique and does not follow the conventional rules and business models that govern more traditional markets. Industry therefore cannot undertake substantial self-funded defence Research and Development (R&D) projects and Member States and associated countries normally fully fund all R&D costfective use of defence spending as incentivising cross-border cooperation and the development of common prototypes will reduce fragmentation. To achieve the objectives of the Fund, notably to incentivise cooperation between companies from different Member States and associated countries, and taking into account the specifics of the defence sector, up to totality50% of the eligible costs should be covered for actions that take place ahead of the development of prototypes phase.
Amendment 53 #
Proposal for a regulation
Recital 20
Recital 20
(20) For actions beyond the prototype phase, funding up to 860% should be foreseen. These actions which are closer to product and technology finalisation may still involve substantial costs.
Amendment 56 #
(22) In order to ensure that the funded actions will contribute to the competitivenessintegration, interoperability and efficiency of the European defence industry, it is important that Member States already intend to jointly procure the final product or use the technology, notably through joint cross- border procurement, where Member States jointly organise their procurement procedures in particular with the use of a central purchasing body.
Amendment 57 #
Proposal for a regulation
Recital 23
Recital 23
(23) The promotion of innovation and technological development in the Union defence industry should take place in a manner coherent with the security and defence interestserve the security and defence interests of the Union. Taking into account the specific nature of the defence sector, any action in the field of defence industry should be closely coordinated and be coherent with the foreign and security policies and priorities of the Union. Accordingly, the action's contribution to those interests and to the defence research and capability priorities commonly agreed by Member States in line with Union policies and political priorities should serve as an award criterion. Within the Union, common defence research and capability shortfalls are identified in the Common Security and Defence Policy (CSDP) framework notably through Overarching Strategic Research Agenda and the Capability Development Plan. Other Union processes such as the Coordinated Annual Review on Defence and the Permanent Structured Cooperation will support the implementation of relevant priorities through identifying and taking forward opportunities for enhanced cooperation with a view to fulfilling the EU level of ambition on security and defence. Where appropriate, regional and international priorities, including those in the North Atlantic Treaty Organisation context, may also be taken into account if they are in line with Union priorities and do not prevent any Member State or an associated country from participating, while also taking into account that unnecessary duplication should be avoided.
Amendment 65 #
Proposal for a regulation
Recital 25
Recital 25
(25) The Commission will take into account the other activities financed under the Horizon Europe Framework programme in order to avoid unnecessary duplication and, ensure the cross- fertilisation between civil and defence research and ensured that Horizon Europe remains a purely civil research programme.
Amendment 67 #
Proposal for a regulation
Recital 27
Recital 27
(27) An integrated approach should be ensured by bringing together activities covered by the Preparatory Action on Defence Research launched by the Commission within the meaning of Article [58 (2) (b)] of Regulation (EU, Euratom) 2018/…of the European Parliament and of the Council (the ‘Financial Regulation’) and the European Defence Industrial Development Programme established by Regulation (EC) No … of the European Parliament and of the Council and to harmonise the conditions for participation, to create a more coherent set of instruments, to increase the innovative, collaborative and economic impact, while avoiding unnecessary duplication and fragmentation. With this integrated approach, the Fund would also contribute to a better exploitation of the results of defence research, covering the gap between research and development taking into account the specificities of the defence sector, and promoting all forms of innovation, including disruptive innovation where possible failure should be accepted and conversion from military to civil production.
Amendment 70 #
Proposal for a regulation
Recital 31
Recital 31
(31) The Commission should establish annual or multiannual work programmes in line with the objectives of the Fund. The Commission should be assisted in the establishment of the work programme by a committee of Member States and representatives from the European Parliament. In order to benefit from its expertise in the defence sector, the European Defence Agency will be given the status of an observer participant in the committee. Given the specificities of the defence area, the European External Action Service should also assistparticipate in the committee of Member States.
Amendment 71 #
Proposal for a regulation
Recital 33
Recital 33
Amendment 74 #
Proposal for a regulation
Recital 34
Recital 34
(34) The Commission should endeavour to maintain dialogue with Member States, the European Parliament, defence experts from academia, trade unions and industry to ensure the success of the Fund.
Amendment 77 #
Proposal for a regulation
Recital 40
Recital 40
(40) Pursuant to paragraph 22 and 23 of the Inter-institutional agreement for Better Law-Making of 13 April 2016, there is a need to evaluate this regulation on the basis of information collected through specific monitoring requirements, while avoiding overregulation and administrative burdens, in particular on Member States. These requirements, where appropriate, can include measurable indicators, as a basis for evaluating the effects of the regulation on the ground. The Commission should carry out an interim evaluation no later than fourat the end of every financial years after the start of the Fund implementation and a final evaluation at the end of the implementation period of the Fund, examining the financial activities in terms of financial implementation results and to the extent possible at that point in time, results and impact. This report should also analyse the cross-border participation of SMEs and mid-caps in projects supported by the Fund as well as the participation of SMEs and mid-caps to the global value chain. The Commission may also propose amendments to this Regulation to react on possible developments during the implementation of the Fund.
Amendment 78 #
Proposal for a regulation
Recital 40 a (new)
Recital 40 a (new)
(40a) The Commission, when monitoring and controlling the export of arms and technologies produced with funding from the European Union to countries other than NATO, EU and NATO equivalent countries shall be assisted by a supervisory board made up of the European Parliament, Commission, European External Action Service and EU Member States (hereafter referred to as the Supervisory Body).
Amendment 80 #
Proposal for a regulation
Recital 41
Recital 41
(41) Reflecting the importance of tackling climate change in line with the Union's commitments to implement the Paris Agreement and the United Nations Sustainable Development Goals, this Fund will contribute to mainstream climate action in the Union's policies and to the achievement of an overall target of 25 % of the EU budget expenditures supporting climate objectives. Relevant actions will be identified during the Fund's preparation and implementation, and reassessed in the context of its mid-term evaluation. As military bases are amongst the biggest energy consumers and are increasingly affected by the effects of climate change, the fund should contribute special attention to incorporating climate action into its portfolio by awarding climate sensitive projects with greater financial support.
Amendment 81 #
Proposal for a regulation
Recital 42
Recital 42
(42) As the Fund supports only the research and development phases of defence products and technologies, in principle tThe Union should not have ownership or intellectual property rights (IPRs) over the products or technologies resulting from the funded actions unless the Union assistance is provided through procurement. However, for research actions, interested Member States and associated countries should have the possibility to use the results of funded actions and participate in follow-up cooperative development and therefore derogations to that principle should be allowed.
Amendment 83 #
Proposal for a regulation
Recital 43
Recital 43
(43) The Union financial support should notwill affect the transfer of defence-related products within the Union in accordance with Directive 2009/43/CE of the European Parliament and the Council15 , noras well as the export of products, equipment or technologies. The Commission when monitoring and controlling the export of arms and technologies produced with financial assets from the Fund shall be assisted by a supervisory body made up of the European Parliament, European Commission, European External Action Service and EU Member States (hereafter referred to as the Supervisory Body). _________________ 15 Directive 2009/43/EC of the European Parliament and the Council of 6 May 2009 simplifying terms and conditions of transfers of defence-related products within the Community (OJ L 146, 10.6.2009, p. 1).
Amendment 87 #
Proposal for a regulation
Article 2 – paragraph 1 – point 17 a (new)
Article 2 – paragraph 1 – point 17 a (new)
(17a) 'conversion' means the translation of military structures, products or production lines into civilian usage;
Amendment 91 #
Proposal for a regulation
Article 3 – paragraph 1
Article 3 – paragraph 1
1. The general objective of the Fund is to foster the competitivenesscontribute to the political priorities under the CFSP/CSDP framework, and to foster the integration, interoperability, efficiency and innovation capacity, especially in cyber-defence, of the European defence industry, by supporting collaborative actions and cross-border cooperation between legal entities throughout the Union, including SMEs and mid-caps as well as fostering the better exploitation of the industrial potential of innovation, research and technological development, at each stage of the industrial life cycle, thus contributing to the Union strategic autonomy. The Fund should also contribute to the freedom of action of the Union and its autonomy, in particular in technological and industrial terms.
Amendment 95 #
Proposal for a regulation
Article 3 – paragraph 2 – point a
Article 3 – paragraph 2 – point a
(a) support collaborative research projects that could significantly boost the performance of future capabilities, aiming at maximising innovation and integration, and introducing new defence products and technologies, including disruptive ones;
Amendment 101 #
Proposal for a regulation
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–
The European Parliament rejects the Commission proposal.
Amendment 103 #
Proposal for a regulation
Article 3 – paragraph 2 – point b
Article 3 – paragraph 2 – point b
(b) support collaborative development projects of defence products and technologies consistent with defence capability priorities commonly agreed by Member States within the framework of the Common Foreign and Security Policy, thus contributing to greater efficiency of defence spending within the Union, achieving greater economies of scale, reduceliminating the risk of unnecessary duplication and as such reducing the fragmentation of defence products and technologies throughout the Union. Ultimately, the Fund will lead to greater interoperability between Member States' capabilities.
Amendment 105 #
Proposal for a regulation
Article 3 – paragraph 2 – point b a (new)
Article 3 – paragraph 2 – point b a (new)
(ba) foster efficiency gains for the overall reduction of costs for defence;
Amendment 106 #
Proposal for a regulation
Article 3 – paragraph 2 – point b b (new)
Article 3 – paragraph 2 – point b b (new)
(bb) support undertakings in conversion of excess military production into civil production lines.
Amendment 106 #
Proposal for a regulation
Recital 1
Recital 1
(1) In the European Defence Action Plan, adopted on 30 November 2016, the Commission committed to complement, leverage and consolidate collaborative efforts by Member States in developing defence technological and industrial capabilities to respond to security challenges, as well as to foster a competitive, innovative and efficient European defence industry. It proposed in particular to launch a European Defence Fund (the 'Fund') to support investments in joint research and the joint development of defence products and technologies, thus fostering synergies and cost-effectiveness, and to promote the Member States’ joint purchase and maintenance of defence equipment. This Fund would complement national funding already used for this purpose and should act as an incentive for Member States to cooperate and invest more in defence. The Fund would support cooperation during the whole cycle of defence products and technologies, as well as conversion from military to civil production.
Amendment 107 #
Proposal for a regulation
Article 4 – paragraph 1
Article 4 – paragraph 1
1. The financial envelope for the implementation of the European Defence Fund for the period 2021 – 2027 shall be EUR 13 000 000 000 in current prices. Encourages Member States to compensate EU defence expenses by savings in their national expenses.
Amendment 108 #
Proposal for a regulation
Recital 2
Recital 2
(2) The Fund would contribute to the establishment of a strong, competitiveintegrated and innovative defence industrial and technological base, ans well as to efficiency gains enabling the reduction of the overall defence spending in the Union, while at the same time ensuring the necessary defence capabilities to perform the essential core tasks of collective defence, crisis management and cooperative security. The Fund would go hand in hand with the Union's initiatives towards a more integrated European Defence Market and in particular, the two Directives6 on procurement and on EU transfers in the defence sector adopted in 2009. _________________ 6 Directive 2009/43/EC of the European Parliament and of the Council, simplifying terms and conditions of transfers of defence-related products within the Community, OJ L 146, 10.6.2009, p. 1; Directive 2009/81/EC of the European Parliament and of the Council on the coordination of procedures for the award of certain works contracts, supply contracts and service contracts by contracting authorities or entities in the fields of defence and security, OJ L 216, 20.8.2009, p. 76.
Amendment 110 #
Proposal for a regulation
Article 4 – paragraph 2 – point a
Article 4 – paragraph 2 – point a
(a) up to EUR 4 16 500 000 000 for research actions;
Amendment 110 #
Proposal for a regulation
Recital 3
Recital 3
(3) Following an integrated approach and in order to contribute to the enhancement of the competitivenesintegration, efficiency gains and innovation capacity of the Union's defence industry, a European Defence Fund should be established. The Fund should aim at enhancing the competitiveness, innovation, efficiency and autonomy of the Union's defence industry thereby contributing to the Union's strategic autonomy in line with the political goals of the Common Foreign and Security Policy by supporting the cross border cooperation between Member States and between enterprises, research centres, national administrations, international organisations and universities, in the research phase and in the development phase of defence products and technologies. To achieve more innovative solutions and an open internal market, the Fund should support the cross-border participation of defence small and medium sized enterprises (SMEs) and middle capitalisation companies (mid-caps).
Amendment 112 #
Proposal for a regulation
Article 4 – paragraph 2 – point b
Article 4 – paragraph 2 – point b
(b) up to EUR 8 96 500 000 000 for development actions.
Amendment 115 #
Proposal for a regulation
Article 4 – paragraph 4
Article 4 – paragraph 4
4. Up to 25 % of the financial envelope referred to in paragraph 1 shall be devoted to support disruptive technologies for cyber-defence.
Amendment 116 #
Proposal for a regulation
Article 4 – paragraph 4 a (new)
Article 4 – paragraph 4 a (new)
4a. At least 25% of the financial envelope referred to in paragraph 1 shall be devoted to fostering conversion from military to civil production.
Amendment 118 #
Proposal for a regulation
Recital 5
Recital 5
(5) The Fund should not support pure basic research which should instead be supported through other schemes but may include defence oriented basic research likely to form the basis of the solution to recognised or expected problems or possibilities, dual-use research and research on conversion from military to civil production.
Amendment 121 #
Proposal for a regulation
Recital 7
Recital 7
(7) In order to ensure that the Union's and its Member States' international obligations are respected in the implementation of this Regulation, actions relating to products or technologies the use, development or production of which are prohibited by international law should not receive funding under the Fund. In this respect, the eligibility of actions related to new defence products or technologies, such as those that are specifically designed to carry out lethal strikes without any human control over the engagement decisions, should also be subject to developments in international law and should be excluded from Union funding.
Amendment 123 #
Proposal for a regulation
Recital 9
Recital 9
(9) As the objective of the Fund is to support the competitiveness and innovintegration, efficiency and innovation and alleviating any potential negative effects of the integration of the Union defence industry by leveraging and complementing collaborative defence research and technology activities and de-riskingalleviating some of the risk of the development phase of cooperative projects, actions related to the research and development of a defence product or technology, as well as those aiming at conversion from military to civil production should be eligible to benefit from it. This will also apply to the upgrade, including the interoperability thereof, of existing defence products and technologies.
Amendment 125 #
Proposal for a regulation
Recital 10
Recital 10
(10) Given that the Fund aims particularly at enhancing cooperation between legal entities and Member States across Europe, an action should be eligible for funding only if it is undertaken by a cooperation of at least threefour legal entities based in at least three different Member States and/or associated countries. At least threefour of these legal eligible entities established in at least two different Member States and/or associated countries should not be effectively controlled, directly or indirectly, by the same entity or should not control each other. In order to boost the cooperation between Member States the Fund may support joint pre- commercial procurement ; This rule shall not apply to actions in support of conversion from military to civil production.
Amendment 128 #
Proposal for a regulation
Article 7 – paragraph 2
Article 7 – paragraph 2
2. Proposals shall be systematically screened to identify those actions raising complex or serious ethics issues and submit them to an ethics assessment. Ethics screenings and assessments shall be carried out by the Commission with the support of experts on defence ethics. They can be invoked by the European Parliament in case its majority suspects an ethical issue with an action. The Commission shall ensure the transparency of the ethics procedures as much as possible.
Amendment 132 #
Proposal for a regulation
Article 7 – paragraph 5
Article 7 – paragraph 5
5. Actions which are not ethically acceptable mayshall be rejected or terminated at any times soon as the ethical unacceptability is detected.
Amendment 132 #
Proposal for a regulation
Recital 12
Recital 12
(12) As the Fund aims at enhancing the competitivenessintegration, interoperability, efficiency and autonomy of the Union's defence industry, only entities established in the Union or associated countries and not subject to control by non-associated third countries or non-associated third country entities should in principle be eligible for support. Additionally, in order to ensure the protection of essential security and defence interests of the Union and its Member States, the infrastructure, facilities, assets and resources used by the recipients and their subcontractors in actions supported by the Fund should not be located on the territory of non- associated third countries.
Amendment 135 #
Proposal for a regulation
Article 9 – paragraph 2
Article 9 – paragraph 2
Amendment 137 #
Proposal for a regulation
Article 9 – paragraph 2 – point a
Article 9 – paragraph 2 – point a
Amendment 138 #
Proposal for a regulation
Article 9 – paragraph 2 – point b
Article 9 – paragraph 2 – point b
Amendment 139 #
Proposal for a regulation
Article 9 – paragraph 2 – point c
Article 9 – paragraph 2 – point c
Amendment 140 #
Proposal for a regulation
Article 9 – paragraph 2 – subparagraph 1
Article 9 – paragraph 2 – subparagraph 1
Amendment 141 #
Proposal for a regulation
Recital 14
Recital 14
(14) If a consortium wishes to participate in an eligible action and the financial assistance of the Union is to take the form of a grant, the consortium should appoint one of its members as a coordinator who will be the principal point of contact and who shall regularly report back to the EU institutions on the status of the action funded under the Programme.
Amendment 142 #
Proposal for a regulation
Recital 15
Recital 15
(15) In case a development action supported by the Fund is managed by a project manager appointed by Member States or associated countries, the Commission should inform the project manager prior to executing the payment to the recipient so that the project manager can ensure that the time-frames are respected by the recipients. Under certain circumstances, tThe project manager cshould provide the Commission with its observations on the progress of the action so that the Commission can validate whether the conditions to proceed to the payment are fulfilled.
Amendment 144 #
(18) Given the specificities of the defence industry where demand comes almost exclusively from Member States and associated countries, which also control all acquisition of defence-related products and technologies, including exports, the functioning of the defence sector is unique and does not follow the conventional rules and business models that govern more traditional markets. Industry therefore cannot undertake substantial self-funded defence Research and Development (R&D) projects and Member States and associated countries normally fully fund all R&D costith its high fragmentation and resulting inefficiency across Member States, the possibility to apply for financial support from the fund will foster a more effective use of defence spending as incentivising cross-border cooperation and the development of common prototypes will reduce fragmentation. To achieve the objectives of the Fund, notably to incentivise cooperation between companies from different Member States and associated countries, and taking into account the specifics of the defence sector, up to totality60% of the eligible costs should be covered for actions that take place ahead of the development of prototypes phase.
Amendment 145 #
Proposal for a regulation
Article 10 – paragraph 2 – introductory part
Article 10 – paragraph 2 – introductory part
2. By derogation from paragraph 1, an applicant established in the Union or in an associated country and controlled by a non- associated third country or a non- associated third country entity may be eligible for funding if it has been proven that no provider can be found within the Union and if this is necessary for achieving the objectives of the action and provided that its participation will not put at risk the security interests of the Union and its Member States. In order to ensure protection of the security interests of the Union and its Member States, the call for proposals shall require the applicant to provide information demonstrating notably that:
Amendment 145 #
Proposal for a regulation
Recital 20
Recital 20
(20) For actions beyond the prototype phase, funding up to 860% should be foreseen. These actions which are closer to product and technology finalisation may still involve substantial costs.
Amendment 147 #
Proposal for a regulation
Recital 22
Recital 22
(22) In order to ensure that the funded actions will contribute to the competitivenessintegration, interoperability and efficiency of the European defence industry, it is important that Member States already intend to jointly procure the final product or use the technology, notably through joint cross- border procurement, where Member States jointly organise their procurement procedures in particular with the use of a central purchasing body.
Amendment 148 #
Proposal for a regulation
Recital 23
Recital 23
(23) The promotion of innovation and technological development in the Union defence industry should take place in a manner coherent with the security and defence interestserve the security and defence interests of the Union. Taking into account the specific nature of the defence sector, any action in the field of defence industry should be closely coordinated and be coherent with the foreign and security policies and priorities of the Union. Accordingly, the action's contribution to those interests and to the defence research and capability priorities commonly agreed by Member States in line with Union policies and political priorities should serve as an award criterion. Within the Union, common defence research and capability shortfalls are identified in the Common Security and Defence Policy (CSDP) framework notably through Overarching Strategic Research Agenda and the Capability Development Plan. Other Union processes such as the Coordinated Annual Review on Defence and the Permanent Structured Cooperation will support the implementation of relevant priorities through identifying and taking forward opportunities for enhanced cooperation with a view to fulfilling the EU level of ambition on security and defence. Where appropriate, regional and international priorities, including those in the North Atlantic Treaty Organisation context, may also be taken into account if they are in line with Union priorities and do not prevent any Member State or an associated country from participating, while also taking into account that unnecessary duplication should be avoided.
Amendment 153 #
Proposal for a regulation
Recital 25
Recital 25
(25) The Commission will take into account the other activities financed under the Horizon Europe Framework programme in order to avoid unnecessary duplication and, ensure the cross- fertilisation between civil and defence research and ensure that Horizon Europe remains a purely civil research programme.
Amendment 154 #
Proposal for a regulation
Article 11 – paragraph 3 – point a
Article 11 – paragraph 3 – point a
(a) activities aiming to create, underpin and improve new knowledge and defence technology which can achieve significant effects in the area of defence or which aim at supporting undertakings in their conversion from military to civil production;
Amendment 155 #
Proposal for a regulation
Article 11 – paragraph 3 – point c
Article 11 – paragraph 3 – point c
(c) studies, such as studies on conversion from military to civil production or feasibility studies to explore the feasibility of a new or improved technology, product, process, service, solution or statistics on the defence industry and projects to pilot the collection of data;
Amendment 156 #
Proposal for a regulation
Article 11 – paragraph 3 – point d
Article 11 – paragraph 3 – point d
(d) the design of a defence product, tangible or intangible component or technology as well as the definition of the technical specifications on which such design has been developed which may include partial tests for risk reduction in an industrial or representative environment or a product supporting the conversion from military to civil production;
Amendment 156 #
Proposal for a regulation
Recital 27
Recital 27
(27) An integrated approach should be ensured by bringing together activities covered by the Preparatory Action on Defence Research launched by the Commission within the meaning of Article [58 (2) (b)] of Regulation (EU, Euratom) 2018/…of the European Parliament and of the Council (the ‘Financial Regulation’) and the European Defence Industrial Development Programme established by Regulation (EC) No … of the European Parliament and of the Council and to harmonise the conditions for participation, to create a more coherent set of instruments, to increase the innovative, collaborative and economic impact, while avoiding unnecessary duplication and fragmentation. With this integrated approach, the Fund would also contribute to a better exploitation of the results of defence research, covering the gap between research and development taking into account the specificities of the defence sector, and promoting all forms of innovation, including disruptive innovation where possible failure should be accepted and conversion from military to civil production.
Amendment 157 #
Proposal for a regulation
Article 11 – paragraph 3 – point e
Article 11 – paragraph 3 – point e
(e) the development of a model of a defence product, tangible or intangible component or technology, which can demonstrate the element's performance in an operational environment (system prototype) or a model of a product supporting the conversion from military to civil production;
Amendment 158 #
Proposal for a regulation
Article 11 – paragraph 3 – point f
Article 11 – paragraph 3 – point f
(f) the testing of a defence product, tangible or intangible component or technology or the testing of a product supporting the conversion from military to civil production;
Amendment 159 #
Proposal for a regulation
Article 11 – paragraph 3 – point g
Article 11 – paragraph 3 – point g
(g) the qualification of a defence product or a product supporting the conversion from military to civil production, tangible or intangible component or technology. Qualification is the entire process of demonstrating that the design of a defence product, tangible or intangible component or technology meets the specified requirements. This process provides objective evidence by which particular requirements of a design are demonstrated to have been achieved;
Amendment 159 #
Proposal for a regulation
Recital 31
Recital 31
(31) The Commission should establish annual or multiannual work programmes in line with the objectives of the Fund. The Commission should be assisted in the establishment of the work programme by a committee of Member States and representatives from the European Parliament. In order to benefit from its expertise in the defence sector, the European Defence Agency will be given the status of an observer participant in the committee. Given the specificities of the defence area, the European External Action Service should also assistparticipate in the committee of Member States.
Amendment 160 #
Proposal for a regulation
Article 11 – paragraph 3 – point h
Article 11 – paragraph 3 – point h
(h) the certification of a defence product or a product supporting the conversion from military to civil production, tangible or intangible component or technology. Certification is the process according to which a national authority certifies that the defence product, tangible or intangible component or technology complies with the applicable regulations;
Amendment 160 #
Proposal for a regulation
Recital 33
Recital 33
Amendment 161 #
Proposal for a regulation
Article 11 – paragraph 3 – point i
Article 11 – paragraph 3 – point i
(i) the development of technologies or assets increasing efficiency across the life cycle of defence products and technologies or supporting the conversion from military to civil production;
Amendment 163 #
Proposal for a regulation
Recital 34
Recital 34
(34) The Commission should endeavour to maintain dialogue with Member States, the European Parliament, defence experts from academia, trade unions and industry to ensure the success of the Fund.
Amendment 164 #
Proposal for a regulation
Article 11 – paragraph 4
Article 11 – paragraph 4
4. Unless otherwise provided for in the work programme referred to in Article 27, the action shall be undertaken in a cooperation of at least threefour legal entities which are established in at least three different Member States and/or associated countries. At least threefour of these eligible entities established in at least two Member States and/or associated countries shall not, during the whole implementation of the action, be effectively controlled, directly or indirectly, by the same entity, and shall not control each other. This rule shall not apply to actions in support of conversion from military to civil production.
Amendment 165 #
Proposal for a regulation
Recital 40
Recital 40
(40) Pursuant to paragraph 22 and 23 of the Inter-institutional agreement for Better Law-Making of 13 April 2016, there is a need to evaluate this regulation on the basis of information collected through specific monitoring requirements, while avoiding overregulation and administrative burdens, in particular on Member States. These requirements, where appropriate, can include measurable indicators, as a basis for evaluating the effects of the regulation on the ground. The Commission should carry out an interim evaluation no later than fourat the end of every financial years after the start of the Fund implementation and a final evaluation at the end of the implementation period of the Fund, examining the financial activities in terms of financial implementation results and to the extent possible at that point in time, results and impact. This report should also analyse the cross-border participation of SMEs and mid-caps in projects supported by the Fund as well as the participation of SMEs and mid-caps to the global value chain. The Commission may also propose amendments to this Regulation to react on possible developments during the implementation of the Fund.
Amendment 166 #
Proposal for a regulation
Recital 40 a (new)
Recital 40 a (new)
(40a) The Commission, when monitoring and controlling the export of arms and technologies produced with funding from the European Union to countries other than NATO, EU and NATO equivalent countries shall be assisted by a supervisory board made up of the European Parliament, Commission, European External Action Service and EU Member States (hereafter referred to as the Supervisory Body).
Amendment 167 #
Proposal for a regulation
Recital 41
Recital 41
(41) Reflecting the importance of tackling climate change in line with the Union's commitments to implement the Paris Agreement and the United Nations Sustainable Development Goals, this Fund will contribute to mainstream climate action in the Union's policies and to the achievement of an overall target of 25 % of the EU budget expenditures supporting climate objectives. Relevant actions will be identified during the Fund's preparation and implementation, and reassessed in the context of its mid-term evaluation. As military bases are amongst the biggest energy consumers and increasingly affected by the effects of climate change, the fund should pay special attention to incorporating climate action into its portfolio by awarding climate sensitive projects with greater financial support.
Amendment 170 #
Proposal for a regulation
Article 11 – paragraph 6 a (new)
Article 11 – paragraph 6 a (new)
6a. Actions in relation to products listed in Annex I (a) shall not be funded. Actions in relation to products listed in Annex I (b) shall not be funded if they are developed mainly for export purposes.
Amendment 170 #
Proposal for a regulation
Recital 42
Recital 42
(42) As the Fund supports only the research and development phases of defence products and technologies, in principle tThe Union should not have ownership or intellectual property rights (IPRs) over the products or technologies resulting from the funded actions unless the Union assistance is provided through procurement. However, for research actions, interested Member States and associated countries should have the possibility to use the results of funded actions and participate in follow-up cooperative development and therefore derogations to that principle should be allowed.
Amendment 171 #
Proposal for a regulation
Recital 43
Recital 43
(43) The Union financial support should notwill affect the transfer of defence-related products within the Union in accordance with Directive 2009/43/CE of the European Parliament and the Council15 , noras well as the export of products, equipment or technologies. The Commission when monitoring and controlling the export of arms and technologies produced with financial assets from the Fund shall be assisted by a supervisory body made up of the European Parliament, European Commission, European External Action Service and EU Member States (hereafter referred to as the Supervisory Body). _________________ 15 Directive 2009/43/EC of the European Parliament and the Council of 6 May 2009 simplifying terms and conditions of transfers of defence-related products within the Community (OJ L 146, 10.6.2009, p. 1).
Amendment 172 #
Proposal for a regulation
Article 11 – paragraph 6 b (new)
Article 11 – paragraph 6 b (new)
6b. The action shall be in line with the tasks referred to in Article 42 TEU for peace keeping, conflict prevention and strengthening international security in accordance with the principles of the United Nations Charter.
Amendment 177 #
Proposal for a regulation
Article 2 – paragraph 1 – point 1 a (new)
Article 2 – paragraph 1 – point 1 a (new)
(1a) 'conversion' means the translation of military structures, products or production lines into civilian usage;
Amendment 179 #
Proposal for a regulation
Article 13 – paragraph 1 – point c
Article 13 – paragraph 1 – point c
(c) contribution to the competitivenessintegration and efficiency of the European defence industry, in particular by creating new market opportunities and accelerating the growth of companies throughout the Union;
Amendment 180 #
Proposal for a regulation
Article 3 – paragraph 1
Article 3 – paragraph 1
1. The general objective of the Fund is to foster the competitivenesscontribute to the political priorities under the CFSP/CSDP framework, and to foster the integration, interoperability, efficiency and innovation capacity, especially in cyber-defence, of the European defence industry, by supporting collaborative actions and cross-border cooperation between legal entities throughout the Union, including SMEs and mid-caps as well as fostering the better exploitation of the industrial potential of innovation, research and technological development, at each stage of the industrial life cycle, thus contributing to the Union strategic autonomy. The Fund should also contribute to the freedom of action of the Union and its autonomy, in particular in technological and industrial terms.
Amendment 183 #
Proposal for a regulation
Article 13 – paragraph 1 – point e
Article 13 – paragraph 1 – point e
(e) contribution to the creation of new cross-border cooperation between legal entities, in particular for SMEs which are established in Member States and/or associated countries other than those where the entities in the consortium which are not SMEs are established;
Amendment 185 #
Proposal for a regulation
Article 3 – paragraph 2 – point a
Article 3 – paragraph 2 – point a
(a) support collaborative research projects that could significantly boost the performance of future capabilities, aiming at maximising innovation and integration, and introducing new defence products and technologies, including disruptive ones;
Amendment 186 #
Proposal for a regulation
Article 13 – paragraph 1 – point e a (new)
Article 13 – paragraph 1 – point e a (new)
(ea) contribution to the conversion from excess military to civil production;
Amendment 189 #
Proposal for a regulation
Article 14 – paragraph 1
Article 14 – paragraph 1
1. The Fund may finance up to 1060% of the eligible costs of an action without prejudice to the co-financing principle.
Amendment 192 #
Proposal for a regulation
Article 14 – paragraph 2 – point b
Article 14 – paragraph 2 – point b
(b) for actions defined in Article 11(3) f) to h) the financial assistance of the Fund shall not exceed 860% of the eligible costs of the action.
Amendment 193 #
Proposal for a regulation
Article 14 – paragraph 3 – point b
Article 14 – paragraph 3 – point b
Amendment 193 #
Proposal for a regulation
Article 3 – paragraph 2 – point b
Article 3 – paragraph 2 – point b
(b) support collaborative development projects of defence products and technologies consistent with defence capability priorities commonly agreed by Member States within the framework of the Common Foreign and Security Policy, thus contributing to greater efficiency of defence spending within the Union, achieving greater economies of scale, reduceliminating the risk of unnecessary duplication and as such reducing the fragmentation of defence products and technologies throughout the Union. Ultimately, the Fund will lead to greater interoperability between Member States' capabilities.
Amendment 194 #
Proposal for a regulation
Article 14 – paragraph 3 – point c
Article 14 – paragraph 3 – point c
Amendment 195 #
Proposal for a regulation
Article 3 – paragraph 2 – point b a (new)
Article 3 – paragraph 2 – point b a (new)
(ba) contribute to innovative conversion of military to civilian production;
Amendment 196 #
Proposal for a regulation
Article 3 – paragraph 2 – point b b (new)
Article 3 – paragraph 2 – point b b (new)
(bb) foster efficiency gains for the overall reduction of costs for defence;
Amendment 197 #
Proposal for a regulation
Article 4 – paragraph 1
Article 4 – paragraph 1
1. The financial envelope for the implementation of the European Defence Fund for the period 2021 – 2027 shall be EUR 13 000 000 000 in current prices. Spending from the EU budget shall be compensated by savings in national defence budgets.
Amendment 201 #
Proposal for a regulation
Article 4 – paragraph 2 – point a
Article 4 – paragraph 2 – point a
(a) up to EUR 4 16 500 000 000 for research actions;
Amendment 204 #
Proposal for a regulation
Article 4 – paragraph 2 – point b
Article 4 – paragraph 2 – point b
(b) up to EUR 8 96 500 000 000 for development actions.
Amendment 205 #
Proposal for a regulation
Article 22 – paragraph 1
Article 22 – paragraph 1
1. The results of the actions shall be owned by the beneficiaries generating them. Where legal entities jointly generate results, and where their respective contributUnion institutions, bodies, offices or agencies enjoy, for the duly justified purpose of developing, implementing and monitoring Union policies or programmes, access rights solely to the results of a beneficiary that has received Union funding. Such access rights are limited to non-commercial and non-competitive use. Such access is to be granted on a royalty-free basis. With regard to results which are generated by beneficiaries that have received funding under the Programme, the agreement between the Commission cannot be ascertained, or where it is not possible to separate such joint results, the legal end the beneficiary shall provide that the Commission may object to transfers of ownership or to grants of a licence to third parties established in a third country not associated with the Programme, if it considers that the grant or transfer is inconsistent with ethical principles of the EU Common Position on arms exports or security considerations. Where appropriate, the agreement between the Commission and the beneficiary will provide that the Commission is to be notitfies shall have joint ownership of the resultsd at least six months in advance of any such transfer of ownership or grant of a licence. Non-compliance with these provisions will be subject to measures stipulated in Regulation (EU, Euratom) No 966/2012 and Regulation (EU) No 1268/2012.
Amendment 212 #
Proposal for a regulation
Article 4 – paragraph 4
Article 4 – paragraph 4
4. Up to 25 % of the financial envelope referred to in paragraph 1 shall be devoted to support disruptive technologies for cyber-defence.
Amendment 213 #
Proposal for a regulation
Article 4 – paragraph 4 a (new)
Article 4 – paragraph 4 a (new)
4a. At least 25 % of the financial envelope referred to in paragraph 1 shall be devoted to fostering conversion from military to civil production.
Amendment 217 #
Proposal for a regulation
Article 24 – paragraph 1 – point a
Article 24 – paragraph 1 – point a
(a) the contribution to increasing efficiency across the life cycle of defence products and technologies, including cost- effectiveness and the potential for synergies in the procurement and maintenance process and disposal processes, as well as conversion from excess military to civil production;
Amendment 218 #
Proposal for a regulation
Article 25 – paragraph 1
Article 25 – paragraph 1
1. The Union shall not own the products or technologies resulting from development actions, nor shall it have any intellectual property rights regarding the results of the actionsinstitutions, bodies, offices or agencies enjoy, for the duly justified purpose of developing, implementing and monitoring Union policies or programmes, access rights solely to the results of a beneficiary that has received Union funding. Such access rights are limited to non-commercial and non-competitive use. Such access is to be granted on a royalty-free basis. With regard to results which are generated by beneficiaries that have received funding under the Programme, the agreement between the Commission and the beneficiary shall provide that the Commission may object to transfers of ownership or to grants of a licence to third parties established in a third country not associated with the Programme, if it considers that the grant or transfer is inconsistent with ethical principles of the EU Common Position on arms exports or security considerations. Where appropriate, the agreement between the Commission and the beneficiary will provide that the Commission is to be notified at least six months in advance of any such transfer of ownership or grant of a licence. Non-compliance with these provisions will be subject to measures stipulated in Regulation (EU, Euratom) No 966/2012 and Regulation (EU) No 1268/2012.
Amendment 229 #
Proposal for a regulation
Article 28 – paragraph 1
Article 28 – paragraph 1
1. The Commission shall be assisted by an expert committee within the meaning of Regulation (EU) No 182/2011selected transparently and with a balanced participation of defence experts from academia, research organisations, EU institutions including the European Parliament and think tanks. The European Defence Agency shall be invited as an observer participant to provide its views and expertise. The European External Action Service shall also be invited to assistparticipate.
Amendment 232 #
Proposal for a regulation
Article 7 – paragraph 2
Article 7 – paragraph 2
2. Proposals shall be systematically screened to identify those actions raising complex or serious ethics issues and submit them to an ethics assessment. Ethics screenings and assessments shall be carried out by the Commission with the support of experts on defence ethics. They can be invoked by the European Parliament in case its majority suspects an ethical issue with an action. The Commission shall ensure the transparency of the ethics procedures as much as possible. .
Amendment 233 #
Proposal for a regulation
Article 28 – paragraph 2
Article 28 – paragraph 2
Amendment 235 #
Proposal for a regulation
Article 29 – paragraph 1
Article 29 – paragraph 1
1. The Commission shall appoint independent experts from academia, research organisations and think tanks transparently to assist in the evaluation of proposals pursuant to Article [237] of the Financial Regulation. It may also appoint independent experts to advise on or assist with the monitoring of the implementation of actions carried out. Experts from the defence industry shall not be identified to avoid bias.
Amendment 244 #
Proposal for a regulation
Article 7 – paragraph 5
Article 7 – paragraph 5
5. Actions which are not ethically acceptable mayshall be rejected or terminated at any times soon as the ethical unacceptability is detected.
Amendment 249 #
Proposal for a regulation
Article 31 – paragraph 3
Article 31 – paragraph 3
3. The Commission shall regularly monitor and evaluate the implementation of the Fund and annually report to the Parliament and the Council on the progress made. To this end, the Commission shall put in place necessary monitoring arrangements.
Amendment 250 #
Proposal for a regulation
Article 9 – paragraph 2
Article 9 – paragraph 2
Amendment 251 #
Proposal for a regulation
Article 31 – paragraph 4 a (new)
Article 31 – paragraph 4 a (new)
4a. Member States shall report to the Commission or the EU Delegations on their exports of EU-funded defence technologies and equipment to Third Countries on a six-monthly basis . The Commission shall setup a tracking mechanism to verify the end-use and end- users of defence technologies and equipment funded by the Programme and exported to Third Countries and report back to the European Parliament on a yearly basis.
Amendment 251 #
Proposal for a regulation
Article 9 – paragraph 2 – point a
Article 9 – paragraph 2 – point a
Amendment 252 #
Proposal for a regulation
Article 32 – paragraph 1
Article 32 – paragraph 1
1. Evaluations shall be carried out in a timely mannerannually to feed into the decision- making process.
Amendment 252 #
Proposal for a regulation
Article 9 – paragraph 2 – point b
Article 9 – paragraph 2 – point b
Amendment 253 #
Proposal for a regulation
Article 32 – paragraph 2
Article 32 – paragraph 2
2. The interim evaluation of the Fund shall be performed once there is sufficient information available about the implementation of the Fund, but no later than four years after the start of the Fund implementation at the end of every financial year. The interim evaluation report will include notably, an assessment of the governance of the Fund, implementation rates, project award results including SMEs and mid-caps involvement and the degree of their cross-border participation, information about exports of funded products or technologies, an evaluation of the increase in efficiency and in the elimination of unnecessary duplications, the state of conversion from military to civil production and funding granted in accordance with Article [195] of the Financial Regulation by 31 July 2024. The Commission may submit proposals for any appropriate amendments to the present regulation.
Amendment 253 #
Proposal for a regulation
Article 9 – paragraph 2 – point c
Article 9 – paragraph 2 – point c
Amendment 254 #
Proposal for a regulation
Article 9 – paragraph 2 – subparagraph 1
Article 9 – paragraph 2 – subparagraph 1
Amendment 255 #
Proposal for a regulation
Article 32 – paragraph 3
Article 32 – paragraph 3
3. At the end of the implementation period but no later than four years after the 31 December 2031, a final evaluation of the Fund implementation shall be carried out by the Commission. The final evaluation report shall include the results of the implementation and to the extent possible given timing the impact of the Fund. The report - building on relevant consultations of Member States and associated countries and key stakeholders - shall notably assess the progress made towards the achievement of objectives set out in Article 3. It shall also analyse cross border participation, including of SMEs and mid-caps in projects implemented under the Fund as well as the integration of SMEs and Mid-caps in the global value chain. The evaluation shall also contain information on the countries of origin of the recipients and, where possible, the distribution of the generated intellectual property rights, as well as about exports of funded products or technologies. It shall further evaluate of the increase inefficiency and in the elimination of unnecessary duplications and the state of conversion from military to civil production.
Amendment 262 #
Proposal for a regulation
Annex I a (new)
Annex I a (new)
ANNEX I(a) Non eligible products · Weapons of mass destruction and related warhead technologies; · Banned weapons and munitions and weapons not compliant with international humanitarian law; · Fully autonomous weapons that enable strikes to be carried out without meaningful human control as well as IA software, dual-use and military components that leave to the machine the final decision to apply lethal force; · Weapon systems that are not regulated by international legal frameworks that have been ratified by the European Union or all EU member states individually to prevent misuse.
Amendment 263 #
Proposal for a regulation
Annex I b (new)
Annex I b (new)
ANNEX I(b) Non eligible products, when they are mainly developed for export purposes: · Small arms and light weapons.
Amendment 270 #
Proposal for a regulation
Article 10 – paragraph 2 – introductory part
Article 10 – paragraph 2 – introductory part
2. By derogation from paragraph 1, an applicant established in the Union or in an associated country and controlled by a non- associated third country or a non- associated third country entity may be eligible for funding if it has been proven that no provider can be found within the Union and if this is necessary for achieving the objectives of the action and provided that its participation will not put at risk the security interests of the Union and its Member States. In order to ensure protection of the security interests of the Union and its Member States, the call for proposals shall require the applicant to provide information demonstrating notably that:
Amendment 305 #
Proposal for a regulation
Article 11 – paragraph 3 – point a
Article 11 – paragraph 3 – point a
(a) activities aiming to create, underpin and improve new knowledge and defence technology which can achieve significant effects in the area of defence or which aim at supporting undertakings in their conversion from military to civil production;
Amendment 308 #
Proposal for a regulation
Article 11 – paragraph 3 – point c
Article 11 – paragraph 3 – point c
(c) studies, such as studies on conversion from military to civil production or feasibility studies to explore the feasibility of a new or improved technology, product, process, service, solution or statistics on the defence industry and projects to pilot the collection of data;
Amendment 310 #
Proposal for a regulation
Article 11 – paragraph 3 – point d
Article 11 – paragraph 3 – point d
(d) the design of a defence product, tangible or intangible component or technology as well as the definition of the technical specifications on which such design has been developed which may include partial tests for risk reduction in an industrial or representative environment or a product supporting the conversion from military to civil production;
Amendment 311 #
Proposal for a regulation
Article 11 – paragraph 3 – point e
Article 11 – paragraph 3 – point e
(e) the development of a model of a defence product, tangible or intangible component or technology, which can demonstrate the element's performance in an operational environment (system prototype) or a model of a product supporting the conversion from military to civil production;
Amendment 312 #
Proposal for a regulation
Article 11 – paragraph 3 – point f
Article 11 – paragraph 3 – point f
(f) the testing of a defence product, tangible or intangible component or technology or the testing of a product supporting the conversion from military to civil production;
Amendment 313 #
Proposal for a regulation
Article 11 – paragraph 3 – point g
Article 11 – paragraph 3 – point g
(g) the qualification of a defence product or a product supporting the conversion from military to civil production, tangible or intangible component or technology. Qualification is the entire process of demonstrating that the design of a defence product, tangible or intangible component or technology meets the specified requirements. This process provides objective evidence by which particular requirements of a design are demonstrated to have been achieved;
Amendment 314 #
Proposal for a regulation
Article 11 – paragraph 3 – point h
Article 11 – paragraph 3 – point h
(h) the certification of a defence product or a product supporting the conversion from military to civil production, tangible or intangible component or technology. Certification is the process according to which a national authority certifies that the defence product, tangible or intangible component or technology complies with the applicable regulations;
Amendment 315 #
Proposal for a regulation
Article 11 – paragraph 3 – point i
Article 11 – paragraph 3 – point i
(i) the development of technologies or assets increasing efficiency across the life cycle of defence products and technologies or supporting the conversion from military to civil production;
Amendment 323 #
Proposal for a regulation
Article 11 – paragraph 4
Article 11 – paragraph 4
4. Unless otherwise provided for in the work programme referred to in Article 27, the action shall be undertaken in a cooperation of at least threefour legal entities which are established in at least three different Member States and/or associated countries. At least threefour of these eligible entities established in at least two Member States and/or associated countries shall not, during the whole implementation of the action, be effectively controlled, directly or indirectly, by the same entity, and shall not control each other. This rule shall not apply to actions in support of conversion from military to civil production.
Amendment 339 #
Proposal for a regulation
Article 11 – paragraph 6 a (new)
Article 11 – paragraph 6 a (new)
6a. Actions in relation to products listed in Annex A shall not be funded. Actions in relation to products listed in Annex B shall not be funded if they are developed mainly for export purposes.
Amendment 342 #
Proposal for a regulation
Article 11 – paragraph 6 b (new)
Article 11 – paragraph 6 b (new)
6b. The action shall be in line with the tasks referred to in Article 42 TEU for peace keeping, conflict prevention and strengthening international security in accordance with the principles of the United Nations Charter.
Amendment 348 #
Proposal for a regulation
Article 13 – paragraph 1 – point c
Article 13 – paragraph 1 – point c
(c) contribution to the competitivenessintegration and efficiency of the European defence industry, in particular by creating new market opportunities and accelerating the growth of companies throughout the Union;
Amendment 355 #
Proposal for a regulation
Article 13 – paragraph 1 – point e
Article 13 – paragraph 1 – point e
(e) contribution to the creation of new cross-border cooperation between legal entities, in particular for SMEs which are established in Member States and/or associated countries other than those where the entities in the consortium which are not SMEs are established;
Amendment 359 #
Proposal for a regulation
Article 13 – paragraph 1 – point e a (new)
Article 13 – paragraph 1 – point e a (new)
(ea) contribution to the conversion from excess military to civil production;
Amendment 366 #
Proposal for a regulation
Article 14 – paragraph 1
Article 14 – paragraph 1
1. The Fund may finance up to 1060% of the eligible costs of an action without prejudice to the co-financing principle.
Amendment 369 #
Proposal for a regulation
Article 14 – paragraph 2 – point b
Article 14 – paragraph 2 – point b
(b) for actions defined in Article 11(3) f) to h) the financial assistance of the Fund shall not exceed 860% of the eligible costs of the action.
Amendment 373 #
Proposal for a regulation
Article 14 – paragraph 3 – point b
Article 14 – paragraph 3 – point b
Amendment 375 #
Proposal for a regulation
Article 14 – paragraph 3 – point c
Article 14 – paragraph 3 – point c
Amendment 395 #
Proposal for a regulation
Article 22 – paragraph 1
Article 22 – paragraph 1
1. The results of the actions shall be owned by the beneficiaries generating them. Where legal entities jointly generate results, and where their respective contributUnion institutions, bodies, offices or agencies enjoy, for the duly justified purpose of developing, implementing and monitoring Union policies or programmes, access rights solely to the results of a beneficiary that has received Union funding. Such access rights are limited to non-commercial and non-competitive use. Such access is to be granted on a royalty-free basis. With regard to results which are generated by beneficiaries that have received funding under the Programme, the agreement between the Commission cannot be ascertained, or where it is not possible to separate such joint results, the legal end the beneficiary shall provide that the Commission may object to transfers of ownership or to grants of a licence to third parties established in a third country not associated with the Programme, if it considers that the grant or transfer is inconsistent with ethical principles of the EU Common Position on arms exports or security considerations. Where appropriate, the agreement between the Commission and the beneficiary will provide that the Commission is to be notitfies shall have joint ownership of the resultsd at least six months in advance of any such transfer of ownership or grant of a licence. Non-compliance with these provisions will be subject to measures stipulated in Regulation (EU, Euratom)No966/2012 and Regulation (EU) No 1268/2012.
Amendment 412 #
Proposal for a regulation
Article 24 – paragraph 1 – point a
Article 24 – paragraph 1 – point a
(a) the contribution to increasing efficiency across the life cycle of defence products and technologies, including cost- effectiveness and the potential for synergies in the procurement and maintenance process and disposal processes, as well as conversion from excess military to civil production;
Amendment 414 #
Proposal for a regulation
Article 25 – paragraph 1
Article 25 – paragraph 1
1. The Union shall not own the products or technologies resulting from development actions, nor shall it have any intellectual property rights regarding the results of the actionsinstitutions, bodies, offices or agencies enjoy, for the duly justified purpose of developing, implementing and monitoring Union policies or programmes, access rights solely to the results of a beneficiary that has received Union funding. Such access rights are limited to non-commercial and non-competitive use. Such access is to be granted on a royalty-free basis. With regard to results which are generated by beneficiaries that have received funding under the Programme, the agreement between the Commission and the beneficiary shall provide that the Commission may object to transfers of ownership or to grants of a licence to third parties established in a third country not associated with the Programme, if it considers that the grant or transfer is inconsistent with ethical principles of the EU Common Position on arms exports or security considerations. Where appropriate, the agreement between the Commission and the beneficiary will provide that the Commission is to be notified at least six months in advance of any such transfer of ownership or grant of a licence. Non-compliance with these provisions will be subject to measures stipulated in Regulation (EU, Euratom )No 966/2012 and Regulation (EU)No 1268/2012.
Amendment 426 #
Proposal for a regulation
Article 28 – paragraph 1
Article 28 – paragraph 1
1. The Commission shall be assisted by an expert committee within the meaning of Regulation (EU) No 182/2011selected transparently and with a balanced participation of defence experts from academia, research organisations, EU institutions including the European Parliament and think tanks. The European Defence Agency shall be invited as an observer participant to provide its views and expertise. The European External Action Service shall also be invited to assistparticipate.
Amendment 430 #
Proposal for a regulation
Article 28 – paragraph 2
Article 28 – paragraph 2
Amendment 432 #
Proposal for a regulation
Article 29 – paragraph 1
Article 29 – paragraph 1
1. The Commission shall appoint independent experts from academia, research organisations and think tanks transparently to assist in the evaluation of proposals pursuant to Article [237] of the Financial Regulation. It may also appoint independent experts to advise on or assist with the monitoring of the implementation of actions carried out. Experts from the defence industry shall not be identified to avoid bias.
Amendment 442 #
Proposal for a regulation
Article 31 – paragraph 3
Article 31 – paragraph 3
3. The Commission shall regularly monitor and evaluate the implementation of the Fund and annually report to the Parliament and the Council on the progress made. To this end, the Commission shall put in place necessary monitoring arrangements.
Amendment 444 #
Proposal for a regulation
Article 31 – paragraph 4 – subparagraph 1 (new)
Article 31 – paragraph 4 – subparagraph 1 (new)
Member States shall report to the Commission or the EU Delegations on their exports of EU-funded defence technologies and equipment to Third Countries on a six-monthly basis. The Commission shall setup a tracking mechanism to verify the end-use and end- users of defence technologies and equipment funded by the Programme and exported to Third Countries and report back to the European Parliament on a yearly basis.
Amendment 445 #
Proposal for a regulation
Article 32 – paragraph 1
Article 32 – paragraph 1
1. Evaluations shall be carried out in a timely mannerannually to feed into the decision- making process.
Amendment 446 #
Proposal for a regulation
Article 32 – paragraph 2
Article 32 – paragraph 2
2. The interim evaluation of the Fund shall be performed once there is sufficient information available about the implementation of the Fund, but no later than four years after the start of the Fund implementation at the end of every financial year. The interim evaluation report will include notably, an assessment of the governance of the Fund, implementation rates, project award results including SMEs and mid-caps involvement and the degree of their cross-border participation, information about exports of funded products or technologies, an evaluation of the increase in efficiency and in the elimination of unnecessary duplications, the state of conversion from military to civil production and funding granted in accordance with Article [195] of the Financial Regulation by 31 July 2024. The Commission may submit proposals for any appropriate amendments to the present regulation.
Amendment 448 #
Proposal for a regulation
Article 32 – paragraph 3
Article 32 – paragraph 3
3. At the end of the implementation period but no later than four years after the 31 December 2031, a final evaluation of the Fund implementation shall be carried out by the Commission. The final evaluation report shall include the results of the implementation and to the extent possible given timing the impact of the Fund. The report - building on relevant consultations of Member States and associated countries and key stakeholders - shall notably assess the progress made towards the achievement of objectives set out in Article 3. It shall also analyse cross border participation, including of SMEs and mid-caps in projects implemented under the Fund as well as the integration of SMEs and Mid-caps in the global value chain. The evaluation shall also contain information on the countries of origin of the recipients and, where possible, the distribution of the generated intellectual property rights, as well as about exports of funded products or technologies. It shall further evaluate the increase in efficiency and in the elimination of unnecessary duplications and the state of conversion from military to civil production .
Amendment 455 #
Proposal for a regulation
Annex I – part 2 – paragraph 2 – subparagraph 1 a (new)
Annex I – part 2 – paragraph 2 – subparagraph 1 a (new)
ANNEX A Non eligible products · Weapons of mass destruction and related warhead technologies; · Banned weapons and munitions and weapons not compliant with international humanitarian law; · Fully autonomous weapons that enable strikes to be carried out without meaningful human control as well as IA software, dual-use and military components that leave to the machine the final decision to apply lethal force; · Weapon systems that are not regulated by international legal frameworks that have been ratified by the European Union or all EU member states individually to prevent misuse.
Amendment 457 #
Proposal for a regulation
Annex I – part 2 – paragraph 2 a (new)
Annex I – part 2 – paragraph 2 a (new)
ANNEX B Non eligible products, when they are mainly developed for export purposes: · Small arms and light weapons.