60 Amendments of Igor ŠOLTES related to 2017/0125(COD)
Amendment 45 #
Proposal for a regulation
Title 1
Title 1
Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL establishing the European Defence Industrial Development Programme aiming at supporting the competitiveness and innovative capacity of the EUCooperation Programme for an efficient defence industrysector
Amendment 46 #
Proposal for a regulation
Recital 1
Recital 1
(1) In the European Defence Action Plan, adopted on 30 November 2016, the Commission described the numerous structural problems in the European defence sector which hamper the efficient use of national resources for making available the defence capabilities needed for an effective Common Security and Defence Policy (CSDP). The Commission underlined in particular that duplications, fragmentation, and other structural problems have led to a sector which generates only 15% of capabilities compared to the same investment by the United States of America. The highly inefficient structures and mechanism, coupled with a very low rate of collaborative projects lead to a loss of EUR 25 to 100 billion annually. This is why in the European Defence Action Plan, the Commission committed to complement, leverage and consolidate collaborative efforts by Member States in developing defence capabilities to respond to security challenges, as well as to foster a competitive and innovativen efficient European defence industry. It proposed in particulTo realise these objectives it is therefore necessar y to launch a European Defence Fund to support investment in joint research and the joint development of defence equipment and technologies. The Fund would support cooperation during the whole cycleenhance, at the level of the Union, the institutional framework for cooperation of Member States and undertakings in the defence industrial development sector. In addition, the Commission proposed in particular to launch efficient cooperation actions that would lead to investments by the Member States in joint research and the joint development of defence producequipment and technology developmenties.
Amendment 51 #
Proposal for a regulation
Recital 1 a (new)
Recital 1 a (new)
(1a) It is of crucial importance for the establishment of an efficient European Defence Equipment Market, including for the European Defence Industrial Programme to have a real impact, to make sure that the key regulatory preconditions are fulfilled. It should be noted in this regard that the Directive on procurement was adopted eight years ago with a view to improve the functioning of the defence market and increasing competition. If fully applied, that Directive could still significantly contribute to the achievement of an integrated open and competitive European Defence Equipment Market. However, the evaluations of that Directive identified a number of shortcomings. In particular, despite a more than twofold increase in the value of the contracts published Union-wide, a very significant share of defence procurement is still done outside Union public procurement rules leaving a significant untapped potential to generate further public savings. Furthermore, public authorities still use, to some extent, offsets/industrial return requirements which can lead to uncertainties for the industry. Finally, the provisions on subcontracting of that Directive, which enable procurement authorities to require the successful tenderer to subcontract a share of the contract to third parties via competitive tendering, are rarely applied. After eight years of inactivity, it is now time for the effective implementation of that Directive, including through enforcement by the Commission.
Amendment 56 #
Proposal for a regulation
Recital 2
Recital 2
(2) In order to contribute to the enhancement of the competitiveness and innovation capacitfficiency of the Union's defence industry, a European Defence Industrial Development Cooperation Programme (hereinafter referred to as the Programme) should be established jointly by the Member States and the Commission. The Programme should aim at enhancing theconsist of a comopetitiveness of the Union's defence industry inter alia cyber defence by supporting the cooperation betweenration mechanism between Member States, the Commission and undertakings inand address the development phase of defence products and technologies. The development phase, which follows the research and technology phase, and which entails significant risks and costs that hamper the further exploitation of the results of research and adversely impact the competitiveness of the Union's defence industry. By support. By addressing the development phase, the Programme would contribute to a better exploitation of the results of defence research and it would help to cover the gap between research and production as well as to promote all forms of innovation. The Programme should complement activities carried out in accordance with Article 182 of the TFEU and it does not cover the production of defence products and technologies.
Amendment 64 #
Proposal for a regulation
Recital 4
Recital 4
(4) The Programme should cover a two year period from 1 January 2019 to 31 December 2020 whereas the amount for the implementation of the Programme should be determined for this period.
Amendment 67 #
Proposal for a regulation
Recital 5
Recital 5
(5) The Programme should be implemented in full compliance with Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council6. Funding may take in particular the form of grants. Financial instruments or public procurement may be used where appropriate. _________________ 6 Regulation (EU, Euratom) No 966/2012 of the European Parliament and of the Council of 25 October 2012 on the financial rules applicable to the general budget of the Union and repealing Council Regulation (EC, Euratom) No 1605/2002 (OJ L 298, 26.10.2012, p. 1).
Amendment 71 #
Proposal for a regulation
Recital 6
Recital 6
Amendment 73 #
Proposal for a regulation
Recital 7
Recital 7
(7) In view of the specificities of the sector, in practice no collaborative project between undertakings willshould be launched if the Member States have not first agreed to support such projects. After having defined common defence capability priorities at Union-level and also taking into acvia the Capability Development Plan in the count where appropriate collaborative initiatives on a regional basisext of the Common Security and Defence Policy (CSDP), Member States identify and consolidate military requirements and define the technical specifications of the project. They may also appoint a project manager in charge of leading the work related to the development of a collaborative project.
Amendment 76 #
Proposal for a regulation
Recital 8
Recital 8
Amendment 78 #
Proposal for a regulation
Recital 8 a (new)
Recital 8 a (new)
(8a) The Union financial contribution to be drawn from existing administrative budget of the Union, should be available exclusively to support actions of administrative and organisational nature, necessary for establishing the appropriate cooperation mechanisms and leading to the development and the implementation of the Programme. Actions implemented under the Programme should be fully financed by the Member States and as appropriate by the ATHENA Mechanism.
Amendment 80 #
Proposal for a regulation
Recital 9
Recital 9
(9) The Union financial support should not affect the export of products, equipment or technologies, and it should not affect the discretion of Member States regarding policy on the export of defence related products. The Union financial support should not affect Member States' export policies on defence related productsmilitary or dual-use technology supported by the Programme should only be exported to NATO allies and friendly nations which fully comply with the provisions of the Arms Trade Treaty (ATT).
Amendment 85 #
Proposal for a regulation
Recital 10
Recital 10
(10) As the objective of the Programme is to support the competitiveness of the Union defence industry byincrease the level of efficiency of cooperation between Member States and de-risking the development phase of cooperative defence industry projects, actions related to the development of a defence product or technology, namely definition of common technical specifications, design, prototyping, testing, qualification, certification as well feasibility studies and other supporting measures, should be eligible to benefit from itshould be considered under the Programme. This will also apply to the upgrade of existing defence products and technologies.
Amendment 93 #
Proposal for a regulation
Recital 11
Recital 11
(11) Given that the Programme aims particularly at enhancing cooperation between undertakings across and between Member States, an action should be eligible for fundingconsidered under the Programme only if it is undertaken by a cooperation of at least three undertakings based in at least two different Member States.
Amendment 97 #
Proposal for a regulation
Recital 12
Recital 12
(12) Cross-border collaboration in the development of defence products and technologies has often been hampered by the difficulty to agree on common technical specifications. The absence or limited level of common technical specifications have led to increased complexity, delays and inflated costs in the development phase. The agreement on common technical specifications should be a condition in order to benefit from the Union's administrative support under this Programme. Actions aiming at supporting the creation of a common definition of technical specifications should also be eligible for support under the Programme.
Amendment 99 #
Proposal for a regulation
Recital 13
Recital 13
(13) As the Programme aims at enhancing the competitivenessefficiency of the cooperation of the Union's defence industry, only entities established in the Union and effectively controlled by Member States or their nationals should be eligible for support. Additionally, in order to ensure the protection of essential security interests of the Union and its Member States, the infrastructure, facilities, assets and resources used by the beneficiarieparticipants and subcontractors in actions fundsupported under the Programme, shall not be located on the territory of non-Member States and shall not be subject to control or restrictions by third countries, undertakings or public entities in third countries.
Amendment 107 #
Proposal for a regulation
Recital 14
Recital 14
(14) Eligible actions developed in the context of Permanent Structured Cooperation in the institutional framework of the Union would ensure enhanced cooperation between undertakings in the different Member States on a continuous basis and thus directly contribute to the aims of the Programme. Such projects should thus be eligible for an increased funding rateadministrative support by the Commission.
Amendment 109 #
Proposal for a regulation
Recital 15
Recital 15
Amendment 114 #
Proposal for a regulation
Recital 16
Recital 16
(16) The promotion of innovation and technological development in the Union defence industry should take place in a manner coherent with the security interests of the Union as defined objectively within the context of the Common Security and Defence Policy (CSDP). Accordingly, the action's contribution to those interests and to the defence capability priorities commonly agreed by Member States within the context of CSDP should serve as an award criterion. Within the Union, common defence capability priorities are identified notably through the Capability Development Plan. Other Union processes such as the Coordinated Annual Review on Defence (CARD) and the Permanent Structured Cooperation will support the implementation of relevant priorities through enhanced cooperation. Where appropriate regional or international cooperative initiatives, such as in the NATO context, and serving the Union security and defence interest, may also be taken into account.
Amendment 116 #
Proposal for a regulation
Recital 17
Recital 17
(17) In order to ensure that the funded actions are viable, the Member States commitment to effectively contribute to the financing of the action should be an award criterion for such actionsMember States should consider whether to make use of the already existing intergovernmental ATHENA mechanism of the Common Security and Defence Policy (CSDP) for co-funding actions under the Programme.
Amendment 117 #
Proposal for a regulation
Recital 18
Recital 18
(18) In order to ensure that the funded actions will contribute to the competitivenessa higher level of efficiency of the European defence industry, they should be market-oriented and demand driven. Therefore, the fact that Member States have already committed to jointly produce and procure the final product or technology, possibly in a coordinated way, should be taken into account in the award criteria. In order to reduce market distortions in the defence sector, which often hamper efficient projects, it is of crucial importance to exclude subsidising the defence industry via the use of Union funds.
Amendment 120 #
Proposal for a regulation
Recital 19
Recital 19
Amendment 128 #
Proposal for a regulation
Recital 20
Recital 20
(20) As the Union support aims at enhancing the competitiveness ofefficient cooperation within the sector and concerns only the specific development phase, the Commission should not have ownership or intellectual property rights over the products or technologies resulting from the funded actions supported. The applicable intellectual property rights regime will be defined contractually by the beneficiarieparticipants.
Amendment 137 #
Proposal for a regulation
Recital 23
Recital 23
(23) For the selection of actions to be fundsupported by the Programme, the Commission or the entities referred to in Article 58(1)(c) of Regulation N°o 966/2012 should organise competitive calls as provided for by Regulation No 966/2012. After evaluation of the received proposals with the help of independent experts, the Commission will select the actions to be fundsupported under the Programme. In order to ensure uniform conditions for the implementation of this Regulation implementing powers should be conferred on the Commission as regards the adoption and the implementation of the work programme, as well as for awarding the fundingsupport to selected actions. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council7. _________________ 7 Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by the Member States of the Commission's exercise of implementing powers
Amendment 142 #
Proposal for a regulation
Recital 25
Recital 25
(25) The Commission should draw up an interim progress report by the end of the first year of implementation and an implementation report at the end of the Programme, examining the financial activities in terms of financial implementation results and where possible, impact. This report should also analyse the cross border participation of SMEs in projects under the Programme as well as the participation of SMEs to the global value chain.
Amendment 146 #
Proposal for a regulation
Article 1 – paragraph 1
Article 1 – paragraph 1
A European cooperation mechanism between the Commission, the Member States and undertakings supporting the development and implementation of a joint European Defence Industrial Development Programme (hereinafter referred to as 'the Programme') for Union action covering the period from 1st January 2019 to 31 December 2020 is hereby established.
Amendment 147 #
Proposal for a regulation
Article 2 – paragraph 1 – introductory part
Article 2 – paragraph 1 – introductory part
Amendment 149 #
Proposal for a regulation
Article 2 – paragraph 1 – point a
Article 2 – paragraph 1 – point a
(a) to foster the competitiveness and innovation capacity of the Union defence industry by supporting actions in their development phaseincrease efficient cooperation between Member States by supporting actions on Union territory in the development phase of the defence industry;
Amendment 157 #
Proposal for a regulation
Article 2 – paragraph 1 – point b
Article 2 – paragraph 1 – point b
(b) to support and leverage the cooperation between Member States and with undertakings, including small and medium-sized enterprises, in the development of technologies or products solely in line with defence capability priorities commonly agreed by Member States within the Union in the context of the Capability Development Plan of the Common Security and Defence Policy (CSDP);
Amendment 165 #
Proposal for a regulation
Article 3 – title
Article 3 – title
Amendment 166 #
Proposal for a regulation
Article 3 – paragraph 1
Article 3 – paragraph 1
Amendment 171 #
Proposal for a regulation
Article 4
Article 4
Amendment 176 #
Proposal for a regulation
Article 5
Article 5
Amendment 177 #
Proposal for a regulation
Article 6 – title
Article 6 – title
Amendment 180 #
Proposal for a regulation
Article 6 – paragraph 1 – introductory part
Article 6 – paragraph 1 – introductory part
1. The Programme shall provide support for actions by beneficiarieidentify and develop actions by participants in the development phase covering both new and the upgrade of existing products and technologies, in relation to:
Amendment 187 #
Proposal for a regulation
Article 6 – paragraph 1 – point f
Article 6 – paragraph 1 – point f
Amendment 193 #
Proposal for a regulation
Article 6 – paragraph 2
Article 6 – paragraph 2
2. The action shall be undertaken in a cooperation of at least three undertakings which are established in at least two different Member States. The undertakings which are beneficiarieand their subcontractors which are participants shall not effectively be controlled, directly or indirectly, by the same entity or shall not control each other.
Amendment 200 #
Proposal for a regulation
Article 6 – paragraph 4 a (new)
Article 6 – paragraph 4 a (new)
Amendment 201 #
Proposal for a regulation
Article 6 – paragraph 4 b (new)
Article 6 – paragraph 4 b (new)
4b. Actions which contribute in parts or entirely (parts and components including software, artificial intelligence features, and any relevant dual-use technologies), directly or indirectly to the production of armed unmanned aerial vehicles shall be excluded from the Programme as long as no Council Decision on the use of such new military technology exists which upholds international human rights law and international humanitarian law and which addresses issues such as a legal framework, proportionality, protection of civilians and transparency.
Amendment 202 #
Proposal for a regulation
Article 6 – paragraph 4 c (new)
Article 6 – paragraph 4 c (new)
4c. Military or dual-use technology supported by the Programme shall only be exported to NATO allies and friendly nations which fully comply with the provisions of the Arms Trade Treaty (ATT). Such exports shall also fully comply with the eight criteria provided for in Common position 944/2008/CFSP on arms exports. The results of cooperation between Member States under the Programme shall only be authorised for export if all participating Member States agree. The Commission shall put in place a tracking mechanism to verify the end- use and end-users of the technology supported by the Programme and report about their status every six months to the European Parliament and to the Council.
Amendment 203 #
Proposal for a regulation
Article 7 – title
Article 7 – title
Amendment 206 #
Proposal for a regulation
Article 7 – paragraph 1
Article 7 – paragraph 1
1. Beneficiaries shall be undertakingParticipants in the actions foreseen by the Programme shall be undertakings and their subcontractors established in the Union, in which Member States and/or nationals of Member States own more than 50% of the undertaking and effectively control it within the meaning of Article 6(3), whether directly or indirectly through one or more intermediate undertakings. In addition, all infrastructure, facilities, assets and resources used by the participants, including subcontractors and other third parties, in actions fundedoreseen under the Programme shall not be located on the territory of non-Member States during the entire duration of the action. The use of these infrastructures, facilities, assets and resources shall not be under the control of any third country or entity established outside of the Union.
Amendment 212 #
Proposal for a regulation
Article 7 – paragraph 1 a (new)
Article 7 – paragraph 1 a (new)
1a. In case a change occurs regarding the effective control of an undertaking participating in actions foreseen under the Programme, the undertaking concerned shall inform without delay the Commission and competent authority in the Member State in which it is established, which will then jointly decide on appropriate measures with regard to the protection of national and Union interests.
Amendment 215 #
Proposal for a regulation
Article 7 – paragraph 2
Article 7 – paragraph 2
2. If the beneficiaryparticipant, as defined in paragraph 1, is developing an action, as defined in Article 6, in the context of Permanent Structured Cooperation, it shall be eligibleidentified for the increased fundingadministrative support referred to in Article 11(2) in respect of that action.
Amendment 216 #
Proposal for a regulation
Article 8 – title
Article 8 – title
Declaration by applicparticipants
Amendment 219 #
Proposal for a regulation
Article 9 – paragraph 1
Article 9 – paragraph 1
1. Where the Union’s financial assistance is provided through a grantadministrative support is provided, the members of any consortium wishing to participate in an action shall appoint one of them to act as coordinator, which shall be identified in the grant agreement. The coordinator shall be the principal point of contact between the members of the consortium in relations with the Commission or the relevant funding body, unless specified otherwise in the grant agreement or in the event of non- compliance with its obligations under the grant agreement.
Amendment 220 #
Proposal for a regulation
Article 9 – paragraph 2
Article 9 – paragraph 2
2. The members of a consortium participating in an action shall conclude an internal agreement establishing their rights and obligations with respect to the implementation of the action (in compliance with the grant agreement), except in duly justified cases provided for in the work programme or call for proposals.
Amendment 221 #
Proposal for a regulation
Article 10 – title
Article 10 – title
Amendment 222 #
Proposal for a regulation
Article 10 – paragraph 1 – introductory part
Article 10 – paragraph 1 – introductory part
Actions proposed for funding underinclusion in the Programme and eligible for administrative support shall be evaluated on the basis of the following cumulative criteria:
Amendment 227 #
Proposal for a regulation
Article 10 – paragraph 1 – point b
Article 10 – paragraph 1 – point b
(b) contribution to the innovation and technological development of defence industries and thus to fostering the industrial autonomy of the Union in the field of defence technologiesrelation to the capability requirements under the Common Security and Defence Policy (CSDP); and,
Amendment 228 #
Proposal for a regulation
Article 10 – paragraph 1 – point c
Article 10 – paragraph 1 – point c
(c) contribution to the sCommon Security and dDefence interests of the UnionPolicy (CSDP) by enhancing defence technologies which contribute to implement defence capability priorities commonly agreed by Member States within the Unioin the context of the Capability Development Plan; and,
Amendment 229 #
Proposal for a regulation
Article 10 – paragraph 1 – point d
Article 10 – paragraph 1 – point d
(d) viability notably via a demonstration by the beneficiaries that the remainingparticipants that the costs of the eligible action are covered by other means of financing such as Member States’ contributions and the ATHENA mechanism; and
Amendment 232 #
Proposal for a regulation
Article 10 – paragraph 1 – point e
Article 10 – paragraph 1 – point e
(e) for actions described in points (b) to (e) of Article 6(1), the contribution to the competitiveness of thea more efficient and integrated European defence industry inter alia through the demonstration by the beneficiarieparticipants that Member States have committed to jointly produce and procure the final product or technology in a coordinated way, including joint procurement where applicable.
Amendment 237 #
Proposal for a regulation
Article 11
Article 11
Amendment 246 #
Proposal for a regulation
Article 12 – paragraph 1
Article 12 – paragraph 1
The Commission shall not own the products or technologies resulting from the action nor shall it have any IPR claim pertaining to the action. The results of the actions under the Programme shall under no circumstances be under the control of any third country or entity established outside of the Union.
Amendment 251 #
Proposal for a regulation
Article 13 – paragraph 2
Article 13 – paragraph 2
2. The work programme shall set out in detail the categories of projects to be funded under the Programmeincluded in the Programme as well as the commitment of the Member States for financing their implementation;
Amendment 254 #
Proposal for a regulation
Article 13 – paragraph 3
Article 13 – paragraph 3
3. The work programme shall ensure that a credible proportion of the overall budget will benefit actionsactions foreseen enablinges the cross-border participation of SMEs.
Amendment 257 #
Proposal for a regulation
Article 14
Article 14
Amendment 259 #
Proposal for a regulation
Article 16 – paragraph 1
Article 16 – paragraph 1
1. The Commission shall be assisted by a committee. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011. The European Defence Agency and representatives of the European Parliament, civil society and academia shall be invited as observers.
Amendment 261 #
Proposal for a regulation
Article 16 – paragraph 1 a (new)
Article 16 – paragraph 1 a (new)
1a. The Commission shall establish an advisory group composed of independent experts, academic and civil society organisations to provide advice to the Committee in particular on the compatibility of technology supported by the Programme as regards moral, ethical and international law obligations of both the Union and its Member States.
Amendment 267 #
Proposal for a regulation
Article 17 – paragraph 2
Article 17 – paragraph 2
2. To support greater efficiency and effectiveness of future Union policy actions, the Commission shall draw up a retrospective evaluation report and send it to the European Parliament and to the Council. The report - building on relevant consultations of Member States and key stakeholders - shall notably assess the progress made towards the achievement of objectives set out in Article 2 and shall be submitted to the European Parliament and to the Council every six months. It shall also analyse cross border participation of SMEs in projects implemented under the programme as well as the participation of SMEs to the global value chain.