Activities of Marc BOTENGA related to 2022/0032(COD)
Plenary speeches (1)
European Chips Act (debate)
Shadow reports (1)
REPORT on the proposal for a regulation of the European Parliament and of the Council Establishing a framework of measures for strengthening Europe's semiconductor ecosystem (Chips Act)
Amendments (41)
Amendment 135 #
Proposal for a regulation
Recital 3
Recital 3
(3) This framework pursues two objectives. The first objective is to ensure the conditions necessary for the competitiveness and innovation capacity of the Union and to ensure the adjustment of the industryto ensure the transformation of the industry according to structural changes due to increasing social needs, fast innovation cycles and the need for sustainability. The second objective, separate and complementary to the first one, is to improve the functioning of the internal market by layinglay down a uniform Union legal framework for increasing the Union’s resilience and security of supply in the field of semiconductor technologies.
Amendment 185 #
Proposal for a regulation
Recital 13
Recital 13
(13) The Chips sector as a strategic sector is too important to be left in the hands of the private for-profit sector. In order to overcome the limitations of the current fragmented public and private investments efforts, facilitate integration, cross-fertilisation, and return on investment on the ongoing programmes and to pursue a common strategic Union vision on semiconductors as a means to realising the ambition of the Union and of its Member States to ensure a leading role in the digital economy, the Chips for Europe Initiative should facilitate better coordination and closer synergies between the existing funding programmes at Union and national levels, better coordination and collaboration with industrypublic control and coordination of the sector and key private sector stakeholders and additional joint public investments with Member States. The implementation set up of the Initiative is built to pool resources from the Union, Member States and third countries associated with the existing Union Programmes, as well as the private sector. The success of the Initiative can therefore only be built on a collective effort by Member States, with the Union, to support both the significant capital costs and the wide availability of virtual design, testing and piloting resources and diffusion of knowledge, skills and competences. The central role public initiative and funding, including to industrial de- risking, should come with commensurate public ownership of process and/or end- products. Where appropriate, in view of the specificities of the actions concerned, the objectives of the Initiative, specifically the ‘Chips Fund’ activities, should also be supported through a blending facility under the InvestEU Fund.
Amendment 189 #
Proposal for a regulation
Recital 14
Recital 14
(14) Support from the Initiative should be used to address market failures or sub- optimal investment situations in a proportionate manner, and actions should not duplicate or crowd out private financing or distort competition in the internal market. Actions should have a clear social and environmental added value foracross the Union.
Amendment 202 #
Proposal for a regulation
Recital 19
Recital 19
(19) Integrated Production Facilities and Open EU Foundries should provide semiconductor manufacturing capabilities that are “first-of-a-kind” in the Union and contribute to the security of supply and to a resilient ecosystem in the internal market. The qualifying factor for the production of a first-of-a-kind facility could be with regard to the highest social and environmental value, or technology node, substrate material, such as silicon carbide and gallium nitride, and other product innovation that can offer better performance, process technology or energy and environmental performance. A facility of a comparable capability on an industrial scale should not yet substantively be present or committed to be built within the Union, excluding facilities for research and development or small-scale production sites. First-of-a-kind” facilities should comply with requirements stemming from Union and Member State legislation especially those related to social and environmental legislation, emissions to air, water and soil, including the risk and prevention of industrial accidents, and seek to ensure high energy and resource and water efficiency.
Amendment 209 #
Proposal for a regulation
Recital 21
Recital 21
(21) In order to qualify as Integrated Production Facilities or Open EU Foundries, the establishment and operation of the facility should have a clear positive impact on the semiconductor value chain in the Union, in particular with regard to providing a resilient supply of semiconductors to users on the internal market. TAny European or other public funds used should result in proportionate public ownership. Member States should establish non-for-profit entities. Equally, the impact on several Member States, including cohesion and employment objectives, should be considered as one of the indicators of a clear positive impact of an Integrated Production Facility and Open EU Foundry on the semiconductor value chain in the Union.
Amendment 229 #
Proposal for a regulation
Recital 27
Recital 27
(27) The internal market would greatly benefit from common standards for green, trusted and secure chips. Future smart devices, systems and connectivity platforms will have to rely on advanced semiconductor components and they will have to meet green, trust and cybersecurity requirements which will largely depend on the features of the underlying technology. Particular attention should be paid to the development of sustainable practices in the manufacturing of chips in Europe. Comprehensive monitoring and due diligence requirements at all stages of the value chain should allow on one hand to curb, mitigate and aim to nullify the environmental impact, while on the other hand guaranteeing quality employment, avoid social dumping and ensure respect of International Labour Organization conventions. To that end, the Union should develop reference certification procedures and require the industry to jointly develop such procedures for specific sectors and technologies with potential high social impact.
Amendment 353 #
Proposal for a regulation
Article 2 – paragraph 1 – point 10
Article 2 – paragraph 1 – point 10
(10) ‘first-of-a-kind facility’ means an industrial facility capable of semiconductor manufacturing, including front-end or back-end, or both, that is not substantively already present or committed to be built within the Union, for instance with regard to the technology node, substrate material, such as silicon carbide and gallium nitride, and other product innovation that can offer better performance, process innovation or energy and environmental performance, potentially yielding exceptional social and environmental benefits, both of end products and during the manufacturing process;
Amendment 379 #
Proposal for a regulation
Article 2 – paragraph 1 – point 16
Article 2 – paragraph 1 – point 16
(16) ‘critical sector’ means any sector referred to in the Annex of the Commission proposal for a Directive of the European Parliament and of the Council on the resilience of critical entities, the defence notably strategic sectors and other activities that are relevant for public safety and securitys energy, housing, health, digital and transport;
Amendment 401 #
Proposal for a regulation
Article 4 – paragraph 1
Article 4 – paragraph 1
1. The general objective of the Initiative is to support large-scale technological capacity building and innovation throughout the Union to enable development and deployment of cutting- edge and next generation semiconductor and quantum technologies that will reinforce the Union advanced design, systems integration and chips production capabilities, as well as contribute to the achievement of the twin digital and green transition, and fulfill ambitious social objectives.
Amendment 414 #
Proposal for a regulation
Article 4 – paragraph 2 – point b – point 2
Article 4 – paragraph 2 – point b – point 2
(2) supporting large scale innovation through access to new or existing pilot lines for experimentation, test, and validation of new design concepts integrating key functionalities, such as novel materials and architectures for power electronics fostering sustainable energy and electro mobility, lower energy consumption, security, higher levels of computing performance or integrating breakthrough technologies such as neuromorphic and embedded artificial intelligence (AI) chips, integrated photonics, graphene and other 2D material based technologies, guaranteeing open- source results or proportionate public ownership of intellectual property rights;
Amendment 420 #
Proposal for a regulation
Article 4 – paragraph 2 – point b – point 3
Article 4 – paragraph 2 – point b – point 3
(3) providing support to Integrated Production Facilities and public or non- for-profit Open EU Foundries through priority access to the new pilot lines, guaranteeing a proportionate public return on investment.
Amendment 432 #
Proposal for a regulation
Article 4 – paragraph 2 – point e – introductory part
Article 4 – paragraph 2 – point e – introductory part
(e) undertaking activities, to be described collectively as a ‘Chips Fund’ activities to facilitate access to debt financing and equity by start-ups, scale-ups and SMEs and other companies in the semiconductor value chain, through a blending facility under the InvestEU Fund and via the European Innovation Council, maintaining proportionate ownership of intellectual property rights resulting from these actions, with a view to:
Amendment 445 #
Proposal for a regulation
Article 7 – paragraph 1
Article 7 – paragraph 1
1. For the purpose of implementing eligible actions and other related tasks funded under the Initiative a Public European Chips Infrastructure Consortium (‘PECIC’) may be established under the conditions set out in this Article.
Amendment 449 #
Proposal for a regulation
Article 7 – paragraph 2 – point c
Article 7 – paragraph 2 – point c
(c) consist of at least three legal entities from at least three Member States and be operated as a public-private sector consortium with the participation of the Member States, and private legal entities;
Amendment 450 #
Proposal for a regulation
Article 7 – paragraph 3 – point b
Article 7 – paragraph 3 – point b
(b) the draft Statutes of the ECIC that shall include at least the provisions on: the procedure for setting-up, membership, budget, legal seat, applicable law and jurisdiction, guarantees regarding a fair return on public investment, including in terms of IP and ownership of the results, governance, including decision making procedure and specific role and if applicable voting rights of Member States and the Commission, winding-up, reporting and strong liability. obligations, including stringent environmental and social conditionalities.
Amendment 464 #
Proposal for a regulation
Article 7 – paragraph 9
Article 7 – paragraph 9
9. The ECIC shall produce an annual activity report, containing a technical description of its activities and financial statement as well as a social impact report including in terms of employment and training. The annual activity report shall be transmitted to the Commission and made publicly available. The Commission may provide recommendations regarding the matters covered in the annual activity report.
Amendment 477 #
Proposal for a regulation
Article 8 – paragraph 3
Article 8 – paragraph 3
3. Member States shall designate candidate competence centres in accordance with its national procedures, administrative and institutional structures through an open and competitive process. The Commission shall, by means of implementing acts, set the procedure for establishing competence centres, including selection criteria, including priority and preference for public or non-for- profit entities and further tasks and functions of the centres with respect to the implementation of the actions under the Initiative, the procedure for establishing the network as well to adopt decisions on the selection of entities forming the network. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 33(2).
Amendment 489 #
Proposal for a regulation
Article 10 – paragraph 2 – point a
Article 10 – paragraph 2 – point a
(a) it qualifies as a first-of-a-kind facility, guaranteeing a fair return on public investment;
Amendment 492 #
Proposal for a regulation
Article 10 – paragraph 2 – point b
Article 10 – paragraph 2 – point b
(b) its establishment and operation have a clear, operation, corporate object, purpose and governance structures guarantee a clear long-term positive impact on the Union’s semiconductor value chain with regard to ensuring societal benefits, the security of supply and increasing qualified workforce, supply chain diversification, increasing qualified workforce, quality jobs and positive environmental impact;
Amendment 502 #
Proposal for a regulation
Article 10 – paragraph 2 – point c
Article 10 – paragraph 2 – point c
(c) it is an asset for a publicly-led industrial policy and guarantees not to be subject to the extraterritorial application of public service obligations of third countries in a way that may undermine the undertaking’s ability to comply with the obligations set out in Article 21(1) and commits to inform the Commission when such obligation arises;
Amendment 505 #
Proposal for a regulation
Article 10 – paragraph 2 – point d
Article 10 – paragraph 2 – point d
(d) it commits to invest in the next generation of chips. or any other chips in accordance with public policy priorities and the related training of workers;
Amendment 514 #
Proposal for a regulation
Article 10 – paragraph 3
Article 10 – paragraph 3
3. For the purpose of investing in the next generation of chips according to paragraph 2, point (d), the Integrated Production Facility shall have priority access to the pilot lines set up in accordance with Article 5, point (b). Any such priority access shall be without prejudice to effective access to the pilot lines by other interested undertakingPublic funds used shall yield equivalent intellectual property rights and/or public ownership of results.
Amendment 516 #
Proposal for a regulation
Article 11 – paragraph 1
Article 11 – paragraph 1
1. Open EU Foundries are non-for- profit or public first-of-a- kind semiconductor front-end or back-end, or both, manufacturing facilities in the Union that offer production capacity to unrelated undertakings and thereby contribute to the security of supply for the internal market, as well as the diversification of supply chains.
Amendment 519 #
Proposal for a regulation
Article 11 – paragraph 2 – point a
Article 11 – paragraph 2 – point a
(a) it qualifies as a first-of-a-kind facility, guaranteeing a fair return on public investment;
Amendment 523 #
Proposal for a regulation
Article 11 – paragraph 2 – point b
Article 11 – paragraph 2 – point b
(b) its establishment and operation have a clear, operation, corporate object, purpose and governance structures guarantee a clear and long- term positive impact on the Union’s semiconductor value chain with regard to ensuring the security of supply and, supply chain diversification, increasing qualified workforce, quality jobs and positive environmental impact; taking into account in particular the extent to which it offers front-end or back-end, or both, production capacity to undertakings not related to the facility, if there is sufficient demand;
Amendment 533 #
Proposal for a regulation
Article 11 – paragraph 2 – point c
Article 11 – paragraph 2 – point c
(c) it is an asset for a publicly-led industrial policy and guarantees not to be subject to the extraterritorial application of public service obligations of third countries in a way that may undermine the undertaking’s ability to comply with the obligations set out in Article 21(1) and commits to inform the Commission when such obligation arises;
Amendment 536 #
Proposal for a regulation
Article 11 – paragraph 2 – point d
Article 11 – paragraph 2 – point d
(d) it commits to invest in the next generation of chips., or any other chips in accordance with public policy priorities and the related training of workers;
Amendment 546 #
Proposal for a regulation
Article 11 – paragraph 4
Article 11 – paragraph 4
4. For the purpose of investing in the next generation of chips according to paragraph 2, point (d), the Open EU Foundry shall have priority access to the pilot lines set up in accordance with Article 5, point (b). Any such priority access shall be without prejudice to effective access to the pilot lines by other interested undertakingPublic funds used shall yield equivalent intellectual property rights and/or public ownership of results.in regard to own programmes and activities.
Amendment 551 #
Proposal for a regulation
Article 12 – paragraph 2 – subparagraph 1 – point b
Article 12 – paragraph 2 – subparagraph 1 – point b
(b) a business plan evaluating the financial viability of the project, including information on any planned public support and a detailed breakdown of private funding;
Amendment 554 #
Proposal for a regulation
Article 12 – paragraph 2 – subparagraph 1 – point d
Article 12 – paragraph 2 – subparagraph 1 – point d
(d) provision of an appropriate supporting document proving the readiness of the Member State or Member States where the applicant intends to establish its facility to facilitate the set-up of such a facility.ublic control or non-for-profit operations;
Amendment 567 #
Proposal for a regulation
Article 13 – paragraph 1
Article 13 – paragraph 1
1. To the extent their activities are driven by the public interest, Integrated Production Facilities and Open EU Foundries shall be considered to contribute to the security of supply of semiconductors in the Union and therefore to be in the public interest.;
Amendment 582 #
Proposal for a regulation
Article 14 – paragraph 2
Article 14 – paragraph 2
2. Where such status exists in national law, Integrated Production Facilities and Open EU Foundries shall be allocated the status of the highest national significance possible and be treated as such in permit granting processes, including those relating to environmental assessments and if national law so provides, in spatial planning.;
Amendment 718 #
Proposal for a regulation
Article 21 – paragraph 5 – introductory part
Article 21 – paragraph 5 – introductory part
5. The undertaking concerned shall be obliged to accept and prioritise a priority rated order. The undertaking may request the Commission to review the priority rated order where it considers it to be duly justified based on one of the following grounds:
Amendment 719 #
Proposal for a regulation
Article 21 – paragraph 5 – point a
Article 21 – paragraph 5 – point a
Amendment 722 #
Proposal for a regulation
Article 21 – paragraph 5 – point b
Article 21 – paragraph 5 – point b
Amendment 732 #
Proposal for a regulation
Article 22 – paragraph 4
Article 22 – paragraph 4
4. Procurement under this Regulation shall be carried out by the Commission in accordance with the rules set out in the Financial Regulation for its own procurement. In particular, special attention shall be paid to an appropriate integration of environmental, social and labour requirements into public procurement procedures, as well as on the principles of equal treatment and transparency, as referred to in the current Financial Regulation as well as in the Directives 2014/24/EU and 2014/25/UE on public procurement. The Commission may have the ability and responsibility, on behalf of all participating Member States, to enter into contracts with economic operators, including individual producers of crisis- relevant products, concerning the purchase of such products or concerning the advance financing of the production or the development of such products in exchange for a priority right to the result.
Amendment 733 #
Proposal for a regulation
Article 22 – paragraph 5
Article 22 – paragraph 5
5. Where the procurement of crisis- relevant products includes financing from the Union budget, specific conditions may be set out in specific agreements with economic operators. Public spending and support shall always ensure a fair return on investment and ensure strong social and environmental conditionalities.
Amendment 737 #
Proposal for a regulation
Article 22 – paragraph 6 a (new)
Article 22 – paragraph 6 a (new)
6 a. The Commission shall ensure that public policy priorities direct the joint undertakings, and that these operate in an open and transparent way, providing with all requested information in a regular and timely manner, notably through the full publication of signed joint undertaking contracts.
Amendment 760 #
Proposal for a regulation
Article 24 – paragraph 4
Article 24 – paragraph 4
4. The Commission may establish standing or temporary sub-groups for the purpose of examining specific questions. Where appropriate, the Commission may invite organisations representing the interests of the semiconductor industry, including the Industrial Alliance on Processors and Semiconductor Technologies, trade unions, and users of semiconductors at Union level, to such sub-groups in the capacity of observers. A sub-group including Union Research and Technology Organisations shall be established for the purpose of examining specific aspects on strategic technology directions and reporting on this to the European Semiconductor Board. Each sub-groups shall be composed of equal representation, including trade unions and users’ organisations. Proceedings and conclusions of the sub-groups meetings shall be made public within short delays.
Amendment 791 #
Proposal for a regulation
Article 28 – paragraph 2
Article 28 – paragraph 2
Amendment 794 #
Proposal for a regulation
Article 28 – paragraph 3
Article 28 – paragraph 3
3. Periodic penalty payments imposed in the cases referred to in paragraph 1 (c) shall not exceed 1.5 6% of the average daily turnover in the preceding business year for each working day of non-compliance with the obligation pursuant to Article 21 calculated from the date established in the decision.