Horizon 2020 rules and the difference to FP7.
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1 Horizon 2020 rules and the difference to FP7. Di Rosa Matteo H2020 NCP - Climate Action, Environment, Resource Efficiency and Raw Materials (SC5) H2020 NCP - Food Security, Sustainable Agriculture and Forestry, Marine, Maritime and Inland Water Research and the Bioeconomy (SC2) 28 Ottobre 2015, ENEA APRE 2013
2 H2020 structure and approach Excellent Science European Research Council Frontier research by the best individual teams Future and Emerging Technologies BOTTOM Collaborative research to open new fields of innovation UP Marie Skłodowska Curie actions Opportunities for training and career development TOP - Research infrastructures (including e-infrastructure) DOWN Ensuring access to world-class facilities Industrial Technologies Leadership in enabling and industrial technologies ICT, nanotechnologies, materials, biotechnology, manufacturing, space Access to risk finance Leveraging private DOWN finance and venture capital for research and innovation BOTTOM UP TOP - Innovation in SMEs Fostering all forms of innovation (SME) in all types of SMEs Societal Challenges Health, demographic change and wellbeing Food security, sustainable agriculture, marine and maritime research & the bioeconomy Secure, clean and efficient energy Smart, green and integrated transport BOTTOM Climate action, resource UP efficiency and raw materials (SME) Inclusive, innovative and reflective societies Security society TOP - DOWN European Institute of Innovation and Technology (EIT) Spreading Excellence and Widening Participation Science with and for society Joint Research Center (JRC) 2
3 What is new? 1. Impressive increase of its budget 2. Coupling research to innovation 3. Challenge-based approach 4. New approach to Work Programme and Calls 5. Radical simplification 6. Focus on increased industry participation 7. Dedicated support for SMEs 8. Reinforced budget for the ERC 9. Selection of projects on the basis of excellence 10. Full openness to the rest of the world 11. Embedding Socio-economic Sciences and Humanities 12. Dedicated Widening activities
4 What is new - Budget 1. Impressive increase of its budget The only part of the new EU budget with a significant increase. A budget of just over 79 billion; 30 per cent higher in real terms than the period.
5 What is new - Approach 2. Coupling research to innovation Coupling Research to Innovation in order to bring research results to market. For those that would like to bring results to the market, support via Demonstration activities Testing Prototyping Proof of Concept Pilot type activities etc.
6 What is new Approach 3. Challenge-based approach The majority of the budget is spent to solve major societal challenges; requesting a problem-solving approach: Health, demographic change and wellbeing Food security, sustainable agriculture, marine and maritime and inland water research and the bioeconomy Secure, clean and efficient energy Smart, green and integrated transport Climate action, environment, resource efficiency and raw materials Inclusive, innovative and reflective societies Secure societies
7 What is new WP and Calls 4. New approach to Work Programme and Calls More strategic work programmes Less prescriptive calls Two year work programmes
8 What is new Simplification 5. Radical simplification A single set of rules for all funding under Horizon 2020 Principle of 'one action one funding rate' Single flat rate for indirect costs Faster TTG: 8 months from call deadline No more paper: e-communication and e-signature of grants No more time sheets for personnel working full time for a project Financial viability check only for co-ordinators in projects above Wider acceptance of average personnel costs
9 What is new Industry participation 6. Focus on increased industry participation More attention to innovation Radical simplification More topics of interest to industry Public-private partnerships: Joint Technology Initiatives (Art 187): Innovative Medicines Initiative Clean Sky (Aeronautics) Fuel Cell and Hydrogen Biobased industries Electronic components and systems
10 What is new - SMEs 7. Dedicated support for SMEs 20% of total budget for societal challenges and enabling & industrial technologies to go to SMEs A new SME instrument in all challenges and enabling & industrial technologies
11 What is new ERC 8. Reinforced budget for the ERC The ERC is an enormous success! World class science is the foundation of tomorrow s technologies, jobs and well-being Reinforcing the ERC (Frontier research by the best individual teams) with a doubling of the budget
12 What's new Excellence 9. Selection of projects on the basis of excellence Excellence is the only standard award criterion, no geographical selection criteria. Clear division of labour between Horizon 2020 and cohesion policy: Cohesion policy: support for regions in building up their research and innovation capacity (on basis of smart specialisation) Horizon 2020: extending the frontiers of knowledge by fostering cooperation between the best brains of Europe
13 What is new Openness 10. Full openness to the rest of the world Horizon 2020 is open to all researchers worldwide It will remain to be the most open funding programme in the world Open to association of: enlargement countries/efta/ European Neighbourhood (and others associated to FP7) Targeted flagship actions - strategic approach to international cooperation
14 What is new Socio-economic sciences and humanities 11. Embedding socio-economic sciences and humanities (SSH) Integrated approach: SSH included as an integral part of the activities, working beyond 'silos' (e.g. understanding the determinants of health and optimising the effectiveness of healthcare systems) The 'Inclusive, innovative and reflective societies' challenge: issues such as smart and sustainable growth, social transformations, social innovation and creativity, and the position of Europe as a global actor Bottom-up funding: ERC, MSCA, Research Infrastructures
15 What is new Widening 12. Dedicated Widening activities Specific challenge: To help address the disparities in research and innovation performance across Europe Key new features/topics: New activities in Horizon 2020 that enable expertise and knowledge transfer in Europe through Teaming and Twinning Scope of activities: Create centres of excellence (Teaming), Promote institutional networking (Twinning) and Bring excellence to institutions in less-performing Member States (ERA Chairs)
16 In summary Single set of simpler and more coherent participation rules New balance between trust and control Moving from several funding rates for different beneficiaries and activities to just two Replacing the four methods to calculate overhead or «indirect costs» with a single flat rate Major simplification under the forthcoming financial regulation Successful applicants to get working more quickly: time-to-grant of 8 months; exceptions for the ERC and in duly justified cases
17 The financial side of things APRE 2013
18 ELIGIBILITY
19 LEGAL ENTITYIES THAT MAY PARTICIPATE (art.7)/ ELIGIBILITY FOR FUNDING (art.10) WHO CAN PARTICIPATE? Any legal entity, university or research centre based in EU member or associated *countries JRC (Joint Research Centre) International organization of EU interest International organization and entities from Third Countries: in addition to minimum conditions! * Albania, Bosnia-Herzegovina, FYR Macedonia, Iceland, Israel, Liechtenstein, Montenegro, Norway, Serbia, Turkey WHO CAN GET FUNDED? Any legal entity, university or research centre based in EU member or associated *countries JRC (Joint Research Centre) International organization of EU interest Entities from Third Countries: only if ICPC* International organization and entities from Third countris not ICPC, only in exceptional cases,if foreseeen in the WP or on the basis of bilateralagreementor if it is essential for the action POSSIBILITY OF JOINT CALL WITH THIRD COUNTRIES AND INTERNATIONAL ORGANISATION
20 Eligibility for funding Automatically for the following legal entities: Legal entities established in the Member States and Associated Countries International European Interest Organisations Legal entities identified in the work programmes Other legal entities if: Participation is deemed essential for carrying out the action by the Commission or the relevant funding body Provided for in an international agreement between the Union and a third country or international organisation
21 Which countries are eligible for funding? Legal entities established in the following countries are eligible to receive funding in Horizon 2020: Member States of the European Union, including their overseas departments Associated Countries - the following countries have stated their intention to become associated to Horizon 2020 by the time the first grant agreements are being signed. These are Albania, Bosnia and Herzigovina, Faroe Islands, former Yugoslav Republic of Macedonia, Iceland, Israel, Moldova, Montenegro, Norway, Serbia and Turkey. Third Countries* List of countries, and applicable rules for funding' for the list of third countries that are eligible for funding. International European interest organisations are also eligible to receive funding
22 Third Countries Industrialised countries and emerging economies - funded only in exceptional cases industrialised countries: for instance US, Canada, Republic of Korea, Singapore, Australia, Taiwan, New Zealand, Macao, San Marino, Manaco, Andorra, Vatican, etc. emerging economies: Brazil, Russia, India, China and Mexico ICPC Countries
23 Switzerland from 15 September 2014 ASSOCIATED: ERC, MARIE SKŁODOWSKA-CURIE, FET, INFRASTRUCTURE, SPREADING EXCELLENCE AND WIDENING PARTICIPATION, EURATOM THIRD COUNTRY (ALL OTHER PROGRAMMES)
24 GRANTS
25 Forms of funding Grants Direct financial contribution by way of donation in order to finance an action Prizes Financial contribution given as reward following a contest Procurement Supply of assets, execution of works or provision of services against payment Financial instruments Equity or quasi-equity investments; loans; guarantees; other risk-sharing instruments
26 Types of actions Research and innovation actions Innovation actions Coordination and support actions SME instrument ERANET Co-fund Pre-commercial procurement (PCP) Co-fund Public procurement of innovative solutions (PPI) Co-fund Prize GRANTs Disclaimer : legally not binding
27 Research and innovation actions Description: Action primarily consisting of activities aiming to establish new knowledge and/or to explore the feasibility of a new or improved technology, product, process, service or solution. For this purpose they may include basic and applied research, technology development and integration, testing and validation on a small-scale prototype in a laboratory or simulated environment. Projects may contain closely connected but limited demonstration or pilot activities aiming to show technical feasibility in a near to operational environment. Funding rate: maximum 100%
28 Innovation Actions Description: Action primarily consisting of activities directly aiming at producing plans and arrangements or designs for new, altered or improved products, processes or services. For this purpose they may include prototyping, testing, demonstrating, piloting, large-scale product validation and market replication. A demonstration or pilot aims to validate the technical and economic viability of a new or improved technology, product, process, service or solution in an operational (or near to operational) environment, whether industrial or otherwise, involving where appropriate a larger scale prototype or demonstrator. A market replication aims to support the first application/deployment in the market of an innovation that has already been demonstrated but not yet applied/deployed in the market due to market failures/barriers to uptake. 'Market replication' does not cover multiple applications in the market of an innovation that has already been applied successfully once in the market. First means new at least to Europe or new at least to the application sector in question. Often such projects involve a validation of technical and economic performance at system level in real life operating conditions provided by the market. Funding rate: maximum 70% (except for non-profit legal entities, where a maximum rate of 100% applies)
29 NEW Close to Market
30 Coordination support actions Description: Actions consisting primarily of accompanying measures such as standardisation, dissemination, awareness-raising and communication, networking, coordination or support services, policy dialogues and mutual learning exercises and studies, including design studies for new infrastructure and may also include complementary activities of networking and coordination between programmes in different countries. Funding rate: maximum 100%
31 Eranets Cofound The main and compulsory activity of the ERA-NET Cofund under Horizon 2020 is the implementation of the co-funded joint call for proposals that leads to the funding of transnational research and/or innovation projects. The call is normally based on a call for proposals resulting in grants to third parties, but may also cover calls for proposals for governmental lump sum research organisations based on in-kind contributions from their institutional funding. In this case the beneficiaries carry out trans-national projects partially or fully themselves. The inkind contributions are the resources allocated as direct expenditure in the selected transnational projects that are not reimbursed by the Union contribution. Funding rate: The Union contribution will be limited to a maximum of 33% of the total eligible costs of the action. The Union contribution to the costs for support to trans-national projects is limited to one call per grant agreement
32
33 Pre-Commercial Procurement (PCP) Cofund actions The objective of a PCP action is to enable the public sector as a technologically demanding buyer to encourage research, development and validation of breakthrough solutions that can bring radical quality and efficiency improvements in areas of public interest. Funding rate: max 70%
34 Public Procurement of Innovative Solutions (PPI) Cofund actions The objective of a PPI action is to reinforce early deployment of innovative solutions that address challenges of public interest. The aim is to enable trans-national buyer groups of procurers to share the risks of acting as early adopters of innovative solutions and to overcome the fragmentation of demand for innovative solutions in Europe. Each PPI action focuses on one concrete unmet need that is shared by the participating procurers and requires the deployment of innovative solutions that are to a significant extent similar across countries and are therefore proposed to be procured jointly Funding rate: max 20%
35 Fast Track to Innovation Objectives: Increase the participation of industry, SMEs and first time applicants in Horizon 2020 Stimulate private sector investment in research and innovation Promote research and innovation with a focus on value creation and accelerate the development of technologies into innovative products, processes and services Means: Full-scale pilot starting in 2015 In-depth assessment as part of interim evaluation Horizon 2020
36 Fast Track to Innovation Follows bottom-up logic (within SC and LEITs) One common call, permanently open, 3 cut-offs per year Time-to-grant 6 months Funds innovation actions (70%), grant up to 3 mn Allows consortia of min. 3, max. 5 members mandatory industry involvement Impact criterion has higher weighting in evaluations Budget: 200 mn for 2015/2016 ( ) ca. 100 projects with average EU contribution of 2 mn Future of pilot (beyond 2016) only decided after full evaluation
37 Fast Track to Innovation - Mandatory industry involvement can consist in the following : either at least 60% of the overall budget of the proposal must be allocated to consortium partner(s) from industry or the minimum number of industry participants must be 2 in a consortium of 3 or 4 partners, and 3 in a consortium of 5 partners. - Proposals shall include a business plan (market development strategy) - SMEs and first-time industry applicants particularly welcome
38 Fast Track to Innovation Topic = Fast Track to Innovation Pilot (bottom-up!) Call opening: 6/1/2015 Planned cut-off dates (or "ranking" dates) > funding decision Cut-off dates /4/2015 1/9/2015 1/12/2015 Cut-off-dates 2016 TBD TBD TBD Individual evaluation of proposals upon arrival, with particular attention for the following: 'Impact' is evaluated first and 4 out of 5 is a must ( ~ fast development & market take-up/ wide deployment no more than 3 years after the beginning of the FTI project, business development, growth and job creation ) 'Excellence' is evaluated second; FTI proposals pursuing technological innovation are expected to have a readiness level of 6 out of 9 (technology demonstrated in relevant environment)
39 FAST TRACK TO INNOVATION (art.54) INNOVATION ACTION - PROCEDURE B. FAST TRACK TO INNOVATION PROCEDURA PILOTA (LANCIO 2015) PER LE INNOVATION ACTION RELATIVE A QUALSIASI CAMPO TECNOLOGICO (IN LEIT E SC) BANDI SEMPRE APERTI CON TRE SCADENZE PER ANNO 6 MESI TRA SCADENZA DEL BANDO E FIRMA DEL GA MAX. 3M MAX. 5 PARTECIPANTI NO APPROVAZIONE COMITATO
40 PREMI Recognition prizes (Nobel Prize, DG INFSO's "ICT Prize", ) = riconoscimento di meriti scientifici Inducement Prizes = competizione che attribuisce un premio al raggiungimento di un obiettivo specifico (Ortieg Prize, Ansari X-Prize, ). L importo del premio non è legato al costo di realizzo dell obiettivo
41 SMEs in H2020 Small and medium enterprises (SMEs) a key source of jobs and innovation receive special attention in Horizon They can collaborate in projects as part of a consortium and can receive support through a dedicated instrument designed specifically for highly innovative smaller companies. The integrated and streamlined character of Horizon 2020 will boost SME participation to at least 20 % ( 8.65 billion) of the total combined budgets of the Leadership in enabling and industrial technologies and the Societal Challenges themes. The SME instrument will be pivotal in achieving this target by providing support to help single SMEs, or consortia of SMEs, assess the market viability of their ideas at the high-risk stage, and then to help them develop these ideas further. Funding is also available for business coaching and guidance on how to identify and attract private investors. Funding: At least 3 billion allocated to the SME instrument
42
43 STANDARD ELIGIBILITY CRITERIA
44 eligibility criteria Three legal entities. Each of the three shall be established in a different Member State or associated country. All three legal entities shall be independent of each other. Research & innovation action innovation action ERA-NET Cofund Pre-commercial procurement (PCP) Cofund Public procurement of Innovative solutions (PPI) Cofund
45 eligibility criteria One legal entity established a Member State or associated country Coordination support action SME Istruments
46 FUNDING RULES
47 Simplified Funding Model 1 reimbursement rate by action (same rate for all beneficiaries and all activities): Up to 100% for Research and Innovation actions Up to 70% for innovation (non-profit entities up to 100%) and programme co-fund actions 1 method for calculation of indirect costs: Flat rate of 25% of total direct costs, excluding subcontracting, costs of third parties and financial support to third parties If provided in WP, lump sum or unit costs Funding of the action not exceed total eligible costs minus receipts
48 COST ELEGIBILITY (art. 26, art.27) ELIGIBLE COSTS ALL COST RELATED TO THE ACTION VAT ELIGIBLE, IF NOT DEDUCTIBLE NEW POSSIBILITY TO USE AVERAGE PERSONNEL COST, if in line with beneficiary s usual accounting practices Eligibility of ADDITIONAL REMUNERATION (BONUS), ONLY FOR NO- PROFIT ENTITIES (LIMIT : 8000 /year/person)
49 INDIRECT COST (Art. 29) NEW STANDARD FLAT RATE (20%) SPECIAL FLAT RATE (60%) SIMPLIFIED METHOD or ACTUAL INDIRECT COSTS Flat rate 25% on direct cost (EXCLUDING SUBCONTRACTING AND COST RELATED TO THIRD PARTIES RESORCES MADE AVAILABLE, NOT IN THE PREMISES OF THE BENEFICIARY, )
50 FUNDING OF THE ACTION (Art. 28) UNIQUE REIMBURSEMENT % FOR THE ACTION, NO DISTINCTION AMONG BENEFICIARIES 100% (cd. RESEARCH & INNOVATION action) 70% INNOVATION action ( excepti no-profit entities 100%) e CO-FUND NEW
51 EXAMPLE: IMPACT OF NEW FUNDING RULES ON UNIVERSITIES Direct costs Indirect costs Total costs % EU contribution EU contribution Flat-rate (60 %) % 120 Direct costs Indirect costs Total costs % EU contribution EU contribution 100 / 25 Funding % 125
52 EX.: RTD PROJECT IN FP7 RTD Demonstration Management Other (100% Funding Indirect reimbursement reimbursement) EU (50% (100% reimburse- Participant rate Total costs ) ment) contribution short name for costs metho Indirect Direct rect Direct rect Direct rect Indi- Indi- Indi- RTD d Direct % costs costs costs costs costs costs costs costs University A 75 60% Foundation 50 20% B University C 75 Simplif ied SME D 75 60% Enterprise E 50 Real SME F 75 Real Total
53 EX.: RESEARCH & INNOVATION ACTION IN H2020 Estimated eligible costs EU Participant short Indirect Total costs contribution name Direct costs (100%) costs (25%) University A Foundation B University C SME D Enterprise E SME F Total
54 EX.: DEMONSTRATION PROJECT IN FP7 Participant short name Funding rate for RTD % Indirect costs method RTD Demonstra-tion (50% reimbursement) Management (100% reimbursement) Other (100% reimbursement) EU contribution Indirect costs Indirect costs Indirect costs Indirect costs Total costs Direct costs Direct costs Direct costs Direct costs University A 75 60% Enterprise B 50 20% University C 75 Simpli-fied SME D 75 60% Enterprise E 50 Real SME F 75 Real Total
55 EX.: INNOVATION ACTION IN H2020 Participant short name Estimated eligible costs Indirect costs (25%) Total costs Requested EU contribution (70%) Direct costs University A ,5 Enterprise B ,5 University C ,5 SME D ,5 Enterprise E ,5 SME F ,5 Total
56 CERTIFICATE ON FINANCIAL STATEMENT (Art. 34) When the ceiling of EC CONTRIBUTION is reached (one CFS aat the end of the project if the action has 2 or less reporting period ) NEW AT THE END OF THE PROJECT, FOR AMOUNT REPORTED (ONLY real costs & unit costs, NO lump sum & flat rate )
57 EX POST AUDITS WITHIN 5 YEARS FROM THE END OF THE PROJECT WITHIN 2 YEARS FROM THE PAYMENT OF THE BALANCE
58 SELECTION AND AWARD CRITERIA (Art. 15) FINANCIAL VIABILITY CHECK ALL COORDINATOR & BENEFICIARIES WITH EC CONTRIBUTION > , PLUS BENEFICIARIES WITH DOUBTFUL FINANCIAL CAPACITY (AT EC DISCRETION) ONLY COORDINATOR FOR ACTION REQUESTING EC CONTRIBUTION > , PLUS BENEFICIARIES WITH DOUBTFUL FINANCIAL CAPACITY (AT EC DISCRETION) NEW
59 Controls and Audits Financial viability Restricted to coordinators for projects 500 k Audit certificates Only for final payments/per beneficiary /for actual costs Optional Certificates on average personnel costs Provisions in Horizon 2020 Regulations! Ex-post audits Commission's audits up to two years after payment of the balance Audit strategy focused on risk and fraud prevention Guarantee Fund Continuity with FP7
60 CONSORTIUM (art.24) CONSORTIUM COORDINATOR = principal contact point with EC CONSORTIUM AGREEMENT mandatory (except for special case WP) Rights and obligations Internal organisation Distribution of EU funding IPR provisions Internal disputes Liability, confidentiality, indentification
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