European Innovation Council and European Innovation Ecosystems - PowerPoint Presentation

1. European Innovation Council and European Innovation EcosystemsTraining Session for EEN and clusters organisations on EU Funding Programmes and Financial instruments Financial support to third parties Brussels, 21 September 2021 Milena StoyanovaProject advisor, EISMEA Unit I.01:

2. ‘FSTP’ or ‘Cascade funding’ – What it is?Financial support to third parties is a funding proposed by a EU grant beneficiary to (one or more) recipients that are not party to the GA. It is also called ‘cascade funding’.European Commission mechanism to distribute public funding in an efficient wayActions may involve financial support to third parties ONLY where this is explicitly allowed in the work programme/call (i.e. not all EU projects can provide FSTP)Depending of the WP/call ‘financial support’ may be given to natural persons or legal persons in form of sub-grant / vouchers (lump sums or reimb. of actual costs) , or other forms. Financial support may be also given in form of prizes. General rule for FSTP amount (excl. prizes) : max € 60 000! Unless the objective of the action would otherwise be impossible or overly difficult (Article 204 EU Financial Regulation 2018/1046).

3. FSTP - Legal Basis : Financial Regulation introduces the notion & main conditions Financial Regulation applicable to the General Budget of the Union and its rules of application (Regulation (EU, Euratom) 2018/1046 of the European Parliament and of the Council of 18 July 2018) https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32018R1046 -> Art 204 :

4. FSTP - Legal Basis : Work Programmes provide the rules & compulsory conditions for applicants to EU calls for proposals -> Horizon Europe WP Annex Bhttps://ec.europa.eu/info/funding-tenders/opportunities/docs/2021-2027/horizon/wp-call/2021-2022/wp-13-general-annexes_horizon-2021-2022_en.pdf -> Annex B “Eligibility” < section “Financial support to third parties”For some calls, “specific calls conditions allow for financial support to third parties” + rules for applicants provided -> H2020 WP Annex K http://ec.europa.eu/research/participants/data/ref/h2020/other/wp/2018-2020/annexes/h2020-wp1820-annex-ga_en.pdf-> Annex K “Actions involving financial support to third parties“Where a topic allows for grant proposals which foresee a financial support to third parties … ” + rules for applicants provided … but also other Work Programmes and instruments allow FSTP … e.g. Single Market Programme, including COSME; Interregional Innovation Investment (I3) Instrument …

5. Why FSTP could be of interest for the EEN ? EEN could help their SME clients (or SME members of clusters or associations) to find appropriate EU-funded projects and to benefit from the FSTP that they distribute: to detect suitable open calls (see later, dedicated page on the F&T Portal) + to help SMEs preparing proposals EEN could help SMEs that already benefited from FSTP in the context of EU project to scale-up their solutions/products/activities and/or to find additional funding via other tools/initiatives (regional initiatives, other calls for FSTP...). EEN organisations could apply to calls for proposals and participate in consortia directly involved in the distribution of FSTP

6. What are the advantages of the cascade funding for the SMEs? Simplified administrative procedures; light, SME-friendly application schemeCompetitive open calls with high probability to be awarded (e.g. in many INNOSUP-01 projects more than 20%-30% of the eligible applications are awarded with vouchers)Time to grant (TTG) is much shorter than the TTG for EU projects! (projects often start 2-3 months after call closure in FSTP)FSTP comes often with additional package of non-financial support offered to SMEs to help them to test, demonstrate, experiment, scale-up, learn etc.. (training, coaching, matchmaking, participation to cross-border & cross-sectoral events, access to investors)

7. How to find open calls for FSTP ?All calls for FSTP published by EU projects implementing H2020 & HE actions (but also some other programmes) are announced on a dedicated webpage on the EC F&T Portal :https://ec.europa.eu/info/funding-tenders/opportunities/portal/screen/opportunities/competitive-callsDirect links to the calls applications pages are available in each individual announcement!

8. How the dedicated page for announced calls forFSTPs looks like?

9. FSTP calls to published: examples for upcoming opportunities (1)ONE OF THE BEST PRACTICES = INNOSUP-01 actions implemented under the H2020 2018-2021 WP Innovation action (primarily consisting of activities that produce plans and arrangements or designs for new, altered or improved products, processes or services)Specific challenge:to develop new cross-sectoral industrial value chains across the EU, by building upon the innovation potential of SMEs;to support the development of emerging industries. Scope: Cross-border & cross-sectoral collaboration, innovation & entrepreneurship across different regions & value chains. Innovation actors, especially SMEs - supported in view of creating new industrial value chains that foster the development of emerging industries in Europe.Budget per project – c.a. EUR 5 M; 75% of the total budget must be allocated to innovation support to SMEs (financial & non-financial) ; usually more that 50% of the total budget per project is distributed as FSTP in form of sub-grants/vouchersImpact Report on the first 13 INNOSUP-1 projects available at https://op.europa.eu/en/publication-detail/-/publication/f3d69a67-9ece-11e9-9d01-01aa75ed71a1/language-en 26,2 M EUR given to SMEs in funding and services; 1372 SMEs received innov. services; 505 SMEs received innovation vouchers

10. Call currently open , ddl = 26 JanFSTP calls to published: examples for upcoming opportunities (2)INNOSUP-01* actions implemented under the H2020 2018-2021 WP, projects starting in 2020:Project nameCross-sectoral aspectCross-regional AspectsDurationMonthsStart dateEnd dateUFO (Emerging indUstries new value chains boosted by small Flying Objects) 6 emerging industries (Mobility technologies, Environmental, Blue Growth, Digital, Experience and Cultural and Creative industries), Small Flying Objects (SFOs), KETs8 partners from 5 countries (FR,BG,RO, GR, UK)3301/05/202031/01/2023DigiCirc (European cluster-led accelerator for digitisation of the circular economy across key emerging sectors)Circular Cities, Bioeconomy, Blue Economy, ICT, circular economy11 partners from 9 countries (FR,FI, MT, IT, IE, GR,NL, PT, SE)3201/05/202031/12/2022GALATEA (Grow And Accelerate Your Smart Projects In New Value Chains of The European Blue Economy)4 key domains of Blue Growth (Smart port, Smart ship, Smart shipyard, maritime surveillance), ICT and aerospace.8 partners from 5 countries (FR, GR, RO, ES, PL)3601/06/202031/05/2023METABUILDING (METAclustering for cross-sectoral and cross-border innovation ecosystem BUILDING for the European Construction, Additive Manufacturing and Nature-Based Solutions industrial sectors’ SMEs)Construction and 4 industrial sectors: ICT, Additive Manufacturing, Nature Based Solutions, Recycling industry15 partners from 9 countries (FR,BE, AT,ES,PT, IT,HU, UK, DE)3601/06/202031/05/2023MINE.THE.GAP (Creation and Integration of Novel Industrial Value Chains for SMEs in the Raw Materials & Mining Sectors through ICT, Circular Economy, Resource Efficiency &Advanced Manufacturing Innovation Support)Raw Materials & Mining, ICT, circular economy, resource efficiency and advanced manufacturing11 partners from 7 countries (ES, PT, DE, FI, BG, PL, FR)3601/09/202031/08/2023GALACTICA (Smart Industrial innovation as enabler to drive new value chains for textiles and Aerospace)textile, aerospace, advanced manufacturing, IoT10 partners from 8 countries (ES, IT, DE, GR, FR, BE, AT, PT)3001/09/202028/02/2023Call currently open , ddl = 8 DecCall currently open - vouchers to give out to SMEs for its last 3 « learning expeditions »

11. FSTP calls to published: examples for upcoming opportunities (3)INNOSUP-01 actions* implemented under the H2020 2018-2021 WP, projects staring in 2021 (NEW) -> first calls for FSTP expected for 1st and second quarters of 2022 :

12. FSTP calls to published: examples for upcoming opportunities (4)Other INNOSUP actions implemented under the H2020 2018-2021 WP:Project PITCCH (Pan-European Open Innovation Network for Corporate Challenges in advanced technologies) implemented under call H2020-INNOSUP-07-2019 European Open Innovation network in advanced technologieshttps://pitcch.eu/ 3rd open call FSTP planned to be published in Dec ‘21 of Jan ’22 (2nd call closed on 15 Nov) Large project scope (incl. challenges from 6 sectors – e.g. health, food, climate, civil security, culture..)Project ADMA TranS4MErs (DVANCED MANUFACTURING ASSISTANCE AND TRAINING FOR SME TRANSFORMATION) implemented under call INNOSUP-08-2020 Pan-European advanced manufacturing assistance and training for SMEshttps://www.dimecc.com/admatrans4mers/ Project started in October ; calls for FSTP foreseen

13. FSTP calls to published: examples for upcoming opportunities (5)Other INNOSUP actions implemented under the H2020 2018-2021 WP:Project inDemand-RCT (Demand-driven and business co-creation for a new innovation business model) implemented under call INNOSUP-06-2018 Supporting experimentation in innovation agencies Call open on 20 September 2021 with deadline on 20 November 2021SMEs from EU Member States or H2020 associated countries are entitled to apply for providing digital solutions to some technological challenges related to business innovation, digitalisation and response to covid19 identified by large/tractor companies located in the Murcia region. Selected SMEs will be part of a Randomized-Control Trial (RCT) experimentation, to compare the “inDemand model” with Business Co-Creation and Support with the inDemand method without these support services.; Total budget: 325.000€ with grants up to a maximum of €10 000 (lump sum)https://www.institutofomentomurcia.es/indemand-rct1 Project DIHnamic (Digital Innovation Hubs: dynamic facilitation and thrust from regional innovation agencies) implemented under call INNOSUP-06-2018 Supporting experimentation in innovation agenciesThe purpose of the call (to be published shortly) is to finance the hiring of advisory and experimentation service that could promote the digitalization of SMEs whose activity is carried out in Castilla y León. SMEs participating in the project will also participate in a trial to measure the effectiveness of the subsidised digitisation support services under a Randomised Control Trial (RCT). Total budget for the call : 310.000€

14. FSTP calls to published: examples for upcoming opportunities (6)Projects to be awarded under the Horizon Europe calls for proposals are expected to publish calls for FSTP : HORIZON-EIE-2021-SCALEUP-01-02: Scaling up deep tech ecosystems (EU call closes on 10 Nov ’21; calls for FSTP not before end ‘22)max. amount to be granted to each third party is 75 000EURat least 60% of budget must be distributed in the form of grants to third partiesHORIZON-EIC-2021-STARTUPEU-01-01: Enhancing synergies between the EIC and Startup Europe (EU call closes on 18 Nov’ 21, calls for FSTP not before end ‘22 )the usual 60 000 maximum has been waived for this call (thus no maximum amount; 30-60 k advised!)at least 75% of the total proposed budget must be dedicated to FSTP grants, prizes or vouchers for services, either with or without identified service providers

15. FSTP calls to published: examples for upcoming opportunities (7)Projects to be awarded under other EU programmes/Instruments: Single market programme : Joint Cluster Initiatives (EUROCLUSTERS) for Europe’s recovery (SMP-COSME-2021-CLUSTER) (EU call closes on 30 Nov) -> ALSO INTERESTING FOR APPLICATION AS PROJECT BENEFICIARY!Interregional Innovation Investment (I3) Instrument -> EU calls with different strands & topics to be published shortly … -> ALSO INTERESTING FOR APPLICATION AS PROJECT BENEFICIARY!

16. Project PARSEC Promoting the international competitiveness of European Remote Sensing companies through Cross-cluster collaborationINNOSUP-01 action-> an example of successful distribution of FSTP to SMEs for innovation activities-> Emmanuel Pajot, Secretary General of EARSC - European Association of Remote Sensing Companies will share his experience as Coordinator

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