Parltrack

Proposal for a regulation
Recital 3

(3) Over the next decade, unprecedented investment volumes in Europe's transport, energy, information and communication networks will be needed in order to underpin the Europe 2020 flagship actions and develop smart, upgraded and fully interconnected infrastructures to foster the completion of the internal market. Estimated investment needs of the TEN-T network amount to EUR 500 billion. Among energy infrastructure projects of European relevance, approximately EUR 100 billion of investments is at risk of not being delivered due to obstacles related to permit granting, regulation and financing, while another EUR 100 billion will be financed by the sector itself. Investment needs for achieving the Digital Agenda objective of providing fast internet access for all European citizens and businesses range from EUR 181 to EUR 273 billion, of which private sector investment is expected to amount to between EUR 30 billion and EUR 100 billion. It should be ensured, however, that EU-funded transport infrastructure takes into account energy-efficiency needs, noise reduction at source, biodiversity and climate-change challenges.

Amendment 16 #

Proposal for a regulation
Recital 5 a (new)

(5a) Given the magnitude of investment needs and objectives laid down in the Europe 2020 strategy over the next decade, the Commission should, if the Europe 2020 Project Bond Initiative be deemed to have been a success following appropriate monitoring and assessment, consider a more complete roll-out in the Union's effort toward leveraging and attracting additional funding.

Amendment 17 #

Proposal for a regulation
Recital 7

(7) The Europe 2020 Project Bond Initiative has a double objective: first to help finance projects of European policy priorities, and second, to facilitate greater private sector involvement in the long-term capital market financing of infrastructure projects. ItThe pilot phase of this initiative will redirect some EU budget spending towards growth-enhancing areas, – particularly transport, energy and telecommunications infrastructure – taking into account the Union’s budgetary discipline and the ceilings under the current Multiannual Financial Framework.

Amendment 18 #

Proposal for a regulation
Recital 8

Amendment 19 #

Proposal for a regulation
Recital 8

Amendment 20 #

Proposal for a regulation
Recital 9

(9) With the Europe 2020 Project Bond Initiative, bonds would be issued by project companies, the Union budget together with financing from a financial partner would be used to improve the credit quality of the bonds in order to attract debt capital market investors such as pension funds ~~and~~, insurance companies and sovereign wealth funds, in search of safe long-term investment options.

Amendment 21 #

Proposal for a regulation
Recital 9 a (new)

(9a) A further step forward which should be carefully assessed and reported to the European Parliament and the Council is the public issuing of project bonds by the Union, targeted at financing sustainable infrastructure projects with European added value (i.e. TEN-T, TEN-E, etc.).

Amendment 22 #

Proposal for a regulation
Recital 10

(10) The Union support should mitigate the risk inherent in project bonds to the extent that capital market participants are willing to invest in a larger volume infrastructure project bonds than would be possible without Union support. As a counterpart for the socialisation of risk through the EU budget and EIB guarantees, appropriate public ownership and democratic accountability of financed projects has to be guaranteed.

Amendment 23 #

Proposal for a regulation
Recital 10

(10) The Union support provided by means of this regulation should mitigate the risk inherent in project bonds to the extent that capital market participants are willing to invest in a larger volume infrastructure project bonds than would be possible without Union support.

Amendment 24 #

Proposal for a regulation
Recital 10 a (new)

(10a) The socialisation of risks through risk-taking by the Union and the EIB should in principle be compensated through the premium charged for compensation; if this is not the case, it should be explicitly mentioned and appropriately justified.

Amendment 25 #

Proposal for a regulation
Recital 10 a (new)

(10a) Given that the risk of the project bond is capped for the Union but the residual risk is fully borne by the EIB, robust monitoring systems for increased liabilities should also be established by the EIB as well as for the EU budget contribution.

Amendment 26 #

Proposal for a regulation
Recital 11

(11) Europe's economic recovery should not be compromised by ~~growing transport congestion~~deteriorating performance on the part of transport, missing energy links and a slowing down of broadband penetration due to infrastructure projects' difficulties in gaining access to long-term private finance or public funding.

Amendment 27 #

Proposal for a regulation
Recital 12

(12) The reassessment of infrastructure investment programmes by Member States in the context of their fiscal austerity and structural reforms will not facilitate the required acceleration of the pace of infrastructure investment needed to meet the policy objectives of the Europe 2020 strategy, in particular a shift towards a resource-efficient, low-carbon economy to achieve sustainable growth, as laid down in the Europe 2020 resource efficiency flagship initiative. In addition, long-term bank lending for infrastructure projects continues to be insufficient and expensive, calling for alternative and competitive sources of debt financing.

Amendment 28 #

Proposal for a regulation
Recital 14

(14) Therefore, a pilot phase for the Europe 2020 Project Bond Initiative should be launched during the current financial framework in order to develop debt capital market financing in the area of infrastructure more generally and to extend the range of financial instruments currently available for transport projects, bearing in mind that the costs of transport should be reflected in its price in an undistorted way, as indicated in the White Paper entitled Roadmap to a Single European Transport Area - Towards a competitive and resource efficient transport system of 28 March 2011.

Amendment 29 #

Proposal for a regulation
Recital 15

(15) In order to implement the pilot phase of the Europe 2020 Project Bond Initiative, Decision No 1639/2006/EC and Regulation (EC) No 680/2007 should be amended. This pilot phase aims to support infrastructure projects with commercial potential and socio-economic benefits in line with the Europe 2020 strategy, in particular the resource efficiency flagship initiative, in the transport, energy and ICT sectors, while after 2013 the initiative ~~may~~should be extended to other sectors, in particular to renewable energy and building renovation.

Amendment 30 #

Proposal for a regulation
Recital 15

(15) In order to implement the pilot phase of the Europe 2020 Project Bond Initiative, Decision No 1639/2006/EC and Regulation (EC) No 680/2007 should be amended. This pilot phase aims to support infrastructure projects with commercial potential in the transport, energy and ICT sectors across all Member States, while after 2013 the initiative may potentially be extended to other sectors.

Amendment 31 #

Proposal for a regulation
Recital 15

(15) In order to implement the pilot phase of the Europe 2020 Project Bond Initiative, Decision No 1639/2006/EC and Regulation (EC) No 680/2007 should be amended. This pilot phase aims to support infrastructure projects ~~with commercial potential~~ in the transport, energy and ICT sectors~~, while after 2013 the initiative may be extended to o~~ that possess a commercial potential which is, however, not sufficient to ensure their ~~sectors~~financing by market mechanisms alone.

Amendment 32 #

Proposal for a regulation
Recital 16

(16) In light of the EIB's long-standing expertise and as the major financier of infrastructure projects and given its nature as the EU financial body established by the Treaty, the Commission should involve the EIB in the implementation of this pilot phase. TIt is necessary to lay down the specific terms and conditions of the co- operation, including risk-sharing and remuneration of the EIB, ~~should be laid down~~ in an agreement between the Commission and the EIB.

Amendment 33 #

Proposal for a regulation
Recital 17

(17) The pilot phase of the Europe 2020 Project Bond Initiative should be launched no later than 31 July 2012 in preparation of the proposed Connecting Europe Facility. This pilot phase, should it prove successful, and following appropriate analysis and evaluation, will help to pave the way for the risk-sharing financial instrument under the Connecting Europe Facility.

Amendment 34 #

Proposal for a regulation
Recital 17

(17) TIt is important that the pilot phase of the Europe 2020 Project Bond Initiative should be launched in preparation of the proposed Connecting Europe Facility~~. This pilot phase~~, which will help to pave the way for the risk-sharing financial instrument under th~~e Connecting Europe~~is Facility.

Amendment 35 #

Proposal for a regulation
Recital 18 a (new)

(18a) The selection of projects to be supported should respect relevant environmental, social and climate criteria as outlined in the "European Principles for the Environment" and "The EIB Statement of Environmental and Social Principles and Standards". The EIB should fully apply the procedures contained in its Environmental and Social Practices Handbook.

Amendment 36 #

Proposal for a regulation
Recital 20

(20) Budgetary funds should be requested by the EIB on the basis of a range of projects, which the EIB would deem suitable and likely to be realised. Any such requests should be made prior to 31 December 2013. Due to the complexity of large infrastructure projects, the actual approval might take place at a later date, but no later than 31 December 2014. The selection of projects eligible for EU funding should reflect the need for infrastructure that minimises the impact on the environment, that is resilient to the possible impact of climate change, and that improves the health, safety and security of users.

Amendment 37 #

Proposal for a regulation
Recital 20

(20) Budgetary funds should be requested by the EIB on the basis of a range of projects, which the EIB and the Commission would deem suitable and likely to be realised. Any such requests should be made prior to 31 December 2013. Due to the complexity of large infrastructure projects, the actual approval might take place at a later date, but no later than 31 December 2014.

Amendment 38 #

Proposal for a regulation
Recital 20 a (new)

(20a) It is desirable that the Commission should perform an independent, in-depth assessment of the pilot phase of the risk- sharing instrument for project bonds. This assessment must, if appropriate, be accompanied by legislative proposals on innovative financial instruments in the context of the Multiannual Financial Framework for the period 2014-2020.

Amendment 39 #

Proposal for a regulation
Recital 20 a (new)

(20a) Other sources of funding to be considered include schemes for the internalisation of external costs and infrastructure use charges, which could create additional revenue streams making infrastructure investments more attractive to private capital.

Amendment 40 #

Proposal for a regulation
Article 1 – point -1 (new)

Decision No 1639/2006/EC
Article 8 – paragraph 5 a (new)

-1. In Article 8, the following paragraph is added: "5a. The Commission shall obtain a full- scale external, independent evaluation of the pilot phase of the risk-sharing instrument for project bonds referred to in paragraphs 2a to 2da of Article 31, which shall cover, inter alia, its added value, including the impact on the financial viability of the project, additionality compared to other Union or Member State instruments and any other long-term debt financing, and the multiplier effect achieved, and shall include general observations on market developments including the creation or correction of distortive effects, if any. Furthermore, the Commission shall in that evaluation make an assessment of future steps to be taken in order to enhance the efficiency of Union spending as well as to increase investment volumes towards priority projects. That assessment shall examine, inter alia, how to make the project bond instrument even more attractive to a wider range of long-term investors, including public ones and how to widen the scope of projects eligible, including through the possible creation of project portfolios, to be supported by standardised and more liquid project bonds, the option of issuing European public bonds guaranteed by the Union budget and the possible development of equity instruments to finance Union infrastructure. The Commission shall also obtain a full scale external, independent evaluation of the pilot phase of the risk-sharing instruments for project bonds referred to in paragraphs 2a to 2da of Article 31, which shall cover, inter alia, an assessment of the risks involved including project risk, the consequences of investor withdrawal and partner risk, give an accurate assessment of the weighted cost of capital, consider whether a maximum rate of return would be appropriate for private sector investor funding of public projects, provide a cost comparison with alternative means of project finance to include bank loans and equity and shall also evaluate the effectiveness of the EIB's monitoring systems and structures for increased liabilities incurred as a result of these instruments.''

Amendment 41 #

Proposal for a regulation
Article 1 – point -1 (new)

Decision No 1639/2006/EC
Article 8 – paragraph 5 a (new)

-1. In Article 8, the following paragraph is added: "5a. The Commission shall undertake a full-scale independent evaluation of the pilot phase of the risk-sharing instrument for project bonds referred to in paragraphs 2a to 2da of Article 31, which shall cover, inter alia, its added value, including the impact on the financial viability of the project, additionality compared to other Union or Member State instruments and any other long-term debt financing, and the multiplier effect achieved, and shall include general observations on market developments including the creation or correction of distortive effects, if any. Furthermore, the Commission shall in that evaluation make an assessment of future steps to be taken in order to enhance the efficiency of Union spending as well as to increase investment volumes towards priority projects. That assessment shall examine, inter alia, how to make the project bond instrument even more attractive to a wider range of long-term investors, including public ones. In that perspective, it shall examine how to widen the scope (in terms of sectors and size) of projects eligible and to develop standardised and more liquid project bonds. It shall also examine how to maximise the enhancement mechanism through the possible emission of bonds on the basis of portfolios of projects. The option of issuing European public bonds guaranteed by the Union budget and the possible development of equity instruments to finance Union infrastructure shall also be examined."

Amendment 42 #

Proposal for a regulation
Article 1 – point 2 – point a

Decision No 1639/2006/EC
Article 31 – paragraph 2 – subparagraph 1

2. The projects shall aim to promote innovation, technology transfer and the dissemination of new technologies that are ready for market uptake, with priority to the integration of renewable energy and environmentally sustainable transport.

Amendment 43 #

Proposal for a regulation
Article 1 – point 2 – point b

Decision No 1639/2006/EC
Article 31 – paragraph 2 a – point c

(c) is used only for projects whose financial viability is based on project revenues and whose commercial potential is not sufficient to ensure financing by market mechanisms alone.

Amendment 44 #

Proposal for a regulation
Article 1 – point 2 – point b

Decision No 1639/2006/EC
Article 31 – paragraph 2 b

2b. The Union exposure to the risk sharing instrument, including management fees and other eligible costs, shall be strictly limited to the amount of the Union contribution to the risk-sharing instrument for project bonds and there shall be no further liability on the general budget of the Union. The residual risk inherent in all operations shall be borne by the EIB, after it has performed a risk analysis.

Amendment 45 #

Proposal for a regulation
Article 1 – point 2 – point b

Decision No 1639/2006/EC
Article 31 – paragraph 2 c

2c. The detailed terms and conditions for implementing the risk-sharing instrument for project bonds, including its monitoring and control, shall be laid down in a delegation agreement between the Commission and the EIB. This agreement shall aim at ensuring appropriate public ownership for the projects benefiting from the risk-sharing instrument for project bonds and refer to relevant Commission and EIB selection criteria in the social, environmental and climate field. It shall also include modalities for ensuring that in principle the premium charged for compensation of risk-taking by the Union and the EIB corresponds to full risk- taking compensation. Where full compensation is not applied, this transfer of risk shall be made explicit and the cost- benefit analysis shall identify positive externalities generated by the project justifying such an approach.

Amendment 46 #

Proposal for a regulation
Article 1 – point 2 – point b

Decision No 1639/2006/EC
Article 31 – paragraph 2 c a (new)

2ca. Before undertaking any risk-sharing instruments for project bonds, the Commission and EIB must undertake, and make public, a full risk assessment of the project, which shall be updated subsequently in the event of any material change to the fundamental principles of the project.

Amendment 47 #

Proposal for a regulation
Article 1 – point 2 – point b

Decision No 1639/2006/EC
Article 31 – paragraph 2 d b (new)

2db. In addition and in parallel with the pilot phase, the Commission shall launch a broad market study on how to promote a proper Union single project – debt market, examining the need and feasibility of project bonds not only for TEN and ICT projects, but also for other areas supporting the Europe 2020 strategy. This market study shall also include an assessment on how to better include smaller and medium-sized projects into the facility.

Amendment 48 #

Proposal for a regulation
Article 2 – point 1

Regulation (EC) No 680/2007
Article 2 – point 14

14. 'risk-sharing instrument for project bonds' means a credit enhancement provided to projects of common interest. The risk-sharing instrument for project bonds covers the debt service risk of a project and mitigates the credit-risk of bond holders. It is used only for projects whose financial viability is based on project revenues and whose commercial potential is not sufficient to ensure financing by market mechanisms alone.

Amendment 49 #

Proposal for a regulation
Article 2 – point 3 – point b

Regulation (EC) No 680/2007
Article 6 – paragraph 1 – point g

(g) a financial contribution to the EIB to the provisioning and capital allocation for loans or guarantees to be issued by the EIB on its own resources under the risk-sharing instrument for project bonds in the field of TEN-T and TEN-E. The Union exposure to the risk sharing instrument, including management fees and other eligible costs, shall be strictly limited to the amount of the Union contribution to the risk-sharing instrument for project bonds and, during the term of those bonds, there shall be no further liability on the general budget of the Union. The residual risk inherent in all operations shall be borne by the EIB. The detailed terms and conditions for implementing the risk-sharing instrument for project bonds, including its monitoring and control, shall be laid down in a delegation agreement between the Commission and the EIB. In 2012 and 2013, an amount of up to EUR 210 million, of which up to EUR 200 million for transport projects and up to EUR 10 million for energy projects, may be redeployed for the risk-sharing instrument for project bonds in accordance with the procedure referred to in Article 15(2) from the TEN-T (LGTT) and TEN-E budget lines, respectively. TInterest and other revenue generated by the risk-sharing instrument for project bonds ~~may reuse any revenues received within the investment period for new loans and guarantees~~in the form of commission paid by the beneficiaries which is received before 31 December 2013 may be reused for new loans and guarantees. After 1 January 2014, the revenues shall be returned to the Union budget.

Amendment 50 #

Proposal for a regulation
Article 2 – point 3 – point b

Regulation (EC) No 680/2007
Article 6 – paragraph 1 – point g

(g) a financial contribution to the EIB to the provisioning and capital allocation for loans or guarantees to be issued by the EIB on its own resources under the risk-sharing instrument for project bonds in the field of TEN-T and TEN-E. The Union exposure to the risk sharing instrument, including management fees and other eligible costs, shall be strictly limited to the amount of the Union contribution to the risk-sharing instrument for project bonds and there shall be no further liability on the general budget of the Union. The residual risk inherent in all operations shall be borne by the EIB. The detailed terms and conditions for implementing the risk-sharing instrument for project bonds, including its monitoring and control, shall be laid down in a delegation agreement between the Commission and the EIB. In 2012 and 2013, an amount of up to EUR 210 million, of which up to EUR 200 million for transport projects and up to EUR 10 million for energy projects, may be redeployed for the risk-sharing instrument for project bonds in accordance with the procedure referred to in Article 15(2) from the TEN-T (LGTT) and TEN-E budget lines, respectively. The risk-sharing instrument for project bonds may reuse any revenues received within the investment period for new loans and guarantees. In addition and in parallel with the pilot phase, the Commission shall launch a broad market study on how to promote a proper Union single project – debt market, examining the need and feasibility of project bonds not only for TEN and ICT projects, but also for other areas supporting the Europe 2020 strategy. This market study shall also include an assessment on how to better include smaller and medium-sized projects into the facility.

Amendment 51 #

Proposal for a regulation
Article 2 – point 3 – point b

Regulation (EC) No 680/2007
Article 6 – paragraph 1 – point g

(g) a financial contribution to the EIB to the provisioning and capital allocation for loans or guarantees to be issued by the EIB on its own resources under the risk-sharing instrument for project bonds in the field of TEN-T and TEN-E. The Union exposure to the risk sharing instrument, including management fees and other eligible costs, shall be strictly limited to the amount of the Union contribution to the risk-sharing instrument for project bonds and there shall be no further liability on the general budget of the Union. The residual risk inherent in all operations shall be borne by the EIB, after it has performed a risk analysis. The detailed terms and conditions for implementing the risk-sharing instrument for project bonds, including its monitoring and control, shall be laid down in a delegation agreement between the Commission and the EIB. In 2012 and 2013, an amount of up to EUR 210 million, of which up to EUR 200 million for transport projects and up to EUR 10 million for energy projects, may be redeployed for the risk-sharing instrument for project bonds in accordance with the procedure referred to in Article 15(2) from the TEN-T (LGTT) and TEN-E budget lines, respectively. The risk-sharing instrument for project bonds may reuse any revenues received within the investment period for new loans and guarantees.

Amendment 52 #

Proposal for a regulation
Article 2 – point 3 a (new)

Regulation (EC) No 680/2007
Article 16 – paragraph 2 a (new)

(3a) In Article 16, the following paragraph is added: "2a. The Commission shall obtain a full- scale external, independent evaluation of the pilot phase of the risk-sharing instrument for project bonds referred to in point (g) of Article 6(1), which shall cover, inter alia, its added value, including the impact on the financial viability of the project, additionality compared to other Union or Member State instruments and any other long-term debt financing, and the multiplier effect achieved, and shall include general observations on market developments including the creation or correction of distortive effects, if any. Furthermore, the Commission shall in that evaluation make an assessment of future steps to be taken in order to enhance the efficiency of Union spending as well as to increase investment volumes towards priority projects. That assessment shall examine, inter alia, how to make the project bond instrument even more attractive to a wider range of long-term investors, including public ones and how to widen the scope of projects eligible, including through the possible creation of project portfolios, to be supported by standardised and more liquid project bonds, the option of issuing European public bonds guaranteed by the Union budget and the possible development of equity instruments to finance Union infrastructure. The Commission shall also obtain a full scale external, independent evaluation of the pilot phase of the risk sharing instruments for project bonds referred to in point (g) of Article 6(1), which shall cover, inter alia, an assessment of the risks involved including project risk, the consequences of investor withdrawal and partner risk, give an accurate assessment of the weighted cost of capital, consider whether a maximum rate of return would be appropriate for private sector investor funding of public projects, provide a cost comparison with alternative means of project finance to include bank loans and equity and shall also evaluate the effectiveness of the EIB's monitoring systems and structures for increased liabilities incurred as a result of these instruments.''

Amendment 53 #

Proposal for a regulation
Article 2 – point 3 a (new)

Regulation (EC) No 680/2007
Article 16 – paragraph 2 a (new)

enhance the efficiency of Union spending as well as to increase investment volumes towards priority projects. That assessment shall examine, inter alia, how to make the project bond instrument even more attractive to a wider range of long-term investors, including public ones. In that perspective, it shall examine how to widen the scop(3a) In Article 16, the following paragraph is added: "2a. The Commission shall undertake a full-scale independent evaluation of the pilot phase of the risk-sharing instrument for project bonds referred to in point (g) of Article 6(1), which shall cover, inter alia, its added value, including the impact on the financial viability of the project, additionality compared to other Union or Member State (in terms of sectors and size) of projects eligible and to develop standardised and more liquid project bonds. It shall also examine how to maximise the enhancement mechanism through the possible emission of bonds on the basis of portfolios of projects. The option of issuing European public bonds guaranteed by the Union budget and the possible development of equity instruments to finance Union infrastructure shall also be examined."struments and any other long-term debt financing, and the multiplier effect achieved, and shall include general observations on market developments including the creation or correction of distortive effects, if any. Furthermore, the Commission shall in that evaluation make an assessment of future steps to be taken in order to

source: PE-486.222

2012/05/03 ITRE 26 amendments...

Amendment 21 #

Proposal for a regulation
Recital 6

(6) The Council of 12 July 2011 recalled that financial instruments need to be assessed in terms of leverage effects in comparison to existing instruments, risks that would be added to government balance sheets and possible crowding out of private institutions. The Commission Communication on a pilot for the Europe 2020 Project Bond Initiative and its impact assessment, which draw on a public consultation, contributes to addressing the aforementioned issues. It is also necessary to ensure that the measure proposed is compatible with political decisions and social agreements designed to achieve sustainable economic, environmental and social objectives.

Amendment 22 #

Proposal for a regulation
Recital 8

(8) It will be the first financial instrument benefiting infrastructure projects with similar financing needs across several sectors and will as such produce higher benefits in terms of market impact, administrative efficiency and resource utilisation. It will provide a coherent instrument to ~~infrastructure stakeholders such as financiers, public authorities, construction companies and operator~~not only institutional investors but also infrastructure stakeholders with fewer funds in reserve, such as financiers, public authorities, construction companies and operators. This financial measure should also protect users from excessive costs, particularly in the absence of any other infrastructures.

Amendment 23 #

Maria Da Graça CARVALHO

Proposal for a regulation
Recital 10

(10) The Union support should mitigate the risk inherent in project bonds to the extent that capital market participants are willing to invest in a larger volume infrastructure project bonds than would be possible without Union support. Project bonds should be extended to innovation and demonstration projects as well.

Amendment 24 #

Proposal for a regulation
Recital 11

(11) Europe's economic recovery should not be compromised by growing transport congestion, missing energy links and a slowing down of broadband penetration due to infrastructure projects' difficulties in gaining access to long-term private finance or public funding. The Project Bonds Initiative in the framework of the EU 2020 partnership agreement shall provide a clear eligibility framework subject to enhanced democratic scrutiny as a proper means for achieving sustainable and countercyclical investments programmes consistent with EU social, climate and environmental objectives, while playing a catalytic role aiming at attracting private capital for long-term project.

Amendment 25 #

Edit HERCZOG

Proposal for a regulation
Recital 11

(11) Europe's economic recovery should not be compromised by growing transport congestion, missing energy links ~~and a slowing down of broadband penetration~~, outdated energy systems, deficiency in energy supply and a slowing down of broadband penetration, incapacitation of telecommunication services due to infrastructure projects' difficulties in gaining access to long-term private finance or public funding.

Amendment 26 #

Proposal for a regulation
Recital 12

Amendment 27 #

Proposal for a regulation
Recital 14

(14) Therefore, a pilot phase for the Europe 2020 Project Bond Initiative should be launched during the current financial framework in order to develop debt capital market financing in the area of infrastructure more generally and to extend the range of financial instruments currently available for transport projects. The pilot phase should be followed by an evaluation carried out by the Commission in cooperation with the EIB. The Commission, after consultation of stakeholders involved in pilot phase projects, should report to the European Parliament and the Council by the end of 2013.

Amendment 28 #

Krišjānis KARIŅŠ

Proposal for a regulation
Recital 14 a (new)

(14a) Nonetheless, it should be borne in mind that project securities can only supplement existing financing models and cannot entirely replace them.

Amendment 29 #

Proposal for a regulation
Recital 15

(15) In order to implement the pilot phase of the Europe 2020 Project Bond Initiative, Decision No 1639/2006/EC and Regulation (EC) No 680/2007 should be amended. This pilot phase aims to support infrastructure projects with commercial potential and socioeconomic benefits in line with the Europe 2020 strategy, in particular the resource efficiency flagship initiative, in the transport, energy and ICT sectors, while after 2013 the initiative ~~may~~should be extended to other sectors, in particular within renewable energy and building renovation.

Amendment 30 #

Proposal for a regulation
Recital 15

(15) In order to implement the pilot phase of the Europe 2020 Project Bond Initiative, Decision No 1639/2006/EC and Regulation (EC) No 680/2007 should be amended. This pilot phase aims to support infrastructure projects of common European interest with commercial potential in the transport, energy and ICT sectors, while after 2013, subject to positive evaluation, the initiative may be extended to other sectors.

Amendment 31 #

Maria Da Graça CARVALHO

Proposal for a regulation
Recital 16

(16) In light of the EIB's long-standing expertise and as the major financier of infrastructure projects and given its nature as the EU financial body established by the Treaty, the Commission should involve the EIB in the implementation of this pilot phase. The EIB should also be increasingly used for innovation projects. The specific terms and conditions of the co-operation including risk-sharing and remuneration of the EIB, should be laid down in an agreement between the Commission and the EIB.

Amendment 32 #

Edit HERCZOG

Proposal for a regulation
Recital 16

(16) In light of the EIB's long-standing expertise and as the major financier of infrastructure projects and given its nature as the EU financial body established by the Treaty, the Commission should involve the EIB in the implementation of this pilot phase. The specific terms and conditions of the co-operation including risk-sharing and remuneration of the EIB, should be laid down in an agreement between the Commission and the EIB and disclosed to the Council and the European Parliament.

Amendment 33 #

Proposal for a regulation
Recital 16

(16) In light of the EIB's long-standing expertise and as the major financier of infrastructure projects and given its nature as the EU financial body established by the Treaty, the Commission should involve the EIB in the implementation of this pilot phase. The specific terms and conditions of the co-operation including risk-sharing and remuneration of the EIB, should be laid down in an agreement between the Commission and the EIB, which shall be submitted to the European Parliament and the Council.

Amendment 34 #

Edit HERCZOG

Proposal for a regulation
Recital 17

(17) The pilot phase of the Europe 2020 Project Bond Initiative should be launched in preparation of the proposed Connecting Europe Facility. This pilot phase will help to pave the way for the risk-sharing financial instrument under the Connecting Europe Facility. The decision about the continuation of the Europe 2020 Project Bond Initiative after the end of the pilot phase should be taken after an in-depth evaluation of the pilot phase has taken place.

Amendment 35 #

Proposal for a regulation
Recital 18

(18) The application for support, selection and implementation of all projects shall be in line with the Union's long term policy objectives and subject to Union law, in particular with regard to state aid, transparency and nature protection, and shall seek to avoid creating or adding to market distortions.

Amendment 36 #

Krišjānis KARIŅŠ

Proposal for a regulation
Recital 18

(18) The application for support, selection and implementation of all projects sh~~all~~ould be made on equal conditions for all projects and be subject to Union law, in particular with regard to state aid and shall seek to avoid creating or adding to market distortions.

Amendment 37 #

Proposal for a regulation
Recital 18 a (new)

(18a) Debt criteria for public-private partnership projects should be the same as for traditional projects launched under public procurement procedures, so as to ensure the necessary budget transparency, avoid additional budgetary risks and ensure that the relevant authorities are able to choose freely between public- private partnership projects and traditionally funded projects.

Amendment 38 #

Proposal for a regulation
Recital 19

(19) The pilot phase should be funded using budget redeployment in 2012 and 2013 from existing transport, energy and telecommunication programmes. For this purpose, up to EUR 200 million might be redeployed for this initiative from the TEN-T budget, up to EUR 20 million from the budget of the Competitiveness and Innovation Framework Programme and up to EUR 10 million from the TEN-E budget. The budget available limits both the scope of the initiative and the number of projects that can be supported, and hence priority shall be given to the more innovative infrastructure projects, where deployment of new and sustainable technology creates a higher risk profile or where socioeconomic benefits in line with the Europe 2020 Flagship Initiatives will not be sufficiently reflected in the project revenues.

Amendment 39 #

Proposal for a regulation
Recital 20

(20) Budgetary funds should be requested by the EIB on the basis of a range of projects, which the EIB would deem suitable, in line with the Union's long term policy objectives and likely to be realised. Any such requests should be made prior to 31 December 2013. Due to the complexity of large infrastructure projects, the actual approval might take place at a later date, but no later than 31 December 2014.

Amendment 40 #

Krišjānis KARIŅŠ

Proposal for a regulation
Recital 21

~~(21) In order for the measures provided for in this Regulation to be effective, this Regulation should enter into force on the day following its publicat~~Does not affect the English version,.

Amendment 41 #

Proposal for a regulation
Article 1 – paragraph 1 – point 2 – point (a)

Decision no 1639/2006/EC
Article 31 – paragraph 2

2. The projects shall aim to promote innovation, technology transfer and the dissemination of new technologies that are ready for market uptake, with priority to integration of renewable energy and environmentally sustainable transport.

Amendment 42 #

Proposal for a regulation
Article 1 – paragraph 1 – point 2 – point (b)

Decision No 1639/2006/EC
Article 31 – paragraph 2a

2a. takes the form of a loan or a guarantee granted by the EIB in favour of financing provided to projects of common European interest in the field of ICT and broadband;

Amendment 43 #

Proposal for a regulation
Article 1 – paragraph 1 – point 2 – point (b)

Decision No 1639/2006/EC
Article 31 – paragraph 2c

Amendment 44 #

Proposal for a regulation
Article 1 – paragraph 1 – point 2 – point (b)

Decision 1639/2006/CE
Article 31 – paragraph 2d a (new)

2da. The Commission shall submit annually to the European Parliament a report containing a breakdown by project of the utilisation of the amounts referred to in paragraph 2d. The report shall also contain information regarding the performance of the risk-sharing instrument for project bonds and recommendations regarding ways of enhancing its effectiveness. .

Amendment 45 #

Proposal for a regulation
Article 2 – paragraph 1 – point 3 – point (b)

Regulation (EC) No 680/2007
Article 6 – paragraph 1 point (g)

(g) a financial contribution to the EIB to the provisioning and capital allocation for loans or guarantees to be issued by the EIB on its own resources under the risk-sharing instrument for project bonds in the field of TEN-T and TEN-E. The Union exposure to the risk sharing instrument, including management fees and other eligible costs, shall be strictly limited to the amount of the Union contribution to the risk-sharing instrument for project bonds and there shall be no further liability on the general budget of the Union. The residual risk inherent in all operations shall be borne by the EIB. The detailed terms and conditions for implementing the risk-sharing instrument for project bonds, including its monitoring and control, shall be laid down in a delegation agreement between the Commission and the EIB, which shall be submitted to the European Parliament and the Council. In 2012 and 2013, an amount of up to EUR 210 million, of which up to EUR 200 million for transport projects and up to EUR 10 million for energy projects, may be redeployed for the risk-sharing instrument for project bonds in accordance with the procedure referred to in Article 15(2) from the TEN-T (LGTT) and TEN-E budget lines, respectively. The risk-sharing instrument for project bonds may reuse any revenues received within the investment period for new loans and guarantees.

Amendment 46 #

Proposal for a regulation
Article 2 a (new)

2a. The Commission in coordination with the EIB shall evaluate the pilot phase and, after consultation of stakeholders involved in pilot phase projects, shall report to the European Parliament and the Council no later than 31 December 2013.

source: PE-483.729

2012/07/03 TRAN 21 amendments...

Amendment 4 #

Proposal for a regulation
Recital 3

(3) Over the next decade, unprecedented investment volumes in Europe's transport, energy, information and communication networks will be needed in order to underpin the Europe 2020 flagship actions and develop smart, upgraded and fully interconnected infrastructures to foster the completion of the internal market. Estimated investment needs of the TEN-T network amount to EUR 500 billion. Among energy infrastructure projects of European relevance, approximately EUR 100 billion of investments is at risk of not being delivered due to obstacles related to permit granting, regulation and financing, while another EUR 100 billion will be financed by the sector itself. Investment needs for achieving the Digital Agenda objective of providing fast internet access for all European citizens and businesses range from EUR 181 to EUR 273 billion, of which private sector investment is expected to amount to between EUR 30 billion and EUR 100 billion. One should ensure, however, that EU-funded transport infrastructure takes into account energy efficiency needs, noise reduction at the source, biodiversity and climate change challenges.

Amendment 5 #

Proposal for a regulation
Recital 4 a (new)

(4a) It is necessary to emphasize the importance of adopting the proposed MFF, as it introduces the Connecting Europe Facility (including the project bonds initiative) and allocates the appropriate budget.

Amendment 6 #

Juozas IMBRASAS

Proposal for a regulation
Recital 7

(7) The Europe 2020 Project Bond Initiative has a double objective : first to help finance projects of European policy priorities, and second, to ~~facilitat~~provide the gre~~ater private sector involvement in~~quisite credit enhancement to attract capital market investors to the long-term capital market financing of infrastructure projects. It will redirect some EU budget spending towards growth-enhancing areas, taking into account the Unions budgetary discipline and the ceilings under the current Multiannual Financial Framework.

Amendment 7 #

Proposal for a regulation
Recital 9

Amendment 8 #

Proposal for a regulation
Recital 9 a (new)

(9a) A further step forward which should be carefully assessed and reported to the European Parliament and the Council is the public issuing of project bonds by the Union, targeted to financing sustainable infrastructure projects with European Added Value (i.e. TEN-T, TEN-E, etc.).

Amendment 9 #

Giommaria UGGIAS

Proposal for a regulation
Recital 9 a (new)

(9a) A further step forward, which should be carefully assessed, is the public issuing of project bonds by the Union, targeted at financing infrastructure projects with European added value such as TEN-T, TEN-E, etc. In this case, the issuing of the project bond would have to follow a preliminary phase during which details of the project emerge, so as to enable close consideration of the risks and benefits of that project.

Amendment 10 #

Proposal for a regulation
Recital 14

Amendment 11 #

Proposal for a regulation
Recital 14 a (new)

(14a) The details of the Europe 2020 Project Bond Initiative are not completely clear at the moment. The pilot phase should be implemented as soon as possible, in order to clarify outstanding issues raised by possible investors and external organisations involved.

Amendment 12 #

Proposal for a regulation
Recital 15

(15) In order to implement the pilot phase of the Europe 2020 Project Bond Initiative, Decision No 1639/2006/EC and Regulation (EC) No 680/2007 should be amended. This pilot phase aims to support infrastructure projects with a clear European added value and with commercial potential in the transport, energy and ICT sectors, while after 2013 the initiative may be extended to other sectors.

Amendment 13 #

Proposal for a regulation
Recital 20

(20) Budgetary funds should be requested by the EIB on the basis of a range of projects, which the EIB would deem suitable and likely to be realised. Any such requests should be made prior to 31 December 2013. Due to the complexity of large infrastructure projects, the actual approval might take place at a later date, but no later than 31 December 2014. The selection of projects eligible for the EU funding should reflect the need for infrastructure that minimises the impact on the environment, that is resilient to the possible impact of climate change, health and that improve the safety and security of users.

Amendment 14 #

Proposal for a regulation
Recital 20 a (new)

(20a) Since in the conclusions of the European Council of 1-2 March 2012 the deadline for reaching an agreement on the pilot phase of the Europe 2020 Project Bond Initiative is set on June 2012, the Commission needs to start implementing this pilot phase without further delay.

Amendment 15 #

Proposal for a regulation
Recital 20 a (new)

Amendment 16 #

Proposal for a regulation
Recital 20 b (new)

(20b) Price signals play a crucial role in many decisions that have long-lasting effects on the transport system. Transport charges and taxes must be restructured in the direction of wider application of the 'polluter-pays' and 'user-pays' principle. They should underpin transport's role in promoting European competitiveness and cohesion objectives, while the overall burden for the sector should reflect the total costs of transport including infrastructure and external costs. Wider socioeconomic benefits and positive externalities justify some level of public funding, but in the future, transport users are likely to pay for a higher proportion of the costs than today. It is important that correct and consistent monetary incentives are given to users, operators and investors.

Amendment 17 #

Proposal for a regulation
Article 1 – point 2 – point b – introductory part

(b) The following paragraphs 2a to 2da are inserted:

Amendment 18 #

Ramon TREMOSA i BALCELLS

Proposal for a regulation
Article 1 – point 2 – point b

Decision No 1639/2006/EC
Article 31 – paragraph 2 a – point c a (new)

(ca) is directed only to core TEN-T, TEN- E and CIP projects, as these are the priority settled by the EU. In case that the pilot phase begins before an agreement is reached on the new core-networks, the Commission proposals shall be fully taken into account.

Amendment 19 #

Proposal for a regulation
Article 1 – point 2 – point b

Decision No 1639/2006/EC
Article 31 – paragraph 2 d (new)

Amendment 20 #

Proposal for a regulation
Article 2 – point 3 – point b – introductory part

Regulation (EC) No 680/2007
Article 6– paragraph 1 – point b

(b) the following point (g) – (ga) is added:

Amendment 21 #

Proposal for a regulation
Article 2 – point 3 – point b

Regulation (EC) No 680/2007
Article 6– paragraph 1 – point g

(g) a financial contribution to the EIB to the provisioning and capital allocation for loans or guarantees to be issued by the EIB on its own resources under the risk-sharing instrument for project bonds in the field of TEN-T and TEN-E. The Union exposure to the risk sharing instrument for project bonds, including management fees and other eligible costs, shall be strictly limited to the amount of the Union contribution to the risk-sharing instrument for project bonds and there shall be no further liability on the general budget of the Union. The residual risk inherent in all operations shall be borne by the EIB. The detailed terms and conditions for implementing the risk- sharing instrument for project bonds, including its monitoring and control, shall be laid down in a delegation agreement between the Commission and the EIB, which shall be submitted to the European Parliament and published in the Official Journal of the European Union. In 2012 and 2013, an amount of up to EUR 210 million, of which up to EUR 200 million for transport projects and up to EUR 10 million for energy projects, may be redeployed for the risk-sharing instrument for project bonds in accordance with the procedure referred to in Article 15(2) from the TEN-T (LGTT) and TEN-E budget lines, respectively. The risk-sharing instrument for project bonds may reuse any revenues received within the investment period for new loans and guarantees.

Amendment 22 #