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The CIP Eco-Innovation initiative: Closing the gap between research and markets How to Apply for Funding in the Call 2011. EACI, European Commission Eco-innovation Market replication unit Anita Fassio, Project Officer. CIP Eco-Innovation Info Day – Istanbul – 27 May 2011.

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The CIP Eco-Innovation initiative: Closing the gap between research and markets How to Apply for Funding in the Call 20


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    1. The CIP Eco-Innovation initiative: Closing the gap between research and marketsHow to Apply for Funding in the Call 2011 EACI, European Commission Eco-innovation Market replication unit Anita Fassio, Project Officer CIP Eco-Innovation Info Day – Istanbul – 27 May 2011

    2. Who are we? http://ec.europa.eu/eaci

    3. EACI CIP: Competitiveness and Innovation Programme EIP: Entrepreneurship and Innovation Programme

    4. Enterprise Europe Network Find your local contact point: http://www.enterprise-europe-network.ec.europa.eu/ • Awareness raising & access to information • Innovation support services • Partnering services (commercial, technological and research projects) • Support to increase SMEs’ participation in Community programmes • Feedback to European Commission Evolves from Euro Info Centres and Innovation Relay Centres 580 partner organisations in 49 countries 4

    5. How do I find a new market abroad? How do I get European funding? I need a business partner in another country… How can I sell my innovative ideas and technology? What does this EU law mean for my business?

    6. New processes: cleaner production New materials New products New services - greening businesses Eco-innovation « All forms of innovation reducing environmental impacts and/or optimising the use of resources »

    7. Support innovative ideas which have been technically demonstrated and can be turned into ‘marketable’ green products and services These need incentives to penetrate the market Potential for replication and wider application must be demonstrated Budget ~ €200 million (2008-2013) Eco-innovation market replication projects Good for business, good for the environment

    8. 23 million SMEs in the EU The backbone of the economy 99% of all enterprises 1/3 world market shares Yet causing 60-70% of theEU’s industrial pollution Main target group: SMEs

    9. Key elements • Bridging the gap between RTD and commercialisation • Market orientation - leverage factor and replication crucial • Substantial environmental benefits - Life cycle assessment thinking

    10. Key elements • Risk sharing for green ideas (50% of total costs co-funded). Approximate project size: 1.6m€ total costs • Direct funding (no intermediaries) • Flexible - no partnerships required but EU added value important • Funding contracts are drawn up rather quickly

    11. Materials recycling Sustainable building products Food and drink Water → NEW! Greening businesses/ smart purchasing → 38M€ for ~45-50 projects Five priorities  Compared to the 2010 call: resource efficiency transversal priority, new water priority and small fine tuning on the rest

    12. Materials recycling • Improve quality of recycled material, better waste sorting and treatment methods • Innovative products using recycled material or facilitating material recycling • Business innovations to strengthen the competitiveness of recycling industries, such as new market structures for recycling products, processes and services

    13. Sustainable building products • Construction products and related processes (construction, maintenance, repair, retrofitting or demolition of buildings) that reduce consumption of resources, embodied carbon and production of by-product wastes. • More environmentally friendly construction materials and innovative manufacturing processes.

    14. Food and Drink Sector • Cleaner and innovative products, including packaging, processes and services aiming at higher resources efficiency, reduction of waste and greenhouse gas emissions, or/and increasing recycling and recovery. • New or improved production processes with high water efficiency and improved water quality.

    15. Water • Water efficient processes, products and technologies (reduce water consumption by at least 30%) • Water-free processes. • Water and wastewater treatment: solutions that offer greater efficiency and reduced environmental impact. • Smart distribution systems aiming at the saving of water, chemicals, energy and materials: innovative systems for measuring and adjusting chemical dosing, flow and pumping rates; leakage detection and repair, novel pipe materials etc.

    16. Greening businesses and smart purchasing • Green products and services • Substitution of materials by others leading to a reduced environmental impact • Clean production processes • Re-manufacturing mechanisms and innovative repairing services

    17. Increasing response to Eco-innovation Calls Important interest from the market, mainly SMEs More than 1000 web enquiries answered every year 17

    18. Reaching the target group: more than 65% SMEs! SME 81% private sector LARGE Enterprises Universities/Public/Others Our beneficiaries (Source: call 2010)

    19. Post research Adaptation for market uptake Industrialisation First commercial deployment Market demonstration Basic research Applied research Prototyping/first practical use of technology Technology demonstration Knowledge gathering Eco-I versus FP 7 Research 19

    20. First application of solution and market uptake Integrated approach covering various environmental aspects (resource efficiency including water, energy and raw materials…) Life-cycle approach Explicit SME and private sector focus Market uptake important Promotion & dissemination of well-proven intelligent energy solutions Energy focus: energy efficiency & renewable energy sources, including transport Stimulates action through better market conditions & admin. procedures, training, awareness raising, policy analysis etc No investment project, no RTD Impact and contribution to 2020 EU energy targets important Eco-I versus IEE 20

    21. Priority on private sector, businesses CIP umbrella Market competitiveness and market uptake Replication is crucial Integrated environmental impacts Mainly public sector Policy development and Implementation of legislation Dissemination, awareness raising, capacity building Land-use and urban planning Environmental solutions but market uptake is not vital Eco-I versus LIFE + 21

    22. A new type of milk bottle made of a mix of recycled paper and plastic that can be easily separated and sorted Complete supply chain consideration Closed loop paper supply Ensure disposal is consistent with recycling criteria throughout theEU Example from the Food & Drink sector: GREENBOTTLE

    23. Example from the Food & Drink sector: BRITER-WATER Large scale bamboo farming for phytoremediation of grey water from Refresco fruit juice bottling plant and dairy effluents. Lower investment and operation costs, no sludge Better water quality and carbon capture gains France, UK, Portugal and Germany

    24. CAPS: Conversion of paper mill sludge into absorbent material An innovative way of reusing waste into a product Outcome: absorbent material for cleaning up oil and chemical spills in harbours Setting up two new production plants (Slovenia and Finland) Example from the Recycling sector: CAPS

    25. Example from the Recycling sector: SATURN • Sensor-sorting for recovery of non-ferrous metals (NF) • The aim is to automatically sort NF from household metal waste into clean fractions (different metals and alloys) • A plant is built in Germany to implement a range of different sensor-based technologies • Further replications, UK

    26. Example from the building sector: INSULA TFH INSULA TFH: pre-insulated wall panels Low cost process to produce timber frame panels with cellulose fiber insulation Material used: recycled waste paper and wood from the region Reduced transport, packaging and landfill Materials with low embodied energy IRE, DE, BE

    27. Example from the Green Business sector: ECOTPU ECOTPU: New bio-plastic for sports shoes coming from oil plants Production line will be set up and started Involvement of footware and chemical industry from ES and IT .

    28. Fourth Call: 28 April with a closing date of8 September 2011, 17h00 Electronic submission (EPSS) Evaluation: end of 2011 First projects start May 2012 50% funding rate of eligible costs Max 3 years contract duration Call planning 2011

    29. What do you need to start? • A good idea that matches with CIP Eco-innovation objectives • A thorough reading of the Call and the following supporting documents: • Frequently Asked Questions (9 pp) • Guide for proposers (40 pp, explaining all steps) All available on our website http://ec.europa.eu/ecoinnovation • Application Forms – access through the online submissionsystem EPSS

    30. Which are the parts of a proposal? You must use the forms provided: • Part A: Administrative information • Part B: Work description • Part C: Budget and indicators • Annexes • Letters of Intent • Legal documents • Attention: to be successful you need to provide sufficient answers to all award criteria! Follow the structure of the forms, expecially Part B/C

    31. Part B - the Work description Important Chapters: • Technical description/ state of development • Market overview and framework (market potential, barriers..) • Exploitation (target group, market strategy, business plan) • Objectives/ results (environmental, economic) • Consortium composition • European added value • Work programme (overall strategy, planning, WPs)

    32. Work Package Descriptions • Work Packages are at the core of the action description • Their structure is pre-defined: • Name/ Number/ WP leader/ Duration • Roles and contributions of each participant including no. of hours • Justification of costs for subcontracting, equipment, other • WP overview • Tasks • Deliverables

    33. Obligatory Work Packages • Three WPs are obligatory: • Management • Exploitation and Business Plan • Dissemination Activities – including pre-defined tasks on request of EACI • Add your own technical WPs

    34. Writing your proposal “Help” in Application Forms and Guide for Proposers • Strong competition: you need an innovative workable solution which will have economic and environmental benefits! • Start early enough - Late submissions are not evaluated! • Easy to read? - evaluators assess it in ~2 to 4 hours. Have it read by an outsider (no jargon, simple for non mother tongue readers) • Respect limits of length, but give as much detail as necessary in each work package, and explain what each partner will actually do, how (methodology), and what will be delivered

    35. Indicator requirements (xls-sheet in Part C) • Improved environmental performance • CO2 emissions • Particulate matters • Tons of waste diverted from landfills • Better use of natural resources • Resource efficiency • Reduced water consumption • Energy from RES and energy efficiency • Economic Performance / Market Replication • Market size in million Euros • Number of start ups • Leverage factor / expected revenues • Patents

    36. How will proposals be evaluated? • Fair and equal treatment of all proposers: • Based on the criteria announced in the Call • Confidential process, no conflicts of interest • Independent external experts as advisers • Transparency: You will receive a feedback on your proposal arguing each award criterion and its score • Four successive checks: • Eligibility criteria (yes/no) • Exclusion Criteria (yes/no) • Selection criteria (yes/no) • Award criteria (scores with thresholds)

    37. 27 EU Member States EFTA countries, which are members of the EEA: Iceland, Liechtenstein, Norway, Plus (provided the MoU is in force): Albania Croatia Former Yugoslav Republic of Macedonia Israel Montenegro Serbia Turkey Further countries depending on bilateral agreements Emphasis on SMEs Call for proposals 2011: Some Eligibility Criteria Any legal person who is located in one of the following countries: One partner is formally sufficient, but: EU added value!

    38. Call for proposals 2011: Selection and Exclusion Criteria • Applicants must show that they have the FINANCIAL capacity to complete the action. Submit balance sheets (not needed for public organisations) • => YES or NO • Applicants must show that they have the TECHNICAL capacity to complete the action. Submit information on key personnel, description of organisation, previous experience, etc.) • => YES or NO • Applicants must sign a declaration, that they are not bankrupt etc.

    39. Relevance of the action (7 of 10):alignment with Call priorities and environmental policies, innovation, substantial environmental benefits & SMEs Quality of the proposed actions (6 of 10):Soundness and coherence of project from a technical perspective Impact on target audience (6 of 10):Replication during and after the project, exploitation & business approach Budget and cost-effectiveness (6 of 10):appropriate level of effort per task/partner, justified costs, notably equipment/ co-financing European added value (6 of 10) Call for proposals 2011: Award Criteria You need to reach the threshold of each criterion (x of 10) and a total threshold of at least 34

    40. No formal criterion on international partnership.However, European added value of Eco-Innovation projects is part of the award criteria: • Value generated by the project being a EU-funded project as compared to local, regional & national actions • EU dimension of the market barriers • Level of European cooperation in the project

    41. Realistic costing is required ! • Direct staff costs – hourly costs must equal actual salary (from pay slips) + social chargesBe sure you can substantiate staff costs (eg: copies of payslips) • Equipment and infrastructure (depreciated,only parts for innovative action) • Sub-contracts to specialised professionalsbut not core tasks – up to 35% of total eligiblecosts • Meetings and travel – budget should bereasonable • Other specific cost (not: electricity & gas) • 7% of the total eligible direct costs for overheads/indirect costs

    42. Equipment and Infrastructure A clear description should be given for each item Durable equipment must be specifically required for the action – no budget for standard office equipment will be accepted Includes only the portion of the equipment’s depreciation necessary to realise the proposed action and clearly directly related to the innovative action proposed corresponding to the duration of the action and to the rate of actual use for the purpose of the action The purchase cost must be capitalised in the books of the coordinator or co-beneficiary according to the applicable accounting rules

    43. Application is only possible online • EPSS: Electronic Proposal Submission System • Link to be followed via the CIP Eco-innovation website • Submission of proposals only electronically and using the application forms • Deadline is 8 September 2011, h 17:00:00 Brussels time straight. Even one second too late will not be accepted!

    44. IPR and Partners finder • Enterprise Europe Network: Partners Finder • Free service by the European Commission to assist with the protection of IPR: http://www.ipr-helpdesk.org/home.html http://www.enterprise-europe-network.ec.europa.eu/index_en.htm

    45. Suggestions I • Provide answers to all award criteria • Create a clear picture of what you want to do and how • Business case with clear view on the market already during the development of the project • Include clear flow charts regarding processes • Realistic time planning – account for the time needed for permits (environmental / construction etc)

    46. Suggestions II • Quantify! Measure the performance of your project using the indicators table: Realistic, but ambitious targets • Estimate appropriate efforts for each partner and each work package throughout the proposal • Choice of partners and subcontracting is clearly explained, and their skills fit with the allocation of tasks in the work packages • Ensure that you have attached the correct files when submitting your proposal

    47. Things not to do • Do not submit a research project • Do not submit an energy project • Do not forget the Life Cycle perspective when describing the environmental benefits • Replication is not the same as dissemination. Exploitation is not the same as dissemination. Please distinguish potential from realities during the project • Do not wait too long with submitting your proposal – you can always replace earlier versions

    48. Final Tips! • Strong competition: we want ambitious environmental benefits and high leverage factor • Start early – a proposal needs time and evolution • Easy to read: Be clear and comprehensive. Only information contained in your application counts • Environment and Innovation: Substantial environmental benefits across EU and a good degree of innovation. • Replication/Exploitation: demonstrate that public money is efficiently invested in your project – up scaling, leverage factor

    49. Eco-Innovation website as source of information • Newsflash subscription • Call for proposals • Guide for proposers • Frequently asked questions • Grant Agreement and Financial Guidelines • Info days + slides/recordings • Contact including 2-page summaries for feedback • Link to EPSS • Under construction: projects database http://ec.europa.eu/environment/eco-innovation Contact:eaci-eco-innovation-enquiries@ec.europa.eu

    50. Timeline : from proposal to signature of Grant Agreement 8 September 2011 May 2012 Project implementation Call forproposals Evaluationof proposals Contractnegotiation 28 April 2011 January 2012