State of play, main conclusions, outlook

The revised Important Projects of Common European Interest Communication will apply from 1 January 2022. It sets the criteria for the Commission to assess Member State support for large, cross-border IPCEIs that overcome important market failures and enable breakthrough innovation in key sectors and technologies and infrastructure investments of great importance, while generating positive spill-over effects for the EU economy and society at large.

The Commission adopted the revised IPCEI Communication following an evaluation of the current rules conducted in 2019 as part of the State aid fitness check of 30 October 2020 (Linked to the REFIT scoreboard fiche: Fitness check of 2012 State aid modernisation package, railways guidelines and short-term export credit insurance) and after an extensive consultation of all interested parties on the proposed revised text of the Communication. This included Member States, business associations, interest groups, individual companies, NGOs, and citizens. The review also reflects the Commission's experience stemming from its case practice.

Estimated savings and benefits

The revised communication enables Member States and the industry to jointly invest in breakthrough innovation and infrastructure of great importance. They do so when the market alone does not deliver, because the risks are too big for a single Member State or company to take and it has to benefit the EU economy and society at large.

The revised communication will also create greater openness, for example by facilitating the participation of small and medium-sized enterprises in IPCEIs. More specifically, the revised rules provide that IPCEIs must ordinarily involve at least four Member States and by requiring that IPCEIs are designed in a transparent and inclusive manner. This ensures that all Member States are informed of the possible emergence of an IPCEI, for example by way of preparatory contacts and meetings, and are given the opportunity to participate if interested.

It facilitates the participation of small and medium sized enterprises (SMEs) in IPCEIs and enhances the benefits of their involvement, through a proportionate assessment of the compatibility of the aid to SMEs. For example, smaller companies can have a more limited own contribution to the projects than otherwise required. The revised communication also encourages collaborations between larger companies participating in an IPCEI and SMEs.

Under the new rules, the Commission stands ready to support plans by Member States and the industry, provide guidance and coordinate efforts, where necessary, and is committed to a swift assessment of the relevant projects as soon as notified.