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COHESION POLICY
investments in 2021-2027
European Semester Romania Country report Annex D
AGENDA
1. Introduction
2. Achievements of Cohesion policy to date in Romania
3. Future of Cohesion policy (including the envelope and thematic concentration
requirements for Romania)
4. Commission priorities for 2021-2027 Cohesion policy funding in Romania
***Coffee/lunch break***
5. Conclusions and next steps
European Semester country report, Cohesion policy investments in 2021-2027
Stronger articulation between challenges identified in the European Semester and Cohesion Policy funding
o Strong link in two directions
• Policy analysis guides Funds’ investments
• Funds’ investments deliver policy results
o Expected benefits
• More consistency between different policies
• Higher impact and better outreach to stakeholders
• Transparency and accountability
o Implications for European Semester deliverables
• Stronger focus of the 2019 EC country analysis (CRs) on regional and territorial disparities
• Investment needs and guidance to be derived from this analysis
European Semester country report, Cohesion policy investments in 2021-2027
Achievements of Cohesion policy in Romania
• As from 2007 to present, cohesion policy has contributed to:
• 2 700 SMEs received direct support and it is planed that 4 500 more firms will receive
support by 2023.
• 370 km of new TEN-T roads have been constructed and 300 more will be built by 2023
• more than 2 400 km of county roads rehabilitated and 2400 km are planned to be
reconstructed by 2023
• more than 60 000 apartments benefitted from investments in energy efficiency; and
80 000 more apartments will improve energy consumption classification by the end of
2023
• 90 investments in cultural heritage assets and it is foreseen that 45 more will be
renovated by the end of 2023
European Semester country report, Cohesion policy investments in 2021-2027
Achievements of Cohesion policy in Romania
EU Funds contributed to the rehabilitation of Alba Iulia’s urban heritage
transforming the city and its economy
Objective: The main aim of this project was to revive the Alba Carolina Citadel through the conservation and rehabilitation of the urban heritage
and improve the infrastructure to boost the city’s tourism sector.
Programme: Regional OP - Ministry of Regional Development and Public Administration
Total cost: EUR 44 670 000
EU contribution: EUR 35 878 000 (ERDF)
Location: Centru Region, Alba Iulia Municipality
Time: 2009 - 2013
European Semester country report, Cohesion policy investments in 2021-2027
Achievements of Cohesion policy in Romania
EU Funds contributes to the development of the
community integrated services in the most
marginalised areas
Objective: - Support the local public authorities in 139 marginalized communities to set up
integrated community teams (social assistant, community nurse and educational counselor
and/or mediator) and develop community-based integrated services (providing personalized
guidance and support).
Expected results: Between 23,000 and 34,000 vulnerable people will benefit from this
project. Integrated model and delivery tools will be developed, with the aim to be scaled up
at national level.
Programme: Human Capital Operational programme
Total cost: 23,771,601 EUR
EU contribution: 20,205,861 EUR
Location: 139 communities – see map (in yellow and purple)
Time: 2018 –2022
European Semester country report, Cohesion policy investments in 2021-2027
Achievements of Cohesion policy in Romania
EU Funds contributed to the development and creation of Research and
Development infrastructure, boosting the region’s competitiveness
Objective: - Center for Advanced Research on New Materials, Products and Innovative Processes - The objectives of this project were to
increase competitiveness through Research, Technological Development and Innovation, and development and creation of R&D Infrastructures
(labs, research centers). The investment attracted more than 100 researchers developing innovative, applied research in fields such as:
bioenergy, alternative fuels, aerospace technology, automotive technologies, robotics etc.
Programme: Sectoral OP for the Increase of the Economic Competitiveness
Total cost: 26 000 000
EU contribution: EUR 23 800 000
Location: Bucharest-Ilfov Region, Bucharest Municipality
Time: 2012 –2015
European Semester country report, Cohesion policy investments in 2021-2027
Achievements of Cohesion policy in Romania
• Finacial implementation progress 2014-2020
• Planned: 26,8 EUR billion
• Decided: 20,5 EUR billion
• Spent by beneficiaries: 4,6 EUR billion
• Paid by the EU: 4,6 EUR billion
European Semester country report, Cohesion policy investments in 2021-2027
Romania on ESIF Open data 1/2
European Semester country report, Cohesion policy investments in 2021-2027
• #ESIFOpenData provides access to data on financial and physical progress;
• Financial progress at EU and
National level by fund
Romania on ESIF Open data 2/2
• Achievements at country level are
reported annually and
available here:
https://cohesiondata.ec.europa.eu/countries
/RO#achievements
European Semester country report, Cohesion policy investments in 2021-2027
Future of Cohesion policy
European Semester country report, Cohesion policy investments in 2021-2027
Policy objectives
Former objectives are simplified and consolidated into 5 Policy Objectives
1. A smarter Europe (innovative & smart economic transformation)
2. A greener, low-carbon Europe (including energy transition, the circular economy, climate adaptation and risk management)
3. A more connected Europe (mobility and ICT connectivity)
4. A more social Europe (the European Pillar of Social Rights)
5. A Europe closer to citizens (sustainable development of urban, rural and coastal areas and local initiatives)
Horizontal issues: partnership administrative capacity building, cooperation outside the programme area
Future of Cohesion policy European Semester country report, Cohesion policy investments in 2021-2027
Architecture
Common Provisions Regulation (CPR)
Covers 7 funds, i.e. ERDF,
CF, ESF+, EMFF, AMIF, ISF
and BMVI
Joint rules for the delivery
of the funds
Code of Conduct on
partnership remains in
force
ERDF/CF regulation
Specific objectives and
thematic concentration
requirements
ETC regulation
Territorial co-operation
including external
assistance
ESF+ regulation
Enhanced scope (ESF, FEAD, YEI, EaSI,
Health)
Implementing the European Pillar of
Social Rights
Specific objectives and thematic
concentration requirements
Policy reforms, social innovation &
transnational cooperation
Future of Cohesion policy
European Semester country report, Cohesion policy investments in 2021-2027
Modernising investment
Focus on smart, low carbon and inclusive growth
Link to Semester
Enabling conditions
Flexible
Mid-term review
Adapt to emerging circumstances, e.g.
o Migration
o Changes in economy linked to globalisation, technology and demography
Simpler
Easier and faster to programme
Substantial reduction of administrative cost
Single audit principle and proportionality for low risk programmes
Modernising ERDF, CF and ESF+
Embedding cooperation and contributing to macro-regional strategies
in mainstream programmes
Intensify cooperation with other regions and Member States, incl. under macro-regional and sea-basin strategies, to be “embedded” in “mainstream” programmes.
A macro-regional strategy is an integrated framework endorsed by the European Council to address common challenges faced by a defined geographical area
Romania is a part of the EU Strategy for the Danube Region (EUSDR)
European Semester country report, Cohesion policy investments in 2021-2027
Future of Cohesion policy
European Semester country report, Cohesion policy investments in 2021-2027
ERDF / ESF+ Thematic Concentration in Romania
Total allocations for cohesion policy in million EUR in current prices: EUR 30 599 (ERDF including Interreg: EUR
17 715, CF: EUR 4 499, ESF+: EUR 8 385)
Thematic concentration amounts:
For ERDF PO1 EUR 6 063 million (35 % of ERDF)
P0 2 EUR 5 197 million (30 % of ERDF)
At least 6% sustainable urban development EUR 1 039 million
For ESF+ EUR 3 103 million
CSRs - an adequate amount, which may include:
At least 25% social inclusion + EUR 2 096 million
At least 2% material deprivation EUR 168 million
At least 10% youth employment EUR 839 million
European Semester country report, Cohesion policy investments in 2021-2027
Investment-relevant challenges in Romania
Policy Objective 1 challenges
Romania's innovation performance remains far below the EU average, much of which is due
to insufficient public research and development investments , modest cooperation of public
and private innovation and growing skills mismatches, which hamper the growth of
innovative and fast-developing sectors .
Romania performs significantly below the EU average in terms of digital public services and
the integration of digital technologies by businesses.
Romania’s share of innovative companies is behind the EU average and the country is
confronted with a persistent low level of business investment in research and innovation.
European Semester country report, Cohesion policy investments in 2021-2027
Investment-relevant challenges in Romania
Policy Objective 2 challenges
Energy intensity remains above the EU average and energy poverty affects one household out of
four.
Romania is lagging behind regarding measures for tackling climate change adaptation, the
rehabilitation of old contaminated sites and the prevention of floods and other natural hazards.
Water and wastewater infrastructure is largely insufficient.
The waste management system is underdeveloped, with high landfilling rates and the poor
quality of waste infrastructure.
Important gaps remain in reaching the EU’s objectives in the areas of maintaining biodiversity,
restoring ecologically damaged areas and reducing pollution, in particular in highly sensitive
areas.
European Semester country report, Cohesion policy investments in 2021-2027
Investment-relevant challenges in Romania
Policy objective 3 challenges
The general condition and reliability of road and rail infrastructure in Romania are
poor and its transport networks remain among the least developed in the EU, without
tackling geographical obstacles to traffic, such as the Carpathian Mountains and
crossing the Danube to Bulgaria.
Sustainable multimodal mobility in urban areas is poorly developed.
Romania is lagging behind in rural broadband coverage. Despite outstanding fast
broadband take-up, overall broadband coverage is still below the EU average.
European Semester country report, Cohesion policy investments in 2021-2027
Investment-relevant challenges in Romania
Policy objective 4 challenges
Unfavorable demographics, high labour force emigration, lack of relevant skills, lead
to tight labour market conditions.
The education system is characterized by low attainment levels in basic, digital and
soft skills, high early school leaving, and low labour market relevance of vocational
education and training and higher education.
Poverty, social exclusion and inequalities remain among the highest in the EU, with
significant regional and local disparities in quality and access to social, employment,
and healthcare services.. Children, marginalized groups, persons with disabilities and
elderly are particularly affected.
European Semester country report, Cohesion policy investments in 2021-2027
Investment-relevant challenges in Romania
Policy objective 5 challenges
Growth is mainly confined to strong agglomerations and is marked by increasing sub-
urbanisation challenges. Smaller cities and surrounding territories face different
challenges related to access to labour market, education, healthcare and other social
services.
Disparities between regions, between rural and urban areas and between citizens
remain very strong and call for tailor-made investment priorities based on specific
territorial and socio-economic needs and development potential.
European Semester country report, Cohesion policy investments in 2021-2027
Commission priorities for 2021-2027 Cohesion policy funding in Romania
Investment needs under PO1:
• enhance R&I capacities and the uptake of advanced technologies
• increase SMEs’ competitiveness and internationalisation
• reap the benefits of digitisation for citizens, companies and governments
• enhance skills within SMEs and research institutions as regards smart specialisation areas,
industrial transition and entrepreneurship
European Semester country report, Cohesion policy investments in 2021-2027
Commission priorities for 2021-2027 Cohesion policy funding in Romania
Investment needs under PO2:
• promote energy efficiency measures and renewable energy
• promote climate change adaptation, risk prevention and disaster resilience
• promote sustainable water management
• enhance biodiversity, green infrastructure in the urban environment, and reducing pollution
• promote the transition to a circular economy
European Semester country report, Cohesion policy investments in 2021-2027
Commission priorities for 2021-2027 Cohesion policy funding in Romania
Investment needs under PO3:
• enhance digital connectivity
• develop a sustainable, climate resilient, intelligent, secure and intermodal TEN-T
• develop sustainable, climate resilient, intelligent and intermodal national, regional and
local mobility, including improved access to TEN-T and cross-border mobility
• promote sustainable multimodal urban mobility
European Semester country report, Cohesion policy investments in 2021-2027
Commission priorities for 2021-2027 Cohesion policy funding in Romania
Investment needs under PO4:
• Tailored-made assistance to job seekers better integrating education and social services. Skills anticipation
system, and targeted upskilling and reskilling that meet labour market needs. Social entrepreneurship and
social economy. Employability of persons with disabilities and older workers.
• Early childhood education, early school leaving, by a learner-centred approach for children at risk, and flexible
second chance. Labour market relevance of vocational education and training, and tertiary education.
Inclusiveness of education in particular for Roma, learners with disabilities.
• Quality and availability of social services and individualized integrated services. Targeted measures to
support children and marginalized groups at risk of poverty and social exclusion. Deinstitutionalization
reforms. Home care, long-term care and community based services and infrastructure, in particular for elderly
and disabled. Outpatient care and e-health solutions.
European Semester country report, Cohesion policy investments in 2021-2027
Commission priorities for 2021-2027 Cohesion policy funding in Romania
Investment needs under PO5:
• foster the integrated social, economic and environmental development, cultural heritage
and security in urban areas, mainly in county capitals (growth poles)
• foster the integrated social, economic and environmental local development, cultural
heritage and security, including for rural and coastal areas also through community-led
local development in particular in structurally challenged areas
Conclusion and next steps
o Commission ready to start informal dialogue, important to make as much progress as possible in 2019 and 2020
o Engage from the start in dialogue with all relevant stakeholders (Code of Conduct!)
o Member State programming plans by end of June 2019 (roadmap)
o Technical seminar with Managing Authorities on 14 June
o Joint objective to adopt all Partnership Agreements and programmes by end of 2020
European Semester country report, Cohesion policy investments in 2021-2027