Máire Geoghegan-Quinn and Sean Sherlock
Máire Geoghegan-Quinn and Sean Sherlock © The Council of the European Union 30 September, 2013

Reflecting on the emerald agreement

With just over 90 days to go before the start of Horizon 2020, the deal secured by the Irish Presidency of the Council of the European Union was vital to ensuring the replacement for FP7 would begin on time at the start of 2014. Marathon talks took place at the end of the Presidency and eventually on 26 June, an agreement between the three EU institutions was struck.

One of key negotiators of the Horizon 2020 agreement was the then chair of the Competitiveness Council, Irish minister Seán Sherlock. In an article for Horizon 2020 Projects, the Minister for Research and Innovation outlines the agreement for the next framework programme, changes compared to FP7, and how Horizon 2020 will address the goals set by the EU’s growth strategy, Europe 2020.

The negotiations on Horizon 2020 were intensive and challenging, but as it was one of the most significant priorities for Ireland, as the then Presidency of the Council of the European Union, it was incredibly important that agreement was reached in order to boost jobs and growth across the EU.

It was paramount to secure agreement under our Presidency so that Horizon 2020 could start on time to ensure continuity for Europe’s research community. I would like to pay tribute to Commissioner Máire Geoghegan-Quinn and her team in DG Research & Innovation in the European Commission for their huge personal commitment and creativity in championing within the Commission, a framework programme for research that will be the engine of the Union’s recovery. Great credit is also due to the rapporteurs and negotiating team of the European Parliament who showed great integrity and commitment in their approach to this challenging dossier.

Framework programme

I am satisfied that the strategic approach to research and innovation contained in Horizon 2020 will develop, diffuse and drive research across the European Union. The programme consists of three pillars:

  • Excellent Science, which will include funding for the European Research Council, research infrastructures and future and emerging technologies;
  • Industrial Leadership, the truly innovative element of the programme as it contains specific supports for SMEs and for enabling industrial technologies such as nanotechnologies, biotechnologies and ICT; and
  • Societal Challenges, which will help ensure that research is directed at areas of most concern to citizens and business-such as health, climate, food, security, energy and transport.

Horizon 2020 will provide a range of measures and activities to support the research and innovation activities and capacities of SMEs along the different stages of the innovation cycle. The creation of a dedicated SME instrument will help to increase the participation of SMEs under Horizon 2020 funded projects. The inclusion of specific measures for widening of participation will also further enhance a diverse range of research and research bodies.

The final agreement allowed for a distribution of the budget across the pillars of Horizon 2020 that was agreeable to member states and the Parliament; the agreed distribution isn’t too far away from the original European Commission proposal. During the negotiations, Ireland held the Presidency and had to remain impartial. We looked to secure an agreement that would be satisfactory to the EU’s institutions, and I think we achieved this.

Simplification

Simplification was the guiding principle of our negotiations. Extensive consultations undertaken by the Commission showed that the FP7 full cost model of reimbursement was complicated and created unnecessary burden for potential and current participants of the framework programme. The Commission proposed a radical change to address the problems. The final agreement that was reached between institutions ensured a simplified approach for Horizon 2020. Simplification is reflected in the rules, design, financial management and implementation of Horizon 2020 in order to attract a strong participation of universities, research centres, industry and SMEs. Also, importantly, simpler funding rules will reduce administrative costs for participants and decrease financial errors.

Europe 2020

Horizon 2020 is key to achieving the objectives of Europe 2020. The new framework programme will allow for the development of ‘smart growth’, one of the main priorities of Europe 2020. Horizon 2020, together with reforms of national research systems, is important in order to deliver on the Europe 2020 research investment target of 3% of GDP and realising the European Research Area. For example, through Horizon 2020, the Commission, member states and industry will invest more than €22bn over the next seven years in innovation for sectors that deliver high quality jobs. This investment will go to partnerships between the Commission, member states and industry. This collaboration allows for solutions to be found for major societal challenges that cannot be solved by one member state.

The recently announced ‘indicator of innovation output’ measures progress on European innovation as outlined in the Europe 2020 strategy. This shows Ireland’s performance in the top four member states that are getting the most out of innovation. This is highly significant as it measures the extent to which ideas from innovative sectors are able to reach the market, providing better jobs and making Europe more competitive. This indicator shows that prioritising R&D investment and choosing smart specialisation has significant results.

Considering the economic downturn and resulting impact on the EU budget, research actually faired quite well with an indicative budget of €70bn and therefore should be able to realise all R&I objectives.

I would wholeheartedly agree with Geoghegan-Quinn when she said at the conclusion of the negotiations in June that the agreement on Horizon 2020 was a very important step that will help ensure that Horizon 2020 can launch as planned next year and that it is good news for researchers, for universities, for SMEs, and for all other future participants in the programme. It is also good news for all who will benefit from the breakthroughs and innovations the programme will bring, providing solutions for societal challenges and strengthening industrial competitiveness.

Seán Sherlock

Department of Jobs, Enterprise and Innovation

Government of Ireland