SLIDE 1 European Defence Industrial Development Programme (EDIDP)
within the European Defence Fund
Meeting with members of the EPP delegation in the European Parliament 22 November 2017 1630-1800 hrs
The Netherlands
Austria Belgium Finland Sweden Denmark Norway
Austria Czech Rebublic
SLIDE 2
Preamble
This presentation has been produced in agreement with the Defence and Security Industries Associations in Austria (WKÖ/ARGE), Belgium (BSDI), Czech Republic (DSIA), Denmark (FAD), Finland (AFDA), Netherlands (NIDV), Norway (FSI) and Sweden (SOFF), all member of the AeroSpace and Defence Industries Association of Europe (ASD)
SLIDE 3
content
EDIDP (European Defence Industrial Developm. Progr. ) PESCO (Permanent Structured Cooperation)
SLIDE 4 Reasons for the meeting
- EC proposal 7 June 2017: Regulation on establishment
European Defence Industrial Developm. Progr. (EDIDP)
- Ongoing considerations (report/public hearing/decision
EDIDP) in the EP
- Special position smaller nations and their defence
industries: level playing field
- Provide background information and highlight specific
points of interest
- Permanent Structured Cooperation (PESCO)
SLIDE 5 Defence Market in general
- Defence market is imperfect:
- limited nr of providers
- limited nr of customers, all government
- Providing industries are mix of state-owned and private companies
- European Defence Technological and Industrial Base (EDTIB)
dominated by industries in larger nations
- For political reasons the objective of a level playing field is essential:
- defence industries in smaller nations provide significant
employment opportunities, also at higher education levels
- significant contribution to technology development, also outside
EDTIB (spill over)
- contribution to public support for defence
- National DTIBs, also in smaller nations, consist of both large and
smaller Original Equipment Manufacturers, Supply Chains, start-ups and Knowledge institutes
SLIDE 6
European Defence Fund
SLIDE 7 Notional time schedules
2017 2018 2019 2020 2021 2022 2023 2024 2025
Preparatory Action Defence Research (90M)
25 40 25
European Defence Research Programme (500 M/year) European Defence Industry Development Programme (500 Meuro) 251/249 Capability Window (EU contr. 1 B Euro/year) Capability Window (National contributions < 4 BEuro/year)
2027
SLIDE 8 Current Status of EDIDP proceedings
- MS discussions in the framework of the Estonian
Presidency’s “Friends of the Presidency - FoP” meetings:
- Latest draft as of 16 November 2017
- Council Legal Service advice awaited
- Council decision planned December 2017
- Draft Report ITRE Rapporteur (Mme Grossetête)
available, including proposals for amendments
SLIDE 9 Elements to be secured in the Regulation
- Objectives to foster competitiveness, including by focused research
- Support cross border cooperation throughout the Union
- EU level capability driven
- Funding through grants
- Funding bonus for SMEs, cross border participation, MidCap
involvement, and larger nr of co-financing MS
- IPR not EU owned, no EU export restrictions
- Award criteria including in favor of SMEs
SLIDE 10
- 18. (EDA-Occar) Commitment to the use of EDA as the European
forum for joint capability development and consider the OCCAR as the preferred collaborative program managing organization.
- 19. (Approp. Industrial Policy) Ensure that all projects with regard
to capabilities led by participating Member States make the European defence industry more competitive via an appropriate industrial policy which avoids unnecessary overlap.
- 20. (Pos. on EDTIB) Ensure that the cooperation programmes -
which must only benefit entities which demonstrably provide added value on EU territory - and the acquisition strategies adopted by the participating Member States will have a positive impact on the EDTIB.
PESCO common commitments, extract
SLIDE 11
“For capability development projects in particular, project management (specifications, acquisition strategy, choice of the executive agency, selection of the industrial companies, etc.) will remain the exclusive responsibility of the participating Member States associated to the project.”
PESCO project governance
Relation with EDF?
SLIDE 12 Other topics for discussion
- A harmonized EU Member States Export Policy is
imperative to a successful implementation of the European Defence Fund
- Alignment of EDF and PESCO, relevant to
industrial postures is required
- Ref Notification PESCO, commitments 18-20
and Annex III, para 2.2.2.
SLIDE 13
Questions?
